Jalandhar City

TERM PAPER ON MARKETING MANAGEMENT TOPIC: “To study the promotional strategies adopted by different retailer in Jalandhar city.”

ACKNOWLEDGEMENT The term paper what I have presented is not the made outcome of my own labour alone , there are dozens of hands help’s me to complete all through the program . My sincere thanks to Mr Krishan gopal Internal guide for guiding me to work on this term paper.

SU BMITTEDBY:Sushil Kumar

Roll no. A-19 MB A 1st semester

CONTEXT 1. ABSTRACT 2. INTRODUCTION i. Retailing Overview ii. Big Bazar, Reliance Fresh, Vishal mega mart. 1. REARCH METHODLOGY 2. SUGGESTIONS 3. CONCLUSION 4. REFRENCE 5. GLOSSARY

ABSTRACT :In today’s competitive scenario where more and more player are coming into the picture, there is a need to look into the customer or client behaviour to know your client well. And also there is a need to spread their business like this in which one can choose the best for them. Till now here in India most

of people prefer to go in mall or retail shop, so that they can get all material under a single roof. Today’s emerging retailing environment , people’s income level and spending power , increasing preferences for fashion &new trends ;hence there is a wide scope in India for apparel industry and till now it is at the flourish stage. The variety and assortment of merchandise offered by a store play a major role in attracting customers. So any retailer, big or small, takes many decisions regarding what o purchase and what to make so that goods are available to the customers. This is called systematic merchandise planning. So basically merchandise decisions are related to what type of product they are going to offer and assortment planning is related to the varieties of product and goods offered by them in their outlets. Because high cut –throat competition, when all market players are fighting with each other for attracting and retaining customers. But today customers are also very smart and they know the value of their money; a lot of choices are available in the market for them. Especially in the apparel industry, a lot of brands and a wide range of fashion are available so it’s too difficult for customers to taking the purchase decision. So it’s is necessary for every retailer to provide the best and the biggest possible range of product to customers. And researcher studied these all in preparing this thesis and found that decisions and planning are

continuously adopting by big and small retailer; because it is of current time.

INTODUCTION Retailing Overview It’s is human tendency to have a comfort, luxurious life and have all facilities to him. And as there is a golden period going on now; anybody can enjoy these benefits. And retailing concepts is also from one of these facilities. Retailing is simply provides the end product to customer .So retailer are directly In touch with customers .Retailing in India is witnessing a huge revamping exercise. India is rated the fifth most attractive emerging retail market: a potential goldmine.

EXECUTIVE SUMMARY (BIG BAZAR) Indian retail sector is withdrawing one of the hectic marketing activities of all the times. The Companies are fighting to win the heart of custom who is god said by the business tycoons. There is always “first mover advantage in an upcoming sector. In India, habits of people. It has bought about many changes in the buying habits of people .It has created formats which provide all items under one roof at low rates , or so it claims .

Study on the effective promotional strategy which influences customers to purchase a product go Big Bazar . To understand the effect of promotional strategy which is responsible for attracting customers Towards the Big Bazar? The report deals with the impact of promotional activity which attracting the customers towards Big Bazar.

INTRODUCTION

ON

BIG BAZAR

Retail means selling goods and services in small quantise directly to thee customers for their personal family household use. The Indian retailing industry is becoming intensely competitive as more and more payers paying for the same set of customers. The major retail players are Reliance, Vishal mega mart etc. Retailing is one of the biggest sectors and it is witnessing evolution in India. The new entrant in retailing In India signifies the beginning of retail revolution. India’s retail market is expected to grow tremendously in next few years .According to at hearing, the windows of opportunity shows that retailing in India was at opening stage in 1995 and now it is in peaking stage in 2009-11-29 India’s retail market expected to grow tremendously in next few years.

HISTORY OF RETAILING Retail concept is old in India. World’s first department stored in Rome.

CURRENT SCENARIO India rank first inn term of emerging market potential in retail sector. Current retail market is US $ 215 billion. Growth rate sector in India is 8-10 % per annum.

Across India, FDI in retail sector increases from Us $ 3.1 billion in 2009.

TYPES OF RETAILERS Food Retailers • General merchandise Retailers • Service Retailers •

CHALLENGES Largely urban phenomenon, pace of growth is still slow. Not being recognised as an industry in India. •

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COMPETION IN RETAIL Strategies like promotional Companies freebies promoting private labels and online discounts are just some of these avenues that retailers are looking

This is a Knee jerk reactions by the industry to fight the inflation – induced in the purchasing power of customers retail is a number game , so , big retailers are trying to push volumes for some , it comes at the cost of profit.

RELIANCE IN RETAIL Interesting piece of news: - Reliance plans to do a wall – Mart in India. My take is that the retail market is ripe not just at the high end, but also at the low end, and the big gains will be in small towns.

MUKESH AMBANI Reliance Industries Ltd has finally launched Reliance fresh its 1st retail venture in Hyderabad you can find fresh fruits, vegetable’s pulses, rice as well as the company’s in house product too RIL planning to set up range forms outlets to serve fresh vegetables too in the street side. RIL announced Rs 25000 crore over the next five years in the retail business to adopt value – based positioning to be on a par with the local grocer. It now adopting pricing policy to match the local grocer. In a recessionary environment, customers are looking for retailers who offer value .In this environment for important for retailers to get business model right.

VISHAL MEGA MART Vishal mega mart is going to launch new bottle water for a low cost of Rs 6 only. In three categories Premium natural minerals water. 2. Natural mineral water. 3. Packed water 1.

With India middle class going truly urban, Vishal may just soon question its present strategy of risking too much on its value for money offering. In my opinion adults of India are ambitious and have money to spend on their life style

THE CONCEPT OF MERCHANDISE AND ASSORTMENT (STOCK KEEPING CATEGORIES) , Organizing the buying process by categories, 2)Levels of buying organisations, 3)Category management 4)Financial objectives, 5)Gross margin return on inventory investment ( GMROI) 6)Sales forecasting 7)Product mix trends 1)

Literature review is important forIdentity critical issues in literature. Discuss how different author’s works have complemented one another and how they can disagree.

And on the topic, here inn Jalandhar before this study, never a research has been conducted and because Jalandhar is not a big city so here source are limited

but scope for these type of study is very huge. But now here so many retailers are available for making this research successful like Big Bazar, Reliance, Vishal mega mart. AK Gupta in his study Retailing inn India is currently estimated to be US $ 200billlion industry, of which organised retailing makes up 3 percept or US $ 6.4 billion. By 2010, organised retail is projected to reach US$ 23 billion and in terms of market share it is expected to rise by 20 to 25 percent. The report also predicts a stronger retailer growth than that of GDP in the coming five years.

THE STUDY WAS PERFORMED AIMING

FOLLOWING OBJECTIVES: AT THE

Objectives of the study – Understanding the merchandise assortment planning concept and process adopting by retailers at Jalandhar. To study about customer‘s preferences toward it. To analyse product requirement of consumer from provision store, superstore etc. with frequent use And apart from these all sated objectives my first and foremost objectives was to acquire the practical knowledge about the Merchandise Assortment Planning like how these retail do this process for their survival and how they fulfil demands of customers .

Needd and scope of study

Need By identifying the factor crucial to target market retailers could add more value to the garment value chain by focusing on specific factors rather that following please all policy . BY identifying the

importance factors explanation of the customer can easily met. So it is required to explore the apparel attribute that are perceived as important and attribute that please more to males and females.

Scope Doba region of Punjab have been considered to identify the apparel related attributes that are more important to population of Doba region. To represent region respondents from three major cities will be considered Jalandhar and Phagwara.

LIMITATION OF THE STUDY. Time constraint - Because it is not possible to look in each and every aspects of Merchandise Assortment Planning in such a short span of time, Because all research is related to Jalandhar only and here a limited is available for these types of studies,

People whom data will be collected can be biased on some time and because of lack of awareness and lack of knowledge people can give wrong opinions.

BENEFITS To Self— Knowledge earning. Gaining practical exposure to Retailers Planning Strategic. Gain knowledge about customer preferences.

To companies This report will be beneficial for companies and outlets too because from this report they get to know about their customer’s preferences.

From this report they will get knowledge about changes in their strategies and their customer base.

To CustomersThey will get to know about retailers and their work process. From this report they can say their views and their opinions about these retailing strategies, so it is beneficial for them to make them all required changes in system.

RESEAARCH METHODLOGY

For this term paper one has to know each and every aspect of the concept thoroughly. And then for all merchandise assortments planning one has to get update with the latest trends and all factors which are continuously affecting these decisions. So acquiring the data

regarding this I gone through by several things like this. Books, Magazines, Journals Web site, In order to understand the merchandise Assortment planning process, as per the objectives stated, the various steps which are too followed are given below, Planning the research deigned. Selecting the research method. Data collection.

RESEARCH DESIGN Research design essential because it facilitates the smooth flow of various research processes. In order to get the appropriate result on a clearly defined research topic, the design chosen by the research is exploratory in nature.

RESEARCH METHOD After developing an appropriate research plan, it is important for the researcher to select a proper research method. Surveys: This is a research technique, which is used to gather information from a Sample of respondents by employing a questionnaire. SAMPLING PROCEDURE Sampling is generally a part of the research design but is considered separately in the research process. Sampling is a process that uses a small number of items or a small Portion of a population to draw conclusion regarding the whole population. Sampling Unit: BIG BAZAAR, Reliance Fresh, and Vishal Mega Mart. Sampling Area: Jalandhar City.

DATA COLLECTION

After preparing a suitable sample, the researcher collects the data from the units in this sample. As stated above that research method which will be used in the research Comprises of surveys therefore data collected will be of primary in nature and partly secondary since secondary data will also be taken. Evaluating and unorganized retailers also being chosen for interviews and customers are chosen at random.

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EMPIRICAL ANALYSIS Growing economy, globalization, retail trends, increasing income levels, healthy life-style,

technical advancement; these are some of the factors which are continuously Affecting every business segments. So we can say this is a golden period for business world. But on the other side because of increasing competition, inflation, high Customization; these business persons are finding some new and effective ways to overcome these problems. And in apparel segment, it is world’s biggest business industry. Clothing is one of the basic needs of a common person.

Customer’s preferences about itThe main thing which researcher found about customer’s perception about it that they said, “When we wear any branded apparel then automatically they feel a sense of Satisfaction, a sense of grace in them.” Said by Sumit Singh and Rajeev Sharma. According to him because now in market all companies are providing a good and similar quality, so why not we go for a discount store.

Findings & Suggestions

FINDINGS AND SUGGESTIONS

As for this topic, there are two type of hypothesis can be possible, i.e.1Null Hypothesis-All stores equally appeal to young professionals. Alternative Hypothesis- All stores don’t equally appeal to young professionals. 2Null Hypothesis-All stores equally appeal to college and school going youth. Alternative Hypothesis- All stores don’t equally appeal to college and school going youth. Data collected after surveyResearcher went to all those sample units for collecting data and found data from direct interviews and surveys from customers and retailers.

Q.1. What factors you are considering before taking any apparel purchasing decision,mostPrice, Variety Quality Looks Fashion/trend Ans.- As research is being conducted in Jalandhar so, here most people prefers less price items means price factor is most

important thing for them. And they can compromise with quality but they want fashionable and good looks items.

Q.3. Are you satisfied with the services and varieties of products provided by these apparel outlets? Highly Satisfied Satisfied Neutral Dissatisfied Highly dissatisfied Ans.- Important thing is that they are getting large categories with low prices because of high competition. So customers are satisfied with all these retailing scenario because it is in favor of them.

Q.4.So do you want to keep your loyalty with your favorite brand or can switch? Brand loyal, Nothing like loyalty, just like this brand (on the base of past sales and observation) but can switch if found any other good option,Any brand no matter; just it should satisfy their needs. Ans.-

COCLUSION: From all findings collected by researcher he reached to the conclusion that in this quickmoving environment, now retailers also have realized that they need to work strategically for their survival. That’s why now they are taking merchandise assortment decisions seriously and spending their time and efforts for it. And it is vital for them to consider it also before doing any business. It is not only for apparel industry but now for every business segment it is necessary. Today’s scenario has totally changed from past. Now market is totally customer-centric and highly competitive. So if any company wants to alive here and want to a long-term business then they have to fulfil all demands of customers

and follow all required patterns either it is a big giant or a small business unit.

organized or unorganized retail outlet

REFERENCES List of books and articlesRetail Management, Case studies in Retail Management Retail Management Review Cases of Retail Management, Prentice-Hall Publications. List of websites articles www. google.com www.wikipedia. www.johnplayers.com www.koutonsindia.org www.cottoncounty,com www.adidas.com www.priknit.com www.managementjuice. www.montecarlo.com www.answers.com http://www.indiainbusiness.nic.in/

GLOSSARY

Administrative Management ProblemsThe problems related to the resources retail Firms, chiefly, financial, human and locational resources.

Advertising Effectiveness- The degree to which the advertisements have produced the desired results of helped the retailer accomplish its advertising goals. Allowances- The additional discounts and price reductions that are given to customers by the retailer. Balance Sheet- It is a snap shot of the financial position of the retailer at that moment of time. The balance sheet consists of three components Assets, Liabilities and Owner’s equity (Net Worth). Chain Stores- Stores that have two or more retail outlets that are commonly owned and controlled. These stores have a centralized buying, and merchandising system and sell similar lines of merchandise. Combination Store- A blends of a super market and a general merchandise store, where the general merchandise contributes more than 40 percent of the sales. Customer service- A set of activities and programs taken up by a retail organization to offer their customers a rewarding shopping experience.

Customization- The production of individually customized merchandise at the cost of mass produced product. Destination Store- Store that has larger trading area than a competitor with a less unique appeal. It offers a better product assortment, have heavy promotions, and a Stronger image.