Big Bazaar, Shoppers’ Stop And Marks & Spencer

A STUDY OF CONSUMER PERCEPTIONS OF THREE RETAIL CHAINS IN BANGALORE – BIG BAZAAR, SHOPPERS’ STOP AND MARKS & SPENCER

CONTENTS Sl. No.

Topic

I

Retail Industry in India

II

Company Profile

(i)

Big Bazaar

(ii)

Shoppers’ Stop

(iii)

Marks & Spencer

III

Synopsis of the Study

IV

Analysis and Interpretation

V

Findings and Suggestions

VI

Recommendations and Conclusion

Page No.

RETAIL INDUSTRY IN INDIA India has one of the largest numbers of retail outlets in the world. Of the 12 million retail outlets present in the country, nearly 5 million sell food and related products. Thought the market has been dominated by unorganized players, the entry of domestic and international organised players is set to change the scenario. Organized retail segment has been growing at a blistering pace, exceeding all previous estimates. According to a study by Deloitte Haskins and Sells, organised retail has increased its share from 5 per cent of total retail sales in 2006 to 8 per cent in 2007. The fastest growing segments have been the wholesale cash and carry stores (150 per cent) followed by supermarkets (100 per cent) and hypermarkets (75-80 per cent). Further, it estimates the organised segment to account for 25 per cent of the total sales by 2011. India retail industry is the largest industry in India, with an employment of around 8% and contributing to over 10% of the country's GDP. Retail industry in India is expected to rise 25% yearly being driven by strong income growth, changing lifestyles, and favourable demographic patterns. It is expected that by 2016 modern retail industry in India will be worth US$ 175- 200 billion. India retail industry is one of the fastest growing industries with revenue expected in 2007 to amount US$ 320 billion and is increasing at a rate of 5% yearly. A further increase of 7-8% is expected in the industry of retail in India by growth in consumerism in urban areas, rising incomes, and a steep rise in rural consumption. It has further been predicted that the retailing

industry in India will amount to US$ 21.5 billion by 2010 from the current size of US$ 7.5 billion. Shopping in India has witnessed a revolution with the change in the consumer buying behaviour and the whole format of shopping also altering. Industry of retail in India which has become modern can be seen from the fact that there are multi- stored malls, huge shopping centres, and sprawling complexes which offer food, shopping, and entertainment all under the same roof. India retail industry is expanding itself most aggressively; as a result a great demand for real estate is being created. Indian retailers preferred means of expansion is to expand to other regions and to increase the number of their outlets in a city. It is expected that by 2010, India may have 600 new shopping centres. India retail industry is progressing well and for this to continue retailers as well as the Indian government will have to make a combined effort.

Retail space Driven by changing lifestyles, strong income growth and favourable demographic patterns, Indian retail is expanding at a rapid pace. Mall space, from a meagre one million square feet in 2002, is expected to touch 40 million square feet by end-2007 and an estimated 60 million square feet by end-2008, says Jones Lang LaSalle's third annual Retailer Sentiment Survey-Asia.

Alongside, Indian cities are witnessing a paradigm shift from traditional forms of retailing into a modern organized sector. A report by Images Retail estimates the number of operational malls to more than double to over 412 with 205 million square feet by 2010 and further 715 malls by 2015, on the back of major retail developments even in tier II and tier III cities in India.

Challenges facing the Indian Organized Retail sector The challenges facing the Indian organized retail sector are various and these are stopping the Indian retail industry from reaching its full potential. The behaviour pattern of the Indian consumer has undergone a major change. This has happened for the Indian consumer is earning more now, western influences, women working force is increasing, desire for luxury items and better quality. He now wants to eat, shop, and get entertained under the same roof. All these have lead the Indian organized retail sector to give more in order to satisfy the Indian customer. The biggest challenge facing the Indian organized retail sector is the lack of retail space. With real estate prices escalating due to increase in demand from the Indian organized retail sector, it is posing a challenge to its growth. With Indian retailers having to shell out more for retail space it is effecting there overall profitability in retail. Trained manpower shortage is a challenge facing the organized retail sector in India. The Indian retailers have difficultly in finding trained person and also

have to pay more in order to retain them. This again brings down the Indian retailers profit levels. The Indian government have allowed 51% foreign direct investment (FDI) in the India retail sector to one brand shops only. This has made the entry of global retail giants to organized retail sector in India difficult. This is a challenge being faced by the Indian organized retail sector. But the global retail giants like Tesco, Wal-Mart, and Metro AG are entering the organized retail sector in India indirectly through franchisee agreement and cash and carry wholesale trading. Many Indian companies are also entering the Indian organized retail sector like Reliance Industries Limited, Pantaloons, and Bharti Telecoms. But they are facing stiff competition from these global retail giants. As a result discounting is becoming an accepted practice.

PROFILES OF THE COMPANIES BIG BAZAAR Big Bazaar is not just another hypermarket. It caters to every need of a family. Where Big Bazaar scores over other stores is its value for money proposition for the Indian customers. At Big Bazaar, one can get the best products at the best prices – that is what they guarantee. With the ever increasing array of private labels, it has opened the doors into the world of fashion and general merchandise including home furnishings, utensils, crockery, cutlery, sports goods and much more at prices that will surprise you. And this is just the beginning. Big Bazaar plans to add much more to complete the shopping experience. Food is the main shopped for category in this store.

Parent Company Pantaloon Retail (India) Limited, is India’s leading retailer that operates multiple retail formats in both the value and lifestyle segment of the Indian consumer market. Headquartered in Mumbai (Bombay), the company operates over 12 million square feet of retail space, has over 1000 stores across 71 cities in India and employs over 30,000 people. The company’s leading formats include Pantaloons, a chain of fashion outlets, Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a

supermarket chain, blends the look, touch and feel of Indian bazaars with aspects of modern retail like choice, convenience and quality and Central, a chain of seamless destination malls. Some of its other formats include Brand Factory, Blue Sky, aLL, Top 10 and Star and Sitara. The company also operates an online portal: futurebazaar.com. A subsidiary company, Home Solutions Retail (India) Limited, operates Home Town, a large-format home solutions store, Collection i, selling home furniture products and eZone focussed on catering to the consumer electronics segment. Pantaloon Retail was recently awarded the International Retailer of the Year 2007 by the US-based National Retail Federation (NRF) and the Emerging Market Retailer of the Year 2007 at the World Retail Congress held in Barcelona. Pantaloon Retail is the flagship company of Future Group, a business group catering to the entire Indian consumption space.

SHOPPERS’ STOP The foundation of Shoppers' Stop was laid on October 27, 1991 by the K. Raheja Corp. group of companies. Being amongst India's biggest hospitality and real estate players, the Group crossed yet another milestone with its lifestyle venture - Shoppers' Stop. From its inception, Shoppers' Stop has progressed from being a single brand shop to becoming a Fashion & Lifestyle store for the family. Today, Shoppers' Stop is a household name, known for its superior quality products, services and above all, for providing a complete shopping experience. With an immense amount of expertise and credibility, Shoppers’ Stop has become the highest benchmark for the Indian retail industry. In fact, the company’s continuing expansion plans aim to help Shoppers’ Stop meet the challenges of the retail industry in an even better manner than it does today. Shoppers Stop Ltd has been awarded "the Hall of Fame" and won "the Emerging Market Retailer of the Year Award", by World Retail Congress at Barcelona, on April 10, 2008 Shoppers Stop is listed on the BSE. With the launch of the Navi Mumbai departmental store, Shoppers Stop has 26 stores in 13 cities in India. Stores

Shoppers Stop began by operating a chain of department stores under the name “Shoppers’ Stop” in India. Currently Shoppers Stop has twenty six (26) stores across the country and three stores under the name HomeStop. Shoppers Stop has also begun operating a number of specialty stores, namely Crossword Bookstores, Mothercare, Brio, Desi Café, and Arcelia. Shoppers Stop retails a range of branded apparel and private label under the following categories of apparel, footwear, fashion jewellery, leather products, accessories and home products. These are complemented by cafe, food, entertainment, personal care and various beauty related services. In April 2008, Shoppers Stop changed its logo and adopted the mantra "Start Something New". Shoppers Stop's sister stores include: •

Crossword Bookstores (a specialised book store)

•

HomeStop (store for furniture and home accessories)

•

Brio

•

Hypercity (offers food and grocery, general merchandise and apparel)

•

MotherCare (offers products for expecting mothers, babies, toddlers and children)

•

Nuance Group (manages the outlets at the international airports at Bangalore and Hyderabad)

Loyalty program

Shoppers Stop’s has a loyalty program called First Citizen. They also offer a co-branded credit card with Citibank for their members.

MARKS & SPENCER Marks & Spencer (also M&S, Marks and Sparks and Marks') is a British retailer, with 760 stores in more than 30 countries around the world. It is one of the most iconic and widely recognised chain stores in the United Kingdom, and is the largest clothing retailer in the country, as well as being a multibillion pound food retailer, and as of 2008, the 43rd largest retailer in the world. Most of its 520 domestic stores sell both clothing and food, and since the turn of the century it has started expanding into other ranges such as home wares and furniture. By 1999, Online Shopping was brought in, and the company grew with new sales of fashion clothing. In 2001, with changes in its business focus such as the introduction of the "Per Una" clothing range designed by George Davies, accompanied by a redesign of its underlying business model, profits recovered somewhat and M&S recovered some of its market share, but it soon became apparent that problems remained. Other changes to tradition included accepting credit cards and opening its stores on Sunday. The UK Retail division, the largest of the operating divisions, is itself subdivided into seven business units, each representing a defined area of merchandise: Womenswear, Menswear, Lingerie, Children's wear, Beauty, Home and Foods. The first six business units are reported as “General”, and footage is allocated between them depending on demand and seasonal factors. The space allocated to the largest single business unit, Foods, is relatively inflexible.

The International Retail business consists of three broad geographic areas: Europe (including Ireland but excluding the UK), North America and the Far East. The International Retail results include those of M&S’ franchise businesses, which, at 31 March 2001, operated 125 franchise stores in 26 countries. The European International Retail can be divided into the Continental Europe and the Republic of Ireland and European franchise businesses. In North America the group operates two businesses, Brooks Brothers and Kings Super Markets. At 31 March 2001 Brooks Brothers traded in 221 stores and Kings Super Markets had 27 stores. Finally in Far East the group operates 10 stores in Hong Kong.

LINES OF BUSINESS OF THE ABOVE STORES • E-tailing • Food • Fashion •

Home Solutions

• Telecom and IT • General Merchandise • Leisure and Entertainment • Wellness and Beauty • Books and Music

SYNOPSIS OF THE STUDY Objectives of the Study 1. To study the retail industry in India. 2. To understand the influence of advertising and promotion in buying

behaviour. 3. To ascertain brand awareness of the outlets identified.

4. To analyze customer satisfaction towards products and services offered. Tools of Data Collection Primary Data

Interviewing the customers

Questionnaires,

and consumers

Surveys, Approaching the outlets directly.

Secondary Data Books, Magazines, Newspapers, Blogs.

Sampling Sample Size – 75 customers/consumers Sample Unit – Consumers in the age group 18 to 50 years Scope and Uses 1. It will extend to the actual field study of these outlets in Bangalore. 2. It will give information to prospective customers. 3. Help us gain independent knowledge about the consumer perception of

the outlets identified. 4. The study can help the companies get additional research information.

5. It facilitates evaluation of brand name and customer satisfaction.

Format of the Questionnaire Employed Dear Customer, We, the students of Christ University, are conducting a study on the customer perception of three retail outlets in Bangalore, viz., Big Bazaar, Shopper's Stop and Marks & Spencer. Please fill in the following questionnaire to help us in our survey.

NAME: AGE: 18-28 GENDER: Male

OCCUPATION: 28-38

38-48

48-58

58-65

Female

1) How often do you shop? Once a week Fortnightly

Once a month

2) Which of the following stores do you shop at? Big Bazaar Shopper's Stop Marks & Spencer ____________________________________

Others (specify)

3) What do you mostly shop for at the mentioned stores? Clothing Accessories Groceries Others (specify) ____________________________________ 4) Why do you shop at the above-mentioned store?

5) Rank your preferences for shopping: Proximity Quality

Brand

Price

Store Layout

One-stop shopping

6) Does advertising and promotion influence your shopping decisions? Yes No 7) Which form of promotion do you think is most effective? Print TV Radio 8) Indicate your satisfaction level based on the following parameters for the following stores: Retail Outlet Unsatisfied Satisfied Highly Satisfied Not Visited Big Bazaar Shopper's Stop Marks & Spencer

Thank you!

ANALYSIS AND INTERPRETATION The tools and methods of data collection identified earlier were employed to gather data on the consumer perception of the three retail chains in Bangalore – Big Bazaar, Shoppers’ Stop and Marks & Spencer. The data accrued, especially from the interviews and questionnaires circulated, are tabulated and depicted on graphs in the following pages. The data thus gathered and tabulated is analysed. The data is then scrutinized and relevant interpretations are drawn. The major objectives of analysis of data are: 1. To evaluate and enhance data quality 2. Describe the study population and its relationship 3. Examine effects of other relevant factors 4. Seek further insight into the relationships observed or not observed 5. Evaluate impact or importance The data collection plan, including procedures, instruments, and forms, was designed and pre-tested to maximize accuracy. All data collection activities were monitored to ensure adherence to the data collection protocol and to prompt actions to minimize and resolve missing and questionable data. Monitoring procedures were instituted at the outset and maintained throughout the study, since the faster irregularities can be detected; the greater the likelihood that they can be resolved in a satisfactory manner and the sooner preventive measures can be instituted.

Q. 1) Age of the respondents Age 18-28 28-38 38-48 48-58 58-65

Total 37 16 8 9 5 75

Percentage 49.33% 21.33% 10.67% 12.00% 6.67% 100%

Age of Respondents 40

37

No of Respondents

35 30 25 20

16

15 10

8

9

38-48

48-58

5

5 0 18-28

28-38

58-65

Age

Age of Respondents

6.67% 12.00% 18-28 28-38 10.67%

49.33%

38-48 48-58 58-65

21.33%

Data Collected The first criteria respondents were asked to indicate was the age group they belonged to. Respondents were asked to choose among five age group categories, viz., 18-28, 28-38, 38-48, 48-58 and 58-65 years. The age groups were identified as key factors impacting shopping and purchase decisions of consumers. Analysis From the table, bar graph and pie chart depicted above, the distribution of the population under study is evident. Of the 75 respondents who answered the questionnaire, 37 indicated that their ages fell in the category 18-28 years. This accounts for 49.33% of the respondents. Of the 75 respondents who answered the questionnaire, only 5 indicated that their ages fell in the category 58-65 years. This accounts for 6.67% of the respondents who fall in this age group. It is evident from the responses and the subsequent tabulation that, on an average, the respondents can be categorized in the following descending order of age groups: 18-28, 28-38, 48-58, 38-48, and 58-65. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at analyzing the distribution of ages of the population that visit the stores under study. The age groups laid before the respondent have been the result of observation and interview. By

analysing the responses to this question, we, the researchers, as well as companies, can identify the demographics of the population that visit retail outlets. The highest number of respondents falls in the age group 18-28. It can be deduced that most of the consumers who visit retail outlets regularly are the youth. They make up almost half of the population who shop at retail stores. The rest of the population who visit the retail outlets under study can be listed in the following descending order of distribution – the working age group, the older age group, the middle age group, and senior citizens. It is not surprising that the youth most frequent malls and retail stores. What is unexpected, however, is the fact that more people who fall into the older age group visit the retail stores than those who fall in the middle age group. Then again, this deduction cannot be applied to the entire population of Bangalore. The disparity can be attributed to the small size of the sample under study.

Q. 2) Gender of the respondents: Gender Male Female

Total 35 40 75

Percentage 46.67% 53.33% 100%

Gender of Respondents 41

40

No of Respondents

40 39 38 37 36 35

35

34 33 32 Male

Female

Gender of Respondents

Female 53.33%

Male 46.67%

Data Collected Consumers were asked to indicate their gender. The object of this question is to understand the demographics of the population under study. Analysis From the table, bar graph and pie chart depicted above, the distribution of the consumers is evident. Of the 75 respondents who answered the questionnaire, 40 were female. This accounts for 53.33% of the respondents, almost half of the population under study. Of the 75 respondents who answered the questionnaire, the rest 35 were male. This accounts for 46.67% of the population under study. It is evident from the responses and the subsequent tabulation that the number of female respondents was higher than that of the male respondents in the population under study. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at identifying the distribution between the two genders and how many of them visit the retail stores under study. By analysing the responses to this question, we, the researchers, as well as companies, can identify the distribution in the number of men and women who visit the retail outlets and appropriate decisions can be made keeping these numbers in mind.

The highest number of respondents were female, as is depicted by the graph and chart presented above. The number of male respondents was less compared to the female respondents. Two deductions can be made from the above data collected: one, more women visit retail outlets than men. Two, more women are willing to fill out questionnaires and take a survey than men. This can help the companies and researchers in undertaking future decisions and studies. Since more women can be inferred to visit retail stores than men, companies can target their offerings and marketing strategies in two areas. Retail outlets can appeal to the women customers by offering more products geared especially towards women. They can provide a shopping experience that women are particularly attracted to. Another way that retail chains can use the above data is to appeal to the men rather than the women. Since, fewer men visit retail stores as against women, the companies have a large base of potential customers. By providing products that are geared towards men and by providing a shopping experience that attracts men, the retail chains can expand their customer base.

Q. 3) How often do you shop? Frequency Once a week Fortnightly Once a month

Total 14 27 34 75

Percentage 18.67% 36.00% 45.33% 100%

How often do you shop? 40 34

No of Respondents

35 30

27

25 20 14

15 10 5 0

Once a week

Fortnightly

Once a month

Frequency

How often do you shop?

18.67%

Once a week

45.33%

Fortnightly Once a month 36.00%

Data Collected Consumers approached were asked about their frequency in visits to shops. The frequency points furnished were: Once a week, Fortnightly, and Once a month. These frequency points were identified by observation and interview as the average times that consumers shop. Analysis From the table, bar graph and pie chart depicted above, the frequency of shopping of the respondents is evident. Of the 75 respondents who answered the questionnaire, 34 indicated that they shopped once a month. This accounts for 45.33% of the respondents, who visit shops including retail stores once a month. Of the 75 respondents who answered the questionnaire, 14 indicated that they shopped once a week. This accounts for 18.67% of the respondents, who visit shops, malls or retail stores once every week. It is evident from the responses and the subsequent tabulation that, on an average, the frequency of shopping among the respondents can be listed in the following descending order: Once a month, Fortnightly, and Once a week. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding how frequently consumers visit shops and buy their products or avail of their services. The frequency points laid before the respondent have been the result of

observation and interview. By analysing the responses to this question, we, the researchers, as well as companies, can identify the number of times a customer is likely to shop in a month’s time. The highest responses have been attributed to once a month shopping. It can be deduced that consumers who shop only once a month look to buy groceries and other essentials to last them a month. Therefore, retail outlets have tough customers in those who shop once a month. Such customers look to buy in bulk. Moreover, such customers may not be open to experimenting with new stores. Hence, to capture this market, retail outlets must put in place strategies that attract them. Once they profess a liking to a certain store, they turn out to be very loyal customers. Consumers who shop once a week, on the other hand, pose very different challenges to retail stores. Such customers can be presumed to have a high disposable income and may buy more lifestyle or fashion products. Since they shop so frequently, they must continually be entertained and attracted to make repeat purchases at stores. When targeting this segment, companies must be able to get new stock every week, and update their marketing strategies continuously.

Q. 4) Which stores do you shop at frequently? Details Big Bazaar Shopper’s Stop Marks & Spencer Others

Total 23 21 13 18 75

Percentage 30.67% 28.00% 17.33% 24.00% 100%

Which stores do you shop at? 25

23 21

No of Respondents

20

18

15

13

10

5

0 Big Bazaar

Shopper’s Stop Marks & Spencer

Others

Stores

Which stores do you shop at?

24.00%

30.67% Big Bazaar Shopper’s Stop Marks & Spencer Others

17.33% 28.00%

Data Collected Consumers approached were asked which stores they shopped at frequently. The retail store brands placed before them were Big Bazaar, Shoppers’ Stop, Marks & Spencer, and others. These particular stores were chosen to examine the differences in shopping patterns among stores that cater to the high income group, middle income group and lower income group. Analysis From the table, bar graph and pie chart depicted above, the preference as regards the stores frequented is evident. Of the 75 respondents who answered the questionnaire, 23 indicated that they shopped frequently at Big Bazaar. This accounts for 30.67% of the respondents, who give preference to Big Bazaar. Of the 75 respondents who answered the questionnaire, 13 indicated that they shop frequently at Marks & Spencer. This accounts for 17.33% of the respondents, who prefer Marks & Spencer. In the ‘Others’ category provided, many respondents indicated that they shopped frequently at Central, Food World, Monday to Sunday, Namdhari’s, Fabmall/More, Westside, United Colours of Benetton, kirana stores etc. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at analyzing the preferences of consumers among the different stores. The stores under study have been

identified on the basis of the income groups they cater to. By analysing the responses to this question, we, the researchers, as well as companies, can identify customer preferences among the varied choices of stores, and can calculate how much market share they hold. The highest number of responses has been attributed to Big Bazaar. Big Bazaar attracts people of many income groups, and offers products that appeal to a wide array of consumers. The other stores can be ranked in descending order of preference or frequency of visits as: Shoppers’ Stop, Others, and Marks & Spencer. It can be deduced from the above figures that the category ‘Others’ was indicated by more number of respondents than those who indicated they frequent Marks & Spencer. This may be because Marks & Spencer targets only the elite classes in a city where a higher percentage of the population belong to the middle income group. In analyzing the other stores that consumers frequent, outlets such as Westside, Monday to Sunday, More, Central etc., featured. This indicates that more people frequent stores that cater to the middle income group. This is not to say that Marks & Spencer has no customer base. However, they may be unable to generate a high volume of repeat sales.

Q. 5) What do you mostly shop for at the above-mentioned store? Details Clothing Accessories Groceries Others

Total 33 12 25 3 75

Percentage 44.00% 16.00% 33.33% 4.00% 100%

What do you mostly shop for at the above-mentioned store?

4.00% Clothing 33.33%

44.00%

Accessories Groceries Others

16.00%

What do you mostly shop for at the abovementioned store?

No of Respondents

35

33

30

25

25 20 15

12

10 3

5 0 Clothing

Accessories

Groceries Items

Others

Data Collected Consumers approached were asked to indicate the types of products they mostly shopped for at the stores they had selected earlier. The types of products presented were Clothing, Accessories, Groceries and others. These products were identified by observation and interview as the most popular products that consumers shop for frequently. Analysis From the table, bar graph and pie chart depicted above, the products frequently shopped for by consumers is evident. Of the 75 respondents who answered the questionnaire, 33 indicated that they essentially shopped for clothing at the store they had indicated earlier. This accounts for 44.00% of the respondents. Of the 75 respondents who answered the questionnaire, only 3 indicated other products they frequently shop for at the stores indicated earlier. This accounts for 4.00% of the respondents, who gave importance to products such as home furnishings, books, and kitchen appliances. It is evident from the responses and the subsequent tabulation that consumers, on an average, frequently shop for products in the following descending order: Clothing, Groceries, Accessories, and Others. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at identifying the products

consumers shop for frequently at retail outlets. The product categories laid before the respondent are the result of observation and interview. By analysing the responses to this question, we, the researchers, as well as companies, can identify the main attractions of products and services offered. The high number of responses indicate that a large number of consumers visit retail outlets for clothes/dresses/apparel. Accoutrement is the hottest selling item that any retail outlet can provide. One-third of the respondents indicated that the visit retail outlets to purchase groceries. To the retail stores, the above tabulated responses lead to a very important result. Clothing is the fastest moving consumer good. Retail outlets that provide apparel can see a higher rate of turnover and sales volume. However, the above results cannot be assumed to be representative of the entire population of Bangalore city. The sample size consists of only 75 respondents, who were approached on a random basis as they visited the retail outlets.

Q. 6) Why do you shop at the above store? Factors Quality Fashion Affordability Variety All under one roof Brand name Service Store atmosphere Loyalty Proximity

Total 20 5 10 4 10 11 4 3 5 3 75

Percentage 26.67% 6.67% 13.33% 5.33% 13.33% 14.67% 5.33% 4.00% 6.67% 4.00% 100%

25 20 15 10 5 0

20

Loyalty, 6.67% Proximity, 4.00% Store atmosphere, 4.00% Quality, 26.67% Service, 5.33%

All under one roof, 13.33%

Fashion, 6.67%

Affordability, 13.33% Variety, 5.33%

ox

im

ity

lty

3

Pr

os at m e

St or

Why do you shop at the above store?

Lo ya

re ph e

rv

na an d Br

Se

m

e

of ro er on e

lu nd Al

Factors

Brand name, 14.67%

5

3

ice

4

ty rie Va

ab ilit

y

4

Af fo rd

Fa s

hi on

5

lity

11

10

10

Q ua

No of Respondents

Why do you shop at the above store?

Data Collected Consumers approached were asked an open-ended question to indicate the reasons they select a particular store to shop at as against any other retail outlet. Their responses were recorded and a broad idea of the factors that influence shopping and buying decisions was formed. Analysis The responses of the interviewees and consumers have been broadly categorised into 10 factors that they find impact their shopping decision and result in their choosing one store over another. From the table, bar graph and pie chart depicted above, the influencing factors are evident. The reasons include: Quality, Fashion, Affordability, Variety, All products under one roof, Brand name, Service, Store atmosphere, Loyalty, and Proximity. Of the 75 respondents who answered the questionnaire, 20 replied that quality of the products is generally the main reason they choose to shop at specific stores. This accounts for 26.67% of the respondents, who replied saying quality was the reason why they shopped at the store indicated earlier. Of the 75 respondents who answered the questionnaire, 3 answered that store atmosphere contributed to their shopping decision, while another 3 replied that proximity of the store played a big role. This accounts for 4.00% of the respondents, in each case.

Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at getting direct customer feedback as to the factors that influence their shopping decision. By analysing the responses to this question, we, the researchers, as well as companies, can identify the biggest factors that influence the consumers in favouring one store over others, direct from the horse’s mouth. If set in descending order of influence as indicated by the consumers, the factors can be listed as: Quality, Brand name, Affordability, All products under one roof, Fashion, Loyalty, Service, Variety, Proximity, and Store atmosphere. From the table, graph and chart depicted above, it is evident that customers give value to a great many number of factors when deciding which store to shop at. It would be prudent on the part of the company to identify their strong and weak areas, which attract or drive away customers to/from their stores.

Q. 7) Rank your preferences for shopping: Details Quality Brand Price Store layout Proximity One-stop shop

Total 23 11 16 6 5 14 75

Percentage 30.67% 14.67% 21.33% 8.00% 6.67% 18.66% 100%

Preferences for Shopping 14

Preferences

One-stop shop 5

Proximity

6

Store layout

16

Price 11

Brand

23

Quality 0

5

10

15

20

No of Respondents

Preferences for Shopping

One-stop shop, 18.66% Proximity, 6.67%

Quality, 30.67%

Store layout, 8.00% Price, 21.33%

Brand, 14.67%

25

Data Collected Consumers approached were asked to rank their preferences on a scale of 1 to 6 of their preferences when choosing to shop at particular stores. The preference points placed before them were ‘Quality, ‘Brand’, ‘Price’, ‘Store Layout’, ‘Proximity’, ‘One-stop shop’. These preference points were identified by observation and interview as the most popular reasons that beget the attraction of consumers and act as inducements to shop at particular stores. Analysis From the table, bar graph and pie chart depicted above, the preference points of consumers is evident. Of the 75 respondents who answered the questionnaire, 23 give first importance to quality when choosing which store to shop at. This accounts for 30.67% of the respondents, who gave rank #1 to ‘Quality’. Of the 75 respondents who answered the questionnaire, only 5 gave first importance to proximity of the store when choosing where to shop at. This accounts for 6.67% of the respondents, who gave rank #1 to ‘Proximity’. It is evident from the responses and the subsequent tabulation that consumers, on an average, rank the preference points in the following descending order of attraction: Quality, Price, and One-stop shop, Brand, Store Layout, and Proximity.

Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding what elements attract the consumer the most. The preference points laid before the respondent have been the result of observation and interview. By analysing the responses to this question, we, the researchers, as well as companies, can identify the biggest factors that influence the consumers in favouring one store over others. The highest responses and the highest ranking have been attributed to quality of the products on sale. When choosing to shop at a particular store, or when favouring one store over the others, it is seen that most consumers make this decision based on the quality of the products on offer. The next criteria that influence the consumers in favouring a particular store over others are (in descending order) – Price, One-stop shop, Brand, Store layout, and Proximity. Although it is said that the most important things in retail are “Location, location, and location”, from the consumers’ point of view, proximity is of little concern. The quality, price and variety of goods play big roles in the decision making process.

Q. 8) Do advertisement and promotion influence your shopping decision?

Details Yes No

Total 33 42 75

Percentage 44.00% 56.00% 100%

Do advertisement and promotion influence your shopping decision?

60

0

42

33

40 No of Respondents 20

Total Yes

No

Do advertisement and promotion influence your shopping decision?

No 56.00%

Yes 44.00%

Data Collected Consumers approached were asked if advertisements and promotional activities influence their shopping decisions. This question was answered by 75 consumers. Advertisements refer to those that appear in any/all types of media. Promotional activities refer to sales, coupons, gifts, free products etc. Analysis From the table, bar graph and pie chart depicted above, the influence of advertisements and promotions on the psyche of consumers is evident. Of the 75

respondents

who

answered

the

questionnaire,

42

replied

that

advertisements have little or no effect when deciding where to shop at. This accounts for 56.00% of the respondents, who indicated the choice ‘No’. Of the 75 respondents who answered the questionnaire, 33 replied that advertisements and promotional activities do affect their decision when favouring one store over others. This accounts for 44.00% of the respondents, who indicated the choice ‘Yes’. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding the effect of advertisements and promotional activities on the psyche of the consumers. The object is also to analyze how far advertisements, promotions and other marketing strategies have an impact on the shopping and buying behaviour of consumers. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effect of advertising and marketing

campaigns on the consumers’ minds and how far advertisements translate into sales. From the tabulated data depicted above and responses of the consumers, it is evident that a slightly higher number of respondents do not give much importance to advertisements and promotional activities. The number of respondents who indicated that advertisements and promotional activities do have an impact on their shopping decisions was slightly lesser. This indicates that although most consumers are aware of the advertisements and promotional campaigns, a slightly higher percentage of consumers are not swayed by the marketing strategies instituted by the companies. This is not, however, to say that advertisements and promotional activities have no bearing on the minds of the consumers at all. The responses only indicate that advertisements serve to keep the brand in retention although they do not guarantee sales. The products sold at the stores have the biggest impact on attracting and retaining customers.

Q. 9) Which form of advertisement do you think is most effective?

Details Print TV Radio

Total 28 40 7 75

Percentage 37.33% 53.33% 9.34% 100%

Which form of advertisement do you think is most effective? 40 35 30 25 No of 20 Respondents 15 10 5 0

40 28

7

Print

TV

Radio

Promotion by

Which form of advertisement do you think is most effective?

Radio 9.34%

Print 37.33%

TV 53.33%

Data Collected Consumers approached were asked which form of advertisement they thought was most effective. This question was answered by 75 consumers. The methods of advertising were restricted to three – Television, Print and Radio. The options laid before the respondents were the result of observation and interview as being the most popular which the consumers identify as means of advertising. Analysis From the table, bar graph and pie chart depicted above, the effectiveness of the various modes of advertising on the psyche of consumers is evident. Of the 75 respondents who answered the questionnaire, 40 indicated that the television is the most effective means of advertising for a store. This accounts for 53.33% of the respondents, who indicated the choice ‘TV’. Of the 75 respondents who answered the questionnaire, only 7 indicated that the radio is an effective means in advertising to the consumers. This accounts for 9.34% of the respondents, who indicated the choice ‘Radio’. It is evident from the graph and chart presented above that, in the minds of the consumers, the effectiveness of the three kinds of media are classified as follows (in the descending order): Television, Print, and Radio. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding the

effectiveness of the three means of advertising. The object is also to analyze how far advertisements broadcast through these media percolate into the minds of the consumers. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effectiveness of advertisements through the media identified. This helps to understand which media is more influential and attracts more sales. From the tabulated data depicted above and responses of the consumers, it is evident that the majority of the respondents feel that television advertising is the most effective means of advertising. This is indicative in spite of large number of commercials that the public is bombarded with. The respondents give very little credit to radio advertisements. This is indicative of the fact that most of the public ignore radio advertisements or else that radio advertising does not translate into sales. Thus, it can be surmised that when advertising, more effective media to reach the consumer and persuade them to buy are the television and print media, more so than radio advertising.

Q. 10) Indicate your satisfaction level based on the given parameters for the following stores:

Stores Big Bazaar Shopper’s Stop Marks & Spencer

Unsatisfied

Satisfied

Highly Satisfied Total %

Never Visited Total %

Total

%

Total

%

20

26.67%

43

57.33%

10

13.33%

2

9

12.00%

48

64.00%

18

24.00%

11

14.67%

41

54.67%

17

22.67%

Total

%

2.67%

75

100%

0

0%

75

100%

6

8.00%

75

100%

Satisfaction Levels 100% 90%

2 10

0

6

18 17

80%

Never Visited

70% 60%

43

50%

Highly Satisfied

48

41

40%

Satisfied

30% 20%

20

10%

9

11

0% Big Bazaar

Shopper's Stop

Stores

Marks & Spencer

Total

Unsatisfied

Data Collected Consumers approached were asked about their satisfaction with the three stores covered in this study. This question was answered by 75 consumers. The three stores are Big Bazaar, Shopper’s Stop, and Marks & Spencer. The satisfaction scale comprised of four ranks – Unsatisfied, Satisfied, Highly Satisfied and Never Visited. Analysis From the table, bar graph and pie chart depicted above, satisfaction levels with the three stores are evident. Of the 75 respondents who answered the questionnaire, 43 indicated a satisfactory response towards Big Bazaar, and 2 had not visited the store. Of the 75 respondents who answered the questionnaire, 48 indicated a satisfactory response towards Shopper’s Stop, 18 were highly satisfied, and 9 were unsatisfied. It is evident from the graph and chart presented above that of the 75 respondents, 41 indicated a satisfactory response towards Marks & Spencer, 17 were highly satisfied, while 6 had not visited the store. Interpretation Of the consumers approached, 75 people agreed to fill in the questionnaire and this specific question. This question is aimed at understanding the satisfaction levels of the consumers with the three stores under study – Big Bazaar, Shopper’s Stop, and Marks & Spencer. The object is also to analyze how far

the marketing strategies, brand image, advertisements, layout, quality etc., contribute towards consumer perception and satisfaction. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effectiveness of advertisements, location, brand, price, promotion, product variety etc., on the target consumers. This helps to understand the current consumer perception of the three stores identified and the corresponding satisfaction levels. From the tabulated data depicted above and responses of the consumers, it is evident that a good number of target consumers are satisfied with the stores at large. However, there are those who are unsatisfied or who have never visited the store at all. Such consumers form the potential market that the companies must strive to attract. There are also quite a few respondents who were highly satisfied with the retail chains. It is imperative for the stores to find out why this is so. They can modify and apply the same attractions towards the consumers who are less satisfied. The above table and graph give a worm’s eye-view of the consumer perception of the three stores. This can help the marketers understand how effective their strategies have been.

Satisfaction Levels with Big Bazaar

Highly Satisfied, 13.33%

Never Visited, 2.67% Unsatisfied, 26.67%

Satisfied, 57.33%

Analysis From the pie chart depicted above, satisfaction levels with Big Bazaar are evident. Of the 75 consumers who answered this question, 57.33% indicate that they are satisfied with Big Bazaar. Of the 75 respondents, who indicated their satisfaction levels with Big Bazaar, 26.67% indicated that they are unsatisfied with Big Bazaar. Of the total number of respondents, 13.33% indicated that they were highly satisfied with Big Bazaar. And 2.67% indicated that they had not visited the store up to the date of filling in this questionnaire. Interpretation Of the consumers approached, 75 agreed to fill in the questionnaire and answer the above question. The aim of this question is to understand the level of satisfaction that consumers feel with regards to the retail chain Big Bazaar.

As is evident from the pie chart presented above, a little more than half of the respondents indicated that they are satisfied with Big Bazaar, while almost one-eighth indicated that they are highly satisfied with the store. However, almost one-fourth of the number of respondents indicated that they were unsatisfied with Big Bazaar. This goes to show that although Big Bazaar may have an overall goodwill from the consumers, there are still some things that they are not doing right. Big Bazaar must identify exactly what the problem areas are and must address them quickly and swiftly. The above pie chart shows that almost 30% of the respondents fall into the category of potential customers. Big Bazaar must take effective steps to attract these consumers.

Satisfaction Levels with Shopper's Stop Highly Satisfied, 24.00%

Never Visited, 0%

Unsatisfied, 12.00%

Satisfied, 64.00%

Analysis From the pie chart depicted above, satisfaction levels with Shopper’s Stop are evident. Of the 75 consumers who answered this question, 64.00% indicate that they are satisfied with Shopper’s Stop. Of the 75 respondents, who indicated their satisfaction levels with Shopper’s Stop, 24.00% indicated that they are unsatisfied with Shopper’s Stop. Of the total number of respondents, 12.00% indicated that they are highly satisfied with Shopper’s Stop. And there were no respondents who had not visited the store. Interpretation Of the consumers approached, 75 agreed to fill in the questionnaire and answer the above question. The aim of this question is to understand the level of satisfaction that consumers feel with regards to the retail chain Shopper’s Stop.

As is evident from the pie chart presented above, almost two-thirds of the number of respondents indicated that they are satisfied with Shopper’s Stop, while more than one-fourth indicated that they are highly satisfied with the store. However, almost one-eighth of the number of respondents indicated that they were unsatisfied with Shopper’s Stop. This goes to show that Shopper’s Stop is doing many things right. It seems to enjoy a reasonable amount of goodwill. The marketing strategies, advertisements, promotions, quality, pricing, product variety etc., seem to be very appealing and also translate into sales and repeat purchases. The above pie chart shows that 12% of the numbers of respondents, however, are unsatisfied with the store. They form the potential consumers market for Shopper’s Stop.

Satisfaction Levels with Marks & Spencer Never Visited, 8.00%

Unsatisfied, 14.67%

Highly Satisfied, 22.67%

Satisfied, 54.67%

Analysis From the pie chart depicted above, satisfaction levels with Marks & Spencer are evident. Of the 75 consumers who answered this question, 54.67% indicate that they are satisfied with Marks & Spencer. Of the 75 respondents, who indicated their satisfaction levels with Marks & Spencer, 14.67% indicated that they are unsatisfied with Marks & Spencer. Of the total number of respondents, 22.67% indicated that they are highly satisfied with Marks & Spencer. And 8.00% of the number of respondents indicated that they had not visited the store up to the date of filling in this questionnaire. Interpretation Of the consumers approached, 75 agreed to fill in the questionnaire and answer the above question. The aim of this question is to understand the level

of satisfaction that consumers feel with regards to the retail chain Marks & Spencer. As is evident from the pie chart presented above, more than half of the number of respondents indicated that they are satisfied with Marks & Spencer, while almost one-fourth indicated that they are highly satisfied with the store. However, almost one-seventh of the number of respondents indicated that they were unsatisfied with Marks & Spencer. This goes to show that although Marks & Spencer may have an overall goodwill from the consumers, there are still some things that they are not doing right. Marks & Spencer must identify exactly what the problem areas are and must address them effectively and efficiently. The above pie chart shows that almost 20% of the respondents fall into the category of potential customers. Marks & Spencer must take effective steps to attract these consumers.

FINDINGS AND SUGGESTIONS In the surveys, interviews and study conducted above, we came across many factors that influence the consumers’ perception of a store and their subsequent shopping and buying decisions. Here, we present the findings gathered and the suggestions we offer to companies based on the data gathered and analyzed. Respondents were asked to choose among five age group categories, viz., 1828, 28-38, 38-48, 48-58 and 58-65 years. The age groups were identified as key factors impacting shopping and purchase decisions of consumers. By analysing the responses to this question, we, the researchers, as well as companies, can identify the demographics of the population that visit retail outlets. The highest number of respondents falls in the age group 18-28. It can be deduced that most of the consumers who visit retail outlets regularly are the youth. The rest of the population who visit the retail outlets under study can be listed in the following descending order of distribution – the working age group, the older age group, the middle age group, and senior citizens. It is not surprising that the youth most frequent malls and retail stores. What is unexpected, however, is the fact that more people who fall into the older age group visit the retail stores than those who fall in the middle age group. Then

again, this deduction cannot be applied to the entire population of Bangalore. The disparity can be attributed to the small size of the sample under study. Consumers were also asked to indicate their gender. The object of this question is to understand the demographics of the population under study. By analysing the responses to this question, we, the researchers, as well as companies, can identify the distribution in the number of men and women who visit the retail outlets and appropriate decisions can be made keeping these numbers in mind. The highest number of respondents were female, as is depicted by the graph and chart presented above. The number of male respondents was less compared to the female respondents. Two deductions can be made from the above data collected: one, more women visit retail outlets than men. Two, more women are willing to fill out questionnaires and take a survey than men. This can help the companies and researchers in undertaking future decisions and studies. Since more women can be inferred to visit retail stores than men, companies can target their offerings and marketing strategies in two areas. Retail outlets can appeal to the women customers by offering more products geared especially towards women. They can provide a shopping experience that women are particularly attracted to.

Another way that retail chains can use the above data is to appeal to the men rather than the women. Since, fewer men visit retail stores as against women, the companies have a large base of potential customers. By providing products that are geared towards men and by providing a shopping experience that attracts men, the retail chains can expand their customer base. Consumers approached were asked about their frequency in visits to shops. The frequency points furnished were: Once a week, Fortnightly, and Once a month. By analysing the responses to this question, we, the researchers, as well as companies, can identify the number of times a customer is likely to shop in a month’s time. The highest responses have been attributed to once a month shopping. It can be deduced that consumers who shop only once a month look to buy groceries and other essentials to last them a month. Therefore, retail outlets have tough customers in those who shop once a month. Such customers look to buy in bulk. Moreover, such customers may not be open to experimenting with new stores. Hence, to capture this market, retail outlets must put in place strategies that attract them. Once they profess a liking to a certain store, they turn out to be very loyal customers. Consumers who shop once a week, on the other hand, pose very different challenges to retail stores. Such customers can be presumed to have a high disposable income and may buy more lifestyle or fashion products. Since they shop so frequently, they must continually be entertained and attracted to make repeat purchases at stores. When targeting this segment, companies must be

able to get new stock every week, and update their marketing strategies continuously. Consumers approached were asked which stores they shopped at frequently. The retail store brands placed before them were Big Bazaar, Shoppers’ Stop, Marks & Spencer, and others. By analysing the responses to this question, we, the researchers, as well as companies, can identify customer preferences among the varied choices of stores, and can calculate how much market share they hold. The highest number of responses has been attributed to Big Bazaar. Big Bazaar attracts people of many income groups, and offers products that appeal to a wide array of consumers. The other stores can be ranked in descending order of preference or frequency of visits as: Shoppers’ Stop, Others, and Marks & Spencer. It can be deduced from the above figures that the category ‘Others’ was indicated by more number of respondents than those who indicated they frequent Marks & Spencer. This may be because Marks & Spencer targets only the elite classes in a city where a higher percentage of the population belong to the middle income group. In analyzing the other stores that consumers frequent, outlets such as Westside, Monday to Sunday, More, Central etc., featured. This indicates that more people frequent stores that cater to the middle income group. This is not

to say that Marks & Spencer has no customer base. However, they may be unable to generate a high volume of repeat sales. Consumers approached were asked to indicate the types of products they mostly shopped for at the stores they had selected earlier. The types of products presented were Clothing, Accessories, Groceries and others. By analysing the responses to this question, we, the researchers, as well as companies, can identify the main attractions of products and services offered. The high number of responses indicate that a large number of consumers visit retail outlets for clothes/dresses/apparel. Accoutrement is the hottest selling item that any retail outlet can provide. One-third of the respondents indicated that the visit retail outlets to purchase groceries. To the retail stores, the above tabulated responses lead to a very important result. Clothing is the fastest moving consumer good. Retail outlets that provide apparel can see a higher rate of turnover and sales volume. However, the above results cannot be assumed to be representative of the entire population of Bangalore city. The sample size consists of only 75 respondents, who were approached on a random basis as they visited the retail outlets. Consumers approached were asked an open-ended question to indicate the reasons they select a particular store to shop at as against any other retail outlet. By analysing the responses to this question, we, the researchers, as well

as companies, can identify the biggest factors that influence the consumers in favouring one store over others, direct from the horse’s mouth. If set in descending order of influence as indicated by the consumers, the factors can be listed as: Quality, Brand name, Affordability, All products under one roof, Fashion, Loyalty, Service, Variety, Proximity, and Store atmosphere. From the table, graph and chart depicted above, it is evident that customers give value to a great many number of factors when deciding which store to shop at. It would be prudent on the part of the company to identify their strong and weak areas, which attract or drive away customers to/from their stores. Consumers approached were asked to rank their preferences on a scale of 1 to 6 of their preferences when choosing to shop at particular stores. The preference points placed before them were ‘Quality, ‘Brand’, ‘Price’, ‘Store Layout’, ‘Proximity’, ‘One-stop shop’. By analysing the responses to this question, we, the researchers, as well as companies, can identify the biggest factors that influence the consumers in favouring one store over others. The highest responses and the highest ranking have been attributed to quality of the products on sale. When choosing to shop at a particular store, or when favouring one store over the others, it is seen that most consumers make this decision based on the quality of the products on offer.

The next criteria that influence the consumers in favouring a particular store over others are (in descending order) – Price, One-stop shop, Brand, Store layout, and Proximity. Although it is said that the most important things in retail are “Location, location, and location”, from the consumers’ point of view, proximity is of little concern. The quality, price and variety of goods play big roles in the decision making process. Consumers approached were asked if advertisements and promotional activities influence their shopping decisions. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effect of advertising and marketing campaigns on the consumers’ minds and how far advertisements translate into sales. From the tabulated data depicted above and responses of the consumers, it is evident that a slightly higher number of respondents do not give much importance to advertisements and promotional activities. The number of respondents who indicated that advertisements and promotional activities do have an impact on their shopping decisions was slightly lesser. This indicates that although most consumers are aware of the advertisements and promotional campaigns, a slightly higher percentage of consumers are not swayed by the marketing strategies instituted by the companies.

This is not, however, to say that advertisements and promotional activities have no bearing on the minds of the consumers at all. The responses only indicate that advertisements serve to keep the brand in retention although they do not guarantee sales. The products sold at the stores have the biggest impact on attracting and retaining customers. Consumers approached were asked which form of advertisement they thought was most effective. The methods of advertising were restricted to three – Television, Print and Radio. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effectiveness of advertisements through the media identified. From the tabulated data depicted above and responses of the consumers, it is evident that the majority of the respondents feel that television advertising is the most effective means of advertising. This is indicative in spite of large number of commercials that the public is bombarded with. The respondents give very little credit to radio advertisements. This is indicative of the fact that most of the public ignore radio advertisements or else that radio advertising does not translate into sales. Thus, it can be surmised that when advertising, more effective media to reach the consumer and persuade them to buy are the television and print media, more so than radio advertising.

Consumers approached were asked about their satisfaction with the three stores covered in this study. The three stores are Big Bazaar, Shopper’s Stop, and Marks & Spencer. The satisfaction scale comprised of four ranks – Unsatisfied, Satisfied, Highly Satisfied and Never Visited. The object is also to analyze how far the marketing strategies, brand image, advertisements, layout, quality etc., contribute towards consumer perception and satisfaction. By analysing the responses to this question, we, the researchers, as well as companies, can identify the effectiveness of advertisements, location, brand, price, promotion, product variety etc., on the target consumers. This helps to understand the current consumer perception of the three stores identified and the corresponding satisfaction levels. From the tabulated data depicted above and responses of the consumers, it is evident that a good number of target consumers are satisfied with the stores at large. However, there are those who are unsatisfied or who have never visited the store at all. Such consumers form the potential market that the companies must strive to attract. There are also quite a few respondents who were highly satisfied with the retail chains. It is imperative for the stores to find out why this is so. They can modify and apply the same attractions towards the consumers who are less satisfied.

The above table and graph give a worm’s eye-view of the consumer perception of the three stores. This can help the marketers understand how effective their strategies have been. A little more than half of the respondents indicated that they are satisfied with Big Bazaar, while almost one-eighth indicated that they are highly satisfied with the store. However, almost one-fourth of the number of respondents indicated that they were unsatisfied with Big Bazaar. This goes to show that although Big Bazaar may have an overall goodwill from the consumers, there are still some things that they are not doing right. Big Bazaar must identify exactly what the problem areas are and must address them quickly and swiftly. The above pie chart shows that almost 30% of the respondents fall into the category of potential customers. Big Bazaar must take effective steps to attract these consumers. Almost two-thirds of the number of respondents indicated that they are satisfied with Shopper’s Stop, while more than one-fourth indicated that they are highly satisfied with the store. However, almost one-eighth of the number of respondents indicated that they were unsatisfied with Shopper’s Stop. This goes to show that Shopper’s Stop is doing many things right. It seems to enjoy a reasonable amount of goodwill. The marketing strategies,

advertisements, promotions, quality, pricing, product variety etc., seem to be very appealing and also translate into sales and repeat purchases. The above pie chart shows that 12% of the numbers of respondents, however, are unsatisfied with the store. They form the potential consumers market for Shopper’s Stop. More than half of the number of respondents indicated that they are satisfied with Marks & Spencer, while almost one-fourth indicated that they are highly satisfied with the store. However, almost one-seventh of the number of respondents indicated that they were unsatisfied with Marks & Spencer. This goes to show that although Marks & Spencer may have an overall goodwill from the consumers, there are still some things that they are not doing right. Marks & Spencer must identify exactly what the problem areas are and must address them effectively and efficiently. The above pie chart shows that almost 20% of the respondents fall into the category of potential customers. Marks & Spencer must take effective steps to attract these consumers.

RECOMMENDATIONS AND CONCLUSION BIG BAZAAR Pros 1. Variety: Big Bazaar offers a wide variety of products of different prices

and different qualities satisfying most of its customers. 2. Quality: Providing quality at low prices and having different types of

products for different income customers is another advantage. 3. Price: As noted the prices and offers in Big Bazaar have been one of the

main attractions and reasons for its popularity. The price ranges and the products offered are very satisfying to the customers. 4. Location: The location of Big Bazaar has been mainly in the heart of the

city or in the out skirts giving a chance to both the City and the people living outside the city to shop. 5. Advertisements: Big bazaar has endorsed very popular figure like M S

Dhoni and other famous personalities which has attracted a lot of customers. This has resulted in increase of sale and the outdoor advertising techniques have also helped Big Bazaar. 6. Middle class appeal: Considering the fact that there are a lot middle

class families in India, Big bazaar has had a huge impact on the middle

class section of India, the prices, quality and sales strategy has helped in getting the middle income groups getting attracted towards Big Bazaar. 7. Attractive sales: Big bazaar has been known for its great sale and great

offers. Big bazaar has had long lines of people waiting to get into the store for the sale. Therefore, the sales that Big Bazaar has had has increased sales in a huge way due to the sales and offers, thus this has been one of the main advantages of Big Bazaar. Disadvantages 1. Store layout: The store layout and the assortment of goods is not the

best at Big Bazaar, as the quantity of goods sold is more the arrangement and assortment of goods in the store is the greatest. Hence at times customers find it hard to find what they require, this leads to dissatisfaction of customers. 2. Lower quality of goods: As Big bazaar aims more toward the middle

income group, the quality of goods is not of the highest quality, and this is sometimes a disadvantage as some would prefer better quality to the price, making customers to search for different places. 3. Does not appeal to the elite: As mentioned above, the main customers

are middle income and a few high income groups, The elite do not like to shop at Big Bazaar as the quality of goods is lower and they would prefer a higher price and get a better brand, this decreases sales from the elite class

4. Not acclaimed for very good service: Big Bazaar is not known for high

class service. The staff recruited is not very well trained and the billing queues take a long time to move, this irritates customers which makes them visit the store more seldom 5. Lower quality of goods: As the sore is trying to concentrate on the

middle income group the type of products used is not of the most superior quality and most of the times nor branded, this may dissatisfy certain customers 6. Consumer satisfaction: Long queues and lower quality leads to

dissatisfaction of customers. Due to factors mentioned above Big Bazaar shoppers are not always satisfied, this is not a positive for the store.

SHOPPERS’ STOP Pros 1. Variety: The variety of goods and products at shoppers stop is like a one

stop shop for customers. It provides household products and other products like apparels etc. This attracts customers 2. Layout: Shoppers’ Stop provides ease of shopping by providing them

with a very clear store layout which is an essential element in attracting customers as it pleases them. 3. Ambience: Shoppers’ Stop has a very pleasing ambience which helps in

shopping, the colours, lights and others help in encouraging customers in shopping. 4. Brand Awareness: Shoppers’ Stop has a high level of brand awareness

among customers in and around the city. It is a popular store, this helps in attracting customers as publicity by person to person by word of mouth helps Shoppers’ stop in getting more customers. 5. High Income Groups: Shoppers’ Stop attracts mainly the high income

group although it attracts the middle income group as well but not as much as the high income group

Disadvantages 1. Expensive: Shoppers’ Stop has a label which is tagged in the minds of

customers that it is expensive and therefore this affects the sale of goods in the store. 2. Less Advertisement: Shoppers’ Stop is not known much for their

advertisements and the advertisements done are very less as well. This does not attract more customers to the store. 3. Very few outlets: Shoppers’ Stop is not spread all over the city and

hence this causes a problem for customers to travel far distances to get to the store and hence they find alternatives. 4. Less Attraction: The attraction in shoppers stop is less compared to

other stores, i.e., the sales and offers are lesser and as the store attracts people with higher incomes the number of sales per year is lesser this does not attract other customers 5. Location: The location of the stores are not in the main areas making it

difficult for the customers to find the store, location of the store plays a huge role as the customers would like the store to be a/in a convenient place for them to reach it with more comfort. 6. Loss on middle income groups: The store loses out on the middle

income group which is more dominant in India, with lesser or reduced prices the middle income group can be attracted.

MARKS & SPENCER Pros 1. Quality: Marks and Spencer is known for its quality products. Therefore

their main advantage is that their image in the view of the customer is a store with very good quality. 2. Loyalty: People are loyal to the store as they are highly satisfied with

the quality and they have an assurance from the store for their continued supply of quality products 3. Location: Marks and Spencer is mostly located near the residential areas

or sometimes the commercial areas. This helps the customers to get to the store quickly and hence provides convenience to the customers giving the customers a positive image about the store. 4. High Income: Marks and Spencer attracts the higher income group, the

profit is higher as the customers are ready to spend more for better products 5. Layout: Marks and Spencer have a very good layout for the store and

this gives chance for the customers to get a proper look at the store and help them locate their needs with ease, this makes customers happy.

Disadvantages 1. Expensive: Marks and Spencer is a high end store proving to be a little

more expensive when compares to other stores. This makes people hesitant to go to the store. 2. Competition: Marks and Spencer receive very high competition from

stores like Reliance Fresh, Food World, Fab mall and others. Customers would prefer buying the same product at a cheaper price. Thus the competition is very high. 3. No middle income customers: The middle income groups would prefer

other stores as Marks and Spencer is proven to be an expensive store, middle income customers will try and find alternatives and save money. 4. Lesser Goods: Marks and Spencer do not have a huge variety or

assortment of goods/products, though they deal with groceries and products which are similar, there is lesser variety and customers prefer more variety. 5. Fewer Branches: As Marks and Spencer is still growing there are fewer

branches around, this is a reason for lesser sale as customers would not want to travel long distances to find the store, they would find alternatives instead. 6. Less Advertisement: Marks and Spencer have do not have an ad

campaign or have very little advertising. This leads to lesser

information of the store, thus sales and profits would depend and fluctuate on the level of advertisement and information given to the public. 7. No Offers or sales: Marks and Spencer rarely has sales or offers. This

does not attract customers. Thus as a result of no sales and offers when compared to other stores the sales are lesser proving to be a disadvantage to the store.