Ajit Singh Final Report

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Page | 1 ,IBS Hyderabad

A REPORT

ON

IMPROVEMENT IN PRODUCTIVITY OF STORE OPERATIONS IN

FOODBAZAAR

By

AJIT SINGH

(11BSPHH010059)

FUTURE VALUE RETAIL LIMITED (FOOD BAZAAR)

12-13-96, 5TH

FLOOR SAADAT PLAZA

NEAR FLYOVER, TARNAKA

HYDERABAD-500017


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A REPORT

ON

IMPROVEMENT IN PRODUCTIVITY OF STORE OPERATIONS IN

FOODBAZAAR

A report submitted in the partial fulfilment of the requirements of MBA

Program of IBS Hyderabad

Faculty Guide: Prof. A Srikanth (Marketing & Strategy, IBS Hyderabad)

Company Guide: Mr. Vasant Mohan (Sr. Executive, Future Value Retail)

DATE:4thJune 2010 AJIT SINGH

(11BSPHH010059)


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uthorization

This is to certify that Mr. Ajit Singh , Enrolment

No.11BSPHH010059 has done his Summer internship at Future

Value Retail L imited (Food Bazaar) , Regional Off ice and has

submitted this project report entitled Improvement in Productivityof Store Operations in Food Bazaar towards partial fulfilment of

the requirement of the Two Year MBA Program (2011-13) at IBS,

Hyderabad.

This Report is the result of his own work and to the best of myknowledge, no part of it has earlier been comprised in any other,

monograph, dissertation or book. This project is carried out under

my overall supervision.

DATE: 4thJune 2010 Mr. Vasant Mohan

PLACE: Hyderabad Company Guide


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ACKNOWLEDGEMENTS

I acknowledge gratefully my indebtedness to my Company Guide Mr. Vasant Mohan, for his

patient help, valuable suggestions, encouragement and guidance at every stage of my work,

which enabled me to complete the internship in its present form.

I would also like to thank the Mr. Rajeev Sharma(Regional Branch Manager) and marketing

team for their valuable insights and knowledge that they shared with me and helped me

gain a lot of practical exposure.

Additionally, I am grateful to all the employees of Future Value Retail for helping me

throughout this project by providing help and a congenial work environment, which was a

catalyst for a great learning experience.

I also wish to thank my Faculty Guide Prof A. Srikanthfor providing his expert guidance, vital

inputs and support throughout the project.

I wish to express my gratitude to my friends for their constant encouragement and support.

Finally I would like to thank all the people who gave their precious time to respond to the

questionnaires and hence helped me gaining valuable information and complete the survey

successfully.


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TABLE OF CONTENTS

I. Authorization....................................................................................3II. Acknowledgment...............................................................................4

III. Executive Summary............................................................................7

CHAPTER-1 (INTRODUCTION)

1.1Introduction................................................................................81.2Objective of the Study.................................................................91.3Methodology...............................................................................101.4Literature Review........................................................................111.5Limitations of the Study..............................................................12

CHAPTER-2 (INDUSTRY OVERVIEW)

2.1Introduction................................................................................132.2Structure.....................................................................................142.3Growth Drivers............................................................................192.4Key Challenges.............................................................................222.5SWOT Analysis.............................................................................25

CHAPTER-3 (COMPANY OVERVIEW)

3.1Introduction.................................................................................273.2Vision and Mission.......................................................................303.3Core Values..................................................................................313.4Food Bazaar and its Format.........................................................323.5SWOT Analysis.............................................................................363.6Afflicted Companies.....................................................................37


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CHAPTER-4 (OPERATIONS IN FOOD BAZAAR)

4.1General Operations.....................................................................404.2Departments in Food Bazaar.......................................................44

CHAPTER-5 (PROJECT)

5.1Phase- FIRST................................................................................455.2Phase- SECOND...........................................................................585.3Phase- THIRD...............................................................................62

CHAPTER-6 (SUGGESTIONS)

6.1Findings and Conclusion..............................................................746.2Recommendations.......................................................................756.3References...................................................................................766.4Annexure......................................................................................77


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EXECUTIVE SUMMARY

Indian retail sector is going through most intense activities of all times. All the

players in the market are fighting for the share and to gain customers loyalty.

Everyone is trying to gain the largest market share. In such a scenario the

marketing activities becomes an essential part of any Retail business. The

operational efficiency also plays an important part in the business. The balance

between the demand and supply with maximum utilization of the resources is

the essential part of todays scenario.

Big Bazaar the leader in the retail business in Indian Retail Industry has unique

marketing and operational techniques since its inception that helps to

maintain its leadership in the market and increases its sales. The direct

marketing channels like Direct Mail, SMS blast, In-store and Store-Front

activities, Events, etc. to establish the direct communication with the

customers.

PHASE 1 : ACTIVITY SCHEDULESActivity schedules of the team members, team leaders and department

managers were collected during the first phase of the project.

PHASE 2: OBSERVATION RESEARCHThe various findings and observations were done in the Food Bazaar.

Also did findings as mystery shopper in all the four sub departments of the

food bazaar. To know better about the food bazaar from consumers pointof view.

PHASE 3: SURVEY THROUGH QUESTIONNAIRETo get customers response for about Food Bazaar through primary data

survey. Sample size of 500 was taken from all the food bazaar outlets.

Various findings and suggestions were taken from the consumers which

can be implemented to better the service.


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CHAPTER 1

1.1. INTRODUCTION:Retail Industry is one of the fastest growing industries. It is one of the sectors

which are highly unorganized in nature. Due to the structure and format of the

retail industry, it is the most challenging sectors in the world. Retail industry

deals with the relationships of customer satisfaction, customer loyalty and

profitability. Retailing means direct selling to the customers and giving better

services to the customer. Retail is a global business. Global Retail Industry is

fastest expanding industry. The Global Retail Industry has travelled a long way

from a very small beginning to a global industry worldwide. The world retail

sales stand at value $7 trillion. The top 200 retailers alone stand 30%

worldwide. The retail industry is driven by peoples ability to buy and spent the

money. The global leader in the retail industry is Walmart in USA.

One of the main factors for the development of retail industry is the rising

incomes and improvements in infrastructure. Shift in customers demand

towards brands is also one of the main factors. The internet revolution is also

playing a vital role, which is making the consumer accessible about the

influence of growing retail chains.

The Indian retail industry is divided into organised and unorganised. Indias

retail industry is wearing new clothes with a growth rate of 47 percent. It is the

fastest growing sector in Indian economy. It is the second largest source of

employment in private sector and has deep penetrating into rural India. The

last few years has been very profitable for the retail industry in India. The key

factors can be changing consumer profile, demographics, and increase in

number of international brand in India. The various implications implied by

Government of India increasing urbanization, increasing in the credit

availability, helping in creating the world class environment for the customers.

Large retail players in India are heavily investing in retail sector. Sahara group

is the latest entrant in the retail industry in India. Future group is the leadingcompany in the retail industry in India.


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The organized retail sector in India is at growing stage but attempts are being

made to make this industry to increase its proportion to 9-10 percent. The

second tier cities have also witnessed the western change. The corporate

backed hypermarkets and retail chains have setup their business at these

second tier cities. Proper infrastructure is a must required in retailing. This will

lead to help in modernizing India. The various untouched rural segments are

great opportunity for the Indian players in retail industry. The consumers are

vocal on the quality and the prices of the products and services provided to

them. Now a days consumer seeks to purchase from the place where his/her

feedback is more valued. The increasing literacy rate and exposure to

international brands is playing a vital role for the improvement in the retail

industry.

1.2.OBJECTIVE OF THE STUDY: To develop knowledge and understanding of the marketing andoperational activity in retailing with reference to Food Bazaar. To gain an insight into the different promotional activities at food

bazaar.

To understand the effectiveness of the tools used during thepromotions.

To know how the various operational activities are performed in thefood bazaar.

To get an insight about the daily activity schedules of team members,team leaders and department managers.

To efficiently manage the activity schedules of the Food Bazaar team toprovide better services to consumers.

To know about the customers response about the Food Bazaar. Application of the theoretical knowledge in the practical field through a

live case study of Food Bazaar.


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1.3.METHODOLOGY:It is always important to gain an insight in the subject matter of the study

undertaken before analyzing and interpreting the result. The methodology

used in the project for the analysis and its objectives are highlighted below:

DATA COLLECTION

The whole project is divided into three phases. The first part of the project

revolves around the primary research technique, wherein the comprehensive

analysis on the operational activities of food bazaar team. The project also

looks forward to the primary research in terms of survey through

questionnaire and also through the observation research. The observation

research was done during the second phase of the project.

PHASE 1 : ACTIVITY SCHEDULESActivity schedules of the team members, team leaders and department

managers were collected during the first phase of the project.

PHASE 2: OBSERVATION RESEARCHThe various findings and observations were done in the Food Bazaar.

Also did findings as mystery shopper in all the four sub departments of

the food bazaar. To know better about the food bazaar from consumers

point of view.

PHASE 3: SURVAY THROUGH QUESTIONNAIRETo know about customers response for about Food Bazaar through

primary data survey. Sample size of 500 was taken from all the food

bazaar outlets. Various findings and suggestions were taken from the

consumers which can be implemented to better the service.


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1.5. LIMITATIONS OF THE STUDY: Time constraint of nearly 3 months. Difficulty in going to different stores. Non-responders for the questionnaire. Limited sample size.


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CHAPTER 2

2.1. INDUSTRY OVERVIEW:

Retailing is a distinct, diverse and dynamic sector. It is an activity of enormous

economic significance to most developed nations.

The word Retail is derived from the French word retailer, which means to

cut a piece off Retailing is the set of activities that markets products or

services to final consumers for their own personal or household use.

From Emerging to Surging to Shining that is how India is being described

since the past couple of years. As the corporate- the Piramals, the Tatas, the

Rahejas, ITC, S.Kumars, RPG Enterprises, and mega retailers- Crosswords,

Shoppers Stop, and Pantaloons race to revolutionize the retailing sector, retail

as an industry in India is coming alive. India has around 12.5 million retail

outlets.

The Indian retail industry due to its organised nature and highly fragmented

form is one of the most challenging sectors in the world. No one can say for

sure whether the changes taking place in the Indian retail arena represents

evolution or revolution. Retail sales in India account for 10-11 percent of the

gross domestic product (GDP). The Indian retail market has around 15 million

outlets and has the largest retail outlet density in the world. However, most of

these outlets are basic mom and pop stores with very basic offerings and fixed

prices and lack good ambience. These stores are highly competitive due to

lower land and labour prices. Also these stores usually save tax as they belong


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to the small industry sector. There are a significant number of new competitors

in the retail market and established players seeking opportunities to expand

rapidly. Currently the Government does not allow 100 percent foreign direct

investment in the retail sector and the government has only allowed single

brand retailers to make direct investments. However many multinationals are

looking for a franchise model and joint ventures to enter into the Indian retail

space. And with the Indian retail space growing at an annual rate of 20 percent

the competition is going to be fiercer.

2.2. STRUCTURE OF INDIAN RETAIL INDUSTRY:

1. SIZE

The Indian retail market, which is the fifth largest retail destination globally,

has been ranked as the most attractive emerging market for investment in the

retail sector by AT Kearney's eighth annual Global Retail Development Index

(GRDI). With rising consumer demand and greater disposable income, the US$400 billion Indian retail sector is clocking an annual growth rate of 30 per cent.

India's overall retail sector is expected to rise to US$ 833 billion by 2013 and to

US$ 1.3 trillion by2018, at a compound annual growth rate (CAGR) of 10 per

cent. As a democratic country with high growth rates, consumer spending has

risen sharply as the youth population, has seen a significant increase in its

disposable income. Consumer spending rose an impressive 75 per cent in the


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past four years alone. Also, organised retail, which is pegged at around US$

8.14 billion, is expected to grow at a CAGR of 40per cent to touch US$ 107

billion by 2013. According to a study by the National Council of Applied

Economic Research (NCAER), almost 40 percent of Indias high income urban

population account for the 20-25 largest cities with a population of more than

1 million. Therefore, it would be a challenge for most retail formats to reach

these markets during the first five years of operation. However, basic

categories such as groceries and gasoline might need to enter second tier

cities, where competition is still at a nascent stage and other specialized retail

services also have to move beyond 20-25 largest cities. Local retailers realised

this opportunity and introduced hypermarket during the nascent stages,

leading to hypermarkets doubling their sales turnover and surface area.

Similarly hypermarkets also expanded current value sales by expanding into

smaller towns and cities.

2.FOOD Vs NON FOOD DISRIBUTION

Food sales constitute a high proportion of total retail sales. In between 1996-

2010, sales through food retailers increased by 85 percent. All food retailers

recorded growth in sales. This growth could be attributed to the increases in

disposable incomes among the middle class population in India. The increasing

entry of women in the labour force has also led to be greater need for

convenience products. Food sales accounted for about 63 percent of

supermarkets sales and 60 percent of convenience products. Food retailing in

India is predominantly a small scale business; such outlets are present in every

street of India. These are mostly independent, family owned grocery stores.

These shops are abundant in urban as well as rural India. Consumer loyalty for


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these outlets is strong and is built on convenience and added services such as

credit and free home delivery. Wet markets also continue to be an important

retail format since fresh markets are abundant in all parts of India. Fresh foods

are less expensive than processed foods and are also the preferred form in

most Indian households. Even in the metropolitan cities, hawkers are found

selling fresh fruits and vegetables in open stalls or handcarts. Although food

sales remain the dominant retail category in the supermarkets its share has

experienced a marginal decline since 1996 as non food lines are gradually

occupying more shelf space.

Non-food sales were valued at Rs. 5000 billion. Average retail sales per non

food outlet reached Rs 0.5 million and department stores recorded the highest

average retail sales with Rs 176 million. The non-food items retailed through

supermarkets generally include cosmetics, toiletries and household cleaning

products and some of the supermarkets have even started retailing crockery,

household decoration items, small kitchen appliances and kitchenware. This

trend has been followed by independent grocers, discounters and co-operative

as well. The largest non-food retailers by outlet type in the last five years have

been general stores. These outlets have high presence in the rural sector,

where non food specialists are absent. General stores carry a varied basket of

goods, ranging from toiletries to hardware and sometimes fertilizer. With

increasing affluence in the rural economy, these general stores are flourishing.

Clothing, footwear, leatherwear and accessory outlets from the next largest

group of retailers have recording sales of Rs 1000 billion. Clothing retailers

have the highest presence of organized retailing among this group of traders.

Brand specific store are common in clothing and footwear.


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3. SECTORAL CLASSIFICATION

Retail sectors in India could be classified into three categories, based on their

future growth potential, these are:

a) Ready-to-go

b) Shape/adapt

c) Wait and watch

The ready-to-go category comprises several sub categories in which

determined retailers can build positions immediately. This is a highly attractive

sector because ease of sourcing, proliferation of products and consumer

acceptance has reached a level that permits the exploitation of size and range.

These ready-to-go sectors include dry groceries, electronics and certain kinds

of mens clothing, books and music. In electronics a few retailers have already

begun to capture the opportunity.

The second category of retailing shape/adapt includes fresh groceries,

womens clothing, do-it-yourself products, fast food and furniture. It is a

challenging category as retailers in these sectors must invest substantially to

shape the supply chain and persuade consumers to change their buying

behaviour.

The third categories of retail segment wait and watch comprises undeveloped

sectors that provide no immediate opportunity for retailers. Pharmacy

products and retail liquor products are examples of such sectors. Low levels of

over the counter drug purchases and complicated regulations make pharmacy

chains unattractive. The Indian retailers are venturing into all the three sectors

and finding success.


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4. INFRASTRUCTURE

India, with a population in excess of one billion, is poised to become one of the

worlds largest consumer markets. Thirty percent of these consumers live n

towns and cities and the remainder in villages. Over the years, the Indian

retailing scenario has been characterized by a high degree of fragmentation as

compared to many developed nations. The average of one outlet per business

clearly reveals the degree of fragmentation of the retail sector here. There is

an increase in the number of both large and small retail formats, with each

format catering to a different segment of the market. Large retails formats are

showing growth as several retail chains have established bases in metropolitan

cities. The numbers of large mega malls are increasing significantly as India is

now experiencing a mall boom. These new malls could bring dramatic changes

in consumer buying patterns and impact the existing high street retailers.

5. HUMAN RESOURCE

The retail employment in India has increased from 28.6 million in 196 to 50

million in 2011. The retail industry in India is estimated to employ about 10

percent of the total labour force. With the retail industry witnessing high

growth, job opportunities in retailing have been increasing. As new retail

formats and shopping outlets are coming up all over India, the number of

employees going into retailing has been increasing steadily. However, the

growth rate of employment has declined with the advent of Information

Technology in retailing in the larger retail formats. There is no significant

presence of part time employment. The countrys employment law do not


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recognize such work patterns. Retailing has immerged as a stream of

management curriculum, providing new areas of employment.

2.3. GROWTH DRIVERS:

In Indian retailing the challenge lies in identifying the key drivers that steer the

Indian consumers perception and shopping behaviour. The reality is that every

retailer has to understand his customers more discerningly than ever before

and make strategic choices to pursue the right target customer with the right

proposition. According to a study, the five main values sought by shoppers are

variety, value for money, product quality, fashion attributes, and time saving.

The key drivers of these values are discussed below.

1. SPENDING PATTERN

According to the consumer outlook study conducted by Technopak Advisors,

consumer spending is on the rise. It went up in 2011 by percent compared to

previous year which had shown a decline of about 2 percent in spending.This

growth implied a rise in market opportunity for retailers, estimated to be in

the region of Rs 15000 crore among the SEC A and B categories in urban India

alone. The study also revealed that the saving and investment had also gone

up substantially.


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2. CUSTOIMER EXPECTATIONS

Consumer value expectations from markets and shops have changed

dramatically in the last few years. This threw up new challenges for retailers

like increased pressure from other product categories that were vying for a

share of the same wallet of the target customer. Hence changing equations

and a sharper focus from retailers.

3. CONSUMER LIFESTYLE

With the increase in the number of educated women entering the workforce

and with more two income households with higher disposable incomes,

consumer lifestyle is changing. According to Technopak Advisors, the overall

spending of the working women is about 1.3 times of an average housewife.

However, they spend much more on lifestyle products. The ratio of men to

women spending in single income and double income households is 1.12:1

whereas the same is 1.05:1 in the case of double income no kidshouseholds.

4. CHANGING ATTITUDES

Indian consumers are now global in their consumption pattern. They are

exposed to many international and local brands and many different lifestyles

that they like to adopt. The Indian consumer is adopting faster than the

retailers can adapt for now. According to a study by Technopak Advisors the

increased relative spending of youth compared to elders has gone up over 3

years. Teenagers are getting richer with every passing year. In fact 90 percent


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of youths get pocket money, with the average amount having increased.

According to Technopak Advisors, Indian consumers have never been more

willing to experiment with products with the element of contemporary design.

Future trends therefore indicate that value equations will incorporate

aesthetic considerations alongside economic and functional considerations.

Indian consumers are travelling less than 1-1.5 km from their home to shop,

especially in case of grocery and staples.

5. INCREASED SPENDING OF RURAL CONSUMERS

The rural market already accounts for over one-third of the durable and non-

durable categories and is growing at a faster pace than urban India. In terms of

geography, retailers would need to customize their offerings to tap the rural

and semi-urban spending potential. Large format stores are opening in rural

areas for agro-inputs. Even in non-metro urban centres, there are very good

opportunities to look at starting or expanding operations.


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2.4. KEY CHALLENGES:

Despite the retail boom in the country, large-scale retailers seem to be having

to indulge in all sorts of promotions to attract store traffic. The main

challenges are:

1. THE KIRANA

The Kirana practices customer relationship management diligently. The

shopkeeper knows about the customers families, their purchase history and

their needs. Consumer familiarity runs down from generation to generation.

There is no major dissatisfaction with these stores. They are open longer

hours, stock most of the goods required by the residents in a given area,

provide credit and home delivery and in many cases supply product that they

do not stock without any extra cost. Consequently a large number of

customers are not willing to pay a premium for the shopping experience

promised by large number of consumers are not willing to pay a premium for

the shopping experience promised by large format retailers.

2. HIGH COSTS FOR THE ORGANIZED SECTOR

Traditional retailing has been established in India for some centuries. It has low

cost structure, is mostly owner operated, and has negligible real estate and

labour costs and little or no taxes to pay. In contrast players in the organized

sector have high expenses to meet and yet have to keep prices low enough to


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be able to compete with the traditional sector. As a McKinsey report points

out, Indian retailers operate on an extremely low cost base. The kiosk type of

shops operates on the assumption of zero land and labour costs. For organized

players, the lease alone can cost up to 6-10 percent of sales as compared with

just 3-5 percent globally. Capital expenses in retail business are high due major

renovations needed every 5-7 years.

3. SPECIALIZATION

According to experts, the real boom in organized retailing will come once the

supermarkets start selling daily need goods at 90 percent of the regular price.

The key will be to plan a national scale presence, build strong sourcing

networks that connect the business directly with farms and sell fresh food at

attractive prices.

4. CORRECT MERCHANDISE MIX

Getting the right product mix is critical to retailing. Food World started with

6000 stock keeping units but has cut it down to 3500. Every retailer wants to

have high value, high margin and fast moving products. However this isnt

always possible. Attention has to be paid to gross margin return on

investment. One of the indices that retailers use to check volumes is sales

density, which shows the amount of sales per sq ft of shop space.

5. STRONG IT SUPPORT

The backbone of retailing is IT. It would require large investments that connect

every aspect of the operations seamlessly, from suppliers to the cash counters.


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This would enable the retailers to track sales and place orders based on

scientific demand projections.

6. POOR INFRASTRUCTURE

In India, infrastructure such as cold-chain infrastructure is primitive, affecting

the modernization of the food sector. In order to succeed supermarkets would

require volumes to be cast competitive, which would require operations with

hubs all over India. Indian infrastructure is not fully developed yet. Roads and

rail infrastructure need to be developed. The efficiency in supply chain is far

below the international benchmarks. It is also difficult to find suppliers for a

large quantity as would be needed by a national chain. A strict quality control

increases the prices of the merchandise and the gap between demand and

supply.

7. INDUSTRY STATUS

The Indian Retail Council was formed in 2000, under the auspices of the

Confederation of Indian Industry (CII). This council is expected to serve as a

group for the industry in its dealings with the Government. Until then, retailing

had not been considered as an industry and there were only traders

associations at local levels. This is the first time a national association has been

formed. It is a step in the right direction. It will enable the industry to ask foe

unified tax laws, rational octroi and removal of other barriers and

impediments.


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3.5. SWOT ANALYSIS

STRENGTHS

Demographic favour and rising disposable income. Low labour cost of skilled ones. Variety in products and shopping convenience Changing consumer lifestyle Products at cheaper prices with many offers.

WEAKNESS

Various policy related issues. Limited consumer insight. Lack of skilled human resources in retail industry. Undeveloped infrastructure and supply chain. Lack of basic adequate utilities.

OPPORTUNITY

Potential for high investment. Location advantage. Fastest growing format. Rural retail.


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THREATS

Various political and social issues. Rising inflation. Low inventory turns and stock availability. Shopping culture.


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CHAPTER 3

3.1. COMPANY OVERVIEW:

We strive towards looking at the Indian market differently and strategizing

with the evolving customer helped us perform better----Kishore Biyani.

Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is one of

Indias leading business houses with

multiple businesses spanning across the consumption space. While retail

forms the core business activity of Future Group, group subsidiaries are

present in consumer finance, capital, insurance, leisure and entertainment,

brand development, retail real estate development, retail media and logistics.


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Led by its flagship enterprise, Pantaloon Retail, the group operates over 12

million square feet of retail space in 71 cities and towns and 65 rural locations

across India. Headquartered in Mumbai, Pantaloon Retail employs around

35,000 people and is listed on the Indian stock exchanges. The company

follows a multi-format retail strategy that captures almost the entire

consumption basket of Indian customers. In the lifestyle segment, the group

operates Pantaloons, a fashion retail chain and Central, a chain of seamless

malls. In the value segment, its marquee brand, Big Bazaar is a hypermarket

format that combines the look, touch and feel of Indian bazaars with the

choice and convenience of modern retail.

Big Bazaar won the first mover advantage, of the Indian retail industry, when

it hit the market back in 2001.It is emerging as a classless destination where

every part of the society comes together which is the hallmark of its success .It

is drawing on modernity, but not losing the bazaar as it has a deep

understanding of local tastes and an Indian way of doing things

The groups speciality retail formats include, books and music chain, depot,

sportswear retailer, planet sports, electronics retailer, Ezone, home

improvement chain, home town and rural retail chain, Aadhar, among others.

It also popular shopping portal, futurebazaar.com.

Future Capital Holdings, the groups financial arm provides investment

advisory to assets worth over $1 billion that are being invested in consumer

brands and companies, real-estate, hotels and logistics. It also operates a


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consumer finance arm with branches 150 locations.

Other group companies include, Future Generali, the groups insurance

venture in partnership with Italys Generali Group, Future Brands, a brand

development and IPR Company, Future Logistics, providing logistics and

distribution solutions t group companies and business partners and Future

Media, a retail media initiative.

The groups presence in Leisure & Entertainment segment is led through,

Mumbai-based listed company Galaxy Entertainment Limited. Galaxy leading

leisure chains, Sports bar and Bowling Co. and family entertainment centres,

F123. Through its partner company, Blue Foods the group operates around 100

restaurants and food courts through brands like Bombay Blues, Spaghetti

Kitchen, Noodle Bar, The Spoon, Copper Chimney and Gelato.

Futures Group joint venture partners include, US-based stationery products

retailer, Staples and Middle East-based Axiom Communications.

The groups flagship company, Pantaloon Retail was awarded the International

Retailer of the year 2007, by the US-based National Retail Federation, the

largest retail trade association and the Emerging Market Retailer of the year

2007 at the World Retail Congress in Barcelona.


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Future Group believes in developing strong insights on Indian consumers and

building business based on Indian ideas, as espoused in the groups core values

of Indianness. The groups corporate credo is Rewrite rules, Retain values.

3.2. VISION

Future Group shall deliver Everything, Every time for Every Indian Consumer in

the most profitable manner.

MISSION

We share the vision and belief that our customers and stakeholders shall be

served only by creating and executing future scenarios in the consumption

space leading to economic development.

We will be the trendsetters in evolving delivery formats, creating retail realty,

making consumption affordable for all customer segments for classes and for

masses.

We shall infuse Indian brands with confidence and renewed ambition.

We shall be efficient, cost-conscious and committed to quality in whatever we

do.

We shall ensure that our positive attitude, sincerity, humility and united

determination shall be the driving force to make us successful.


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3.3. CORE VALUES

INDIANNESS : confidence in ourselves. LEADERSHIP : to be a leader, both in thought and business. RESPECT & HUMILITY : to respect every individual and be humble in

our conduct.

INTROSPECTION : leading to purposeful thinking. OPENNESS : to be open and receptive to new ideas and

knowledge.

VALUING RELATIONSHIPS : to build long term relationships. SIMPLICITY & POSITIVITY : simplicity and positivity in our thought,

business and action.

ADAPTABILITY : to be flexible and adaptable. FLOW : to respect the universal laws of nature.


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offered through the bazaar-like atmosphere created by displaying staples out

in the open, all at very economical and affordable prices without any

compromise on quality.

The best of everything offered with a seal of freshness and purity will definitely

make your final buying decision a lot easier.

FORMAT AND MODEL OF FOOD BAZAAR

FORMAT

The format of food bazaar is of a very unique type. It is a conventional

supermarket chain inside Big Bazaar, a hypermarket chain. Thus they have

successfully combined the four formats of retailing together, i.e. conventional

supermarkets, hyper markets, chains and franchising. Using the combination of

all them with varieties of products categorized into Spic n Span, Golden

Harvest, and Hungry kya, Farm Fresh, Head to Toe, Chill station, International

Food, Chef Zone and Mens grooming section. Food bazaar is modelled on

Indian mandi, where the customers can touch and feel. The various products at

food bazaar include processed food and non-food, dry staples and wet staples.

The processed Food and Non Food category contributes 60% of Food bazaar

sales. This category includes a large range of FMCG companies and a wide

range of imported products, health foods, and specialty foods. Under dry

Staples comes a dry grocery like rice, wheat, dal, spices etc, this product type


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gives 30% of the sales. Wet Staples includes fruits and vegetables. This gives

10% of the sales.

CONVENTIONAL SUPERMARKET- A conventional supermarket is a self

service food store offering wet and dry groceries and with a limited range of

non-food items, such as health and beauty aids and general merchandise. They

carry 5000 to 10000 SKUs. They are chosen due to variety, self service and

promotions. Self service allows supermarkets to cut costs as well as increase

volume. The conventional supermarket was once the most common format.

However, competition from other formats due to different value drivers, such

as better prices from hyper markets and better service from Kirana stores, has

led to a reduction in the number of such stores in developing markets.

HYPER MARKETS- Hypermarkets are combination stores that unite

supermarket and general merchandise sales in one store, with the latter

typically accounting for 25-40 percent of total sales. Consumers choose them

for one-stop shopping and do not mind travelling to visit these stores.

Hypermarkets achieve operational efficiencies and cost savings through their

large scale operations. Impulse sales are high in such stores, even when the

visit is planned.

CHAINS- A chain retailer operates multiple outlets under a common

ownership and name. Retail chains can range from comprising two stores to

over 1000 stores. Some retail chains are divisions of larger corporations or

holding companies. Suppliers service the orders from chains promptly and


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extend a higher level of service and selling support. New brands reach store

faster. Most of these chains sell private label brands. Chain retailers suffer

from limited flexibility as they need to be consistent throughout in terms of

prices, promotions and product assortments. They have high investments in

fixed assets ant rent, product assortments and employees. Due to their spread,

these retailers have reduced control, poor combination and time delays. They

use innovative strategies to manage costs.

FRANCHISING-Franchising is one of the most common modes of expansion

in retailing. More than one-third of all retail sales are made by franchisees. It

signifies a contractual agreement that allows the franchise to operate a retail

outlet using the name and format of the franchiser. The franchise pays a fee

and royalty on all proprietary for operating a store on behalf of the franchiser.

The franchiser provides assistance in locating and building the store,

developing the products and services sold, management training and

advertising. In the franchise operates the outlet based on the norms and

practices laid down by the franchiser. There are two types franchising product

or trademark franchising and business format franchising. In product or

trademark franchising, the franchiser allows the use of the identity but does

not control the operations. In a business format franchising arrangement, the

two parties enter into a symbiotic relationship. The aim is to deliver similar

services across all outlets. It improves cash flow as money is obtained from

fees, royalties and merchandise sales.


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Bright future as income raises consumption also rises. Evolving consumer preference towards hyper markets. Lot of variety under one roof.

THREATS

Competition from other value retail chains. Unorganized retail also a big threat.

Changing policies. International players looking to foray in India.

3.6. AFFILIATE COMPANIES:

Home Solutions Retail (India) Limited

HSRIL was started to give offers and provide complete retailing solutions for all

products and services, which are related to home building and home

improvement. The key product categories are Consumer Durable & Electronics,

Furniture, Home furnishing & Decor, Home Improvement and Home services.


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wholesale distribution of mobile handsets, accessories and in setting up service

centres for mobile handsets in India.

Pantaloon Food Product (India) Limited

Pantaloon Food Product (India) Limited was incorporated with the aim of

sourcing. To provide the backward integration in food business of the

company. PFPIL has sourcing and distribution bases at all key cities across the

country.

Future Knowledge Services limited

Future Knowledge Services Limited was incorporated on January, 2007 and is

engaged in the business of business process outsourcing and knowledge

process outsourcing.

Future Capital Holdings Limited

Future Capital Holdings Limited was formed to completely manage the

financial services and business of Pantaloon Retail Limited. FCH soon became

one growing financial services company. The company made its presence in

various financial services and in various research projects.

Future Generali India Life Insurance Company Limited


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Future Generali India Life Insurance Company Limited stared in October 2006.

The company was started to be in the business of life insurance in India. The

company got its licence to start the business in India on September, 2007. The

company operates in Future money, and manages various assets over US$ 1

billion.

Staples Future Office Products Private Limited

Staples Future Office Products Private Limited was started in India in 2007. The

company was incorporated to start in the business of all kind of business in

office supplies, equipments and products. This company is a joint venture

between the Future Group Holding and Staples Asia Investment Limited. The

companys first retail outlet opened in Bangalore.

4.1. STORE OPERATIONS OF FOOD BAZAAR:

The food bazaar is divided into four sub departments. These are fruits and

vegetables, staples, food and non-food. These four sub departments as per

other departments have team leader, team member, assistant department

manager and department manager. The department manager reports to the

KARTA of the store i.e. the store manager. The various activities of all the

responsible heads have been assigned to them. The daily activity scheduling of


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the team member, team leader, assistant department manager, department

manager was also the part of my project. The daily activities of these

designated heads were scheduled as per to give the better service to the

costumers. Right from entering into the store till leaving the store, how will the

various operational activities inside the food bazaar will be done are scheduled

according to the time consumed. As food bazaar is one that offers the best

quality product at wholesale price to the

customers with their choice of the product. As most of the stores of food

bazaar are located within pantaloons, big bazaar and central. Sometimes food

bazaars as per the need of the area are stand alone. As being within the big

bazaar, pantaloons and central, the footfall for the food bazaar is the highest.

It acts as strong generators for footfall. Food bazaar contributes the highest in

comparison to the other departments of big bazaar. Food bazaar offers great

varieties and discounts to the customers. The company gives various offers in

daily consumption items, which include staples, soaps and detergents, oils,

cereals and others. The primary segregation is done on the basis of various

products. The various products include staples, fresh produce, branded foods

and home care products. Food bazaar has unique method to improve its

service to the customers. It talks to the Indian housewives and constantly

learns from them, how to improve the service given to them. And it is at the

forefront to constantly improve its services to its customers. Food bazaar has

direct talks to the selected rural areas to provide better and fresh farm

products to the customers. It established a direct


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channel between the centres of

production and areas of consumption. The western shopping culture of touch

and feel are offered through big bazaar. Thus it helps in providing the better

service to the customer with better quality at lower prices. Thus to provide

better service to the customers, the activity schedule of team member, team

leader, assistant department manager and department manager has to be

followed. It has been designed as per to provide the better services to the

customer. When footfall is at peak during various offer events like Wednesday

bazaar, where various offers are given to the customers on various products on

all Wednesdays of the month. The various events such as pheli tarikh where

offers are given to the customers keeping in mind that they are willing to

spend on the products like clothes. Great exchange offer which gives the

highest footfall as the customers can exchange their old stuff for the new one.

Events like great Indian shopping festival where the offers and discounts are

given on every product. This summer a new event was launched by big bazaar

as Public Holiday Sale from 28

th

April to 1

st

May. There was a great responsefrom the public for this event. Four days the footfall was the highest

comparison to other events. It was due to the various offers and discount on

the products which where unbelievable for the customers to believe, even the

cash back cards were also given to the customers. As this time being an intern I

was witness to all these event and it was great learning for me , how to

manage the store, how various operational activities are done to give better


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briefs to the team time by time, also checks the stock and gets information

about the targets. Also sometimes the various issues related to the customers

are solved by the team leader. The various running promotions and offers are

going in their flow is checked by the department head, which he reports to the

KARTHA. One of the main tasks of the department

manager and the team leader is to motivate its team time to time. If

sometimes the target is not achieved by the team than itstheir responsibility

to motivate their team to do better next time. Also it is the responsibility of the

team leader to move the non selling products to the primary area if there is no

sale improvement in that product. These day to day activities in the store by

the store operations team brings out the better sales to the store and better

service to the customers with less effort and resources.

4.2. DEPARTMENTS:

Food Bazaar is one of the most revenue gaining part of the Big Bazaar. There

are four main sub departments of Food Bazaar which main it as one big unit.

Fruits and vegetables, Staples, Food and Non-Food are the four sub

departments. As from the name it suggests the fruit and vegetables

department of the Food Bazaar comprises of each and every type of seasonal

fruits and vegetables. The uniqueness of Food Bazaar is that the freshness of

the products is always of better quality. It also contains section as farm fresh

where they have very large variety of products. Also contains imported fruits


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from different countries as per the need and demand of the consumers. The

other department food and non-food comprises of the various products from

the various branded companies. Big Bazaar also provides its own made various

products for the consumers. It contains wide range of products with sections

as ready to eat and fast to cook with many offers for the customers. Another

main part of food bazaar is the staples department. Staples department is one

of the most revenue gaining part of the food bazaar. The products available in

this department are fast moving consumer goods. In this section the brand

preference sometimes matters a lot for the consumers.

INTRODUCTION TO THE PROJECT

It was necessary to have an incisive insight in the subject before proceeding for

analyzing and interpreting the result. The methodology in terms of data and

analysis for the project and its objectives are highlighted below. Big Bazaar has

been using unique promotional operational techniques since its inception that

helps to maintain as well as increase its sales.

5.1. PHASE-1

ACTIVITY SCHEDULE:

The first phase of the project deals with the activity schedule related to the

four departments of big bazaar i.e. food, non-food, staples and fruit &

vegetables. The activity schedule is for the team members, team leaders and


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department managers of the respective department. Thus the whole day to

day activity of the concerned person is being scheduled according to the

respective department. An activity schedule is a set of words which helps an

individual to follow set of activities. Once an individual masters at these

activities, it can perform better as an independent. It also helps in decreasing

unwanted behaviours and helps individuals to stay focus with more efficiency.

Activity schedules are simply directing tools that help an individual with

autism to accomplish activities better. These activity schedules help

individuals to promote visual learning. And makes them understand that what

is expected from them. This helps in improvement in management and

provides self assistance to them.

Activity schedules are great tools which help in performance of the individual

in better way and in more efficient way as an individual. Improves ones

vocational skills, how to follow. These

activity schedules help in providing the better service to the customers in more

efficient way. As with respect to big bazaar where the footfall of the customer

comes at peak point during events, these activity schedules help a lot to givean organised service to the customers. As providing the better services to the

customer is the main motive of these activities.


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As a part of operation, big bazaar is also undertaking to reduce its warehousing

costs through a consolidation process. As most of the stores in the country are

located in the heart of the city supply chain management plays a important

role. In the present scenario the customers are more demanding and asking for

the quality of food. Now the on time delivery has become an important part of

the operation. So there is needed to be on time always. Thus there are various

challenges which the team member, team leader and department managers

faces. These activity schedule which are been scheduled for the store team will

help them to provide better services to the customers. The most challenging

thing is the safety requirements which often the team faces. Proper handling is

mandatory in case of fruits and

vegetables. The short shelf life of products also leads to the wastage. High

order frequency and low volumes are often requires in this section of food

bazaar. Thus for these perishable products cold chain supply with utmost care

is required. To handle the customers and to maintain the hygiene and

cleanliness in the store is also one of the major challenges for the store team.As in this section the consumers feels touches and satisfies him before making

the decision to buy the product. Until the customer is satisfied, he/she will not

proceed to buy the product. To maintain the ambience near the self is utmost

important for the team member. To cope with the challenges of this

department the activity schedule has been made in the same flow. The stock

level is been checked from time to time by both the team member and also


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from the team leader. One should always check about the damage product

which should be always cleaned. Because the damage fruits or vegetables, give

bad impressions on the customers mind. Department manager keeps the

check in pick list and ensures both the team leader and the team member

about the targets. FIFO checking is done by the team leader and also by the

team member. Motivating the team member is also one of the most

important roles to play. The department manager keeps briefing the team

leader and the team member about the targets. Its the team member to make

consumers know about the various offers and discounts going on. Also the

knowledge about the product is to be made clear to the customer. The activity

schedule makes the team leader to check the new stock or the pending stock

list. The FIFO checking is done to lesser the waste from fruits and vegetables.

To deal with all the challenges and to maintain the standard of food bazaar

the activity schedule is to be followed by the store operations team. Removing

the non moving items to the primary spot is also necessary. Getting the

payback form and explaining the various offers related to the product must be

known to the customer. It is the duty of the team leader and the team member

to better perform this activity. The sales are monitored from time to time, thus

to make strategic marketing decisions according to it. The activity schedule is

been made by keeping in mind the number of team members in the fruit and

vegetables department. There should be no overlapping between the team

members of both the shifts on certain activity. The timing in fruit and

vegetables section of food bazaar is very important. It is one of the section in

which the customers start coming at any time in the day right from opening of

the store. In the past recent years food bazaar has gained an expertise in

managing the farm fresh foods. Big bazaar has removed the traditional mandi

route supply chain that traditionally present in Indian market. Big bazaar


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cheese, butter and beverages. Under this category all the products under the

various popular brands are sold. The famous brands with their various offers

and discounts are been sold to the customers. Even the ice- creams of the

various brands comes under this section. The ice- creams of the various brands

are provided under this category. Now the food bazaar has started one of the

innovative sales of pickles. The pickles of various brands are available in the

store, but sometimes the local taste is not there. Food bazaar has started

selling of its own brand made pickles which are according to the local taste.

Thus according to the geographical nature, the food bazaar section provides

the pickles of various types which the branded companies are unable to make.

The Golden Harvest includes the dry groceries contributes about the 30

percent of the sales of the food bazaar. The chill station which comes under

the wet staples category contributes about the 10 percent of the sales of the

food bazaar. The ambience of the store should be attracting to the customers

because it is the starting point of all the marketing efforts. It creates an image

in the mind of the people. As if a customer is comfortable in the store, it

affects the buying behaviour of the individual. The store should appeal to his

sensory perceptions and also must create the sense of belonging, sense of

relationship in the mind of the customer during shopping. The environment

created in the store is all about getting together the

exterior look, store interiors, the atmosphere in the store and the most

important the events, the promotions and the themes which form a part of the

retail store. The most important part of the staples is the local flavours are


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involved in this section. The company has launched Food Bazaar masalas,

which has local taste which are having high sales in their respective regions.

The number of team members involved in the staples section is somewhat less

than the fruits and vegetables section. The advantage with this section is that

the level of safety is less as compared to the fruits and vegetables. The shelf

life of the products is also very large. There is no need to take delicate care of

the products. The best part of the staples is that the products are not very

delicate and handling does not matter as compared to the other sections. So

the team members do not have high attention.

In this section the team member and the team leader, the most delicate part is

to convince the customer about the quality of the product. The various

products under the cereals demand good quality product so their much

needed part of convincing the customers. Attending the customers and

weighing the weights is the task the team member has to deal from time to

time. The team leader should check about the stock status and keep update it

to the department manager which forwards it to store manager. Repositioning

of the products which are not much in sale or bringing up them with new offer.

The department manager should brief the team leader and the team members

about the happening in the store also motivating them to achieve the target.

Monitoring sales and reporting it to the store manager is also one of the main

tasks of the department manager. Thus the activity schedule for the staples

section is less delicate as compared to the fruits and vegetables. But to attend

customers and make them satisfy about the quality of the product is a major

task. One should also update the sparsh software about the team member

and team leader from the department manager. The software keeps checking

the stock level in the store and keeps update about sales of the respective

product.


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FOOD AND NON-FOOD DEPARTMENT

This section of food bazaar is very vast with wide range of products. The food

and non-food section is always seen as combined section in food bazaar. Under

this section the products are available under the private owned brands of

future group and also of the various other well known brands. Under the food

section, comes product as under the label fit and healthy, chef zone and

processed foods. While major non food contains cosmetics, deo, speak and

spine, grooming, head to toe and various others. In food bazaar under this

section there are many brands available for similar type of products. As forexample there is near about 3-4 brands available in fresh juice section,

favourite among them are the Real juice category. There are many newer

brands also available in the store with various offers. The various brands under

ready to eat category are available all time with

offers and discounts. Also under the food

category lies the various products as biscuits, jams, various processed food as

maggi, noodles, pasta and various others. Under the beverages comes tea,

coffee, soft drinks, packaged juices, energy drinks, and packaged drinking

water. Under the non food section come all the products which include

sanitary, napkins, razors, shaving creams, shampoos, soaps, cosmetics,

deodorant, lotions, hair oil, tooth paste, cleansers and various products under

the daily needs. These products are available under the various trusted older

brands and also under the newer brands. The various household care products


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As most of the products in both the sections are packaged products. Thus the

prices are being printed on them. Here the barcode plays important role if the

price is missing, so it is the duty of the team member to check whether the

barcode is on all the products. During the time of billing also the various offers

and discounts are known during the time of billing by the barcode only. Also in

food sections the products are delicate so they should be handled carefully. As

the damaged products are being out of the stock and are not for the sale.

Stacking the impulse items is also a very keen important work to do. The

department manager keeps informing about the sales of the product which are

not much in sale. Then the store manager takes a note about it. The ambience

plays a role in the sales of the product. Many a times a product is in sales when

comes in the eye level of the customers. The self space placement of the

products also helps in the sales of the product. Refilling of the stock at the right

time to match the need and the demand is necessary. The FIFO management,

lot management must be done time by time. As the products in both the foodand non food category have expiry dates after which they should not be sold.

The products in both the category are the products which are sold whole year

and are in demand at some peak time. The various events which are held in big

bazaar from time to time have a larger impact on the food and non food

section of food bazaar. Exchange mela, Wednesday,

maha sale, pheli tarikh etc, are various offerings for the customer from big

bazaar. Time to time these offers increase the footfall and also increases the

sales of the various products which are mainly for daily households


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requirements. These also help in the mouth to mouth marketing for the

offerings. The customers are more demanding and are brand loyal today. So

the various strategies should be made keeping these thinks in mind. These

activity schedules help the store team to better manage the customers during

the peak hours and provide them the better service every time they visit the

store. To satisfy the customer with any new product is a tough job. The

environment in the store plays a important role in the sales of the product.

One of the main tasks of the store team is to make the combination of the

products with the attractive offers to make them notice to the customers. As

for the newer products the customers can get to it. When they would be

familiar with product, sales of the product will increase. The

self allocation of the products which are linked to each other and have to be

buoyed together also depends upon the allocation. Team member must know

about teach product and should know where are these products are kept.

Ready to eat section is always on high. Thissection attracts the customers

most. These activity schedule are been made as in such a way that there

should not be any overlapping between them, so that the maximum time can

be taken to provide the better service. Attending customer and keep updating

them about is the most important part of this section. Food and non food

section of food bazaar is one department which needs a lot of attention in

every aspect. In terms of sales and also in terms of ambience, discounts and

offers. Therefore the number of team members is more in the food and non

food section as the self allocation of the products are changed from time to


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time according to the offers and discounts available. The department manager

motivates the team leader and team member about the targets. Also provides

them the innovative ideas from time to time. Solving the staff issues are also

one of the doing of the department manager. He is also liable to check the

logistics for pending stock and for the new stock. And keep updating the team

leader about the stock. As the need and demand should match each other

rather than mismatch. Making report about the offers and also finding about

the effect of the various events which are offered by big bazaar. These are all

done by the department managers. The stock room should be updated with

the new products and the sparsh should be updated from time to time, so that

there should be balance between the demand and supply.

NOTE: The excel sheet related activity schedule of team members, team

leaders and department managers of the respective departments of fruits and

vegetables, food, non-food and staples is been attached with the document.


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5.2. PHASE 2

OBSERVATION RESEARCH:

This part of the project comprises of the observation research done during

after the completion of the second phase. During this phase of the project

various observations were done during the whole period. How the marketing

and operational activities are performed from a practical point of view. During

this observation period came to know about the marketing activities of Big

Bazaar. There are two types of marketing strategies that are used to promote

any product. They are Above the line (ATL) and Below the line (BTL). These

names reflect the business practices of advertising agencies. Agencies make

commission on placement of advertisements in newspapers, magazines and

cinema and on television, radio and billboards and it charges a fee that appears

above the line on their bill. Traditionally ATL and BTL activities have been

considered distinct. ATL refers to the all promotional activities done through

mass media. This type of communication is conventional in its nature and is

considered impersonal to customers. Below the line is an advertising technique

which uses less conventional methods than usual specific channels of

advertising. During this observation tenure got to know about practical

retailing techniques and dealing with face to face with the customers. The

important aspects of retailing to, deal with customers, to satisfy each and

every customer with his/her demands. Retail management is a continuous

process where one learns new things every day. In retail everyday one get a

chance to meet new customers with different opinion, which makes us learn a

lot about customer relationship management.


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2. Generally youth and women are the large segment of customers in foodbazaar.

3. The events such as mega sale offer, exchange offer, Wednesday offer,peheli tarikh, monthly bachat offer attract customers to buy more and

more and also increase the footfall in the store.

4. Availability of various brands helps to attract large section of customers.5. The various strategic decisions related to marketing and operational

activities.

6. How to attract customers for impulse buying. About the basket ofproducts.

During the observation research period also came to know about the

operational activities done by the store team to maintain the balance between

the demand and supply of the products. How the

products are brought from the

storages and being kept in the store. The shelf space given to the products sothat the consumer have an impact of the product. The major products are kept

at eye level to the customers. The space allocated to the products is allocated

on the basis of sales contribution. Products are to be displayed at eye level

only at stimulated brand space. The brand blocking to be done vertically from

top to bottom left to right, starting with private label. There should be proper

display of signage so that the consumers do not get confused by the products.


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It was seen that during big sale days number of customers are waiting in the

queue for billing at billing counter. Every time they have to wait for very long

time for billing. Sometimes it happens that many customers leave the products

and to not purchase anything, these long queues deter customers to make

purchases. Something must be done to remove this bug from billing counters.

A device named as Queue Buster can be

used as the solution to this problem. It is a mobile shaped device which has

barcode reader, card swipe reader and printer. By using this device customers

can pay either by cash or by card to the person handling the device. This would

reduce the shopping time of the customers and will also be helpful for the

store operations team. And if the device does not accept the card, the

customer can go with the required amount to the billing counter. The initial

investment is high for these devices. The store operations team will have to be

trained for using this device efficiently. But the results after applying the device

will settle the initial investment. Big bazaar can also start the home delivery

facility, which can be helpful in increasing the sale. These add on facilities will

be helpful in increasing the sale and also increasing the loyal customer base.


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5.3. PHASE 3:

QUESTIONNAIRE ANALYSIS:

Questionnaire analysis was done under the last phase of the project. This

phase was done as the part of the exploratory research and was conducted to

get the customers response about the Food Bazaar and all its departments.

The questionnaire was framed in such a sequence to better know about theresponse. The survey was done with the sample size of 500 Food Bazaar

customers at various outlets in the city. The survey was not done at any single

Food Bazaar but it was done through the various outlets in the city. But most

of the samples were taken from the Tarnaka and Ameerpet.

SURVEY TO FIND RESPONSE OF CUSTOMERS TOWARDS FOOD BAZAAR:

QUESTION 1

In a month how many times you visit big bazaar?

VALUES FREQUENCY PERCENTAGE

Weekly 185 37

Fortnightly 90 18

Monthly 70 14

During promotions 105 21

As per requirements 50 10


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As seen from the following pie chart that customers visit food bazaar weekly or

fortnightly. The customers continue to come weekly because there is

Wednesday bazaar for them and many other offers. But to increase the

percentage of customers they should also include other products, to attract

younger generations.

QUESTION 2

How is brands and products availability in the food bazaar?

VALUES FREQUENCY PERCENTAGE

Outstanding 224 45

Excellent 125 25

Good 100 20

Average 41 8

Bad 10 2

37%

18%

14%

21%

10%

Weekly

Fornightly

Monthly

During promotions

As per requirement


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From the above data it is clear that the customers are satisfied with the

products and various brands available in the food bazaar. Thus the store

should retain the existing brand and should also try to infuse new brands in the

products. By this the customer satisfaction level can be increased.

QUESTION 3

What is customers perception about the price of food bazaar products?

VALUE FREQUENCY PERCENTAGE

Outstanding 170 34

Excellent 130 26

Good 100 20

Average 70 14

Bad 30 6

45%

25%

20%

8%

2%

Outstanding

Excellent

Good

Average

Bad


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The above data shows that the pricing of products in food bazaar is

outstanding from the customers point of view. The pricing strategy should be

retained with various offers and discounts for the customers.

QUESTION 4

How is customers experience about services in food bazaar?


Outstanding 97 19

Excellent 278 56

Good 117 23

Average 8 2

Bad 0 0

34%

26%

20%

14%

6%

Outstanding

Excellent

Good

Average

Bad


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It is evident from the graph that the services to the customers are at good

note. It means that the inside store environment is good in the store.

Customers related problems are being resolved and they are satisfied with the

services but still, it can e improved.

QUESTION 5

In offer days the shopping experience in the store?


Outstanding 223 45

Excellent 113 24

Good 90 18

Average 64 13

Bad 10 0

19%

56%

23%

2% 0%

Outstanding

Excellent

Good

Average

Bad


67/78


It shows that the customers are satisfied with the offers and discounts given

to them by food bazaar. The cheap price of products in food bazaar moves

it ahead as compared to its competitors. The low prices and better quality

keeps customers attracting to shop in food bazaar.

QUESTION 6

How is ambience in the store?

VALUE FREQUENCY

Outstanding 47

Excellent 60

Good 153

Average 227

Bad 13

45%

24%

18%

13%

0%

Outstanding

Excellent

Good

Average

Bad


68/78


Food bazaar is a place to buy many products under one roof, which facilitates a

certain kind of ambience and decorum to the people that they come again and

again for shopping. The ambience also plays an important role in customers

purchase, which thus helps in increasing the sales.

QUESTION 7

How is product placement inside the store?

VALUE FREQUENCY

Outstanding 127

Excellent 283

Good 47

Average 43

Bad 0

0 50 100 150 200 250

Outstanding

Excellent

Good

Average

Bad


69/78


70/78


As food bazaar is known for its variety of options. It is evident that people

come to food bazaar as they get variety of products under one roof at cheaper

price. It provides products with better quality and services which encourages

them to visit again and again.

QUESTION 9

Are you satisfied with the billing facility at the store?

VALUE FREQUENCY

Yes 233

No 267

62%14%

18%

5%

1%

Price

Quality

Products

Services

None


71/78


Majority of the customers are not satisfied with the billing facility at food

bazaar. As on the events as Wednesday bazaar or pheli tarikh, the footfall

increases and customer have to wait in queue for billing. Thus the billing

facility must be somewhat improved, so that they dont have to wait in long

queues for billing.

QUESTION 10

Is it easy to move trolley in the store?

VALUE FREQUENCY

Yes 259

No 241

210 220 230 240 250 260 270

Yes

No


72/78


The customers are satisfied with the spacing in the food bazaar as they can

move freely with their trolley. With more space they can move with their

products they took and this can mentally make them free to shop.

QUESTION 11

Overall opinion about food bazaar


Outstanding 116 23

Excellent 193 39

Good 121 24

Average 70 14

Bad 00 0

230 235 240 245 250 255 260 265

Yes

No


73/78


Overall the consumers are satisfied with the pricing, products, services and

ambience provided to them by food bazaar. As compare to its competitors

food bazaar is ahead from them in satisfying the consumers.

6.1. SUMMARY OF FINDINGS AND CONCLUSIONS:

All the findings are briefly discussed below:

ACTIVITY SCHEDULE- The daily activity schedule of the team members, team

leaders and department managers was done during the starting phase of the

project. The activity schedule of the store team was done to better provide the

services to the customers and to better the efficiency. The overlapping

23%

39%

24%

14%

0%

Outstanding

Excellent

Good

Average

Bad


74/78


activities were removed and the remaining time was utilized to do other

activities.

OBSERVATION RESEARCH-During this phase project it was a great learning

experience of desirable team effect. The exposure of various marketing

techniques and various operational techniques were of great learning. The

footfall is always on peak during the events at big bazaar. Overall the food

bazaar is hot spot for shopping for the daily needs. The unique techniques and

concepts make food bazaar as leader in daily needs. But still there is scope of

improvement in some sections of department and services can be improved by

taking new things in consideration. By the use of latest technology one can

improve the service to the customers which can be helpful for the customers

as well as for the store operations team. Some bugs are still to be removed

from the store operations. These will save the time and will increase the

footfall.

QUESTIONNAIRE ANALYSIS- The questionnaire was done to get the

response from the customers about the Food Bazaar. It was done to get know

about the response of the customers to better the service. Most of the

customers were satisfied with the offers and brands in the Food Bazaar

departments. The ambience and service was excellent as per the survey. Also

there were few important points suggested by the consumers. Customers get

loyal to the shopping centres where their response is being noticed. By this


75/78


analysis few points for the improvement can be gathered to improve the

service to the customers.

6.2. RECOMMENDATIONS:

Based on the findings of this project and observation of the entire marketing

and operational activities carried out for promoting various offers and

campaigns of Food Bazaar, following recommendations are given:

During the observation period it was seen that most of the offers givenfor Wednesday Bazaar are repeated. This leads to focus on other

products and also decreases the customers urgency towards big bazaar.

Also some products sell well even without the offers.

Offers are mainly on food items, other categories are also should bepromoted.

As the sale of some stores do not increase in spite of advertisements andpromotions so more focus should be given to them.

Big Bazaar should aim at opening of stores in tier 2 cities also. Food bazaar should shift focus in attracting the younger generation and

connecting to them.

Food bazaar should also start retailing through internet and web basedtechnology.

Customer care assistance should be given to customers about loyaltyprogram.

Job rotation policy should be implied, as it will enhance their knowledgeand job profile.


76/78


After sales service should be more effective. Billing should be easier and faster.

6.3.REFRENCES:

Articles and Journals

Blattberg, R. C. and S. A. Neslin, (1990) Sales Promotion: The Long andthe Short of It, Marketing Letters, 1, 81-87.

Huff, L. C. and D. L. Alden, (1998) An Investigation of ConsumerResponse to Sales Promotions in Developing Markets: A Three Country

Analysis, Journal of Advertising Research, 38(3), 47-54

Lee, C. W., (2002) Sales Promotions as Strategic Communicati

Documents

Ajit Singh Final Report