RETAIL OUTLETS WITH RESPECT TO SHOPPERS STOP Project

7/23/2019 RETAIL OUTLETS WITH RESPECT TO SHOPPERS STOP Project

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PROJECT REPORT

ON

A

Summer Internship Project Report

On

RETAIL

OUTLETS WITH RESPECT TO SHOPPERS

STOPIn the partial fulfillment of the Degree of

Master of Management Studies

under the University of Mumbai

y

MR! RA"U# AS"O$ %AD"A&

'MMS ( Roll )o*+,-

Speciali.ation* MAR$/0I)1

atch* 234564,

Prof Dinesh Son7ul

8Internal Project 1uide9

SASMIRA:s Institute of Management Studies and Research

;orli< Mumbai65333=3

234>


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Table of Content

Sr.no Subject Page number

Declaration from student =

?ertificate from 1uide 5

Ac7no@ledgement >

/ecutive Summary ,

4 Introduction +

2 ?hallenges 4>

= &isual merchandising 23

5 Research analysis ==> Suggestions =B

, Cindings ( conclusion 53

+ Recommendation 54

D Appendi 52

B References 5>


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ECLARATION

I< Mr!Rahul %adhav < hereby declare that this project report is the record of authentic @or7 carried

out by me during the period from May 234> to %uly 234> and has not been submitted to any other

University or Institute for the a@ard of any degree E diploma etc!

Signature*

)ame of the student* Rahul %adhav

Date*


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CERTI!ICATE

0his is to certify that MR! RA"U# %AD"A& of Samira:s Institute of Management Studies (

Research has successfully completed the project @or7 titled FRETAIL OUTLETS WITH

RESPECT TO SHOPPERS STOPG in partial fulfillment of reHuirement for the completion

MMS as prescribed by the University of Mumbai!

0his project report is the record of authentic @or7 carried out by her during the period from May

234> to %uly 234>!

"e has @or7ed under my guidance!

Signature

)ame* Prof! Dinesh Son7ul

Project "u#$e

Date*


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Ac%no&le$gement

I @ould li7e to than7 our Director Dr! Amit Oa7 for his encouragement and Prof! Dinesh Son7ul

for her cordial support< valuable information and guidance< @hich helped me in completing this

tas7 through various stages report!


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E'ecut#(e Summar)

Indian organi.ed retail industry is poised for gro@th! Apparel sector and various lifestyle

products in particular has a great opportunity @ith alignment of Indian economy to globalised

mar7ets! ;ith the @idespread use of sales promotions6 short term activities @hich provide

material inducements to consumers and trade it becomes imperative for managers to understand

visual tool such practices and understand challenges! 0his study investigates sales promotion

activities of for various brand and products in Shoppers stop< Andheri @est mar7et and compares

them on various dimensions! It presents major findings and provides insights on consumer

behaviour! #ifestyle< for instance< has a loyalty programme called 0he Inner ?ircleJ< @hile

Shoppers stop offers various scheme to@ards programmes< the customers! Managerial challenges

are posed in planning and implementing such activities! 0he project concludes @ith future bright

outloo7!

Pr#mar) object#(e *Effect#(ene++ of ,#+ual -ercan$#+er+/

A casual passerby

A bro@ser

A spender

A big spender

A loyal customer

,


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CHAPTER 0

Intro$uct#on

So11er+ +to1

Shoppers stop offers a truly remar7able shopping eperience also on the Internet! ;ith an

unparalleled assortment of the leading international and national brands in menKs clothing per cent overall retail mar7et inIndia< including both organi.ed and unorgani.ed sectors< is li7ely to reach a @hopping Rs!5+


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In$u+tr) Structure

0he Indian retail industry has primarily been dominated by the unorgani.ed segment! 0he

primary reason for the higher share of unorgani.ed retail emanates from the fact that rural sales

account for more than one6half of the total industry sales! /ven in urban areas< a significant

proportion of the retail revenue is generated by unorgani.ed retailers such as 7irana stores< fruit

( vegetable vendors< petty shops< ha@7ers< etc!

Retailing in India is highly fragmented< and is dominated by independent o@ner6managed outlets

commonly 7no@n as Qmom ( pop stores! 0hese stores number nearly 42 million and morethan 3 are small family businesses utili.ing household labour! One6half 8>39 of these retail

outlets speciali.e in the food ( grocery!

Cood and groceries has the biggest share in the overall retail pie< accounting for the around +,!

"o@ever< it has the lo@est organi.ed retail penetration! ;ithin the organi.ed retail sector in mature retail mar7ets such as US!

0hus< there is a current improvement opportunity of up to Rs 2> billion< according to 0echnopa7!

In the net 43 years< this gap of Rs 2> billion could go up to Rs =33 billion< and hence a lot more

investment and effort @ould have to be put in to reduce this!

On other measures of supply chain effectiveness also< Indian retailers lag behind that of mature

mar7ets! Indian retail chains turn their inventory much slo@er< and stoc76out levels are also

higher! /ven the more established retail chains are able to turn their inventory only half as fast as

retail chains in US or ;estern /urope< and stoc7 out levels are also t@ice or thrice as much! On

the other hand< shrin7age levels are in tandem @ith international benchmar7s!

42


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esides dealing @ith large number of S$Us and categories< Indian retailers have to deal

@ith a fragmented supply base and a number of intermediaries 8especially non branded

products9< leading to lo@ margins and fluctuation in price and availability! Also< due to the

presence of big manufacturers< traditionally the po@er eHuation had been resting @ith the

supplier< rather than the retailer in most cases! 0he fragmented supply base and large number of

intermediaries also leads to a s@elling up of product costs by the time it reaches the retail point!Due to the pressure of 7eeping prices lo@< the margins are often sHuee.ed out< leaving very little

for retailers< @hile affecting product Huality and availability!

4=


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E3commerce #n Reta#l#ng

IndiaKs online retail industry has gro@n at a s@ift pace in the last > years on the bac7 of

increasing Internet penetration and use of cheaper smart phones! ;hile early gro@th came from

boo7s< electronics and apparel< ?RISI# epects ne@ segments li7e grocery< je@ellery and

furniture to add to the momentum!

Most of the eisting retailers in mass grocery and multi6brand apparel do not use e6commerce to

sell their products! /ven for specialty retailers< e6commerce does not form a significant part of

their sales! "o@ever< gro@ing competition from online retailers and mar7etplaces is starting to

eat into the revenues of physical retailers< compelling them to go onlineand slo@ additions of

ne@ stores! 0he impact is highest in segments li7e boo7s< music and electronics @here product

specifications are standard and differentiation is lo@! More recently< the competition has

increased in apparel and foot@ear too!

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Ca1ter 4

Callenge+

0he past t@o years have been tough for retailing< and the sector eperienced overall single digit

revenue gro@ths! 0his is because of the protracted @ea7ness in consumerKs discretionary

spending due to higher inflation< marginal real @age gro@th and lo@ level of macroeconomicactivity! In terms of revenue gro@th< the @orst affected @ere the retailers focusing on the

premium and luury segments! /ven value retailing 8@hich is often considered more resilient to

economic slo@do@ns9< has eperienced pressure @ith customers do@nshifting to unorgani.ed

formats!

0o combat slo@ing same store sales gro@th< retailers are offering deep discounts to generate

volumes at the cost of margins! Retailers are also adopting cost rationali.ation measures such as

closure of unprofitable stores< boosting labor productivity< better inventory management


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In 2345< leading retailers are epected to put financial goal of profitability on the top of their

agenda! At store level< the retailers @ill be focusing on improving store profitability further

through productivity enhancement and better inventory management! At corporate level< the

retailers are li7ely to 7eep major costs such as supply chain and manpo@er in line @ith the

revenue to ensure profitable gro@th of the business

Organi.ed retailers @ill continue to face stiff competition from the unorgani.ed sector! 0he latter

have a lo@ cost structure< are mostly o@ner6operated< @ith negligible real estate and labor costs

and pay little or no taes! 0raditional retailers have also risen to the competition from organi.ed

retailers! 0he adoption of I0 systems< surveillance systems< trac7ing the customer database!

' - #ocating products through signs< graphics etc

' - #ighting ' -

Music ' -Cragrance ' -

?olors

0:. Can )ou recall one 1ro$uct ba+e$ on te $#+1la) c &a+ 1rom#nentl) 1romote$ #n

te +toreD

Please specifyVVVVVVVVVV

0


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Ca1ter @

RE!ERENCES6

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http*EE@@@!slideshare!netEprayu7th4Eindian6retail6landscape62345

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2>(ItemidX=32

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