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A

Project Report

On

The Study at Dr. A.S. Rao Nagar with reference to Spencers Retail Ltd on

Market Potential and Customer Preferences.

A Project Report Submitted in partial fulfillment for the award of

POST GRADUATE DIPLOMA IN MANAGEMENT

Submitted By:

Ajay Kumar Gupta

(Registration No.: 08/06)

ICBM-SCHOOL OF BUSINESS EXCELLENCE

Rajendra Nagar, Hyderabad-500 048

Approved by AICTE

(2008-2010)

[ICBM-SBE] Prepared by Ajay Kumar Gupta Project Report


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ACKNOWLEDGEMENT

Interdependence is a higher value than independence

Some Says Managers are born and some says managers are made. I was also in

some dilemma before commencing my Summer Internship Project. But after the

successful completion of my summer internship project, I came to know that

managers are made if they are guided properly and are motivated to work willingly

towards fulfillment of specific goal.

It is with a sage sense of gratitude, I acknowledge the efforts of whole hosts of well

wishers who have in some way or other contributed in their own special ways to the

success and completion of this summer internship project.First of all, I express my sage sense of gratitude and indebtedness to my Principal,

Prof. S. Zarar of ICBM-School of Business Excellence, Hyderabad, from the bottom of

my heart, for his unprecedented support and faith that I do the best and his valuable

recommendation and for accepting this project.

I sincerely express my thanks to our Marketing lecturerProf. Jitender Govindani for

his valuable guidance and intellectual suggestions during this project.

Also, I also express my sincere thankfulness to my mentor Dr. P Sai Rani, Mr.

Khaja Qutubuddin and Mrs. Annie Kavitha for their kind advice, suggestions and

constant help in a lot of various ways during project course.

Further I express my sage sense of gratitude to Mr. Sudhakar Balivada, Regional

Marketing Manager of Spencers Retail Ltd (A RPG Group enterprise) and Mr. Rajneesh

Jha, who were kind enough to give an opportunity to work under their immense expertise.

I sincerely thank to both of them for their valuable suggestions, motivation and

encouragement. I express my thanks to the Spencers Supporting Team, for their support

and encouragement in bringing out this project report.

I would be failing in my duty if I dont express my profound gratitude to the entire

respondent who has spent their valuable time to answer the questionnaire.



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Last but not the least; I would also like to expand my thanks to all faculty members of

ICBM-School of Business Excellence, Hyderabad, who have helped a lot during the course

of my project.

Finally, I sincerely express my thanks to all my friends and the Staff members ofICBM-School of Business Excellence, Hyderabad for their support.

Ajay Kumar Gupta

(Registration No.: - 08/06)



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DECLARATION

I, Ajay Kumar Gupta student of ICBM-School of Business Excellence,Hyderabad,hereby declare that this project report entitled The Study on Market

Potential and Customer Preferences with reference to Spencers Retail Ltd at

Dr. A.S. Rao Nagar for Spencer Retail Limited (A RPG Enterprise), Hyderabad,

is a bonafide record of work done by me during the course of summer internship

project work of PGDM program and all contents and facts are prepared and

presented by me without any bias.

I also declare that it has not previously formed the basis for the award to me for

any degree/diploma associate ship, fellowship or other similar title, of any

Institute/Society.

Place: Ajay Kumar Gupta

Date:



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PREFACE

I want to express my gratitude for the experience and practical knowledge that I

gained during the summer internship project at Spencers Retail Ltd (An enterprise of

RPGs group).It was my first experience when I went to the market not to buy anything but

to do the survey and to Study of Market Potential and Customer Preferences at Dr. A.S Rao

Nagar, Hyderabad with reference to Spencers Retail Ltd. The basic need of this survey is

to interact with customers. On first day I was nervous, but because of the good image of the

SPENCERs in the market the people reacted positively.

For accomplishment of the project report I think about the conditions and views

and then I used to compose the whole thing on computer. In making the project report

theoretical knowledge was needed more than the practical which was given to us by my

professors in my institutes. In the market the experience relating to the practical knowledge

was very good which realized me about the real conditions of the marketing.The project flows logically consisting of market research, data collection method

and questionnaire. It hoped that the findings and the suggestions will help the company,

confidently to formulate its strategy in comparison to its competitors. I have enjoyed my

summer internship at Spencers and have learnt lots of new things, which will be helpful to



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me during my work in any organization. I thank Spencers for giving this opportunity at

their office and being good to me all the time.

I am please to work in this esteemed organization. I have tried my best to make

this report a reader friendly & also did my level best to fulfill the objective of the summertraining.

Lastly I am giving thanks to ICBM-School of Business Excellence family who

gave me their precious time to make project successful.

CERTIFICATE FROM GUIDE

This is to certify that the project entitled The Study on Market Potential and Customer

Preferences with reference to Spencers Retail Ltd at Dr. A.S. Rao Nagar is a bona fide work

of Ajay Kumar Gupta, a student of ICBM-School of Business Excellence bearing Roll No.

PGDM/08-10/06, and was successfully conducted at Spencers Retail Ltd. Hyderabad, from

1stMay to 15th June 09, for thepartial fulfillment for the award of Post Graduate Diploma in

Management (PGDM).To the best of my knowledge this is an original piece of work.

I wish him all the very best in his career endeavors.

Dr. P. SAI RANI



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(.)

(PROJCET GUIDE)

TABEL OF CONTENTS

S.No. CONTENTS

1. Executive Summary

2. Introduction to Retailing

3. Objective of the Study

4. Research Methodology and Scope of the Study

5. Assumption of Study

6. Retail Sector and its scope in India

7. Company Profile

RPG Group

Spencers Retail Ltd.

8. Introduction to Market Potential and Catchment Analysis9. Data Analysis and Interpretation

10. Findings of the Study

11. Challenges and Opportunities

12. Suggestions and Recommendation



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13. Limitations of Study

14. Conclusion

Annexure

Bibliography

Retailing Customer is King

A Customer is the most important visitor on our premises. He is not dependent on us. We are

dependent on him. He is not an interruption on our work. He is the purpose of it. He is not an

outside of our business. He is a part of it and we are not doing him a favor by servicing him. He is

doing us a favor by giving us an opportunity to do so.

Mahatma Gandhi

Some Published issue of Retail Industry

The retail industry is expected to grow into a USD 427 billion industry by 2010- FICCI.

Indias retail industry, which is in the middle of rapid growth, has already

scripted success stories fit to be the subject of a Bollywood film-Business Standard.

The impact of organized retailers that have seen swarming of malls lately, on the mom-n-pop

stores in 20 Indian cities- Indian Council of Research in International Economic Relations

(ICRIER).

Modern Retailing Comprehensive policy vital- The Hindu

Retail boom triggers ancillary industry growth- The Times of India



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The Indian Macro Economy

Tops AT Kearney list of emerging markets for global Retailers to enter.

2nd Fastest growing economy in the World and 50% of the total GDP led by services such

as IT, telecommunications, healthcare and retailing.

GDP growth rate for the year 2007-08 ended at 9.4% (in 1 st quarter) and current GDP (6 %)

is better than China and other developed country.

Reserves crossed the $150 billion mark, showcasing India as one of the top ten holders of

Foreign exchange reserves.

Population 1000+ Million 50 Million Rich and 300 Million Middle class

65% of population below 35 years and 54% below age 25 years

Working population in India is growing like most other developed countries.

China has issues of median age 30-34 years at the early stage of development and

psychology issues after implementation of one child policy

Housing Boom due to nuclear family, low interest rates, tax benefits from government

and lastly strong Indian values driven by savings and owning home

Economy - 4h largest economy in the world on PPP basis (next only to USA, China and

Japan) -One of the fastest growing economy with 6.5% average growth in GDP for last 10

years and is expected to rank 3rd by 2010, just behind the US and China

Fragmented retailing with 5 million retailers and 95% less than 500 sq ft nation of shop-

keepers -brilliant trading and entrepreneur community

Over 3.9 million tourists visited India this year, up from 3.0 million last year.

India is on the track to be the servicing capital of the world (As China is manufacturing

capital) and Organized retail growing at 25-30%+ p.a. compound growth.

IPL has again drastically changed the outlook of the whole world towards India. It has the

highest paid players across the Globe / Sports.



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Real Estate & Retailers in India are the most aggressive in Asia in expanding their

businesses, thus creating a huge demand for real estate. Their preferred means of expansion

is to increase the number of outlets in a city and also expand to other regions.

Driven by changing lifestyles, strong income growth and favorable demographic patterns,

Indian retail is expanding at a rapid pace.

Besides the 6 metros, India has 61 other cities with populations greater than 0.5 million and

contributes about 14% to the countrys GDP.

India Vs World

Indian retail is fragmented with over 12 million outlets operating in the country which is 13

times more the all retail outlets operating in USA (0.9 million outlets).

India has the highest number of outlets per capita in the world - widely spread retail

network but with the lowest per capita retail space (@ 2 sq. ft. per person)

Annual turnover of Wal-Mart (Sales in 2001 were $219 billion) is higher than the size of

Indian retail industry. Almost 100 times more than the turnover of HLL (India's largest

FMCG Company).

Wal-Mart - over 4,800 stores (over 47 million square meters) where as none of India's large

format store (Spencers, Big Bazaar, Shoppers' Stop, Westside, Lifestyle) can compare.

The Wal-Mart sales per hour of $22 million are incomparable to any retailer in the world.

Numbers of employees in Wal-Mart are about 1.3 million where as the entire Indian retail

industry employs about three million people.



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One-day sales record at Wal-Mart (11/23/01) $1.25 billion - roughly two third of HLL's

annual turnover.

Developed economies like the U.S. employ between 10 and 11 percent of their workforce

in retailing (against 7 percent employed in India today).

60% of retailers in India feel that the multiple format approach will be successful here

whereas in US 34 of the fastest-growing 50 retailers have just one format

Inventory turns ratio: measures efficiency of operations. The U.S. retail sector has an

average inventory turns ratio of about 18. Many Indian retailers have inventory turns levels

between 4 and 10 - KPMG surveyed.

Global best-practice retailers can achieve more than 95 percent availability of all SKUs on

the retail shelves (translating into a stock-out level of less than 5 %).The stock-out levels

among Indian retailers surveyed ranged from 5 to 15 percent.



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1. Executive Summary



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Executive Summary

Retailing is emerging as a sunrise industry in India and is presently largest employer after

agriculture. Some economists say that Retailing is one of the pillars of the economy in India, and

some say it is gold mine of Indian economy. Retailing in its present form started in the latter half of

20th century in USA and Europe. Retail industry is divided into organized and unorganized sectors.

Over 12 million outlets operate in the country and only 5% of them being larger than 500 sq ft

(46 m) in size. Organized retailing in India is projected to grow at the rate of 25-30% p.a., is

estimated to grow from the US $ 330 billion in 2007 to US $ 427 billion by 2010 and US $ 637

billion by 2015. Indian Retail Sector is growing very fast with so many new players are coming in

this growing organized sector and trying to attract customers by giving attractive offers and

offering competitive prices etc.

Spencers Retail Ltd is Indias leading retailer that operates in multiple formats. The company

operates over 6 million square feet of retail space, has over 350 square feet of retail stores across

60 cities in India and employs over 4500 people.

The motive of the study is to know the market potential at Dr. A.S. Rao Nagar, Hyderabad with

reference to Supermarkets & find out the customers perception about Supermarkets & what are

the customers expectations from Spencers Retail. The main purpose of the study is to find out the

target customers, preferences of the customers and sales potential with reference to Spencers.

The study is done with the help of primary data given by respondents during survey and secondary

data to know the market potential and customer preferences at Dr. A.S Rao Nagar, Hyderabad

market with reference to Spencers Retail Ltd, and also to understand the current market position

of Spencers Daily at that area and know the potential customers. This study is done with the help

of area mapping and catchment analysis technique. Primary data is collected through personal

interview using structured questionnaire and secondary data is collected from management of the

Spencers Retail Ltd, various book, journals and from Spencers website.



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Dr. A.S. Rao Nagar is a developing area of Hyderabad and it consists of all classes of families.

Most of the families belong to Socio Economy Class (SEC) A & B. Most of the residents fall in to

age group 18-45. Most of the families have 4 to 5 members in their families. Residents are well

educated and holding jobs. Their monthly incomes are ranging from 10,000-20,000 and above.

Approximately 86.5% people visit Supermarket for shopping and 50.75% people visit to Spencers

Daily Supermarket. From the above data it can be observed that there is a potential for good market

opportunities for retail Supermarket.

The reason for visiting super markets as mentioned by the respondents varied from better services

to pricing to variety of products available with the super markets. 44.75% respondents visit super

markets for the prices offered by the super markets and 46.75% mentioned that the quality of

product provided by the super markets is the reason for their visit to super markets.

The other factors which attract the respondents to various super markets are variety of products

offered, fresh products like fruits and vegetables, availability of dairy products, home delivery,

parking facilities, accepting debit/ credit cards, fast billing, booking counters, customer service,

courteous and friendly behavior and ambience.

Most of the customers complained regarding customer service, variety of product with deep

assortment, store image, arrangement of products, pricing, product knowledge of employee, quality

of products, parking space, product updation, closing time at Dr. A.S. Rao Nagar with reference to

Spencers Daily.

Company can enhance its business or increase its sales by doing these things; provide better

customer service than its competitors, increase the variety of merchandise with deep assortment,

arrangement of product should be in proper way that creates good store image, provide club

Spencers membership card to the customers. Company should also include apparels segment in

the store, should advertise through pamphlets about various offers, provide parking space andemploy knowledgeable sales staff.



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This study helped me a lot for analyzing the market, understanding retail business and how to

respond in critical situations. Findings and suggestions/recommendation of this report might be

helpful for the company to improve its performance and business.

2. Introduction to retailing



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Introduction

The word retail has its origin in French word retaillier and means to cut a piece offorto

break bulk. The term Retailing is defined as All activities involved in selling goods and services

directly to final consumers for their personal and non-business use. In simple terms, it implies a

first-hand transaction with customer. Retailing involves a direct interface with the customer and the

coordination of business activities from end to end right, from the concept or design stage of a

product or offering, to its delivery and post delivery service to the customer. The industry has

contributed to the fastest changing and dynamic industries in the world today.

Retailing, it is an emerging trend in the India and Hyderabad is not far behind which is also

witnessing the stupendous growth and opportunities presented by this sector. Many institutions-

Manufacturing, Wholesalers and retailers do retailing, but most retailing is done by Retailers. A

business wholesales come from primarily from retailing. It is a proven fact that in India the retail

industry has become the 2nd largest employer after agriculture. Indian retail sector is in boom

period and many reasons are contributing to it.

The retail scenario in India is unique. Much of it is in the unorganized sector, with over 12 million

retail outlets of various sizes and formats. Almost 95% of these retail outlets are less than 500 sq.

ft. In size, the per capita retail space in India being 2 sq. ft. compared to the US figure of 16 sq. ft.

Thus Indias per capita retailing space is the lowest in the world.

With more than 9 outlets per 1000 people, India has the largest number of outlets in the world.Most of them are independent and contribute as much as 95% to the total retail sales. Because of

the increasing number of nuclear family, working women, greater work pressure and increased

commuting time, convenience has become a priority for the Indian consumers.



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The growth and development of organized retailing in India is driven by two main factors lower

price and benefits the consumers cant resist. According to experts, economies of scale drive down

the cost of supply chain, allowing retailers to offers more benefits offered to the customers.

Globally, retailing is customer-centric with an emphasis on innovation in products, process and

services. In short, the customer is the king.

The Indian retail market is the 5th largest retail destination globally. It is estimated to grow from the

US $ 330 billion in 2007 to US $ 427 billion by 2010 and US $ 637 billion by 2015.

In Hyderabad, Spencers Retail came up as the organized retail outlet in the form of a Hypermarket

in the year 2001, with its inception in Hyderabad, shopping got an altogether new meaning in

Hyderabad. Some of the striking features of Spencers Retail a big and different formats having

nice store image, along with soothing music and luring visual display of the products with self-

selection facility magnetizing customers to choose from a wide assortment and variety of the

products priced with entrancing discounts and fabulous offers.

The emergence of organized retailing has led to competition which has resulted to the

demographics & psychographic changes in the life of urban consumers. The life style and

purchasing power of the middle class & upper class segment have fuelled the growth of organized

retailing to intense competition among the big players.

Spencers Retail is facing big intense competition from organized retail outlets like Big Bazaar,

More, Vijetha, Hyderabad Central, Spar, Shoppers Stop, Pantaloons, Heritage fresh @, Food

World, Reliance fresh, Vishal Mega Mart etc, to name a few, and from unorganized retailers like

Kirana shops, Garment shops etc. Competition in retail sector has become extremely keen. Many

new players coming in the retail market has increased the degree of competition by adopting 5 Ps

(i.e. place, product, price, promotion and people) for successful retailing. While some of the exiting

retailers survived, others failed to do so.



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3. Objective of the Study



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Objectives of the study

To study Dr. A.S. Rao Nagar area demographic wise.

To study about the perception of customers with reference to availability of products and

services in supermarket/Spencers.

To study about customer preferences and frequency of shopping.

To know the target customers of Spencers Retail/Supermarket at Dr. A.S. Rao Nagar.

To understand the customers expectation from retail service provider.



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4. Research Methodology

and Scope of the Study



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Research Methodology

The study is relied on primary as well as secondary data.

The primary data is collected through personal interviews using structured Questionnaire.

The Secondary is collected from management of the Spencers Retail Ltd, various books, journals

and Internet.

Sampling Methods:

Probability sampling method or simple random sampling

Universe: -

The research work was accomplished in Dr. A.S. Rao Nagar, Hyderabad, so Dr. A.S. Rao Nagar,

Hyderabad is my Universe.

Sample Size: -

Sample size was 400.

Research Instrument: -

For this study, for the collection of various data requirement, structured questionnaire is used. This

questionnaire contains qualitative and quantitative information of the customers. The questionnaire

contains of both open-ended and close ended questions, which would help to know the situationprevailing in the market.

Statistical Tools Used

For the purpose of data analysis, Percentage Method is used for calculation and result was

interpreted.

No. of Respondents

Percentage = ---------------------------100

Total Respondents



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Scope of the Study

With the help of primary data given by the respondent during survey and secondary data, study is

done to help the Spencers Retail Ltd to understand the market potential at Dr. A. S. Rao Nagar,

Hyderabad market, also to understand the customer preferences and, potential customers and

current market position of Spencers Daily at that area.



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5. Assumptions of the Study

The assumptions of the study are----

Questionnaires which were filled by both husband and wife and other members of family

have been considered by me as filled by male (earner) only.

Those questionnaires which are more than 80% filled, I have taken them in to consideration

as a full filled questionnaire.

Customers who visit occasionally to Spencers in a month or with 15 days, I consider that

once in a week.



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6. Retail Sector and its scopein India



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Retail Sector and its scope in India

Structure of Indian Retail Sector

The retail industry continued in India in the form of Kirana stores till 1980. Soon, following the

modernization of the retail sector in India, many companies started pouring in the retail industry in

India like Bombay Dyeing, Grasim etc. From that time the retail sector in India can be widely split

into the organized and the unorganized sector.

Organized Retail Sector

After 50 years of unorganized retailing and fragmented Kirana stores, the Indian retail industryhas finally begun to move towards modernization, Systematization and consolidation. Today,

modernization is the catch phrase and the key to understanding retail in the next decade.

There has been a boom in retail trade in India owing to a gradual increase in the disposable

incomes of the middle class households, as a result of good performance of IT, Service and

Infrastructure sectors. More and more players are entering the retail business in India to introduce new

formats like malls, supermarkets, discount stores, department stores and even changing the traditional

looks of bookstores, chemist shops, and furnishing stores.

Organized retail formats prevalent globally

Malls

Supermarkets

Hypermarkets

Discount Stores

Department Stores

Specialty Stores

Internet Retailing

Convenience Stores

MBO



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Unorganized Retail Sector

The unorganized retail sector basically includes the local Kirana stores, hand cart, the

vendors on the pavement (sidewalk) etc. This sector constitutes about 95% of the total retail trade. As

70% of the employment is generated in Agriculture sector, hence this form of retailing is widely seen

in those areas and of course to some parts of the urban. There is a lot of hue and cry in the sector for

opening of sector for direct investment from the foreign players, but government cannot neglect the

interests of small players. One of main reason of not opening this sector to FDI is it may shrink the

employment in the unorganized sector and expand that in the organized.

The Evolution of retail in India

Traditional Established Emerging

Formats Formats Formats

Itinerant Salesman Kirana shops Exclusive retail outlets

Haats Convenience/Department stores Hypermarket

Melas PDS Malls/Multiplexes

Kiosks Pan/Beedi shops Specialty Malls

Post Office Fast food outlets etc.

India's Largest retail Chains:

1. PDS (Public Distribution System): 463,000

2. Post offices: 160,000

3. KVIC (Khadi & Village industries): 7,000

4. CSD (Canteen Stores Department) Stores:3,400

(Source business world marketing White book 2005)



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Current Scenario of Indian Retail Sector

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

2nd most attractive emerging market for investment after Vietnam in the retail sector by AT Kearneys

seventh annual Global Retail Development Index (GDRI), in 2008. The share of retail trade in the

countrys gross domestic product (GDP) was between 8-10% in 2007. It is currently 12%, and is likely

to reach 22% by 2010.

A McKinsey report 'The rise of Indian Consumer Market', estimates that the Indian consumer

market is likely to grow four times by 2025. Commercial real estate services company, CB Richard

Ellis' findings state that India's retail market is currently valued at US$ 511 billion

Indian retail on the fast-track

The Indian retail market is the fifth-largest retail destination globally. It is estimated to

grow from the US$ 330 billion in 2007 to US$ 427 billion by 2010 and further US$ 637

billion by 2015. Indian retail showed a growth rate of 49.73% with a turnover of US$ 25.44

billion in 2007-08 as against US$ 16.99 billion in 2006-2007.

Retail contributes to 10 per cent of Indias Gross Domestic Product and provides

employment to 8 per cent of Indias working population.

Higher disposable incomes, easy availability of credit and high exposure to media and

brands has considerably increased the average propensity to consume over the years.

GRDI

India ranked first for the third consecutive year on the Global Retail Development Index 2007,

conducted by AT Kearney across 30 emerging economies. India is ranked as the most preferred

retail destination for international investors.GCCI

India ranked first for the fifth time on the Global Consumer Confidence Index June 2007,

conducted by The Nielsen Company. Indians were judged as the worlds most optimistic

consumers, with high financial confidence about their income for the next 12 months.



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The contribution of retail sector to GDP has been manifested below:

Country Retail Sector's share in GDP (in %)

India 10

USA 20

China 8

Brazil 6

The analysts foresee bright future of the retail sector. A huge number of shopping malls, nearly

100, have come up in the recent past, generating 20mn sq ft. retail space, extending more space of

about 12mn sq ft to it. Nearly 60 malls are on the verge of completion and may be operational by

the end of current financial year. A forecasted number of nearly 200 malls, in a move to make

additional 50mn sq ft of retail space, will be completed within the next two-years.

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 centers. In the Indian retailing industry, food is the most dominating sector and is

growing at a rate of 9% annually. The branded food industry is trying to enter the India retailindustry and convert Indian consumers to branded food. Since at present 60% of the Indian grocery

basket consists of non- branded items. The global retail giants like Wal-Mart, Spar International,

Tesco, K-Mart/SEARS, Carrefour, ZARA, FCUK, Carrefour Group and The Home Depot, NEXT,

Mother Care, lKEA, Trussardi, DKNY and many more have made plans to march in the Indian

market.

Companies like Spencers, Shoppers Stop, Trent, Reliance, Lifestyle, Pantaloons Tanishq,

Crossroads, Vishal and More already have planned to invest over Rs 5,000cr. Trent is on the edge

to take both its brands 'Star India Bazaar' and 'Westside' to new cities, meanwhile Shoppers' Stop

has recently geared up for expansion of present ones and to add 11 new stores including two

hypermarkets. Pantaloon has planned to add eight 'Big Bazaar' malls within the next 6 to 8 months

and also Spencer has geared up for opening 15 hypermarkets in near future.



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After partition, Reliance Industries Ltd (RIL) is substantially getting ready to enter in field

of retailing. RIL is poised to emerge as the single largest player in this sector. On the other hand,

Toscos, Wal-Marts or Safeway does ultimately enter in the country. So finally, Shoppers' Stops,

Westside, Pantaloons and West sides in coming years have will face stiff competition.

Major Indian Retailers:-

RPG Retail-Formats: Music World, Books & Beyond, Spencers Hyper, Spencers Super,

Daily, Express & Fresh

Pantaloon Retail-Formats: Big Bazaar, Food Bazaar, Pantaloons, Central, Fashion

Station, Brand Factory, Depot, aLL, E-Zone etc. The Tata Group-Formats: Westside, Star India Bazaar, Steel junction, Landmark, and

Titan Industries with World of Titans showrooms, Tanishq outlets, Chroma.

K Raheja Corp Group Formats: Shoppers Stop, Crossword, Hyper City, Inorbit

Lifestyle International- Lifestyle, Home Centre, Max, Fun City and International

Franchise brand stores.

Pyramid Retail-Formats: Pyramid Megastore, True-Mart

Nilgiris-Formats: Nilgiri's supermarket chain Subhiksha-Formats: Subhiksha supermarket pharmacy and telecom discount chain.

More-Formats: Supermarket chain and hypermarket chain

Vishal Retail Group-Formats: Vishal Mega Mart

BPCL-Formats: In & Out

Reliance Retail-Formats: Reliance Fresh

Reliance ADAG Retail-Format: Reliance World

German Metro Cash & Carry:- Wholesale

Shoprite Holdings-Formats: Shoprite Hypermarket



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International Retailers:-

The world's largest retailer, Wal-Mart, has tied-up with Sunil Mittal's Bharti Enterprises to

enter Indian retail market.

Microsoft's first shop-in-shop pilot has been launched with the Tata Group subsidiary

Infiniti Retail's multi-brand consumer durables retail format, Croma.

The Walt Disney Company, consumer product retailing arm of global animation giant,

will soon add 135 new stores to its existing 15 stores.

World's leading coffee chain, Starbucks' enters India through a tie-up with the country's

leading multiplex operator PVR Limited.

Apple Inc has entered into an exclusive marketing and distribution deal with Reliance

Retail through "iStore by Reliance Digital".

Some of the international players that have already entered India include McDonald's,

Pizza Hut, Dominos, Levis, Lee, Nike, Adidas, TGIF, Benetton, Swarovski, Sony, Sharp,

Kodak, Medicine Shoppe among others.



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7. Company Profile



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Company Profile RPG Enterprise

Type: - Private Conglomerate

Founded: - Mumbai, India (1979)

Founder(s):- RP Goenka

Headquarters: - Mumbai, India

Key People: - RP Goenka (Chairman Emeritus)

Harsh Goenka (Chairman)

Sanjeev Goenka (Vice Chairman)

Industry: - Power, Retail, Tyres/Tires, Transmission,

Technology, Entertainment and other

Revenue: - US$3.25 billion

Employees: - 58000

Website: - www.rpggroup.com

RPG Enterprises:-

http://www.rpggroup.com/http://en.wikipedia.org/wiki/File:RPG_Logo.pnghttp://www.rpggroup.com/


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RPG Enterprises, established in 1979 by RP Goenka, is one of Indias fastest growing

business groups with a turnover touching Turnover of Rs. 13,500 cr. and initially encompassed

Phillips Carbon Black, Asian Cables, Agarpara Jute and Murphy India. Currently, RP Goenka

retains the title of Chairman Emeritus, while the chairmanship and vice-chairman ship have been

assumed by his sons Harish and Sanjeev Goenka respectively.

The group has more than twenty companies managing diverse business interests in the areas of

Power, Tyre, Transmission,IT, Retail, Entertainment, Carbon Black, and Specialty.

The conglomerates major companies, subsidiaries and affiliates are..

Power

CESC

Noida Power Company Limited

Tyres / Tires

CEAT

CEAT Srilanka

Phillips Carbon Black

Harrisons Malayalam

Transmission

KEC International

RPG Transmission

Nitel

Technology

Zensar Technologies

RPG Cables

RPG Life Sciences

Raychem RPG

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Retail

Spencer's Retail

Music World

Books and Beyond

RPG Cellucom

Entertainment

Saregama

Other

Spencer's Travel Services

Spencer International Hotels

Wide-ranging businesses, growing returns and a reputation to reckon, makes working with RPG an

enriching experience. Where entrepreneurial skills are valued, excellence is the by-word, and

performance is a pre-requisite.

Management

The RPG Management Board is the backbone of the conglomerate. Its members are highlyqualified professionals, well experienced in their respective fields.

Values

RPGs business ethics promote higher levels of excellence. The groups values of

Customer Sovereignty, People Orientation, Innovation & Entrepreneurship, Transparency &

Integrity and Passion for Superior Performance, Anticipation, Speed and Flexibility propel it to

perform and excel in all spheres of the business.

Quality

For RPG quality determines success. Continuous process improvements are carried out to

ensure complete satisfaction of customer and market requirements.

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Beyond Business

RPG is a socially responsible organization; believing in giving back to the community what

it has gained from it. The group regularly contributes toward the welfare of various social

groups and is involved in promoting social activities in the field of sports and arts.

History of RPG Group

The history of RPG began in 1820 when Ramdutt Goenka, from a small town in Raja sthan, came

to Calcutta to do business with the British East India Company. The following milestones speak of

his enterprising efforts, and the subsequent growth of the RPG group.

By the 1900s the Goenkas establish themselves in diverse business sectors like banking,

textiles, jute and tea.

Sir Hariram Goenka and Sir Badridas Goenka are conferred knighthood by the British for

outstanding contribution to business and the community.

In 1933, Sir Badridas Goenka becomes the first Indian to be appointed Chairman of the

Imperial Bank of India (now the State Bank of India).

He is elected President of the Federation of Indian Chambers of Commerce and Industry

(FICCI) in 1945.

Keshav Prasad Goenka (son of Sir Badridas Goenka) continues the successful trait of

entrepreneurship.

In 1950 Goenkas acquire two British trading houses - Duncan Brothers and Octavius

Steel.

After successful acquisitions in the areas of tea, automobile, tyre, jute, cotton textile and

electric cables, Keshav Prasad Goenka retires in the 70s. His business is taken over by his

three sons.

One of the sons, Rama Prasad Goenka (better known as RP Goenka), starts RPG

Enterprises in 1979 with Phillips Carbon Black, Asian Cables, Agarpara Jute and Murphy

India.



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The 80s see further acquisitions by the RPG group, the first being CEAT Tyres of India in

1981. The group then went on to acquire KEC (1982); Searle India, now RPG Life

Sciences (1983); Dunlop (1984); HMV (1988); and finally CESC, Harrisons Malayalam,

Spencer & Co. and ICIM in 1989.

RP Goenkas sons Harsh (Chairman) and Sanjeev (Vice-Chairman) spearhead the groups

management from 1990.

RP Goenka currently oversees the groups affairs as Chairman Emeritus. Today, RPG

has more than twenty companies across eight business sectors, with a Turnover of Rs.

13,500 cr.

The group recorded a turnover of Rs 11,500 crore (equivalent to Rs. 115 billion) for fiscalyear 2007.

Management Board



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Spencer's Retail Ltd. (A RPG Enterprise)

RPG Enterprises is not only one of the biggest, but also of the most respected names in the

industry. A US $ 3.25 billion dollars business conglomerate, RPG is one of the powerhouses that

drive Indian industry. With more than twenty companies, it spans six business sectors - Power,

Tyres, Transmission, Technology, Retail and Entertainment. With such a diverse portfolio, RPG

Enterprises has had unrivalled success which speaks very highly of the efficiency and vision with

which the group is run. Over the years, RPG Enterprises has built a huge reservoir of trust and

goodwill among the people of India. We at Spencers are truly proud to be a part of the RPG

family.

About Spencers Retail Ltd.

Spencers Retail Limited, part of the Rs 13,500 crores RPG group, is one of Indias largest and

fastest growing multi-format retailer with 350 stores, including 35 large format stores across 60cities in India. Spencers focuses on verticals like food and grocery, fruit and vegetables, electrical

and electronics, home and office essentials, garments and fashion accessories, toys, food and

personal care, music and books. Established in 1996, Spencers has become a popular destination

for shoppers in India with hypermarkets and convenient stores catering to various shopping needs

of its large consumer base. We are proud today of our 350 stores across 60 cities covering a retail

trading area of 1.3 million square feet and an astonishing 4.5 million customers a month. Spencers

is one of the earliest entrants into the retail space and literally introduced the Indian consumer to

the concept of organized retailing. In fact, the first ever hyper store in India was launched by

Spencers at Hyderabad in the year 2001. The journey onwards has been one of the most

aggressive of all the retail players in India. The company started its operations way back in the

early 90s in the south and over the last one year-and-a-half, it has ramped up operations to about

350 stores across 60 cities in India. Spencers is on a high growth path.



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Operations

Spencers has retail footage of over 6 million square feet and over 350 Spencers stores in 60

cities. The company operates through the following formats:

The Spencer's hyper stores are destination stores, of more than 15,000 sq. ft in size. They

offer everything under one roof. The merchandise ranges from fruits & vegetables,

processed foods (Ready to Eat, Ready to Cook, FMCG products),specialty foods including

international, sugar free, organic foods, etc..groceries, meat, chicken, fish, bakery,

chilled and frozen foods, garments, consumer electronics & electrical products, home care,

home dcor & home needs, office stationeries, soft toys. Besides, the stores also comprise

book & music retailing, electronic gadgets and IT accessories. On an average, a Spencers

hyper stocks 70,000 SKUs across 35,000 items.

The Spencer's stores are neighborhood stores ranging from 1500 less than 15000 sq. ft.

These stores stock the necessary range and assortment in fruit and vegetables, FMCG food

and non-food, staples and frozen foods and cater to the daily and weekly top-up shopping

needs of the consumer. Some of these stores which have floor area of more than 10,000 sq

ft sometimes offer home care products; personal care products, bakery, chilled and frozen

food; baby care, basics in garments and limited range of electronics and electrical.

Important Point:-

Fastest growing retail stores with multiple formats and retailing food, apparel, fashion,

electronics, lifestyle products, music and books.

Established in 1996 and headquarter is in Chennai.

Retail footage of over 6 million square feet and over 350 Spencers stores in 60 cities.

Spencers Retail has a loyalty program. They offer a co-branded credit card with HSBC bank

(HSBC Spencer's Retail Credit Card).



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Spencer's Retail Limited, one of India's largest food first multi-format retailer, has been

awarded the Coca Cola Golden Spoon "Most Admired Food & Grocery Retailer for

Convenience and Express formats" Award at the Food Forum of India, 2009 held in Mumbai

and this is the third award that the organization has received, three years in a row. Spencers

was awarded the Turnaround Retailer of the year 2006 at the India Retailers Forum, 2007 in

Mumbai. And Most Evolved Retailer of the year 2007 at the India Retail Forum, 2008.

With an immense amount of expertise and credibility, Spencers Retail has become the highest

benchmark for the Indian retail Industry. In fact, the companys continuing expansion plans

aim to help Spencers Retail meet the challenges of the retail industry in an even better manner

than it does today.

New Ventures

Spencers retail has announced a tie-up with British retailer Woolworths Plc for exclusively

selling its famous toy brand Chad Valley through its outlets.

Besides the Chad Valley range of toys (available at prices Rs. 49 upwards), Woolworths is

also planning to introduce the Ladybird range of kids wear.

Vision

To build Spencers as the most professionally managed retail business in the country through:-

Excellence in all operating processes;

Nurturing and facilitating a learning and growth culture;

Building a unique retail experience for the customers;

Mission

Strives to exceed the aspirations of its customers for a healthy and fulfilling lifestyle by providing:-

The most innovative consumer goods and delectable taste experience.

The ultimate shopping experience.

Unsurpassed customer service.

Unbeatable value

The next place away from home or office to relax and indulge themselves.



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Major Future Plan

It will be going in for public issue within the next 12 months to raise capital for expansion.

The company plans to focus on the larger format stores in the identified growth clusters

with higher market potential value and stronger brand equity for Spencer's. These clusters

are Bangalore, Hyderabad, Coastal Andhra Pradesh, Chennai, Delhi NCR, East UP, Pune,

Mumbai, South Kerala, Aurangabad, Punjab and Kolkata.

The company will be investing Rs. 10 billion over the next 3 years using both internal

source and an IPO.

The company has already reserved 1 million square feet of space all over the country and

will be creating close to 10,000 jobs in its different formats.

Spencers Retail currently employees 4,500 people and has 6 million square feet of space.

In every financial year, Spencers is increasing its stores from 150 to 250 with a target of

expanding by 400 more in the next two years.

The company had last year announced a Rs 1,500 investment plan to expand its business

across the country.

Spencers was the first to introduce the concept of music retailing with " Music World"

chain of stores, followed by "Books and Beyond"[Retail chain of Book Stores] and "RPG

Cellucom"[Retail Chain of Mobile Stores]. They are planning to setup 1,500 cellcoms and

400 Music Stores by 2010.

Spencers has announced that it will very soon launch CRT TVs under the brand name

Yashika. Spencers is all set to enter the standalone Lifestyle Retailing segment by opening

American Lifestyle Brand stores in India - Beverly Hills Polo Club [BHPC]. The company

plans to setup five BHPC stores all in the Delhi NCR region and then move to other

metros.



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Formats of Spencers Outlets

Spencers has retail footage of over 2 million square feet and over 350 Spencers stores in

60 cities.

The company operates through the following formats:-

Spencers Hyper:- A fast growing retail network of hypermarkets with large format stores

in Hyderabad, Mumbai, Gurgaon, Ghaziabad, Lucknow, Calicut, Vizag, Vijayawada,

Aurangabad, Durgapur, Kolkata, Gorakhpur and Warangal.

Spencers super: - One of the largest supermarket chains in the food and grocery segment

in India.

Spencers Daily: - Small format stores conveniently located with a range of products to

meet daily household needs.

Spencers Express: - Food and grocery store next door.

Spencers Fresh: - Spencers Fresh stores provide with an enjoyable convenient shopping

environment in very own neighborhood.

Spencers Hyper:-

The Spencers Hypermarkets are huge destination stores, more than 25,000 square feet in

trading area. Shoppers come here looking for fantastic deals across all categories.

Hypermarkets ensure a comfortable, clean, bright and functional ambience to shop along

with the convenience of finding everything under one roof at the best value for money.



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Spencers Super:-

One of the largest supermarket chains in the food and grocery segment in India.

The Spencers Super is the place to go for weekly and monthly shopping.

About 8000-15,000 square feet in size, the Spencers Super not only caters to the daily

needs but also stocks Home care products, Personal care products, Bakery, Chilled and

frozen food, Baby care besides groceries and staples, Fresh fruits and vegetables and

many more............

Spencers Express:-

Spencers express positioned as the food and grocery store next door.

These stores are around 1000 square feet in size. They are open from 7 am to 9 pm and

also provide with home delivery.

The Express store stockdairy products, fruits and vegetable, bread and bread

products, cut vegetables/ready to cook, fruit juices, fresh butter, fresh coffee/tea, fresh

masalas, fresh pickles, fresh ghee, fresh fish and meat.

Spencers Daily:-

Small format stores conveniently located with a range of product to meet daily household

needs.

The Spencers daily store is a friendly neighborhood store, which caters to the entire

daily shopping need from regular groceries to fresh food and also weekly top-up

shopping.

About 4000-7000 sq ft in size and with a bright and friendly atmosphere, Spencers Daily

saves the hassle of bargaining with the local Kirana shop owners because it offers the

lowest possible prices.



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Spencers Fresh:-

Spencers Fresh stores provide with an enjoyable convenient shopping environment in very own

neighborhood. These 2000 square feet air-conditioned stores are well stocked with fresh food of

the very best quality, such as fresh farm produce, vegetables, fruits, milk, eggs, breads and

much more. With an impressive range and a clean, bright and hygienic ambience, Spencers Fresh

is far better than the regular sabzi mandis or local vegetable markets and at Spencers Fresh

consumers not only do get fresh, clean and tasty farm produce but also lowest possible prices in the

locality, yes even lower than sabziwala!

Snapshot:-

Different formats of Spencers Retail

Format Stocks Min. Trading Area (sq.ft.)

Spencers Express Dairy products, fruits,

vegetables, bread and bread

products, fruit juices, fresh

butter, coffee/tea, masalas,

pickles, ghee, fresh fish and

meats.

1000

Spencers Fresh Vegetables, fruits, milk, eggs,

breads and daily use items.

2000

Spencers Daily Regular groceries and daily use

products.

4000-7000

Spencers Super Home care products, personal

care products, bakery, chilled

and fresh food, baby care

products and daily use items.

8000-10,000

Spencers Hyper Miscellaneous and many more More than 25,000



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8. Introduction to MarketPotential and Catchment

Analysis



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Market Potential

Market Potential:-

Market Potential is the total amount of a product/service that customers will purchase within a

specified period of time at a specific level of industry wide marketing activity or estimated

maximum total sales revenue of all suppliers of a product in a market during certain period of time.

This is an important aspect of marketing since one has to do market research related to his industry

product which can be business to consumer or business to business. Market potential is basically

carried out to know the strength in the industry also to allocate the target to the sales force based on

optimum market research which normally includes the customers requirement and their expansionplans, investment etc. With optimum information a company can know amount of investment for a

product, also for a particular area.

Total Market Demand:-

The total market demand for a product or service is the total volume that would be bought by a

defined consumer group in a defined geographic area in a defined time period in a defined

marketing environment under a defined level and mix of industry marketing effort. Total market

demand is not a fixed number but a function of the stated conditions.

Market demand in the specific period

Market potential

Market forecast

Market minimum

Planned expenditure

Industry marketing expenditures



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Market demand as a function of Industry marketing expenditures

Fig (1): Market Demand

Figure (1) shows the relationship between total market demand and various market conditions. In

this figure, upper limit of market demand is called Market Potential.

Companies have developed various practical methods for estimating total market demand.

A common method to estimate total market demand is as follows:-

Q = n q p

Where Q = total market demand

n = number of possible buyers in the market

q = quantity purchased by an average buyer per year

p = price of an avg. unit

Benefits of Market Potential Analysis:-

Understand market potential for a single store, network of stores or a new market.

Deploy resources effectively by ranking markets in priority order.

Forecast total opportunity in terms of number of customers and revenue potential.

Estimate your market share.

A market potential analysis may include:

A customer profile to understand where to find more like them

Market penetration and market share reports showing performance in existing markets and

expected performance in new markets

Market ranking reports allowing you to prioritize resource deployment into new markets

A geographic view of market opportunity on detailed maps

Market potential can be expressed as a function of:

The number of customers purchasing

Amount purchased

Frequency of purchase



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In other words, market potential = (how many * how much* how often)

Bottom Up or Top Down Market Analysis:-

A Bottom Up approach to market sizing starts with a company customers. How much and

often do they buy? What is their profile? How many potential customers do you have in the

market based on your customer profiles? How can you reach them?

A Top Down approach starts with market and industry data. It takes a close look at a

geographic market area and profiles the consumers and/or businesses to let you know their

propensity to buy your products and services.

Estimating the market or market potential for a new business or business expansion is critical in

determining the economic feasibility of a venture. But market potential is very essential for the

company and by knowing market potential a company can make its position in the market by

finding how many players are there in that sector.



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CATCHMENT ANALYSIS

Introduction about Dr. A.S. Rao Nagar, Hyderabad:-

Dr. A.S. Rao Nagar is developing area of Hyderabad and it consists of all class of family. In his

area 5.4% families belong to Socio Economy Class (SEC) A+, 38.6% families belong to SEC A,

52% families belong to SEC B and 4% families belong to SEC C. All this result has been found

with the help of Area Mapping technique and catchment analysis, all these data are approximate.

By all these data we can find that this area is having good market opportunities retail Supermarket.

If a company doesnt know who its shoppers are, how can company give them what they

want? If company doesnt know where they come from, how can company communicate

with them? Finding answers to these questions is vital but catchment analysis is very

helpful in that.

A company or retail store will be able to optimize its activities if and only if company

knows its market in depth. Its market penetration, its success and its potential depend on

geographical factors, hard to grasp, hard to fully understand, but catchment analysis is very

helpful.

In the catchment analysis, first part is the area mapping of that local market and through

that finds the locations of the competitors, customers and traffic between them. Through

that we quantify the sizes and potentials of that local catchment areas and market of that

area as whole.

With the help of catchment analysis, company knows the best location for business, target

and potential customers

Type of catchment area

There are four type of catchment that is following



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Unitary Catchment

It is hub of the catchment area around the outlet, from where maximum number of people

comes to the retail stores for shopping.

Secondary Catchment

This area is called secondary catchment area which is around 2 km far away retail stores

from where some people come to the shop for shopping.

Tertiary Catchment

The area from where only some selected or loyal customers come to the retail stores that is

more than 2 km far from outlet.

Outer Catchment

Outer catchment area is totally outer area from where only less no. of person sometimes

comes to the outlet,



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9. Data Analysis andInterpretation



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Data Analysis and Interpretation

Research in retail is very essential, as customer preferences and choices are dynamic and change

frequently, the retail company needs to understand these before redesigning its processes for

enhancing business and many more. Since customer interaction takes place at the store and near

store, there is a big opportunity to gather first hand information and feedback from customers

through research and survey. Research is carried out at the retail level for concept testing, business

feasibility analysis, identification of the right product mix, target customer and market potential.

The major objectives ofanalysis of data are:-

To evaluate and enhance data quality

Describe the study population and its relationship

Examine effects of other relevant factors

Seek further insight into the relationship observed or not observed

Evaluate impact and importance



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Target Customers- Age Wise:-This Table reveals about age group of customers at Dr. A.S. Rao Nagar, Hyderabad.

Table-1

Age Group of Respondents

Age Group No. of Respondents % of Respondents

18-25 134 33.526-35 152 38

36-45 56 14

46-55 27 6.7556+ 31 7.75

Pie Chart: 1

Source: Primary Data

Inference:

From the Table-1 and Pie chart-1 depicted above,

Out of 400 respondents who answerd the questionnaire, 33.5% people fall in the age group 18-25

years, 38% people fall in the age group 26-35 years,14% people fall in the age group 36-45 years,

6.75% people fall in the age group 46-55 years and 7.75% people fall in the age group 56+ years.



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From the above analysis, it is observed that majority of the residents fall in the age group 18-25

and 26-35

No. of family members of the Respondents

This table explains about No. of family members in a family of Dr. A.S. Rao Nagar, Hyderabad.

Table-2

No. of Family and Family Member's of RespondentMember's of family No. of Family % of Family

1 2 0.52 20 53 42 10.54 123 30.755 138 34.5

6 54 13.57 15 3.75

8 4 19 1 0.2511 1 0.25

Column Chart-2




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Inference:

From the Table-2, Column chart-2 depicted above,

Out of 400 respondents who answerd the questionnaire, 34.5 people belong to 5 members family,

33.75% people belong to 4 members family, 13.5% people belong to 6 members family, 10.5%

people belong to 3 members family, 5% people belong to 2 members family, 1% people belong

to 8 members family.

Target Customer- Education Wise

This table explains about education level of customers of Dr. A.S. Rao Nagar.



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Table-3

Education Level of RespondentsEducation Level No. of Respondents % of Respondents

S.S.C. 7 1.75

Inter 28 7Graduate 215 53.75

Post Graduate 138 34.5Others 12 3

Pie Chart-3


Inference:

From the table, pie chart depicted above,

Out of 400 respondents who answered the questionnaire, 1.75% people belong to S.S.C. category

education level, 7% people belong to Inter category education level, 53.75% people to Graduate

category education level, 34.5% people belong to Post Graduate category education level and 3%

people belong to others category education level.

Occupation of Respondents

This table describes the occupation of respondents who gave the answer of questionnaire and explain

class of customers of Dr. A.S. Rao Nagar, Hyderabad.



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Table-4

Occupation of Respondents

Occupations No. of Respondents

% of

Respondents

Student 73 18.25House Wife 27 6.75

Service 172 43

Business 87 21.75Others 41 10.25

Pie Chart-4


Inference:

From the table, pie chart depicted above,

On this basis of 400 respondents who answered the questionnaire, 43% people belong to Service

category, 21.75% people belong to Business category, 18.25% belong to Student category, 6.75%

people belong to House Wife category and 10.25% people belong to Others category.

Monthly Income of RespondentsThis table states about the monthly income level of Respondents who gave the answer of this

survey questionnaire and belong to Dr. A.S. Rao Nagar, Hyderabad & so taken by me as a sample

of the entire population for the analysis.

Table-5



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Monthly Income of RespondentsMonthly Income No. of Respondents % of Respondents

< 5k 68 17%5k-10k 78 19.5%

10k-20k 149 37.25%

> 20k 105 26.25%

Pie Chart- 5

Source: - Primary Data

Inference:

From the Table-5, Pie Chart-5 depicted above,

Out of 400 respondents who answered the questionnaire, 17% people belong less than 5000

monthly income category, 19.5% people belong to 5000-10,000 monthly income category, 37.25%

people belong 10,000-20,000 monthly income category and 26% people belong to more than

20,000 monthly income category.

Regular shopping place of Respondents

This question reveals about preference of Respondents regarding retail stores where they shop

regularly.

Table-6

Regular Shopping Place of Respondents

Shopping Place No. of Respondents % of Respondents

Supermarket's 284 71Kirana Stores 45 11.25



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Others 5 1.25Supermarket's & Kirana

Stores 66 16.5

Pie Chart-6

Source:- Primary Data

Inference:- From the Table-6, Pie Chart-6 depicted above,

Out of 400 respondents who answered the questionnaire, 71% people go to Supermarkets

for shopping, 16.50% people shop at Supermarkets and Kirana Stores, 11.25% people

shop at Kirana Stores and 1.25% people shop at others.

Shopping place of Respondents is Spencers or not

This question tells about respondents shop at Spencers or not and also it tells about brand

awareness of Spencers in market.

Table-6

No. of Respondents who visit Spencer's for shopping

No. of Respondents Shop at Spencer's % of Respondents



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203 Yes 50.75%

197 No 49.25%

Bar Chart-6


Inference:-

From the Table-6, Bar Chart-6 depicted above,

Out of 400 respondents who answered the questionnaire, 50.75% people go to Spencersfor shopping but not regularly. By this question it reveals that brand awareness of

Spencers in Dr. A.S. Rao Nagar is nice.

49.25% people do not go Spencers.

No. of times in a week shopping at Spencers by the Respondents

This table explains about frequency of shopping in a week by the respondents in a week.

Table-7

Shopping at Spencer's in a week by RespondentsNo. of times in a week No. of Respondents % of Respondents

1 76 19

2 98 24.5

3 20 5

4 8 2



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20 1 0.25

203 50.75

Column Chart-7


Inference:-

From the table, column chart depicted above,

On the basis of 400 respondents who answered the questionnaire, 19% people go to

Spencers for shopping once in a week, 24.5% people shop at Spencers twice in a week.

5% people shop at Spencers thrice in a week and 2.25% people shop at Spencers 4times

in a week.

Perception of Customers about visiting to supermarket

This table reveals the opinion of customers for visiting a Supermarket. It means the convenience of

the customer to visit a supermarket based on the different factors like better price, accessibility,

availability of variety of products, parking facility, store ambience (it determined by store layout,

soothing music, tempting visual display of the products with self selection facility, etc.), customer

service, range of items, product quality, value for money, offers and discounts, after sales service.

Table-8

Perception of customers for visiting Supermarket



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Outlook

% of

Very

Poor

Respons

e

% of Poor

Response

% of

Avg.

Respons

e

% of

Good

Respons

e

% of VG

Respon

se

% of No

Respon

seBetter

Price 0% 4% 28.50% 44.75% 12% 10.75%Good

Quality of

Products 0% 0.25% 5.5% 46.75% 36.75% 10.75%Variety of

Product to

choose 0.5% 3.75% 37.25% 35% 12.75% 10.75%

Parking

Facilities 0.75% 5.75% 43.25% 33% 6% 11.25%Convenienc

e or

Opening

Hours 0% 1.25% 3% 57% 28% 10.75Product

Knowledge

of

Employee 1% 1.5% 22.5% 57% 7.25% 10.75%Store

Comfortabl

e to shop-

in 0% 0.5% 6.5% 43.5% 38.75% 10.75%

For Better Price



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Column Chart-8


Inference:-

From the Table-8, Column Chart-8 depicted above,

Out of 400 respondents who answered the questionnaire, 44.75% said good about pricing

of products, 28.5% said average, 12% said very good and none said very poor regarding

Better Price in reasons for visiting a Supermarket.



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Column Chart-9


Inference:-


Out of 400 respondents who answered the questionnaire, 46.75% said good about quality of

products, 5.5% said average, 36.75% said very good and none said very poor regarding

Good Quality of Products in reasons for visiting a Supermarket.



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Column Chart-10


Inference:-

From the Table, Column Chart-10 depicted above,

Out of 400 respondents who answered the questionnaire, 35% said good about availability

of variety of products, 37.25% said average, 12.75% said very good and none said very

poor regarding Variety of Products to choose in reasons for visiting a Supermarket.



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Column Chart-11


Inference:-

From the Table, Column Chart-11 depicted above, Out of 400 respondents who answered the questionnaire, Out of 400 respondents who

answered the questionnaire, 33% said good about parking facilities, 43.25% said average,

6% said very good and 0.75% said very poor regarding Parking Facilities in reasons for

visiting a Supermarket.



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Column Chart-12


Inference:-

From the Table, Column Chart-12 depicted above,

Out of 400 respondents who answered the questionnaire, 57% said good about convenience

or opening hours, 3% said average, 28% said very good and none said very poor regarding

Convenience or Opening Hours in reasons for visiting a Supermarket.



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Column Chart-13


Inference:-From the Table, Column Chart-13 depicted above,

Out of 400 respondents who answered the questionnaire, 57% said good about products

knowledge of employee, 22.5% said average, 7.25% said very good and 1% said very poor

regarding Convenience/Opening Hours in reasons for visiting a Supermarket.



68/102

Column Chart-14


Inference:-

Out of 400 respondents who answered the questionnaire, 43.5% said good about Store

comfortable to shop-in (ambience), 6.5% said average, 38.75% said very good and none

said very poor regarding Store Comfortable to Shop-in (Ambience) in reasons for visiting a

Supermarket.

Hence from above analysis, customers show the maximum view on following things in the reasons

for visiting a supermarket product knowkedge of employee (57%), Convenience/Opening Hours

(57%),Good quality of Products (46.75), Better Price (44.75%), Store comfortable to shop-in

( 43.50%), Parking Facilities (43.25%) and Variety of products to choose (37.25%).

Respondents View in selecting a Supermarket



69/102

This question tells about important things for a Supermarket on the basis of customers view.

Table-9

Important things in selecting a Supermarket in Respondents view (in %)

Outlook

Not all

Imp.

Somewh

at Un

Imp. Neutral

Somewha

t Imp.

Extremel

y Imp

No

Respo

nse

Security 1.50% 5.50% 13% 28.50% 41.75% 9.75%

Close to

where You

live 1.75% 2% 16% 20% 50.50% 9.75%

Convenienc

e of

Parking 0% 0.75% 5.75% 57.75% 26% 9.75%

Courteous

Friendly

Employee 0% 0% 5% 20.25% 65% 9.75%

Offers

Several

brands 2.50% 1% 4.50% 29.75% 52.50% 9.75%High

quality

Fruits &

Vegetables 0.50% 0.50% 5% 11.75% 72.50% 9.75%

Diff.

Variety of

Dairy

product 8.75% 1% 5% 32% 43.50% 9.75%

Non Veg. &

Sea food 6% 12.75% 10.50% 52.25% 8.25%

10.25

%

Home

Delivery 0.50% 1.25% 4.25% 42.25% 42% 9.75%



70/102

Column Chart-15


Inference:-

From the Column Chart-15 depicted above,

Out of 400 respondents who answered the questionnaire, 41.75% respondents give their

view regarding Security as extremely important, 28.50% respondents somewhat important,

13% respondents neutral and 5.50% respondents somewhat important during selecting a

Supermarket.



71/102

Column Chart-16


Inference:-



view regarding Close to where you live as extremely important, 20% respondents

somewhat important, 16% respondents neutral during selecting a Supermarket.



72/102

Column Chart-17


Inference:-



view regarding Convenience of Parking somewhat important, 26% respondents extremely

important, 5.57% respondents neutral during selecting a Supermarket.



73/102

Column Chart-18


Inference:-


Out of 400 respondents who answered the questionnaire, 65% respondents give their view

regarding Courteous friendly employees as extremely important, 20.25% respondents

somewhat important, 5% respondents neutral during selecting a Supermarket.



74/102

Column Chart-19


Inference:-



view regarding Offers several brands as extremely important, 29.75% respondents

somewhat important and 4.5% respondents neutral.



75/102

Column Chart-20


Inference:-



view regarding High quality fruits and vegetable as extremely important, 11.75%

respondents somewhat important, 5% respondents neutral and 9.75% respondents No

Response during selecting a Supermarket.



76/102

Column Chart-21


Inference:-



view regarding Offers different of dairy products as extremely important, 32% respondents

somewhat important, 5% respondents neutral and 9.75% respondents No Response during

selecting a Supermarket.



77/102

Column Chart-22


Inference:-



view regarding Sells fresh Non-Veg. & Sea food as somewhat important, 12.75%

respondents 12.75 somewhat Un important, 10.50% respondents Neutral, 10.25%

respondents No Response during selecting a Supermarket.



78/102

Column Chart-23


Inference:-



view regarding Home Delivery as somewhat important, 42% respondents extremely

important and 9.75% respondents No Response during selecting a Supermarket.



79/102

Customers Expectation with respect to Services

This table tells about what kinds of services, customers expect from Spencers and other

Supermarket

Table-10

Kind of Services customers expect

Services Important Not Important No Response

Fast Billing 90.25% 4.50% 5.25%

Ticket Booking

Counter's 24.50% 69.25% 6.25%

Ample Parking 70.25% 24.25% 5.50%

Home Delivery 79.50% 15.25% 5.25%

All C. & D. cards

Should accept 92.50% 2% 5.50%

Column Chart-24



80/102


Inference:-



view regarding Fast Billing as important, 69.25% respondents give their view regarding

Ticket Booking Count

Documents

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