Retail Assignment On

WESTSSubmitted To: Prof. Pravin patil

Submitted on : 05th Sept, 2009

Submitted By: Saurabh Jain

Enro. No: 08BS0003007

Section: B

Westside-Retail Giant

WESTSIDE

TABLE OF CONTENT

SR NO.

PARTICULARS PAGE NO.

1) ABOUT WESTSIDE 3

2) CROMA RETAIL FORMAT 4

3) MERCHANDISE MANAGEMENT 9

4) WESTSIDE STORE LAYOUT 10

5) STORE EXTERIOR & INTERIOR 14

6) ATMOSPHERIC 16

7) IT SYSTEM USED BY CROMA 17

8) SWOT ANALYSIS 19

9) SITE LOCATION & SITE EVALUATION 20

10) MY ANALYSIS 22

11) REFERENCES 25

ABOUT WESTSIDE

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Established in 1998 as part of the Tata Group, Trent Ltd. operates Westside, one of India's largest and fastest growing chains of retail stores. The Westside stores have numerous departments to meet the varied shopping needs of customers. These include Menswear, Women’s wear, Kid’s wear, Footwear, Cosmetics, Perfumes and Handbags, Household Accessories, lingerie, and Gifts. The company has already established 36 Westside departmental stores (measuring 15,000-30,000 square feet each) in Ahmedabad, Bangalore, Chennai, Delhi, Gurgaon, Ghaziabad & Noida (to be considered as 1 city), Hyderabad, Indore, Jaipur, Kolkata, Ludhiana, Lucknow, Mumbai, Mysore, Nagpur, Pune, Rajkot, Surat, Vadodara and Jammu. The company hopes to expand rapidly with similar format stores that offer a fine balance between style and price retailing.

Trent ventured into the hypermarket business in 2004 with Star Bazaar, providing an ample assortment of products made available at the lowest prices, aptly exemplifying its ‘Chota Budget, Lambi Shopping’ motto. At present Star Bazaar has 4 stores in 3 cities located in Ahmedabad, Mumbai and Bangalore. This store offers customers an eclectic array of products that include staple foods, beverages, health and beauty products, vegetables, fruits, dairy products, consumer electronics and household items at the most affordable prices. Star Bazaar also includes a large range of fashionable in-house garments for men, women and children, exclusively available at the store.

In addition, Trent recently acquired a 76% stake in Landmark, one of the largest books & music retail chains in the country. Landmark began operations in 1987 with its first store in Chennai with a floor space of 5500 sq. ft. At present Landmark have 10 stores, varying in size from 12,000 sq. ft. to 45,000 sq. ft, 3 in Chennai and 1 each in Bangalore, Gurgaon, Mumbai, Vadodara, Gurgaon, Pune, Lucknow and Ahmedabad. Until 1996, Landmark’s product portfolio comprised books, stationery, and greeting cards. It was later that music was added to it. Landmark also sparked the trend of stocking curios, toys and other gift items. What separates Landmark from other stores of its kind is the range and depth of its stock.

This story began circa 1998 when The Tatas acquired Littlewoods – a London based retail chain. This acquisition was followed by the establishment of Trent Ltd (a Tata enterprise that presently operates Westside). Littlewoods was subsequently renamed Westside.

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In a rapidly evolving retail scenario, Westside has carved a niche for its brand of merchandise creating a loyal following. Currently, the company has 36 Westside stores measuring 15,000-30,000 square feet each across 20 cities. With a variety of designs and styles, everything at Westside is exclusively designed and the merchandise ranges from stylized clothes, footwear and accessories for men, women and children to well-co-coordinated table linens, artifacts, home accessories and furnishings. Well-designed interiors, sprawling space, prime locations and coffee shops enhance the customers’ shopping experience.

RETAIL FORMAT-

Westside stores are Department stores. These are the general merchandise retailers offering various kinds of quality products and services. A department store is a retail establishment which specializes in satisfying a wide range of the consumer's personal and residential durable goods product needs; and at the same time offering the consumer a choice multiple merchandise lines, at variable price points, in all product categories. Department stores usually sell products including apparel, furniture, home appliances, electronics, and additionally select other lines of products such as paint, hardware, toiletries, cosmetics, photographic equipment, jewelry, toys, and sporting goods. Certain department stores are further classified as discount department stores. Department stores are usually part of a retail chain of many stores situated around a country or several countries.

Other examples are Lifestyle and K Rahejas Shopper’s Stop.

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Area of operation

It is one of the largest and fastest growing chains serving the customers in various categories, including men's wear, women's wear, kid's wear, footwear, cosmetics, perfumes and handbags, household accessories, lingerie and gifts. The company offers products with a balance between style and price.

Ladies wear

Kids Wear Section Ladies wear

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Men section Cosmetics

IPL Promotion

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Various apparel varieties

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MERCHANDISE MANAGEMENT

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PRIVATE LABEL

Private label products or services are typically those manufactured or provided by one company for offer under another company's brand. Private label goods and services are available in a wide range of industries from food to cosmetics to web hosting. They are often positioned as lower cost alternatives to regional, national or international brand. Westside has many private labels in its merchandise portfolio. Private labels in Westside include-

2 F 4 U SRC Gia Urban angel Intima David Jones Ascot

All these brands are produced for Westside only and can be found in Westside only. These apparel brands are given separate space for displaying their merchandise and more promotional offers are there on them to increase their sales. At some places, these private brands are mixed with branded clothes so in that case these private labels are put in lower shelves. At eyesight level, branded clothes are put.

STORE LAYOUT

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This store follows a Grid Layout. In this type of layout, cost for retailer is low, easy for customer to shop (no confusion) , good merchandise exposure is possible, cleaning can be done very easily and security can be managed ea

1. Ground Floor Cosmetics Jewelry Watches Perfumes Bags

2. Ist Floor Women Section Children Section Household items

3. IInd Floor (Men Section) Casual Clothing Formal Wear Ethnic Wear Shoes

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Watches

Shoes

Ladies bag Jewelry

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TRIAL ROOM

MENS FORMALPANTS

MEN FORMAL SHIRTS

T- SHIRTS

MEN JEANS

KIDS WEARMACHINE

TRADITIONAL DRESS

MEN SHOES(FORMAL AND

SPORTS)

OFFICE

LADIES JEANS

LADIES TOPS

SAREES

SALWAR SUITS

LADIES SHOES

BILL COUNTER

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LADIES JEANS

Floor Space Analysis

To irrigate the space better Westside have the entrance on the ground floor and exit on the first floor. In case of visual merchandising all the category of clothes of all sizes and varieties are displayed and hence the consumption of space for shelves is reduced. And it is convenient for customers to choose and for the attendants to support buying. Profitability of Westside Pune and Bangalore is more than that in Delhi because youth here have much spending power. It is also driven from strong demand backed by quality products and latest fashion. The exit from parking opens at Ground floor. Hence slightly upper class people pass through ground floor, so costly items like Jewelry, Watches and Perfumes. They people may buy those things as they passes from that way and have a look at them. In watches, good brands like Tissot, Rolex, Tag Heur, Espirit, Titan Fast track etc. are available. Where as in case of perfumes, famous brands such as Nina Rici, Tommy Hilfiger, Thierry Mugler , Calvin Klein etc. are kept; targeting upper class people.

STORE EXTERIORS

Marquee- Posters of store are put on all the four sides of the store. Focus lights are put all over the four sides of the store that makes the store brightly shining at night. Large Westside banners are put which are visible from very far distance also. Various brand advertisements can be seen on the walls and on ground.

Entrance- Promotional schemes and various discount offer advertisements are there at the entrance. Store layout is described at the entrance for the convenience of customers. Bag or any other good can’t be brought inside the store and hence bag preserving counters are put up near the entrance to keep public baggage.

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Window display- Instead of walls, glasses or window pains are used in the exteriors to display the merchandise. Various brands like Pepe London, Provogue etc. have displayed their merchandise from their latest fashion range to attract more and more customers.

Various eatables like ice creams, popcorns, juices etc. are available outside the store to refresh people. Parking is at the basement for both two wheelers and cars.

STORE INTERIORS

Services & Store Atmosphere in Westside

Prepurchase services include accepting telephone & mail orders, advertising, window & interior display, fitting rooms, fashion shows

It provides post purchase service including shipping & delivery, gift wrapping, adjustments & returns, alteration & tailoring

It also provides ancillary services including general information, check cashing, parking, restaurants, repairs, interior decorating, credit etc.

The Westside stores wear a bright, festive look and, in keep with the mood of the season,   hosting a festival bright.

With the sole objective of rewarding its loyal customers for their patronage, Westside has lined up a bonanza of surprise gifts. Every shopper gets a scratch-and-win card which entitles them entry into a contest. Those

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making purchases above Rs 1,500 are also entitled to receive other pleasant surprises

The trendy household section has a complete new range of bed linen in elephant motifs, floral motifs and paisley design. The color palette for the festive collection includes flaming orange, royal blue and other vibrant colors to depict festivity.

The gift section has a plethora of gifts — terracotta pots, urns, knick-knacks and diyas in beautiful colors, shapes and sizes. The store has also introduced a new range of furniture and other household goods, including cabinets, butler trays and mirrors in wood with an antique finish. An innovative range in wrought iron and rope has been introduced in utility items which include magazine racks, folding stools, jam pots on trays and Ganesha in brass and terracotta.

ATMOSPHERICS

Lighting- Stores are very brightly lit from inside and CFL tubes are put all over the store. Lights are focused on clothes

Color- Wall color is cream so that light can be reflected easily and visibility is good in store. Paint has a luster in itself i.e. paint is having mirror finish so that light gets reflected and clothes and other stuff are clearly visible. Color is also such that it doesn’t get dirtier easily due to people leaning against the wall and resting thei5r foots on the wall.

Visual communication- The signage and graphics are put all over the place to promote various brands. Promotional schemes are displayed by posters hanging over the various product ranges. The brand names are clearly mentioned on boards. Also directional signage are there showing the way to washrooms, drinking water, exit etc. Category signages, Point Of Sale (POS) signages and departmental signage are present in many numbers.

Westside’s name,logo and store identity is very clear from the posters.

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Music- Basically english as well as hindi songs are put inside the store but normally english songs are put up which are famous and are latest. The volume is kept low so that people can talk among themselves and can easily interact with store personnel’s. Continous announcement of schemes are done in between this music playing to draw the attention of customers and lure them for impulse buying.

Smell- A fragrant is put in the air conditioning duct so as to spread good smell inside the store and remove any bad odours present in air. It gives a pleasant experience to customer and is refreshing.

Security- Security of the store is pretty good. Cc TV’s are put all over the store to keep check on notorious customers. Infrared detectors are put at the entrance and exit which alerts gaurds if person is trying to steal the things. Each and every floor has a security manager and 3 security guards are appointed for each floor. Security guards specially take care outside the trial rooms so as to stop people from hiding things inside their clothes.

Mirrors- They are put all over the store so that people can see how the clothes, watches, jewelry etc. looks on them. These mirrors are also cleaned at regular intervals. They are also put inside the trial rooms for customer’s convenience.

Escalators- they are put one at each floor for going down and going up at a normal speed that makes shopping convenient without making the people getting tired. All the 3 floors are connected through escalators.

IT SYSTEM

Retail Information System (RIS) is developed by being used by Westwide thorough out its retail outlets in india. The system builds efficiencies into ordering, distribution and merchandising processes and is designed to provide timely, accurate sales information on an item-by-item basis.

RIS includes:

Touch-screen point-of-sale (POS) cash registers with scanners, 

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The integration of credit-card authorization and gasoline sales into the POS register, 

Item-level information to assist in making product-ordering decisions,  Hand-held Mobile Ordering Terminals to facilitate ordering,  Tools to help store personnel determine appropriate product assortment and

slow-moving items,  Daily weather reports and merchandising information and updates,  The automation of some daily reporting requirements, such as merchandise

and gasoline sales, and  A payroll time-keeping mechanism.

By effectively using the point-of-sale cash register and the in-store processor, Westside franchisees and store managers have immediate access to the information needed to make informed ordering decisions by store, by day and day-part and by item. Additionally, the product assortment tools supply necessary data to improve decisions on deleting slow-moving items and to make room for top-selling and new items, all with the goal of making sure the right product is available at the right time for each customer.

The system is not designed as a time-saving tool as much as a tool to use time more effectively and to make sound business decisions that will boost store sales and profits.

  COMPETITION IN ZONE

The Westside store is located in Camp Area. Store has a Primary Trade Area of two kms, Secondary Trade area of five kms and fringe trade area of eight kms. Primary are the areas of highest footfall of round about 50 to 80 %, and so are the most sought after. It has higher no. of customers and contributes the highest per capita sales.  As such, they’re also the most expensive. Camp is a primary zone, and give access to plenty of customers and have the benefit of good public transport links. However, it is worth bearing in mind that competition in primary zones (Camp) is fierce. Big Bazaar, Brand Factory and Shoppers Stop is there along with Wills Lifestyle and United Colors of Benetton that gives a very tough competition to Westside. The camp area is a Saturated market area where customers are offered good range of products and services. The retailers are able to make good profits.

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SWOT ANALYSIS

The strengths of Westside are

1) It is growing at the faster pace 2) Has good brand name of TATA’s.3) It has many outlets all over India. It has a good customer base.4) Apparels are cheaper by 5 to 10% while the price difference on the other

products varies between 5 to 20%. 5) Attractive promotional schemes and heavy discounts6) Quality and branded stuff only 7) The Westside has been positioned to the customer as a place where the

customer can shop for each & everything for which he goes to a market except groceries.

8) Locational advantage- All Westside stores are located in prime locations of the city like Shivajinagar, Camp etc.

Weakness:

1) Westside has not yet trapped the whole market- rural market is still untapped. Not much product range for middle class people

2) Facing problems due to political environment-Subsidy from octroi, different taxes like land tax and water tax

•Need help in taking over properties and real estate

•Need some concessions from labor laws

3) Lack of differentiation among the malls that are coming.4) Poor inventory turns and stock availability 5) No involvement in food retailing business.

Opportunities

1) Huge untapped market2) Rising disposable income- Increase in number of people in earner category,

women earning3) Urbanization-Changing consumer habits and lifestyles as the disposable

income is increasing per family.

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Threats

1) Competition from organized retail players which are in market and emerging like Reliance, Shopper’s stop, Wal-Mart –Bharti etc.

2) Competition from local retailers.

SITE EVALUATION AND SELECTION

Factors considered by Westside while selecting a Site-

1) Sales potential of camp area is very high due to urbanization.2) Access to site for pedestrians is very good due to good location of the store

as many good roads coming from various areas meet this Camp area and parking area is ample in the area.

3) Accessibility to pedestrians is also good as people passing by can navigate the store easily and visibility of store is also good due to its location on main road.

4) Synergy from other stores is very high as other major players like Shopper stop, Wills lifestyle etc. are there in vicinity that helps in cross shopping.

5) Leasing and occupancy terms- Occupancy rate is high in this camp area and hence Westside negotiation power decreases as real estate developer due to area’s high development.

Types of location- Westside is located in Camp area (Moledina road) which is a Central Business District ( CBD) i.e. a traditional center for retailing in Pune city. It is the largest area for shopping in Pune. All the major shopping stores are there. It has high concentration of department stores and large offices and entertainment facilities like pubs, clubs, cinemas, etc. Characteristics of Camp area-

Geographical centre of the settlement High concentration of public buildings and offices Very tall buildings to maximize land use of expensive real estate Activities concentrated in areas of functional zoning Major retail outlets It contains a region with the greatest land value Good transportation facilities

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High concentration of traffic Great concentration of pedestrians High use of public transport High employment rate

Factors affecting the Market area attractiveness-

1) Demographics- Density of population is very high in Camp area. Each and every kind of people from all classes and ethnic groups visit this area which is advantageous for Westside.

2) Economic- Per capita income is high in these areas and hence spending power of customer is more. Hence Westside mainly caters to high class people and has very less products for middle class people.

3) Cultural- Customers preference is affected by culture. For providing good shopping experience, retailer should understand this culture. Westside has taken care of this thing and has kept multi lingual people , traditional dresses are available in stores, some of the signages are in regional language ( Marathi) etc.

4) Demand- Population in camp area is very high and income level of people are also high, hence demand is high for quality merchandise. So Westside offers costly products like jewelry, perfumes, expensive watches and branded clothes.

5) Infrastructure- Existing infrastructure of the area is quit good. Railway station is close, roads are good, power availability is throughout the day, communication facilities are good, computerization is very high hence all this aids Westside in operating the store and catering to needs of people.

My Analysis

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A critical factor in Westside’s success has been its strategy to attract shoppers & keep them in stores- the amount of time shoppers spend in a store is perhaps the single most important factor in determining how much they will buy. . In having understood the pulse of the customers in India, Westside has clearly established itself as a brand with an Indian heart.

Over the years Westside has also developed and successfully introduced a range of new brands especially suited to the Indian palate. These brands like 2F 4U have been a tremendous success amongst the new generation. What has also given Westside a competitive edge is that in addition to an extensive range of internationally renowned brands like Spykar, Lee and Fast Track they also offer the option of a less known brands for low budget customers.

All the three floors are carefully structured. Ist floor and IInd floor caters exclusively to Women and Men respectively. Thus giving them privacy and more freedom to look into their products.

Women’s need more space and look for comfort. They are less likely to buy if the place is congested and makes them feel uncomfortable. At Westside sofas have been placed in the women section so as to make the females more comfortable.

Westside has been able to create a brand image and is consistently maintaining its brand identity by new additions in products and catering to the market need.

They are catering to different age groups under one roof. For ex. On the IInd floor which is men’s section both formal and college wear is available. This way they are able to build a huge customer loyal base.

Westside caters to not only the clothing needs and desires of its customers. They have bed sheets, kitchenware, jewelry, perfumes, baby products, household items, etc. This way a customer who enters Westside just to buy one or two items usually ends up buying a lot more.

The in-store experience in Westside is very delightful. Their fully skilled and trained staff caters to the needs of the public in the right way. They don’t pounce upon the customer as soon as he enters the store. They wait till the time a customer starts selecting and then they

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come and help. This way the customer gets acclimatize with the store and the environment.

Price of brands available at Westside is not too high as compared to its competitor’s brands. This is due to their cost effective supply chain management. They directly pick up the goods from the manufacturer thus ensuring low price tag at their store.

My recommendations for Westside are as follows-

To increase more footfalls more promotional activities must be

carried out. For this Westside can either offer more discounts or

increase their advertisements. Increase in the number of footfalls will

lead to increase in sales.

Since Westside is not only catering to apparel need of the society a

few additions like Books, Music items, Electronic gadgets etc can

also be added to the products available inside their store. The

demand for the above products is always in the market.

Allowing more space between the entrance of a store and a product

gives it more time in the shopper’s eye as he or she approaches it. It

builds a little visual anticipation.

The number of trial rooms available at Westside is very less as

compared to the number of people coming. This usually results in

long queues and waiting by customers.

Install more full length mirrors inside the store so as to assist the

customers to make better purchase decisions.

Play light music inside the store to make the shopping a pleasurable

experience.

They can also exhibit their new line of clothing through events like

fashion shows.

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Baskets should be scattered throughout the store, wherever shoppers

might need them. Many customers don’t begin seriously considering

merchandise until they have browsed a bit.

REFERENCES

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www.my westside .com

www. indiaretail biz.com

www. indiaretail ing.com

www. indiaretail news.com

www.wikipedia.com

www.retailinsights.com

www.esnips.com

Journals from www.emeraldinsight.com

ICFAI Reference Material

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