Download pdf - Socia Media in Mixed Retail Industry

MIXED RETAILING INDUSTRY IN INDIA

HOW MIXED RETAILERS CAN LEVERAGE SOCIAL MEDIA TO GROW ITS BUSINESS

(c) InRev Systems

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Brand Company 2007 2008 2009 2010

Vishal Mega Mart

Vishal Retail Ltd 21.1 27.5 20.8 20.2

Shoppers’ Stop Shoppers’ Stop Ltd 21.1 18.7 19.2 19.8

Pantaloons Pantaloons Retail India Ltd

16.1 16.1 18 18.7

Lifestyle Lifestyle International Pvt Ltd

15.5 14 16 18

Westside Trent Ltd 9.7 9.0 9.2 9.4

Marks And Spencer

Marks & Spencer Reliance India Pvt Ltd

- 3 3.2 3.4

Globus Globus Stores Pvt Ltd 3.6 3.4 3.8 3.3

Source: EuroMonitor

Mixed Retailers Brand Shares by Value* 2007-2010

* % retail value rsp excl sales tax

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Brand Company 2007 2008 2009 2010

Vishal Mega Mart

Vishal Retail Ltd 96 148 145 150

Westside Trent Ltd 28 35 41 50


35 44 45 46

Shoppers’ Stop Shoppers’ Stop Ltd 23 27 29 35

Globus Globus Stores Pvt Ltd 20 30 34 29


14 15 17 25

Marks And Spencer


- 14 15 19

Source: EuroMonitor

Mixed Retailers Brand Shares by Outlets/Sites 2007-2010

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Brand Company 2007 2008 2009 2010

Vishal Mega Mart

Vishal Retail Ltd 153 231.2 226.5 232.3

Shoppers’ Stop Shoppers’ Stop Ltd 115.2 144.6 155.4 186

Westside Trent Ltd 58.8 73.6 86.2 105.4


61.9 66.6 75.4 104.5


74.9 94.2 100.7 103

Globus Globus Stores Pvt Ltd 29.6 34 38.5 32.9

Marks And Spencer


- 9.2 10.4 16.4

Source: EuroMonitor

Mixed Retailers Brand Shares by Selling Space* 2007-2010

* surface area '000 sq m

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5Industry Rivalry

Threat of New Entrants

Supplier PowerBuyer Power

Threat of Substitute

IndustryRivalry

Total no of organized mixed retailers is small and fixed cost and exit cost is high. Overall, the attractiveness of the industry due to industry rivalry is medium to high

Threat of New Entrants

Capital intensive and involvement of economy of scale makes the industry attractive. Currently, foreign mixed retailers are not allowed to be setup in India. Overall, the attractiveness of the industry due to threat of new entrants is high

Supplier Power

There are many no of suppliers. Forward integration of the supplier is possible though will not be easy. Overall, the attractiveness of the industry due to supplier power is medium

Buyer Power

There are large no of buyers and backward integration of the buyers is not possible. However high price sensitivity of the buyers is a challenge for the industry. Overall, the attractiveness of the industry due to buyer power is medium to high

Threat of Substitute

There are huge no of substitutes available in the market such as unorganized retailers or stand-alone retailers. However the convenience as well as the one-stop solution image that a mixed retail provides makes it attractive over its counterparts. Overall, the attractiveness of the industry due to threat of substitute is medium

Overall, the attractiveness of the industry is HIGH

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Social Media or Consumer-Generated Media can help retailers understand consumers’ need and attitude and then proactively engage with customer needs and query

Even though retail sales are still dominated by brick and mortar stores, the influence of the Internet on offline purchasing is becoming increasingly important

Access sentiments of customers

Consumer Insights

Brand Health

TrackingEngagement with customers

Reaching out to customers

CRM

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EVERYONE’S HERE ENGAGE GET INSIGHTS

According to Forrester Research, almost two-thirds of retailers have already invested in social media/CGM. Indian retailers too are starting to invest in social media

70% of social media users in India accessed a social networking site every day

40% of organisations in India spend more than

10% of their marketing and communication budget on digital media

It is essential to connect with customers and gain their attention to increase brand loyalty and attract new customers

Retailers can get meaningful insights and use it for decision making process in launching new campaign, CRM programs, etc.

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© InRev Systems 2011

LinkedIn has over 100 MILLION users and adds about 1 MILLION new users to its service every week. The median age of LinkedIn users is 41, and the average user has 60 connections. 20 percent of its members are in the service industry

Twitter has more than 145 MILLION users and adds about 6 MILLION new users a month. On average 140 million tweets are sent a day. More than 460,000 new account have been added every day . The median age of a Twitter user is 35 years old and the average user has 70 followers

Facebook currently has over 500 MILLION active users around the globe and 50% of these active users log on to Facebook in any given day. Facebook's median age is 31 and its average user has 130 friends and is connected to 80 community pages, groups or events while average user creates 90 pieces of content each month

YouTube has 2 BILLION views per day, and 24 hours of video is uploaded every minute. YouTube achieved for the first time the milestone of 100 videos watched per user last year

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Brand loyalty will become vital as consumers move towards premium products, and exclusive outlets for such brands will discourage them from visiting departmentstores instead of an exclusive outlet, where they can see more product variety under the same brand

Threat from specialist retailers is increasing as they increase their presence throughout the country

Large no of Category

SPECIALIST RETAILER

Low Brand Awareness High Brand Awareness

Single Category

MIXED RETAILER

Mixed Retailer needs to move to high brand awareness region by ENGAGING WITH CUSTOMERS MORE THAN EVER

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(c) InRev Systems

Pantaloon’s Facebook Page

PANTALOONS is one of the biggest mixed retailers in India to adopt social media in engaging with its customers

Pantaloon’s Twitter Page – Pantaloonuse it mostly for announcement

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Pantaloons use social networking site such as Facebook to engage with customers and get customers feedback

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Social Media Grades for the Mixed Retailers in India

Mixed Retailer No of Channels Social Grades

PANTALOONS 8 3.06

SHOPPERS STOP 8 2.81

LIFESTYLE INTERNATIONAL

5 2.28

MARKS & SPENCER INDIA

5 2.02

GLOBUS 6 1.97

WESTSIDE 5 1.62

VISHAL MEGA MART 4 1.8

SOCIAL MEDIA GRADES is calculated based on the interactivity level of the mixed retailers in Facebook, Twitter, LinkedIn, YouTube and Blogs. It shows how active the mixed retailers are in the social media space

No of Channels represents the number of social networking sites a mixed retailer’s is present in

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Interaction Plot of the Mixed Retailers in the Social Media Space


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Number of conversations across web

Shoppers Stop is talked more in Social Media. The negative percentage is higher too

BRAND AWARENESS


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This is a scary situation for Marks and Spencer; there is huge negative talks happening lately

BRAND AWARENESS

Number of conversations across web


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SENTIMENTS across web for different Retailers

RETAILER POSITIVE SENTIMENT % NEGATIVE SENTIMENT %

PANTALOONS 63.55% 7.06%

SHOPPERS STOP 58.9% 11.38%

LIFESTYLE INTERNATIONAL 77.19% 5.09%

MARKS & SPENCER 71.62% 9.79%

Shoppers Stop is the most hated brand among the four in Social Web

BRAND HEALTH


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Demographic – Age Groups

Pantaloon most popular among teens, Marks and Spencer in early post teen age, Lifestyle and Shoppers Stop in heavy spending category of 26 to 35 years.

DEMOGRPHIC


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Most brands localized to West and South India - Westside is strong in Chennai, Marks and Spencer in Mumbai and Bangalore, Shoppers Stop in Mumbai

Kolkata, Delhi and Hyderabad are less represented

DEMOGRPHICDemographic – Location


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Tracking the keyword “Loyalty Card” in Simplify360

“Had a lovely albeit brief stop in Doha. What a nice place. Looking forward to going back soon. I wonder if Bliss spa does a loyalty card...” - imawiggins on 25-04-2011 via twitter for i-phone

This is an example of tracking an industry buzz word ‘loyalty card’. Some positive and some negative thoughts

Extremely useful to understand the market sentiment for better product designs

There are many people like imawigginswho are nor sure whether a store has loyalty card or not

“Korean Beef Bulgogi is awesome. But u know what's better? A free one! Thank you loyalty card :)” – bashrahman on 28-04-2011 via Twitter for BlackBerry®

INDUSTRY INTELLIGENCE

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The Research is done using Social Media Monitoring Product, Simplify360.

Brand Monitoring & Sentiment Analysis

Social Analytics Dashboard

Schedule Messages and RSS Feed

Personalized URL Tracking

Download Data and Reports

Creating Polls and Sharing

Email Campaigns

Team Collaboration and Work Assignment

Email and Notification

ALL THESE AND MORE IN

SIMPLIFY360


Simplify360 is a web based social media engagement and analytics platform that offers a ONE STOP SOLUTION to the social media needs of a business and lets you engage with your customers and interpret your social presence

Simplify360 provides an easy to use platform for

tracking and listening to what people are talking

about your brand in social communities.

With Simplify360 you can not only LISTEN to what your customers are talking about your brand but also ENGAGEwith them!

Simplify360 lets you ANALYSE the social media presence of your brand by giving you actionable insights

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People Talk a Lot About Companies.

But tracking conversations happening online is easier said than done. With SIMPLIFY360, you can track what customers are talking about your retail brand – good or bad feedback or even suggestion ……………

FIND the sentiments of the people

talking about your brand – too much negative sentiment might want you to know the reason behind it

Tracking Pantaloons in Simplify360


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People Have Love Hate Relationship. Companies Should Engage

Negative conversation about TESCO - Engage with such customer proactively to find out the reason why such statement is made and make him happy

Any talks happening on Social Web is a lead for Customer Service, Sales or Marketing

Talks on Social Media are important as it affects public sentiment towards a brand or company

It is always good to know if anything significant talk is happening about company or competition

Engagement is the key

© InRev Systems (2011)

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@simplify360

Or Send a Mail to -

[email protected]

Start Using Simplify360 Today

VP - Sales, InRev Systems

http://simplify360.com/

http://simplify360.com/

http://simplify360.com/blog/

http://simplify360.com/blog/



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