Professional Documents
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A Project On " Big Bazaar"
A Project On " Big Bazaar"
“ BIG BAZAAR”
IN THE SUBJECT
RESEARCH METHODOLOGY
SUBMITTED BY
SOUMEET SARKAR
A030
TO
UNIVERSITY OF MUMBAI
FOR
MASTER OF COMMERCE PROGRAMME
(SEMESTER - III)
In
ADVANCE ACCOUNTANCY
YEAR: 2014-15
SVKM’S
NARSEE MONJEE COLLEGE OF COMMERCE &ECONOMICS
VILE PARLE (W), MUMBAI – 400056.
1
EVALUATION CERTIFICATE
This is to certify that the undersigned have assessed and evaluated the project on
“ BIG BAZAAR ” submitted by SOUMEET SARKAR student of M.Com. –
Part - II (Semester – III) In ADVANCE ACCOUNTANCY for the academic year
2014-15. This project is original to the best of our knowledge and has been accepted
for Internal Assessment.
PRINCIPAL
Shri Sunil B. Mantri
2
DECLARATION BY THE STUDENT
ACCOUNTANCY Roll No.: A030 hereby declare that the project titled “ BIG
Semester – III of the academic year 2014-15, is based on actual work carried out
state that this work is original and not submitted anywhere else for any
examination.
Place: MUMBAI
Signature:
3
ACKNOWLEDGEMENT
It is indeed a great pleasure and proud privilege to present this project work.
project.
I would sincerely like to thank the principal of our college Shri Sunil B.
I would also like to thank the college library and staff for helping and guiding
me, the class representatives and my family and friends who supported me in
this project.
THANK YOU
4
MAIN PAGE I
EVALUATION CERTIFICATE II
ACKNOWLEDGEMENT IV
CONTENT
Sr. No. PARTICULARS Page No.
1 CHAPTER I – INTRODUCTION 6
2 CHAPTER II – ANALYSIS I 11
39
BIBLIOGRAPHY
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CHAPTER - I
INTRODUCTION
COMPANY PROFILE:-
Big Bazaar is the largest hypermarket chain in India. Big Bazaar was launched in
September, 2001 with the opening of its first four stores in Kolkatta, Indore, Bangalore
and Hyderabad in 22 days. Currently, there are 160 stores across 95 cities and towns in
India covering around 16 million sq.ft. of retail space. It was started by Kishore Biyani.
Big Bazaar was launched mainly as a fashion format selling apparel, cosmetics,
accessories and general merchandise. Over the years, the retail chain has included in its
portfolio a wide range of products and services, ranging from grocery to electronics.
Big Bazaar is popularly known as the „Indian Wal-mart‟ today. Most Big Bazaar outlets
are multi-leveled stores and are located in stand-alone buildings in city centre as well as
within shopping malls. These stores have more than 2,00,000 stock keeping units (SKU)
in a wide range of categories, led primarily by fashion and food products. The retail
space of these stores in the metros range between 50,000 and 1,60,000 sq.ft.
According to Kishore Biyani‟s 3-C theory, Change and Confidence among the entire
population is leading to rise in Consumption, through better employment and income
which in turn is creating value to the agricultural products across the country. Big
Bazaar has divided India into three segments:-
1. India One:- Consuming class which includes upper middle and lower middle class
(14% of India's population).
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2. India Two: Serving class which includes people like drivers, household helps,
office peons, liftmen, watchmen, etc. (55% of India's population).
3. India Three: Struggling class (remaining 31% of India's population).
While Big Bazaar is targeted at the population across India One and India Two
segments, Aadhaar Wholesale is aimed at reaching the population in India Three
segment. With this, Future Group emerged as a retail destination for consumers across
all classes in the Indian society.
2001
Three Big Bazaar stores launched within a span of 22 days in Kolkata, Bangalore,
Hyderabad.
2002
2003
Big Bazaar enters Tier II cities with the launch of the store in Nagpur.
Big Bazaar welcomes its 10 million customer at its new store in Gurgaon.
2004
Big Bazaar wins its first award and national recognition. Big Bazaar and Food
Bazaar awarded the country‟s most admired retailer award in value retailing and food
retailing segment at the India Retail Forum.
7
A day before Diwali, the store at Lower Parel becomes the first to touch Rs.10
million turnover on a single day.
2005
Initiates the implementation of SAP and pilots a RFID project at its central
warehouse in Tarapur.
Launches a unique shopping program: the Big Bazaar Exchange Offer, inviting
customers to exchange household junk at Big Bazaar.
Electronic Bazaar and Furniture Bazaar are launched.
Big Bazaar and ICICI Bank launched ICICI Bank-Big Bazaar Gold credit card
program to reward its loyal customers.
2006
Mohan Jadhav sets a national record at Big Bazaar Sangli with a Rs.1,37,367
shopping bill. The Sangli farmer becomes Big Bazaar‟s largest ever customer.
Big Bazaar launches Shakti, India‟s first credit card program tailored for housewives.
Navaras – the jewellery store launched within Big Bazaar stores.
2007
8
2008
Big Bazaar becomes the fastest growing hypermarket format in the world with the
launch of its 101st store within 7 years of launch.
Big Bazaar dons a new look with a fresh new section, Fashion at Big Bazaar.
Big Bazaar joins the league of India‟s Business Super brands. It is voted among the
top ten service brands in the country in the latest pitch- IMRB international survey.
Big Bazaar initiated the Mega Saving "Monthly Bachat Bazaar" campaign, to provide
exceptional deals on groceries and food items during the first week of every month.
2009
2010
9
Big Bazaar connects over 30,000 small and medium Indian manufacturers and
entrepreneurs with around 200 million customers visiting its stores.
Big Bazaar opens its third store in Kanpur at Z Square Mall.
Big Bazaar opens its fourth store in Kanpur at Jajmau which is the largest leather
tannery garrison of Asia.
Vidya Balan was chosen as the brand ambassador of Big Bazaar's Price Challenge
exercise.
Ranked 6 among the Top 50 Service Brands in India.
2011
Big Bazaar forays into the rural wholesale and distribution business through „Aadhaar
Wholesale‟ store at Kalol, Gujarat.
Big Bazaar has come up a new logo with a new tag line: „Naye India Ka Bazaar‟.
200th store opened in India.
Future Group has launched its latest venture, Foodhall – a premium food destination
across 10 metros in India.
For the convenience of the online customers, Big Bazaar has started free shipping on
all orders above Rs.1000.
Entered into an agreement with Hindustan Unilever to co-develop and co-brand
bakery products, which would be sold exclusively at Big Bazaar stores.
2012
Big Bazaar entered into a five year multi-million dollar deal with Cognizant
Technology Solutions for IT infrastructure services that support Future Group's
network of stores, warehouses, offices and data centers.
Partnered with Disney to launch "Kidz Cookies", exclusively for kids across India.
Big Bazaar is planning to add further value to its retail services by offering value
added services like grinding, de-seeding, vegetables cutting at free of cost.
10
CHAPTER - II
ANALYSIS – I
SWOT ANALYSIS
A SWOT analysis (alternatively SWOT matrix) is a structured planning method used to evaluate
the strengths, weaknesses, opportunities, and threats involved in a project or in a business
venture. A SWOT analysis can be carried out for a product, place, industry or person. It involves
specifying the objective of the business venture or project and identifying the internal and
external factors that are favorable and unfavorable to achieve that objective. The technique is
credited to Albert Humphrey, who led a convention at the Stanford Research Institute (now SRI
International) in the 1960s and 1970s using data from Fortune 500 companies. The degree to
which the internal environment of the firm matches with the external environment is expressed
by the concept of strategic fit.
Setting the objective should be done after the SWOT analysis has been performed. This would
allow achievable goals or objectives to be set for the organization.
Strengths: characteristics of the business or project that give it an advantage over others.
Weaknesses: characteristics that place the business or project at a disadvantage relative to
others
Opportunities: elements that the project could exploit to its advantage
Threats: elements in the environment that could cause trouble for the business or project
Identification of SWOTs is important because they can inform later steps in planning to achieve
the objective. First, the decision makers should consider whether the objective is attainable,
given the SWOTs. If the objective is not attainable a different objective must be selected and the
process repeated. Users of SWOT analysis need to ask and answer questions that generate
meaningful information for each category (strengths, weaknesses, opportunities, and threats) to
make the analysis useful and find their competitive advantage.
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SWOT ANALYSIS of BIG BAZAAR
STRENGTHS
WEAKNESSES
12
Less availability of stock.
Unable to meet store opening target so far.
Falling revenue per square feet.
Employees need more training in handling esteemed customer.
OPPORTUNITIES
THREATS
Porter five forces analysis is a framework to analyze level of competition within an industry and
business strategy development. It draws upon industrial organization (IO) economics to derive
five forces that determine the competitive intensity and therefore attractiveness of a market.
Attractiveness in this context refers to the overall industry profitability. An "unattractive"
industry is one in which the combination of these five forces acts to drive down overall
profitability. A very unattractive industry would be one approaching "pure competition", in
which available profits for all firms are driven to normal profit. This analysis is associated with
its principal innovator Michael E. Porter of Harvard University.
Porter referred to these forces as the micro environment, to contrast it with the more general term
macro environment. They consist of those forces close to a company that affect its ability to
serve its customers and make a profit. A change in any of the forces normally requires a business
unit to re-assess the marketplace given the overall change in industry information. The overall
industry attractiveness does not imply that every firm in the industry will return the same
profitability. Firms are able to apply their core competencies, business model or network to
achieve a profit above the industry average. A clear example of this is the airline industry. As an
industry, profitability is low and yet individual companies, by applying unique business models,
have been able to make a return in excess of the industry average.
Porter's five forces include - three forces from 'horizontal' competition: the threat of substitute
products or services, the threat of established rivals, and the threat of new entrants; and two
forces from 'vertical' competition: the bargaining power of suppliers and the bargaining power of
customers.
Porter developed his Five Forces analysis in reaction to the then-popular SWOT analysis, which
he found un-rigorous and ad hoc. Porter's five forces is based on the Structure-Conduct-
Performance paradigm in industrial organizational economics. It has been applied to a diverse
range of problems, from helping businesses become more profitable to helping governments
stabilize industries. Other Porter strategic frameworks include the value chain and the generic
strategies.
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Threat of New Entrants:- Profitable markets that yield high returns will attract new firms. This
results in many new entrants, which eventually will decrease profitability for all firms in the
industry. Unless the entry of new firms can be blocked by incumbents (which in business refers
to the largest company in a certain industry, for instance, in telecommunications, the traditional
phone company, typically called the "incumbent operator"), the abnormal profit rate will trend
towards zero (perfect competition). The following factors can have an effect on how much of a
threat new entrants may pose:-
1. The existence of barriers to entry (patents, rights, etc.). The most attractive segment is
one in which entry barriers are high and exit barriers are low. Few new firms can enter
and non-performing firms can exit easily,
2. Government policy,
3. Capital requirements,
4. Absolute cost,
5. Cost disadvantages independent of size,
6. Economies of scale,
7. Economies of product differences,
8. Product differentiation,
9. Brand equity,
10. Switching costs or sunk costs,
11. Expected retaliation,
12. Access to distribution,
13. Customer loyalty to established brands,
14. Industry profitability (the more profitable the industry the more attractive it will be to
new competitors).
Threat of Substitute Products or Services:- The existence of products outside of the realm of
the common product boundaries increases the propensity of customers to switch to alternatives.
For example, tap water might be considered a substitute for Coke, whereas Pepsi is a
competitor's similar product. Increased marketing for drinking tap water might "shrink the pie"
for both Coke and Pepsi, whereas increased Pepsi advertising would likely "grow the pie"
(increase consumption of all soft drinks), albeit while giving Pepsi a larger slice at Coke's
15
expense. Another example is the substitute of traditional phone with VoIP phone. Potential
factors:-
Bargaining Power of Customers:- The bargaining power of customers is also described as the
market of outputs: the ability of customers to put the firm under pressure, which also affects the
customer's sensitivity to price changes. Firms can take measures to reduce buyer power, such as
implementing a loyalty program. The buyer power is high if the buyer has many alternatives.
Potential factors:-
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Bargaining Power of Suppliers:- The bargaining power of suppliers is also described as the
market of inputs. Suppliers of raw materials, components, labor, and services (such as expertise)
to the firm can be a source of power over the firm when there are few substitutes. If you are
making biscuits and there is only one person who sells flour, you have no alternative but to buy it
from them. Suppliers may refuse to work with the firm or charge excessively high prices for
unique resources. Potential factors:-
Intensity of Competitive Rivalry:- For most industries the intensity of competitive rivalry is the
major determinant of the competitiveness of the industry. Potential factors:-
17
FIVE FORCES’s ANALYSIS of BIG BAZAAR
Threat of New Entrant 1. FDI policy not favorable for international players.
2. Domestic conglomerates looking to start retail chains.
3. International players looking to foray India
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BCG MATRIX
The growth–share matrix (aka the product portfolio, BCG-matrix, Boston Consulting Group
analysis, port-folio diagram) is a chart that was created by Bruce D. Henderson for the Boston
Consulting Group in 1970 to help corporations to analyze their business units, that is, their
product lines. This helps the company allocate resources and is used as an analytical tool in
brand marketing, product management, strategic management, and portfolio analysis. Analysis of
market performance by firms using its principles has recently called its usefulness into question.
Cash Cows are where company has high market share in a slow-growing industry. These units
typically generate cash in excess of the amount of cash needed to maintain the business. They are
regarded as staid and boring, in a "mature" market, and every corporation would be thrilled to
own as many as possible. They are to be "milked" continuously with as little investment as
possible, since such investment would be wasted in an industry with low growth.
Dogs, more charitably called pets, are units with low market share in a mature, slow-growing
industry. These units typically "break even", generating barely enough cash to maintain the
business's market share. Though owning a break-even unit provides the social benefit of
providing jobs and possible synergies that assist other business units, from an accounting point
of view such a unit is worthless, not generating cash for the company. They depress a profitable
company's return on assets ratio, used by many investors to judge how well a company is being
managed. Dogs, it is thought, should be sold off.
Question Marks (also known as problem children) are business operating in a high market
growth, but having a low market share. They are a starting point for most businesses. Question
marks have a potential to gain market share and become stars, and eventually cash cows when
market growth slows. If question marks do not succeed in becoming a market leader, then after
perhaps years of cash consumption, they will degenerate into dogs when market growth declines.
Question marks must be analyzed carefully in order to determine whether they are worth the
investment required to grow market share.
Stars are units with a high market share in a fast-growing industry. They are graduated question
marks with a market or niche leading trajectory, for example: amongst market share front-
19
runners in a high-growth sector, and/or having a monopolistic or increasingly dominant USP
with burgeoning/fortuitous proposition drive(s) from: novelty, fashion/promotion, customer
loyalty goodwill and/or gearing, etc. The hope is that stars become next cash cows.
Stars require high funding to fight competitions and maintain a growth rate. When industry
growth slows, if they remain a niche leader or are amongst market leaders it‟s have been able to
maintain their category leadership stars become cash cows, else they become dogs due to low
relative market share.
As a particular industry matures and its growth slows, all business units become either cash cows
or dogs. The natural cycle for most business units is that they start as question marks, then turn
into stars. Eventually the market stops growing thus the business unit becomes a cash cow. At
the end of the cycle the cash cow turns into a dog.
Only a diversified company with a balanced portfolio can use its strengths to truly capitalize on
its growth opportunities. The balanced portfolio has:-
stars whose high share and high growth assure the future;
cash cows that supply funds for that future growth; and
question marks to be converted into stars with the added funds.
20
M
A
R H
K I
E G
T H BIG BAZAAR
G
R
O L
W O
T W
H
HIGH LOW
Currently, Big Bazaar has a high market share and has a fast growing industry. Therefore, it‟s a
STAR.
21
CHAPTER - III
ANALYSIS – II
Marketing is "the activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients, partners and
society at large." Marketing is a management process or social process or an effective
communication through which goods and services move from concept to the customer
and companies create value for customers and build strong customer relationships in
order to capture value from customers in return and also identifying, anticipating and
satisfying customer requirements profitably. Marketing mix is a deciding factor in
formulating marketing techniques for the success of a particular brand, commodity or
company. It includes the coordination of four elements called the 4P's of marketing:-
Product:- Big Bazaar offers a wide range of products which range from apparels,
food, farm products, furniture, child care, toys, etc. of various brands like Levis, Allen
Solly, Pepsi, Coca-Cola, HUL, ITC, P&G, LG, Samsung, Nokia, HP etc. Big Bazaar also
promotes a number of in house brands like:-
1. DJ & C
2. Tasty Treat
3. Clean Mate
4. Sensei
5. Care Mate
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6. Koryo and 44 other brands.
PRODUCT MIX
FASHION FOOD
Formal Wear Ready to Eat
Casual Wear Ready to Cook
Night Wear Spices
T-shirt Staples
Jeans International Foods
Sarees Tea & Coffee
Dress Materials
Ethnic Wears
Party Wears
CHILL STATION FASHION JEWELLERY
Soft Drink Footwear Bazaar
Packaged Juice Beauty Care
Milk Items Navara
Frozen Foods Tanishq Wedding Jewellary
Ice Creams
HOME & PERSONAL CARE ELECTRONIC BAZAAR
Shampoo Television Sets
Detergent Washing Machine
Soap Refrigerator
Liquid Wash Laptops
Creams M-Bazaar
Deodrants Small Appliances
Utensils Microwaves
Crockery Computer Accesories
FURNITURE BAZAAR OTHER SERVICES
23
Living Room Mr. Right
Bed Room Bakery
Kitchen Loot Mart
Dinning Room Tulsi
Kids Room Future Money
Been Bags Future Generalli
Paintings
Decorative Items
Pricing:- The pricing objective at Big Bazaar is to get “Maximum Market Share”.
Pricing at Big Bazaar is based on the following techniques:-
1. Value Pricing ( EDLP – Every Day Low pricing ):- Big Bazaar promises
consumers the lowest available price without coupon clipping, waiting for discount
promotions, or comparison shopping.
2. Promotional Pricing:- Big Bazaar offers financing at low interest rate. The
concept of psychological discounting ( Rs.99, Rs.49, etc. ) is also used to attract
customers. Big Bazaar also caters on Special Event Pricing ( Close to Diwali,
Gudi Padva and Durga Pooja ).
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Place:- The Big Bazaar stores are operational across three formats – hypermarkets spread
over 40,000 - 45,000 sq.ft. , the Express format over 15,000 - 20,000 sq.ft. and the Super
Centers set up over 1 lakh sq.ft. Currently Big Bazaar operates in over 34 cities and
towns across India with 116 stores. Apart from the metros these stores are also doing
well in the tier II cities. These stores are normally located in high traffic areas. Big
Bazaar aims at starting stores in developing areas to take an early advantage before the
real estate value booms. Mr. Biyani is planning to invest around Rs.350 crores over the
next one year expansion of Big Bazaar. In order to gain a competitive advantage Big
Bazaar has also launched a website www.futurebazaar.com, which helps customers to
orders products online which will be delivered to their doorstep. This helps in saving a
lot of time of its customers.
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Money Back Offers Own website which gives online
Exchange Offers shopping option
Special Occasions Discounts Road shows carried out by staff
Big hoardings on road for displaying
special discount days
People:-
Process:- Big Bazaar places a lot of importance on the process right from the purchase
to the delivery of goods. When customers enter the stores they can add the products
they which to purchase in their trolley from the racks. There are multiple counters where
bill can be generated for purchases made. Big Bazaar also provides delivery of products
over purchases of Rs.1000. The goods dispatch and purchasing area has certain salient features
which include:-
Physical Evidence:- Products in Big Bazaar are properly stacked in appropriate racks.
There are different departments in the store which display similar kind of products.
Throughout the store there are boards/written displays put up which help in identifying
the location of a product. Moreover boards are put up above the products which give
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information about the products, its price and offers. Big Bazaar stores are normally „U
shaped‟ and well planned & designed.
Big Bazaar has launched new marketing strategy which is based on Guerrilla Marketing.
Guerrilla marketing warfare strategies are a type of marketing warfare strategy designed
to wear down the enemy by a long series of minor attacks, using principles of surprise
and hit and run tactics. Attack, retreat, hide, then do it again, and again, until the
competitor moves on to other markets. Herein guerrilla force is divided into small groups
that selectively attack the target at its weak points. In the world of cut throat
competition, corporate use extension of the same strategy in marketing. Corporate like
Coke, Pepsi, etc. have been using the same for quite some time now and the latest
entrant is our very own „Future Group‟- Big Bazaar, Pantaloons, Future Bazaar, eZone
are all part of this group and they are taking on the biggies like Shoppers Stop,
Lifestyle and Tata‟s Westside. In order to do the same, Future Group have come up
with 3 catchy and cheeky ad campaigns which surely do catch our eyes and surely one
can‟t resist appreciating the same.
Advertising:- The departmental store chain Big Bazaar has launched a commercial
sometime back to promote 'The Great Exchange Offer'. The commercial portrays how
customers can exchange any old and broken items (junk) and get new products at a
discounted price from Big Bazaar.
The 30 seconds film unfolds through the eyes of a cabbie in a busy city street, he is
intrigued by the disruptive visual of a well-dressed office executive carrying a bundle of
old newspaper and walking through a crowded place. The cabby then notices a young
office going lady in western wear carrying a rusty bucket filled with broken utensils, the
cabbie is absolutely confounded but continues to follow her with a broken tyre in his
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hand and comes across another absurd situation of a highly placed executive in a
chauffeur driven car with a broken commode on the top of the car. Penultimate situation
reveals everybody is heading towards Big Bazaar for the exchange offer; the cabbie
comes out of the store happy and excited after getting an amazing deal for his junk
tyre. Moving images are interspersed with supers that hi-light the amazing prices a
consumer can get for his junk. The sound track uses a typical kabada guy's shout as he
walks through city street calling for junk.
The month of January and February is generally a low-key affair in terms of customer
footfalls and revenue generation. Innovative, out of the box promotions is one of the
effective ways to draw customer attention and shore up the revenue. Historically
exchange schemes have been used to induce better sales, it also has a strong appeal
with the Indian mindset of getting value even for their junk, states an official release
from Big Bazaar.
In this way, Big Bazaar make full use of the marketing mix for a new venture which
earlier belongs to the unorganized retail sector, i.e., kirana stores. Application of the best
marketing practices helps Big Bazaar in a great way.
SPECIAL STRATEGIES:-
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6. “Today‟s Price”:- Everyday a chosen product is being sold at lower than usual
price.
CUSTOMER SATISFACTION:-
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3. FULFILLMENT OF EXPECTATIONS:- The expected level of performance vs.
the desired expectations. This is “Predictive Fulfillment” and is a respondent-
specific index of the performance level necessary to satisfy.
4. EXPECTED VALUE FROM USE:- Satisfaction is often determined by the
frequency of use. If a product/service is not used as often as expected, the result
may not be as satisfying as anticipated. For example a motorcycle that sits in the
garage, an unused year subscription to the local fitness center/gym, or a little
used season pass to a ski resort would produce more dissatisfaction with the
decision to purchase than with the actual product/service.
IMPORTANCE OF CUSTOMER SATISFACTION:- Effective marketing
focuses on two activities:-
1. Wednesday Bazaar:- Big Bazaar introduced the Wednesday Bazaar concept and
promoted it as “Hafte Ka Sabse Sasta Din”. It was mainly to draw customers to
the stores on Wednesdays, when least number of customers are observed.
According to the chain, the aim of the concept is "to give homemakers the power
to save the most and even the stores in the city don a fresh look to make
customers feel that it is their day".
2. Sabse Sasta Din:- With a desire to achieve sales of Rs.26 crores in a one single
day, Big Bazaar introduced the concept of "Sabse Sasta Din". The idea was to
simply create a day in a year that truly belonged to Big Bazaar. This was
launched on January 26, 2006 and the result was exceptional that police had to
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come in to control the mammoth crowd. The concept was such a huge hit that
the offer was increased from one day to three days in 2009 ( 24 to 26 Jan ) and
to five days in 2011 ( 22 - 26 Jan ).
3. Maha Bachat:- Maha Bachat was started off in 2006 as a single day campaign
with attractive promotional offers across all Big Bazaar stores. Over the years it
has grown into a 6 days bi-annual campaign. It has attractive offers in all its
value formats such as Big Bazaar, Food Bazaar, Electronic Bazaar and Furniture
Bazaar - catering to the entire needs of a consumer.
4. The Great Exchange Offer:- On February 12, 2009 Big Bazaar launched "The
Great Exchange Offer", through which the customers can exchange their old goods
in for Big Bazaar coupons. Later, consumers can redeem these coupons for brand
new goods across the nation.
5. Pay-back Card:- At Future Group Big Bazaar, we believe in building long-lasting
relationships with customers. We encourage repeat customer visits through our
unique offers and special sale days. Future Group has taken the whole concept of
customer loyalty to the next level by joining hands with PAYBACK. PAYBACK
is India‟s largest and one of Europe‟s most successful multi-partner loyalty
programs. With PAYBACK, customers can shop, save and get rewarded. This
program enables consumers to collect millions of points across online and offline
partners – with just a single card. Customers can accumulate points across Future
Group formats, thereby making “shopping rewarding”. Our formats Big Bazaar,
Food Bazaar, Pantaloons, Central, Home Town, eZone, Brand Factory and Future
Bazaar are a part of the PAYBACK loyalty program.
6. T24 Program:- T24 will provide customers with a dual advantage all 24 hours of
the day - „Shop More, Talk More‟ and „Talk More, Shop More‟. Shopping and
talking on our mobile phones are among the two favorite activities for all of us
in India. With T24, we have been able to develop a unique customer value
proposition that combines these interests of the aspirational Indian. Customers will
get shopping benefits for talking and talk-time benefits each time they shop. We
believe that with our partners, Tata Teleservices Limited, we have been able to
develop a differentiated offering in the crowded telecom space and also increase
31
the loyalty we enjoy among the millions of customers who patronize our stores.
T24 ( Talk 24 ) tariff plans reflect the competitive per-second rates being offered
for pre-paid customers on Tata Teleservices Limited‟s GSM network. In addition,
customers will be rewarded with free talktime for every purchase at Future Group
stores starting at Rs.10 to a maximum of Rs.350. Plans will keep evolving to
offer ever more attractive options to the customer.
Integrated Marketing Communication (IMC):-
Integrated marketing communications (IMC) is an approach to brand communications
where the different modes work together to create a seamless experience for the
customer and are presented with a similar tone and style that reinforces the brand‟s core
message. Its goal is to make all aspects of marketing communication such as advertising,
sales promotion, public relations direct marketing, online communications and social
media work together as a unified force, rather than permitting each to work in isolation,
which maximizes their cost effectiveness. IMC is becoming more significant in marketing
practice because of the reduced cost effectiveness of mass media and media
fragmentation. As consumers spend more time online and on mobile devices all
exposures of the brand need to tie together so they are more likely to be remembered.
Increasingly the strategies of brands cannot be understood by looking solely at their
advertising. Instead they can be understood by seeing how all aspects of their
communications ecosystem work together and in particular how communications are
personalized for each customer and react in real time, as in a conversation. Brand
strategies and their tactics can be viewed on the integrated brands site.
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3. The Brand Focus - is the logo, corporate identity, tagline, style and core message
of the brand.
4. Consumer Experience - includes the design of the product and its packaging, the
product experience ( for instance in a retail store ) and service.
5. Communications Tools - includes all modes of advertising, direct marketing and
online communications including social media.
6. Promotional Tools - trade promotions, consumer promotions, personal selling,
database marketing and customer relations management, public relations and
sponsorship programs.
7. Integration Tools - software that enables the tracking of customer behavior and
campaign effectiveness. This includes customer relationship management (CRM)
software, web analytics, marketing automation and inbound marketing software.
Importance of IMC for Big Bazaar:- Several shifts in the advertising and media
industry have caused IMC to develop into a primary strategy for marketers:-
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9. IMC wraps communications around customers and helps them move through the
various stages of the buying process. The organization simultaneously consolidates
its image, develops a dialogue and nurtures its relationship with customers.
10. This 'Relationship Marketing' cements a bond of loyalty with customers which can
protect them from the inevitable onslaught of competition. The ability to keep a
customer for life is a powerful competitive advantage.
11. IMC also increases profits through increased effectiveness.
12. Carefully linked messages also help buyers by giving timely reminders, updated
information and special offers which, when presented in a planned sequence, help
them move comfortably through the stages of their buying process.
13. Finally, IMC saves money as it eliminates duplication in areas such as graphics
and photography since they can be shared and used in say, advertising, exhibitions
and sales literature.
14. IMC also makes messages more consistent and therefore more credible. This
reduces risk in the mind of the buyer which, in turn, shortens the search process
and helps to dictate the outcome of brand comparisons
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CHAPTER - IV
1. Retail stores should focus more on store ambience, store space & selling areas.
2. All the retails formats should have an effective loyalty program.
3. More focus on direct marketing should be given in order to attract more & more
customers.
4. Better after sales service & customer service should be provided in order to make
customers loyal.
5. To manage proper proportion of convenience, staple & impulse goods.
6. Along with SMS the retails formats should use more innovative ways to alert
customers.
7. The retail store should replenish the goods on time ( before the stock ends ).
8. A proper proportion of private & national brands should be kept in retail stores.
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SUMMARY FOR CUSTOMER SATISFACTION:-
Customers are becoming price conscious they are having many options in the market considering
the consumer buying behavior the malls and other shopping centers should take certain definite
steps like retaining customers by giving those schemes discounts and better service. The trend
today has been to combine shopping with various offerings for ex… in a mall apart from
shopping a customer enjoys food courts and many others services which today‟s modem malls
provide. Shopping has made people spend not just on their requirements of goods to be bought
but to look on the totality of the experience have a quick bite at Mc Donald‟s in the mall are let
the kids play fun games while one is busy shopping or even taking the family out to movie and
having a dinner “ALL UNDER ONE ROOF” The benefits of this totality offering are that many
vendors get to have people patronized their offerings while the shopping experience i.e.‟ being
enhanced more business is got by the stores at the venue. Shopping is no longer a onetime
agenda for people. Various options are opening up.
1. Variety:- Big Bazaar offers a wide variety of products of different prices and
different qualities satisfying most of its customers.
2. Quality:- Providing quality at low prices and having different types of products
for different income customers is another advantage.
3. Price:- As noted the prices and offers in Big Bazaar have been one of the main
attractions and reasons for its popularity. The price ranges and the products
offered are very satisfying to the customers.
4. Location:- The location of Big Bazaar has been mainly in the hear t of the city
or in the out skirts giving a chance to both the city and the people living outside
the city to shop.
5. Advertisements:- Big Bazaar has endorsed very popular figure like Shikhar
Dhawan and other famous personalities which has attracted a lot of customers.
This has resulted in increase of sale and the outdoor advertising techniques have
also helped Big Bazaar.
6. Middle Class Appeal:- Considering the fact that there are a lot middle class
families in India, Big Bazaar has had a huge impact on the middle class section
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of India, the prices, quality and sales strategy has helped in getting the middle
income groups getting attracted towards Big Bazaar.
7. Attractive Sales:- Big Bazaar has been known for its great sale and great offers.
Big Bazaar has had long lines of people waiting to get into the store for the
sale. Therefore, the sales of Big Bazaar has increased in a huge way due to the
sales and offers, thus this has been one of the main advantages of Big Bazaar.
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Indian retail sector is witnessing one of the most hectic Marketing activities of all time. The
companies are fighting to win the hearts of customer who is God said by the business tycoons.
There is always a „first mover advantage‟ in an upcoming sector. In India, that advantage goes to
„BIG BAZAAR‟. It has brought about many changes in the buying habit of people. It has created
formats, which provide all items less than one roof at low rates.
The consumers preferences are changing and they are moving from traditional kirana stores to
modern retail outlet. It‟s the main challenge to the modern retail outlets to attract the customers
towards them from that of competitors. To attract more customers companies have to carry out
the promotional activities in unique way. Big Bazaar has maintained that uniqueness and has
succeeded in attracting customers.
The promotional activity of the company, which famous as fewer prices than others as it says
“nobody sells cheaper and better‟ is made its place in minds of customer. As the competition is
becoming stiff in the market the activities conducted by the company are unique, that have
brought fruitful result to the company. Among them sales promotion is one of the leading
activity or unique among all other activities and has high influence on customer walk-in.
Big Bazaar is undoubtedly the number one retailer in India. It has built a very emotional and
cordial relationship with its customers. It is also very intending to build long term relationship
with all its stakeholders which is very essential for a successful business venture. The company
is reaching out to all the sections of the society as it is creating a hypermarket where not only the
rich people shop but also the middle and the lower class customers come to enjoy the whole
shopping experience.
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BIBLOGRAPHY:-
1. www.futuregroup.in
2. www.en.wikipedia.org/wiki/Big_Bazaar
3. www.economictimes.indiatimes.com
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