8/3/2019 ch8 Bigbazaar
1/52
Click to edit Master subtitle style
Presented by;
AnilvermaArvindBharathBharathi
11
8/3/2019 ch8 Bigbazaar
2/52
RAJA OF RETAILING
22
8/3/2019 ch8 Bigbazaar
3/52
BIG BAZAAR PROFILE
nType-hyper market
n Indias first hyper market retailmarket
n Vision-Everything ,Everywhere, Everytime for every Indian
n consumer in the most profitablemanner
n Industry-retail
33
8/3/2019 ch8 Bigbazaar
4/52
Founded by -Kishore Biyaniin 2001.
Headquarter -Jogeshwari,Mumbai,
India. Parent group -
Future Group
Website-www.bigbazaar.com
Tag line- Isse 44
8/3/2019 ch8 Bigbazaar
5/52
55
8/3/2019 ch8 Bigbazaar
6/52
INTRODUCTION
Big Bazaar was launched inSeptember, 2001
with the opening of its first four stores
in Calcutta,Indore, Bangaloreand
Hyderabad in 22 days.
Within a span of ten years, there are
now 148 Big Bazaar stores in 80 citiesand towns across India.
66
http://en.wikipedia.org/wiki/Indorehttp://en.wikipedia.org/wiki/Bangalorehttp://en.wikipedia.org/wiki/Hyderabad,_Indiahttp://en.wikipedia.org/wiki/Hyderabad,_Indiahttp://en.wikipedia.org/wiki/Bangalorehttp://en.wikipedia.org/wiki/Indorehttp://en.wikipedia.org/wiki/Indore8/3/2019 ch8 Bigbazaar
7/52
v In 2005, the Indian retail market, at
$250 billion, was the worlds eighth
largest and was projected to grow by
more than 7% annually through
2011.
v Retail sales represented 33.33% of
Indias GDP in 2003. 77
8/3/2019 ch8 Bigbazaar
8/52
v In 2003, 82% of Indias retail
sales were made through kirana
stores.
vThe traditional outlets were
successful due to-
Convenient proximity to
consumer homes.88
8/3/2019 ch8 Bigbazaar
9/52
v Modern, organized retail super
markets, hyper markets and
department stores represented 0.4%
share of Indias retail sales in 2003.
v Gradually this sector has taken up
momentum.
99
8/3/2019 ch8 Bigbazaar
10/52
n Big Bazaar is designed as an
agglomeration ofbazaars or Indian
markets with clusters offering a widerange of merchandise
Which are: fashion and apparels,
food products,
general merchandise,
furniture, electronics &books
fast food and leisure &entertainment
ti n t ..1010
8/3/2019 ch8 Bigbazaar
11/52
n Food Bazaar, a supermarket formatwas incorporated within Big Bazaar in2002 and is now present within everyBig Bazaar as well as in independent
locations.n A typical Big Bazaar is spread across
around 50,000 square feet of retail
space.n While the larger metropolises have
Big Bazaar Family centres measuring
between 75,000 square feet and1111
8/3/2019 ch8 Bigbazaar
12/52
n Most of the Big Bazaar stores aremulti-level and are located in stand-alone buildings in city centers as wellas within shopping malls.
nThese stores offer over 200,000 SKUs( Stock Keeping Units) in a widerange of categories led primarily by
fashion and food products. 1212
8/3/2019 ch8 Bigbazaar
13/52
1313
8/3/2019 ch8 Bigbazaar
14/52
Pantaloon retail (India)limited
PRIL is the parental companyof BIGBAZAAR
1414
CORE COMPETENCY OF BIG BAZAR
8/3/2019 ch8 Bigbazaar
15/52
CORE COMPETENCY OF BIG BAZAR
n A choice of more than 20000
productsn Delivery across more than 1500
cities covering around 16000 pin
codesn A dedicated customer care helpline
for any queries
n Special emphasis on apparels and lifestyle products.
n Fast delivery-tie up with world leader
logistic & 1515
8/3/2019 ch8 Bigbazaar
16/52
Evolution of RAJA OF
RETAILING.........???
1616
8/3/2019 ch8 Bigbazaar
17/52
2001nThree Big Bazaar stores launched
within a span of 22 days in Kolkata,
Bangalore and Hyderabad.2002
n Big Bazaar - ICICI Bank Card is
launched.n Food Bazaar becomes part of Big
Bazaar with the launch of the first
store in Mumbai at High Streeth nix.1717
Development from 2001 to 2010
8/3/2019 ch8 Bigbazaar
18/52
2003
n Big Bazaar enters Tier II cities with
the launch of the store in Nagpurn Big Bazaar welcomes its 10 million-th
customer at its new store in Gurgaon
2004n Big Bazaar wins its first award and
national recognition. Big Bazaar andFood Bazaar awarded.
n A day before Diwali, the store atLower Parel becomes the first totouch Rs 10 million turnover on a
single day 1818
8/3/2019 ch8 Bigbazaar
19/52
2005
n Initiates the implementation of SAPand pilots a RFID project at its centralwarehouse in Tarapur.
n Launches a unique shoppingprogram: the Big Bazaar ExchangeOffer, inviting customers to exchangehousehold junk at Big Bazaar.
n Electronic Bazaar and FurnitureBazaar are launched.
1919
8/3/2019 ch8 Bigbazaar
20/52
2006
n Big Bazaar launches Shakti, Indias
first credit card program tailored forhousewives.
n Navaras the jewellery store
launched within Big Bazaar stores.2007
n Big Bazaar partners with
Futurebazaar.com to launch India'smost popular shopping portal
n Big Bazaar initiates the Power of Onecampaign to help raise funds for theSave The Children India Fund2020
8/3/2019 ch8 Bigbazaar
21/52
2008
n Big Bazaar becomes the fastest
growing hypermarket format in theworld with the launch of its 101st
store within 7 years of launch.
n Big Bazaar dons a new look with afresh new section, Fashion@Big Bazaar
n Big Bazaar joins the league of Indias
Business Super brands.
2121
8/3/2019 ch8 Bigbazaar
22/52
2009
n Big Bazaar opens its second store in
Assam at Tinsukian Big Bazaar initiates Maha
Annasantarpane program at its stores in
South India a unique initiative tooffer meals to visitors and supportlocal social organizations.
n Big Bazaar captures almost one-thirdshare in food and grocery productssold through modern retail in India
2222
http://en.wikipedia.org/wiki/Assamhttp://en.wikipedia.org/wiki/Tinsukiahttp://en.wikipedia.org/wiki/Tinsukiahttp://en.wikipedia.org/wiki/Assam8/3/2019 ch8 Bigbazaar
23/52
2010
n Future Value Retail Limited is formed
as a specialized subsidiary tospearhead the groups value retailbusiness through Big Bazaar, Food
Bazaar and other formats.n Big Bazaar wins CNBC Awaaz Consumer
Awards for the third consecutive year.
n Big Bazaar connects over 30,000 small
and medium Indian manufacturers and
entrepreneurs with around 200 million2323
8/3/2019 ch8 Bigbazaar
24/52
Bigbazaar is a public company orpublicly traded company
nThat offers its securities(stock, bonds, etc.) for sale to the general public,
typically through a stock exchange, or
through market makersoperating inover the counter markets.
n This is not to be confused with aGovernment-owned corporationwhich might be mis-described as a
publicly-owned company. 2424
http://en.wikipedia.org/wiki/Security_(finance)http://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Stock_exchangehttp://en.wikipedia.org/wiki/Market_makershttp://en.wikipedia.org/wiki/Publicly-owned_companyhttp://en.wikipedia.org/wiki/Publicly-owned_companyhttp://en.wikipedia.org/wiki/Market_makershttp://en.wikipedia.org/wiki/Stock_exchangehttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Stockhttp://en.wikipedia.org/wiki/Security_(finance)8/3/2019 ch8 Bigbazaar
25/52
2525
Supply chain for FMCGproducts
8/3/2019 ch8 Bigbazaar
26/52
2626
8/3/2019 ch8 Bigbazaar
27/52
Types of retailers bymarketing strategy:
Department storesn very large stores offering a huge
assortment of "soft" and "hardgoods; often bear a resemblance to acollection of specialty stores.
n A retailer of such store carries
variety of categories and has broadassortment at average price. Theyoffer considerable customer service.
2727
http://en.wikipedia.org/wiki/Department_storehttp://en.wikipedia.org/wiki/Department_store8/3/2019 ch8 Bigbazaar
28/52
Discount stores
nTend to offer a wide array of productsand services, but they competemainly on price offers extensiveassortment of merchandise ataffordable and cut-rate prices.
n Normally retailers sell less fashion-oriented brands.
Supermarketsn sell mostly food products.
2828
http://en.wikipedia.org/wiki/Discount_storehttp://en.wikipedia.org/wiki/Supermarkethttp://en.wikipedia.org/wiki/Supermarkethttp://en.wikipedia.org/wiki/Discount_store8/3/2019 ch8 Bigbazaar
29/52
n Warehouse stores- warehouses thatoffer low-cost, often high-quantitygoods piled on pallets or steel
shelves.
n Variety storesor "dollar stores" -these offer extremely low-cost goods,
with limited selection.
n Specialty stores: A typical specialitystore gives attention to a particular
category and provides high level of2929
http://en.wikipedia.org/wiki/Warehouse_storehttp://en.wikipedia.org/wiki/Variety_storehttp://en.wikipedia.org/wiki/Specialty_storehttp://en.wikipedia.org/wiki/Specialty_storehttp://en.wikipedia.org/wiki/Variety_storehttp://en.wikipedia.org/wiki/Warehouse_store8/3/2019 ch8 Bigbazaar
30/52
Hypermarketsn Provides variety and huge volumes of
exclusive merchandise at low
margins. The operating cost iscomparatively less than other retailformats.
Supermarketsn Is a self service store consisting
mainly of grocery and limitedproducts on non food items. Theyma ado t a Hi-Lo or an EDLP3030
http://en.wikipedia.org/wiki/Hypermarkethttp://en.wikipedia.org/wiki/Supermarkethttp://en.wikipedia.org/wiki/Supermarkethttp://en.wikipedia.org/wiki/Hypermarket8/3/2019 ch8 Bigbazaar
31/52
Mallsn Has a range of retail shops at a
single outlet. They endow withproducts, food and entertainmentunder a roof.
E-tailersnThe customer can shop and order
through internet and themerchandise are dropped at the
customer's doorstep. 3131
http://en.wikipedia.org/wiki/Shopping_Mallhttp://en.wikipedia.org/wiki/E-tailerhttp://en.wikipedia.org/wiki/E-tailerhttp://en.wikipedia.org/wiki/E-tailerhttp://en.wikipedia.org/wiki/Shopping_Mall8/3/2019 ch8 Bigbazaar
32/52
n General store
A rural store that supplies the main
needs for the local community;n Convenience stores:
Is essentially found in residential
areas. They provide limited amount ofmerchandise at more than averageprices with a speedy checkout.
This store is ideal for emergency and3232
http://en.wikipedia.org/wiki/General_storehttp://en.wikipedia.org/wiki/Convenience_storehttp://en.wikipedia.org/wiki/Convenience_storehttp://en.wikipedia.org/wiki/General_store8/3/2019 ch8 Bigbazaar
33/52
Vending Machines
This is an automated piece ofequipment wherein customers candrop in the money in machine andacquire the products.
3333
http://en.wikipedia.org/wiki/Vending_Machinehttp://en.wikipedia.org/wiki/Vending_Machine8/3/2019 ch8 Bigbazaar
34/52
Retail pricingnThe pricing technique used by most
retailers is cost-plus pricing. Thisinvolves adding a markup amount (orpercentage) to the retailer's cost.
Another common technique issuggested retail pricing. This simplyinvolves charging the amount
suggested by the manufacturer and3434
http://en.wikipedia.org/wiki/Pricinghttp://en.wikipedia.org/wiki/Cost-plus_pricinghttp://en.wikipedia.org/wiki/Markup_(business)http://en.wikipedia.org/wiki/Suggested_retail_pricehttp://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Suggested_retail_pricehttp://en.wikipedia.org/wiki/Markup_(business)http://en.wikipedia.org/wiki/Cost-plus_pricinghttp://en.wikipedia.org/wiki/Pricing8/3/2019 ch8 Bigbazaar
35/52
Customer servicen Customer service is the "sum of acts
and elements that allow consumersto receive what they need or desirefrom your retail establishment."
n It is important for a sales associate togreet the customer and make himselfavailable to help the customer findwhatever he needs.
3535
http://en.wikipedia.org/wiki/Customer_servicehttp://en.wikipedia.org/wiki/Customer_service8/3/2019 ch8 Bigbazaar
36/52
n When a customer enters the store, itis important that the sales associatedoes everything in his power to make
the customer feel welcomed,important, and make sure he leavethe store satisfied.
n Giving the customer full, undividedattention and helping him find whathe is looking for will contribute to thecustomer's satisfaction.
3636
lid i
8/3/2019 ch8 Bigbazaar
37/52
Consolidation
n Among retailers and retails chains alot of consolidation has appearedover the last couple of decades.
n Between 1988 and 2010, worldwide40'788 mergers & acquisitionswith atotal known value of 2'255 bil. USD
have been announced.
3737
http://en.wikipedia.org/wiki/Mergers_and_acquisitionshttp://en.wikipedia.org/wiki/Mergers_and_acquisitions8/3/2019 ch8 Bigbazaar
38/52
nThe largest transactions withinvolvement of retailers in/from the
United States have been: Theacquisition ofAlbertson's Inc. for 17bil. USD in 2006.
nThe merger between FederatedDepartment Stores Inc with
May Department Storesvalued at 16.5
bil. USD in 2005n Now Macy's, and the merger between
Kmart Holding Corp and
Sears Roebuck & Cowith a value of3838
Wednesday Bazaar the best
http://en.wikipedia.org/wiki/Albertsons_(SuperValu)http://en.wikipedia.org/wiki/Albertsons_(SuperValu)http://en.wikipedia.org/wiki/The_May_Department_Stores_Companyhttp://en.wikipedia.org/wiki/Macy's,_Inc.http://en.wikipedia.org/wiki/Kmarthttp://en.wikipedia.org/wiki/Searshttp://en.wikipedia.org/wiki/Searshttp://en.wikipedia.org/wiki/Kmarthttp://en.wikipedia.org/wiki/Macy's,_Inc.http://en.wikipedia.org/wiki/The_May_Department_Stores_Companyhttp://en.wikipedia.org/wiki/Albertsons_(SuperValu)http://en.wikipedia.org/wiki/Albertsons_(SuperValu)8/3/2019 ch8 Bigbazaar
39/52
Wednesday Bazaarthe bestsavings in Big Bazaar
3939
Solid surprises on food items
8/3/2019 ch8 Bigbazaar
40/52
Solid surprises on food items -
Every Wednesday
n Big Bazaar has introduced aWednesday Bazaar concept called
Hafte Ka Sabse Sasta Din.
nThe aim, according to the chain, isto give home makers the power to save
the most and even the stores in the city
don a fresh look to make customers feelthat it is their day.
nThe Wednesday Bazaar also offers
clothes, accessories and fashion4040
8/3/2019 ch8 Bigbazaar
41/52
4141
8/3/2019 ch8 Bigbazaar
42/52
n Retail is usually classified by type ofproducts as follows:
n Food products
n Hard goods ("hardline retailers") -appliances, electronics, furniture,sporting goods, etc.
n Soft goods - clothing, apparel, andother fabrics.
4242
Transfer mechanism
8/3/2019 ch8 Bigbazaar
43/52
Transfer mechanism
There are several ways in which consumers
can receive goods from a retailer:
1. Counter service, where goods are out
of reach of buyers and must beobtained from the seller. This type ofretail is common for small expensiveitems (e.g. jewelry) and controlled
items like medicine and liquor.
4343
http://en.wikipedia.org/wiki/Counter_servicehttp://en.wikipedia.org/wiki/Counter_service8/3/2019 ch8 Bigbazaar
44/52
2. Delivery
where goods are shipped directly to
consumer's homes or workplaces.
3. Door-to-door
Sales, where the salespersonsometimes travels with the goods forsale.
4. Self-service
where goods may be handled andexamined prior to purchase
4444
S l t h i
8/3/2019 ch8 Bigbazaar
45/52
Sales techniques
Merchandising is one solution companyto design custom store displays thatwill attract more customers in a certaindemographic.
The nation's largest retailers spendmillions every year on in-store
marketing programs that correspond to
seasonal and promotional changes.
A destination storeis one thatcustomers will initiate a trip
specifically to visit, sometimes over a4545
8/3/2019 ch8 Bigbazaar
46/52
Customer service
Is the "sum of acts and elements that
allow consumers to receive what they need
or desire from your retail establishment."It is important for a sales associate togreet the customer and make himselfavailable to help the customer find
whatever he needs.
4646
C td
8/3/2019 ch8 Bigbazaar
47/52
Contd
When a customer enters the store, it is
important that the sales associatedoes everything in his power to makethe customer feel welcomed,important, and make sure he leave the
store satisfied.
Giving the customer full, undividedattention and helping him find what he
is looking for will contribute to thecustomer's satisfaction.
4747
SWOT l i f j f
8/3/2019 ch8 Bigbazaar
48/52
SWOT analysis of raja ofretailing
Strengthsn High brand equity
n
State of art infrastructuren Pop promotion
n Variety of stuff under
single roof
4848
8/3/2019 ch8 Bigbazaar
49/52
Weaknessn Unable to meet store
n
opening targetsn Falling revenues/sq.ft.
n General perception
4949
8/3/2019 ch8 Bigbazaar
50/52
Opportunityn Organized retail (4.16%)
n
Evolving consumer preferencesn In Store Experience
n Improvements
n
New formats and consumption spacen Looking at expansion
5050
8/3/2019 ch8 Bigbazaar
51/52
Threatn Competitors domestic and foreign
Government policies,Unorganizedretail
n Economic condition
5151
8/3/2019 ch8 Bigbazaar
52/52
Thank you