CONTENTS

INTRODUCTION
COMPANY PROFILE
OBJECTIVES
RESEARCH METHODOLOGY
LIMITATIONS
ANALYSES AND INTERPRETATION
SWOT ANALYSIS
SUGGESTIONS
CONCLUSIONS
QUESTIONNAIRE
BIBLIOGRAPHY

INTRODUCTION
Introduction About the Company
Pantaloon Retail India Ltd (PRIL) has emerged as the leading retailer in India with its
chain of Pantaloon, Big Bazaar and Food Bazaar stores. With the right mix of
management capabilities, high growth product profile, well-developed strategy and
extensive IT and logistics capabilities, PRIL has ensured rapid growth. More importantly,
while most organized retailers are struggling to be in black, PRIL has demonstrated a
consistent track record of profitable growth.

COMPANY RESEARCH

PRIL has chalked out an aggressive expansion plan to increase its retail space to over
1,740,000 sq.ft. over the next two years. Space for additional 4 Pantaloons, 11Big
Bazaars and 2 Food Bazaars has already been finalized, and these would be Operational
over the next two years. PRIL aims to set up over 30 Food Bazaars and is scouting for
appropriate locations for the same.
After popularizing the concept of hypermarket in India, PRIL is now also setting up a
new format shopping mall in the country under the name Central. The format would be
on the lines of a Selfridhes in London or a Central Mall in Bangkok. Two malls of
100,000 and 240,000 sq.ft. are being set up in Bangalore and Hyderabad respectively

Diversityofproductrangewillensureprofitablevolumegrowth
To achieve better return on retail space, PRIL uses certain product categories as margin
managers and certain product categories to generate traffic. The food and groceries
business will act as key volume growth driver while high share of apparel (which account
for over 80% sales in Pantaloon Stores and 40% in Big Bazaar) will enable PRIL to
maintain high margins. The management has demonstrated its ability to improve stock
turnovers in both the formats successfully, which has enabled significant margin
improvement.

Fully integrated value chain and own labels give competitive edge
PRIL has a completely integrated value chain in apparels from fabric manufacturing to
apparel manufacturing, branding, distribution to retailing. The company controls the total
value chain from yarn to apparel retailing and gives a competitive edge in terms of speed
of delivery; lower inventory carrying costs and better realizations. Also, large part of
PRILs apparel revenues comes from own private labels. PRIL has developed significant
competencies in apparel branding over a period of time and has developed own labels
(John Miller, Shrishti, Bare, Annabelle, AFL) in all the apparel product categories.
Worldwide, private labels give higher margin to retailers than the national brands.

Also growth of private labels is faster as retailer controls shelf space and visibility. Other
initiatives such as faster turnover of stocks by introducing 6 seasons in a year (against 2
earlier) has helped in bringing down inventory levels and at the same time providing
wider choice to customer and improving frequency of customer visits.

High scalability of business model multiplier effect will set in

Size and scale drive economies on procurement and lower logistics costs, which enables a
retailer to deliver better value to customers. The hyper-market format has much higher
scalability as compared to the pure apparel-retailing format. Also, the potential to expand
and scale is virtually unlimited in the food & grocery segment, where efficiencies
improve dramatically with scale as the multiplier effect sets in. Food constitutes the
largest expenditure item (estimated at over 50%) of an average
Indians monthly personal expenditure. However, the share of modern retail formats in
the Rs6700bn Food & Grocery market is a minuscule 0.3%, revealing the high growth
potential in the segment.

New product categories and innovative tie-ups to aid growth

PRIL offers large number of products to the customer to give them better choice for
selection. Different product categories have different depth and width in merchandise
offering. Besides, PRIL has tied up with Shop-in-Shop partners in its Big Bazaar stores.
Some product categories where the company does not have core competency or does not
want to invest, but would attract customers are catered through these partners. Eventually,
in the long run, the Company may manage some of these product categories on its own as
volumes grow and it develops competencies in these businesses.
Shop-in-Shop partners typically pay a fixed rental for their space and share a part of their
profits. By expanding the range of product offerings and retail formats, PRIL today has
been able to target a much larger share of the consumers basket (about 70% as against
less than 8% in 1994).

PRIL will be adding new product categories to its business in both Pantaloons as well as
Big Bazaar stores. Gold, Investment products, White goods and Appliances, Footwear
will be the new product categories that will be added. These product categories will help
in improving Walk Ins into its stores and generate additional business from the existing
categories too.

Competition from global players would pose a major threat

Most global retailing majors have been keen on entering into the huge untapped Indian
market. However policy restricts Direct Foreign Investment in the sector. There is a high
likelihood of the Government lifting restriction on FDI into the retail sector in the near
future. Entry of these foreign giants - with significant experience and skills in retail
management would increase competition for PRIL. However, we believe that given the
widely dispersed and heterogeneous nature of Indian markets, a foreign entrant would
find it extremely difficult to establish a national presence. Pantaloon with its early
Mover advantage and understanding of local markets is well entrenched to retain high
customer share.
Pantaloon Retail (India) Limited (PRIL) was incorporated on October 12, 1987 as Manz
Wear Private Limited under the stewardship of Mr. Kishore Biyani. It was converted into
a public limited company in September, 1991. The company sold branded garments under
Pantaloon, Bare and John Miller brands. PRIL set up its first menswear Pantaloon Shoppe
outlet in 1993. The companys name was changed to Pantaloon Retail (India) Limited in
1999, when it made a full-fledged entry into the retail segment through the Pantaloons
Family Store.

Pantaloon Retail (India) Ltd: A Company Snapshot

Business Description:
Pantaloon Retail (India) Ltd. The Company's principal activity is to operate chain retails
stores in names of Big Bazaar, Food Bazaar, Central and Pantaloons. The Big Bazaar is
the discount store which offers a wide range of products under one roof. The products
include apparels and non-apparels such as utensils, sports goods and footwear. The
Company also has its presence into gold retailing by launching Gold Bazaar. The
Company's Food Bazaar provides a range of food and grocery products ranging from
fresh fruits and vegetables, staples, FMCG products and ready-to-cook products. The
Central offers a chain of stores including books and music stores, global brands in
fashion, sports and lifestyle accessories, grocery store and restaurants. The Pantaloon
retail stores focus largely apparels and accessories.

About Pantaloon Retail (India) Ltd

Pantaloon Retail (India) Limited is a leading retailer with a turnover of Rs. 1088 crores
for the financial year ending June 2008. The company is headquartered in Mumbai and
has a presence in Lifestyle Retailing through 18 Pantaloons Stores, 3 Central Malls in
Bangalore, Hyderabad and Pune. In Value Retailing it is present through
24 Big Bazaar hypermarkets, 38 Food Bazaars and 2 Fashion Stations. PRILhas a
national presence with 2.6 million square feet of retail space across 24 cities.

Pantaloon: Fashion by Pantaloon

Pantaloon is the company's departmental store and part of life style retail format. In fact,
PRIL took its very initial steps in the retail journey by setting up the first Pantaloon store
in Kolkata in 1997. In a short time Pantaloon has been able to carve a special place for it
self in the hearts and minds of the aspirational Indian customers. The company has depth
of offering for both men and women at affordable prices. A striking characteristic of
Pantaloon has been the strength of its private label programme. John Miller, Ajile.
Scottsvile, Lombard, Annabelle are some of the successful brands created by the
company. With 13 stores across the country and an ever-increasing stable of private
brands, Pantaloon - in the coming years is poised to become a leading fashion trendsetter.

Big Bazaar: Is se sasta aur acha kahin nahin

Big bazaar is the companys foray into the world of hypermarket discount stores, the first
of its kind in India. Price and the wide array of products are the USPs in Big Bazaar.
Close to two lakh products are available under one roof at prices lower by 2 to 60 per
cent over the corresponding market prices. The high quality of service, good ambience,
implicit guarantees and continuous discount programmes have helped in changing the
face of the Indian retailing industry. A leading foreign broking house compared the rush
at Big Bazaar to that of a local suburban train.

Food Bazaar Wholesale prices

Food Bazaars core concept is to create a blend of a typical Indian Bazaar and
International supermarket atmosphere with the objective of giving the customer all the
advantages of Quality, Range and Price associated with large format stores and also the
comfort to See, Touch and Feel the products. The company has recently launched an
aggressive private label programme with its own brands of tea, salt, spices, pulses, jams,
ketchups etc. With unbeatable prices and vast variety (there are 42 varieties of rice on
sale), Food Bazaar has proved to be a hit with customers all over the country.

Big Bazaar
Big Bazaar is a chain of shopping malls in India, owned by the Pantaloon Group and
which work on Wal-Mart type economies of scale. They have had considerable success in
many Indian cities and small towns. Big Bazaar provides quality items but at an
affordable price. It is a very innovative idea and this hypermarket has almost anything
under one roof.Apparel, Footwear, Toys, Household Appliances and more. The
ambience and customer care adds on to the shopping experience.
Is Se Sasta Aur Accha Kahin Nahin !
What's

in

store

for

you

at

Big

Bazaar?

1,70,000 products at 6- 60 % discount.

At Big Bazaar, you will get: A wide range of products at 6 60 % lower than the
corresponding market price, coupled with an international shopping experience.

Products available in Big bazaar

Apparel and Accessories for Men, Women and Children.

Baby
Accessories.
Toys
Cosmetics

Home

Textiles

Crockery

Home

Needs

Dress Materials Suiting & ShirtingHousehold Appliances

Electrical Accessories

Household Plastics

Electronics

Hardware

Footwear

Home Decor

Luggage
Linens
Sarees
Stationery
Utensils & Utilities

Food Bazaars core concept is to create a blend of a typical Indian Bazaar and
International supermarket atmosphere with the objective of giving the customer all
the advantages of Quality, Range and Price associated with large format stores and also
the

comfort

to

See,

Touch

and

Feel

the

products.

'FOOD BAZAAR' a division of Pantaloon Retail India Ltd is a chain of large

supermarkets with a difference. It was flagged off in April'02. With store sizes ranging
from 8,000 sq ft to 15,000 sq. ft. in Mumbai (two stores), Kolkata, Bangalore &
Hyderabad, it is opening more stores at Gurgaon (Delhi), New Bombay & Nagpur. It
currently caters to over 1.2 million customers every day across 4 outlets in India and is
soon set to expand and double this figure across 12 outlets all over the country by June
2009.

Food Bazaar offers the Indian consumer the best of Western and Indian values. The
western values of convenience, cleanliness and hygiene are offered through pre packed
commodities and the Indian values of "See- Touch- Feel" are offered through the
Mandi atmosphere created by displaying staples out in the open, all at very economical
and affordable prices without any compromise on quality. This satisfies the Indian
consumer and comforts her before making her final buying decision. At other super
markets,

the

consumer

is

deprived

of

this

factor.

Truly the Indian consumer now agrees with Food Bazaar: "Ab Ghar Chalaana
kitna Aasaan. This positioning platform of Food Bazaar is evident from the higher
discounts and the wholesale price-points which is below MRP.

Food Bazaar represents the companys entry into food retail and is targeted across all
classes of population. Food Bazaar replicates a local mandi, to provide the much
important touch & feel factor which Indian housewives are used to in the local bazaar.
Food Bazaar has over 50,000 stock keeping units which cover grocery, FMCG products,
milk products, juices, tea, sugar, pulses, masalas, rice wheat etc, besides fruits and
vegetables. All products are sold below MRP and discounts range between 2% to 20%.
Fruits and vegetables are sold at prices comparable to wholesale prices

Introduction to Subject
Retailing
The Indian consumer could well be crowned King with all economic indicators in the
right place. Queuing up for the coronation ceremony are a multitude of global companies
that are looking at India as the next consumer market powerhouse. And it seems to be the
retail sector that will give the desi consumer royal status.
In this study I will try to find out the present scenario of retail market in India. This
project will give focus on the global scene to retail industry and what will drive the
growth of industry in the future.
Retailing is the final step in the distribution of merchandise, the last link in supply chain
connecting the bulk procedures of commodities to the final consumers.
Retailing in India is thoroughly unorganised. There is no supply chain management
perspective. According to a survey by AT Kearney, an overwhelming proportion of the
Rs. 400,000 crore retail market is UNORGANISED. In fact, only a Rs. 20,000 crore
segment of the market is organised.
From a size of only Rs.20,000 crore, the ORGANISED retail industry will grow to Rs.
160,000 crore by 2008. The TOTAL retail market, however, as indicated above will grow
20 per cent annually from Rs. 400,000 crore in 2000 to Rs. 800,000 crore by 2008.
A study by McKinsey points out that India's market for consumer goods could reach a
whopping $400 billion by 2010 - making it one of the five largest in the world. Further,
KPMG in a recent report titled `Consumer Markets in India - the next big thing?' has
said: "India represents an economic opportunity on a massive scale, both as a global base

and a domestic market." The report, however, finds that the next leap in the growth of the
consumer market will be spearheaded by the changing dynamics of the retail sector.
"Companies expect that the next cycle of change in Indian consumer markets will be the
arrival of foreign players in consumer retailing. Although FDI remains highly restricted
in retailing, most companies believe that will not be for long," says Deepankar Sanwalka,
Executive Director and Head - Consumer Markets, KPMG India.FDI in retail has once
again begun to appear imminent following Prime Minister Manmohan Singh's recent
interview to McKinsey, in which he expressed confidence that he would be able to get the
Left parties on board on the matter. KPMG is in fact going ahead with its plans to
conduct a series of five roadshows in the US and a few countries in Europe to hold
discussions about the opportunities in India's consumer markets, especially in retail. And
the numbers do lend credence to the enthusiasm.The Economist Intelligence Unit (EIU)
country briefing on India, 2008, estimates the retail market in India will grow from $394
billion in 2008 to $698.9 billion in 2011. In fact, KPMG finds that the organised retail
sector in India is expected to grow at a higher rate than GDP growth in the next five
years, driven by changing lifestyles, strong income growth and favourable demographic
patterns. According to EIU, India currently has more than five million retails outlets, out
of which 96 per cent are smaller than 500 sq. ft. But this scenario is changing fast. .

Emergingtrendsinorganizedretailing
Over the last five years, a number of large business groups such as Tatas, RPG, Rahejas
and Piramals has set up stores/malls and built businesses within retail. Thesem include
the Rs1.9bn Food World - a leading supermarket chain set up by RPG; the Rahejas
Rs1.8bn Shoppers Stop - a multi-brand departmental outlet and the Crossroads Mall set

up by the Piramals. While many of these initiatives were initially driven by the need to
use existing real estate, they are beginning to assume the contours of a serious business
today.
Fuel retailers, notably BPCL and HPCL are also expanding their presence from fuel retail
to grocery and convenience stores. Suitability of location, optimal utilization of real
estate, diversifying business to reduce reliance on the commodity nature of fuel retail
business and improve margins are the key factors that has lead fuel majors to
enter into the retailing.
Also, existing family owned businesses are expanding their businesses. The more
successful of them are the Nilgiris - a Bangalore base food retailer, Viveks - a 40-year old
Chennai based chain selling consumer durables and Narulas - the food chain in North
India.
Interestingly, manufacturers are also looking for forward integration and are building
chains around brands. Brands in apparel, footwear and durables have driven the growth
of specialty chains and upgraded existing multi-brand outlet.

Theme for a mall

Although the retail sector in India highly fragmented and consists predominantly of
small, independent, owner-managed shops, it happens to be the country's second
largest employer after agriculture. The country is currently witnessing a boom in
retailing, thanks mainly on account of an increase in the disposable incomes of
middle and upper-middle class households.
More and more corporate houses, including large real estate companies, are now
entering the retail business directly or indirectly. One sign of the modernization of
Indian retailing is the rapid growth in the number of speciality malls and theme
malls. The Piramals, Tatas, Rahejas, ITC, S. Kumar's, RPG Enterprises, Aerens,
Omaxe and mega retailers like Crosswords, Shopper's Stop and Pantaloon have taken
the lead in organised retailing.

Emergence of specialty retailing

Though organized retailing is still at a nascent stage - accounting for only around two
per cent of the $180 billion retail market in India - it is likely to touch 10 per cent by
the end of this decade. Four product categories have led the organized retailing wave:
foods, apparel, lifestyle products, consumer durables and electronics. In recent times,
several theme malls such as Gold Souk (jewellery malls), Wedding Mall, Electronic
Mall, Auto Mall, etc catering to specific needs and occasions have been completed or
announced.

Many top developers are now toying with the idea of developing speciality malls.
Speciality malls are already a success in the West, whereas the concept is in its infancy in
India. One could venture so far as to say speciality and theme based retailing will drive
the growth of organized retailing in India.

ORGAINSED RETAILING
Organised retailing got a leg up during 2008 with the opening of new format stores, rapid
growth of existing players, start-up of new-generation shopping malls, the Government's
intention of allowing a certain level of foreign direct investment in retail and the
formation of a retailers' association. With consumer sentiment positive during most of
2008, it led to substantial spending across a number of categories such as consumer
durables, clothing and lifestyle, automobiles and telecom products. At the beginning of
this decade, organized retailing accounted for a mere $2.9 billion in India. This is only
1.25 per cent of the estimated total retail market. This share has already grown to 2 per
cent. Growth projections for retail business vary widely. Some studies estimate that by
2011, the share of organized retail in the retail pie will jump three times to reach 5-6 per
cent.
BIG BAZAAR AT DELHI METRO STATIONS!

First time a Discount Hypermarket opens at a Metro Station

Pantaloon Retail opens 2 Big Bazaars at Wazirpur & Inderlok
Metro stations in Delhi

Pantaloon Retail (India) Limited, the countrys leading retailer, opens 2 BIG
BAZAARS in Delhi. The two BIG BAZAARS are located at the Wazirpur
and Inderlok Metro Stations respectively. This is the first time a discount
hypermarket has opened at a station and Big Bazaar is proud to be the first to offer a
never-before shopping experience to the metro commuters. The national tally of BIG
BAZAAR is now at 20 taking the total tally of BIG BAZAAR in NCR region to 4.Both
BIG BAZAAR, Wazirpur & BIG BAZAAR, Inderlok have FOOD BAZAARS within the
store. This takes the national tally of Food Bazaar to 32 and total tally of Food Bazaar in
NCR to 5.

BIG BAZAAR will provide shoppers with a completely new shopping

experience and make available -a range of products for every household
need at never before prices Shoppers for the first time will have the widest range of
products in every segment Womens Apparel, Mens Apparel, Accessories like belts and
bags, Cosmetics, Gold Jewellery, Kids Wear, Stationary and Toys, Footwear, Plastics and
Home Dcor products, Utensils & Home Appliances, Gift Articles, food and grocery
items.Food Bazaar will offer services like Live Kitchen where customers can get
vegetables cut and select gravies of their choice, Golden Harvest providing best quality
grain, pulses & spices, Ready to cook and Hungry Kya the ready to eat food sections.
In addition, regular Food Bazaar offerings of Grains and Provisions, Farm Fresh Fruits &
Vegetables, Drinks & Beverages, Dairy Products, Fabric Care products, Music Cassettes
and CDs, Chill Station, Home Care Products, Accessories, Kitchen Linen.

On the occasion of the launch, Mr. Kishore Biyani, Managing Director, Pantaloon Retail
(India) Ltd., said, We are very proud to open 2 BIG BAZAARS at the 2 Metro Stations
in Delhi. As has been the homemakers experience across the country, the store is a
support to the homemakers untiring effort of saving the maximum while giving the best
to her family. Our opening of the 2 stores in Delhi after the runaway success of the other
stores at Gurgaon & Ghaziabad shows our commitment to this region. It also reflects the
love and affection the people of this region have showered on us!

Living up to its motto of Is se sasta aur accha kahin nahin", all products in BIG
BAZAAR will be available at prices lower than the MRP, often up to 60% discount. In
addition to this, various offers, discounts and promotions will be regularly held at the
store. The consumer will experience a new level of standard in price, convenience and
comfort, quality, quantity, and store service levels. BIG BAZAAR in its true hypermarket
model will offer all of the above for both leading brands as also for its private labels.

A layout chart of Big bazaar located at Indralok

LAYOUT INDEX

1. HELP DESK
2. KIDS ACCESSORIES
3. JACKETS

4. BABA SUITS
5. LADIES TOPS
6. TRIAL ROOM
7. PILLARS USED FOR DISPLAYING INFORMATION (SIZE CHART, SECTION
DESCRIPTION)

8. WOOLEN CLOTHS FOR KIDS

9. WINTER WEAR
10. KIDS CASUAL WEAR
11. KIDS JEANS AND SHORTS
12. INFANT SHIRTS AND T-SHIRTS
13. MEN ACCESSORIES SUNGLASSES, WRIST WATCHES ETC
14. SOFT TOYS
15. HOME DECORATIVE ITEMS
16. MUSIC COUNTER
17. LADIES ETHINIC
18. LADIES WESTERN
19. LADIES FORMALS(OFFICE WEAR)
20. LADIES ACCESSORIES LINGERIES
21. LADIES PERFUMERIES
22. LADIES COSMETICS

23. LUGGAGE
24. FOOTWEAR
25. SPORTS
26. SCHEME BASED PROMOTIONAL ITEMS
27. CASH COUNTER
28. HOME FURNISHING (CURTAIN CLOTHS, CARPETS)
29. MEN FORMAL SHIRTS
30. MEN TROUSERS
31. MEN SUITS AND BLAZERS
32. MEN FABRICS
33. MEN ETHINICS

DESCRIPTION
HELP DESK As you can see from the layout, the Help Desk is located in a place
where every one has their first sight that is in front of the entrance. This shows that when
a person enters in to big bazaar it can get all information about the stores of big bazaar
from the person sitting in the help desk. Help Desk uses paging service as a tool for the
convenience of its employees and customers.

KIDS SECTION The kids section is located just at the left corner of the entrance of
big bazaar. In the kids section kids accessories like diapers, trolleys, suckers, water
bottles are available in one part. Kids jackets and baba suits are available in another part.
Kids casual wear (jeans and shorts) are placed in one part of it and infant shirts & t-shirts
are also placed in another part. In this section the pillars are used for displaying
information like size chart and section description. The apparels are available at a price of
Rs59 onwards.

MENS SECTION Next to it is the mens section that is in the center. It is divided
in to five parts. At one part men formal shirts are available. In other parts men trousers,
suits and blazers, fabrics and ethnics are available respectively. Here the price ranges
from a minimum of Rs99 to Rs899.

LADIES SECTION Next to it is the ladies section that is in the extreme right side.
The ladies section is segregated in to seven parts. Ladies section starts from ladies
ethnics, ladies western wear, ladies formals (office wear), ladies accessories lingeries,
ladies perfumeries, and ladies cosmetics respectively. Here the price of the apparel ranges
from Rs99 to Rs1000 approx.

Promotional scheme With an add on to the above products there are various other
products which are available with a promotional scheme. The various products under this
scheme includes girl t-shirts, infant winter wear etc.

Non-Promotional scheme There are various other products available without any
promotional scheme which includes jeans, infant baba suits, infant t-shirts, kids night
wear, kids salwar suits etc.

Sports Store At the extreme corner there is a sports store where various kinds of
sport items are available.

Food Bazaar The food bazaar is in the 1st floor of the building. Various kinds of
food items, fruits and vegetables are available there. Sitting arrangements are well made
so that people can sit and take tea, coffee or snacks or any other food item and can relax.

Cash Counter The cash counter is located just near the exit

Product Layout Chart

Ground Floor

First Floor

1. Ladies Western

1. Fruits and Vegetables

2. Ladies Ethnic

2. Golden Items

3. Saree and Dress Materials

3. Ready to eat

4. Night wear/Lingerie

4. Ready to cook

5. Boys and Girls

5. Sweets and Farson

6. Infants

6. Spices

7. Toys

7. Beverage

8. Mens Formals

8. Confectionaries

9. Mens Ethnic

9. Tea and Coffee

10. Mens Casuals

10.Personal Cars

11. Mens Accessories

11.Plastics

12. Mens Party

12.Utensils

13. Denim and T-shirts

13.Crockeries

14. Sportswear
15. Footwear
16. Home Linen
17. Luggage
18. Sunglasses and Watches

14.Appliances

BIG BAZAAR AT GURGAON

From today, housewives and compulsive shoppers in Gurgaon need not

step elsewhere for shopping. With Big Bazaar, the hypermarket
(discount store) from Pantaloon Retail (India) Ltd. opening its first
outlet in North India, they have a lot to choose from. Spread over an
area of around 50,000 sq ft, Big Bazaar offers a variety of products
2% to 60% lower than the corresponding market price. After
consolidating its position in 4 cities namely Hyderabad, Kolkata,
Bangalore and Mumbai (Lower Parel and Mulund), Big Bazaar is all set
to win t! he hearts of people in Delhi and Gurgaon.

Speaking at the launch, Mr. Kishore Biyani, Chief Knowledge Officer,

Pantaloon Retail (India) said, "The Company was the first in India to
launch a hypermarket discount store - Big Bazaar. Seeing the
tremendous response, today we are pleased to bring the same
excitement to shoppers in and around Gurgaon in the form of Big
Bazaar with its variety, discounts and shopping ambience. The main
attraction at Big Bazaar is the product variety. The company will stock
about 1,70,000 items. In short, there is something for everyone."

Big Bazaar has apparel and accessories for men, women and children
besides Cosmetics, Toys, Home Needs, Household Appliances, Gift
items, Jewellery, Luggage, Linen, and a lot more.
Food Bazaar, with an area of around 10,000 sq ft is also a part of Big
Bazaar offering products at wholesale rates below the MRP. To attract
regular bazaar-goers, a mandi has been created within Food Bazaar
where Consumers could touch, feel, pick & choose products. This
choice has been supplemented by the provision of packaged food for
the Westernized shoppers. Food Bazaar will stock around 10,000 stock
keeping units (SKUs). These will include provisions, vegetables, fruits
and fresh produce, FMCG products, bakery products, basic staples,
cereals, pulses, cooking oils, flour, spices, dry fruits, health food, baby
food, dairy products, drinks, beverages as well as ready-to-eat and
ready-to-cook product! s. There are special purchase offers and
discounts worked out with several leading brands exclusively for Food
Bazaar customers making shopping at Food Bazaar highly affordable.

Objective
OBJECTIVE OF THE STUDY:
Main objective of the study is to find out the buying behavior of the customers coming in
to Big Bazaar.
There are some extensive objectives for the study which are listed below.
1. To determine the current status of Big Bazaar.
2. To find out the customers response towards Big Bazaar.
3. To study the satisfaction level of customers in different attributes of Big Bazaar.

RESEARCH METHODOLOGY
Technology and customers tastes and preferences plays a vital role in todays generation.
Research Methodology is a set of various methods to be followed to find out various
informations regarding market strata of different products. Research Methodology is
required for every industrial service industries for getting acquire knowledge of their
products.

Period of Study: This study has been carried out for a maximum period of 7 weeks.

Area of study: The study is exclusively done in the area of marketing. It is a process
requiring care, sophistication, experience, business judgment, and imagination for which
there can be no mechanical substitutes.

Sampling Design: The convenience sampling is done because any probability

sampling procedure would require detailed information about the universe, which is not
easily available further, it being an exploratory research.

Sample Procedure: In this study convenience sampling procedure is used.

Convenience sampling is preferred because of some limitation and the complexity of the
random sampling. Area sampling is used in combination with convenience sampling so as
to collect the data from different regions of the city and to increase reliability.

Sampling Size: The sampling size of the study is 200 users.

Data Collection:

Data is collected from various customers through personal

interaction. Specific questionnaire is prepared for colleting data. Data is collected with
mere interaction and formal discussion with different respondents

Tools of Analysis: - The market survey and the techniques for marketing and
investment of finance is carried out by physically interacting with the potential customers
in big bazaar.

Research Design: - The research work is exploratory in nature, and is meant to

provide the basic information required by research objectives. It is a preliminary study
based on primary data and the findings can be consolidated after a detailed conclusive
study has been carried out.

Limitations
Preparation of a project report and concluding a research is a whole process
which is carried out in a number of steps. Therefore through out the whole
process of research there are a number of difficulties encountered by researcher,
at every step. In the present study we may assume following limitation.

1.

Data dont represent entire population behavior.

2.

It is very difficult to measure perception by means of mathematical

calculation.

3.

This research was done in Delhi and gurgaon city only hence this
Conclusion is valid only for Delhi and gurgaon.

4.

It was assumed that respondent have the knowledge of the choice that
were given in the questionnaire and respondent were compelled to
choose only from given alternatives.

The respondent view point on the study/questionnaire purely judgment and may be
induced by other reasons also.

ANALYSIS
The survey is done on big bazaar. Survey is done of

200 respondents of Delhi who

come to visit big bazaar. A specific questionnaire is prepared for the customers and data is
obtained from them by moving around big bazaar and personally interacting with them.
The customers gave valuable information regarding their consumption pattern in big
bazaar. All informations are collected and a proper analysis is done.
All the analysis and its interpretations are discussed below. Each of the analysis is done
as per the information obtained from the customers and a serious interpretation has been
done to best of my effort.

Income wise distribution of customers coming to big bazaar

Higher Income Group

5%

Middle Income Group

50%

Lower Income Group

20%

No Income Group

25%

Analysis: The above diagram shows the distribution of income level of customers
coming in to big bazaar. Among the 200 respondents 50% of customers are of middle
income level that is between Rs20000 60000. Least number of customers visiting Big
bazaar are the higher income level people that constitute only 5%. The lower income

level of people coming to big bazaar constitutes of 20%. 25% of people belong to no
income group which mostly consists of students.

Interpretation:

Big bazaar is the hub of shopping for middle level income group

people because of its reasonable price on its each product category. The higher-level
income group people dont prefer to do shopping in big bazaar, as it doesnt deal with
branded products. The higher-level income group people are very status conscious and
their psychology is such type that they dont prefer much to visit big bazaar, as it is a
discounted store. The lower income group people come in to big bazaar as they get goods
at a discounted price. Hence big bazaar should include branded products in its product
category, which will encourage higher income group people to come in to big bazaar.
Probably not much of lower income group people come to big bazaar as they dont like to
have any shopping experience rather they just go for near by store where they can get
their necessity goods. Even they purchase goods on a regular basis on a small quantity.
So they dont have much interest to come to big bazaar and do shopping.

Purpose behind visiting big bazaar

Shopping
Outing
Both

Analysis:

60
10
30

Out of the 200 respondents 60% of respondents visit big bazaar for

shopping, 10% for outing and 30% visit big bazaar for both the purposes.

Interpretation:

From this I interpret that big bazaar is purely a shopping complex

but it also facilitates a certain kind of ambience and decorum to the people that they also
visit it for the purpose of outing. The infrastructure and ambience of big bazaar is so that
people even like to go there even also they dont have to purchase anything. People enjoy
doing shopping in big bazaar. This is very nice for it as often customers purchase some
goods while moving I the building.

Garment Outlet
Footwear Outlet
Food Court
Entertainment
Gift Corner
Jewellery and Watches Store

40%
15%
20%
10%
10%
5%

Demand for other retail outlets in a mall

Analysis:

The above graph shows that 40% of people visit garment outlet in a mall

other than that of big bazaar. 20% of people also prefer to visit food court in a mall other
than big bazaar. 15% of the people go to footwear outlet in a mall other than big bazaar.
10% of people also go to mall for entertainment purpose. Some people that are 15% each
also visit gift corner store and jewellery & watches store in a mall other than big bazaar.

Interpretation:

From this analysis I come to know that most of the people tend to

visit garment outlets in a mall other than big bazaar as it has some exclusive branded
outlets. People also go for footwear stores as malls have branded footwear stores in it.
People go for watching movies to mall for entertainment. Yet a few people visits gift
corners and jewellery stores in a mall. This is of course a threat for big bazaar that it is
not able to attract customers from other retail outlets and retain them with it. Big bazaar
should definitely include more of branded products in its product category in order to
bring in the customers of mall to it and retain them with it. It can include some of the
exclusive branded outlets of cloths and jewellery in it in order to attract the brand choosy
customers.

Products mostly purchased by customers in big bazaar

Clothes
Grocery
Food Item
Leather Item
Electronic Item
Gift Item
Any other Item

60%
70%
50%
25%
15%
10%
10%

Analysis:

This chart clearly indicates that the demand for grocery that is 70% is

highest by the customers followed by clothes rated 60%. The next highest demand is for
food items that is 50%. 25% demand is for leather items in big bazaar. Electronic items
holds 15% of demand and gift items and other items has a demand of only 10% by the
customers of big bazaar.

Interpretation:

From this analysis I interpret that customers demand are high for

grocery and clothes followed by food items in big bazaar. Electronic items have a little
demand by the customers. Gift items and other items are not much in demand by the
customers. I can interpret that clothes, grocery and food items are the major products
which hold maximum number of customers. So big bazaar should maintain its low
pricing and product quality to keep hold of the customers and also it should keep more
qualitative products of gift and leather items so that people would go for more purchase

of these items from it. Big bazaar has many local branded products of grocery and cloths
and it is successfully selling it. It should also include branded products so that more sales
can take place.

Expenditure pattern of customers coming in to big bazaar

Below 500
500-1000
1000-1500
1500-2000
More than 2000

11%
16%
22%
22%
29%

Analysis: We can clearly see from this graph that majority of the customers spend a
lot in big bazaar that is 29% of people spend more than Rs2000 in a single visit to big
bazaar. Equal number of people that is 22% of people each spend Rs 1000-1500 and Rs

1500-2000 respectively in a visit to big bazaar.16% of people spend Rs 500-1000 and

only 11% of customers are there who spends less than Rs500 in their visit to big bazaar.

Interpretation: From this I interpret that most of the customers purchase goods in
bulk which leads them to spend a lot. Volume sales are high in big bazaar. Customers
tend to purchase more goods from big bazaar as it provides goods at a discounted rate.
Probably those persons who spend more in a visit to big bazaar are purchasing on a
monthly basis. Those customers who are spending very less money that is below Rs 500
are mostly coming in just to move around big bazaar and spend time. In the process they
used to spend money on food items and also purchase some products while roaming in it.
Impulse buying behavior of customers comes in to play to a large extent. More discounts
shall be provided to people who does bulk purchase. This will encourage people to
purchase more products.

Time spent by customers in shopping in big bazaar

Less than half an hour

10%

Half an hour to 1 hour

30%

1 hour to 1 1/2 hours

50%

1 1/2 hours to 2 hours

40%

More than 2 hours

20%

Analysis:

People spend a lot of time in shopping in big bazaar. Majority of the

respondents said that they spend at least 1 hour to 1 hours in big bazaar. 40%
respondents also said that they spend 1 hours to 2 hours in their visit to big bazaar.
Only 10% of people said that they spend very little time that is less than half an hour in
big bazaar.

Interpretation: As per the given data I interpret that customers

are very product

choosy now a days and thats why they spend a lot of time in shopping in big bazaar.
Probably customers might even be spending more time in big bazaar as it provides a very
nice ambience and atmosphere for the people to shop in. Hence those persons who spend

half an hour or less than half an hour in big bazaar are those persons who just come to
purchase limited products and come only because of low pricing of products. People also
spend much time in it but purchase very few goods. The sales personnel should focus on
the people who take long time in shopping and purchases a lot and provide special kind
of service to them as they are the major customers.

Comparison of footfalls in weekdays and weekends

Weeks days
Weekends

Analysis: The above graph shows

40%
60%

a bit that more number of people comes to big bazaar in weekends than that of week days
.40% of people visits big bazaar in weekdays where as 60% of people visit big bazaar in
weekends.

Interpretation: I can clearly interpret from this that most of the people tend to visit
big bazaar in weekends rather than that of week days. There are more footfalls in big
bazaar in weekends than that of week days. Though there is not much difference as 40%
of people visit big bazaar in week days hence in weekends the footfall increases by 10%.
As people come more in weekends, so big bazaar should keep it open for more time in
weekends. The infrastructure can be changed in weekends so that customers can see more
products clearly and can move around comfortably. In order to bring in more number of
customers in week days big bazaar should provide some schemes in week days which
will encourage people to come in to it in week days also. Hence the crowd is more in
weekends and big bazaar should avail more parking spaces for its customers in weekends.
It can make some temporary arrangement for parking every weekend. It should not spend
much money in advertising and displaying of products in weekdays rather it should
advertise and display products more in weekends as more number of people comes in
weekends.

Customers preference of timing to visit big bazaar

10 A.M. - 6 P.M.

42%

6 P.M. -10P.M.

58%

Analysis: The above pie chart shows that most of the people prefer to visit big bazaar
in evening time than that of the daytime. Only 42% of people tend to visit big bazaar
during daytime while 58% of people tend to visit big bazaar during evening time.

Interpretation: From the above analysis I interpret that evening time is the peak
time for big bazaar and daytime is the off peak time for big bazaar. There is more number
of people found in big bazaar during evening time than that of daytime. Probably more of
products are being sold during evening time in big bazaar than that of daytime. Big
bazaar shall provide some special offerings during daytime so that more people should
come in during daytime. It could offer some special kind of product in daytime, which
will be not available during evening time. In this way it will bring in more number of

people during day time for getting the special kind of products but along with that it will
be able to sale other products as people do a lot of impulse buying at big bazaar.

Comparison of customers purchasing with planned list of

products and purchasing products on an unplanned basis

Yes

80%

No

20%

Analysis:

As shown in the graph out of my total respondents of 200, 80% of

customers come to big bazaar with a planned list of products. Only 20% of people come
in to big bazaar without any planned list of products to be purchased from big bazaar.

Interpretation:

As per the data obtained from the customers of big bazaar I

interpret that most of the customers comes in to big bazaar with a planned list of
products. Few customers come to big bazaar without any planned list of products and
purchases products depending on their selection. These people basically come to the mall
and hence get in to big bazaar. Depending on the product category and brand and quality
of products they purchases goods. Some couples come to mall and go to food bazaar to
have food together and to have chit chat among them. The customer who comes with a
planned list of products purchases more products than that of the customers who comes
without any planned list of products. So big bazaar should provide more variety and
essential goods so that more number of people should come in with a planned list of
products.

Brand preference of customers in big bazaar

Yes
No
Depends on category

Analysis:

10%
50%
40%

As seen in the above chart it is clearly known that only 10% of people

come in to big bazaar with a list of brands in advance. 50% of people completely deny
that they dont prepare in list of brand in advance. 40% of people told that they prepare a
list of brand depending on the product category.

Interpretation:

From this I interpret that customers dont opt for much brand

preference while purchasing products in big bazaar. A few customers search for brands
but depending on the product category. Customers probably dont decide for brands on
products as there are not much of known branded products available at big bazaar. On
product categories like grocery and clothes, big bazaar has many local branded products.
Customers purchase a lot of these, as its cheap in price even though its quality is not so
good. As most of the customers belong to lower class and middle class people, they

purchase those local branded products as it gives them value for money. Different
products of the same category have different prices. Quality of products varies with the
price. This enables customization of products for various types of customers. Customers
search for brands mostly in apparel section. Some customers also pre decides the brand
on the local manufactured grocery and food products of big bazaar. Big bazaar should
include more of the branded products in its each category so that customers have more
options to choose among the brands. This will bring in more number of people to big
bazaar, which will definitely increase the sales.

Comparison of brand preference on different product category

Cloths
Grocery
Gift Items
Electronic Items
Leather Items
Any Other Item

40%
40%
33%
25%
2%
12%

Analysis: This graph shows that cloths and grocery are the only two items on which
customers mostly prefer the brands that is 40
p% each. 33% brand preference is on gift items and 25% is on electronic items. Brand
preference on leather items is 2% and 12% on any other item.

Interpretation: From this I interpret that some of the products brand are predecided
in advance and for some of the products customers dont at all predecide any brand. As
per electronic goods are concerned customers predecide the brand as many branded
electronic products are available in big bazaar. The customers redecides brands on cloths
and grocery most as big bazaar produces much of local brands and also have some well
known branded products of clothes with it like flying machine jeans.

Cash Payment

73%

Credit Card

21%

Debit Card

6%

Mode of payment of customers in big bazaar

Analysis: As per my study is concerned, out of the total respondents 73% of people
make cash payment in big bazaar. 21% of them uses credit card as their mode of payment
and 6% of the people makes payment in big bazaar through their debit card.

Interpretation:

As per the obtained data I interpret that maximum number of

people makes cash payment in big bazaar. A fraction of people uses their credit card for
payment in big bazaar and a very few people uses their debit card for payment. I can
interpret that quick exchange of money for goods is done in big bazaar as most of the
people mode of payment is cash payment. Hence some times big bazaar has to wait for a
short time period as some of the customers make their payment through credit and debit
card.

Customers mode of transport to big bazaar

Hired Vehicle

10%

Two-wheeler

40%

Four-wheeler

50%

Any Other

0%

Analysis: Around 50% of the total respondent of 200 that is 100 people comes in to
big bazaar with their own four wheelers. The second majority of people consist of people
riding two wheeler and coming in to big bazaar. Only 10% of people of the total
respondent visits big bazaar on hired vehicles. None of the customers of the total
respondent comes in any other mode of transport.

Interpretation: From the above data I interpret that there are more number of four
wheelers coming found in big bazaar than that of two wheelers. People prefer more to go

to big bazaar in four wheelers than that of two wheelers. A few people are found who
comes in to big bazaar with a hire vehicle. Probably they might be the tourists.

SWOT Analysis of Big bazaar

A swot analysis is done to know the strengths, weaknesses, opportunities and threats of
any company. This analysis will explain about the strengths, weaknesses, opportunities
and threats of big bazaar.
Strengths of Big bazaar

Large variety option

Cheap price

Huge customer Base

Volume sales

Weaknesses of Big bazaar

Lacks in branded products

Low in product quality

Unable to provide enough parking space to its customers

Threats for Big bazaar

Opening up of other discounted stores like Vishal mega mart

Convenience of customers to near by kirana stores

Availability of products in other retail outlets

Opportunities for Big bazaar

To open up more and more number of big bazaars in different cities

of the country.

To grab the rural market

To bring in the customers of other retail outlet by dealing with

branded products.

Add more products to its product category

Suggestions

Big bazaar should provide large parking space for its customers so that they can
easily park their vehicles.

Big bazaar should include more of branded products its product category so as to
attract the brand choosy people to come in to big bazaar.

It should make different cash counters for different customers. Cash counter and
credit card payment counter should be placed differently in order to reduce the
rush and save the customers time. This will be a kind of motivator for the
customers of big bazaar.

The service of the sales person is needed to be improved. Personal care should be
taken by the sales person for the customers so that the customers feel good.

During the off peak hours big bazaar should provide some offers to its customers
so that people would be encouraged to come to big bazaar during off peak hours.
The customers who are present in the mall during the off peak hours of big bazaar
will definitely go in to big bazaar if surprise offers are made at that time.

Customer care department is needed to take proper care of customer complaints

and queries. The person sitting at the help desk of big bazaar should be able to
provide all necessary information to the customers whenever it is required.

The infrastructure is needed to be changed a bit during weekends as heavy crowd

comes in to big bazaar during those days.

Conclusion
Big bazaar is a major shopping complex for todays customers. It is a place where
customers find variety of products at a reasonable price. Big bazaar has a good reputation
of itself in the market. It has positioned itself in the market as a discounted store. It holds
a huge customer base. The majority of customers belong to middle class family. The
youth generation also likes shopping and moving around big bazaar. Volume sales always
take place in big bazaar. Impulse buying behavior of customers comes in to play most of
the times in big bazaar.

Big bazaar is a hypermarket as it provides various kinds of goods like apparels, grocery,
stationary, food items, electronic items, leather items, watches, jewellery, crockery,
decorative items, sport items, chocolates and many more. It competes with all the
specialty stores of different products which provide goods at a discounted rate all through
the year. It holds a large customer base and it seemed from the study that the customers
are quite satisfied with big bazaar. As of now there are 34 big bazaars in different cities of
India, it seems that there is a vast growth of big bazaar lying as customers demand is
increasing for big bazaars.

Big bazaar is a hypermarket store where varieties of products are being sold on different
product category. It has emerged as a hub of shopping specially for middle class people.

Different types of products starting from a baby food to pizzas all are available under one
roof. In Delhi it is the middle class people who mostly do marketing from big bazaar.
Even most of the people do their monthly shopping from big bazaar.
People not only visit big bazaar to do shopping but also visit for outing purpose as it
provides a very nice ambience to its customers. As people go to malls they just tend to
move around big bazaar whether it is for shopping purpose or for outing purpose.
Grocery, apparels and food items are the products which are demanded most by the
customers of Delhi in big bazaar. The major drawback of big bazaar is that it lacks in
providing enough parking space for its customers. This may discourage the customers to
come to big bazaar and shop as they face difficulty in parking their vehicles. Even though
some customers say that they dont feel problem in parking their vehicle, it is because of
the parking space available to them by the mall. As it is surveyed it seems that the biggest
competitors of big bazaar are the kirana stores and the discounted specialty stores like
Vishal mega mart, Delhi bazaar etc.

Questionnaire prepared for customers of Big Bazaar

1. How frequently do you visit Big Bazaar?
a) Weekly
b) Monthly
c) Quarterly
d) On a unplanned basis
2. Apart from Big Bazaar do you intend to visit any other retail outlet in a
Mall?
a) Yes

b) No

3. If yes then what are the other retail outlets do you intend to visit in a
mall?
a) Garment Outlet
b) Footwear Outlet
c) Food Court
d) Entertainment
e) Gift Corner
f) Jewellery and Watches store
4. What is the purpose behind visiting Big Bazaar?
a) Shopping
b) Outing
c) Dating

5. What type of products do you mostly purchase in Big Bazaar?

a) Cloths
b) Grocery
c) Food Item
d) Leather Item
e) Electronic Item
f) Gift Item
g) Any other Item

6. On an average how much amount of money do you spend in a visit to Big

Bazaar?
a) Below 500
b) 500 1000
c) 1000 1500
d) 1500 2000
e) More than 2000
7. How much time do you spend in a visit to Big Bazaar?
a) Less than half an hour
b) Half an hour to 1 hour
c) 1 hour to 1 hours
d) 1 hours to 2 hours
e) More than 2 hours
8. Which days of the week do you prefer to visit Big Bazaar?

a) Week days
b) Weekends
9. Which time of the day do you mostly prefer to visit Big Bazaar?
a) 10am 6pm
b) 6pm 10pm
10. Do you go with a planned list of products to be purchased from Big
Bazaar?
a) Yes

b) No

11.Do you prepare a list of brands in advance when you visit to Big Bazaar?
a) Yes

b) No

c) Depends on category
12. In which categories of products do you pre-decide the brands?
a) Cloths
b) Leather Items
c) Electronic Items
d) Grocery
e) Gift Items
f) Any other Item

13.

What is your mode of payment in Big Bazaar?

a) Cash payment

14.

b)Credit Card

What encourages you to visit Big Bazaar?

a. Price
b. Service
c. Ambience
d. Product Variety
e. Product Quality
f. Convenience

15.How would you rate the services of the sales personnel in Big Bazaar
on a 1 5 scale?
a. Very good
b. Good
c. Ok
d. Poor
e. Very poor

16.What is your convenience to Big Bazaar?

a) Hired vehicle
b) Two-wheeler
c) Four-wheeler
d) Any other
17. How is the parking space availability in Big Bazaar?
a) Less than adequate
b) Adequate
c) More than adequate
18. Do you go to Kirana store?
a) Yes

b) No

19.Compare your nearest Kirana store with Big Bazaar on the following
parameters.
i. Price
ii. Service
iii. Variety
iv. Quality
v. Convenience
vi. Shopping Experience
..

1. Name: 2. Age: 3. Sex: 4. Location/Address: 5. Qualification: 6. Profession: 7. Whats your monthly income?
a) Below 10,000
b) 10,000 20,000
c) 20,000 40,000
d) 40,000 60,000
e) More than 60,000

BIBLIOGRAPHY
BOOKS KNOOTZO DONNEL
Essentials of management concepts
PHILIP KOTLER
Marketing Management
C .R. KOTHARI
Research Methodology

WEBSITES www.bigbazaar.com
www.google.com

REFERENCE Big bazaar outlet in Gurgaon, Noida, Gazhiabad, Indralok, and

Wazirpur.

MAGAZINE Business World

The Economic Times