RETAIL BUSINESS MANAGEMENT

(EASYDAY)

SUBMITTED BY:-
KARTHIK G S
MBA-A
B2081
EASY DAY
Easy day is an Indian retail brand that runs chains of consumer
retail Department stores. The brand is wholly owned by Bharti Enterprises
limited and is operated by its subsidiary, Bharti Retail limited which is
headquartered in New Delhi. The technical and management support for the
brand is provided by Arkansas, United States based Wal-Mart Stores, Inc,
which is the largest retailer in the world.

Easy day aim to provide significant saving to customers by being low priced
every day, which means that our customers can be assured of saving every time
they visit stores. Easy day currently operates in 13 states Himachal
Pradesh, Punjab, Haryana, Delhi, Uttarakhand, UttarPradesh, Rajasthan, Madhy
a Pradesh, Chhattisgarh, Maharashtra, Karnataka and Andhra Pradesh in over
110 towns and cities. The number of stores functional is 220 across three
different formats catering to about 76,000 people every day

QUESTION 1

Easy day – CURRENT CLIMATE AND SITUATION

The Future Group unveiled a 30-year vision, Retail 3.0, by when it plans to
become Asia‘s largest integrated consumer retailer by 2047 with revenue of in
excess of $1 trillion. The Easyday stores will be technologically- driven. They
will integrate physical presence with tools to understand consumer behaviour
and requirements. All this will be done through artificial intelligence, and
machine learning.

Future Group further claimed that by the end of the current fiscal, the group will
have 1,100 Easyday stores from the present 700. Each such store will have an
investment of around Rs. 15 lakh.
INDUSTRY – RETAIL INDUSTRY

Retailing is one of the pillars of the economy in India and accounts for 23% of
GDP.Most Indian shopping takes place in open markets and millions of
independent grocery shops called kirana. Organized retail such supermarkets
accounts for just 8% of the market as of 2016. Regulations prevent most foreign
investment in retailing. Moreover, over thirty regulations such as "signboard
licenses" and "anti-hoarding measures" may have to be complied before a store
can open doors. There are taxes for moving goods to states, from states, and
even within states.An increasing number of people in India are turning to the
services sector for employment due to the relative low compensation offered by
the traditional agriculture and manufacturing sectors. The organized retail
market is growing at 35 percent annually while growth of unorganized retail
sector is pegged at 6 percent.

The Retail Business in India is currently at the point of inflection. Rapid change
with investments to the tune of US $ 25 billion is being planned by several
Indian and multinational companies in the next 5 years. It is a huge industry in
terms of size and according to management consulting firm Technopak
Advisors Pvt. Ltd., it is valued at about US $ 350 billion. Organized retail is
expected to garner about 16-18 percent of the total retail market (US $ 65-75
billion) in the next 5 years.

India has topped the A.T. Kearney‘s annual Global Retail Development Index
(GRDI) for the third consecutive year, maintaining its position as the most
attractive market for retail investment. The Indian economy has registered a
growth of 8% for 2017. The predictions for 2018 are 9-10%. The enormous
growth of the retail industry has created a huge demand for real estate. Property
developers are creating retail real estate at an aggressive pace and by 2021,
1300 malls are estimated to be operational in the country.
RETAIL SECTOR

Easyday belongs to the category of supermarkets and consumer stores. Easyday

sells items and products of various brands keeping in mind the requirements of
the local and regional needs. A typical Easyday store sells groceries including
fresh produce inclusive of fruits, vegetables & milk; cereals, meat, poultry,
dairy and baked products, canned goods, soups, grains, snacks, cookies, chips,
condiments, beverages, sauces, spices, and candy; beauty products like
toiletries, fragrances, makeup, shaving and skincare items; health care items;
apparel, hosiery, shoes & accessories; books and stationary; toys; gifts; kitchen
ware; home improvement products including tools, lighting, & electronic
accessories; and items related to religion. Easyday has also partnered
with Moneygram International that provides customers the facility of money
transfer at their stores. This facility was initially launched at 121 stores in May
2011

CONSUMER BEHAVIOUR AND COMPETITIVE PRESSURES

For a store like Easyday the general public is the biggest consumer. Almost
everyone needs items for their household no matter they want to cook or they
want to purchase clothes, etc. the general public is divided into many categories
based on the income. Not all of the people have large income so that they can
buy expensive products. It is why Easyday offers many promotions and deals.
The communes use these deals and promotions to purchase items at a low price.
The general public wants the price to be as low as possible. For example the
consumers look for offers during the Christmas season or the New Year or
during special festivals.
Most of the consumers who buy products from Easyday are married. These
consumers are the ones who have the need to buy family products. These
consumers like to purchase the products at a low price and also like to find out
family deals. For example the consumers want to buy bulk products and get a
discount. text and calls. It is a perfect match for a person who has a family and
wants to stay intact. Eayday is an international retail store. It has consumers
from all kinds of religious background. It is why to stay up to date and to make
sure that the consumers from all religious backgrounds are satisfied they offer
separate deals.
Easyday's main competitors are D-Mart, Big Bazaar and HyperCITY. D-Mart is
seen as one of Easyday's top competitors. D-Mart was founded in 2000, and is
headquartered in Mumbai, Maharashtra. Like Easyday, D-Mart also competes in
the Hypermarkets & Super Centers industry. D-Mart generates $35.6M more
revenue vs. Easyday. Big Bazaar is a top competitor of Easyday. Big Bazaar
was founded in 2002, and its headquarters is in Coimbatore, Tamil Nadu. Big
Bazaar has 17 more employees than Easyday. HyperCITY is Easyday's 3rd
rival. HyperCITY was founded in Mumbai, Maharashtra} in 2004. Like
Easyday, HyperCITY also operates in the Hypermarkets & Super Centers field.
Compared to Easyday, HyperCITY generates $140M more revenue.

As part of their competitive stratergies, Easyday has been a participant in

various events for social causes like eye donation, blood donation camp, eye
and dental check-ups and health-awareness programs. The company encourages
its employees to volunteer for the education of street children. It collects clothes
so that they could be donated to the less-privileged section of society. Easyday
has also been part of Go Recycle, a campaign for plastic recycling. In order to
create customer‘s interest in its brand and products, Easyday has launched
several marketing strategies.
Its promotional techniques include advertising in local newspapers and offering
promotional coupons for a specific period. The brand has also taken the help of
social media and has started advertising its products through the internet and by
sending emails about latest offers to their regular customers.

E - COMMERCE AND TECHNOLOGY

Easyday has drawn up a blended commerce strategy, code-named ‗Tathastu‘,
with an aim to get two crore members from 10,000 stores to spend ₹50,000-
1,00,000 each, per annum, thereby creating a ₹1,50,000-crore opportunity for
the company in the next five years. Tathastu, which means ‗so be it‘ in Sanskrit,
promises to bring the ―whatever, wherever, whenever‖ promise to all eastday
customers.

The strategy is underpinned by a slew of digital products being rolled out from
its C&D Lab (Consumer & Digital Lab) based in Bengaluru, starting with an
Android app called Easy Day Club (which is in pilot now) that is to be rolled
out by month-end. This will be followed by the iOS, web and mobile browser
versions.

―Tathastu or Retail 3.0 is a contextual blended commerce model which will

incorporate the best of both Retail 1.0 (brick and mortar stores) and Retail 2.0
(e-commerce) along with new technology advancements. By contextual I mean,
using data to know more about what customers want and also predict their
needs, where our stores will still be the hub of all commerce locally.

The company‘s vision is to build a virtual digital store that is open to customers
24/7 that is managed with digital data, so orders can be placed from anywhere,
anytime and anyplace, with options of express delivery, standard delivery, in-
store pick-up, etc. ―When members of Easy Day Club walk into our Easy Day,
Nilgiris, Heritage and Food World stores today, they will get to choose from
beyond the 3,500 SKUs which a store typically stocks. On the Easy Day Club
app, we now give customers who come to buy groceries at our stores, access to
product catalogues of all our other formats which will meet all their needs
around Roti, Kapada and Makaan.

QUESTION 2

EVOLUTION OF EASYDAY

In 2006, Walmart initiated talks with India-based Bharti Enterprises to enter the
Indian market as India's restrictive commercial laws prohibited most foreign
companies from setting up stores to compete with domestic
retailers. Subsequently, they set up an equal joint venture to float a company
called Bharti Walmart Private Limited in 2007, with the intention of doing
wholesale business, through Best Price Modern Wholesale stores. It was
decided that while Walmart would work towards back-end cash & carry supply
chain for the wholesale operations of Bharti Walmart; it would also provide
expertise including technology, supply chain, logistics and management support
to the retail stores, Easyday, which will be run a wholly owned subsidiary of
Bharti Enterprises named Bharti Retail Private Limited Retail was set up in
April 2007 with the target an annual turnover of about $3.65 billion by 2015.
The major challenge for Easyday stores was the competition from small scale
retailers who controlled about 97% of the Indian retail business. They organized
protests against Easyday, which was supported by a section of politicians.Amid
a stiff resistance from the opposition political parties, the Indian government
allowed 51% Foreign Direct Investment in multi-brand retail in September
2012, which could enable Walmart to do direct retail business in India.

The company made plans to expand zone-wise, starting with the northern part
of India. November 2008, the company had 12 stores operational and in the next
month, Easyday opened its first medium-sized retail store, labelled Easyday
Market, in Ludhiana, Punjab.

In May 2009, Easyday opened its first store in Delhi NCR. Easyday had its
retail operations running in 70 stores by May 2010 in the states of Punjab,
Haryana, Uttar Pradesh, Rajasthan, among others

PRIMARY BUSINESS

Easyday sells items and products of various brands keeping in mind the
requirements of the local and regional needs. A typical Easyday store sells
groceries including fresh produce inclusive of fruits, vegetables & milk; cereals,
meat, poultry, dairy and baked products, canned goods, soups, grains, snacks,
cookies, chips, condiments, beverages, sauces, spices, and candy; beauty
products like toiletries, fragrances, makeup, shaving and skincare items; health
care items; apparel, hosiery, shoes & accessories; books and stationary; toys;
gifts; kitchen ware; home improvement products including tools, lighting, &
electronic accessories; and items related to religion. Easyday has also partnered
with Moneygram International that provides customers the facility of money
transfer at their stores. This facility was initially launched at 121 stores in May
2011.

Though Easyday sells merchandise manufactured by several different

companies. Bharti Walmart said in an interview, "Customers have begun to like
private labels due to better quality, high food safety standards, international
look and feel of products, customized packaging created after customer
feedback and the credibility of the retailer.

Great Value: The brand Great Value is Walmart's international brand, and it
locally sells a range of everyday-use products like flour, staples, cereals, spices,
tea, cold beverages, sodas, jams, ketchups, dry fruits, corn flakes, Indian snacks,
dish-wash bars, detergents, toilet cleaners, and floor & glass cleaners[26][27]
These products are typically sold at a lower price because of minimal marketing
and advertising expense. As a house or generic brand, the Great Value line does
not consist of goods produced by Bharti Walmart, but is a labeling system for
items manufactured and packaged by a number of agricultural and food
corporations.

Easy Choice: The brand Easy Choice operates on the same lines as Great Value,
also catering to the FMCG range, sourcing products from Bharti Walmart, but
the items are usually a further little cheaper as compared to Great Value
products.

Mainstays: It is Walmart's another international brand for basic home essentials,

catering to kitchen & bathroom accessories, bed linen, cushion covers, towels,
plastics, lighting solutions, and stationary.

Equate: This global Walmart brand sells personal care products, including
cosmetics, deodorants, bar & liquid soaps, oral & dental care range, nail-cutters,
and baby care products

George: George is a western apparel brand that began as British supermarket

chain, Asda Stores Limited's, private clothing range, and later moved to
Walmart's US and Canadian stores.

Astiva: It is Bharti Walmart's regional brand dealing with ethnic Indian

wearsuch as kurtas, kurtis, salwar kameez, and ready to stitch fabric.

Simply Basic: It is a brand designed to cater to everyday wear and clothing

needs

Home Trends: This brand caters to home furnishings & decor, kitchen tools,
crockery, cookware, table ware and glassware.
Kid Connection: It is a specialized brand dealing with toys, children's clothing
and other items for children.

Faded Glory: This brand provides footwear

Athletic Works: It is a fitness & sports brand that deals with athletic shoes,
work-out equipment, gym goods and fitness merchandi

BUSINESS MODEL

Easyday, a retail entity of Future Group, is currently following a B2B model. As

per the current business model, the franchisee used to sell the Easyday products
across the length and breadth of the country. The process was made very simple
for franchisee as their involvement was only limited to take orders from the
customers. Rest of the entire cycle of delivering the booked orders on to the
customers‘ door step used to fall under the periphery of Easyday. The Agony
doesn‘t ends here, after going through the pain of delivering the goods, Big
Bazaar also used to pay commission to the franchisee that miffed company the
most.

Commenting on the development, officials of the Future Group stated that

company doesn‘t have big pockets. It is not saying that Easyday has been
changed to so and so, but company is in a transition process and thereby, it will
share the details when everything is finalised.

Cost control has been another key focus area of Easyday. Unlike its peers in the
retail space, Easyday has steered clear of exuberant spending on marketing and
advertising. It has simple store plans and has never set up fancy stores in malls
or launched multiple formats and categories. Instead, it moved forward taking
measured steps. It owns most of its stores or has them on 30-year long-term
leases. This has brought down costs further as real estate dents revenues to some
degree.

Besides avoiding swift and costly expansion strategies to gain market share,
Easyday has also avoided forking out astronomical pay packages to top
honchos. In fact, it does not hire high profile executives like its competitors.

Following such risk-averse strategies, Easyday has clocked profits all the way.
In 2016 fiscal, for example, the firm made a profit of Rs300.21 crore on a
revenue of nearly Rs8,600 crore. Compare this with Mukesh Ambani‘s Reliance
Retail (it entered the arena after Easyday) that made a net profit of Rs306.54
crore in the same fiscal with revenues double that of Easyday. Kishore Biyani-
led Future Retail, another key player in the market, had a comparatively smaller
profit too compared to revenues earned.

CORPORATE STRATEGY AND GOALS

Easyday used two types of strategies to make it a great success.

 Focused Cost Leadership strategy – here Easyday focussed to offer its

products to only one group of customers at a low price. This made that
particular segment of consumers very loyal to Easyday.
 Localization strategy –by localizing the pressures to reduce cost will be
reduced as well as it will get good responses from its local areas.

GOALS

Mission - To be the best supermarket chain by offering a world class consumer

goods at affordable prices.

Easyday has set a goal of reaching 2000 shops in different parts of India in the
coming years, since Indian supermarket industry has got a market potential of
nearly 5000 supermarket shops. Currently there are roughly 2,000 supermarket
in the organized market ,So there‘s a lot of potential.

REVENUE

The major revenue generating business for Easyday is supermarket and related
business. It contributes about 34% of the total revenue of the entire business
done by supermarket. It totalled to 1326 Cr INR in 2015.With over 5 lakh
people walking into Easyday cafes around the country every day.

FUTURE PLANS

Easybuy, the new apparel value retail format from the stable of Landmark
Group, is targeting 100 stores across the country by 2020, a top company
official said today.

The company already has 20 stores in South India and plans to reach 50 stores
by this fiscal, Easybuy Business Head Anand Aiyer told reporters here on the
sidelines of launch of its first store in the city, the fourth in Tamil Nadu.
Easybuy planned to touch 100 stores across the country by 2020. Started two
years ago, the company had a business turnover of Rs.131 crore and expected to
reach Rs.600 crore by 2020.

The company was growing at 30 to 40 per cent per annum, he said adding it was
expanding mainly through franchisee model. The main aim of the company was
to reach the middle income market in Tier II and Tier III cities, which has huge
potential.
QUESTION 3

CORPORATE ANALYSIS

Parent company – FUTURE RETAIL

Future Retail Limited brings Easyday Club as a part of the evolution of Retail
3.0, - a reimagined neighborhood food and grocery store that is driven by local
communities and serves a modern, personal and Indian shopping experience to
its members. With more than 800 supermarkets stores powerfully spread in 117
cities and towns across country, Easyday, along with Nilgiris and Heritage, is
well poised to efficiently reach customers in every locality.

As India‘s leading retailer, Future Retail inspires trust through innovative

offerings, quality products and affordable prices that help customers achieve a
better quality of life every day. We serve customers in more than 250 cities
across the country through over 12 million square feet of retail space.

Future Retail is the flagship company of Future Group, India‘s retail pioneer
catering to the entire Indian consumption space. Through multiple retail
formats, we connect a diverse and passionate community of Indian buyers,
sellers and businesses. The collective impact on business is staggering: Over
500 million customers walk into our stores each year and choose products and
services supplied by over 30,000 small, medium and large entrepreneurs and
manufacturers from across India. This number is set to grow.

RETAIL BUSINESS PORTFOLIO

Future Consumer has surged 9% to Rs 61.95 on the BSE on back of three-fold

jump in trading volumes.
Future Market Networks (up 18% to Rs 148), Future Enterprises (17% at Rs
42.50), Future Retail (6% to Rs 609), Future Lifestyle (5% at Rs 479) and
Future Supply Chain Solutions (3% at Rs 698) were up in the range of 3% to
18% on the BSE. On comparison, the S&P BSE Sensex was up 0.36% at 35,446
at 09:48 am.

In an interview with Surajeet Das Gupta of Business Standard, Kishore Biyani,

chief executive officer of the Future group said that the group are open to
strategic alliances with online players.

The eco-system will include offline and online retail, payments systems,
logistics, insurance, healthcare and entertainment. Walmart has all this and Sam
Club and also an alliance with Google. So they are also following the same
strategy. In India we have the entire eco-system which include brands, factories,
supply chain, logistics etc, said Kishore Biyani

Future Group is home to some of the leading consumer businesses in the

country that connects with a diverse and passionate community of Indian
buyers, sellers and businesses. Operating over more than 22 million square feet
of retail space, the Group serves more than 500 million customers through
1,800+ stores across India. With a retail presence in every state, and through
stores in more than 250 cities, the Group effortlessly qualifies as among the
leading national retailers.

Future Group also owns and markets over a hundred brands in the food, FMCG,
fashion and homeware segments that cater to almost every category and
consumer segments in the country.
 PREV
COMPANY LATEST GAIN(%)
CLOSE

FURURE
146.30 124.95 17.09
MARKET

FUTURE
40.30 36.25 11.17
ENTERP.

FUTURE
61.20 56.85 7.65
CONSUMER

FUTURE
609.50 574.55 6.08
RETAIL

FUTURE
479.00 455.95 5.06
LIFESTYLE

FUTURE
692.90 675.15 2.63
SUPPLY

OVERALL MARKET STRATEGY

Three types of format stores are operated by Bharti Retail with a nametag of
Easyday. They are located at prime spots to gain maximum exposure so that it
can garner good sales. Easyday is the name given to standard stores in the
neighbourhood, Easyday market to mid-size compact hypermarkets and
Easyday hyper to hypermarket style larger stores. Bharti Enterprise declared its
intention of joining the retail industry by opening its first Everyday store in
Ludhiana in Punjab in the year 2008 and Easyday market in the same year in
Jalandhar, Punjab.

Price in the Marketing Mix of Easyday :

Affordable prices are the mantra of Easyday retail outlets because it wants to
cater to a large section of people. The brand is interested in selling products in
huge quantities to a maximum number of people so that vast sales volumes are
created.

Easyday has agreed to several pricing policies to market its goods. It has kept
the basic prices low and hence has adopted a reasonable pricing policy. During
festive seasons it encourages bulk buying through its economic pricing policy.
This is possible because of special offers and discounts on several products. The
company has adopted a penetration policy and to create new inroads it
periodically offers an incentive to the customers so that they visit and buy, thus
creating large sales figures and ultimately greater revenues.

Promotion in the Marketing Mix of Easyday :

As part of their promotional activities, Easyday has been a participant in various

events for social causes like eye donation, blood donation camp, eye and dental
check-ups and health-awareness programs. The company encourages its
employees to volunteer for the education of street children. It collects clothes so
that they could be donated to the less-privileged section of society. Easyday has
also been part of Go Recycle, a campaign for plastic recycling. In order to
create customer‘s interest in its brand and products, Easyday has launched
several marketing strategies.

Its promotional techniques include advertising in local newspapers and offering

promotional coupons for a specific period. The brand has also taken the help of
social media and has started advertising its products through the internet and by
sending emails about latest offers to their regular customers.

QUESTION 4

COMPETITORS OF EASYDAY

Easyday's main competitors are D-Mart, Big Bazaar and HyperCITY. D-Mart is
seen as one of Easyday's top competitors. D-Mart was founded in 2000, and is
headquartered in Mumbai, Maharashtra. Like Easyday, D-Mart also competes in
the Hypermarkets & Super Centers industry. D-Mart generates $35.6M more
revenue vs. Easyday. Big Bazaar is a top competitor of Easyday. Big Bazaar
was founded in 2002, and its headquarters is in Coimbatore, Tamil Nadu. Big
Bazaar has 17 more employees than Easyday. HyperCITY is Easyday's 3rd
rival. HyperCITY was founded in Mumbai, Maharashtra} in 2004. Like
Easyday, HyperCITY also operates in the Hypermarkets & Super Centers field.
Compared to Easyday, HyperCITY generates $140M more revenue.

COMPETITIVE ADVANTAGES

Variety of Products
The main competitors for Easyday are Tata Hypermarket, More, and Reliance
Fresh. Easydaysells almost everything in the retail sector. From Easyday, you
can buy packed food, vegetables, fish, apparels, toys, footwear to hi-tech
electronic goods such as TVs, cameras, iPods, etc. They even have
entertainment zones and hotels inside their stores. This offers the family a
comfortable place to do shopping and to spend time. When Easydayoffers every
thing under a single store, its main competitors offer only specialized products.
For example, Reliance Fresh mainly sells vegetables and food items. Tata
Hypermarket sells mainly apparels.

Large Chain of Stores

Easyday has 121 stores in 71 locations in India. This offers great accessibility
for customers. As they have many stores, they purchase product in bulk for
cheap price from the suppliers. This enables Easydayto sell their products for
low price.

Apt Locations
Easyday has its stores in 71 cities in India. Their store locations are either city
centers or huge residential areas. This gives Easydaya great advantage over its
competitors. Instead of making the customers come to their store by travel,
Easydayestablished their stores in easily accessible locations.

Low Price
All the products sold in Easydayare priced lower when compared with its
competitors. In India, the price is the main factor that attracts customers. With a
right mix of marketing and procuring the products, Easydayis offering the
products and services for the lowest price.

COMPETITIVE STRATEGIES OF EASYDAY

The company carefully monitors the prices offered by its competitors and
continuously adjust its pricing and promotions to maintain competitiveness. The
principal factors affecting competition in the supermarket sector include pricing,
product and service quality, brand perception and taste and product variety.
Easybuy believe that it distinguish itself from its competitors on the basis of
strong branding and ownership of the same, high levels of customer service,
good café locations, trendy café format, competitive pricing and a wide range of
products.

COMPETITIVE THREATS

EASYDAY is enjoying its position as a market leader in coffeehouse industry.

Currently no major players are able to compete with EASYDAY, the first
mover advantage and cost leadership strategy used by EASYDAY has already
established it as the king of coffeehouses. Even though Big bazar comes with a
huge brand image, it is believed that the premium pricing of Big bazar can
never reduce its cost so as to compete with EASYDAY. Other players are also
facing the same issue.

QUESTION 5

a. SEGMENTATION AND TARGETING

Segmentation involves finding out what kinds of consumers with different

needs exist. In the auto market, for example, some consumers demand speed
and performance, while others are much more concerned about roominess
and safety. In general, it holds true that ―You can‘t be all things to all
people,‖ and experience has demonstrated that firms that specialize in
meeting the needs of one group of consumers over another tend to be more
profitable.Several different kinds of variables can be used for segmentation:-

1. Demographic variables essentially refer to personal statistics such as

income, gender, education, location (rural vs. urban, East vs. West),
ethnicity, and family size. Campbell‘s soup, for instance, has found that
Western U.S. consumers on the average prefer spicier soups—thus, you
get a different product in the same cans at the East and West coasts.
 2. Another basis for segmentation is behavior. Some consumers are
―brand loyal‖—i.e. they tend to stick with their preferred brands even
when a competing one is on sale.

3. One can also segment on benefits sought, essentially bypassing

demographic explanatory variables. Some consumers, for example, like
scented soap (a segment likely to be attracted to brands such as Irish
Spring), while others prefer the ―clean‖ feeling of unscented soap (the
―Ivory‖ segment). Some consumers use toothpaste primarily to promote
oral health, while another segment is more interested in breathe
freshening.

In the next step, we decide to target one or more segments. Our choice should
generally depend on several factors:-

First:

How well are existing segments served by other manufacturers? It will be more
difficult to appeal to a segment that is already well served than to one whose
needs are not currently being served well.

Secondly:

How large is the segment, and how can we expect it to grow?

Thirdly:

Do we have strengths as a company that will help us appeal particularly to one

group of consumers?

1. Easyday targets higher & middle class customers.

2. Easyday specifically targets working women and home makers who are the
primary decisions maker. It is part of Big Bazaar‘s new Guerrilla Marketing
Strategy.
b. POSITIONING

Positioning involves implementing our targeting. Easyday positioning to its

targeting customer, middle class by giving discount offers, working women by
monthly saving bazaar and home makers by providing a wide range of food,
non food, fruits and vegetable

As far as its competitors like Big bazar, D mart are concerned, they are
premium brands that will cater only to those who are willing to give some extra
for the quality of products and services provided. So the competitors of Easyday
is so far unsuccessful in penetrating the markets.

c. TECHNOLOGY

The company‘s vision is to build a virtual digital store that is open to customers
24/7 that is managed with digital data, so orders can be placed from anywhere,
anytime and anyplace, with options of express delivery, standard delivery, in-
store pick-up, etc. ―When members of Easy Day Club walk into our Easy Day,
Nilgiris, Heritage and Food World stores today, they will get to choose from
beyond the 3,500 SKUs which a store typically stocks. On the Easy Day Club
app, we now give customers who come to buy groceries at our stores, access to
product catalogues of all our other formats which will meet all their needs
around Roti, Kapada and Makaan.

d. LOCATION STRATEGIES

Easyday is located has 121 outlets in India , big bazaar locates its outlet
near the commercial area and residential complexes so that they can cover all
theirtarget customers E.g. : their outlet in Ameerpet , Hyderabad , is located
near commercial areas so that the working class people can drop in and shop
house hold items after office hrs.The choice of location of Big Bazaar in many
ways captures the essence of what they were doing- they adapt themselves to
the habits tastes and preferences according to the location. One of the distinct
feature of their location is that it is easily accessible and they try to locate their
outlet in such a location where they can reach a large customer base.

Layout
People often complain that Big Bazaar outlets always look very crowded. But
few realize that it is concisely designed to look just like that. When the shop
looks neat and empty, the masses never walk into it. There has to be what is
called the ‗buttonbrush effect‘, and an ‗organized chaos‘. As Indians, we like
bumping into people, chatting, gossiping and eating while we shop!
Big Bazaar layout consists of layout of long rows of parallel fixtures; with no
aisles because aisles can be boring they restrict space and can‘t be dramatized.
At Big Bazaar, they create multiple cluster or mini-bazaars within every store. It
was designed as an agglomeration of bazaars with different sections selling
different categories‘ ―It uses space efficiently.It provides easy sitting of
merchandise and linking of the product throughout the store.It allows more
customers in the store at any time.Allows staff of the store to work easily
alongside the customers without disturbing them.Provide self-service
atmosphere

e. MANAGING HUMAN RESOURCES

Every EASYDAY store is company owned. EASYDAY has around 10,000

employees on its payroll, where a major chunk of employees is out at the
various stores, some even in tier 2 and tier 3 cities.EASYDAY is doing a very
good job at keeping its staff, even in the remotest of stores, happy and
motivated. The employees are majorly from rural India for whom the whole
hospitality industry and the concept of coffee chains are new. EASYDAY
offered most of them an opportunity for dignified labour, weaning them away
from the interiors of the country where life was difficult in multiple
ways.EASYDAY‘s effort to give them clear growth paths and appreciate good
work was what made them happy to be employed there. Every individual is
appointed in a role or place that best suits her/his ability and preferences. A lot
of focus is given on training and development.The employees appreciated the
fact that the company, through its area managers, ensures that they have a link
with the senior management. The area managers not only address their
grievances but are also responsible for their growth.

MERCHANDISING STRATEGIES

Main objective of the store layout is to maximize the interface between

customers and merchandise‖ It provides easy accessibility to the customers to
view the offerings of the store. Layout of the store has been strategically
designed in order to make effective use of merchandise and passage todraw
customers‘ attention on store‘s offerings.Easybuy has a wide range of
merchandise they have both branded and unbranded products like:

Home line items: Like bed sheets, pillow covers, carpets to kitchen utility
items like steel utensils and crockery and other minor utility items required in
a house
Electronic items: like refrigerator, T.V, vacuum cleaner, music system,
vacuum cleaner, washing machine. Etc
Mobile Zone: A wide range of mobile phones and accessories is available at
lowest possible price
Furniture: All kinds of furniture are available that one may require to
decorate theirhouse.
 Opticians: In this section all brands and types fashion glasses are available
Men Ladies and kids wear: This section includes fashion and casuals wear for
men ladies and kids both branded and unbranded.
Foot wear: In this section footwear for men women and kids is made
available.
Music: A wide collection of CDs DVDs is made available
Toys: All kinds of toys for children is available
Stationary: all kind of office stationery and stationery for school going kids is
Available

f. PRICING
Pricing is basically setting a specific price for a product or service offered. In a
simplistic to the concept of price as the amount of money that customers have to
pay to obtain the product. Setting a price is not something simple.
Normally it has been taken as a general law that a low price will attract more
customers. It is not a valid argument as customers do not respond to price alone;
they respond to value so a lower price does not necessarily mean expanded sales
if the product is not fulfilling the expectation of the customersGenerally pricing
strategy under marketing mix analysis is divided into two parts: price
determination and price administration (ibid).
Price determination is referred to as the processes and activities employed to
arriveat a price for a product including consideration of relative prices of
products withinthe same line, and differences in price for similar products of
differing grades and qualities.Price administration is referred to as the activities
involved in fitting basic prices toparticular sales situations such as geographic
locale, functions performed by customers, position of distribution channel
members, or special sales situations.
g. ADVERTISEMENT AND SALES PROMOTIONS
Advertising is recognized as an indispensable tool of promotion. It has
acquired a lot of significance in the national and international markets. With
the advent of globalization and liberalization its imperativeness in the Indian
retail sector has increased as a result of competitions, latest technologies, and
the rapidly changing consumer lifestyles.Objectives of Advertising:

The fundamental objective of advertising is to sell something –a product,

service, or an idea.

The Major Objectives of advertising are:

1. To promote a new product.

2. To warn the public against imitation of the retailer‘s product.

3. To manage competition in the market.

b. Benefits of Advertisements:

1. Advertisement helps in creating awareness among the customer about the

existence, price, and availability of product.

2. Increases the utility of existing products.

3. It educates customer about new product and their diverse uses

QUESTION 6

FINANCIAL ANALYSIS

 REVENUE GROWTH

FY16 FY17
Big Bazar 931 CR INR 1030 CR INR
Easyday 235 CR INR 272 CR INR

With lesser number of shops in hand, Big bazar is performing very well to
add on to the growth of its revenue. With only 33 outlets in hands Big bazar
has increased its revenue from 931 cr to 972 cr, which shows each Big bazar
store is selling products worth Rs 3 cr. Whereas EASYDAY is having 121
outlets and more and the total revenue stands to Rs 272 cr, which indicates
that each EASYDAY outlet is only having a sales of 84 lakhs.

 RETURN ON ASSETS

CAFÉ COFFEE DAY FY16 FY17

RETURN ON 87.38 82.80
ASSETS

Return on Assets has reduced from 87.38 to 82.80. This shows that the ratio
of Net Income to Total Assets has come down this financial year as
compared to previous year.
QUESTION 7

SWOT ANALYSIS OF EASYDAY

Strengths

1. Technical, management, supply chain and logistics support provided by

Walmart, world‘s largest discount retail store.
2. Has a wide, well spread network of 220 stores across 13 states and over 100
cities in India thereby providing economies of scale and better distribution
systems
3.Multi-store format: hyper market, super markets and discount storesproviding
a sound experience in retail and wider presence
4. Focus on inclusive growth by employing local suppliers, employees etc.

5. Strong operations and good brand backing of parent company

Weakness

1.Does not go by the name of Walmart in India which could have helped in
brand establishment and recall
2. Rising labour and real estate costs in India could be a setback on growth of
stores

Opportunities

1. Partnered with Moneygram International to provide money transfer facility at

its stores
2. Economic recession and rising unemployment leads to rising consumer
preference for discount stores
3.Expand its operations through private –labels and strategic acquisitions
Threats

1.Competition from unorganised retail sector in India which comprisemajority

of the retail market .
2.Threat from international players like Carrefour ,Tesco due to allowance of
100% FDI in multi-retail.
3.Competition from indigenous retail stores such as Spencer‘s, Mahindra retail,
Big bazaar, Reliance fresh etc.

QUESTION 8

Easyday is the leading supermarket chain. Starting its first outlet in 2008,
Easyday started writing its own success story. Till now Easyday was successful
in conquering the minds of Indian population. Since supermarket industry is
showing a promising future. Indian market potential for supermart is 5000
supermart. So to secure a bright position in the future, easyday should make
sure that the majority of the market potential is achieved by easyday.

If I get an opportunity to work as the CEO of easyday, I would like to

implement the following strategies,

 Improving the merchandising strategies of easyday.

 Try to increase the number of stores in the market by expanding into new
places.
 Introduce innovative advertisement campaigns and promotional activities.
 Try to bring more innovative practices to stay ahead in competition with
market leaders like Big bazar.
CONCLUSION

Easyday is the supermarket from Indian origin that has introduced a new culture
in front of the Indian population that does a lot of things over supermarket
industry. After opening its first Café in 2018, EASYDAY started growing year
after year and achieved what all things that it could possibly have. Easyday has
clocked profits all the way. In 2016 fiscal, for example, the firm made a profit
of Rs300.21 crore on a revenue of nearly Rs8,600 crore.

BIBLIOGRAPHY

 https://www.linkedin.com/pulse/story-vg-siddhartha-cafe-coffee-day-
suchit-prabhu/
 https://qz.com/519173/five-things-you-probably-didnt-know-about-cafe-
coffee-day/
 https://www.livemint.com/Companies/pjwwDanTlmYB1f69FDhmFJ/EA
SYDAY-wants-to-open-roughly-200-cafes-every-year-Venu-
Madhav.html
 https://www.sciencedirect.com/science/article/pii/S0970389613000499
 http://www.coffeeday.com/ourbusiness.html#coffeeday-scroll
 https://www.mbaskool.com/marketing-mix/services/16992-cafe-coffee-
day.html