PROJECT REPORT

AT
'A Study on Customer Relationship Management toward Pantaloons Products

With Special reference to Big Bazaar,Hebbal ,Bangalore

A Project report Submitted in partial fulfilment of the requirements

for the award of the degree of Bachelor Of Business Management Course of
Bangalore University

By
Abutalib Mahdi
08YACO8047

Under the Guidance of

Prof. Padmaja Vani

Presidency College, Bangalore

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 ACKNOWLEDGEMENT

I would like to expresses my gratitude to Mr. SUNIL THOMAS, Store

Manager, and Mr. K. kalyan., HR, of Big Bazaar (Hebbal) whose direction,

assistance, and guidance have been invaluable for the project. I wish to thank

Hebbal staff for their constant support.

I express special thanks to Prof. Padmaja Vani my project guide, who

provided his recommendations and suggestions to complete my project

successfully.

I particularly like to extend my thanks to my faculties, seniors and also to

Samir who supported me during the project.

Abutalib Mahdi

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 CONTENTS

CHAPTER TOPIC PAGE NO.

1 INTRODUCTION 5-24
General Introduction about the
1.1
sector
1.2 Industry Profile
Origin and development of the
1.3
industry
Growth and present status of the
1.4
industry
1.5 Future of the industry
25-29
2 RESEARCH DESIGN
2.1 Title of the study
2.2 Statement of problem
2.3 Objectives of the study
2.4 Scope of the study
2.5 Need for the study
2.6 Limitations of the study
2.7 Methodology of the study
2.8 Type of research
2.9 Sample technique
2.10 Instrumentation technique
2.11 Actual data collection
3 COMPANY PROFILE 30-52
3.1 Introduction
Historical background of retail
3.2
market in India
3.3 SWOT analysis
Services provided by
3.4
pantaloons Big Bazzar
3.5 Competitors of the company
53-68
DATA ANALYSIS AND
4
INTERPRETATION

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 69-71
SUMMARY OF FINDINGS ,
5 SUGGESTION AND
CONCLUSIONS
Summary of learning
5.1
experience
Conclusion and
5.2
Recommendations
72-74
ANNEXURE
74
BIBLIOGRAPHY

CHAPTER 1
INTRODUCTION

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 1ST CHAPTER OVERVIEW

1. INDUSTRY OVERVIEW.

2. FUTURE OF THE INDUSTRY.

3. GROWTH OF INDIAN RETAIL INDUSTRY.

4. TRENDS IN RETAIL INDUSTRY.

5. DRIVERS OF GROWTH IN ORGANISED RETAILING.

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 6. RETAILING THROUGH MALLS.

7. FDI IN RETAILING.

8. IMPACT AREAS.

9. CONCLUSIONS.

GENERAL INTRODUCTION

Like England, India too, has been described as a notion of shopkeepers having
an estimated 15 million small retail outlets, mostly single-store, family-owned fronts all
over the country. This works out to 14 shops per 1000 people, which is one of the
highest densities of shops per 1000 population all over the world. The unorganized
sector comprising small & medium retailers who employ over 40 million people is
indeed the current face of retail that is in the threshold of transformation to a more
organized form. Only 2-3 % of retailers are large -scale who have the ambition to
organized retailing to the whole of India.

Only 4% of the 15 million retail outlets have floor space in excess of 500 sq.ft.
The vast available untapped potential, naturally has attracted majors like Relience,

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Tatas, Birlas, Godrejs, Mahindras & ITC to foray into this sector.

More Importantly, the revolution in retail forges farm to fork linkages with
thousands of farmers to procure additional outlets for retailing their produce. This
necessarily entails huge investments in supply chain logistics, cold chain,
warehousing, & so on all over India's rural market. The further the opens up new
business ventures creating additional employment oppertunities.

One such retail is the FUTURE GROUP headed by Kishore Biyani, the country's
largest retailer having 3.2 million sq.ft., of retail space across 36 cities. He intends to
spend US$ 1 billion to increase that to 10 million sq ft by 2010. The group had a
presence in various segments that scattered to a wide section of consumer in india.
Some of the segments include retail, fashion, food, communication, health & beauty,
which were managed through multiple retail formats.

INDUSTRY OVERVIEW:

Retail is the world's largest industry with global sales of roughly US$ 8 trillion.
Retailing is also one of the biggest contributers to the Gross Domestic Period(GDP) of
most countries & also one of the biggest employers(Source CII McKinsey Report titled
“Retailing in India, the Emerging Revolution”). In India however, the retail sector has
been a high level of fragmentation with a large Share held by unorganized players.

INDIAN RETAIL INDUSTRY:

India is the 4th largest economy in the world in purchasing power parity(PPP)
terms after USA,China and Japan. In 2006-07, india became the 2 nd fastest growing

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economy in tne world with a growth rate of 9.2%. the economy is expected to grow at
an average 7.8% per annum for the next 5 years.

Wholesale & Retail trade sector currently contributes to about 13% of GDP &
employs about 40 million people. India has a large number of retail enterprises with
close to 12 million retail outlets. India has one of the highest retail densities in the
world, but only 4% being larger than 500 sq ft in size. In terms of the structure, the
industry is fragmented & predominantly consists of independent, owner managed
shops. The retail businesses include a variety of traditional retail formats, such as
“Kirana” stores which stock basic household necessities (including food products),
street markets- regular markets held at fixed centers retailing foods & general
merchandise items, street vendors- mobile retailers essentially selling perishable food
items- fruits, vegetables etc & small non specialized retailers.

TRADITIONAL RETAIL FORMATS:

Value Indian
Formats Definition
position examples
Food: Family run stores, selling
Counter
essentially food items. High Service, Kirana Store
Stores

Pavement stalls selling limited variety

Low price, Paan
Kiosks of food & beverages.
High service Shopkeepers

Regular markets held at fixed center

Street retailing food & general merchandise Large
Village Haats
Markets items. selections

Street Mobile retailers essentially selling Low price, Vegetables

Vendors perishable food items-fruits High service Vendor

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 vegetables, milk, eggs, etc.

RETAILING IN INDIA, THE EMERGING REVOLUTION!

• Retail sector accounts for 35% of India's GDP.

• Provides employment to 15% of the population.

• World's largest retail networks with 12 million outlets.

• Total market size of retailing in India now is US$ 300 billion.

• Current share of Organized Retail is 3% or US$ 9-10 billion.

• Projected Growth @ 40% p.a., to become US$ 24 billion by 2010.

FUTURE OF THE INDUSTRY

India is one of the most attractive retail markets in the world,

estimated at US$ 300 billion with a sizzling growth potential of 40% per annum.
With such an explosive trajectory, it is hardly surprising that many global and
national players have announced ambitious investment plans of US$ 22 billion
over the next five years to set up shop, as it were, throughout the country. The
us$ 315 billion global major Wal-Mart has a joint venture with Bharti Enterprises
and has plans to rollout its stores by mid-2008, reaching 75 cities over the next
5-7yrs , according to Raj Jain, Wal-Mart’s president for emerging markets.

India’s Fortune 500 private sector giant, Reliance Industries Ltd. has,
in-fact, been first off the blocks by launching its Reliance Fresh outlets in

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Hyderabad, the cyber-savvy capital of the state of Andhra Pradesh in November
2006 and has since fanned out to 18 states. By end-2007, it plans to extend its
retail footprint to 70 cities. To match the likes of wal-mart, reliance has on the
anvil plans to spend US$5.6billion to set up its outlets in 784 cities and towns all
over the country by 2010. India’s much awaited retail revolution has therefore,
already been set in motion.

The revolution that is being retailed doesn’t, however , conjure this

sector into existence out of nothing. Like England, India , too, has long been
described as a nation of shopkeepers having an estimated 15 million small
retail outlets , mostly single-store , family-owned fronts all over the country. This
works out to 14 shops per 1,000 people , which is one of the highest densities of
shops per thousand population. The unorganized sector comprising small and
medium retailers who employ over 40 million people is indeed the current face
of retail that is in the throes of a transformation to a more organized form.

Only 2-3% of retailers are large-scale who have the ambition bringing
organizing retailing to the whole of India. While the current policy regime bars
foreign retailers from selling multiple brands directly to consumers, they are
allowed to operate in the cash and carry or wholesale format that has brought in
Wal-Mart and the metro group. The winds of reform are not freely blowing
through India’s retail sector, as there are political sensitivities involved. Simply
put the entry of Wal-Mart and other global retailing giants is feared to threaten
the livelihood of millions of retail stores. It bears mention that Wal-Mart employs
only 1.4 million workers but its turnover is similar to that of India’s retail trade as
a whole.
For starters, the revolution in retail entails tapping the huge
opportunity at the bottom of the pyramid. This necessarily implies moving down
from the top, comprising major metros like New delhi , Mumbai , Kolkata ,
Bangalore , Chennai and Hyderabad to smaller cities like Agra and Kanpur in
the state of Uttar Pradesh or Indore and Ranchi in central India or Vijayawada
and Visakhapatnam in the southern state of Andhra Pradesh , to name a few
such examples. Then , moving on to the smaller towns and villages ,where the
real opportunities indeed lie at the base of the pyramid.

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Major players like Reliance have all begun with the big metros like Hyderabad
and Chennai in their foray into retailing. The reasons include higher disposable
incomes and a large working and earning population in these agglomerations.
But how many players can find this business viable if they concentrate only on
this urban segment. A typical sight in most metros in the shopping mall where
organized players retail their wares alongside each other. Mukesh Ambani,
Chairman and MD of Reliance, for his part, belives that “there is enough room
for six-to-eight players” in this business.

The action perforce has to shift to smaller cities and towns. To some
extent, this is already happening in cities like Vadodara and Surat in the state of
Gujarat. According to IBEF reports are 200 malls spread all over India and 700
new malls are coming up, 40% of which are concentrated in the smaller cities
and towns. The reason are not far to seek. The contribution of smaller cities to
organized retail sales was 15% in 2005 and has risen to an estimated 25% in
2006. With growth of 50-60% every year when compared to 35-40% in the large
cities, the smaller cities are the torchbearers of the retail revolution.

A factor that is fanning the move out of them metros is booming real
estate costs. Players like Biyani of the Future Group have been stating that the
smaller cities have a 15-30% cost advantage over the larger cities in this regard
and, accordingly, have plans to set up 400,000 sq.ft of retail space in
Ahmedabad, Vadodara and Surat. Average rentals are in the range of Rs 50-60
per sq.ft per month in the smaller cities when compared to Rs 100-120 per sq.ft
per month in the bigger cities. As lease rentals are an important aspect of the
economics of organized retailing, the move to smaller cities will only accelerate
further Ballooning employees costs are in larger cities are another reason why
organized retailers are also setting up training facilities in smaller cities.
Although retailing is the second largest employer after agriculture, there is a
requirement upwards of two million personnel. Existing players thus are
scrambling to set up training facilities to bridge the gap between demand and
supply. Bharti Enterprises has, for instance , set up the Global Retail School in
Chandigarh to train the large numbers required by its parent’s retail venture and
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plans to open 30 more centers in smaller cities like Jammu and Ludhiana by
end-2007.

More importantly, the revolution in retail forges to fork linkages with

thousands of farmers to procure fresh produce for the outlets. This necessarily
entails huge investments in supply chain logistics, cold chain,warehousing and
so on all over India’s rural hinterland. To be sure, some corporates like the
agribusiness giant ITC have a head start as they have cut out intermediaries
and purchase agri-produce from farmers at e-choupals. A logical step forward
has been to set up Choupal Freshgrocery stores selling fruits and vegetables in
Hyderabad, Pune and Chandigarh .

Reliance, too, has begun procuring farm produce directly from farmers. To stock
its Chennai outlets, its supply chain bypasses the Koyambedu whole sale
market and sources greens and vegetables from farmers in nearby places like
Tiruvallur. In Ranchi, despite the recent opposition to its outlets, around 300
vegetable and farmers entered into a deal to supply directly to Reliance’s
purchase centers at Brambay and Pithori. Dealing with farmers and payng much
higher prices for their produce within a few hours of plucking from the field
enhances purchasing power at the bottom of the pyramid.

To be sure, there is a lot of opposition from vested interests like

wholesale traders to the farm to fork revolution. Companies like Reliance face a
tremendous amount of opposition in bypassing established intermediaries in
states like Tamilnadu and even WestBengal. But states like Haryana , Andhra
Pradesh nad some parts of Uttar Pradesh have allowed direct procurement.
More states will follow suit. Like ITC’s e-choupal scheme, the US agency for
International Development also has a program in India to bring together farmers
and organized retailers to help source fresh agricultural produce.

Ultimately, the prospectus is for this revolution in the country side to

go global as corporates get into contract farming and source farm produce also
export. “The concep of farm to fork means that it will integrate the Indian user
with the global chain. When US President George Bush came to India, the

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mango market was opened up. Wal-Mart coming in helped us open the US
market,” stated Ambani at the India Economic Summit 2006. The retail
revolution that is underway has all these potentialities, including delivering
health,micro-credit,education and entertainment to the bottom of the pyramid.

GROWTH OF RETAIL INDUSTRY

Growth of organized retail in India

India is expected to show similar trends as Indian consumers in

the past have shown an ability to leapfrog evolution cycles as has
happened in the case of various consumer products such as mobile
phones. As per estimates, retail spending in India in fiscal 2005 stood at
Rs. 9,990 billion of which the organized sector accounts for Rs. 349 billion
or approximately 3.5% . The size of the organized sector expected to
grow at 40% per annum reaching Rs. 1,095 billion in 2010.

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 In Thailand, there has been an explosion in the growth of
organized retail, with over 40% of the trade moving to formats within 10
years. The easy entry of foreign retailers and the geographic
concentration of the retail industry facilitated this growth. In Poland, where
modern retail has captured 20% of the market in the last 9 years, ease of
real estate access, a level playing field between modern and traditional
retailers , abd ease of entry for foreign retailers contributed to the growth.

TRENDS IN INDIAN RETAIL INDUSTRY

Consumer Spend In India

Growth in consumption, the changes in demographics are driving

changes in consumption pattern in the country. According to Central Statistical
Organization (CSO) private final consumption of consumers in India was over
Rs.17,600 billion in FY04.

Urban
CATEGORIES 1999 2000 2001 2002 2003

Home textiles 1 1 1.5 1.4 1.6

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 Saving &
14 6.1 6.4 5.2 4.1
investment

Clothing 5 6.5 4.6 6.6 7

Home appliance
& consumer 9 5.5 7.5 5 6.6
durable

Vacation 4 3.3 3.1 3.4 3.9

Eating out 8 7.9 8.8 12.2 10.8

Foot wear 1 2 2.2 2.5 2.3

Movies & theatre 1 2.7 2.6 3.8 4.6

Entertainment 3 3 3 3 2.1

Books & music’s 5 7.8 6.5 6.7 7.6

Grocery 43 47.8 48 42.1 41.1

Personal care
6 7.5 7.1 8.8 7.6
Items

Consumers shopping basket is changing

Within the overall private final consumption expenditure there are

category shifts happening in urban consumption pattern. A study by KSA
Technopark shows that urban consumers have increased their expenditure on
eating out, movies and theatre, books and music , clothing and personal care
items even as they have reduced savings and investments.

Phases Of Mall Development

The concept of Mall has come up in the early 1990’s. India entered
the ‘infancy stage’ in 1990’s when the first wave of mall development was

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observed in the form of Spencer Plaza in Chennai ,Crossroads in Mumbai, and
Ansal Plaza in New Delhi. Each of these malls was able leverage a first movers
advantage in its respective market by offering consumers an unprecedented mix
of shopping, food and leisure popularized in USA. India and China are currently
in the development phase marked by rapid pace of creation of retail
infrastructure. Mall development in both these countries is trickling down to
smaller cities and towns. In India tier I and tier II cities have seen a sudden spurt
in the development of Mall. During the 1990’s South-East Asia and the Middle
East had seen a similar rise. The UK and US have reached a declining stage in
Mall development. These countries are undergoing a consolidation phase.

DRIVERS OF GROWTH IN ORGANIZED RETAILING

India is experiencing certain socio-demographic changes which are
furthering the growth in organized retail while enablers such as availability of
quality real estate are hastening the pace of this transformation.

Rising income levels

Increase in household income has led to a substantial change in the

profile of the Indian consumer self indulgent consumption patterns. The
traditional bottom-heavy triangle, witness a large no. of people in the lower
income group and a few at the top is a trend of the past. But this trend has
been changing over the years. Changes are seen both in the rural and urban
areas. The chart below clearly indicates the same.

YOUNG POPULATION WITH DISPOSABLE INCOME

The demographic and psychographic changes relating to Indian

consumer class is also driving the India retail story. With 65% of the population
below the age of 35 years, the young generation has grown up free from
shortages and self denial experienced by earlier generations. It is expected that
within a decade, the number of people in the age group 20-49 would increase
by 30%-from 395 million in 2000 to 510 million in 2010. The brand-conscious
young population forms the largest segment of demand for the majority of

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retailers.

For a country like India with large young working population and with
a very low burden of dependents, and a large section of population waiting to
enter the work force, the household incomes are bound to rise. The higher
income levels would lead to higher savings and eventually increase the
purchasing power.

AVAILABILTY OF BRANDS AND MERCHANDISE

Consumerism and brand proliferation has been another enabler for

organized retailing in India . Some of the well-known names that have set-up
their operations in the country are
Category

Foods & beverages: Mc Donald’s Pizza, Pizza hut, Ruby,etc.

Apparel: TommyHilfiger,Mamgo,Marks&Spencer,etc.

Durable: Sony, Philips, LG, Electrolux, Nokia,etc.

Sports goods: Nike, Adidas, Reebok, Bata ,Florisheim.

Luxury: LVMH, Bvlgari, Cartier, Omega ,etc.

Consumer goods: Nestle, Coca-cola, Pepsi ,Cadbury’s,etc.

AVAILABILITY OF QUALITY REAL ESTATE

Availability of quality real estate has been one of the main constraints
for development of organized retail in India. In the past , negative yield on
leased property , lack of bank funding and the unorganized property market
resulted in dearth of quality retail space in the country. The spread between
yield on property and the financing cost has turned positive with the fall in
interest rates. Attractive yields on investments have resulted in sharp increase in
property development. Malls across the globe are getting bigger. Malls are
becoming because they are now being positioned as a one stop shop for
shopping, entertainment, leisure and eating out needs rather than a place only
for shopping for fashion products. In addition, the various State governments
have taken proactive steps to release large tracts of land for commercial
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development. Growth of property funds and permission for Real Estate
investment Trusts(REITs) to be set up will further help to create a secondary
market for real estate in the country. Profitable mall space is not evenly
distributed across the country.

IMPACT OF GLOBALIZATION

Globalization has removed trade barriers and promoted consumerism.

Over the last decade, there has been an increase in branded goods-both
domestic and international-in the Indian market across product categories. Both
width and depth of product offering to the Indian consumers is increasing.

COMPOSITION OF ORGANIZED RETAIL

A break-up sales in organized retail shows lifestyle as the largest

segment accounting for 73% in value terms. This is followed by food and
grocery accounting for 14% of the organized retail value.
Rapid growth of organized retailing is expected in the food segment.
We believe this can be attributed to the highly unorganized nature of the market
currently, which thus present an attractive potential, and the growing preference
of consumers to shop at modern retail formats. Clothing is the other segment
expected to show high growth potential.
CHALLENGES FOR ORGANIZED RETAIL

Availability of skilled man power: The non-availability of trained man

power, especially at the management level, poses a key risk for the retail

sector. With growing opportunities in the emerging service sectors, the

availability of the retail business to hire and retain quality people is under
pressure. Further, as organized retail grows rapidly, there will be pressure on
existing players as new entrants look for trained manpower at various levels.

Supply chain issues: Supply Chain Management efficiencies are

essential to retailers to maintain and improve margins. SCM includes vendor
management and logistics management. Vendor selection is an important

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outcome of the sourcing process and a key to most efficient sourcing. Logistics
management aims to get the goods from the vendor to the store in the shortest
possible time thereby avoiding unnecessary stocking of goods. In India, both
vendor management and logistics management are still underdeveloped.
However, with growing size of operations, supply chain efficiencies will become
a key differentiator of profitability in retail.

Similarly, supply chain tools and techniques are still developing in

India with the increase in organized retailing and entry of international brands.
Bar coding is now being implemented, driven by the retailers for whom it is an
essential ingredient for supply chain management.

RETAILING THROUGH MALLS

DEPARTMENT STORES

These large stores retail primarily non-food items such as apparel,

footwear, accessories, cosmetics and household products. They stock multiple
brands across product categories, though some of them focus on their own
store label. These stores are found on high streets and Anchors Tenants of
shopping malls. Several local department store chains have opened shop in
India in the past five years. The convenience factor coupled with the aspirational
perception of shopping in a department store has contributed to their growth.
The larger chains of department stores have presence in the metros and mini
metros.

SUPER MARKETS
A super market is a store which is a more of a large self-service
grocery store selling groceries and diary products and household that are
consumed regularly. These are neighborhood stores offering home and personal
care products and food products that a typical household consumes on a day-
to-day basis. These stores are often part of a chain that owns or controls other
super markets located in the same or other towns, increasing the opportunities
for economies of scale. These stores offer convenience of shopping by making
available a large variety of products at one place.

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 FDI IN INDIAN RETAILING

Formats for entry in India

Direct participation in Indian retail business is still not permitted under

India’s regime of FDI controls, although Minister for Commerce and Industry
Kamal Nath has hinted that the total ban on retail FDI might soon become an
equity participation cap, possibly of 49%. Till the time a ban is lifted from the
FDI, quite a few international retailers in india have adopted different strategies
for operating in India. These strategies and models include the following: 51%
equity allowed in ‘SINGLE BRAND RETAIL OUTLET’ in the wings are TESCO,
CARREFOUR, WALMART, etc.

Franchise Agreements

Franchising is the most widely used entry route by international

retailers. Some fast food retailers have entered India through the master
franchise route , while Pizza Hut has entered India through multiple regional
franchises.

Franchising: Pizza Hut, Markes & Spencer

CASH & CARRY WHOLESALE TRADING

100% FDI is allowed in whole sale trading , which involves building of

a large distribution infrastructure to assist local manufacturers. The business
model is built such that the whole seller deals only with smaller retailers and not
consumers. Metro AG, Germany was one of the first significant global players to
enter India through this route. Shoprite of south Africa has effectively used a
combination of cash and carry whole sale trading and franchising to set up their
first hypermarket in the suburbs of Mumbai.

WHOLESALE ‘CASH N CARRY’: Metro, shop Rite.

STRATEGIC LICENSING AGREEMENTS

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 This route involves the foreign company entering in to a licensing
agreement with a domestic retailer. Mango, the Spanish apparel brand has
entered India through this route with an agreement with major brands , a
departmental store in Mumbai.

LICENSING: Van Heusen, Arrow, Lee.

JOINT VENTURES: Revlon, United Colors Of Benetton.

DIRECT 100% COMPANY IN INDIA: Cola Cola, Pepsi & Nestle.

IMPACT AREAS
Traditional Retailers

• Impact confined to perhaps 300,000 to 500,000 retailers across

India coming in direct range of about hypermarkets and about 3000+
supermarkets by 2011.
• Overall, the universe of traditional retailers will actually increase by
2011 and even by 2015.
• Importance of traditional channel to become even more for
established FMCG and other consumer product companies.

Current Modern Retailers

• Most will come under severe pressure.

• Most are grossly undercapitalized, and have largely invested in the

“front end”rather than the back end.

• Most have weak business process and IT systems.

• Most have no serious understanding or investment in supply chain.

• Most have no real margin drivers in their business model that can

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 enable them to make exceptional investments in the immediate future.

Consumers

India consumer-The largest beneficiaries

• Reduction of prices in typical monthly “basic needs” shopping bill

by at least 10% within next 24-30 months leading to generation of an
equivalent amount of surplus disposable income.

• Improvement in quality of fresh/perishable products.

• Improved assortment, and reliability of availability.

Branded Consumer Goods Players

• At the mass market, most Indian consumers are brand blanked

through aspiring for brands.

• Most major new entrants will start with heavy proportion of Private
Labels, and will probably use branded goods to demonstrate the price-
value imbalance between such branded goods and their private labels.

Real Estate

• Additional consumption of almost US$ 127 Billion will require

about 600-700 Million square feet of additional retail space 2011.

• Current projections on constructions are just about 200 Million

sq.ft, leaving a gap of almost 400-500 Million sq.ft.

• Investment of about US$ 10-15 Billion needed to make up for this

demand-supply gap, and an additional investment of US$ 8-10 Billion
needed in Retail fit-outs and related equipment.

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However…….

• This space is needed across more than 1000 towns, and in major
“rural hubs” rather than clustered around top 40-50 cities only.

• The developments have to be planned keeping targeted

consumers and the targeted “retailers and other service providers” in
mind rather than first build based on availability of land and hiring an
architect, and then find who could use the space.

• Major Hypermarket format retail players will probably work on the

basis of taking up space in upcoming malls as well as building own “big
boxes”.

CONCLUSIONS

• Indian retail sector poised for developments that are

unprecedented not only in India but almost anywhere in the world.

• Economic impact will be felt across the entire economy-from

customers to produce and manufacturers to service providers to
retailers.

• Next 5 years will be among the most remarkable in the evolution of

modern retail in India.

While India thus is becoming one of the largest retail markets in the
world, the transition to a more organized form, however, is not easy will remain
politically contentious. For all the fears of the demise of the so-called mom and
pop retail stores, the point to remember is that “nowhere in the world has small
retailing disappeared. But, nowhere in the world has modern retailing not come
in. So, I don’t see why we should be any different,” felt Montek Singh Ahluwalia,
Deputy Chairman of the Planning Commission.

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Page 24
 CHAPTER 2
RESEARCH DESIGN

TITLE OF THE STUDY

'A Study on Customer Relationship Ma

nagement toward Pantaloons Products With Special reference to Big

Bazaar,Hebbal ,Bangalore

Page 25
STATEMENT OF THE PROBLEM

A knowledge of the customer satisfaction, services rendered by Big bazaar,

perceiving the prices of their product & services, availability of Big Bazaar,

customer outlets in close proximity and mainly awareness of Big Bazaar

Retail service helps in formulating an approximate marketing strategy to grab

a good market share in a tough competitive market. A study of this aspect

would enable the to know their market share and awareness level of the Big

Bazaar.

Hence this research problem has been undertaken. The main aim of this

project is to

(1) study the rate of awareness & satisfaction among the consumers

about Big Bazaar prepaid,

(2) to study the factors contributing to consumer preference for Big

Bazaar product and

(3) To study consumer perception about pricing of Big Bazaar product &

service.

OBJECTIVES OF THE STUDY

1. To study the degree of awareness among the consumers about Big

Bazaar.

2. To study the factors contributing the consumers preference for

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 Big Bazaar Products.

3. To study consumer perception about pricing of Big Bazaar.

4. To obtain consumers rating of various plans offered by Big Bazaar.

5. To identify the factors which contribute to consumer overall

satisfaction of Big Bazaar.

SCOPE OF THE STUDY

1. The study is limited to the customer visiting to the store from the
Bangalore region.
2. The study is also limited to a particular store only. (Pantaloons Big
Bazaar, hebbal)

NEED OF THE STUDY

The study was carried on to assess the tools and methods applied at
Pantaloons store in customer relationship management at Big Bazaar,
Hebbal , Bangalore

LIMITATIONS OF THE STUDY

Each task has its own advantage or disadvantages and barrier in the
cause of action, but this does not mean that the task should get stop
whenever certain limitation arise. Each aspect has its own limitation. I try
my best to overcome these obstacles.
There are some limitations of this project:
• Some customers are not willing to give proper response. Some customers have
not purchase product from all section of Big-Bazaar, but they give their view for
all section.
• Due to difference in language, sometimes I have to fill up the questionnaires
according to they answer.
• Being student, money and time were my major limitation.
• Some of respondents were not co-operative they didn’t provide some of the
details.

Page 27
• The population under the study is subject to limitations of particular region and
respondents the information regarding bangalore district only.

RESEARCH DESIGN & METHODOLOGY

RESEARCH METHODOLOGY
For the study perspective, the Researcher has done a survey to know the CRM tools in
Retail Industry.
1. Problem Identification:
The first step in marketing research project is to define the problem. It includes
purpose of the study, the relevant background information, the information needed and
how it will be used in decision making. It involves discussion with the decision makers,
interviews with industry experts, analysis of secondary data and some qualitative
research.
There are some of the problems which identifies in the following.
• A number of Customers feel that Big Bazaar is not maintaining customer
relationship.
• A number of people are not satisfied with service of Big Bazaar.
• A number of people are not aware about schemes launched by Big Bazaar.
• Sales Staff of Big Bazaar is not up to mark to solve complains.

2. Type of research
The researcher will use Descriptive Research. Study the objective frame, the
research design prepared is descriptive research. The descriptive frequency with which
something occurs or how the variables vary together. The advantage of descriptive
design is that it is not based on judgment or intuition as in the case study but it is
based on the actual data collected and it’s therefore more accurate in general.
On the fundamental drawback of descriptive design is that it does not find cause and
effect relationship among variables. Initially the information has been collected from
related secondary sources, i.e. textual references, journals, magazine’s, publications
etc. related to the topic. After exploration of information, descriptive research was
initiated by formulating structure questionnaire. Since, this study is mainly a descriptive
research, conclusions have been drawn from each question in the questionnaire
process its own objective in itself. Questionnaire being designed by keeping each and

Page 28
every variable in mind.

3. Data Collection and Sampling:-

Primary data are used for the core purpose of the project. And this primary data has
been gathered by survey method.
Data collection Tools: Questionnaire, personal interview, observation method.

4. Sampling Unit:
I) Who is to be surveyed? Youngsters, business people, educated housewives
were selected to conduct survey and to check their attitude.
II) Sampling types: For the purpose of the study simple random sampling
was used.
III) Sample Size: Survey of 100 respondents is carried.
IV) Sampling Area: Was outside Big Bazaar shopping mall.

5. Data Analyze and Interpretation: Tables and graphs.

Page 29
 CHAPTER 3
COMPANY PROFILE

Introduction

ORIGIN OF ORGANISATION
We never created a group identity in the past...... We cannot be known as Pantaloon. It
was originally a trouser brand.

----Kishore Biyani
Page 30
 CEO, Future Group.

PRIL, which begin as a trouser manufacturer in the mid 1980's, had grown over the
years to become one of India's largest retail chains. In march 2006, the pantaloons
group renamed as the “Future Group”.

The future Group was divided into six verticals.

1. Future retail
2. Future Capital
3. Future Brands
4. Future Space
5. Future Media
6. Future Logistics

The “Future Group”

In march 2006, the Pantaloon Knowledge Group, as a part of its restructuring & its
expansion plans changedits identity to the “ Future Group”. The new group was set up
to drive growth through the use of consumer insights and scenario planning to design
future retail delivery formats. Kishore Biyani, chairman PRIL said, “India is changing
rapidly and we believe that rather than look at the past to extrapolate or the west to
emulate, we have to prepare ourself by planning scenarios based on innovative and
original research”.

The Future Group operated through Six verticals, Future Retail, Future Brands,
Future Capital, Future Space, Future Media, Future Logistics, with each vertical being
assigned a specific role. Of this, Future retail was the core vertical of the Future Group
with the other verticals serving it directly or indirectly.

Descriptions of verticals in Future Group

FUTURE GROUP
DESCRIPTIONS
VERTICALS
PRIL's Retail business like food and fashion were included
Future Retail
under this vertical.

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 Future Space Management of all the shopping malls and real estate.

Management of all owned or licensed brands of the Group

Future Brands
companies.
Focus on development and management of retail media
Future Media
spaces.
The financial arm of the Future Group , which would focus on
Future Capital
retail financial products and services.
This vertical would focus on deriving efficiencies across
Future logistics businesses through better supply chain management and
distribution.

With the launch of Future Group, PRIL had plans to develop a business model,
which resembled wall-Mart's Sam's club. This strategy was adopted to strengthen its
back-end supply chain sourcing capabilities in addition to reducing costs and scalling
up business volumes.

Analysts opined that PRIL, under its new identity as the Future Group aimed to
garner market share in the retail industry in India. A report released by

AT Kearney in 2006 titled emerging market priorities for global retailers, ranked india
first in its 2006 Global Retail Development Index, an indication that global retailers
considered it one of the most attractive markets. The reports also estimated that the
retail industry in india was worth US$300 billion.

Outlook
Big Bazaar has been accepted as a pan-India model, from the agrarian
singly to the-cosmopolitan Mumbai. Big Bazaar has democratized shopping in India
and is entering its most aggressive role out phase. From 50 Big Bazaars operational
now at the end of the current year, this number should go up close to100 stores.
Besides, Big Bazaar will enter rural India; it is both a vertical and horizontal aggression.
The outlook is very exciting and buoyant.

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Fashion Focus
With Private labels expected to be at the forefront, the category is likely to
see lot of action in jeans and knits in men's and ladies wear, as well as in the hugely
popular fusion or mix and match ladies wear. With the introduction of Gine & Jony
products in the stores, the kids and infants section will also be reinforced considerably.
Another category that the company has identified is the sportswear category, which will
be addressed through the setting up of a fashion led sports apparel mix of the best in
national and international brands, all under one roof.

Market size
Largely an untapped and unorganized market as of now, the total retail size
of the Indian books and music sector is estimated to be about Rs.800 crore. Of this the
share of organized retailing accounting for about 10 percent and is growing at a faster
rate than traditional retail. As a size of total retail pie, this segment accounts for just 1
percent but attracts close to8 percent of a consumer's wallet. A recent report indicates
that between 2002 & 2007, the category is estimated to grow at a rate of nearly 26
percent every year for the next five years.

Strategic Direction
With a wide range of private labels, at different price points, Fashion Station
will continue to provide the customers an alternative option to latest fashion that was
hitherto not addressed in modern retail environment. With more stores lined up in the
coming year, across cities and towns, this concept would cater to a larger mass of
customers and also improve the company's bottom- line.
Across India, food habits vary according to community, customs and
geography. Food Bazaar, through its multiple outlets addresses this. At the same
time,it offers best quality products at wholesale prices to a wide cross section of the
Indian population. Food bazar effectively blends the look,touch and feel of the Indian
bazar with the choice,convenience and hygiene that modern retail provides. Most
stores are located within Big Bazaar,Central and Pantaloon and act as strong footfall
generators. These are separated stand alone Food Bazaar as well. The business
contributed just under 50% of value retailing and 20% to the company;s turnover
during 2005-06.Food Bazar offers a variety of daily consumption items,which includes
staples,soaps and detergents,oils,cereals and biscuits. On the product category side ,

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the primary segregation is done on the basis of staples,fresh products,branded
foods,home and personal care products.

Changing Food Preferences

Food Bazaar talks to the housewives of india and constantly learns from
them and it is at the forefront of changing preferences. Some of the trends that were
noticed during year were increased consumption of processed food category and
ready to eat concepts. Besides an increasing number of working women are
experimenting lot with their cooking habits and this is opening up of new food
categories. Also,an increase in young people opting for impulsive and on the move
snacks were noticed. One of the distinct change was an increasing shift towards health
based food products. Food Bazaar is working on new categories to capitalize these
changes.

Partnerships
Food Bazaar's strategy would be dual. It will continue on its road map of
revamping its current portfolio of private labels, either through strategic tie-ups with
established players or continue its in-house initiatives, and at the same time enter into
additional consumer centric categories by creating new brands.

Restaurant Business
While consumers in the West spend nearly 46% of their food expenditure on
away from home meals, Indian consumers spend only about 3% of their food
expenditure in hotels and restaurants. However a significant trend noticed in this group
is that almost 8% of their wallet share is spent on eating on at either a restaurant or a
fast food joint,as compared to other forms of entertainment. In addition,two out of every
five households in this group eats out at least once a month. This presents a new an
exciting opportunity for organized players in the foods and restaurants business.
International and domestic multi-unit restaurant groups are expected to drive the
expansion in the restaurant industry in India. Among the leading trends in this regard
would be expansion of quick service restaurants,Fusion concepts,restaurants with a
focus on entertainment,and ethnic and regional cuisine restaurants.

Joint Venture with Blue Foods

With the intention of expanding the organized food and restaurant business

Page 34
in the country,the company entered into a equal joint venture with blue foods Pvt. Ltd.
Through its PAN India food solution private limited subsidiary. The alliance aims at
offering the best in Indian and multi cuisine preparations to Indian public,capitalizing on
the modern retail experience and customer insights that Pantaloon provides coupled
with Blue Foods reputation as a pioneer in this business.

FINANCIAL PERFORMANCES

The growth in the retail sector was reflected in the financial results of PRIL
for 2005-06. For the year ended june 30, 2006, PRIL reported a total income of
Rs.18.72 billion in 2004-05. The company also reported a 66.4% rise in net profit, i.e.
Rs 641.5 million for 2005-06 as against Rs 385.5 million in the previous year. The
company's growth momentum continued as PRIL, recorded a net profit of Rs 386.4
million for the quarter in that Sep30'06.This was an increase of around 186% over
corresponding period of the previous year.

COMPANY FUTURE PLANS BY 2010

FORMAT SALES (in Rs. Crores)

Big Bazaar 7650
Converge M 5335
Food Bazaar 3250

Page 35
 Home Town 3200
Central 2300
Health Village 1725
Future Bazaar 1600
E-Zone 1550
Pantaloon 1500
Planet Retail 1250
Depot 880
Fashion station 770
Liberty 480
Electronics Bazaar 470
Collection I 390
Furniture Bazaar 150
All 100
Blue Sky 100
TOTAL 32700

Revenues $ 7 billion
Investment 4000 (Rs. Crores)
Retail Space 30 million sq. ft.

Profits $ 1 billion
Employees 120000

GROWTH AND DEVELOPMENT OF ORGANIZATION

Company Name: Pantaloon Retail (India) Limited

Background: Founded in 1987 as a garment manufacturing company, the company
forayed into modern retail in august 1997 with the launch of its first department store,
pantaloons in Kolkata.

Major Milestones
1987 Company incorporated as Manz Wear Private Limited. Launch of Pantaloons
trouser, India’s first formal trouser brand.

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 1991 Launch of BARE, the Indian jeans brand.

1992 Initial public offer (IPO) was made in the month of May.

1994 The Pantaloon Shoppe – exclusive menswear store in franchisee format

launched across the nation. The company starts the distribution of branded
garments through multi-brand retail outlets across the nation.

1995 John Miller – Formal shirt brand launched.

1997 Company enters modern retail with the launch of the first 8000 square feet
store, Pantaloons in Kolkata.

2001 Three Big Bazaar stores launched within a span of 22 days in Kolkata,
Bangalore and Hyderabad.

2002 Food Bazaar, the supermarket chain is launched.

2004 Central - India’s first seamless mall is launched in Bangalore.

2005 Group moves beyond retail, acquires stakes in Galaxy Entertainment, Indus
League Clothing and Planet Retail.Sets up India’s first real estate investment
fund Kshitij to build a chain of shopping malls.

2006 Future Capital Holdings, the company’s financial is formed to manage over
$1.5 billion in real estate, private equity and retail infrastructure funds. Plans
forays into retailing of consumer finance products.Home Town, a home
building and improvement products retail chain is launched along with
consumer durables format, Ezone and furniture chain, Furniture Bazaar.Future
Group enters into joint venture agreements to launch insurance products with
Italian insurance major, Generali.Forms joint ventures with US office stationery
retailer, Staples.

2007 Future Group crosses $1 billion turnover mark.Specialised companies in retail

media, logistics, IPR and brand development and retail-led technology
services become operational. Pantaloon Retail wins the International Retailer
of the Year at US-based National Retail Federation convention in New York
and Emerging Retailer of the Year award at the World Retail Congress held in
Barcelona.Futurebazaar.com becomes India’s most popular shopping portal.

2008 Future Cap chain,Aadhar present in mark.Future Group acquires rural retail
chain,Aadhar present in 65 rural chain,Aadhar present in 65 rural locations.

Hierarchy of Pantaloon (Future Group)

Mr. Kishore Biyani, Managing Director

Mr. Gopikishan Biyani, Wholetime Director
Mr. Rakesh Biyani, Wholetime Director
Mr. Ved Prakash Arya, Director
Mr. Shailesh Haribhakti, Independent Director
Mr. S Doreswamy, Independent Director
Dr. D O Koshy, Independent Director
Ms. Anju Poddar, Independent Director
Ms. Bala Deshpande, Independent Director
Mr. Anil Harish, Independent Director
Page 37
Rakesh Biyani CEO - Retail
Anshuman Singh CEO - Value Fashion
Damodar Mall CEO - Incubation & Innovation
Hans Udeshi CEO - General Merchandising
Hemchand Javeri CEO - Home Solutions Retail (India) Ltd.
Kailash Bhatia CEO - Integrated Merchandising Group
Madhumati Lele CEO - Services
Rajan Malhotra CEO - Big Bazaar
Sadashiv Nayak CEO - Food Bazaar
Sanjeev Aggarwal CEO - Pantaloons
Vishnu Prasad CEO - Central & Brand Factory

AWARDS & RECOGNITION

2009
Images Fashion Forum 2009

Most Admired Fashion Group Of The Year - Future Group

Most Admired Private Label - Pantaloons, the lifestyle format

Critics Choice For Pioneering Effort In Retail ConceptCreation - Central

Coca-Cola Golden Spoon Awards 2009

Most Admired Food & Grocery Retailer Of The Year

Most Admired Food Court

Most Admired Food Professional

2007

Page 38
Images Retail Awards

Most Admired Retail Face of the Year: Kishore Biyani

Most admired retailer of the year: Large format, multi product store: Big Bazaar

Most admired retailer of the year: Food and Grocery: Food Bazaar

Most admired retailer of the year: Home & office improvement: HomeTown

Most admired Retail Company of the year: Pantaloon Retail (India) Ltd.

Images Retail Forum followed strict international benchmarks in deciding the

top honours for Images Retail Awards ’07, with IRIS as knowledge partner and
global consulting firm AT Kearney as the Process Approver.

National Retail Federation Awards (International Retailer for the Year 2007 –
Pantaloon Retail (India) Ltd)

The National Retail Federation is the world’s largest retail trade association with
over 1.4 million members in the US and across the world. Some of the past winners
of the award include Metro AG (Germany), Carrefour (France), Zara (Spain),
Boticario (Brazil) and Ito Yokado (Japan). The award was presented at the Retail’s
Big Show held in January 2007 in New York.

World Retail Congress Awards (Emerging Market Retailer of the Year 2007 –
Pantaloon Retail (India) Ltd)

The inaugural World Retail Congress held in Barcelona, Spain in March 2007
attracted over one thousand retail professionals from over sixty countries. The
awards were decided by a multinational Grand Jury. Winners in other categories
included Inditex, Mall of Emirates, Marks & Spencer and IKEA.

Hewitt Best Employers 2007 (Best Employers in India (Rank 14th) – Pantaloon Retail
(India) Ltd)

Leading human resources consultancy, Hewitt Associates conducts an annual

Page 39
survey of the best employers in India, as part of its global initiative. It is based on
CEO interview, People Practices Inventory and Employee Opinion Surveys.
Pantaloon Retail became the only retailer to feature among the twenty-five best
employers in India.

PC World Indian Website Awards (Best Indian Website In The Shopping Category -
Futurebazaar.com)

PC World, a leading consumer technology magazine selected the best Indian

websites in various categories based on use of technology for delivering solutions,
information being presented in an intuitive and concise manner and overall
experience aided by design.

Reader’s Digest Trusted Brands Platinum Awards (Trusted Brands Platinum Award
(Supermarket Category) – Big Bazaar)

The Reader’s Digest awards are based on surveys done among consumers by
independent research agency, Nielsen Media Research. This is the second
consecutive time Big Bazaar has won this award.

Page 40
Retail Asia Pacific Top 500 Awards Asia Pacific Best of the Best Retailers –Pantaloon
Retail(India)Ltd.Best Retailer in India–Pantaloon Retail(India)Ltd.

The Retail Asia publication in association with EuroMonitor and KPMG honors
the best retailers in 14 countries across the Asia Pacific region. The awards were
presented in Singapore in October, 2006.

Asiamoney AwardsBest Managed Company in India (Mid-cap) – Pantaloon retail

(India) Ltd.

The Asiamoney publication conducts a poll among fund manages and investors
and does a quantitative analysis of financial performance to select best managed
companies in Asian countries.

Ernst & Young Entrepreneur of the Year AwardErnst & Young Entrepreneur of the
Year (Services) – Kishore Biyani

Considered to be one of the most prestigious business awards in India, a jury

comprising leading names in Indian business selected the winners based on
courage, creativity, passion, endurance and vision.

CNBC Indian Business Leaders AwardsThe First Generation Entrepreneur of the

Year – Kishore Biyani

Organized by CNBC-TV18, the twelve awardees in various categories are decided

by a high profile jury, along with research partners - The University of Chicago
Graduate School of Business, Development Dimensions International (DDI) and AC
Neilson ORG MARG.

Lakshmipat Singhania – IIM Lucknow National Leadership Awards Young

Business Leader – Kishore Biyani. The award recognizes and honors individuals
who have contributed consistently to the betterment of our country through their
pursuit of excellence. The awards were presented in New Delhi by the Prime
Minister Dr. Manmohan Singh in December, 2006.

Images Retail Awards Best Value Retail Store – Big BazaarBest Retail Destination –
Big Bazaar Best Food & Grocery Store – Food Bazaar Retail Face of the Year –
Kishore Biyani

Page 41
The Images Retail Awards are decided through a nationwide consumer & industry
poll and nominations followed by performance assessment by team of analysts and
jury.

Readers’ Digest Awards Platinum Trusted Brand Award - Big Bazaar

The Reader’s Digest awards are based on surveys done among consumers
by independent research agency, Nielsen Media Research.

CNBC Awaaz Consumer AwardsMost Preferred Large Food & Grocery Supermarket
– Big Bazaar

Conducted in association with AC Nielsen-ORG Marg across 21 major cities, nearly

10,000 consumers were asked to choose their most preferred brands.

Reid & Taylor Awards for Retail ExcellenceRetail Entrepreneur of the Year – Kishore
Biyani

2005

Images Retail Awards 2005

PRIL- Most Admired Retailer of the Year

Food Bazaar- Retailer of the Year(Food and Grocery)

Big Bazaar-Retailer of the Year(Value Retailing)

Central-Retail Launch of the Year

Voted by Business Today magazine as one of the

Top 20 Companies in India to watch in 2005

India’s most investor-friendly companies in the top 75

India’s Biggest wealth creators in the top 100

DAKS London

Page 42
PRIL- Brand Builder of the Year

2004

Images Retail Awards 2004

PRIL- Most Admired Retailer of the Year

Food Bazaar- Retailer of the Year(Food and Grocery)

Big Bazaar-Retailer of the Year(Value Retailing)

Central-Retail Launch of the Year

Reid & Taylor and DLF Awards

PRIL - Retailer of the year

2003

Indian Express Award

PRIL –Marketing Excellence and Excellence in Brand Building

Indusland Bank (India Brand Summit)

PRIL - Excellence in Brand Building

Page 43
 LUGGAGE DEPARTMENT @ BIGBAZAAR
LUGGAGE

SOFT-LUGGAGE TRAVEL-ACCESSORIES HARDLUGGAGE

CDPACKS
SOFT TROLLEYS HARD-
TROLLEYS

HIP-BAGS/BELTS
BACK PACKS
HARD-
SUITCASE
NECK-POUCH
MESSAGE BAGS

LOCKS
OFFICE BAG

CARD-HOLDERS
SUIT CASE

POUCHES
AIR BAGS

CAMERA-POUCHES

BRANDS AVAILABLE IN LUGGAGE DEPARTMENT:-

• MILESTONE
• VIP
• SAFARI
• AMERICAN TOURISTER
• TRACKER, etc.

PROCESS @ LOGISTICS
The process starts when a requirement of the store is noticed by the department as
well as the store. The category or the ware house is informed about the requirement
and the category gives a PO(Purchase order) to vendor. Then the vendor sends the
required products in a truck to the store along with the invoice, waybill & barcode on
the product.
Then the following steps are carried out:-

Page 44
1. First the vehicle arrives to the basement of the Big Bazaar.
2. The driver shows the gate pass , STN(stock transfer note) ,pick slip, VAT515 to
the security and other officials.
3. Gate pass constitutes date of dispatch, no. of boxes, security sign, security seal,
vehicle no., seal no. quantity & order no.
4. Pick slip constitutes details of the stock.
5. VAT515 is commercial tax & is very important. It has to be taken with the driver
otherwise the police may seize the truck. It constitutes total no. of boxes, total cost,
date, etc.
6. After that 5 members are called to the spot.
7. The 5 members constitute security, unloaders, permanent staff, logistics member
& driver.
8. Then the orange color seal on the backdoor of the truck is checked.
9. Then in front of all the members the seal is opened. Then the box are checked.
The box has Handling unit sticker.
10. This sticker constitutes box no., stn no.,address & date.
11. Then by the help of the unloaders the boxes are brought down from the truck &
unloading is done.
12. By the help of Gate pass, STN & VAT, the products are checked and counted.
The ware house seal is also seen.
13. Then the department staff is called for Global Count to check quantity.
14. The pick-slip is given to the staff or team member. They will open by checking
the H.U. no. the member checks the Barcode on pick slip with the product Bar
Code.
15. If there is quality defect, damage, shortage, excess or expiry then Discrepancy
note is made.
16. In the discrepancy note article no., no. of pieces, cost price, total MRP. & the
reason of discrepancy is noted.
17. Then it is taken to the logistics office and the member does scanning.
18. After scanning, it is send to the floor for sale.
19. After these all the officials of the logistics does in warding and out warding on
the system as well as in the register.
20. Then the Goods Receiving Note is generated(GRN) by the logistics.

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 CUSTOMER SERVICE DESK(CSD) @ BIGBAZAAR

1. Announcing offers for every department.

2. Announces, if any officials is not available in the respective department.
3. Provides stamp for the warranty of the product.
4. Solves queries of the customers.
5. Availability of gift items during occasions, etc.
6. Exchange of products of customers due to damage, etc.
7. Creates effective communication with the logistics and every dept. of the store.
8. Sorts out the product inquiries.
9. It’s a medium by which all the members stay connected.

CRM @ BIGBAZAAR

CRM Introduction

CRM, or Customer relationship management, is a number of strategies and

technologies that are used to build stronger relationships between companies and their
customers. A company will store information that is related to their customers, and they
will spend time analyzing it so that it can be used for this purpose.

Some of the methods connected with CRM are automated, and the purpose of
this is to create marketing strategies which are targeted towards specific customers.
The strategies used will be dependent on the information that is contained within the
system. Customer relationship management is commonly used by corporations, and
they will focus on maintaining a strong relationship with their clients. There are a
number of reasons why CRM has become so important in the last 10 years. The
competition in the global market has become highly competitive, and it has become
easier for customers to switch companies if they are not happy with the service they
receive. One of the primary goals of CRM is to maintain clients. When it is used
effectively, a company will be able to build a relationship with their customers that can
last a lifetime. Customer relationship management tools will generally come in the form

Page 46
of software. Each software program may vary in the way it approaches CRM. It is
important to realize that CRM is more than just a technology.

Types of CRM

1) Operational CRM

Operational CRM provides support to "front office" business processes, e.g. to

sales, marketing and service staff. Interactions with customers are generally stored in
customers' contact histories, and staff can retrieve customer information as necessary.

2) Sales Force Automation (SFA)

Sales Force Automation automates sales force-related activities such as:

 Activity Management: Scheduling sales calls or mailings

 Tracking responses

3) Analytical CRM

Analytical CRM analyzes customer data for a variety of purposes:

 Designing and executing targeted marketing campaigns

 Designing and executing campaigns, e.g. customer acquisition, cross-

selling, up-selling
 Analyzing customer behavior in order to make decisions relating to
products and services (e.g. pricing, product development)
 Management information system (e.g. financial forecasting and
customer profitability analysis

4) Collaborative CRM
Collaborative CRM covers aspects of a company's dealings with
customers that are handled by various departments within a company,
such as sales, technical support and marketing.

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5) Consumer Relationship CRM
Consumer Relationship System (CRS) covers aspects of a company's dealing with
customers handled by the Consumer Affairs and Customer Relations contact centers
within a company

6) Geographic CRM
Geographic CRM (GCRM) combines geographic information system and traditional
CRM. Geographic data can be analyzed to provide a snapshot of potential customers in
a region or to plan routes for customer visits.

4.6 Benefit of CRM

• Provide better customer service
• Increase Customer Revenue
• Increase Customer Life-Cycle Value
• Discover New Customers
• Help Sales Staff to close deal fast
• Simplifying Marketing and Sales Process
• Make Call Centre more effective

Implementation of CRM

Many CRM project "failures" are also related to data quality and availability. Data
cleaning is a major issue. If a company's CRM strategy is to track life-cycle revenues,
costs, margins, and interactions between individual customers, this must be reflected in
all business processes. Data must be extracted from multiple sources
(e.g., departmental/divisional databases such as sales, manufacturing, supply chain,
logistics, finance, service etc.), which requires an integrated, comprehensive system in
place with well-defined structures and high data quality. Data from other systems can
be transferred to CRM systems using

appropriate interfaces. Because of the company-wide size and scope of many CRM
implementations, significant pre-planning is essential for smooth roll-out. This pre-
planning involves a technical evaluation of the data available and the technology
employed in existing systems. This evaluation is critical to determine the level of effort

Page 48
needed to integrate this data. Equally critical is the human aspect of the
implementation. A successful implementation requires an understanding of the
expectations and needs of the stakeholders involved. An executive sponsor should also
be obtained to provide high-level management representation of the CRM project.
An effective tool for identifying technical and human factors before beginning
a CRM project is a pre-implementation checklist. A checklist can help ensure any
potential problems are identified early in the process.

Privacy and data security

One of the primary functions of CRM software is to collect information about

customers. When gathering data as part of a CRM solution, a company must consider
the desire for customer privacy and data security, as well as the legislative and cultural
norms. Some customers prefer assurances that their data will not be shared with third
parties without their prior consent and that safeguards are in place to prevent illegal
access by third parties.

Page 49
 ROLES AND RESPONSIBILITIES
The trainee roles & responsibilities include-

1. Check previous day's performances

• Daily Sales Report(DSR), today's target.
• Past Day's Performance and department target's.
2. Brief entries that day's target
• Give individual target to the team members.
• Share previous day's sales achievement with the team members.
3. Check department's cleanliness
• Shelves
• Gap tables
• Merchandise Stacking
• Floor etc
4. Identify the stock vs sales
• Identify fast moving and slow moving goods
• Identify stock outs

5. Checking display area

• Promotional area
• Offer display and communication
• Signage
• Smooth customer circulation should be kept in mind
6. Observing the Customers
• Taking problems of the customers to store manager notice by observing.
• Fresh issues by customers at the time of store launch like price related issue,
billing, gifts, etc.
7. Doing the marketing activities
• The trainee has done some marketing activities like promotional activities
inside the store and done some surveys on identifying the target areas to
promote the store such as individual houses, flats and schools.
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 8. Checking staff discipline

• Uniform
• Shoes
• Attendance
• Punctuality
• Ensure proper stock filling

9. Ensure all the stocks are properly tagged (hard tags & soft tags).
10. Ensure all damaged stock has been removed from the floor.
11. Check sufficiency on the floor.
12. Monitor Sales and services.
13. Training in Depot's department.

• The trainee has undergone training in Depot's department and taken these
responsibilities in that department from opening the department to closing the
department.

DESCRIPTION OF LIVE EXPERIENCE

These are some of my live experiences and learning from the store:
• As a trainee at the opening of the retail store I gained enough experience
particularly in relation to the initial efforts such as floor designing, stores
arrangement, selling counters, billing & delivery counters which are the primary
in fracture facilities to be in place for the take off, impressing the customers.

• I got a first hand experience of the desirable effect team work. An

exposure to work with the immediate superiors and experienced colleagues.
And to learn the practical aspects of retailing, face to face dealing with the

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 customers.

• In relationship marketing, I understood how essence of the successful

retailing is to be learned step by step and continuously everyday. Retailing
provides this wonderful opportunities of imbibing this vital quality of dealing
with customers reaching up to their expectations, as each customer leaves a
clue
that would please customers.

• The added advantage visibly felt by me was my movement to retail outlets

of the company situated in various areas, which had widened their meeting
customers at different locations understanding the differences in the purchase
preference.
• The experience of using PT40 for checking the stock done successfully let
in the
evening after close off business for four days was thrilling.

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 CHAPTER 4

DATA ANALYSIS &

INTERPRETATION

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1 . Which Retail shop you usually go to purchase?

DECISIONS Big Bazaar Reliance A.B. More Others

Fresh
Respondents 63 7 5 25
RES. (%) 63.00% 7.00% 5 25

Interpretation:-
The most of the peoples are using the difference type of the retail shop, there are
63% of respondents are going purchase in the Retail shop of Big-Bazaar, 7% of
respondent choose to Reliance Fresh, 5% of respondents are choose to Aditya Birla
MORE, 25% of respondents are choose to other Retail shop for purchasing the goods
and other services.

fig:-1

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 2. How many Retail shop do you visit?

Decisions Respondence Res.(%)

Only one Retail store 31 31%
More than 1 but less than 27 27.00%
5
Any Retailer 42 42.00%

Interpretation:
There are different time of retail shop visited by the respondents as like, 31% of
the respondents are going to only one retail store for purchasing, 27% of respondents
are choose to the more than 1 but less than 5 retail store, 42% of the respondents are
choose to any retail shop for the visiting.

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 fig:-2

3. Which are the reason for selecting retail store?

Decisions Respondence Res. (%)

Near he home 21 21.00%
Have loyalty card 9 9.00%
Good quality of product 70 70.00%

Interpretation:

There are different types of the reasons for choosing/selecting the retail stores
like, 21% of respondents are like to choose for the near the home, 9% of peoples are
choose for have loyalty card, 70% of the respondents are like to choose for the good
quality of the product.

fig:-3

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 4. Are you aware about Big-Bazaar?

Decisions YES NO
Respondence 97 3
Res.(%) 97.00% 3.00%

Interpretation:
The brand awareness about the Big-Bazaar as like, 97% of respondents are
aware about the Big-Bazaar, and 3% of the respondents are not aware about the Big-
Bazaar.

fig:-4

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 5. Since, when you aware about the Big-Bazaar?

Decisions Respondence Res.(%)

Less than 1 month 4 4.00%
1to 5 months 9 9.00%
5 to 10 months 23 23.00%
More than year 64 64.00%

Interpretation:

The period of awareness about the Big-Bazaar as like, 4% of the respondents

are aware in the period of less than 1 month, 9% of respondents are aware in the
period of between 1to 5 months, 23% of respondents are aware in the period of
between 5 to 10 months, 64% of respondents are aware in the period of more than the
year.

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 fig:-5

6. Are you satisfied with the services that are provided to you by Big-Bazaar?

Decisions YES NO
Respondence 77 23
Res.(%) 77% 23%

Interpretation:

The satisfaction about the service of the Big-Bazaar, as like, 77% of the
respondents are satisfied from the Big-Bazaar, 23% of the respondents are not
satisfied about the service of Big-Bazaar.

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 fig:-6

7. Are you aware about schemes, provided by Big-Bazaar?

Decisions YES NO
Respondence 61 39
Res.(%) 61.00% 39.00%

Interpretation:

The awareness about the schemes of the Big-Bazaar as like, 61% of the
respondents are aware about the schemes, and 39% of respondents are not aware
about the schemes of the Big-Bazaar.

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 fig:-7

8. Tick marks on suitable sentence you aware about the schemes?

Decisions Respondence Res.(%)

Before launching in stor 11 19.00%
On the day at launch 13 22.00%
After the launch 35 59.00%

Interpretation:
The awareness about the schemes, there are different ways of the to aware
about the schemes, there are different response for it as like, 19% of respondents
aware before launching in the store, 22% of respondents aware on the day at launch,
and 59% of the respondents aware after the launch of the schemes of the Big-Bazaar.

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 fig:-8

9. By which medium you come to know about the scheme?

Decisions SMS Call Paper

Respondence 5 3 51
Res.(%) 9% 5.00% 86.00%

Interpretation:

There are different medium for come to know about the schemes, and
different response for the different medium as like, 9% of the respondents are

SMS, 5% of respondents are Call, and 86% of the respondents are Paper come
to know about the schemes.

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 fig:-9

10. How is the Behavior at sales staff towards you?

Decisions Very Good Good Average Poor

Respondence 42 46 10 2
Res.(%) 42% 46% 10% 2%

Interpretation:
There are different responses for the staff behaviors of the Big-Bazaar, as
like, 42% of respondents’ very Good behavior at the sales staff, 46% of
respondents says to good, 10% of respondents says to average, and 2% of
respondents says to poor behavior about the sales staff of the Big-Bazaar.

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 fig:-10

11. If you have any complain related to product than staff will,

Decisions Respondence Res.(%)

Immediate try to solve 30 30.00%
Delays the process but solve 37 37.00%
it
Ignore the problem 33 33%

Interpretation:

The problems about the Big-Bazaar is become to different response for it

as like, 30% of respondents of become to says immediate try to solve, 37% of
respondents are become to says delays process but solve it, and 33% of
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respondents are become to says ignore the problems of the consumers.

fig:-11

12. Has Big-Bazaar ever provided a feedback form?

Decisions YES NO
Respondence 27 73
Res. (%) 27.00% 73.00%

Interpretation:
The response about the feedback form about the Big Bazaar there are
different response for this, as like, 27% of respondents are says to become yes
for it, and 73% of the respondents are become to says no for the feedback form
about the Big-Bazaar.

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 fig:-12

13. Tick mark on the appropriate answer in Big-Bazaar, customers are

treated as,
Decisions God Friend Customers
Respondence 6 26 65
Res. (%) 6% 27% 67%

Interpretation:
To study the customer relationship management there are different ways to
become understand customer is different ways as like, 6% of respondents are

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become to says the customers are treated as the God, 27% of the respondents
to says to customers are treated as the friend, and 67% of respondents are
become to says to the customers are treated as customers.

fig:-13

14. Have you ever received a gift or any car from Big-Bazaar?

Decisions YES NO
Respondence 15 85
Res.(%) 15% 85.00%

Interpretation:
There are different response for the received the gift from the Big-

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Bazaar,as like, 15% of respondents are received the gift from the Big-Bazaar,
and 85% of respondents are says to become no for the gift received from the
Big-Bazaar.

fig:-14

15. Is there any special event where Big-Bazaar had invited you?

Decisions YES NO
respondence 6 94
Res. (%) 6% 94%

Interpretation:
The Big-Bazaar keeping the special event for the consumers but there are
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different response for this, as like, 6% of respondents are says yes for the
keeping of the event and 94% of respondents are says to no keep the any
special event for the customers.

fig:-15

CHAPTER 5
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 SUMMARY OF
FINDINGS
SUGGESTION
&
CONCLUSIONS

SUMMARY OF LEARNING EXPERIENCE

• As a trainee I learnt many things by joining retail industry. Firstly I

understood the concept of retail marketing and related functions.

• The suitable work culture for the retail industry dealing with customers of
various taste and needs and also working as a team with the fellow workers
to achieve the objectives of the organization/store where the practical inputs
gained.

• It was an exemplary experience to learn from the manager in charge as

also from other colleagues who were very transparent and generous in
sharing their knowledge for the benefit of trainees.

CONCLUSIONS & RECOMMENDATIONS

Conclusions
• From the analysis of questionnaire we can conclude that Big-Bazaar has
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 only one channel to make customer aware about schemes, that is News
paper. If the customer failed to read news paper, then they could not aware
about scheme
• Big Bazaar has not developed a system that can solve the problem of
customers immediately.
• Big Bazaar has not developed a system that can take the feedback of
customers to consider their views.
• Big Bazaar is not organizing any event to build strong customer
relationship.

Recommendations

• It is recommended that Big Bazaar must develop effective CRM tool to survive
in the market and to attract more and more customer.
• Big Bazaar must have performed demonstration to make customer aware
and create trust among them.
• Big Bazaar must develop a membership card to build a long term
relationship with customers.
• Big Bazaar must have develop a feedback forum ,in which regular
feedback of customer must be there and also views of customers must be
considerable.
• Delivery charge must be as low possible as can, and delivery must be as
fast as possible to build strong Relationship.
• Big bazaar must organize events and call customers regularly to take
part which result into along term strong relationship.

SUMMARY OF FINDINGS

1. According to the findings, it is found that a good no. of customers often do

shopping at BigBazaar compared to other retail stores in the city.

2. The finding also showed that the customers visits any retailer according to
its wish.

3. The findings showed that the customers generally visit the retail store
which has good quality products.

4. The findings made us sure that the BigBazaar has a good awareness all
around the city.

5. The customers are satisfied with the service that are provided by the
BigBazaar.

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6. The customers are very much aware about the offers & schemes of
BigBazaar.

7. The findings showed that the customers become aware about the offers
after the offer had been started and the best communication that made the
awareness to them was news paper.

8. According to the findings, the sales person at BigBazaar have good

behaviour toward the customers.

9. If there is complain by the customers, then the staffs solves it.

10. According to the findings, the customer had never got the feed-back form
from BigBazaar.

11. The finding showed that the customers are treated as only customers not
God or Friend by the sales person.

12. Many customers had not got any gift, etc from Bigbazzar and also they are
never invited on the special events of BigBazaar.

ANNEXURE
Questionnaires

Name: ______________________

Age: 20-30 30-40 40-50 50+

Sex: Male Female

Profession: Business Professional Salaried Corporate

Self-employed Others ________

Annual Income: Below1 lac 1-2 lacs 2-3 lacs 3 lacs +

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************************** ******************************

1. How many time you visit the Big-Bazaar in a month?

• 1,
• 10,
• less than 10,
• more than 10.

2. what is the amount of shopping you regularly do in BB?

• none
• 1000
• >1000
• <1000

3. Do you like the brands of big bazaar?

• Yes
• No

4. Do the sales person help in selecting the product?

• Yes
• No

5. How many sales person attend you during your

purchase?
• 1
• None
• More than 1

6. Are the sales person humble and calm in

communication?
• Yes
• No

7. Are the sales man have effective communication with

you?
• Yes
• No

8. How is the management of customer relationship at BB?

• Excellent
• Good
• Not satisfactory

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 9. How is the quality of the materials in the big-bazaar?
• Excellent
• Good
• Not satisfactory

10 Why did you prefer BIG BAZAAR ?

• Brand

• Price

• Quality

• Atmosphere

11 How do you rate the Big Bazaar ?

• Excellent

• Very good

• Good

• Average

• Not satisfactory
1
2 Who influenced your purchase decision ?
• .Self

• .Family

• .Peer group

• .Relatives

• .Media

13 How did you come to know about Big Bazaar ?

• .Media

• .Peers

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 • .Internet

• .Others

14 For how long you have been visiting Big Bazaar ?

• <1yr

• 1-2yrs

• 2-3 yrs

• 4+yrs

15 Did you experience any post – purchase dissonance after you bought
the Big Bazaar’s produts ?
• Yes

• .No

16 Did the sales executive keep in touch with you without your prompting?
• .Yes

• . No

Bibliography

1. www.pantaloon.com

2. Future Group (www.futuregroup.com)

3. Future Capital (www.futuregroup.in)

4. Future Capital Holding (www.fch.in)

5. Future Generali (www.futuregenerali.in)

6. www.futurebazaar.com

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