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Introduction to Retailing

(Retail Analysis Project)

Submitted by:
Waheed Arif Irfan Iqbal Farhan Fayyaz 2093071 2093152 2093075

BBA (Hons) Fall semester

Submitted to:
Miss Saima Hassan

Introduction of retailer

We selected D-Mart departmental store for our project. It is a well- known retail store in Gulshan-e- Ravi (Moon Market Lahore) and its nearer areas. It is located on very prime location of Gulshan-e- Ravi like (Main Boulevard Moon Market). It was established in 2005 but now a day get mark up in this area as compare to other stores in very short time. D-mart store owing only one store and its owner name is Habib-ul-Rehman. According to shopkeeper, he said they are enjoying more than 5000 customers thrust and confidence with 30 employees. They have a selling space of over 8 Marla.

Location and Type of Retailer:

D-Mart store, which we visited, is located in prominent area of Gulshan-e-Ravi (Moon Market Main Boulevard). Moreover they are providing necessary items in reasonable

prices like Food items, Electronics, beverage items and also cater Toys, and Cosmetic products, Crockeries, Gift items.

Retail Mix:

Customer sevices Orgnizatio& System Custom er Com petit ion

Retail selling Retailmarketplace

Store mangme -nt Strat e-gy

Buying march andise

Envi orm ent

Loc ation

Mercha n-dise Assort m-ent

Adverti sment& pormot i-on

Retail firm

Retail Mix

Pricin g

Store design


Retail marketing mix is the term used to describe the various elements and methods required to formulate and execute retail marketing strategy.

Retail mix is the tactical marketing frame to create a specific shopping experience at the point of sales. It works in coherence with the strategic company/marketing decisions.

D-Mart store contains following types of merchandises

Necessary usage products (washing powder, tooth paste) Cosmetics Toys Food Items beverage Items Electronics Crockery Ladies bags etc.

Advertisement and promotion:

D-Mart store are doing retail business through advertising and different promotional offers. There are given below:

Television: D-Mart advertises their store through TV ads on different channels near the areas like Gulshan-e-Ravi, Nonariya, sodiwale, pattiya etc.

Shopping bags:

They used their store name on shopping bags for advertisement. They are very rare and unique service which is seen to advertise their store.

Stickers posters: They are advertising store through sticker posters. They placed posters in wide area of Gulshan e Ravi streets and bazaars. Through sticker posters they advertise their product quality and promotions.

Promotional offers: They are using penetration strategy for the promotions of some products on Islamic occasion like in Ramadan they gives discount on dates and Eid days they are giving special discounts on sweets items. They also give discount for their loyal customer if anyone buy products in bulk quantity and also gave 5% discount on crockery.

Store design or visual merchandises:

Store design:

D-Mart, It is a double story store and also has basement. The ground floor contains (Reception, Home appliances, and cosmetics). The 1st floor contains crockery, Toys,Gifts and electronics items. They were used basement as a warehouse.

Entrance and cash counters: There store front are standard size. There entrance gate is wide it means two persons easily passed at same time from gate. When enter in store then right side is only one Counter and sat on two cashiers. Both of them one listed the purchased items of Customer and other one collect money. Left side of gate settled soft and commercial drinks, milk items, and frozen items like (ice cream, butter, bans etc).

Racks and display counters: On ground floor of store, few steps go from cash counter on left side display cosmetic Items in wall racks and opposite side displayed home appliances in shelves and also place these appliances on racks which was placed center of the store. When we are going to 1st floor by stairs so we looked Picture frames put beside on stairs. On 1st floor of Store, on front side of first floor keep crockery items and toys and back side of floor displayed gifts on shelves and in counters and beside placed electronics things.

Racks distance and Lighting: In D-Mart store, distance between racks was short (3.5-4 feet only) which are not according to standard size .This racks distance lightly effective on visual design of store. On other side lighting was better from competitors. Store roof was ceil with plates of plastic of pares and bulbs put in these plates. This lighting shows everything is discipline in store and also was neat and clean.

Pricing strategy plays a major role in the development of store. Well balanced management also effect on store.

Price strategies:

D-mart store, adopt competitive price strategy. According to interview with owner, he told they set retail prices on local and imported brands of home appliances according to with distributors and vendors. On toys and crockery items, they adopt penetrating strategy and they give discounts almost 5-10% only. Through these strategies they enhanced our customers and win loyalty On cosmetics, they gave 7% prices off according to events and weeding season. Competitive price strategy more helpful for D-Mart store and give opportunity for stable in market place.

Buying merchandise:
If retailers get better results of our business so they want keep more inventories in hand When crises.

Hidden Merchandises: Actually, they have a warehouse in basement of store so they have stocked only necessary food items called hidden merchandises.

Crises days stock:

According to our interview from stock holder, He said, they have stock of any merchandise which is shortage in crises maximum 15 days or (2-weeks). Through this strategy we achieve confidence and loyalty of customers in our area.

Ordinary days stock: According to our survey, they have stock in ordinary days maximum7days (1-week). If any merchandise finishes on racks so urgently place again. They do not keep extra stock which will expire.

Store management:
In the world every business has management. Management has importance in business like blood circulates in body. Without blood body is died. So, better management is the key success of store.

D-Mart store management map: D-Mart store basically contains on four management departments. They are control whole store activities. Every department reliable and accessing their task. D-Mart store has almost 30 employees in which include cashiers, merchandise maintainers, sales persons etc.

Manager and central cash department Cashiers department Maintenance department Sales person department Inventory hold department.

Manger and central cash department: There is only one manager who manages the whole store department (Habib-ulRehman). He has taken every decision about prices and activities no any other person has right of decision and but they gives suggestion. They collected weekly cash sales. He is keep sight on employees work and also controls the security cameras.

Maintenance department: There are 6 employees worked. 2 employees settled clean the products and also two workers clean the floor and 2 workers maintain products and replace finished products in racks.

Sales person department: There are 6 sales persons worked in store in different department. They helped to customers about products (quality, guarantee, claim and return etc).These sales person cooperate with customer and they gives friendly environment to their customer.

Customer services:
Customer services are key edge in success for retail business. If retailer wants to increase our business in very short time then retailer provide unique services to his customer as compare to competitors and give them peaceful, pleasant environment.

D-Mart customer services: They gave following type of services, are below:

Parking facilities

Claim and return policy Electronic product list Other services Packing facilities

Other Services: They are providing other facilities like Luggage Trollies and Credit Card payment facilities etc.

Parking facility: They are providing parking facility to his customers on front of the store and also hire a guard.

Claim and Return policy: They offer to claim and return products services on the requirement given by the manager. There are rule in it, when customer purchased goods so he checked but so claim are exist so they keep product and gave new Product within 24 hours. But after 24 hours no accept claim on it. This service create better image of store in eyes of customers.

Electronic list facility: D-Mart store give electronic list of purchased items to customers and also keep record of customers and his goods in computer. Customer record always keeps but goods record deleted after 24 hours. This type of services made good image in the eyes of customers.

Variety and Assortment of merchandises:

In retail business, merchandise varieties and assortment keep according to his customers or selling.

Home appliances:
We take following merchandises these are below:

Milk Cooking oil Tooth paste Shampoo


Every Day (Nestle) Milk pack Olpers milk Tarang Haleeb Milk Haleeb Dairy Milk

200ml, 500ml, 1 liter 200ml, 250ml, 500ml, 1 liter 250ml, 500ml, and 1 liter 200ml 250ml, 500ml, and 1 liter 200ml, 250ml, 500ml, and 1 liter


Dalda Sufi Cooking Oil

1 liter, 2.5 liter, 5 liter 1 liter, 2.5 liter, 5 liter

Habib Cooking Oil Shan Cooking Oil Mezan Cooking Oil Soya Supreme Cooking Oil

1 liter, 2.5 liter, 5 liter 1 liter, 2.5 liter, 5 liter 1 liter, 2.5 liter, 5 liter 1 liter, 2.5 liter, 5 liter

Tooth paste:

English Colgate Close up Medicam Doctor `

50 ml, 100 ml, 125 ml 100ml, 125ml, 175 ml, 200ml 50 ml, 100ml, 125ml, and 200ml 50 ml, 100ml, 125ml 100ml, 125ml, and 175ml


Head & shoulder Pentene Dove Clear men

200ml, 400ml, and 800ml 200ml, 400ml, and 800ml 400ml, 800ml 200ml, 400ml

Crockery Items:
There are three verities of crockery are available on D-Mart store, are under:

Plastic crockery Cheni crockery

Dinner Plates, salad plates Bowls, Tea sets, Coffee sets

Glass crockery

drinking glass sets

Gifts Items:
There are following items in gifts are available on store, under are below:

Photos frame Gift papers Birthday tea cups and vine glasses Dolls and pipits Guldens and crystal pieces

Electronics Items:

Juicers Electric fitness belts Table laps Wall clocks

NATIONAL, DAWLANCE Sona , yoko Prime Casio


Facial creams Hair colors Face washes

Garnier keune, prime , ponds, Garnier

Jells and hair state creams

Set wet ,Nova

If we talk about business so every businessman make policies and take decisions for better future business so thinking comes when taken decision, what are our competitors and how make policies better our competitors because we get mark up on competitors. We discuss two types of competitors:

Direct competitors Indirect competitors

Direct competitors: There are two competitors are here in Moon market against D-Mart. They have direct competitors White rose, and Bin-Dawood departmental stores they are retailing with same format and merchandises.

Indirect competitors: D-Mart store have indirect competitors Moon store, Gill store, and Rehman store. They are doing retailing with same merchandises and different format. These convenient stores are more effective on D-Mart store as compare to direct competitors.

D-Mart store operates just indirect channels only. They dont have own products in store. They are deals with both local and imported of different companies.

Strategy of the Retailer:

In world, every businessman follows different strategies through which is run business in right way.

Target Market: D-Mart store are adopt mass marketing. In Mass Market D-Mart target is middle class housewives and families, they can shop whatever they want, as everything is available of their need.

Primary target marketing: They are doing primary marketing in our area. They have toys like (dolls, papist etc) and place behind on cash counter and also place different eatable products of children beside entrance gate which are persuade childrens they are buying something from store. This is a big advantage for D-Mart; they will increase our secondary market and made more customers with specific time.

Secondary target marketing: We already told about store customer, they won more than five thousand customers confidence and loyalty in a year and also enhance our customers through different ways. Secondary market is big advantage for store future business and have better image in our area.

Sustainable Competitive advantages:

Location: D-Mart store is located in Gulshan-e-Ravi Main Boulevard (Moon Market). This is the central location (heart) Gulshan-e-Ravi. Therefore, this is a sustainable advantage.

Merchandises: D-Mart store offering different categories of merchandises like (cosmetics, crockery, gifts, toys etc) and also give discount on these goods. Whenever no another one have broad variety of merchandises in this area. Another big sustainable advantage for DMart store. Knowledgeable and help full salespersons: In D-Mart store, they are providing excellent customer services and keep such sales persons which have full knowledge about merchandises and have good attitude. They helps to customers when feel upset about anything and there sales persons have good relations with permanent customers. Sales persons are great sustainable advantage for D-Mart store.

Hours of operations: D-Mart store open late night maximum (night 1to2 am) there is great advantage for late night customers which are happy for these services, therefore; sustainable advantage.

Customer loyalty program:

Customers loyalty is so important factor for retail business because customer imported for every business therefore head imported in human body.

Event discount offers:

D-Mart store provide event discounts to our customers like they give discount on (party cakes, gifts, bottles and other eatable things) on Eids, chrisms, and weeding seasons also. Through these discounts they get more benefits or loyalty then our competitors.

Schedule time and merchandise rate cards: In D-Mart store, there are display prices of merchandises on every rack which helps and make easy to customers for purchasing. There was displayed time schedule of store which helps to customers for knowing about operations hours. This is great opportunity for store they get confidence of customers easily.

Show changes theyve made: According to our interview, they told; we are necessary shows merchandise changes in racks and displays. Through this feature customer easily know about new products.

Relations with vendors:

Strong relations with vendors : D-mart has strong relations with our vendors and also has long-term policy about our vendors for success. D-Mart has those vendors which are working from last 4 years with them. It means they are more cooperative and loyal with our vendors. Therefore day by day increase business in our areas.

Coordination of vendors:

Vendors told about new products quality and sales to D-Mart store. They told how sale those products and help to manager which type of product keep or not. It means they gave opinions about wrong or right.

Staple and fashion merchandises:

Staple merchandises: They have broad verity of Grocery, crockery items in store.

Fashion merchandises: D-Mart store offering many kinds of fashion merchandises like (cosmetics, gifts items) etc.

Recommendations for Retailer:

They want to give uniforms to our workers and also need every department head because when we see in big departmental stores like (Rahim store, Al-Hameed) etc,So through this strategy they will do run business in discipline manners and reached one day to big retailer. D-Mart store wants enhance our business we means construct 2nd floor on our store keep more categories like (Readymade clothes etc). Because no another store of exists in market. They are doing limited advertisements so I think they should increase advertisement campaigns through seasonal, play ads on cable TV, promote store through billboards and banners.