Chapter 1

INTRODUCTION

CONSUMERS BEHAVIOR TOWARDS RETAIL OUTLETS

India has often been called a nation of shopkeepers. Presumably the reason forThis is; that, a large
number of retail enterprises exist in India. In 2004, there were 12 million such units of which 98% are
small family businesses, utilizing only Household labor. Even among retail enterprises, which employ
hired workers.
Majority of them use less than three workers. Retailing is the combination of activities involved in
selling or renting consumer goods and services directly to ultimate consumers for their personal or
household use. In addition to selling, retailing includes such diverse activities as, buying, advertising,
data processing and maintaining inventory. While sales people regularly call on institutional customers,
to initiate and conclude transactions, most end users or final customers, patronize stores. This makes
store location, product assortment, timings, store fixtures, sales personnel, delivery and other factors,
very critical in drawing customers to the store. Final customers make many unplanned. In contrast those
who buy for resale or use in manufacturing are more systematic in their purchasing. Therefore, retailers
need to place impulse items in high traffic locations, organize, store layout , trains sales people in
suggestion , and place related items next to each other, to stimulate purchase.

WHAT DOES THE RETAILING INDUSTRY INCLUDE?

Department Stores
Discount Stores
Clothing Stores
Specialty retailers
Convenience Stores
Grocery Stores
Drug Stores
Home furnishing retailers
Auto Retailers
Direct Sales Catalog and mail order companies

Retailing consists of the sale of goods or merchandise from a fixed location, such as a
department store; shopping mall etc .The retailer buys goods or products in large
quantities from manufacturers either directly or through a wholesaler, and then sells
smaller quantities to the end-user. Retail establishments are often called shops or stores.
Retailers are at the end of the supply chain. Manufacturing marketers see the process of
retailing as a necessary part of their overall distribution strategy. In the retail outlet
various type of good and service are provide to the customer but all the goods and
services are generally homogenous in nature through all the other retail outlets. Product
and services of every company are available in every retail outlet. It is also find that
many customer only used to shopping in own decided outlet rather from every outlets
even there is homogenous among the product and service offer by the
Every retail outlet .So This put the question in the mind of the every retailer that is
there is any gap between what customer expected from retailers and what retailer
provides to customer during shopping. No two customers have the identical likes and
preferences. Delivery value and narrowing down the zone of tolerance is a tightrope walk
for marketer in organized retail sector. Especially in market like India the challenges is
formidable because organizations need to cater to a wide and diverse group of
customers .Thus building equity and generating volumes in such complex market tapers
down to the function of managing customer expectation. Customers take their time to
first sketch their needs and then arrive at a specific decision. At the end of the day the
question is what does the customer expect? How to fulfill the glaring gap between need
and expectations? The answers to this question are by delivering the value
But in many case retailers are not aware of what their customer expect. Hence
they are unable to deliver the right value to the right customer and satisfy them
.Especially in this competitive scenario where the customer are well informed,
commanding and demanding at the same time it has become imperative for the
organization to be updated on the WHAT, WHY and HOW of each and every
customer. This calls for empathizing with the customer by indulging into their priorities
and decision making. Even in the case of a product as simple as beauty soap, customer
have versatile expectations like, good packaging fragrance, herbal or medical benefit,

glowing skin etc. and all this at an affordable price. A daunting task but companies have
no option but to offer the expected value, that too by keeping the operating costs low.
Following general expectations of a typical customer
Value of Money
Availability and location
Service expectations
Quality in Product
Need based solution
So in other to deliver the value, Retail outlets in addition to providing products and
services, need to cater for a wide range of motives. The various determinants of retail
outlet preference include cleanliness, well-stocked shelves, and range of products, helpful
staff, disabled access, wide aisles, car parking, multiple billing points and
environmentally friendly goods. These differing motives arise as retailers cater to
different types of shoppers who include economic consumers (concern with value),
personalized consumers (concern with relationships), recreational shoppers (shopping as
a leisure activity) and apathetic consumers (who dislike shopping). Retailers have to
satisfy budding customers, older consumers as well as time crunched individuals whose
motives all tend to be conflicting as well as different. Retailers need to establish a good
image to prevent customers from shopping around. They must cater to shoppers need for
pleasure and practicality.

ORIGIN OF RETAIL SECTOR:

Early Trade:
When man started to cultivate and harvest the land, he would occasionally find himself
with surplus of goods. Once the needs of his family and local community were met, he
would attempt to trade his goods for different goods produced elsewhere. Thus
markets were formed. These early efforts to swap goods developed into more
formal gatherings. When a producer who had a surplus could not find another
producer with suitable products to swap, he may have allowed others to owe him goods.
Thus early credit terms would have been developed. This would have led to symbolic

representations of such debts in the form of valuable items (such as gemstones or beads),
and eventually money.

HOW RETAIL DEVELOPED:

*Peddlers and Producers:
The Retail Trade is rooted in two groups, the peddlers and producers. Peddlers tended to
be opportunistic in their choice of stock and customer. They would purchase any goods
that they thought they could sell for a profit. Producers were interested in selling goods
that they had produced.

*General Store:
This division continues to this day with some shops specializing in specific areas,
reflecting their origins as outlets for producers (such as Pacific Concord of Hong Kong),
and others providing a broad mix, known as General Store (such as Casey's in the
Midwest of the U.S.A.).Although specialist shops are still with us, over time, the general
store has increasingly taken on specialist products. Customers have found this to be more
convenient than having to visit many shops- thus the term "Convenience Store" has also
been applied to these shops. As the popularity of general stores has grown, so has their
size. This combined with the advent of Self-Service has lead to the Supermarket, or
Superstore.

*
Early Markets:
Over time, producers would have seen value in deliberately over-producing in order to
profit from selling these goods. Merchants would also have begun to appear. They would
travel from village to village, purchasing these goods and selling them for a profit. Over
time, both producers and merchants would regularly take their goods to one selling place
in the centre of the community. Thus, regular markets appeared. The First Shop:
Eventually, markets would become permanent fixtures i.e. shops. These shops along with
the logistics required to get the goods to them were, the start of the Retail Trade.

*The Birth of Distance Retailing:

Defined as sales of goods between two distant parties where the deliverer has no direct
interest in the transaction, the earliest instances of distance retailing probably coincided
with the first regular delivery or postal services. Such services would have started in
earnest once man had learned how to ride camel, horse etc. When individuals or groups
left their community and settled elsewhere, some missed foodstuffs another goods that
were only available in their birthplace. They arranged for some of these goods to beset to
them. Others in their newly adopted community enjoyed these goods and demand grew.
Similarly, new settlers discovered goods in their new surroundings that they dispatched
back to their birthplace, and once again, demand grew. This soon turned into a regular
trade. Although such trading routes expanded mainly through the growth of traveling
salesmen and then wholesalers, there were still instances where individuals purchased
goods at long distance for their own use. A second reason that distance selling increased
was through war. As armies marched through territories, they laid down communication
lines stretching from their home base to the front. As well as garnering goods from
whichever locality they found themselves in, they would have also taken advantage of the
lines of communication to order goods from home.

*Origins of Retail
It is likely that, as markets became more permanent fixtures they evolved into shops.
Although advantageous in many respects, this removed the mobility that a peddler or
traveling merchant may still have enjoyed. For some shopkeepers, it made sense to obtain
extra stock and open up another shop, most probably operated by another family member.
This would recover business from peddlers and create new business and the greater
volume would allow the shopkeeper to strike a better deal with suppliers. Thus the retail
chain would have started. Its thought that this process would have started in china over
2200 years ago with a chain of shops owned by a trader called Lo Kass.

*The First Self-Service Store:

This all changed in 1915 when Albert Gerard opened the Groceteria in Los Angeles, the
first documented self-service store. This was soon followed a year later by the Piggly
Wiggly self-service store, founded by Clarence Saunders in Tennessee in the U.S.

*Growth:
This new type of shopping was more efficient and many customers preferred it. Although
personal service stores remain to this day, this new concept started a rapid growth of selfservice stores in the United States. Other countries were slow to take up the idea, but
there has been a steady rise in the global amount of self-service stores ever since.
*

Efficiency
These entrepreneurs noticed that their staff had to spend a great deal of time taking
grocery orders from customers. The groceries were stacked on shelves allowing
customers to walk around and browse, collecting their shopping in a basket that was
supplied. The shopkeeper would only need to tot up the final bill at the end of the process
and transfer the goods from the basket to the customer and receive payment.

RETAIL MARKET IN INDIA

Growth of Retail Companies in India exhibits the boom in the retail industry in
India over the years. The increase in the purchasing power of the Indian middle classes
and the influx of the foreign investments has been encouraging in the Growth of Retail
Companies in India.

Growth of Retail market in India: Overview

Growth of Retail Companies in India is still not yet in a matured stage with great
potentials within this sector still to be explored. Apart from the retail company like
Nilgiri's of Bangalore, most of the retail companies are sections of other industries that
have stepped in the retail sector for a better business. The Growth of Retail Companies in
India is most pronounced in the metro cities of India, however the smaller towns are also

not lagging behind in this. The retail companies are not only targeting the four metros in
India but also is considering the second graded upcoming cities like Ahmedabad, Baroda,
Chandigarh, Coimbatore, Cochin, Ludhiana, Pune, Trivandrum, Simla, Gurgaon, and
others. The South Indian zone have adopted the process of shopping in the
supermarkets for their daily requirements and this has also been influencing other cities
as well where many hypermarkets are coming up day to day.

Reasons for the fast Growth of Retail Companies in India:

The retail companies are found to be rising in India at a remarkable speed with the years
and this has brought a revolutionary change in the shopping attitude of the Indian
customers. The Growth of Retail Companies in India is facilitated by certain factors like
Existing Indian middle classes with an increased purchasing power
Rise of upcoming business sectors like the IT and engineering firms
Change in the taste and attitude of the Indians
Effect of globalization
Heavy influx of FDI in the retail sectors in India

CHALLENGES FACING THE INDIAN ORGANIZED RETAIL SECTOR

The challenges facing the Indian organized retail sector are various and these are stopping
the Indian retail industry from reaching its full potential.

Changing Consumer Purchasing Patterns

The behavior pattern of the Indian consumer has undergone a major change. This
has happened for the Indian consumer is earning more now, western influences,
women working force is increasing, desire for luxury items and better quality. He
now wants to eat, shop, and get entertained under the same roof. All these have
lead the Indian organized retail sector to give more in order to satisfy Indian
customers so that customer stay loyal with the company.

 Lack of Retail Space

With real estate prices escalating due to increase in demand from the Indian
organized retail sector, it is posing a challenge to its growth. With Indian retailers
having to shell out more for retail space it is effecting there overall profitability in
retail.

Shortage of Trained Man Power

The Indian retailers have difficultly in finding trained person and also have to pay
more in order to retain them. This again brings down the Indian retailers profit.

Poor Supply Chain

It is the supply chain that ensures to the customer in all the various offerings that a
company decides for its customers, be it cost, service, or the quickness in
responding to ever changing tastes of the customer. The infrastructure in India in
terms of road, rail, and air links are not sufficient. This make a poor supply chain
and companies have to depend upon warehousing.

IMPACTS OF BIG RETAILERS LIKE RELIANCE FRESH & BIG

BAZAR
a) Small scale industries and existing brands will not be able to compete
with these behemoth international players with enormous amount of
capital:
Most of the economies have developed their industry, agriculture and services in order to
increase their pace of development. In case of India, manufacturing has seen hardly any
growth since our economy has opened up. This has lead to unemployment at one end, and

at the other end it has lead to huge setback to the existing industries. Many of the national
brands have been lost, decreasing the number of employment in manufacturing sector.
When the retail chain takes over, it will have access to all the products of the world, and
will sell the best at the cheapest, leading to further closure of existing industries which in
turn will lead to loss of economy and massive unemployment. Small scale industries will
suffer the most in this present context, where at one end, MNCs are allowed to have
100% FDI in small scale industries in SEZ and on the other hand cheap goods could be
imported by the retail giants. Our SSI is not properly organized, and suffers the
economies of scale, thus will never be able to compete with the retail giants on the price
aspect, which seems to be a matter of serious concern for the existence of SSI in India. In
a situation where the existing SSI is already going through a very tough time, this would
serve as a fatal blow.

b) Impact on farmers
Monopsonistic influence on farmers
After independence there was a general feeling that agricultural markets do not function
in a proficient manner. Apart from inefficiencies in distribution, including wastage of
agricultural produce, the farmers suffer due to exploitation by traders on different
accounts. To overcome such problems different state governments enacted their
respective APMC Acts. These Acts made stringent provisions to save the farmers from
exploitation, promoted efficiency, etc. Structure of Agricultural Produce Marketing
Committee (APMC), the apex decision making body in respective mandis was made such
that farmers were in overwhelming majority and chairman of the Committee would also
be a farmer. It also ensures the transparency of trade and accountability of the trader and
mandis towards the society. Every day the rates of the products are fixed in the mandi
depending upon demand and supply and no trader can buy more than a certain limit( to
avoid hoarding). There is no question of monopoly here as there are a number of buyers
and sellers; this in turn keeps the prices of the commodities fair. Moreover there is a
government check on all the trading that happens through mandi, so that no unfair
practices can take place.

The Model APMC Act leads to de-democratisation of agricultural markets and therefore
limits the rights of the farmers to control agricultural markets. The experience world over
and even in the states where private yards have been allowed to be established by the
companies, heavy profits have been made by these companies without giving any benefit
to the farmers. For instance the average price of Soya paid by ITC to the farmers in
Madhya Pradesh was around Rs. 1150/- per quintal, it was sold by the company at an
average price of Rs. 1555/- per quintal. Even the rules of contract farming, given by
Model APMC Act and adopted by various state governments also favour multinational
agribusiness firms. Small and marginal farmers, which constitute 90% of the farming
community, have been left at the mercy of these firms. Not only this, even the definition
of an agriculturist have been changed to suit the best interests of these corporations. In
earlier Acts agriculturist was defined as one whose livelihood depends directly on
farming. Now a change in the definition of agriculturist is contemplated as - A person
who is a resident of the notified area of the market and who is engaged in production of
agricultural produce himself or by hired labour or otherwise.
In the case of these huge retail chains, there is lesser possibility of transparency of prices
paid and the amount stocked. They are permitted to stock huge amounts of food supplies,
as per their business model, without having mechanisms for transparence. In such
conditions it is not very difficult for them to hoard and act unfair. For example let us see
two commodities wheat and apple. Private corporations had bought huge quantities of
wheat from the farmers directly last year and we had to import wheat from other
countries and all of us know about the hike in the price of wheat this year. Similar is the
case of apple, in last season, these companies had bought around 30% of the apple
production straight from the local mandis of Himachal and Kashmir, and we can see the
prices of apple this year are very much higher compared to earlier years, even though
there was good production of apples last season.

c) Impact on Consumer
In due course of time if these retail outlet completely overtakes the
traditional system, we would see a series of change. First if the traditional
system is gone, we will have only one mega retail outlet in the vicinity, and
the choices given by the outlet, has to become choices of the consumer. In

such a case there is an expectation of formation of cartel amongst the chain

and the prices of the commodities will shoot up. But at that time we will have
no other option but to procure our goods from one of these outlets, at
whatever prices they demand from us. We have seen this in the case of UK,
where the average spending on food and beverages as a percentage of the
total income of an average household has shot up since these giant
corporations have come into retailing. Moreover the choices the consumers
are left also decrease with the coming up of these stores; every thing is
standardized the personal choices of the consumers are not taken care of.
This is a system where the consumer adjusts himself to the product and not
the vice versa.

THE OBJECTIVES OF RETAILING

Organized retailing in India was estimated at Rs.18,000 crores in 2002-2003 and
has grown at about 40% over the last 3 years (Source KSA Retail Outlook). Retailing has
a tremendous impact on the economy. It involves high annual sales And employment. As
a major source of employment retailing offers a wide range of career opportunities
including; store management, merchandising and owning
A retail business. Consumers benefits from retailing in that, retailers perform
marketing functions that makes it possible for customers to have access to a broad variety
of products and services. Retailing also helps to create place, time and possession
utilities. A retailer's service also helps to enhance a product's image. In general, retailers
perform four distinct functions as, shown in Figure 1.1 below: Retailers participate in the
sorting process by collecting an assortment of goods and services from a wide variety of
suppliers and offering them for sale. The width and depth of assortment depend upon the
individual retailer's strategy.
They provide information to consumers through advertising, displays and signs
and sales personnel. Marketing research support is given to other channels, members.
They store merchandise, mark prices on it, place items on the selling floor and otherwise
handle products; usually they pay suppliers for items before selling, them to final
customers. They complete transactions by using appropriate locations, and timings, credit
policies, and other services e.g. delivery. Retailing in a way, is the final stage in

marketing channels for consumer products. Retailers provide the vital link between
producers and ultimate consumers.

TYPES
1. Form of Ownership
A sole proprietor, partners or a corporation can own a retail business like any
other type of business. A majority of retail business in India are sole proprietorships and
partnerships.

2. Independent Retailer
Generally operates one outlet and offers personalized service, a convenient
location and close customer contact. Roughly 98% of all the retail businesses in India, are
managed and run by independents, including barber shops, drycleaners, furniture stores,
bookshops, LPG Gas Agencies and neighbourhood stores. This is due to the fact that into
retailing is easy and it requires low investment and little technical knowledge. This
obviously results in a high degree of competition. Most independent retailers fail because
of the ease of entry, poor management skills and inadequate resources.

3. Retail Chain
It involves common ownership of multiple units. In such units, the purchasing and
decision making are centralized. Chains often rely on, specialization, standardization and
elaborate control- systems. Consequently chains are able to serve a large dispersed target
market and maintain a well known company name. Chain stores have been successful,

mainly because they have the opportunity to take advantage of "economies of scale" in
buying and selling goods. They can maintain their prices, thus increasing their margins,
or they can cut prices and attract greater sales volume. Unlike smaller, independent
retailers with lesser financial means, they can also take advantage of such tools as
computers and information technology. Examples of retail chains in India are Shoppers
stop; West side and IOC, convenience stores at select petrol filling stations.

4. Retail Franchising
Is a contractual arrangement between a "franchiser" (which may be a
manufacturer, wholesaler, or a service sponsor) and a "franchisee" or franchisees, which
allows the latter to conduct a certain form of business under an established name and
according to a specific set of rules. The franchise agreement gives the franchiser much
discretion in controlling the operations of small retailers. In exchange for fees, royalties
and a share of the profits, the franchiser offers assistance and very often supplies as well.
Classic examples of franchising are; McDonalds, Pizza Hut and Nirulas.

5. Cooperatives
A retail cooperative is a group of independent retailers, that have combined their financial
resources and their expertise in order to effectively control their wholesaling needs. They
share purchases, storage, shopping facilities, advertising planning and other functions.
The individual retailers retain their independence, but agree on broad common policies.
Amul is a typical example of a cooperative in India.

Store Strategy Mix

Retailers can be classified by retail store strategy mix, which is an integrated
combination of hours, location, assortment, service, advertising, and prices etc. The
various categories are:

(A)

Convenience Store:
Is generally a well situated, food oriented store with long operating house and a

limited number of items. Consumers use a convenience store; for fill in items such as
bread, milk, eggs, chocolates and candy etc.

(B)

Super markets:
Is a diversified store which sells a broad range of food and non food items. A

supermarket typically carries small house hold appliances, some apparel items, bakery,
film developing, jams, pickles, books, audio/video CD's etc. The Govt. run Super bazaar,
and Kendriya Bhandar in Delhi are good examples of a super market. Similarly in
Mumbai, we have Apna Bazar and Sahakari Bhandar.

(C)

Department Stores:
A department store usually sells a general line of apparel for the family, household

linens, home furnishings and appliances. Large format apparel department stores include
Pantaloon, Ebony and Pyramid. Others in this category are: Shoppers Stop and Westside.

(D)

Speciality Store:
Concentrates on the sale of a single line of products or services, such as Audio

equipment, Jewellery, Beauty and Health Care, etc. Consumers are not confronted with
racks of unrelated merchandise. Successful speciality stores in India include, Music
World for audio needs, Tanishq for jewellery and McDonalds, Pizza Hut and Nirula's for
food services.

(E)

Hyper Markets:
Is a special kind of combination store which integrates an economy super market

with a discount department store. A hyper market generally has an ambience which
attracts the family as whole. Pantaloon Retail India Ltd. (PRIL) through its hypermarket
"Big Bazar", offers products at prices which are 25% - 30% lower than the market price.

Non Store Retailing

In non store retailing, customers do not go to a store to buy. This type of retailing
is growing very fast. Among the reasons are; the ability to buy merchandise not available
in local stores, the increasing number of women workers, and the presence of unskilled
retail sales persons who can not provide information to help shoppers make buying
decisions The major types of non store retailing are:

(A)

In Home Retailing:

Where, a sales transaction takes place in a home setting - including door-door

selling. It gives the sales person an opportunity to demonstrate products in a very
personal manner. He/She has the prospect's attention and there are fewer distractions as
compared to a store setting. Examples of in home retailing include, Eureka Forbes
vaccum cleaners and water filters.

(B)

Telesales/Telephone Retailing:
This involves contact between the prospectand the retailer over the phone, for the

purpose of making a sale or purchase. Alarge number of mobile phone service providers
use this method. Other examples are private insurance companies, and credit companies
etc.

(C)

Catalog Retailing:
This is a type of non store retailing in which the retailers offers the merchandise in

a catalogue, which includes ordering instructions and customer orders by mail. The basic
attraction for shoppers is convenience. The advantages to the retailers include lover
operating costs, lower rents, smaller sales staff and absence of shop lifting. This trend is
catching up fast in India. Burlington's catalogue shopping was quite popular in recent
times. Some multi level marketing companies like Oriflamme also resort to catalogue
retailing.

(D)

Direct Response Retailing:

Here the marketers advertise these products/ services in magazines, newspapers,

radio and/or television offering an address or telephone number so that consumers can
write or call to place an order. It is also sometimes referred to as "Direct response
advertising." The availability of credit cards and toll free numbers stimulate direct
response by telephone. The goal is to induce the customer to make an immediate and
direct response to the advertisement to "order now." Telebrands is a classic example of
direct response retailing. Times shopping India is another example.

(E)

Automatic Vending:

Although in a very nascent stage in India, is the ultimate in non personal, non store
retailing. Products are sold directly to customers/buyers from machines. These machines
dispense products which enable customers to buy after closing hours. ATM's dispensing
cash at odd hours

(F)

Electronic Retailing/E-Tailing:
Is a retail format in which retailers communicate with customers and offer

products and services for sale, over the internet. The rapid diffusion of internet access and
usage, and the perceived low cost of entry has stimulated the creation of thousands of
entrepreneurial electronic retailing ventures during the last 10 years or so. Amazon.com,
E-bay and Bazee.com HDFCSec.com are some of the many e-tailers operating today.
THE WHEEL OF RETAILING Is a hypothesis that attempts to explain the emergence of
new retailing institutions and their eventual decline and replacement by newer retailing
institutions. Like products retailing institutions also have a life cycle. According to this
theory new retailers enter the market as, low margin, low price,low status institutions.
The cycle begins with retailers attracting customers by offering low price and low
service. Over a period of time these retailers want to expand their markets and begin to
stock more merchandise, provide more services, and open more convenient locations.
This trading up process. Increases the retailers costs and prices, creating opportunities
for new low price retailers to enter the market. The evolution of the department store
illustrates the "wheel of retailing" theory. In its entry phase, the department store was a
low cost-low service venture. With time it moved up into the trading-up phase. It
upgraded its facilities, stock selection, advertising and service. The same department
store then moves into the vulnerability phase, because it becomes vulnerable to low
cost/low service formats, such as full line discount stores and category specialists. Figure
1.5 illustrates this theory. While the wheel hypothesis has a great deal of intuitive appeal
and has been borne out in general by many studies of retail development, it only reflects a
pattern. It is not a sure indicator of every change, nor was it ever intended to describe the
development of every individual retailer.

Industry Profiles:Reliance Fresh Introduction

Reliance Fresh is the convenience store format which forms part of the retail business of
of Reliance Industries of India which is headed by Mukesh Ambani. Reliance plans to
invest in excess of Rs 25000 crores in the next 4 years in their retail division. The
company already has in excess of 560 reliance fresh outlets across the country. These
stores sell fresh fruits and vegetables, staples, groceries, fresh juice bars and dairy
products.
A typical Reliance Fresh store is approximately 3000-4000 square. feet and caters to a
catchment area of 1-2 km.
Post launch, in a dramatic shift in its positioning and mainly due to the circumstances
prevaling in UP, West Bengal and Orissa, it was mentioned recently in news Dailies that,
Reliance Retail is moving out of stocking fruits and vegetables. Reliance Retail has
decided to minimise its exposure in the fruit and vegetable business and position Reliance
Fresh as a pure play super market focusing on categories like food, FMCG, home,
consumer durables, IT and wellness , with food accounting for the bulk of the business.
The company may not stock fruit and vegetables in some states, Orissa being one of
them. Though Reliance Fresh is not exiting the fruit and vegetable business altogether, it
has decided not to compete with local vendors partly due to political reasons, and partly
due to its inability to create a robust supply chain. This is quite different from what the
firm had originally planned.
When the first Reliance Fresh store opened in Hyderabad last October, not only did the
company said the stores main focus would be fresh produce like fruits and vegetables at

a much lower price, but also spoke at length about its farm-to-fork theory. The idea the
company spoke about was to source from farmers and sell directly to the consumer
removing middlemen out of the way.
Reliance Fresh, Reliance Mart, Reliance Digital, Reliance Trendz, Reliance Footprint,
Reliance Wellness, Reliance Jewels, Reliance Timeout and Reliance Super are various
formats that Reliance has rolled out.
In addition, Reliance Retail has entered into an alliance with Apple for setting up a chain
of Apple Specialty Stores branded as iStore, starting with Bangalore.

Reliance fresh in Delhi Region

With over 40 Reliance Fresh stores already launched in Chennai, Hyderabad and Jaipur,
Reliance Retail began its assault of the National Capital Region market with the recent
opening of nine new stores in Ghaziabad, Noida, Faridabad and Gurgaon.
The company is targeting to open 100 more Reliance Fresh stores in New Delhi alone
within four months, and a 1,000 new stores in 35 cities nationwide by the end of the year
with a built-up area of over 4 million sq.ft. An investment of Rs.8,000 crore is envisaged
for the NCR region alone. The company also has plans to invest around Rs 25,000 crore
over the next five years for its retail business.
Reliance Retail is said to have plans to open up 400 to 600 stores in the Delhi NCR
region. Indian conglomerate Reliance Industries is to open its first Reliance Fresh outlet
in Delhi.
Reliance Industries first Reliance Fresh store in Delhi marks the start of an aggressive
100 store rollout planned for the capital city over the next few months. The move
represents a significant step in the company's endeavor to capitalize on India's growing
middle class economy.

Reliance's move into Delhi is part of a second expansion push following the firm's
successful entry into retail, which was initiated through its opening of 11 Reliance Fresh
outlets in Hyderabad in November last year. So far, the growing number of 2,300 square
foot stores, offering around 200 SKUs of vegetables and staple foods, have been well
received. As well as the obvious benefits of freshness and cheap prices, customers are
impressed by unprecedented standards in store fit out, strong merchandising and the
availability of an albeit limited range of chilled and frozen products.
Pleased with its development so far, Delhi is an obvious next step for Reliance Fresh. The
city has a conurbation of 15 million people and is a key region enjoying economic growth
and a resultant burgeoning middle class. These shoppers are increasingly aspirational and
keen to spend.
This current pipeline of stores planned for Delhi is likely to range in size from 2000-5000
square feet. And looking ahead, Reliance has greater ambitions still. It plans to open
stores across the country of up to 10,000 square feet under the Reliance Fresh Plus fascia
by the end of the year, with the possibility of hypermarkets in excess of 100,000 square
feet.
That India's consumer economy offers tremendous potential does not really come into
question, but one should not lose perspective. Of India's 1.1 billion population, the
middle class is estimated to stand at around 150 million people. The rest are poor - many
living in conditions of extreme poverty. Also, serious issues surrounding India's weak
transport infrastructure, poor standards of public health and a need to alleviate an
imminent shortage of skilled workers should not be underestimated.
There are undoubtedly significant challenges ahead for Reliance. However, by leveraging
its brand strength and emerging logistical infrastructure, it is well placed to capitalize on
the new opportunities presenting themselves and to defend itself from the pending
onslaught of competition from both home and abroad.

Product profiles:

Fruits and vegetables

Staples

Groceries

Fresh juice bars

And dairy products.

Reliance Fresh stocks fresh fruits and vegetables, staples, fast moving consumer goods
and dairy products. The stores are already selling over 1,000 tonnes of fresh produce
daily and also 250 categories of commodities. The company is approaching farmers
directly for the procurement of produce, seeking to reduce the 40% wastage that occurs
through the traditional supply chain.

Big Bazaar at Delhi

Delhi is a place where I guess you could trade anything and anything. But trading in
made-to-adopt babies, now that is some novel business idea. With ready demand already,
supply chain is establised. The rest is easily arranged with some extra assistance from
various associates. And If the price is right, Delhi will do anything.
It is so endemic in the culture of Delhi, that to tackle corruption and criminality, the
national offices need to shifted elsewhere. The long nexus between the powerful and the
feeders have to broken. Otherwise, by the time one scam/illegal trade is unearthed,
twenty others will proliferate.
Big Bazaar is a chain of hyper markets in India, currently with more than 100 stores. It is
owned by the Pantaloon Retail India Ltd, Future Group. It follows the business model as

Wal-Mart and has considerable success in many Indian cities and small towns. The idea
was pioneered by entrepreneur Kishore Biyani, the CEO of Future Group. Currently Big
Bazaar stores are located only in India.
Big Bazaar will provide shoppers with a completely new shopping experience and make
available a range of products for every household need at never before prices Shoppers
for the first time will have the widest range of products in every segment.
Many Big Bazaar stores have a grocery department and vegetable section called the Food
Bazaar.
Living up to its motto of Is se sasta aur accha kahin nahin", all products in Big Bazzar
will be available at prices lower than the MRP, often up to 60% discount. In addition to
this, various offers, discounts and promotions will be regularly held at the store. The
consumer will experience a new level of standard in price, convenience and comfort,
quality, quantity, and store service levels. BIG BAZAAR in its true hypermarket model
will offer all of the above for both leading brands as also for its private labels.

Product profiles
The widest range of products in every segment womens apparel, mens apparel,
accessories like belts and bags, cosmetics, gold jewellery, kids wear, stationary and toys,
footwear, plastics and home dcor products, utensils & home appliances, gift articles,
food and grocery items.
Food Bazaar will offer services like Live Kitchen where customers can get vegetables
cut and select gravies of their choice, Golden Harvest providing best quality grain,
pulses & spices, Ready to cook and Hungry Kya the ready to eat food sections. In
addition, regular Food Bazaar offerings of Grains and Provisions, Farm Fresh Fruits &
Vegetables, Drinks & Beverages, Dairy Products, Fabric Care products, Music Cassettes
and CDs, Chill Station, Home Care Products, Accessories, Kitchen Linen, Kitchen

Products, Personal Care Products, Bakery, Mithai & Namkeen etc., will be available at
wholesale prices.

Big Apple
Big Apple, the Indian version of the popular US retail chain 7-Eleven, plans to open 100
convenience stores in the national capital and surrounding areas by August to cater to the
urban consumers. With shopping becoming another casualty of long working hours,
Express Retail Services Pvt Ltd is rapidly expanding its Big Apple chain of convenience
stores with 25 stores already merchandising 2,500 products
Delhites are always known for their high living standards and love for branded clothes
cars and now definitely branded groceries. The new retailing fever is redefining grocery
and farm produce retail in Delhi. Big Apple- A unit of Express Retail Services Pvt. Ltd is
Delhis first ever company owned Fruit, Vegetable and Grocery retail chain which has
added one more bling to it by opening there 65th store in Delhi.
Being well received by its consumer Big Apple has attained exponational growth rate
from each store. The 125 crore companys direct tie-up with farmers in Haryana,
Rajasthan, Himachal Pradesh and Uttar Pradesh, provides consumers with uninterrupted
and qualitative product supply every single time.

Big apple in Delhi region

Big Apple in a matter of one year has spread all over Delhi, having 65 stores, placing
itself in the prime locations of the city like East of Kailash, Hauz Khas, Lajpat Nagar,
East Patel Nagar, Naraina Vihar, New Rajender Nagar, Model Town-1, Janak Puri, Vikas
Puri, Rajouri Garden, Shyam Nagar, Mansarovar Garden, Bali Nagar, Shakti Nagar,
Hudson Lane, Vishwas Nagar, Jhilmil, Krishna Nagar, Rani Bagh, Gandhi Nagar, Rohini,
Main Vikas Marg, Pitampura, Sunder Vihar, Model Town-III, Narela, Darya Ganj and
many other locations.

Mr Munish Hemrajani further added that The objective is not only making profits, also
to bring the convenience and money saving shopping experience to Delhites within the
walking distance of their homes. The stores are also designed to give hygienic and
pollution free environment, which makes shopping experience a real pleasure.
The best part of these stores is their timing .i.e. 7 am to 11pm., which is quite beneficial
for working couples who can plan out their daily shopping as per their own convenience.
The growing number of stores is sign of growing retailer-customer relationship.
A typical Big Apple store is 1,500 to 1,800 sq feet and stores over 2,500 product
merchandise, he said and claimed it was way ahead of competition from Reliance Retail's
neighbourhood stores and Subhiksha. "We change product line every 90 days based on
customer acceptance and demand."

Product Profiles
Processed Foods
1. Break Fast Cereals
2. Biscuits and Wafers
3. Noodles, Pasta & Vermicelli
4. Jams, Sauces, Spreads & Pickles
5. Ready Foods
6. Baking and Dessert Mixes
7. Sweets and Savouries
8. Chocolate and Confectioneries
9. Bakery
Beverages
1. Tea

2. Coffee
3. NTNC
4. Drinks and juices

Groceries
1. Flours and Suji
2. Staples
3. Pulses
4. Others
5. Spices Masala and Mixes
6. Sugar and Salt
7. DryFruits,Churans, Mukhwas

Oils and Ghees

1. Edible Oils
2. Vanspathi
3. Ghee

Dairy
1. Butter
2. Dahi and Chahch
3. Yogurt
4. Milk n Cream

5. Cheese n paneer

Frozen
1. Frozen veg.
2. Frozen Non Veg.
3. Ice Creams

Baby Food
1. Lacto Food
2. Baby Cereals
3. Baby Nutrition Others

Personal Care
1. Oral Care
2. Odour Control
3. SC Soaps
4. SC Creams
5. HC Oils
6. HC Shampoos
7. HC Colours
8. Shaving Needs
9. Baby Care
10. Sanitary Napkins

11. OTC

Fabric Care
1. Detergent Powders-Budget
2. Detergent Powders-Reg
3. Detergent Powders-Premium
4. Detergent Cakes
5. Fabric Care Solutions

Home Care
1. Paper Products
2. Air Freshners
3. Insecticdes
4. Shoe Care
5. Cleaning Aids
6. Cleaning Agents
7. Others

Vegetables
1. Regular Vegetables
2. Exotic Vegetables
3. Fruits
4. Regular Fruits

5. Exotic Fruits

Stationary
1. Pens Papers & Books
2. Office Stationary

Toys
1. Soft Toys
2. Plastic Toys

LM 365
Retail venture of Indias largest exporter & manufacturer of quality rice Shri Lal Mahal
Headquatered in Delhi. The company is going to open 150 outlets by Oct2008 in Delhi
with presence in other regions of India with similar no. of stores, having served daily
needs of consumers under one roof.

Product range vary from house hold to home care, grocery to pulses and so on. The best
part of these stores is operating time from 6:00 AM to 11:00 PM, 365 days in year.
Customer services & satisfaction is its main aim, its motto is to provide customer with
best product & best price with almost respect to their requirements.
The quality is so accepted in India, that 'SHRI LALMAHAL' quality is taken as a bench
mark in determining the price movement of India's finest quality Basmati Rice. The price
movements of SHRI LALMAHAL is monitored daily in 17 National News Papers and
over 80 vernacular News Papers and on Reuters
It has been recognized by Government of India as 'STAR TRADING HOUSE' and has
achieved the status of being the largest exporters of Rice from India.
Its wide network in India for sourcing of right Agri commodities combined with years of
expertise keeps us many steps ahead of all other Agro traders in the country. Over the
years we have developed an excellent AgroProduct basket for manufacturing, processing
and trading and simultaneously developing sophisticated infrastructure facilities for
Sourcing, Milling/Processing and Shipping. Apart from the strong sourcing networks,
other major facilities includes large warehousing at Ports and a permanent Jetty and
Berges at Navlakhi Port, Gujarat, India.
The stores, primarily owned by the company, would also sell low-cost good quality
apparels.
A typical discount store operates with around 1,000 stock keeping units (SKUs), while
Lalmahal stores, being convenience stores, will have between 1,500-8,000 SKUs.
Specialising in Basmati rice, Lalmahal Group is one of the largest rice exporters of the
country with its business activities spread across several continents.

Ocassionally they have discounts and sales promotion offers like buy 1 get 1 free
or 25% off on tomatoes, 10% on mangoes etc.

No provision of loyalty cards at 365 retail grocery store.

LM 365 in Delhi Region

Lal Mahal Group, widely known for its branded Basmati rice, is set to launch as many as
125 retail outlets in phases. For a start, the group will open 14 retail stores in Delhi and
the NCR on February 14, to be inaugurated by a Minister from the Union Government.
Named LM 365 Retail Stores, the outfits will market both food and non-food consumer
products of mass consumption.
The average size of each store varies from 800 sq ft to 4,000 sq ft, a company
representative told Business Line. A Star Trading House, Lal Mahal has international
operations covering trade in a wide variety of agricultural commodities as also export of
metals and minerals. In addition, the group is into power generation, real-estate and IT
related services. The company expressed optimism that LM 365 Retail would break-even
in the very first year of operation.
Lal Mahal Retail is launching a new cash-and-carry wholesale business. The first two
outlets of 50,000 sqft each are to come up in Delhi in the next six months. Lal Mahal
currently runs 75 convenience stores for food and grocery under the 365 nameplate.

Product profiles

Processed Food>
Spices

Baby Foods

Packed Food

Baking And Desserts Mixes

James, Sauces, Pickles

Sweets And Savouries

Noodles, Pasta And Vermicelli

Chocolate & Confectionery

Biscuits And Bafers

Breakfast Cereals

Oil & Ghee>

Olive
Edibale Oils

Beverages>

Coffee & Tea

Ghee
Vanaspati

Grocery>

Spice Masala

Dairy

MDH Staples

Drinks & Beverages Juices

Dals And Pulses, Spices, Masala And Mixes

Water And Soda

Sugar And Jaggery ,Dry Fruits, Churans And

Mukhwas

CONSUMER SHOPPING BEHAVIOR AMONG MODERN RETAIL FORMATS

:- The given article shows that individual determinant such as shopping intension, attitude
towards retail outlet, and shopping habit plays important role on consumer shopping
decision. Attitude towards retail outlet and shopping habit influence shopping intension.
This implies, retailers should concentrate on strategies in building consumers positive
attitude towards retail, so that consumers visit their retail in order to make purchases
regularly. However it found that it is no different of this individual determinant among

retail format. This imply, consumer visit all format in making convenience goods
purchase.

STUDY OF RURAL CONSUMER BEHAVIOR TOWARDS RURAL RETAIL

STORES
:-In India for a long time a large chunk of retail outlets were grocery shop. This pattern
had been changing in recent years, in urban and rural markets. Of late, India's largely
rural population has also caught the eye of retailers looking for new areas of growth. A
slew of supermarket chains, including those of the Tata and ITC, are set to storm the rural
areas of the country as corporate realize the huge potential of the untapped market ITC
launched the country's first rural mall 'Chaupal Sagar', offering a diverse product range
from FMCG to electronic appliances to automobiles, attempting to provide farmers a
one-stop destination for all of their needs. Companies such as Godrej and DCM Shriram
Consolidated are launching `one-stop shops' for farmers and their communities. Godrej
Agrovet, for instance, is planning to set up 1,000 Aadhar stores across rural India by
2010. DCM Shriram plans to set up 35 rural/semi-urban utility marts over 2006-07.
Positioned as a one-stop shop, the Hariyali Kisaan Bazaar Chain will cater to a variety of
farmers' needs by providing access to retail banking, LPG outlets and even a motorcycle
showroom.
Marketers are trying to grab this untapped market but still the reach of those players is
mere they should more focused and rural oriented. There are some points which they
should undertaken

The retailer approach should be more professional like in urban

The retailers should try for up selling and cross selling rather to focus on the bulk
selling

The promotion strategy should be local and easy to grab able for the target
audience

The quarries and questions should be addressed by retailer

The awareness about product quality should be spread between customer so they
can shift to these stores rather to traditional stores

Stores should enhance their portfolio so that more and more customers can find
their needs.

CONSUMER SHOPPING BEHAVIOR IN MALLS WITH LARGE SCALE

ENTERTAINMENT CENTERS.
:- The concept of 'entertainment' is hard to define in the context of a shopping center. It
could be viewed in a very narrow sense as consisting of just fides, games, and shows, or
in a broad sense as a combination of the entire shopping experience. The present study,
however, focuses specifically on common area entertainment centers within malls,
operationally defined as a concentrated, centralized, entertainment area of at least 30,000
square feet and containing a variety of entertainment opportunities, including various
types of rides for children, carrousels, miniature golf courses, soft play structures,
simulator rides, etc. Although malls have traditionally offered several different types of
entertainment options, it is this category that has seen the most growth in recent years.
Most previous academic research studies have treated such entertainment centers as just
one additional characteristic of a shopping center which could be included
in retail gravitational models to predict consumer patronage of shopping centers or the
market potential of a particular location. Such gravitation models have traditionally
included factors such as distance and travel time, size of a shopping area, characteristics
of the shopping center, consumer characteristics, and the cost of shopping to consumers
(Craig, Ghosh, & McLafferty, 1984). In terms of shopping center patronage, Bellenger et
al. (1977) found that some consumers placed the greatest value on convenience and
economic attributes including convenience to home, accessibility, and the presence of
services such as banks and restaurants. Others, however emphasized recreational
attributes including atmosphere, fashionability, variety of stores and merchandise. More
recent studies have supported these results on the importance of recreational attributes
including atmospherics (Donovan & Rossiter, 1982); pleasurable shopping experiences

(Dawson, Bloch, & Ridway, 1990); and the social aspects of mall shopping (Feinberg,
Sheffler, Meoli, & Rummel, 1989; Jarboe & McDaniel, 1987).
However, as mentioned earlier, there has been very little academic research on megamalls and the effects of entertainment centers in such malls on consumer behavior. Most
of the research conducted on this relatively recent phenomenon has been done by either
mall developers in specific malls (e.g., Stiller & Smith, 1992) or by private research
agencies which provide a fee-based information service (e.g., U.L.I. Publications). These
studies have primarily focused upon defining the trading area of the mall, the consumer
characteristics, and the extent of patronage at various stores and entertainment centers.
Testimonials to the effectiveness of the entertainment centers seem to be based not so
much on this research as on the gut instinct of developers and the success of most of the
mega-malls. For example, John Denlinger, the vice president of operations for Time-Out
Amusements Inc., an operator of entertainment centers, says that such entertainment
centers "are helping attract people from farther away, encouraging them to bring the
whole family to the mall, and getting them to shop more once they are there". James
Ginsberg, vice-president of Recreational Concepts Inc., also an operator of such
entertainment centers has similar views, "if malls get people into their centers, they will
stay longer. This is especially true in the case of people coming from longer distances,
who to justify the time spent getting there, are more likely to spend more money because
they are there" (Bivins 1989, p.23). None of these statements, however, are supported by
any published research findings.
The present study seeks to provide this support by investigating the effects of the
entertainment centers on the shopping behavior of consumers. In particular, the
characteristics and shopping behavior of consumers who visit the entertainment centers is
investigated and compared to the characteristics and shopping behavior of consumers
who do not. Factors investigated include the distance traveled to reach the mall,
demographic characteristics and group composition, the amount of time and money spent
at the mall stores, the department stores, and the food court.

Chapter: 2
RESEARCH OBJECTIVE AND METHODLOGY

*Research objective of the study

The present study can be accomplished by conducting a market research. Market research
is the systematic design, collection, analysis and reporting of data and findings that are
relevant to different marketing situations facing the company.

*Research methodology
A) Defining the research objective:
The objective of the research is to know about the Customer Behavior on retail stores.

1. To study the view of consumer.

2. To assess the effectiveness of selling programmers.
3. Are they satisfied with the price and quality of the product.
4. Increase in the sales.
5. To check the loyalty of consumers towards the brand.
B) Developing the research plan:
The next step is to prepare a plan for getting the information needed for the research.
C) Collection and sources of data:
A survey of Customers located in Delhi area was done. We asked them to questions
related to our project.
D) Analyze the collected information
This involves converting raw data into useful information. It involves tabulation of data
and using Microsoft Excel software for developing graphs and charts to retrieve useful
information from the data collected.

E) Report research findings:

This phase marked the culmination of the marketing research effort. The report with the
research finding is a formal written document. The research findings and personal
experience will be used to propose by conveying the view of the Customers. The
methodology used for the study was very rigorous. Interviews with customers were held
and various books and websites were checked for any type of information related to the
study.

*Scope of the study:

The scope of the study is related to the retail outlet.

Respondents are consumer of Big Bazaar, Reliance Fresh, Department Stores only for the
purpose of study.

*RESEARCH PROCESS-:
Setting of Objective

Setting the area under the study

Design the method of data

Defining the sample size

Collection of data

Interpretation and analysis of

collection data

*DATA COLLECTION
SOURCES OF DATA COLLECTION:
PRIMARY DATA The primary data are those, which are collected for the first
time hence they are fresh and thus happens to be original in character. Primary data
pertain to demographic and socioeconomic characteristics of the consumer, attitudes
and opinion of the respondent, their awareness and knowledge and other similar
Deduction and conclusion
aspects.
SOURCES OF PRIMARY DATA COLLECTION

Observation

 Interviews
Opinions
The primary data for the present research work was obtained through the observation
SECONDARY DATA - It includes those data, which were collected for some earlier
research work and are applicable in the study the researcher has presently undertaken.
The data collected from the websites and books was good enough to be included in
the study analyzed and concluded.
SOURCES OF SECONDARY DATA COLLECTION

Internet.

Company Website.

Other Websites

Books

Journals

Newspaper

*SAMPLING DESIGN
(a) POPULATION:
In sampling, this includes defining the population from which our sample is drawn. A
population can be defined as including all people or items with the characteristic one
wishes to understand. Because there is very rarely enough time or money to gather
information from everyone or everything in a population, the goal becomes finding a
representative sample (or subset) of that population.
Sometimes that which defines a population is obvious. For example, a manufacturer
needs to decide whether a batch of material from production is of high enough quality to
be released to the customer, or should be sentenced for scrap or rework due to poor
quality. In this case, the batch is the population.
(b) SAMPLE SIZE:

Sample size determination is the act of choosing the number of observations or

replicates to include in a statistical sample. The sample size is an important feature of any
empirical study in which the goal is to make inferences about a population from a sample.
In practice, the sample size used in a study is determined based on the expense of data
collection, and the need to have sufficient statistical power. In complicated studies there
may be several different sample sizes involved in the study: for example, in as survey
sampling involving stratified sampling there would be different sample sizes for each
population. In a census, data are collected on the entire population, hence the sample size
is equal to the population size. In experimental design, where a study may be divided into
different treatment groups, there may be different sample sizes for each group.
(c) SAMPLING UNIT:
A unit in a statistical analysis refers to one member of a set of entities being studied. It is
the material source for the mathematical abstraction of a "random variable". Common
examples of a unit would be a single person, animal, plant, or manufactured item that
belongs to a larger collection of such entities being studied.
Units are often referred to as being either experimental units, sampling units or, more
generally, units of observation:
(d) SAMPLING TECHNIQUE:
There are three types of sampling:
1. Probability sampling: it is the one in which each sample has the same probability of
being chosen.
2. Purposive sampling: it is the one in which the person who is selecting the sample is
who tries to make the sample representative, depending on his opinion or purpose, thus
being the representation subjective.
3. No-rule sampling: we take a sample without any rule, being the sample representative
if the population is homogeneous and we have no selection bias. We will always make
probability sampling, because in case we choose the appropriate technique, it assures us
that the sample is representative and we can estimate the errors for the sampling. There
are different types of probability sampling:

 Random sampling with and without replacement.

Stratified sampling.
Cluster sampling.
Systematic sampling.
Other types of sampling techniques.

SAMPLING METHOD:
Random Sampling method is used for the collection of data.
The sample size of the study is of 50
SAMPLING INSTRUMENTS:

NO OF QUESTIONES:

DATA ANALYSIS:

Tables and Pie Diagrams are used for representing the data.

RESEARCH METHODOLOY
Marketing research is the systematic objective and exhaustive search for and
study of the forth relevant to any problem in the field of marketing a systematic approach
is needed to solve the marketing problem. The approach is needed to solve the marketing
problem. The approach is planed and should be analytical and objective which include
the following steps.

Topic of Study:
Customer Behavior towards retail stores:
The Study is a sample survey. It consists of small size to facilitate the study as also it is a
pilot survey. It consists of small size of facilitate the study as also it is a pilot research
here the main emphasis is on view towards retail stores product. Customer satisfaction is
the one most important things in marketing.

DATA ANALYSIS & INTERPRETATION:

All the collected data was analyzed and interpreted to get the conclusion. The
objective of analysis is to an organized integrated and meaning feel whole.

Report formation :
It was the final stage of project formation. The collected data, which was analyzed,
and interpretation was systematically arranged and henceforth printed in the form of a
report is clear and understandable format.

CHAPTER 3
DATA ANALYSIS & INTERPRETATION

Data is the very important aspect of a research report because the data is the only thing
from which the analysis and findings could be made; this is the reason why the data is
being collected for the purpose of the research study. The study can be made easier
through the collection of data and while collecting it the data can be reformed and
furnished like this so that meaningful information can be withdrawn from it.
The question are framed as according to the respondents, the information gathered
from the questionnaire is being used in the forms of pictorial representation and in tabular
form thus the data representation is done in the form of pie chart, and graphs.
INTERPRETATION:Mostly housewives prefer retail outlets for shopping because they found lots of variety of
the product under one roof. The income of a person influences mostly the pattern of the
shopping. People get information about the product, scheme through print media or
through advertisement. Mostly people purchase the items in monthly shopping. People
mostly prefer to purchase grocery product, cloths, and electronic items from these outlets.
83% of people are aware about the product.
appropriate as compare to the local Market.

Price of product in Retail outlet is

a> Occupation of the target group :

b> Income group of the people.

c>How did people know about the products?

d> Frequency of visit to Retail outlet?

e> Purchase something every time?

f>Do you know about various product of Retail outlets?

g> which product you like to buy most from retail outlets?

h> why do you prefer retail outlets for shopping?

i> from which retail outlet you prefer to Purchase mostly?

j>Are price of product in Retail outlet are appropriate as compare to the

local Market?

FINDINGS

Findings:- The following information can be withdrawn from the data collected which
has been shown above in the form of table and pie charts.
(1) The study finds that service & cost benefit plays a very important role in the
retail outlets.

(2) People specially housewives used to purchase household items in retail outlets
like big bazaar and reliance fresh.
(3) Discounts and promotional schemes plays a very important role in attracting the
crowed to the malls.
(4) Vishal Mega Mart losing its identity in the market because of poor range of
(5)
(6)
(7)
(8)

products and due to the arrival of the various superior competitors.

Every Big Bazaar outlets have motivated and trained sales force.
All the store are in prime location.
Customer are satisfied with the provided services.
International shopping experience can be achieved from these stores.

LIMITATION

Limitation
1. The certain no of people had been contacted for data collection so it cannot be
2.
3.
4.
5.

treated for the whole population.

The respondents can be biased.
Time was the major constraint.
To gather the data from the various sources is difficult task.
Respondent may not take interest in the study.

Complaints: 1. Low variety of product available and customization of products is not there.
2. Air conditioners are not properly working.
3. Prices are not mentioned at all places and at all products.
4. Prices are not competitive as they are assumed to be higher when consumers are
visiting other retail outlets.
5. Grocery items are not sufficient and they are not at all available at many stores.
6. Clothing items of women are priced unreasonably
7. Lack of space in the store while shopping and moving within a store.

CONCLUSION

While analyzing the various aspects of the retail outlet it could be concluded that the
retail outlet is getting a greater amount of success which is unique in its kind. Still some
of the formats and procedure are yet to be improved and rethink due to which the
organization could improve the performance of its services in delhi city, its utmost
impossible for a pure service based organization like banks to launch a service on a very
greater aspect and Particularly talking about the retail outlet in delhi city is one of the
major preference of youngsters and modern people they are having almost craze about a

facility through which retail outlet could be managed and accessed through various
services.

APPENDIX
Questionnaire

Customer Buying Behavior at Retail Outlets

Name :

Address: ..

Age :

Tel. No.:

Sex..

Q. 1 WHAT IS YOUR OCCUPATION?

a) Businessman (firm/ company)
b) Govt. employee
c )Self employed
d) housewife
e) Any other, if yes, please specify ________________________

Q. 2 INCOME GROUP
a)

Less than Rs. 10,000 P.m.

b)

More than Rs. 10,000 & less than Rs. 15,000 P.M.

c)

More than Rs. 15,000 & less than Rs. 20,000 P.M.

d)

More than Rs. 20,000 P.M.

Q.3 How did you know about the products?

a) Print Media

b) Exhibition of Fair

c) Dealers & Suppliers

d) Advertisement

Q. 4 what is Your Frequency of visit to Retail outlet?

a) 2-3 time in a week
c) Monthly

b) Weekly
d) After 2-3 Month

Q. 5 Do you Purchase something every time?

a) Yes

b) No

Q. 6 Do you know about various product of Retail outlets?

a) Yes

b) No

Q. 7 which product you like to buy most from retail outlets?

a) Cloths

B) Grossly product

C) Electronic Product

D) Sports & Toys

e) Footwear and Other

Q. 8 why do you prefer retail outlets for shopping?
a) Good Services
b) Cost efficient
c) Availability of every product under a roof
d) fresh stock
Q. 9 from which retail outlet you prefer to Purchase mostly?
a) Reliance fresh

b) Big bazaar

c) Big apple

d) LM365

Q. 10 what do you think about the services given by the employee?

a) Better

b) Good

c) Average

d) Not Satisfactory

Q. 11 Do the Retail outlet give various offer time to time? If yes/ then Which type offer
you prefer to purchase from those outlet? (Yes/No)
a) Off on Print Price
b) Buy one get one free
c) Lottery Coupon offers
d) Others
Q.12 At the time of purchase if any product is not available you woulda) Wait for it
b) Go for another branch of Spencer
c) Purchase from other retail mall
d) Go at local Market
Q.13 Are price of product in Retail outlet are appropriate as compare to the local Market?
a) Yes

b) No

Q. 14 what do want to say about the Billing Process of Retail outlet?

a) Attractive

b) Good

c) Average

d) Needs Improvement

Q. 15 your suggestion