Documente Academic
Documente Profesional
Documente Cultură
Dr. G. Kannan,
Assistant Professor, School of Management,
SRM University,
Ramapuram, Chennai - 89.
E-Mail: govardhanan_kannan@rediffmail.com
Dr. J. Vijayadurai
Associate Professor, Department of Business Administration,
Madurai Kamaraj University,
Palkalai Nagar, Madurai – 21.
E-Mail: vijayathurai@yahoo.co.in
Abstract
Retailing consists of those business activities involved in the sale of goods and services to
consumers for their personal, family, or household use. Indian retail industry is the largest
industry in India, with an employment of around 8% and contributing to over 10% of the
country's GDP. The study starts with reviewing the earlier works in this area and the objectives
of the study. The research methodology used is then delineated. The study is being conducted for
the Big Bazaar store in Express Avenue based in Chennai city, to find out the customer
preferences in choosing Big Bazaar. The sample size taken for the study at Big Bazaar is 80. The
data is gathered by distributing a questionnaire to the customers who visit big bazaar and
through personal interview. The data collected from the customers are copied to the worksheet
in the form of tally bars and analyzed using statistical tools. Inferences were drawn on a
marketing concept and conversation. Based on the marketing concepts, findings of the research
were driven and recommendations are made.
Key Words: Retail Marketing, Preferences, Promotional Offers, Big Bazaar, Marketing
Introduction:
Organized retail is gaining tremendous importance in the recent times. On the other
hand, the retail industry is also facing severe competition and those who are able to retain
their customers are the ones that are able to succeed in the market place. The retail firms
are spending a lot of their marketing resources to keep existing customers rather than to
attract new ones. Customer satisfaction plays a key role in customer retention and also is a
major differentiating factor among retail stores. Delivering satisfaction to the consumers
has become one of the major drivers of profitability. In this scenario, the firms have to
work on what attracts consumers and what will make them not to shift their choice towards
competitors. Working out strategies in this direction requires a thorough understanding of
the preferences of the consumers on the attributes that are considered of much significance.
Indian retail industry is the largest industry in India, with an employment of
around 8% and contributing to over 10% of the country's GDP. Retail industry in India is
expected to rise 25% yearly being driven by strong income growth, changing lifestyles,
and favorable demographic patterns.
It is expected that by 2016 modern retail industry in India will be worth US$ 175-
200 billion. India retail industry is one of the fastest growing industries with revenue
expected in 2007 to amount US$ 320 billion and is increasing at a rate of 5% yearly. A
further increase of 7-8% is expected in the industry of retail in India by growth in
Consumerism in urban areas, rising incomes, and a steep rise in rural consumption. It has
further been predicted that the retailing industry in India will amount to US$ 21.5 billion
by 2010 from the current size of US$ 7.5 billion.
Shopping in India has witnessed a revolution with the change in the consumer
buying behaviour and the whole format of shopping also altering. Industry of retail in
India which has become modern can be seen from the fact that there are multi-
stored malls, huge shopping centers, and sprawling complexes which offer food,
shopping, and entertainment to all customers. In the Indian retailing industry, food is the
most dominating sector and is growing at a rate of 9% annually. The branded food industry
is trying to enter the India retail Industry and convert Indian consumers to branded food.
Since at present 60% of the Indian grocery basket consists of non-branded items.
Indian retail industry is progressing well and for this to continue, retailers as
well as the Indian government will have to make a combined effort. Indian retailing
industry has seen phenomenal growth in the last five years. Organized retailing has
finally emerged from the shadows of unorganized retailing and is contributing
significantly to the growth of Indian retail sector. The “India Retail Sector Analysis
report helps clients to analyze opportunities and factors critical to the success of retail
industry in India. Indian retail industry is going through a transition phase. Most of the
retailing in our country is still in the unorganized sector. The spread out of the retails in
US and India shows a wide gap between the two countries. Though retailing in India is
undergoing an exponential growth, the road ahead is full of challenges the untapped scope
of retailing has attracted superstars like WAL-MART into India, leaving behind the
kiranas that served us for years. Such companies are basically IT based. The other
important participants in the Indian retail sector are BATA, BIG BAZAAR, CAFÉ
COFFE DAY, KHADIM’S, CROSSWORD, MORE, STARBAZAAR, RELIANCE
FRESH, SPENCER, GOPALAN MALL to name a few.
This study focuses on analyzing the consumers’ preferences of the specific
attributes of retail store. The study starts with reviewing the earlier works in this area,
the objectives of the study and the research methodology used is then delineated. The
study is being conducted for the Big Bazaar store in Express Avenue based in Chennai
city, to find out the customer preferences in choosing Big Bazaar. It is required to find
out the preferences based on certain aspects (price, Income, levels selection of products
satisfaction level of customers).
another more attractive site in their path. In contrast, searchers are goal-oriented, looking for
specific information, and are likely to spend more time at their preferred sites.
Changchit & Vokurka, (2003) in their study on understanding customer satisfaction
factors can increase the probability of attracting new customers and/or retaining existing
customers. A study reported that customers expressed that "customer service" was a key factor in
their decision to shop at a store or revisit the website.
Problem Definition:
The study is being conducted for the Big Bazaar store in Express Avenue based
in Chennai city, to find out the customer preferences in choosing Big Bazaar. It is
required to find out the preferences based on certain aspects (price, Income, levels
selection of products satisfaction level of customers).
Research Design:
This research is completely based on the description of the factors that lead to
the customer decision-making process. It is basically valued on the various parameters
which include personal details of customers, their income–level, and satisfaction level.
Here, the need is to find which factors that describe the customer decision making process
effectively.
Sample Design: To obtain the representative sample, a non-probability sample can be
drawn. In this study the method of selecting samples is random. The sample size taken for
the study at big bazaar is 80. To obtain the representative sample, a non-probability
sample can be drawn. In this study, the method of selecting samples is random.
Sources of data collection: The sources of data include both primary and secondary data.
Primary data is collected by distributing a questionnaire to the customers who visit big
bazaar and through personal interview. Secondary data includes books, journals,
magazines, newsletters of the big bazaar, and internet.
Tools for Analysis & Techniques: The data collected from the respondents are
transcript to the worksheet in the form of tally bars and analyzed by statistical tools by
drawing tables and graphs, inferences were drawn on a marketing concept and
conversation. Based on the marketing concepts findings of the research were driven and
recommendations are made.
Limitations of the Study: It is not possible for any market study to make it accurate due
to many hurdles in the collection and computation of data. Findings of the study are based
on the assumption that respondents have disclosed in the questionnaire. Time was a major
constraint. The sample was limited to only customers who have made a purchase at big
bazaar.
of the respondent fall under the income group between Rs.35,000 – Rs. 45,000, Rs. 15
percentages of the customers fall under the income group between Rs. 25,000 - 35,000, 12.5
percentages of respondent fall under income group of Rs. 20000 - 40000 and Rs. 45,000 and
above.
The above table shows that 58.75 percentages of the customers visit o n c e i n a
m o n t h , 20 percentages of the customers visit o n c e i n a w e e k , 18.75 percentages of the
customers visit on c e 1 5 d a ys , 2.5 percentages of the customers visit once in 2-3 months.
Table 3: Product Frequently Purchased at Big-Bazaar
Products No. of Respondents Percentage
Electronics 12 15
Home-Items 9 11.25
Accessories 3 3.75
Clothes 30 37.5
Foodbazaar 26 36.5
Total 80 100
Source: Primary data
Above table shows that 37.5 p e r c e n t a ge s of the customers are purchasing Clothes at
fashion bazaar, 32.5 percentages of the customers purchased food bazaar items, 15
percentages of the customers purchased electronic teems. 11.25 percentages of the customers
purchased home products. 3.75 percentages of the customers are purchased accessories.
Above table shows that 72.5 percentages of the customers can freely moving around
in store for products, 16.25 percentages of customers cann ot freely moving around in store
for products,, 7.5 percentages of the customers can get small space in store for moving around
for products, 3.75 percentages respondents can get congested space in store for moving around
for products.
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Source: Primary data
Above table shows that we conclude that the 47.5 percentages of the customers are
getting fast customer-service from customer service department, 35 percentages of the
customers are getting slow-service from customer service department, 11.25 percentages of the
customers are getting not-sufficient service from customer service department, and 6.25
percentages of the customers are getting not-good service from customer service department.
Table 12: Respondents Awareness Regarding Various Offers and Special Discounts
Offers and Special Discounts Respondents Percentage
Buy one get one free 30 37.5
50%, 40%, 60%, etc. 20 25
Buy one get two 10 12.5
The above table says that 37.5 percentages of customers were aware buy one get one
offer, 25 percentages of customers were aware 50%, 40%, 60% offer, 12.55 percentages of
customers were aware buy one get two offers and 10 percentages of customers were aware get
two900 (example) offer 7.5 percentages of customers were aware of buy one get second one 60
percentages of customers on price and other offers and discounts.
Yes 69 86.25
No 11 13.75
Total 80 100
Above table shows that 63 percentages of the customers are not buy the products for first-
time visiting the store, 22.5 percentages of the customers are buying the products just by visiting
first-time the store, 11.25 percentages customers are not buying the products just buy visiting
first time the store and 1.25 percentages of customers are buying the products by more than
visiting two-times.
91.25 percentages of the customers are respond Big-Bazaar maintain good quality,
quantity compare to other retail-store, 8.75 percentages of the customers are respond Big-Bazaar
maintain normal product quality, quantity compare to other retail stores and none of the
customers can’t respond for Big Bazaar maintaining poor and not good product quality, quantity
compare to other retail store.
Findings:
63.75 percentages of the customers are male and 36.25 percentages of the respondent are
female. 35 percentages of the respondents fall under the age group of below 25, 30 percentages
respondent fall under age group of 25-35, 27.5 percentages of the respondent fall under the
age group of 25-35 years of age, 7.5 percentages of the respondent are 45 years or above
years of age group. 65 percent ages of the respondents are married and 35 percentages of
the respondents are single. 60 percentages of the respondent fall under the income group between
Rs.35,000 – Rs. 45,000, Rs. 15 percentages of the customers fall under the income group
between Rs. 25,000 - 35,000, 12.5 percentages of respondent fall under income group of Rs.
20000 - 40000 and Rs. 45,000 and above. 58.75 percentages of the customers visit o n c e i n
a m o n t h , 20 percentages of the customers visit o n c e i n a w e e k , 18.75 percentages of the
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Vol 6 Issue 1, April 2016
customers visit o n ce 1 5 da ys , 2.5 percentages of the customers visit once in 2-3 months.
37.5 p e r c e n t a ge s of the customers are purchasing Clothes at fashion bazaar, 32.5
percentages of the customers purchased food bazaar items, 15 percentages of the
customers purchased electronic teems. 11.25 percentages of the customers purchased home
products. 3.75 percentages of the customers are purchased accessories. 60 percentages of the
customers are buy products by source of news-papers, 25 percentages of the customers are buy
products by source (influence by) of friends & family & others, 12.5 percentages of the customers
are buy source of Television and 2.5 percentages of the customers are buy products by source of
F.M. Radio source about Big-Bazaar. 40 percentages of consumers approach Big bazaar for
better-quality of product, 37.55 percentages of consumers approach Big bazaar due to low-price,
12.5 percentages of consumers purchases from Big bazaar for variety of products, 8 percentages
of consumers purchases from Big bazaar for availability of various brands. 68.75 percentages
customers are getting more products in one category. 17.5 percentages of the customers are not
getting too many company products in one category and 13.75 percentages of customers are not
getting more products in one category and none of the customers can’t respond for none
categories of products available in one product category. 72.5 percentages of the customers can
freely moving around in store for products, 16.25 percentages of customers cann ot freely
moving around in store for products,, 7.5 percentages of the customers can get small space
in store for moving around for products, 3.75 percentages respondents can get congested space
in store for moving around for products. 47.5 percentages of the customers getting effective
interaction by store representatives, 37.5 percentages of the customers can’t get effective
interaction by store representatives, 12.5 percentages of the customers can’t get good interaction
by store representative, 2.5 percentages of the customers cannot get interaction by store
representative while selecting product. 53.75 percentages of the customers are getting clear
announcement from store about store discounts, prices. 32.5 percentages of the customers are not
getting clear announcement from store about store discounts, prices 13.75 percentages customers
are not getting any announcement from store about store discounts prices. 47.5 percentages of
the customers are getting fast customer-service from customer service department, 35
percentages of the customers are getting slow-service from customer service department, 11.25
percentages of the customers are getting not-sufficient service from customer service
department, and 6.25 percentages of the customers are getting not-good service from customer
service department. 86.25 percentages of the customers respond store offering special discount
prices and 13.75 percentages of the customers respond store did not offer special discount
prices. 37.5 percentages of customers were aware buy one get one offer, 25 percentages of
customers were aware 50%, 40%, 60% 0ffer, 12.55 percentages of customers were aware buy
one get two offers and 10 percentages of customers were aware get two900 (example) offer
7.5% customers were aware of buy one get second one 60% on price and other offers and
discounts. 61.25 percentages of the customers want food & gaming section at store and 38.7
percentages of the customers don’t want food gaming section at Big-Bazaar. 91.25 percentages
of the customers are went to retail stores for buying interest, 8.75 percentages of the customers
are gone to retail store for product interest and none of the customers are not gone to retail stores
for information-seeking and general interest. 63 percentages of the customers are not buy the
products for first-time visiting the store, 22.5 percentages of the customers are buying the
products just by visiting first-time the store, 11.25 percentages customers are not buying the
products just buy visiting first time the store and 1.25 percentages of customers are buying the
products by more than visiting two-times. 37.5 percentages of the customers intention is to re-
enter into the store is product quality & availability, 25 percentages customers intention is to re-
enter into stores is low prices, 22.5 percentages customers intention is to re-enter in to store is
seasonal offers & discounts, 11.25 percentages of the customers intention is to re-enter into the
store is customer service, and 3.75 percentages of the customers intention is to re-enter into the
store is Ambiance. 91.25 percentages of the customers are respond Big-Bazaar maintain good
quality, quantity compare to other retail-store, 8.75 percentages of the customers are respond
Big-Bazaar maintain normal product quality, quantity compare to other retail stores and none of
the customers can’t respond for Big Bazaar maintaining poor and not good product quality,
quantity compare to other retail store. 78.75 percentages of the customers are respond they can
feel Very-Satisfied after shopping at Big Bazaar. 21.25 percentages of the customers are respond
they can feel satisfied after shopping at Big Bazaar and none of the customers can’t respond they
can feel not-satisfied after shopping at Big-Bazaar.
Suggestions
To attract more customers, big bazaar needs to offer more brands of products.
Advertising through television and F.M radio needs to be improved. Sign boards which show
restrooms and trail rooms should be visible to the customers, and also trial rooms are to be
increased. Increase the customer billing section transactions in store (for fast transactions).
Increase the food court and game’s section at big bazaar to increase the customer shopping
duration. Big bazaar can improve their customer satisfaction level, by providing better service
like home delivery etc.
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