SUMMER TRAINING REPORT ON

IMPACT OF PROMOTIONAL EVENTS & ACTIVITIES ON SALES & FOOTFALLS FOR

GURGAON CENTRAL
BY VIBHA SHARMA 118
In Partial Fulfillment for the award of the degree Post Graduate Diploma In Management 2010-12

New Delhi Institute of Management

50 (B&C), 60, Tughlakabad Institutional Area, New Delhi-110062 E-mail: [email protected] Website: www.ndimdelhi.org

SUMMER TRAINING REPORT ON

IMPACT OF PROMOTIONAL EVENTS & ACTIVITIES ON SALES & FOOTFALLS

For

Gurgaon Central
Under the supervision Of

Mr. Biswajeet Das

Submitted ByVibha Sharma Roll No. 118 Submitted toMs. Anita Saxena Asst. Professor

ACKNOWLEDGEMENT

Success is an endeavor, calls for the cooperation and guidance from the faculty, seniors and colleagues. I hereby acknowledge that I have completed the Summer Internship Project from Gurgaon Central mall on Impact of promotional events and activities on sales and footfalls under the guidance of Prof. Anita Saxena. I extend my gratitude towards her for continuously giving full co-operation and suggestion for the betterment of the project as well as helping me to solve the difficulties I had during the course of internship. I would like to thank Mr C.V Rao, Mall Manager, Gurgaon Central. I feel obliged since he gave me the opportunity to peep into the Retail Industry and develop a good learning. I would also like to express my deepest gratitude to my Industry Mentor Mr. Biswajeet Das, Marketing Manager, Gurgaon Central, for providing me with the information and co-operation to carry out the project. I would further like to extend my sincere thanks to Mr. Pankaj Chandan, HR Manager, Gurgaon Central, for his encouragement and moral support. I would also like to thank the employees of Central Mall and to all my friends for their support and helping hands.

DECLARATION

I Vibha Sharma student of New Delhi Institute of Management, New Delhi, of batch 2010-12 declare that every part of the Project Report Impact of promotional events and activities on sales and footfall that I have submitted is original. I was in regular contact with the nominated guide and contacted several times for discussing the project.

Date of project submission:_________________

(Vibha Sharma)
Facultys Comments: __________________________________________________________________________________ __________________________________________________________________________________ __________________________________________________________________________________

Ms. Anita Saxena

TABLE OF CONTENTS
1. Executive Summary-----------------------------------------------------------------06 2. Company Background--------------------------------------------------------------07 2.1. Future group---------------------------------------------------------------------07 2.2. Board of Directors--------------------------------------------------------------08 2.3. Corporate Statements-----------------------------------------------------------10 2.4. Future Group Timelines--------------------------------------------------------12 2.5. Joint Venture Partnership-----------------------------------------------------14 2.6. Pantaloon Retail (India) Limited---------------------------------------------16 2.7. Central- Seamless Mall---------------------------------------------------------18 2.7.1.1. Marketing Mix----------------------------------------------------19 2.7.1.2. The Central Services---------------------------------------------23 3. Overview of Industry----------------------------------------------------------------24 3.1. Retailing--------------------------------------------------------------------------24 3.2. Indian Retail Industry----------------------------------------------------------25 3.3. Top Retail Companies in India----------------------------------------------31 3.4. Conclusion on Retail Industry in India------------------------------------34 4. The Project---------------------------------------------------------------------------38 4.1. Great India Shopping Festival-----------------------------------------------38 4.2. Shop More Get More-----------------------------------------------------------41 4.3. Do Denim Promotion-----------------------------------------------------------43 4.4. Research on Consumer Behavior--------------------------------------------47 4.5. Do Denim Survey Analysis---------------------------------------------------48 5. Major Learning----------------------------------------------------------------------54 6. Constrain Faced----------------------------------------------------------------------56 7. Recommendation--------------------------------------------------------------------57 8. Conclusion---------------------------------------------------------------------------59 9. Annexure-----------------------------------------------------------------------------60 9.1. Research Quesionnaire-1------------------------------------------------------60 9.2. Research Quesionnaire-2------------------------------------------------------62 10. References -----------------------------------------------------------------------63

EXECUTIVE SUMMARY
Retail industry is a growing sector in the Indian Economy. This truth has very wisely been implemented by the Indian Retailers. Future Group is one of the major players in this retail sector. Therefore, to identify the people requirement at the right time, at the right place is one of the competitive advantages for a retail industry. This project is on Impact of promotional events and activities on sales and footfalls. The study was done on a Future Group mall, Gurgaon Central, which is a subdivision of Pantaloon Retail India Ltd. Every weekend some new activities and events takes place in the mall in order to attract the customer and to increase the sales and thereby the footfalls. These events, promotional offers make this mall different from other malls surrounding that area. It also provide the customer a true experience of shop, eat and celebrate along with some value added touch points like Flower central, Radio Central, DJ Central, Beauty Central, Wi-Fi Central and Gift Central. Customers really get the newest experience once they get into the mall. The project deals with the marketing activities and promotional offers during that period which include The Great Indian Shopping Festival, Shop More Get More, which intended to increase the sale and the footfall. It also includes the analysis of the above mentioned offers and the other events like Do Denim etc. on the overall sales. The data for studying the Consumer Behavior in relation to the malls was collected through the Questionnaire filled by people visiting malls and vice versa. This helped me to identify the viable areas of improvement within the mall than its competitors are, be it any other mall like Shoppers Stop or Lifestyle, any Supermarket or any place to stroll.

COMPANY BACKGROUND

Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is one of Indias leading business houses with multiple businesses spanning across the consumption space. While retail forms the core business activity of Future Group, group subsidiaries are present in consumer finance, capital, insurance, leisure and entertainment, brand development, retail real estate development, retail media and logistics. Led by its flagship enterprise, Pantaloon Retail, the group operates over 16 million square feet of retail space in 73 cities and towns and 65 rural locations across India. Headquartered in Mumbai (Bombay), Pantaloon Retail employs around 30,000 people and is listed on the Indian stock exchanges. The company follows a multi-format retail strategy that captures almost the entire consumption basket of Indian customers. In the lifestyle segment, the group operates Pantaloons, a fashion retail chain and Central, a chain of seamless malls. In the value segment, its marquee brand, Big Bazaar is a hypermarket format that combines the look, touch and feel of Indian bazaars with the choice and convenience of modern retail. The groups specialty retail formats include supermarket chain - Food Bazaar, sportswear retailer - Planet Sports, electronics retailer - eZone, home improvement chain -Home Town and rural retail chain - Aadhaar, among others. It also operates popular shopping portal - www.futurebazaar.com. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas, as espoused in the groups core value of Indianness. The groups corporate credo is, Rewrite rules, Retain values.

Board Of Directors

Mr. Kishore Biyani, Managing Director Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited and the Group Chief Executive Officer of Future Group. To know more, Mr. Gopikishan Biyani, Director Gopikishan Biyani, is a commerce graduate and has more than twenty years of experience in the textile business. Mr. Rakesh Biyani, Whole time Director Rakesh Biyani, is a commerce graduate and has been actively involved in category management; retail stores operations, IT and exports. He has been instrumental in the implementation of the various new retail formats. Mr. Vijay Biyani, Whole time Director Vijay Biyani has more than twenty years of experience in manufacturing, textiles and retail industry and has been actively involved in the financial, audit and corporate governance related issues within the company. Mr. Kailash Bhatia, Whole time Director He has over 28 years of valuable experience in the fashion business and has worked with some of the well known companies like Arvind Mills and Weekender. Mr. Vijay Kumar Chopra, Independent Director V.K.Chopra is a fellow member of The Institute of Chartered Accountants of India (ICAI) by profession and is a Certified Associate of Indian Institute of Bankers (CAIIB). His banking career spans over 31 years and he has served senior management positions in Central Bank of India, Oriental Bank of Commerce, SIDBI, Corporation Bank and SEBI.

Mr. Shailesh Haribhakti, Independent Director Shri Shailesh Haribhakti, is a Chartered Accountant, Cost Accountant, and a Certified Internal Auditor. He is the Deputy Managing Partner of Haribhakti & Co., Chartered Accountants and past president of Indian merchant Chambers. He is on the Board of several Public Limited Companies, including Indian Petrochemicals Corporation Ltd., Ambuja Cement Eastern Ltd. etc. He is on the Board of Company since June 1, 1999. Mr. S Doreswamy, Independent Director S. Doreswamy, is a former Chairman and Managing Director of Central Bank of India and serves on the board of DSP Merrill Lynch Trustee Co and Ceat Limited among others. Dr. D O Koshy, Independent Director Dr. Darlie Koshy, a PhD from IIT Delhi and rank holder in MBA headed NID (Ministry of Commerce, GOI) as Director for 2 terms of office prior to which he was the founding Chairperson of Fashion Management at the National Institute of Fashion Technology (Ministry of Textiles, GOI). He is currently the Director General & CEO of ATDC Network of 58 Institutes / Centres and two premier campuses of Institute of Apparel Management under the aegis of AEPC (Sponsored by Ministry of Textiles, GOI). Dr. Koshy received the Delhi IIT Alumni Award for contribution of National Development in 2008. Dr. Darlie Koshy was also conferred with the Star of Italian Solidarity one of the highest civilian awards of the Government of Italy. Dr. Koshy is the author of three pioneering books including the much acclaimed Indian Design Edge. Ms. Bala Deshpande, Independent Director Bala Deshpande, is Independent Director, Pantaloon Retail (India) Ltd. and also serves on the boards of Deccan Aviation, Nagarjuna Construction, Welspun India and Indus League Clothing Ltd, among others. Mr. Anil Harish, Independent Director Anil Harish is the partner of DM Harish & Co. Associates & Solicitors and an LLM from University of Miami. He also serves on the board of Mahindra Gesco, Unitech, IndusInd Bank and Hinduja TMT, among others.
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Corporate Statements

Future Group Manifesto Future the word which signifies optimism, growth, achievement, strength, beauty, rewards and perfection. Future encourages us to explore areas yet unexplored, write rules yet unwritten; create new opportunities and new successes. To strive for a glorious future brings to us our strength, our ability to learn, unlearn and re-learn our ability to evolve. We, in Future Group, will not wait for the Future to unfold itself but create future scenarios in the consumer space and facilitate consumption because consumption is development. Thereby, we will effect socio-economic development for our customers, employees, shareholders, associates and partners. Our customers will not just get what they need, but also get them where, how and when they need. We will not just post satisfactory results, we will write success stories. We will not just operate efficiently in the Indian economy, we will evolve it. We will not just spot trends; we will set trends by marrying our understanding of the Indian consumer to their needs of tomorrow. It is this understanding that has helped to succeed. And it is this that will help us succeed in the Future. We shall keep relearning. And in this process, do just one thing. Rewrite Rules. Retain Values.

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GROUP VISION Future Group shall deliver Everything, Everywhere, Every time for Every Indian Consumer in the most profitable manner.

GROUP MISSION We share the vision and belief that our customers and stakeholders shall be served only by creating and executing future scenarios in the consumption space leading to economic development. We will be the trendsetters in evolving delivery formats, creating retail realty, making consumption affordable for all customer segments for classes and for masses. We shall infuse Indian brands with confidence and renewed ambition. We shall be efficient, cost- conscious and committed to quality in whatever we do. We shall ensure that our positive attitude, sincerity, humility and united determination shall be the driving force to make us successful.

CORE VALUES

Indianness: confidence in ourselves. Leadership: to be a leader, both in thought and business. Respect & Humility: to respect every individual and be humble in our conduct. Introspection: leading to purposeful thinking. Openness: to be open and receptive to new ideas, knowledge and information. Valuing and Nurturing Relationships: to build long term relationships. Simplicity & Positivity: Simplicity and positivity in our thought, business and action.
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FUTURE GROUP TIMELINES (Major Milestones)

1987 1991 1992 1994

Company incorporated as Manz Wear Private Limited. Launch of Pantaloons trouser, Indias first formal trouser brand. Launch of BARE, the Indian jeans brand. Initial public offer (IPO) was made in the month of May. The Pantaloon Shoppe exclusive menswear store in franchisee format launched across the nation. The company starts the distribution of branded garments through multi-brand retail outlets across the nation. John Miller Formal shirt brand launched. Company enters modern retail with the launch of the first 8000 square feet store, Pantaloons in Kolkata. Three Big Bazaar stores launched within a span of 22 days in Kolkata, Bangalore and Hyderabad. Food Bazaar, the supermarket chain is launched. Central - Indias first seamless mall is launched in Bangalore. Future Group moves beyond retail, acquires stakes in Galaxy Entertainment, Indus League Clothing and Planet Retail. Sets up Indias first real estate investment fund Kshitij to build a chain of shopping malls.

1995 1997 2001 2002 2004 2005

2006

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

2007

Future

Group

crosses

$1

billion

turnover

mark.

Specialized companies in retail media, logistics, IPR and brand development and retail-led technology services become operational. Pantaloon Retail wins the International Retailer of the Year at USbased National Retail Federation convention in New York and Emerging Retailer of the Year award at the World Retail Congress (Barcelona). Futurebazaar.com becomes Indias most popular shopping portal.

2008

Future Capital Holdings becomes the second group company to make a successful Initial Public Offering in the Indian capital markets. Big Bazaar crosses the 100-store mark, marking one of the fastest ever expansion of a hypermarket format anywhere in the world. Total operational retail space crosses 10 million square feet mark.

2009
27 March 2009: Global French menswear brand CELIO launches outlet in Mumbai.

29 may 2009: Indore central a seamless Mall now opens in the heart of Indore city. 13 Nov 2009: Ahmedabad Central-the seamless Mall in Ahmedabad .

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2010
12 Feb 2010: Tata Teleservices in strategic Partnership with Future Group. 23 March 2010: Future Group ropes in Sachin Tendulkar to cocreate Sach Toothpaste. 16 April 2010: Future group launches The Great Indian Shopping Festival 2010. 15 Dec 2010: Future group introduces First Family Center in AP.

2011
14 March 2010: Future Group and GLPC kicks off Manglam yatra a 4 day women entrepreneur mela at Big Bazaar. 14 April 2011: Big Bazaar makes its foray in Patna . 15 April 2011: Future group launches Great India Shopping festival 2011.

JOINT VENTURE PARTNERSHIP

Generali Group The third largest insurance company in Europe, Generali was founded in 1831 and has dominant presence in Europe, South-east Asia and China. The joint venture companies are present in life and general insurance space in India. Staples Inc US-based, Staples Inc is the worlds largest office stationery retailer. The jointventure company currently operates stores in Mumbai, Bangalore, Delhi and other Indian cities. ]Celio French fashion wear maker Clark C&J Clark International Ltd. is a UK-based footwear and accessories retailer. The Future Group has entered into a 50:50 joint-venture (JV) to form 'Clarks Future Footwear Ltd.'. The JV launched its first (1,600 sq.ft.) stand-alone store
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in Connaught Place, Delhi on 19 April 2011. The brand seeks to gain a share of the premium segment in this category. Franchisee & Licensee Relationships Converse, Speedo, Lee Cooper, Wilson, Prince, Callaway, Spalding, Airwal

AWARDS & RECOGNITION FOR FUTURE GROUP (2009)

CNBC Awaaz Consumer Awards 2009

Most Preferred Multi Product Chain - Big Bazaar Most Preferred Multi Brand Food & Beverage Chain - Big Bazaar

Images Fashion Forum 2009

Most Admired Fashion Group Of The Year - Future Group Most Admired Private Label - Pantaloons, the lifestyle format Critics Choice For Pioneering Effort In Retail Concept Creation

Central

Coca-Cola Golden Spoon Awards 2009

Most Admired Food & Grocery Retailer Of The Year Most Admired Food Court Most Admired Food Professional

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Pantaloon Retail (INDIA) LIMITED

Pantaloon Retail (India) Limited, is Indias leading retail company with presence across multiple lines of businesses. The company owns and manages multiple retail formats that cater to a wide cross-section of the Indian society and is able to capture almost the entire consumption basket of the Indian consumer. Headquartered in Mumbai, the company operates through 4 million square feet of retail space, has over 140 stores across 32 cities in India and employees over 20000 people.

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Pantaloon Retail forayed into modern retail in 1997 with the launching of fashion retail chain, Pantaloons in Kolkata. In 2001, it launched Bid Bazaar, a hypermarket chain that combines the look and feel of Indian bazaars, with aspects of modern retail, like choice, convenience and hygiene. Food Bazaar, a food and grocery chain followed this. In 2004, Central-Shop, Eat, Celebrate- Indias first seamless mall, a subdivision of Pantaloon Retail, was launched in Bangalore. Seamless because one sees separate showrooms of many brands llike Tommy Hilfiger, United Colors Of Benetton even Shoppers Stop in a mall, but in Central Mall one can see huge ranges of brands, items, styles, sizes under single roof. Central is now a well established chain of malls in South India. Launching the 1 st mall of its kinds in Bangalore, now Central is operational in five more cities as well, in Hyderabad city as Hyderabad Central, Vadodara as Vadodara Central, two in Mumbai as Mumbai Central Vashi and Gurgaon, two in Pune as Pune Central 1 & 2 and in Gurgaon as Gurgaon Central. Ina short span of its existence Central has revolutionized and redefined the shopping experience in India. Central want to establish itself as the Fashion Mall on India by offering most fashionable and trendy apparels and non apparel items. At Central, customer no longer only shop, they get SHOP-ATAINED.

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CENTRAL SEAMLESS MALL:-SHOP, EAT, & CELEBRATE

Gurgaon Central was establishing in April 08. Central is a showcase, seamless mall and the first of its kind in India. The thought behind this pioneering concept was to give customers an unobstructed and a pure shopping experience and to ensure the best brands in the India market are made available to the discerning Indian customer. Central offers everything for the urban aspiration shopper to Shop, Eat and Celebrate. Located in the heart of the city, Central believes its customers should not have to travel long distances to reach us; instead we must be present where customers frequently visit. Central houses over 500 brands across categories, such as apparel, footwear and accessories for men. Women, children and infants, apart from a whole range of Music, Books, Coffee Shops, Food courts, Super Markets (Food Bazaar), Fine Dining Restaurants, Pubs and Discotheques. The mall also has a separate section for services such as Travel, Finance, Investment, Insurance, Concert/Cinema Ticket Booking, Bill Payments and miscellaneous services. In addition, Central houses Central Square, a dedicated space for product launches, impromptu events, daring displays, exciting shows, and art exhibition. Central is an integral part of the city and in the long run a City should become part of CENTRAL.

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Marketing Mix
Placing Located in the heart of the city,Central believes its customers should not travel long distances to reach them, instead they must be present where customers frequently visit. Quoting an evidence for the above statement, Gurgaon central is located on M.G Road that connects Delhi with Gurgaon. There are various other malls also located on the same road and thus attracts huge crowd during the day time and specially a sight to see during the evening time. And not to forget the New Metro coming up right in front of the mall will give it even more connectivity with a distant traveler.

Products Central houses over 500 brands across categories, such as apparels and non apparels. Gurgaon Central is a four story mall. Starting from its ground floor it has a wide range of international brands of apparels like Esprite, French Connection, FCUK, Calvin Klein, Tommy Hilfiger, Dior and Celio. Same goes with the non apparels like sunglasses, baggage, female hand bags and jewellery. In cosmetics, brands as LOreal, Revlon, Chambor, Elizabeth Arden and Sally Hansen are present, Indian brands like Lakme and Ponds with low range wellness products of Blossom Kochhar and Shehnaz Hussain can also be seen. Talking about premium brands, then one can see brands like Shesheido, Yves Saint Laurent and Clarins. Sweet smell of perfumes can also be felt at this same corner with fragrances from all over the world and brands from Azaro and Nina Ricci for especially men to Nina Ricci, Burberry and Hugo Boss for all. We also see a wide variety of ethnic wear for women, brands like Kurta Company, Biba, W, Trisha, Akkriti are there. Moving towards the girl section, one can see
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massive collection of casuals and formals both and designer trendy apparels by Remanika, Miss Players, Color Plus, 109*F, Scullers, Ms. Allen Solly, Van Heusen etc. Moving to the 1st floor by elevators or escalators we see a wide variety of kids wear, brands like Weekender, Gini & Johny, United Colours of Beneton, Reebok, Adidas and Liliput are offering great variety of apparels for kids. The floor also comprises of toys, games books and apparels for them. Ladies and kids footwear are also present on the same floor. Apart from all these, the floor has another division of Pantaloons- E-Zone containing the electronic items like mobile, laptops, LCDs, washing machines, refrigerators etc. 2nd Floor is supposed to be the mens section with the formal suits and shirts offered by brands like Arrow, Reid & Tailor, Louis Phillips, Blackberry, Belmonte and Van Heusen, semi formals by Lombard , John Miller, Scullers, Turtles and Success. Some of these are the shared brands too by Pantaloons. Ethnic mens wear is also visible by Akkriti which have low ranges as compared to high priced brand Manyavar. 3rd Floor has all the casuals, be it male or female, sports wear of all kinds are available. Reebok, Wrangler, Lee, Levis, Red Tape, Flying Machine, Spyker, Numero Uno, Crocodile, Pepe Jeans London are few of the many brands one can find here. The 4th Floor has the Food Bazaar, another Future Group division. Its a kind of supermarket having daily use household grocery items and food items too. Then there is a food court, where one can sit and taste different delicacies at times when one gets tired shopping. There is a Sports Bar too wherein people come to relax and have some drinks. Thats why the tag line says, Shop, Eat and Celebrate.

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Gurgaon Central provides its customer every such facility, product offering that will help them to shop at ease and at their convenience, so that they have an enjoyable shopping experience. It also provides some value added services like:Beauty Central Gift Central Flower Central Pricing Central caters to basically the upper middle class and the elite class of the society, thus providing nominal pricing of the products it offers. It has prices that favors almost all the ranges of products and people as well. Apart from the usual prices, Central usually come up with the Happiness sale almost during all festive seasons attracting good footfalls and thereby converting them by indulging them into impulsive buying activities as they get attracted by huge discounts offered on all the brands present in Central, thus proving a point that shopping in mall is for everybody and not only the elite. Promotion The promotions done by Gurgaon central are commendable if talked about the in-store promotions. One can see hoarding. The promotion activities are done by the visual merchandising, VM department. Special care is taken into consideration when it comes to shelf placing. Various brands are given such places where they would be most visible to the buyer. The mall name Central is a well set up in Southern India; although Gurgaon Central is a very new name in the Northern hemisphere of India thats why Central people do not leave any stone unturned. All the new offers are
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D J Central Radio Central Wi-Fi Central

advertised by various mediums of promotions such as print media, radio, T.V etc. Big hoardings are placed outside the mall to educate the people moving out on the road on various offers. And yes of course the BRANDS INSIDE which tells you about the brands that are offered to the customer inside always attracts the customer. Then the various activities that keep happening inside and outside the mall for instance it had a renowned auto modifier DC display its latest car modification outside the mall few days back that caught the customers attention. Gurgaon Central somehow does not spend much on the outdoor promotions as compared to the budget that they spent on the indoor promotions of some activities or sales seasons. The VM Department has lot to do in regard to the indoor promotion of the mall. Some of the common methods of promoting the weekly activities or any sale season are by putting hoardings on Free of Cost Sites, using Mobile Vans for displaying the advertisements, sending SMS and calling the regular customers whose details are fed in the database maintained by the customer service department. These customers are also given special offers in the mall on showing the SMS while doing their purchases.

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THE CENTRAL SERVICES Central aims at providing an enchanting shopping experience for its customers. The Central Services is only platter on which Central differentiates itself from its competitors Lifestyle and Shoppers stop. Talking about the Gurgaon Central in particular, ther are six of these services. These services are made available to the customers so that they can avail then at their convenience.
Gift Central Customers enjoy the facility of free gift wrapping at gift central. Flower Central At flower central customers can get the fresh and artificial flowers at reasonable prices. Beauty Central Here ladies can avail the facility of free makeover organized by different brands. Radio Central Customers enjoy the musical ambience in the mall while shopping at the radio Central. Wi-Fi Central Customer can enjoy the facility of free net access at WIFI central. DJ Central Customer can give the request of their favorite song at the DJ Central.
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OVERVIEW OF INDUSTRY
RETAILING
Retailing consists of the sale of goods or merchandise from a very fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be individuals or businesses. In commerce, a "retailer" buys goods or products in large quantities from manufacturers

or importers, 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. The term "retailer" is also applied where a service provider services the needs of a large number of individuals, such as a public utility, like electric power. The emergence of organized retailing has been due to the demographic and psychographic changes taking place in the life of urban consumers. Growing number of nuclear families, working women, greater work pressure, changing values and Lifestyles, increased commuting time, influence of western way of life etc. have meant that the needs and wants of consumers have shifted from just being Cost and Relationship drive to Brand and Experience driven, while the Value element still dominating the buying decisions.

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INDIAN RETAIL INDUSTRY

Evolution of Indian retail Industry
Indian Retail Industry is standing at its point of inflexion, waiting for the boom to take place. The inception of the retail industry dates back to times where retail stores were found in the village fairs, Melas or in the weekly markets. These stores were highly unorganized. The maturity of the retail sector took place with the establishment of retail stores in the locality for convenience. With the government intervention the retail industry in India took a new shape. Outlets for Public Distribution System, Cooperative stores and Khadi stores were set up. These retail Stores demanded low investments for its establishment. The retail industry in India gathered a new dimension with the setting up of the different International Brand Outlets, Hyper or Super markets, shopping malls and departmental stores.

Growth of the Retail Sector In India

In this section we may deal with the growth of the organized as well as the unorganized retail sector of India. Due to the untapped potential that exists in the Indian retailing market, it is a very fast growing sector. One reason that can be attributed to this rapid entry of the foreign retail giants is that the Western Countries have reached a point of saturation in their retail sector. Another reason as already mentioned earlier is the change in the tastes and preferences or the psychographic of the consumers that is bent in their favor. Although the retail sector in India contributes to about 10% in the GDP, it is the most underdeveloped sector in terms of investments that are made in this sector.
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The unorganized retail sector has recorded a growth of 5% per annum while the organized sector is growing at 25-30 % per annum. One should not be impressed by the figures of the organized retail markets since developed market in US, Taiwan; Malaysia is still a dream to the Indian retail market. They have registered a growth of 50% per annum. The retail stores have mushroomed in the Tier II and Tier III cities. The participants in the retail market hold the presence of market in the cities as a signal to their growth. It has been seen that the retail companies have invested in the IT sector for their growth and development. The IT sector has contributed greatly to the growth of the retail sector in India. The retail firms have made lumpy investments in Enterprise Resource Planning System as a strategy for their growth and development. SAP has also assumed a significant role in the growth and development of the organised retail industry. The sudden growth of the organised retail sector can be attributed to the ushering of the domestic retail giants like Reliance, Pantaloons, ITC, RPG, Rahejas and the Bharti Group. The foreign companies continue to wait in the sidelines. These prominent retail chains have adversely affected the farmers in some states. Another viewpoint is that the farmers have rather benefited since they were eager on the market intervention of the buig retailers for the purpose of marketing and processing of their output. Since the big retailers reap the benefits of buying directly from the farmers, the consumers can purchase the products at minimal price rates. In places like Uttarakhand, the big retail chains are welcomed for the same purpose by the farmers. They have helped in putting finances in the right channels of processing and packaging.

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Growth of the Retail Outlets In India:

12000 10534.4 9966.5 10000 8542.6 8000 8983.6 9455.6 Food Retailers Non-Food Retailers Total Retailers 6000 Expon. (Non-Food Retailers) Linear (Total Retailers) 4000 Expon. (Total Retailers) Linear (Total Retailers) 2000 11165

0 1996 1997 1998 1999 2000 2001

Source: P.G.Chengappa, Lalith Achoth, Arpita Mukherjee, B.M.Ramachandra Reddy andP.C.Ravi, Evolution of Food Retail Chains: The Indian Context, 5-6th Nov. 2003, www.ficci.com

From the above table it is quite evident that there is a rising trend in the total retail outlets in India. The non-food retail outlets contribute more to this rise. The trend in the retail sector as compared to other sectors may be represented in the following graph. We can see that as compared to the clothing and the food and beverages industry the retailk industry has witnessed a sharp rise especially from 2002. before that it was following a slow and steady pace. The growth of the different retail sectors can be discussed as under. Growth of FMCG The report produced by HSBC shows that the FMCG retail sector is expected to grow by 60 % by 2010. leaving aside the packaging sectors, the other sectors that have registered rapid growth are hair care, household care, confectionery, chocolates etc.
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Growth of Consumer Durables The consumer growth industry is estimated to grow by 40% in the coming season. The television, refrigerator and washing machines sector has also witnessed a rapid growth. The market for Indian colour television is expected to reach the value of 10.5 million units by the next fiscal year. The refrigerator market is estimated to reach 4.5 million. Hence in a nut shell the retail industry in India has witnessed unprecedented growth in the past years. The organised sector is expected to make Quantum jumps in the coming years in terms of its contribution to GDP.

Contribution of Indian Retail Industry to Indian Economy

Contribution of Retail: What, How and For WhomThe presence of retail sector in India has been in limelight for the last few years. Its significance has been undoubted. Policymakers are quite optimistic that the evolution and steady maturation of organized retailing will take the economy to new highs. Besides, it will also help strengthen the linkages between the different sectors so as to break the vicious circle of poverty and ensure a bright future for the next generation. The benefit of retailing to general public includes growing awareness and brand consciousness. The table below clearly shows that the retail market as well as the mindset required for it has experienced a thorough revisal in the last three years. This is just the beginning and Indians are sanguine that the sector will see rosy days in the future. This confidence has helped India acquire the No.1 position among 30 most attractive retailing destinations in the world according to the Global Retail Development Index of 2005 (by AT Kearney, India). Among emerging markets, India holds the second position after China in the list of most favored retail destinations.
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0.06 0.05 0.04 0.03 0.02 0.01 0 Situation in 04-05 Situation in 07-08

Value of retail sales Annual growth rate Share of organized market in the sector Forecasts(after 5 yrs) about size of organized retail market Forecasts about growth rate of organized retail market Column1

The retail industry employs a huge share of the total workforce in India. It is the second largest employer after India. Presently 7 percent of the total labor force is employed in the retail sector. According to available data it is also the largest employer in the services sector and maximum growth in the non-agricultural sector has been witnessed by retail trade. According to market analysts 300 new malls, 1,500 supermarkets and 325 departmental stores are going to come up in India in the next few days. The shopping revolution that has led to this retail boom is going to continue and this is good news for the government as well as those who wish to work in the organized sector. Contribution of FDI in Retailing Permitting Foreign Direct Investment in the retailing sector can have immense benefits. It can generate huge employment for the semi-skilled as well as illiterate population which otherwise can't be employed in the already confined rural and organized sector. The retail sector is highly dependent on the rural sector. Thus it can facilitate the improvement of the standard of living of farmers by purchasing commodities at a reasonable cost. It also stems out an
29

indirect employment generation channel by training and employing people in the transportation and distribution sectors such as drivers, mechanics etc. It is also evident that real estate is a genuine challenge for organized retailing. Traditional retailers can use this situation in their favor by taking franchisees of the mega players of this industry. On the other hand, the consumer gains from the wide variety of choices and a more diversified basket of prices available under one roof. Secondly the indirect benefits like better roads, online marketing, expansion of telecom sector etc. will give a 'big push' to other sectors including the rural one itself. Last but not the least the huge tax revenue generated from these retail biggies and collected in government coffers will gradually wipe out the ugly looking fiscal and revenue deficits. Besides the transaction in foreign currencies by these MNCs will create a balance in exchange rate and will bring in stable funds in the economy as opposed to FII's hot money. This will in turn act as a boost to the developing (or 'transforming', as suggested by the USAID) economy of India. The phobias relating to FDI in the retail sector are unfounded as neither the retailing sector in India is an infant industry, nor it can outweigh the paramount local tastes and preferences. Let's pray that the retail sector like the IT and manufacturing sector brings happiness in the eyes of the people and help remove the regional and classbased disparities.

30

Top Companies in the Indian Retail Industry

The India retail industry: who's who
The Indian retail sector has been euphoria over the last five years. India topped the A.T. Kearney's Global Retail Development Index for two consecutive years and this has infatuated Indian as well as foreign retail players to go gaga on the merchandising track. According to geographical expansion, Delhi/NCR and Mumbai are the felicitated regions as the top companies have rated the spending potential of consumers in the vicinity of the national capital and the financial capital as excellent. Other metros such as Kolkata, Chennai, Hyderabad and Bangalore have caught the sight of investors but their fortunes are yet to be illuminated. Companies like The Future Group, Reliance, Bharti-Walmart, DLF etc. have shown the way for other to enter. The country is expecting a surge in the growth sprint and lets hopes for the best. Top Companies: An analysis Big Bazaar- Big Bazaar is a chain of department stores owned by the Pantaloon Group (Future Group) and headed by Kishore Biyani and headquartered at Mumbai. It offers all types of household items such as home furnishing, utensils, fashion products etc. It has a grocery department and vegetable section known as the Food Bazaar and its online shopping site is known as FutureBazaar.com. The real estate fund management company promoted by the Future Group expects to develop more than 50 projects across India covering a combined area of more than 16 million sq. ft. On April 1 2007, Big Bazaar had to shut its outlets in Mumbai as the 120 retrenched employees called a strike with the support of Bhartiya Kamgar Sena (the trade Union wing of Shiv Sena). Later the management agreed to reinstate the sacked workers.

31

Bharti Retail-, a wholly owned subsidiary of Bharti Enterprises. has announced two joint ventures (JV)with the international retailing behemoth, Wal-Mart. The first JV ensures cash and carry business, in which 100 percent FDI is permitted and it can sell only to retailers and distributors. The second JV concerns the franchise arrangement. Sunil Mittal, Chairman of the Bharti Group assured that the ventures will use low prices every day and best practices for the satisfaction of the customer. Processed foods and vegetables will be delivered by Bharti Field Fresh, Bharti's JV with Rothschild. Bharti Retail aims to foray every city with a population exceeding 1 million. It has plans to come up with an investment of more than $2 billion in convenience stores, supermarkets and hypermarkets spread over an aggregate 10 million sq. ft. The expansion drive looks ambitious but analysts are worried that Bharti may face stiff competition from Pantaloon and Reliance as they too have sanguine plans to flood the markets with thousands of retail outlets in the coming five years. Bharti Telecom also has plans to offer all its fixed and mobile telecom products and services from a single window to the SMB (Small and Medium Business) enterprises under the Bharti Infotel division.. Reliance Retail- Reliance claimed last year to start a retail chain that will be unique in size and spread, will lead to the welfare of one and all ranging from Indian farmers, manufacturers and ultimately consumers. It is known as Reliance Retail Ltd.(RRL) and is a 100 percent subsidiary of Reliance industries Ltd.(RIL). Soon after the Bharti-Wal Mart tie up, there was the news that RIL (Reliance Industries Ltd.) Chairman Mukesh Ambani met Commerce Minister Kamal Nath to discuss the apprehension of cheap imports from China. Reliance Retail has plans to open 4,000 outlets across 1,500 towns for an investment of $5.6 billion. Reliance is not away from agro-business. According to Buddhadeb Bhattacharjee, Chief Minister of West Bengal, Reliance will hold demonstration farming, produce good quality seeds and give inputs to farmers.
32

Its most significant participation has been in the food procurement business in Madhya Pradesh and Punjab. This has in fact compelled the government to import wheat this year. Reliance Retail has also been reported to have entered into an agreement with footwear manufacturer Bata India Ltd. so that they will involve in selling each other's products. DLF Shopping Malls- DLF Retail Developers Ltd. is one of the troikas of the DLF Group. Besides being India's largest real estate developer, DLF is also of the leaders in innovating shopping malls in India. It caught public eye when it launched the 2,50,000 sq ft. shopping mall in Gurgaon. It has brought a dramatic change in the lifestyles and entertainment with its City Centres and DT Cinemas. DLF has plans to invest Rs. 2000-3000 crore in all the emerging areas from metros to A class cities in the next two years. Till last year the company was involved in building 18 malls out of which 10 were in the NCR region. Future plans of DLF involve opening up of 100 malls (speciality malls, big box retailing and integrated malls) across 60 cities in next 8-10 years. They are slowly transforming into 'lease' and 'revenue share' models. Local players like ITC, the A.V. Birla Group and Tatas have given the hints to enter organised retail. Frances Carrefour SA and Britains Tesco too were recently in news for their future plans to explore the Indian retail market.

33

Conclusion on retail industry in India

Contribution of Retail
What, How and In this report we have analyzed in detail the retail industry in India. We had initially started with the evolution of the retail sector in India, then moved onto its size, distribution and the growth of the retail sector. We have also covered issues like the Foreign Direct Investment in the retail sector, the untapped opportunities that exist in the retail industry in India. We have also discussed about the bottlenecks that the retail industry is facing in India, online retailing in India and the role of Information Technology in the retail sector in India. In this section we have coined down the major findings of our research. Major Findings: 1. The Retail Sector in India can be split up into two, the organised and the unorganized. The organized sector whose size is expected to triple by 2010 can be further split up into departmental stores, supermarkets, shopping malls etc. 2. In terms of value the size of the retail sector in India is $300 billion. The organised sector contributes about 4.6% to the total trade. 3. The retail sector in India contributes 10% to the Gross Domestic Product and 8% to the employment of the country. 4. In terms of growth the FMCG retail sector is the fastest growing unit and the retail relating to household care, confectionery etc, have lagged behind . 5. The foreign retail giants were initially restricted from making investments in India. But now FDI of 51% is permitted in India only through single branded retail outlets. Multi brand outlets are still beyond their reach. Again they can

34

only enter the market through franchisees,. This was how Wal-Mart had entered joining hands with Bharati Enterprises. 6. On line retailing is still to leave a mark on the customers due to lacunae that we have already mentioned. In a nutshell we may conclude that the retail industry in India has a very bright future prospect. It is expected to enrich the Indian Economy in terms of income and employment generation.

Government policy and regulation to the retail industry in India.

India's government seems to be on a gradual but definite path toward allowing foreign retailers into the country.... suggests the A.T. Kearney's Retail Development Index 2006. It is a common knowledge that the Union government has to face a number of hurdles both from it's opponents as well as it's allies before it could announce the final verdict. There have been demands from all corners regarding framing of rules to safeguard interests of the socalled small traders. Simultaneously economists have the consensus that industrialization is imperative for the growth of the economy and foreign investment has to play an inevitable role in it. So in this study let us compare the views for and against liberalization as is held by Indian Bureaucrats. Entry of large players: stiff opposition from Left Parties At the first stage, not only MNCs but also the local retail giants like Reliance will be shown the red signal. In fact a magnified CPI protest has compelled a Reliance Fresh outlet in Kochi to take police protection. The draft of a bill has been finalized to amend the Kerala Essential Commodities Act so that the state government can intervene in the retail market.

35

As a second step, local councils (70% of which is controlled by the Left) will deny licenses, that are mandatory to start a retail chain in the state. Kochi and Tiruvananthapuram corporations will be in fact commanded to reconsider the licenses of outlets that are already operating in the regions. This strategy grants more power to the state. However a ban on shopping in these outlets is still not clear. The third and the most revolutionary judgment is actually an outcome of the whole game. Government-controlled supermarkets and hypermarkets will be established in some of the key cities in the state. This rigid legal wall not only in Kerala but across the country has been born out of a traditional mindset. Kerala claims to have a literacy rate of 90.92% and a sex ratio of 1058 females per 1000 males. The data speaks for the government's prudent commitment in the case of Kerala. So it is high time that the government opens up avenues for its people to let them grow and become self dependent. But the government is still holding well, the conventional 'infant industry' outlook. The main worry is the negative impact on the already gloomy condition of employment. Let's make an attempt to understand the vicious circle of unorganized retailing and present employment scenario. Unorganized retailing has a share of about 96% in the Indian retail sector. But why should people work in such miserable situations if the manufacturing and services sector are booming is the overwhelming question. There has been a trend to migrate to cities in search of alluring bright city lights. But the consequences have been even worse- earning lower than expected wages (Harris Todaro model of migration). The illiterate and unskilled people ultimately set up a grocery shop to earn a living. This gives birth to another unorganized retail shop in India and thus enlarges its share. So the unorganized retail market in India has born out of fate rather than selection.

36

The Actual Scene Those opposing the expansion of organized retail in India must understand that the share of primary sector shrinks and that of the secondary and then the tertiary sector expands as an economy grows. This is the basic structural adjustment in case of any transforming economy. India is at a take off stage. Retardation in the agricultural sector is not permissible but inhibiting the growth of services on grounds of protection to agriculture is more irrational. A proof of this has been seen in a small town of North Bengal. The opening of a Big Bazaar (brand name for stores under Pantaloon) departmental store has seen a human deluge of about 7,000 people in the 35,000 sqft shopping mall by 3pm. This clearly indicates that people (even in remote places) have become fed up of monotonous marketing practices and demand nowadays is purely governed by choice. The Ruling UPA government's outlook The UPA government is rather clear in its aim of taking India to new highs. The commerce minister has repeatedly asserted that FDI will kill two birds with the same stone. It will generate substantial direct as well as indirect employment and at the same time will not tamper with the present scope of the unorganized retail market. The indirect employment includes jobs in transport, packaging and other logistic services. It will enhance competition in the country thus giving a virtual chance to face global challenges while operating at home. Mr. Nath is clearly focused on the utilization of FDI in acquiring benefits. It is true that such investments will bring in huge imports but this may also help in the Indian products reaching the foreign consumers. Foreign majors such as WalMart, Tesco and Carrefour are ready to enter India.

37

THE PROJECT
Objective of The Project
Our project consists of three promotional activities and events which has an impact on the overall sell and the footfall of the Central Mall. These activities are: 1. The Great Indian Shopping Festival 2. Do Denims 3. Shop More Get More The main objective of the project is to study the impact of these above promotional activities and events on the overall sells and the footfall. Also a part of the project is to study the consumer behavior of those people, who go to the mall. The project also include the activities of Gurgaon Central during the weekends and other promotional shopping festivals as well as the value added services that the Mall provides to its customers that intend to increase the footfalls.

The Great Indian Shopping Festival

Bigger, bolder and better than ever before, in its third year the festival has taken place in the top 17 cities of Mumbai, Bangalore, Delhi NCR, Kolkata, Hyderabad, Ahmedabad, Pune, Chennai, Indore, Lucknow, Vadodara, Nagpur, Bhubaneshwar, Nasik, Vizag, Surat & Jaipur.

38

Participating formats: Big Bazaar, Food Bazaar, Pantaloons, Central, T 24, EZone, Home Town, Brand Factory, Planet Sports and others.

Dates: April 16th to May 15th, 2011 (5 week-ends, 4 weeks). The E-Passbook There were several exciting products for customers to take home in the form of assured gifts, lucky draw prizes and great discounts on cross format vouchers. But the main attraction this time around was the E-Passbook.

This is a bar coded card which holds all the information required to make shopping experience an enriching one. It is a source to collect assured gifts, automatically calculate discounts and a device to earn and redeem Sone Ki Chidiya (SKCs).

Work Assign to Me: My work related to this event was the customer interaction and issuing of those E-Passbooks to the customer and maintaining an online and a manual record of the same. These records had been a reference for the redemption of the gifts

39

with the Sone Ki Chidiya point, which have been accumulated while shopping during the time period of the great Indian shopping festival. During this period a total number of 3113 E-Paasbook issued to the customer based on the bill amount of Rs. 1000 or more. Report before the Promotional Activity 1st March to 15th April
Days No of bills above 1000 Average

45
Days

13050
No. of bill above 2500

290
Average

45 Total Bills Contribution 1000 Contribution 2500

5336

119 22721 57% 23%

Report after the Promotional Activity 15th April to 22nd May

Days No of bills above 1000 Average

37
Days

14897
No. of bill above 2500

403
Average

37 Total Bills Contribution 1000 Contribution 2500 Findings:

6745

182 24599 61% 27%

From the above table the growth is evident. There is an increase in the number of the bill above 100 and above 2500 due to this promotional activity. The growth in the number of the bills above 1000 is 39% whereas the growth in the bill above Rs. 2500 is 54%. Thereby we find the increment in the sales due to this event. Conclusion: From the above analysis we conclude that the effect of The Great Indian Shopping Festival on the sales was positive and a success.

40

SHOP MORE GET MORE

This is another event and initiative taken by Gurgaon Central to increase the sales growth, bills, average bill value and the customer footfall. This promotion was target to the customer to shop more and let the b ill amount increase which leads to win a Gift Voucher. The idea behind this was when a customer makes a bill of Rs. 5000 or more they would be entitled for a gift voucher of Rs. 600. In this way they can enjoy the shopping as well. Date: 10th June-26th June Work Assign to Me: During the above time period I was assign the job of issuing those gift voucher to the customer and making them aware about the promotion. This needs the more communication with the customer and also includes the customer interaction, their view and opinion about the event and the Central. Report before the Promotional Event:
Date 21st May 22nd May 23rd May 24th May 25th May 26th May 27th May 28th May 29th May 30th May 31st May 1st June 2nd June 3rd June 4th June 5th June Sale 1911664 2500092 861191 729031 917606 906996 888976 1779479 2559075 912849 800656 948040 974018 832268 2009160 2590545 Walk Inns 2646 4744 1616 1427 2160 1881 1917 2779 3203 2062 1357 1584 1435 1779 2874 3271 Bills 877 1111 481 366 461 473 468 835 1137 478 447 474 553 454 892 1070 Conversion 33% 23% 30% 26% 21% 25% 24% 30% 35% 23% 33% 30% 39% 26% 31% 33% ABV 2180 225 1790 1992 1990 1918 1900 2131 2251 1910 1791 2000 1761 1833 2252 2421

TOTAL

22121646

36735

10577

29%

2091

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Report after the Promotional Event:

Date 11th June 12th June 13th June 14th June 15th June 16th June 17th June 18th June 19th June 20th June 21st June 22nd June 23rd June 24th June 25th June 26th June Sale 1940767 251456s4 941714 865653 1185593 1001973 940599 1699430 2398930 760883 736409 994515 881823 837378 1694894 2778828 Walk Inns 2633 2995 1684 1437 1375 1563 1233 2836 2937 1368 1525 1469 1287 1314 2334 2984 Bills 892 1058 510 434 526 568 456 782 988 366 354 435 434 419 800 1105 Conversion 34% 35% 30% 30% 38% 36% 37% 28% 34% 27% 23% 30% 34% 32% 34% 37% ABV 2176 2377 1846 1995 2254 1764 2063 2173 2428 2079 2080 2286 2032 1999 2119 2515

TOTAL Findings:

22173952

30974

10127

33%

2190

The above two tables show the total sale, footfalls, bills and the Average Bill Value. From the two tables it is evident that there is a very marginal growth of 0.24% only due to this promotional activity. If we look at the figures of the footfalls i.e. walk ins there is not any positive impact rather there is a negative growth of -15.68%. If we look at the figure of the conversion and the average bill value there is also a very marginal increase of 33% and Rs. 98 only (4.69%). Conclusion: From the analysis and the findings we can conclude that the promotional sale Shop More Get More did not succeed and it fails to attract the more customers and also did not contribute much to the sale. Thereby, Central took the major step and the event was called off before the schedule time.

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DO DENIMS PROMOTION
Do Denims is the one of the promotional event which targeted mainly the youth. Under this promotion activity several brands of jeans in the store came up with offers and the some free services to attract more young customers as well. Do Denim was an activity which included the some more events: Tattoo Making Nail Art Do Your Denim makeover & Deo-Fest

Tattoo Making: In tattoo making two artists were engaged for the promotional activity. Tattoo making was a big hit among the young girls and boys. Even children participated with full enthusiasm.

43

Nail Art: This was the event which was specifically designed for the girls. Free nail colorings and streaking was done and girls just loved it. This targeted the ladies customer to engage in these activities to support the denim fest as well.

Do Your Denim Makeover: Under this promotional scheme the denim of any brand were accessorized free of cost to add a different look. It covered shredding, riveting, colorings and stencil printing

Deo-Fest: In the Deo - Fest, customers had a great chance of winning a deodorant by testing their smelling power.

44

In the do denim fest several denim brands came forward with the offerings to the customer to increase their sale. In this almost all the participating brands achieved their goal. The result is given below in the form of chart:

8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 Target Achieved Ach %

45

Findings: from the above graph it is clearly evident that till date the target of the unit for the denims has not achieved. Few brands manage to achieve their target like Status Quo, Blue Diamond. Few of them are near to the goal like UMM, Pepe, Lee,Levis etc. Conclusion: From the analysis and the findings we can say that the promotional event Do Denim is marginally successful in its target. The table shows the increasing sales at gurgaon central, the implementation of various events and promotional activities is found to be the main reason behind the increased sales. The promotional campaign Great India Shopping Festival and Do Denim started in the month of June/July and its contribution can be measured by the sales achieved in the respective month.
Note: The data of sales for the last week (27th June to 3rd July, 2011) is expected sales for that period as the exact figure was not available.

46

Consumer behavior Research for Do Denim Promotion

To the effectiveness of the above promotion, we did a research. We collected the feedback from the customers followed by the data processing and analysis. Collecting feedback was one of the most important parts of the whole procedure because it was the only stage where we came to know whether the campaign had been successful or not. To check the response of the consumers, an exit interview was conducted. The sample size was taken to be 50. The questionnaire consisted of 14 questions and the questions were formed with a purpose to check the popularity and the contribution of the promotional campaign to the total sales. Sample Size: The sample contains responses of the questionnaire from 50 people. The analysis of the entire 50 people filled questionnaire is given. I have attached the questionnaire in the Annexure. Sample Area: The mall Gurgaon Central. Limitations: The time limitation was one of the hurdles, the customers generally were not interested in filling any sort of questionnaires while shopping. The questionnaire was constructed in such a way that it included only those customers who had purchased any sort of merchandise related to the do denim promotion only.

47

DO DENIMS SURVEY DATA ANALYSIS AND INTERPRETATION

1.) On being asked whether this is their first visit to central mall.

Respondents

30%

yes 70% no

Out of 50 people, 35 said this was not the first time they had visited central mall and 15said that this was their first visit. 2.) On being asked whether they were aware of the ongoing promotion or not.

Respondents
20%

yes no 80%

48

40 people said that they were aware of the promotion going on in Central. This indicates that the promotional activities did have an impact on customers by making them aware of it.

3.) Source of information about the promotion.

respondents

12% 15% 35% friends and relavites store display from outside press ads 38% outdoors/hoardings

This clearly suggests that though in-store promotions and display are capable of attracting customers into the store, outdoor promotions are ineffective. Efforts should be made in direction of making outdoor promotions more effective. 4.) Rating of denims on the following parameters: a) Variety in fits

49

28%

30%

average good excellent 42%

Out of 50 people, majority of people thought that the variety offered in denim fits was good. 4 .b) latest in fashion

respondents
23%

29%

average good excellent 48%

50

5.) Did you shop at centrals Do Denims promotion?

respondents
22%

yes no 78%

78% people did shop at the Do Denims promotion which clearly shows the effectiveness of the marketing schemes and offers during that promotion.

6.) On being asked the number of denims bought:

respondents
2% 19% 47% 1 2 3 32% 4 or more

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7.) On being asked about the utilization of exclusive services:

respondents

30%

52%

tattoo fits specialist

18%

denim makeovers

This clearly indicates that these marketing activities were of huge benefit to Central as they were successful in increasing the footfall. 8.) On being asked to rate those services:

respondents
16% 38% excellent good 46% average

Most of the customers found the services more than satisfactory which further led to the increase in footfall of the mall.

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9.) Age Group

respondents
13% 2% 36% 15-25 yrs 26-35 yrs 36-45 yrs 49% 46-55 yrs

Since the fest was targeted at youth, the chart shows a huge turnover of customers between 15-35yrs of age. This was due to the outstanding in-store promotional activities in Central.

53

MAJOR LEARNING

My experience with Gurgaon Central was scintillating. We all went to malls, but to know how everything is managed and worked out was a great experience. I learned a lot from them, especially the planning they did regarding any of the activities and upcoming offers and then how all of it was executed. The sales staff being very efficient, having knowledge of the items they have been assigned to sell. Talking to them regarding the services, I got a lot of information about the distributors of various international brands which otherwise would have been difficult to know. I did notice and learned the innovative strategies they come up with when it came to marketing. The methods they used to pull more crowds every week. In the shopping fest Great Indian Shopping Festival I was assigned an interesting job, it made me use my communication skill as well, to complile the daily track of e-passbook card issued and gift for the same have been redeemed as per the points accumulated. This was really interesting as I had to take care of the Gift Redemption Counter and sometimes encounter queries from furious people and make them calm and satisfied. Getting the questionnaire filled by te people was a bit tough part because of their reluctance, for not having enough time to fill it and various other reason given by them. Catching hold of them while they were waiting in the queue of cash counters for billing and parking areas, other eating joints as well and then talking to then for a while getting the questionnaires filled was a good experience, although tough sometimes in such heat but in the end it was all worth it. The data and the suggestions provided by then helped to devise recommendations for the Mall. Central too was in a need for this as they are
54

planning to expand in the Northern India with more malls as well as improving upon Gurgaon Central. I had to present then with proper figures and data to support my views. There were some rough experiences as well. Many times the information that I provided was not acted upon. I was very impressed with the time flexibility with the various Departments in the mall, especially the Marketing and the Visual Merchandising Department. There are days before launching a particular festive season when the visuals of the Mall have to be changed accordingly. This is done only after the Mall has been closed for the general public. There were so many days when they had to work all throughout the nights and the come early the next day and they all did it with absolutely no resistance at all. The Project was a wonderful experience in the corporate world, it added a lot of things to the knowledge but the major learning from this project was regarding the entire operations and functioning of the mall. It included Marketing activities, Visual merchandising and floor operations as well. The success of events and promotion proved its importance as a tool of marketing which is used to increase sales. In all it was amazing to work with Gurgaon Central. The corporate as well as sales staff was ever ready to help me out in any enquiry that I had regarding my work, as experience which really made me learn as well as enjoy a lot for my 8 weeks there.

55

CONSTRAINTS FACED

The project was a very good learning experience but on the other side it was full of challenges and difficulties. The most difficult part of the project was the interaction with the customers with the purpose to collect feedback. The major constraints faced can be listed as follows The challenge faced initially was in understanding the corporate culture and work atmosphere at Gurgaon central. Collection of feedback from the customers was a major challenge, as the information given by the consumers is not always true it could have misled the findings of the project. All operational activities including visual merchandising, supply chain management and floor operations were complex and difficult to understand. Co-ordination of events and other promotional activities was a very important task as any mistake could have cost firms reputation. Gurgaon central had a huge infrastructure and proper management and coordination of events at different floors was a tough task, it required proper coordination and synchronization among the employees and trainees.

56

RECOMMENDATIONS

After being in the mall and observing every services and facility, as well as going through the customer feedback book and studying the analysis based on the consumer behavior, I got to know that although Gurgaon Central is one such mall which customer looks forward to every weekend, for any promotional offers and thus keeps the customer engaged with something or the other but still some of the suggestions that I would like to propose forward are: 1. First of all, which many people have also noticed and suggested is that there are no sitting arrangements on any of the floors in the mall. As the mall is quite huge, there are 4 floors and basement, lifts and escalators too but still there are many people coming in the mall of various age groups. The people often get tired while roaming around, so there can be small couches as they are present in the Wi-Fir Central be present at every floor, at spaces. 2. Gurgaon Central has various services for people and also conducts various activities on a regular basis for every age group especially young children. As observed many families comes for shopping with their young kids who often become restless while shopping and thus whole family have to return back home shopping half of the stuff they actually wanted to purchase. Central can thus provide a Kids Playing Area too wherein there can be games, kids scooters, cars or doll houses to keep the kids engaged while their parents are shopping. This service can be provided at nominal hourly rates if not free of cost. 3. Gurgaon Central so far is just an apparel store. It does not have anything else to pull the crowd. Gurgaon Central should come up with a movie hall

57

and a food court so that people who go to malls not for only shopping can also come to Central Gurgaon. 4. When we enter Gurgaon Central we straight away are confronted with sales counters and salesmen, which is not comforting for the customers. They are not given any free space to first get used to the ambience. Layout of the mall can be slightly changed so that the customers can get comforted. 5. When I asked people about various services, the response was astonishing as they werent aware which of the services are paid and which arent. To improve on this, the signages of these services should be improved with clear indication about the placement of these services along with the methods by which they can be availed instead of having just the names of the services. 6. Youth wear, ladies wear and mens wear are the area where maximum purchasing is done. The sales executives attending the customers in these areas are very few in number. Sales staff used at other countes where not many people come like the kids wear can be shifted to attend in the busy areas. 7. Out of the budget assigned for promotion, maximum share is assigned for the indoor promotion rather than the outdoor promotion. Gurgaon Central should allocate more share of the budget for its outdoor promotions, such as putting hoardings at more prominent arears etc to pull more crowd for its indoor activities. 8. The attending staffs should be well informed about the offers running at the store and should be well communicated so that they can handle the general customer inquiries and the customer needs.

58

CONCLUSION

The research has shown that Gurgaon Central is doing great business. In only 23 years of its coming up it has already taken over as the market leader in many areas such as collection of brands, variety, accessories etc. The sales team has also been found to be very effective with its conversion of sales. The activities that take place are successful in pilling in a lot of crowd. There were some loopholes found in there working as well such as the outdoor promotion was not found up to the mark, the allocation of sales force was not planned, the mall layout needs improvements etc. But all said and done it was a very successful research work, and I hope that my recommendations are of some use to Gurgaon Central. In Retail sector customer plays an important role. By providing service to the customer we can generate enough of revenue. Like in central gurgaon revenue is not only generated from the sale of merchants but also by providing services to the customers. Central provides service like central wifi, central beauty, central radio, mobile charging facility, central flower, parking facility and many more.

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ANNEXURE 1. RESEARCH QUESTIONNAIRE (Do Denims Promotion)

Name: Mobile No.: Occupation:
Please specify your age group: 15-25 yrs. 26-35 yrs. 36-45 yrs. 46-55 yrs.

1. Is this your first visit to Central?

Yes

No

2. Are you aware of any promotion currently running at Central?

Yes

No

3. If yes, can you name the promotion? 4. How did you get to know about the Centrals Do Denims promotion? Friends and relatives Store display from outside Press ad Outdoor/hoardings SMS Others, please specify

5. Please rate the Denims available on the following parameters. Parameters Average Good Variety in fits Latest in fashion

Excellent

6. Please list the top three brands that offered the best range of Denims during the promotion.

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7. Did you shop at Centrals Do Denims promotion? Yes No

8. If yes, how many Denims did you buy today? 1. 2. 3. 4 Or more 9. How much did you spend during this visit on Denims? Up to Rs.500 Rs. 501 -1000 Rs. 1001-2000 Rs. 20013000 Above Rs.3000

10. Did you avail the offer on the best Denim brands like Lee Cooper, Levis , Pepe, Wrangler, etc ? Yes No

11. Did you utilize the exclusive services during the promotion? Fits specialists Tattoo Denim make overs

12. If yes, how would you rate the above services? Excellent Good Average Did not like

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2 .Research Questionnaires
Name: Profession: Gender: M/F
Please specify your age group: < 20 Years 20-29 Years 30-39 Years 40-49 Years > 50 Years

1. Which mall do you prefer to visit? (Please tick) Shoppers Ambience Mall Gurgaon MGF stop Central Metropolitan

DLF City Centre

Lifestyle

2. How frequently do you visit a mall? (Please tick) Once a week More than once a week Once a month

Rarely

3. How much money do you usually spend while shopping? (Please tick) Rs. 0-500 500-1000 1000-1500 1500-2000

> 2000

4. How much time do you usually spend in a mall? (Please tick) Less than hrs -1hrs 1-2 Hrs

More than 2 hrs

5. What kind of activity do you associate with the term Mall ? (Please tick) Shopping centre Multiplex Theatre Hangout Any other, please specify place

6. How would you come to know about the Central? (Please tick) Friends & relatives Newspaper Posters & TV Commercials Hoardings

Radio

7. Please rate the Central on a scale of 1-5 point. (1=least preferred, 5=most preferred) 1 2 3 4 5

8. Any suggestion would you like to give us to improve the service being provided?

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REFERENCES

Kotler, Keller, Koshy, Jha, 13th edition, Marketing Management C.R Kothari, 10th edition, Research Methodology Satish K. Batra & S.H.H Kazmi, Consumer Behavior www.pantaloon.com www.wikipedia.com www.futuregroup.in www.future-group.com

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