Store & Supermarket Project
Store & Supermarket Project
Store & Supermarket Project
ON
STUDY OF CUSTOMER
SATISFACTION FOR PROVISION
STORE & SUPERMARKETS
SUBMITTED BY
P O S T G R A D U AT E D I P L O M A I N
B U S I N E S S A D M I N I S T R AT I O N
DECLARATION
This is to declare that I Aarti Goswami have carried out this project work myself in part
fulfilment of the Post Graduate Diploma in Business Administration (Specialization Marketing) Program of SCDL.
The work is original, has not been copied from anywhere else and has not been submitted
to any other University/Institute for an award of any degree/diploma.
________________
Students Signature
Name: Aarti Goswami
Date: 13.01.2016
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CERTIFICATE OF SUPERVISOR
Certified that the work incorporated in this Project Report on Study of Customer
Satisfaction for Provision Store & Supermarkets submitted by Aarti Goswami
Goswami is
his/her original work and completed under my supervision.
Material obtained from other sources has been duly acknowledged in the Project Report.
Date: 13.01.2016
Signature of Guide
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S. No.
1
Particulars
Introduction
Page No.
5
a.
Marketing Concepts
b.
Consumer Satisfaction
c.
Retailing
d.
Supermarket
15
Review of Literature
19
Background of Study
21
a.
Statement of Problem
22
b.
22
c.
23
Objectives of Study
24
Research Methodology
26
Industry Profile
30
39
a.
Stores
40
b.
Super Markets
65
Findings of Study
94
Limitations of Study
97
10
Recommendations
101
11
Conclusions
104
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Introduction
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INRODUCTION
Marketing is a human activity directed at satisfying needs and wants through exchange
process. It has been reviewed as an on going process involving a set of interacting
activities dealing with a market, adoring the product and services to consumers on the
bases of reliable market anticipation.
Marketing involves a large number of activities such as market research, produce
development, distribution, pricing, advertising and personal selling. Marketing combines
several activities designed to sense, serve and satisfy consumer needs while meeting the
goals of the organization.
Marketing is so basic that it cant be considered a separate function. It is the whole
business seen from the point of view of its final result; that is from the customers point of
view.
-Peter Druckers
Marketing starts with identification of specific need on the part of consumer and ends with
the satisfaction of that need. The consumer is found both at the beginning and at the end of
the marketing process.
Marketing is a societal process by which individuals and groups obtain what they need and
want through creating, offering and freely exchanging products and services of value with
others. For managerial definition marketing has often been described as the art of selling
products, but people are surprised when they hear that the most important part of
marketing is not selling! Selling is only the tip of the marketing iceberg.
Peter Drucker, a leading management theorist, puts it this way:
There will always, one can assume, be need for some selling. But the aim of marketing is
to make selling superfluous. The aim of marketing is to know and understand the customer
so well that the product or service fits him and sells itself. Ideally, marketing should result
in a customer who is ready to buy. All that should be needed then is to make the product or
service available.
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The American Marketing Association offers the following definition: Marketing is the
process of planning and executing the conception, pricing, promotion and distribution of
ideas, goods and services to create exchanges that satisfy individual and organization
goals. Coping with exchanges processes calls for a considerable amount of work and skill.
Marketing management takes place when at least one party to a potential exchange thinks
about the means of achieving desired responses from other parties. Marketing management
as the art and science of choosing target markets and getting, keeping and growing
customers through creating, delivering and communicating superior customer value.
MARKETING CONCEPT
The marketing concept emerged in the mid-1950s and challenged the preceding concepts.
Instead of a product-centred, make-and-sell philosophy we shift to a customer-centred,
sense-and-respond philosophy. Instead of hunting, marketing is gardening. The job is
not to find right customers for your product, but the right products for your customers.
The marketing concept holds that the key to achieving its organizational goals consists of
the company being more effective than competitors in creating, delivering and
communicating superior customer value to its chosen target markets.
Theodore Levitt of Harvard drew a perceptive contrast between the selling and marketing
concepts:
Selling focuses on the needs of the seller; marketing on the needs of the buyer. Selling is
preoccupied with the sellers need to convert his product into cash; marketing with the idea
of satisfying the needs of the customer by means of the product and the whole cluster of
things associated with creating, delivering and finally consuming it.
The marketing concept rests on four pillars: target market, customer needs, integrated
marketing and profits through customer satisfaction. The selling concept takes an insideout perspective. It starts with the factory, focuses on existing products and calls for heavy
selling promoting to produce profitable sales. The marketing concept takes an outside-in
perspective. It starts with a well-defined market, focuses on customer needs, coordinates
all the activities that will affect customers and produces profits by satisfying customers.
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CUSTOMER SATISFACTION
Customer satisfaction depends on a products perceived performance in delivering value
relative to buyers expectations. If the products performance falls short of the customers
expectations, the buyer is dissatisfied. If performance matches expectations, the buyer is
satisfied. If performance exceeds expectations, the buyer is delighted. Outstanding
marketing companies go out of their way to keep their customers satisfied. Satisfied
customers make repeat purchases and they tell others about their good experiences with the
product. The key is to match customer expectations with company performance. Smart
companies aim to delight customers by promising only what they can deliver, then
delivering more than they promise.
Customer expectations are based on past buying experiences, the opinions of friends and
marketer and competitor information and promises. Marketers must be careful to set the
right level of expectations. If they set expectations too low, they may satisfy those who buy
but fail to attract enough buyers. If they raise expectations too high, buyers will be
disappointed.
The American Customer Satisfaction Index, which tracks customer satisfaction in more
than two dozen U.S. manufacturing and service industries, shows that overall customer
satisfaction has been declining slightly in recent years. It is unclear whether this has
resulted from a decrease in product and service quality or from an increase in customer
expectations. In either case, it presents an opportunity for companies that can deliver
superior customer value and satisfaction.
Todays most successful companies are rising expectations-and delivering performance to
match. These companies embrace total customer satisfaction. They aim high because they
know that customers who are merely satisfied will find it easy to switch suppliers when a
better offer comes along. For example, one study showed that completely satisfied
customers are nearly 42 percent more likely to be loyal than merely satisfied customers.
Another study by AT& T showed that 70 percent of customers who say they are satisfied
with a product or service are still willing to switch to a competitor; customers who are
highly satisfied with a product or service are much more loyal. Xerox found that its totally
satisfied customers are six times more likely to repurchase Xerox products over the next 18
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months than its satisfied customers. Customer delight creates an emotional affinity for a
product or service, not just a rational preference and this customer loyalty. Highly satisfied
customers are less price sensitive, remain customers longer, and talk favourable to others
about the company and its products.
Although the customer-centred firm seeks to delivery customer satisfaction relative to
competitors, it does not attempt to maximize customer satisfaction. A company can always
increase customer satisfaction by lowering its price or increasing its services, but this may
result in lower profits. Thus, the purpose of marketing is to generate customer value
profitably. This requires a very delicate balance: The marketer must continue to generate
more customer value and satisfaction but not give away the house.
RETAILING
Retailing includes all the activities involved in selling goods or services directly to final
consumers for personal, non business use. A retailer or retail store is any business
enterprise whose sales volume comes primarily from retailing.
Any organization selling to final consumers whether it is a manufacturer, wholesaler or
retailer is doing retailing. It does not matter how the goods or services are sold or where
they are sold.
TYPES OF RETAILERS
Consumers today can shop for goods and services in a wide variety of retail organizations.
There are store retailers, non store retailers and retail organizations. Perhaps the Best-know
type of retailer is the department store.
The most important retail-store types are described.
Speciality Store: Narrow product line with a deep assortment. A clothing store would be a
single-line store; a mens clothing store would be a limited-line store; and a mens customshirt store would be a super speciality store. Examples: Athletes Foot, The body shop
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Levels of service: The wheel-of-retailing hypothesis explains one reason that new store
types emerge. Conventional retail stores typically increase their services and raise their
prices and less service. New store types meet widely different consumer preferences for
service levels and specific services.
Retailers can position themselves as offering one of four levels of service:
1.
Self service: Self service is the cornerstone of all discounts operations. Many
customers are willing to carry out their own locate-compare-select process to save
money.
2.
Self-selection: Customers find their own goods, although they can ask for
assistance.
3.
Limited service: These retailers carry more shopping goods and customers need
more information and assistance. The stores also offer services (such as credit and
merchandise-return privileges).
4.
Full service: Salespeople are ready to assist in every phase of the locate-compareselect process. Customers who like to be waited on prefer this type of store. The
high staffing cost, along with the higher proportion of specialty good as and slowermoving items and the many services, results in high-cost retailing.
MARKETING DECISIONS
In the past retailers held customers by offering convenient location, special or unique
assortments of goods, greater or better services than competitors and store credit cards. All
of this has changed. Today, national brands such as Calvin Klein, Izod and Levis are found
in department stores, in their own shops, in merchandise outlets and in off-price discount
stores. In their drive for volume, national-brand manufacturers have placed goods
everywhere. The result is that retail-store assortments have grown more alike.
Service differentiation also has eroded. Many department stores trimmed services and
many discounters have increased services. Customers have become smarter shoppers. They
do not want to pay more for identical brand, especially when service differences have
diminished; nor do they need credit from a particular store, because bank credit cards are
almost universally accepted.
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Supermarkets have opened larger stores, carry a larger number and variety of items and
upgrade facilities. Supermarkets have also increased their promotional budgets and moved
heavily into private brands. Retailers marketing decisions in the areas of target market,
product assortment and procurement, services and store atmosphere, price, promotional
and place.
Target Market: A retailers most important decision concerns the target market. Until the
target market is defined and profiled, the retailer cannot make consistent decisions on
product assortment, store dcor, advertising messages and media, price and services levels.
Some retailers have defined their target markets quite well:
Product assortment and procurement: The retailers product assortment must match the
target markets shopping expectations. The retailer has to decide on product-assortment
breadth and depth. The real challenge begins after defining the stores product assortment
and that is to develop a product-differentiation strategy.
Here are some possibilities:
Feature exclusive national brands that are not available at competing retailers.
Thus Saks might get exclusive rights to carry the dresses of a well-known
international designer.
Feature the latest or newest merchandise first: The sharper image leads other
retailers in introducing electronic appliances from around d the world.
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Pre purchase services include accepting telephone and mail orders, advertising,
window and interior display, fitting rooms, shopping hours, fashion shows, tradeins.
Post purchase services include shipping and delivery, gift wrapping, adjustments
and returns, alterations and tailoring, installations, engraving.
The services mix is a key tool for differentiating one store from another; so is atmosphere.
(See Marketing for the New Economy: Extreme Retailing.) Atmosphere is another
element in the store arsenal. Every store has a physical layout that makes it hard or easy to
move around. Every store has a Look. The store must embody a planned atmosphere that
suits the target market and draws consumers toward purchase.
PRICE DECISION
Prices are a key positioning factor and must be decided in relation to the target market, the
product-and-service assortment mix and competition. All retailers would like to achieve
high volumes and high gross margins. They would like high Turns x Earns, but the two
usually do not go together. Most retailers fall into the high-makeup, lower-volume group
(fine specialty stores) or the low-mark-up, higher-volume group (mass-merchandisers and
discount stores). Within each of these groups are further gradations).
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Retailers must also pay attention to pricing tactics. Most retailers will put low prices on
some items to serve as traffic builders or loss leaders. They will run storewide sales. They
will plan markdowns on slower-moving merchandise.
Some retailers have abandoned sales pricing in favour of everyday low pricing (EDLP).
EDLP could lead to lower advertising costs, greater pricing stability, a stronger image of
fairness and reliability and higher retailer profits. Frank Feather cites a study showing that
supermarket chains practicing everyday low pricing are often more profitable than those
practicing sales pricing.
PROMOTION DECISION
Retailers use a wide range of promotion tools to generate traffic and purchases. They place
ads, run special sales, issue money-saving coupons and run frequent shopper-reward
programs, in-store food sampling and coupons on shelves of at checkout points. Each
retailer must use promotion tools that support and reinforce its image positioning. Fine
stores will place tasteful full-page ads in magazines such as Vogue and Harpers. They will
carefully train salespeople to greet customers, interpret their needs, and handle complaints.
PLACE DECISION
Retailers are accustomed to saying that the three keys to success are location, location and
location. Customers generally choose the nearest bank and gas station. Department-store
chains, oil companies and fast-food franchisers exercise great care in selecting locations.
The problem breaks down into selecting regions of the country in which to open outlets,
then particular cities and then particular sites. A supermarket chain might decide to operate
in the Midwest; in the cities of Chicago, Milwaukee and Indianapolis; and in 14 locations,
mostly suburban, within the Chicago region.
Retailers can locate their stores in the central business district, a regional shopping centre,
a community shopping centre, a shopping strip, or within a larger store.
General business districts: This is the oldest and most heavily trafficked city
area, often known as downtown. Store and office rents are normally high. Most
downtown areas were hit by a flight to the suburbs in the 1960s, resulting in
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Regional shopping centres: These are large suburban malls containing 40 to 200
stores. They usually draw customers from a 5 to 20 mil radius. Malls are attractive
because of generous parking, one-stop shopping, restaurants and recreational
facilities. Successful malls charge high rents and may get a share of stores sales.
anchor store
Strip malls (also called shopping strips): these contain a cluster of stores,
usually housed in one long buildings, serving a neighbourhoods needs for
groceries, hardware, laundry, shoe repair and dry cleaning. They usually serve
people within a five to tenminute driving range.
In view of the relationship between high traffic and high rents, retailers must decide on the
most advantageous locations for their outlets. They can use a variety of methods to assess
locations, including traffic counts, surveys of consumer shopping habits and analysis of
competitive locations. Several models for site location have also been formulated.
Retailers can assess a particular stores sales effectiveness by looking at four indicators:
1.
2.
3.
4.
TRENDS IN RETAILING
At this point, the main developments retailers and manufacturers need to take into account
in planning competitive strategies.
1.
New retail forms and combinations: some supermarkets include bank branches.
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2.
3.
4.
5.
Global presence of major retailers: Retailers with unique formats and strong
brand positioning are increasingly appearing in other countries.
6.
Selling an experience, not just goods: Retailers are now adding fun community in
order to compete with other stores and online retailers. There has been a marked
rise in establishments that provide a place for people to congregate, such as
coffeehouses, tea shops, juice bars, book shops.
7.
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SUPERMARKET
Large self-service shop selling food and household goods. The first, Piggy-Wiggly was
introduced by US retailer Clarence Saunders in Memphis, Tennessee, 19919. Supermarkets
have a high turnover and are therefore able to buy goods in bulk. This cuts down the unit
cost and, in turn, the price which further encourages business. Classic self-service 4,00020,000sq-ft with shopping carts as popularized in India by Crazy Boys films with typical
focus on regular groceries, household goods and personal care products. Tesco and
Safeway are famous chains. In India Nanz Food world and Nilgirils are popular name.
STRENGTHS OF SUPERMARKET FROM CONSUMER POINT OF VIEW:
Supermarket format of retailing try to fulfil these expectation through following merits.
1.
It saves the time because customer will get everything at a one place with selfservice.
2.
3.
Multi brand department stores offer an intermediate solution with complete brand
choice to the customer and spacious shop, which allows the manufacturers to
present his product appropriately.
4.
Sometimes customer also get discount because multi brand stores go for bulk
purchase and pass the earning of differences toward the customer.
5.
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1.
2.
According to experts, the real boom in organized retailing will come once
supermarkets starts selling daily need goods at 90% of the regular price that result
into low sales turnover because of that there is very low gross margin, low net
margin and very low turn over per sq feet compare to unorganized sector in Indian
and organized sector in foreign.
3.
Another very important thing is gross margins return on investment. But the
problem of Indian retailing is to source on credit and sells on cash. Yet, retail
margins in India are lower than overseas. The large format players face high costs,
especially in comparison with traditional retailers that pay very little rent for real
estate.
4.
5.
Typical mindset and psychology of Indian middle class. So, it would be a biggest
challenge to transform the psychology of Indian middle class segment.
6.
From strategic decision point of view another biggest problem is to select a right
retail format to fight against unorganized retail organization. Thus, there is question
regarding very existence and survival of supermarket because still it has not proved
successful in India.
7.
Still organized sector does not provide full satisfaction to customer in terms of
quality, quantity, competitive price and convenience in terms of various service,
assessable location and layout of supermarket.
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Review of Literature
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REVIEW OF LITERATURE
Review of literature refers to identifying already existing literature in the area of consumer
behaviour, to find out what contribution has already been made so that it can serve a
valuable base for further expanding the literature. The researcher, while choosing the
relevant literature for this study, has taken extreme care not to omit any literature
pertaining to the consumer behaviour. This chapter revolves around the various relevant
literatures screened to formulate the subject matter of the proposed study Buying Pattern
of Indian Customers in the Changing Retail Scenario. The literature survey revealed
that studies have been conducted in the functional areas of marketing leading to the
availability of a large volume on the subject.
However they were used by this researcher for the purpose of building theoretical
background and also as a reference for secondary data. This study on the existing
comparative analysis of customer satisfaction towards provision store and supermarket has
been taken.
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an analysis to find better scope for improvement based on the analysis. This study is an
attempt to identify the problems if any in the field of customer satisfaction in the grocery
retail sector and to come out with a solution for the problem. These aspects have formed
the need for the study.
SCOPE OF THE STUDY
The study will help to know about customers level of satisfaction who purchases in
provision stores and supermarket. It will help the provision stores and supermarket to
understand the level of customer satisfaction and feedback from the customers regarding
their services and on the availability of range of products. So the study will help the
provision stores and supermarket to identify the strengths and weakness. This study will
also reveal the customers attitude towards supermarket and provision stores.
PURPOSE
Review of literature is to elucidate valid data and information. But this project study was
done with the purpose of throwing light on the depth of the coverage already achieved in
developing the subject matter. This helps fresh learners can get tailor-made customer
information on finger tips.
However, the main purpose of literature survey in the case of this project work is to
appreciate what is not covered in similar topics, so that it can be included in this project
work and improvements can be made on the existing data. This study also covers the
different levels about provision store and supermarket in particular.
This research work on completion is expected to be of immense help to the provision store
and supermarket in improving the existing level of satisfaction among customers. With
novel and enterprising sales promotion techniques more milestones can be achieved. As a
whole new sales promotion technique can be gradually and effectively introduced to
attracting the customer which can resulting in enhancement of customer satisfaction.
On the basis of this study similar study by other venture in this field also becomes easy.
This study is also a yardstick for the retailers to ascertain the customer satisfaction over the
features and services of the provision store and supermarket.
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Objectives of Study
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To know about the scheme employed by the provision stores and supermarket
to influence purchase.
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Research Methodology
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RESEARCH METHODOLOGY
RESEARCH DESIGN
HYPOTHESIS
Null hypothesis Ho: The level of customer satisfaction towards provision store is not
more than supermarket.
Alternative hypothesis H1: The level of customer satisfaction towards provision store is
more than supermarket.
METHODOLOGY
For the purpose of literature survey a sample survey method was adopted. Libraries of
Bangalore University, DSCMIT were visited and existing reports were scanned. Some well
developed and informative websites from the internet were also surfed in order to
authoritatively lay hands on the subject matter.
The researcher adopted the survey method for this descriptive study. Questionnaire was
used to collect information through personal interviews from the customer of provision
store and supermarket.
TYPE OF RESEARCH
Research design is a detailed blue print used to guide the research study towards its
objectives. The process of designing a research study involves many interrelated decisions.
The most significant decision is the choice of research approach as it determines how the
information will be obtained.
Keeping this in mind and to select a particular tool for data collection, the researcher has
adopted the Survey research method. Survey research method is used by asking questions
to people who are believed to possess the desired information. It measures the magnitude
of peoples knowledge, attitudes and buying behaviour. In survey method the data
collection is through structured direct interview. Structured direct interview is a formal
questionnaire (i.e. set of questions) that is structured and direct and the interviewer is
instructed to ask the persons those questions only in the order given in the questionnaire.
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This type of interview is referred to as Structured survey. Its advantage is that, less
skilled interviewers can be used resulting in lower cost per interview. It gives standardized
information and hence editing, tabulating and analyzing of the data are more easily done.
SAMPLING TECHNIQUE
Sample is the fraction of the population; sampling is a technique or a method of selection
of samples. The researcher in carrying out this research is adopted the most appropriate
sampling technique for research that is the Simple Random Sampling technique.
According to the simple random sampling method it is assumed that entire population is
homogeneous and the samples are selected in such a way that each and every unit in the
population has equal chance of occurrence or equal probability of occurrence. In other
words the sampling units are selected randomly. Since random sampling implies equal
probability to every unit in the population, it is necessary that the selection of the sample
must be free from human judgment.
SAMPLE SIZE
The researcher has taken out 100 samples randomly from the total population (i.e.50
respondents who purchase from provision store and another 50 respondents who purchase
from supermarket). To select sample from the population, 95% as a confidence level is
taken.
SAMPLE DESCRIPTION
With the research being conducted to know the customer satisfaction towards provision
store and supermarket, the research circulates randomly around the respondents who buy
their grocery from provision store and supermarket. Sample is taken for this research is
from Jayanagar, B.D.A. and K.S. layout of Bangalore. The occupation of sample is
housewife and professionals. This research work has been focused only on the mid-class
segment. These are the respondents who have lots of expectations and who value their
suggestions and prefer it to be implemented.
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METHODS OF CONTACT
Personal interview is the method of contact used with the respondents. Personal
interviewing method is used because sample size is relatively small and the interviewer can
ask more questions
TOOLS USED FOR TESTING OF HYPOTHESIS
Various statistical tools were used in the testing of hypothesis. Ideas also developed from
previous research studies. Percentage calculation, various frequency distributions have
been used in analyzing the data. Bar charts and pie charts were plotted; decision analyses
were used in data classification. Chi square test will be the main tool to be involved in the
testing of hypothesis and in drawing conclusions.
OTHER SOFTWARES USED FOR DATA ANALYSIS
The software utility in the data analysis has facilitated the researcher in analysis of the data
and presenting it. The software used is Microsoft office tools such as Ms Word and Ms
Excel. Bit ware for windows is the software that was used in analyzing data. Ahead
software was used in writing the project data into the compact disc.
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Industry
Profile
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INDUSTRY PROFILE
RETAIL INDISTRY
The retail industry is focused on the sale of goods or merchandise from a specific location
for direct consumption by the purchaser. North America is the home of most of the worlds
largest retailers, since the U.S. dominates the global retailing industry. Not only is the retail
industry responsible for two-thirds of the U.S.s GDP, U.S. retail companies have also
established a presence on every continent. The largest retail giants globally are Wal-Mart
(USA), Metro AG (Germany), Carrefour (France) and Tesco (UK).
The industry employs a staggering number of people, and given its rapid proliferation, this
number is always on the rise. The backbone of the sector are the operations and supply
chain management jobs but there are various other options as well, from sales executives
and store managers to merchandise planners and buyers.
The Global Retail Industry : An Overview
Retail has played a major role world over in increasing productivity across a wide range of
consumer goods and services .The impact can be best seen in countries like U.S.A., U.K.,
Mexico, Thailand and more recently China. Economies of countries like Singapore,
Malaysia, Hong Kong, Sri Lanka and Dubai are also heavily assisted by the retail sector.
Retail is the second-largest industry in the United States both in number of establishments
and number of employees. It is also one of the largest world wide. The retail industry
employs more than 22 million Americans and generates more than $3 trillion in retail sale
annually. Retailing is a U.S. $7 trillion sector. Wal-Mart is the worlds largest retailer.
Already the worlds largest employer with over 1million associates, Wal-Mart displaced oil
giant Exxon Mobil as the worlds largest company when it posted $219 billion in sales for
fiscal 2001. Wal-Mart has become the most successful retail brand in the world due its
ability to leverage size, market clout, and efficiency to create market dominance. Wal-Mart
heads Fortune magazine list of top 500 companies in the world. Forbes Annual List of
Billionaires has the largest number (45/497) from the retail business.
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Home Country
U.S.A.
2 Carrefour Group
France
U.S.A.
U.S.A.
5 Metro
Germany
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Liberalization of the Indian economy which has led to the opening up of the market
for consumer goods has helped the MNC brands like Kellogs, Unilever, Nestle, etc.
To make significant inroads into the vast consumer market by offering a wide range
of choices to the Indian consumers.
Shift in consumer demand to foreign brands like McDonalds, Sony, Panasonic, etc.
The internet revolution is making the Indian consumer more accessible to the
growing influences of domestic and foreign retail chains. Reach of satellite T.V.
channels is helping in creating awareness about global products for local markets.
About 47% of Indias population is under the age of 20; and this will increase to
55% by 2015. This young population, which is technology-savvy, watch more than
50 TV satellite channels, and display the highest propensity to spend, will
immensely contribute to the growth of the retail sector in the country. As India
continues to get strongly integrated with the world economy riding the waves of
globalization, the retail sector is bound to take big leaps in the years to come. The
Indian retail sector is estimated to have a market size of about $ 180 billion; but the
organised sector represents only 2% share of this market. Most of the organised
retailing in the country has just started recently, and has been concentrated mainly
in the metro cities.
India is the last large Asian economy to liberalize its retail sector. In Thailand, more than
40% of all consumer goods are sold through the super markets and departmental stores. A
similar phenomenon has swept through all other Asian countries. Organised retailing in
India has a huge scope because of the vast market and the growing consciousness of the
consumer about product quality and services.
A study conducted by Fitch, expects the organized retail industry to continue to grow
rapidly, especially through increased levels of penetration in larger towns and metros and
also as it begins to spread to smaller cities and B class towns. Fuelling this growth is the
Study of Customer Satisfaction for Provision Store & Supermarkets
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Hypermarts
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years, a few retail chains specializing in these products have come into the market.
Although these retail chains account for only a small share of the total market , their
business is expected to grow significantly in the future due to the growing quality
consciousness of buyers for these products .
c) CLOTHING & FOOTWEAR
Numerous clothing and footwear shops in shopping centers and markets operate all over
India. Traditional outlets stock a limited range of cheap and popular items; in contrast,
modern clothing and footwear stores have modern products and attractive displays to lure
customers. However, with rapid urbanization, and changing patterns of consumer tastes
and preferences, it is unlikely that the traditional outlets will survive the test of time.
d) HOME FURNITURE & HOUSEHOLD GOODS
Small retailers again dominate this sector. Despite the large size of this market, very few
large and modern retailers have established specialized stores for these products. However
there is considerable potential for the entry or expansion of specialized retail chains in the
country.
e) DURABLE GOODS
The Indian durable goods sector has seen the entry of a large number of foreign companies
during the post liberalization period. A greater variety of consumer electronic items and
household appliances became available to the Indian customer. Intense competition among
companies to sell their brands provided a strong impetus to the growth for retailers doing
business in this sector.
f) LEISURE & PERSONAL GOODS
Increasing household incomes due to better economic opportunities have encouraged
consumer expenditure on leisure and personal goods in the country. There are specialized
retailers for each category of products (books, music products in this sector. Another
prominent feature of this sector is popularity of franchising agreements between
established manufacturers and retailers.
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The retailers in India have to learn both the art and science of retailing by closely
following how retailers in other parts of the world are organizing, managing, and coping up
with new challenges in an ever-changing marketplace. Indian retailers must use innovative
retail formats to enhance shopping experience, and try to understand the regional variations
in consumer attitudes to retailing. Retail marketing efforts have to improve in the country advertising, promotions, and campaigns to attract customers; building loyalty by
identifying regular shoppers and offering benefits to them; efficiently managing high-value
customers; and monitoring customer needs constantly, are some of the aspects which
Indian retailers need to focus upon on a more pro-active basis. Despite the presence of the
basic ingredients required for growth of the retail industry in India, it still faces substantial
hurdles that will retard and inhibit its growth in the future. One of the key impediments is
the lack of FDI status. This has largely limited capital investments in supply chain
infrastructure, which is a key for development and growth of food retailing and has also
constrained access to world-class retail practices. Multiplicity and complexity of taxes,
lack of proper infrastructure and relatively high cost of real estate are the other
impediments to the growth of retailing. While the industry and the government are trying
to remove many of these hurdles, some of the roadblocks will remain and will continue to
affect the smooth growth of this industry. Fitch believes that while the market share of
organised retail will grow and become significant in the next decade, this growth would,
however, not be at the same rapid pace as in other emerging markets. Organised retailing in
Page 36
India is gaining wider acceptance. The development of the organised retail sector, during
the last decade, has begun to change the face of retailing, especially, in the major metros of
the country. Experiences in the developed and developing countries prove that performance
of organised retail is strongly linked to the performance of the economy as a whole. This is
mainly on account of the reach and penetration of this business and its scientific approach
in dealing with customers and their needs. In spite of the positive prospects of this industry,
Indian retailing faces some major hurdles (see Table 1), which have stymied its growth.
Early signs of organized retail were visible even in the 1970s when Nilgiris (food), Viveks
(consumer durables) and Nallis (sarees) started their operations. However, as a result of the
roadblocks (mentioned in Table 1), the industry remained in a rudimentary stage. While
these retailers gave the necessary ambience to customers, little effort was made to
introduce world-class customer care practices and improve operating efficiencies.
Moreover, most of these modern developments were restricted to south India, which is still
regarded as a Mecca of Indian Retail.
Performance
In todays dynamic and shaky business world, the retail industry is constantly upgrading
itself. With an endless array of customer choices, fierce competitors, pervasive use of the
internet, and a complex global economy, retailers need to focus on finding ways to sustain
and grow their businesses. Traditional growth models that focused on rolling out more
stores and adding more product lines, no longer enjoy the return on investment they once
did. Successful retailers are those who are able to adapt and change to the environment and
develop new ways of serving customers, respecting the dynamics of current trends and
adapting accordingly.
The retail industry in India is hailed as a sunrise sector, and is estimated to double in value
from US$ 330 billion in 2007 to $640 billion by 2015. In fact, India has topped AT
Kearney's annual Global Retail Development Index (GRDI) for the third year in a row as
the most attractive market for retail investment.
The bad news is, despite the fact that India has one of the largest number of retail outlets in
the World, organized retail accounts for only 4% of the total market. This makes it
especially difficult to apply sophisticated merchandising and sales tools, enhance consumer
Page 37
interaction and also, make very accurate analysis. That said, analysts believe the sector is
likely to show significant growth of over 9 % p.a over the next 10 years and also see rapid
development in organized retail formats, with the proportion likely to reach a more
respectable 25% by 2018.
Growth Potential
The key growth areas include the urban, luxury segment on one end of the spectrum and
serving the rural sector on the other. In addition, government policy encouraging FDI in
the segment has resulted in a plethora of international retailers keen on entering the
market; American retail giant Wal-Mart has tied-up with Bharti Enterprises and global
coffee giant Starbucks' has tied up with PVR Limited. In addition, Carrefour, Boots and
others are also expected to come in with so much action, it is natural that there is a huge
scope for employment opportunities, and experts estimate that the sector will generate
employment for ~ 2.5 million people in 2011. The top retail companies in India include the
Raheja Group, Reliance Retail, Tata Trent, Future Group, RPG Retail, and Ebony Retail
Holdings.
Retailing in India: a forecast
Future of organized retail in India looks bright. According to recent researches it is
projected to grow at a rate of about 37% in 2008 and at a rate of 42% in 2009. It will
capture a share of 10% of the total retailing by the end of 2011.
The organized retail sector is expected to grow to a value of Rs. 2,00,000 crore (US$45
billion) and may generate 10 to15 million jobs in next 5 years. This can happen in two
forms- 2.5 million of these people may be associated directly with retailing and the rest 10
million people may be gainfully employed in related sectors that will be pulled up through
the strong forward and backward linkage effects.
However to compete in this sector one needs to have up-to-date market information for
planning and decision making. The second most important requirement is to manage costs
widely in order to earn at least normal profits in face of stiff competition
Page 38
Page 39
Page 40
Page 41
Particulars
Yes
No
Total
No of Respondents
48
2
50
Percentage
96%
4%
100%
Analysis: The table shows that 96% of respondents said provision store is near and 4% of
respondent said provision store is not near.
Interpretation: It is found that a majority of the respondents rated provision store as a
better choice as far as location is concerned because the shop is located around the locality
and therefore offers a convenient option especially if few items are required in a urgently.
Graph-7.2: Location of Provision Store
Page 42
No of Respondents
14
32
4
50
Percentage
28%
64 %
8%
100%
Analysis: The above collected data reveals that 28% of respondents purchase weekly, 64%
of respondents purchase monthly and 8% of respondents purchase once in 2 months.
Interpretation: From the analysis
provision store regularly they purchases weekly and monthly and those respondents who
visit provision store but not regularly purchases once in 2 months.
Graph-7.3: Frequency of Purchase
Page 43
No of respondents
8
14
18
10
50
Percentage
16%
28%
36%
20%
100%
Analysis: The table above indicates that 16% of respondents rated 1-2 years, 28% of
respondents rated 2-4 years, 36% of respondents rated 4-7years and 20% of respondents
rated 7 and above years.
Interpretation: It is found that most of respondents are purchasing from provision store
for more than 2 years and above is clearly evident that provision store offers a friendly
personal service, customers may be known to the retailer, therefore allows small credit, the
shop is located around the locality and therefore offers a convenient option, availability of
wide range of products and provide good quality of product.
Graph-7.4: Purchase History
Page 44
Particulars
Yes
No
Total
No of Respondents
44
6
50
Percentage
88%
12%
100%
Analysis: The above table shows that 88% of respondents are satisfied with the range of
products available in the provision store and 12% of respondents are not satisfied with the
range of products available in the provision store.
Interpretation: The survey indicates that most of the customers are satisfied with the
range of products available in the provision and it is because provision store has wide
range of both branded and unbranded products and also in different quantities.
Graph-7.5: Satisfaction on Range Of Products Available
Page 45
No of Respondents
44
6
50
Percentage
88%
12%
100%
purchase entire
grocery from provision store and 12% of respondents do not purchases entire grocery from
provision store.
Interpretation: From above analysis it is evident that the 88% of respondents purchase
entire grocery from provision store and that it is because provision store provide price
reduction on their total purchase, availability of wide range of both branded and unbranded
product and also quality of products is excellent.
Graph-7.6: Opinion on Total Purchase
Page 46
No of Respondents
2
2
4
4
Percentage
17%
17%
33%
33%
Analysis: The above data collected reveals that 17% of respondent rated dry fruits and
spices and 33%of respondent rated rice and dhal.
Interpretation: Few respondents do not purchase entire ration or grocery from provision
store and these respondents buy only rice, dhal, dry fruits and spices as provision store
provide very good quality and price reduction on the total purchase.
Graph-7.7: Type of Products Purchased
Page 47
No of Respondents
42
8
50
Percentage
84%
16%
100%
Analysis: From the above table, it is clear that 84% of respondents said that provision
store provide free home delivery and 16% of respondents said that provision store does not
provide free home delivery.
Interpretation: It is found that most of the respondents said that provision store provide
free home delivery without enforcing any restrictions.
Graph-7.8: Opinion on Free Home Delivery
Page 48
No of Respondents
50
-
Percentage
100%
Analysis: The above table shows all respondents are satisfied with services.
Interpretation: It is clear that all the respondents are satisfied with services as the
provision store delivers the grocery items on time.
Graph-7.9: Opinion about Services
Page 49
No of Respondents
4
28
18
50
Percentage
8%
56%
36%
100%
Analysis: The above collected data reveals that 56% of respondents rated good, 36% of
respondents rated satisfactory and 8% of respondents rated excellent on quality of
products.
Interpretation: Most of the respondents rated the quality of items like rice, wheat, sugar,
dhal is good and satisfactory because of wide range of products are available and with a
wide choice in prices.
Graph-7.10: Quality of Products
Page 50
No of Respondents
34
16
50
Percentage
68%
32%
100%
Analysis: The above table shows that 68% of respondents have returned the dissatisfied
products and 32% of respondents have not returned the dissatisfied products.
Interpretation: From the analysis it is found that some of the respondents have returned
the products as they were dissatisfied with the purchase made or when the products were
found faculty.
Graph-7.11: Returned the Dissatisfied Products
Page 51
No of respondents
34
-
Percentage
100%
-
Analysis: The data in the above table shows that all the respondents said that replacement
is given for returned products.
Interpretation: The survey indicates that respondents who have returned the dissatisfied
product, among them all the respondents have been given replacement for the returned
product.
Graph-7.12: Replacement Given For Returned Product
Page 52
No of Respondents
14
6
Percentage
70%
30%
Analysis: The above collected data reveals that 70% of respondents said provision store
will refund the money and 30% of respondents said provision store will not refund the
money.
Interpretation: It is found that the respondents who have returned the dissatisfied products
among them most of the respondents have been refunded by provision store.
Page 53
No of Respondents
46
4
50
Percentage
92%
8%
100%
Analysis: It can be analyzed from the table, that 92% of respondents has felt packaging is
good and 8% of respondents has felt packaging is bad.
Interpretation: There is clear indication that almost all the respondents are very much
satisfied with packaging as provision store uses good packaging materials and also they
pack well.
Graph-7.14: Opinion about Packaging
Page 54
No of Respondents
44
6
50
Percentage
88%
12%
100%
Analysis: The above table gives a clear picture that 88% of respondents rated affordable
and 12% of respondents rated cheap.
Interpretation: Most of the respondents rated that pricing in provision store is affordable
and cheap as provision store provide reduction in price on total purchase.
Graph-7.15: Satisfaction Level on Pricing
Page 55
No of Respondents
38
12
50
Percentage
76%
24%
100%
Analysis: The data in the above table shows that 76% of respondents rated price deduction
on the total bill amount and 24% of respondents did not agree that price deductions were
given.
Interpretation: From the above analysis it is evident that most of the respondents rated as
provision store provide price deduction on total purchase. It is one of the reasons why the
respondents prefer to go the provision store.
Graph-7.16: Price Deduction On Total Purchase
Page 56
No of Respondents
48
16
2
-
Percentage
73%
24%
3%
-
Analysis: This table shows that 73% of respondents personally select, 24% of respondents
order by phone and 3% of respondents send order through someone.
Interpretation: The survey indicates that a majority of respondents purchase in provision
store by personal selecting as they are more comfortable. Even though provision store take
order by phone only few respondents are familiar to that mode of purchase.
Graph-7.17: Mode of Purchase
Page 57
No of Respondents
50
50
Percentage
100%
100%
Analysis: The above table clear indicates that all the respondents rated as salesperson are
friendly and helpful
Interpretation: All the respondents rated the salesperson are friendly and helpful because
salesperson voluntarily come forward to help the customers and they provide clear
information about the product. These salespersons know the customer by name and their
requirements.
Graph-7.18: Attitude towards Salespersons
Page 58
No of Respondents
16
-
Percentage
100%
-
Analysis: It can be analyzed from the above table that all the respondents rated as
provision store delivers the product on time when ordered by phone.
Interpretation: From the above analysis it is interpreted from respondents that all
respondents rated as provision store delivers the product on time in right quantity and
quality when ordered by phone and it is because provision store provides excellent service.
Graph-7.19: Opinion on Delivery Of Products
Page 59
No of Respondents
30
14
6
50
Percentage
60%
28%
12%
100%
Analysis: The data in the above table shows that 60% of respondents rated salesperson,
28% of respondents rated catalogue and 12% of respondent rated any other method.
Interpretation: There is clear indication that the source of information in provision store
is provided through the salesperson is 60% who are friendly and helpful and other source
of information in provision store is provided through the catalogue of supermarket is only
28%.
Graph-7.20: Source of Information
Page 60
No of Respondents
50
-
Percentage
100%
-
Analysis: The above collected data reveals that all the respondents preferred cash as the
mode of payment.
Interpretation: From the above analysis it is evident that all the respondents make
payment by cash as they feel more comfort and provision store allow the customer to make
delay payments.
Graph-7.21: Mode of Payment
Page 61
No of Respondents
2
42
6
50
Percentage
4%
84%
12%
100%
Analysis: It can be analyzed from the above table that 4% of respondents rated excellent,
84% of respondents rated good and 12% of respondents rated average.
Interpretation: Most of respondents said that the mode of payment as good because
provision store accepts cash and most of respondents are housewives they fell more
comfort while making payment by cash.
Graph-7.22: Satisfaction on Level Of Mode Of Payment
Page 62
No of Respondents
30
20
-
Percentage
60%
40%
-
Analysis: From the above table it can be analyzed that 60% of respondents said clean &
hygienic and 40% of respondents said lighting.
INTERPRETATION: It is evident from the above analysis that the housekeeping of
provision store is clean & hygienic as no dust will be there on the products and also
provision store has very good lighting facilities.
Graph-7.23: Opinion on Housekeeping
Page 63
No of Respondents
18
24
8
50
Percentage
36%
48%
16%
100%
Analysis: The above collected data reveals that 36% of respondents said good, 48% of
respondents said satisfactory and 16% of respondents said bad.
Interpretation: Some of respondents rated that parking facilities of provision store is
satisfactory and good because only few provision store provide parking facilities and some
of the respondents rated that parking facilities is bad because some of the provision store
has been located in main road and no parking facilities at all.
Graph-7.24: Opinion about Parking Facilities
Page 64
No of Respondents
2
48
50
Percentage
4%
96%
100%
Analysis: The above table clearly indicates that 96% of respondents are satisfied and 4%
of respondents are extremely satisfied.
Interpretation: The survey indicates that most or almost all the customer are satisfied with
provision store and it is because of its quality and availability of wide range of products,
free home delivery, replacement on dissatisfied products, good packing facilities, price
reduction on total purchase salesperson are friendly and helpful, good services, etc.
Graph-7.25: Satisfaction on Shopping
Page 65
No of Respondents
38
12
50
Percentage
76%
24%
100%
Analysis: From the above table it is clear that 76% of respondents visit supermarket
regularly and 24% of respondents visit supermarket but not regularly.
Interpretation: As some of the respondents are housewives, they visit the supermarket
regularly. Few other respondents are professionals they finish their work at late night and
at that time many of the supermarket are closed as a result they visit the supermarket but
not regularly.
Graph-7.1.1: Frequency of Visit To The Supermarket
No of Respondents
Percentage
Page 66
Food world
Big bazaar
Fab mall
Monday to sunday
Janatha bazar
Other
42
8
2
12
6
60%
12%
3%
17%
8%
Analysis: From the above table 60% of respondents prefer Food world, 17% of
respondents prefer Monday to Sunday, 12% of respondents prefer Big bazaar and 8% of
respondents prefer other supermarket.
Interpretation: It is a clear indication that among all the supermarkets Food World is most
preferred by the respondents as it has more outlets compare to other supermarket.
Graph-7.1.2: Type of Supermarket Preferred
No of Respondents
20
22
2
Percentage
40%
44%
4%
Page 67
Occasionally
Total
6
50
12%
100%
Analysis: From the above table 40% of respondents purchase weekly, 44% of respondents
purchase monthly, 4% of respondents purchase once in two months and 12% of
respondents purchase occasionally.
Interpretation: From the analysis it is found that the respondents those who visit
supermarket regularly purchase weekly and monthly and those respondents who visit
supermarket but not regularly purchase once in 2 months and occasionally.
Graph-7.1.3: Frequency of Purchase
Page 68
No of Respondents
42
8
50
Percentage
84%
16%
100%
Analysis: From the table 84% of respondents said that supermarket is near to residence
and 16% of respondents said that supermarket is not near to residence.
Interpretation: There is a clear indication that some of the supermarkets are near to the
respondents residence because of which some of the respondents purchase weekly.
Graph-7.1.4: Location of Supermarket
Page 69
No of Respondents
46
4
50
Percentage
92%
8%
100%
Analysis: From the above table 92% of respondents are satisfied with the range of
products available in the supermarket and 8% of respondents are not satisfied with the
range of products available in the supermarket.
Interpretation: The survey indicates that a majority of the customers are satisfied with the
range of products available in the supermarket and it is because supermarket has wide
range of products and also in different quantities.
Graph-7.1.5: Satisfaction on Range Of Products Available
Page 70
No of Respondents
18
32
50
Percentage
36%
64%
100%
Analysis: The above data collected reveals that 64% of respondents do not purchase entire
grocery from supermarket and 36% of respondents purchases entire grocery from
supermarket.
Interpretation: From above analysis it is evident that the 64% of respondents do not
purchase entire grocery from supermarket and that it is because supermarket does not
provide price reduction on the items like rice, dhal etc which they usually buy in bulk
quantity.
Graph-7.1.6: Opinion on Total Purchase
Page 71
Page 72
No of respondents
Percentage
Non-veg items
5%
Cereals
16%
Snacks
16%
21%
10
26%
16%
Dairy products
Detergents
Analysis: From the above table it is clear that 5% of respondents rated non-vegetarian,
16% of respondents rated cereals, snacks, detergents, 21% of respondents rated dry fruits
& fruits and 26% of respondents rated dairy products.
Interpretation: From the analysis it is found that some of respondents do not purchase
entire grocery from supermarket and these respondents purchase only above mentioned
items as supermarkets provide wide range of products.
Graph-7.1.7: Type Of Products Purchased
Page 73
No of Respondents
30
20
50
Percentage
60%
40%
100%
Analysis: From the above table, it is clear that 60% of respondents said that supermarket
provide free home delivery and 40% of respondents said that supermarket does not provide
free home delivery.
Interpretation: It is found that some of respondents said that supermarket does not
provide free home delivery because some of supermarkets provide free home delivery if
the respondents purchase more than certain amount.
Graph-7.1.8: Opinion on Free Home Delivery
Page 74
No of Respondents
24
6
Percentage
80%
20%
Analysis: The above table shows 80% respondents have a high opinion on satisfaction of
services and 20% of respondents do not have high opinion on satisfaction of services.
Interpretation: It is clear that most of the respondents are satisfied with services as the
supermarket delivers the grocery items on time and 20% of respondents are not satisfied
with services as the supermarket has failed to deliver the grocery items on time.
Graph-7.1.9: Opinion about Services
Page 75
No of Respondents
2
34
14
50
Percentage
4%
68%
28%
100%
Analysis: The above collected data reveals that 68% of respondents rated good, 28% of
respondents rated satisfactory and 4% of respondents rated excellent on quality of
products.
Interpretation: Most of the respondents rated the quality of items like rice, wheat, sugar,
dhal is good because of wide range of products are available
Graph-7.10: Quality of Product
Page 76
No of Respondents
14
36
50
Percentage
28%
72%
100%
Analysis: The above table shows that 72% of respondents have not returned the products
and 28% of respondents have returned the products.
Interpretation: From the analysis it is found that most of the respondents have not
returned the products because supermarket provides perfect platform for comparison of a
same product from different company with a different brand name with complete
information, which could be required to compare the brands and take a best purchasing
decision.
Graph-7.1.11: Returned The Dissatisfied Products
Page 77
No of Respondents
14
-
Percentage
100%
-
Analysis: The data in the above table shows that all the respondents said that replacement
is given for returned products.
Interpretation: The survey indicates that among the respondents who has returned the
dissatisfied products all has been given replacement for the returned product.
Graph-7.1.12: Replacement Given For Returned Product
Page 78
No of Respondents
6
8
Percentage
43%
57%
Analysis: The above data collected reveals that 43% of respondents have felt supermarket
will refund the money and 57% of respondents have felt supermarket will not refund the
money.
Interpretation: It is found that 57% of respondents are not happy with supermarket as
some of the supermarkets wont refund the money and they force the respondent to
purchase some other products for that money.
Graph-7.1.13: Refund The Money
Page 79
No of Respondents
48
2
50
Percentage
96%
4%
100%
Analysis: It can be analyzed from the table, that 96% of respondents have felt that
packaging is good and 4% of respondents has felt packaging is not good.
Interpretation: There is clear indication that almost all the respondents are very much
satisfied with packaging as supermarket uses good packaging materials and also they pack
well.
Graph-7.1.14: Opinion about Packaging
Page 80
No of Respondents
4
42
4
50
Percentage
8%
84%
8%
100%
Analysis: The above table gives a clear picture that 84% of respondents rated affordable,
8% of respondents rated exorbitant and 8% of respondents rated expensive.
Interpretation: Most of the respondents rated that pricing in supermarket is affordable as
supermarket charge maximum retail price on the products.
Graph-7.1.15: Satisfaction Level On Pricing
Page 81
No of Respondents
14
36
50
Percentage
28%
72%
100%
Analysis: The data in the above table shows that 72% of respondents did not agree that
price deduction was given and 28% of respondents rated price deduction is provided on the
total bill amount.
Interpretation: From the above analysis it is evident that most of the respondents have felt
that supermarket does not provide price deduction on total purchase and they charge
maximum retail price.
Graph-7.1.16: Price Deduction On Total Purchase
Page 82
No of Respondents
46
6
8
2
-
Percentage
74%
10%
13%
3%
-
Analysis: This table shows that 74% of respondents personally select, 10% of respondents
order by mail, 13% of respondents order by phone and 3% of respondents send order
through someone.
Interpretation: The survey indicates that most of the respondents purchases in
supermarket through personally selection as they are more comfortable. Even though
supermarkets take order by phone only few respondents are familiar to that mode of
purchase. Only software engineers have been placing the order through the mail.
Graph-7.1.17: Mode Of Purchase
Page 83
Particulars
Yes
No
Total
No of Respondents
46
4
50
Percentage
92%
8%
100%
Analysis: The above table clear indicates that 92% of respondents rated as salesperson are
friendly and helpful and 8% of respondents rated as salesperson are not friendly and
helpful.
Interpretation: Most of respondents rated the salespersons are friendly and helpful
because salespersons voluntarily come forward to help the customers and they provide
clear information about the product.
Graph-7.1.18: Attitude Towards Salespersons
Page 84
No of Respondents
8
6
Percentage
57%
43%
Analysis: It can be analyzed from the above table that 57% of respondents has rated as
supermarket delivers the product on time and 43% of respondents has rated supermarket
does not delivers the product on time.
Interpretation: From the above analysis it is interpreted from respondents that only few
respondents rated as supermarket delivers the product on time in right quantity and quality
when ordered by phone/mail and 43% of respondents rated as supermarkets delay in
delivering the product on time in right quantity and quality when ordered by phone/mail.
Graph-7.1.19: Opinion On Delivery Of Products
Page 85
No of Respondents
38
10
2
50
Percentage
76%
20%
4%
100%
Analysis: The data in the above table shows that 76% of respondents rated salesperson,
20% of respondents rated catalogue of supermarket and 4% of respondent rated any other
method.
Interpretation: There is clear indication that the source of information in supermarket is
provided through the salesperson is 76% who are friendly and helpful and other source of
information in supermarket is provided through the catalogue of supermarket is only 20%
Graph-7.1.20: Source of Information
Page 86
No of Respondents
40
18
-
Percentage
69%
31%
-
Analysis: From the above table it is clear that 69% of respondents rated cash and 31% of
respondents rated credit card.
Interpretation: From the analysis it is interpreted that most of respondents makes the
payment by cash as they feel more comfortable and only few respondents makes the
payment by credit card.
Graph-7.1.21: Mode Of Payment
Page 87
No of Respondents
4
40
6
50
Percentage
8%
80%
12%
100%
ANALYSIS: It can be analyzed from the above table that 8% of respondents rated
excellent, 80% of respondents rated good and 12% of respondents rated average.
Interpretation: Most of respondents said that the mode of payment as good because
supermarket accepts both cash and credit card.
Graph-7.1.22: Satisfaction On Level Of Mode Of Payment
Page 88
No of
Respondents
36
36
18
14
Percentage
35%
35%
17%
13%
Analysis: From the above table it can be analyzed that 35% of respondents said the
supermarket is clean & hygienic, 35% of respondents said supermarket is easy to move
round, 17% of respondents said lighting and 13% of respondents said ventilation.
Interpretation: It is evident from the above analysis that the housekeeping of supermarket
is clean & hygienic and easy to move round because of its spacious space.
Graph-7.1.23: Opinion On Housekeeping
Page 89
No of Respondents
4
20
10
16
50
Percentage
8%
40%
20%
32%
100%
Analysis: The above collected data reveals that 8% of respondents said excellent, 40% of
respondents said good, 20% of respondents said satisfactory and 32% of respondents said
bad.
Interpretation: Some of respondents rated that parking facilities of supermarket is
satisfactory because only few supermarkets like Big Bazaar, etc provide parking facilities
and some of the respondents rated that parking facilities is bad because supermarkets like
Food World, Monday to Sunday, etc has been located in main road and no parking facilities
at all.
Graph-7.1.24: Opinion About Parking Facilities
Page 90
No of Respondents
22
28
50
Percentage
44%
56%
100%
Analysis: The above table shows that 44% of respondents are satisfied with the offers and
56% of respondents are not satisfied with the offers in supermarket.
Interpretation: From the above analysis it is found that supermarkets do not provide
offers like free gifts, discount regularly.
Graph-7.1.25: Opinion About Offers
Page 91
No of Respondents
46
4
50
Percentage
92%
8%
100%
Analysis: The above table clearly indicates that 92% of respondents are satisfied and 8%
of respondents are not satisfied.
Interpretation: The survey indicates that most of customer are satisfied with supermarket
and it is because of its quality, wide range of products available including own brands,
good parking facilities and 8% of customer are not satisfied with supermarket and it is
because of its poor parking facilities and no price reduction on total purchase.
Graph-7.1.26: Satisfaction On Shopping
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TESTING OF HYPOTHESIS
Hypothesis is a conjectural statement of the relation between two or more variables.
Hypo means less than and thesis means generally held view. Therefore a hypothesis
carries an implication for testing the stated relations, which are yet to be accepted by one
and all while the problem is stated as an interrogative sentence. Hypothesis means
assumptions or some suppositions to be proved or disposed. But for a researcher
hypothesis is a formal question that he intends to resolve. Thus a hypothesis may be
defined as a group phenomenon either asserted merely as a provisional connective to guide
some investigation or accepted height of established facts. In this study, the hypothesis
formulated by the researcher is:
A hypothesis is just a statement or an idea or an assumption about the universe. It may or
may not be true. It is first framed and then the research is designed to ascertain the truth in
the hypothesis. The assumptions are first made in the absence of any relevant/supporting
data and the research data will confirm whether there is an element of truth in any one or
more of the assumption.
DATA
The following one-sample case shows the different response of customers (customer
satisfaction questionnaire) to a survey investigating whether the level of customer
satisfaction towards provision store is more or level of customer satisfaction towards
supermarket is more.
Table showing the satisfaction on shopping in provision store
Opinion
Extremely satisfied
Satisfied
Not satisfied
Not at all satisfied
Total
No of Respondents
2
48
50
Percentage
4%
96%
100%
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Opinion
Extremely satisfied
Satisfied
Not satisfied
Not at all satisfied
Total
No of Respondents
46
4
50
Percentage
92%
8%
100%
X2 =
(Oi-Ei) 2
Ei
Where,
Oi= observed counts in the ith cell.
Ei= expected counts in the ith cell.
Chi square test is applied to the table of satisfaction on shopping in provision
store:
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Oi
Ei
Oi-Ei
(Oi-Ei) 2
Extremely satisfied
Satisfied
Not satisfied
Not at all satisfied
Total
2
48
50
12.5
12.5
12.5
12.5
50
-10.5
35.5
-12.5
-12.5
0
Ei
8.82
100.82
12.5
12.5
134.64
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Findings of
Study
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SUMMARY OF FINDINGS
PROVISION STORE:
Provision store must increase the range of products.
Customer demand free home delivery than what is currently available.
Provision store must encourage the customer to return the dissatisfied goods.
Customers demand refund of money on dissatisfied products.
Price reduction on total purchase is required by customer.
Provision store must motivate salesperson to act as source of information.
Catalogue of provision store is required by customer.
Ventilation and lighting of provision store can be improved.
Customer demand provision store to be much more clean and hygienic.
Customer need better parking facilities.
SUPERMARKET:
Customer demand free home delivery than what is currently available.
Pricing of the products can be improved.
Customer demand refund of money of dissatisfied goods.
Price reduction on total purchase is required by customer.
Customer demand better service from salesperson than what is currently available.
Catalogue of supermarket is required by customer.
Supermarket must be spacious enough to move around.
Ventilation and lighting of supermarket can be improved.
Customer need better parking facilities.
Supermarket is not successful in delivering on time as required by certain customer.
Customer need regularly offer like discounts, free gifts to add to their benefit.
Customer demand extended the duration of working hours.
Continuously motivate the customer to buy entire ration/grocery from supermarket.
Supermarket must encourage the customer to return the dissatisfied products.
Supermarket should encourage the salesperson to act as a source of information.
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Most of the respondents have rated that supermarket do not provide discounts or
offers regularly.
The study shows that few respondents are dissatisfied with supermarket.
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Limitations of Study
Page 100
Analysis was based on the assumption that all the respondents information is true.
Respondent provide data from their memory recall, there may only be rough estimates.
Survey was limited considering the widespread location of customers over Jayanagar,
B.D.A. and K.S. layout in Bangalore metropolitan.
The sample size is small hence arriving at a overall opinion of the provision stores and
supermarket is difficult
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Suggestions &
Conclusions
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Recommendations
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Introducing coupons or discounts or offers for regular customers to retain them and
to attract new customer.
Provision Stores should provide price deduction on total purchase or bulk purchase
to motivate the customer to buy entire ration or grocery from provision store.
Provision Stores should be spacious and easy to move around the store.
Provision store must increase the availability of various branded products as some
of the essential items might be over by the evening.
Hand out the catalogue of various availability of products and new products along
with the price.
Weigh the packaged items in front of the customer so that customers are much
more confirmed about the quantity.
Provision Stores should have more salesperson so that when provision store is very
busy customer need not wait for longer time.
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Supermarket may open seven days a week but does not have long hour facilities so
that Supermarket should extended the working hours from 7 a.m. to 11p.m.
International brands should be made available in Supermarket. Signage of the
Supermarket should be increased.
Supermarket must provide free home delivery without any restrictions to provide
better service.
Increase the price reduction on total purchase or bulk purchase to motivate the
customer to purchase entire ration or grocery from supermarket.
Some of the salespersons lack the skill to redo the wrong done while entering the
entries supermarket must train the salesperson especially who are in cash counter.
Supermarket should have more salesperson in assisting the customer and in cash
counter. Supermarket should charge less when compare to provision store.
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Supermarket should have more cash counters. Special offers should be notified
through the e-mails. Improve on telephone booking and delivery. Supermarket
should play music.
Conclusion
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CONCLUSION
The research shows that for one or the other reason the respondents go to provision store
because of a wide variety of products, price deduction on total purchase, free home
delivery, good packing, and excellent services from salesperson. If the provision store is
located around the locality, it also offers a convenient option of purchasing items that are
required immediately. The provision store is also open for long hours and sometimes on all
days. Provision stores offer a friendly personal service, customers are known to the retailer,
therefore allows small credit, self-service without making the customers wait for long.
The research shows that the respondents go to supermarket because of a wide range of
products including their own brands and good packing facilities. The research also shows
that some of the benefits supermarket lacks to provide to customer are restricted shopping
hours on holidays, requires immediate payment and are inconvenient to purchase a small
number of items.
From the research, it can also be concluded that it is very comfortable and convenient for
some respondents to purchase the products from provision store rather than from the
supermarket.
The aim of the research was to conduct a study to finding the problems or solutions and
identifies the key factors involved in achieving customer satisfaction, solutions and
guidelines to be followed to enhance customer satisfaction and recommend the same to the
provision store and the supermarket.
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It is found through the data collected that, 88% of respondents find pricing in
provision store affordable and 12% of respondents find pricing cheap.
As per the data collected, most of the respondents have been provided the benefit of
price deduction on total purchase.
The survey indicates that most of the respondents purchase in provision store by
personally selecting the products.
It is evident that the salespersons are friendly and helpful to the customers.
It is evident that provision store delivers the product on time and in right quantity
and quality.
If not for few respondents, main source of information in provision store is
provided by the salesperson.
As per research, the respondents make payment by cash only.
A few respondents have also felt that provision store also need to be clean &
hygienic.
As per research, around 16% of respondents are not completely satisfied with
parking facilities.
The survey indicates that all the customer (i.e100% of customer) are satisfied with
provision store.
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It is evident from the study that some of the supermarkets do not provide any price
deductions on total purchase.
The survey indicates that most of the respondents make purchases in supermarket
by personally selecting the products.
It is evident that the salespersons are friendly and helpful to customers.
It was found from the study that supermarkets delay in delivering the product.
There is a clear indication that the main source of information in supermarket is
provided through the salesperson.
Supermarkets accept payment by both cash and credit card.
It is evident from the data collected that the housekeeping of supermarket is clean
& hygienic and easy to move round.
As per research around 32% of respondents are not completely satisfied with
parking facilities.
More than 50% of respondents have rated that supermarket do not provide
discounts or offers regularly.
As per survey 92% of respondents are satisfied with supermarket.
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