A Project Report On Future of Offline Marketing Ahead of The Rapid Development of Online Marketing
A Project Report On Future of Offline Marketing Ahead of The Rapid Development of Online Marketing
A Project Report On Future of Offline Marketing Ahead of The Rapid Development of Online Marketing
Submitted by :
▪ Name of the student : Subham Singh
▪ University Registration No : 235 – BBAS – 19 – 2 - 0035
▪ University Roll No : 235 – 1111-1157-19
▪ Course : BBA (Honors)
▪ Name of the supervisor : JUHI JAISWAL
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SUPERVISOR’S CERTIFICATE
This is to certify that Mr. Subham Singh a student of BBA Honors in Marketing of THK Jain
College under the University of Calcutta has successfully completed the project on
“Future Of Offline Marketing Ahead Of The Rapid Development Of Online Marketing” under the
supervision and guidance of Mrs. Juhi Jaiswal , Assistant Professor, THK Jain College. The
assignment being submitted is genuine and original work to the best of my knowledge.
---------------------------
MRS. JUHI JAISWAL
Designation Professor
Place :
Date :
THK Jain College
Kolkata
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STUDENT DECLARATION
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ACKNOWLEDGEMENT
As the old age salutation goes, I would like to express my whole hearted gratitude
to every individual who helped me in different ways to make this project a success
especially THK Jain College for giving the opportunity to do this project under the
guidance of their faculty. It is a matter of great honor to acknowledge the invaluable
guidance rendered to me by my esteemed and revered guide Mrs. Juhi Jaiswal . She
supported me fully during my research. I shall fail in my duty if I don’t express my
gratitude towards the respondents without whom this project would not have been
successful. Finally, no words of gratitude can express my indebtedness to my
parents and my friends for encouraging me throughout my study.
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EXECUTIVE SUMMARY
Methodologies used for achieving the objective are descriptive study and a
research . For achieving the objective , I have done one research using an online
questionnaire . The title for the research is “ Understanding The Future Of Offline
Market From People View “.
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• ABSTRACT
Quick internet coverage all over the world created new possibilities of its usage as
a new mass media which are more flexible, dynamic and, what is more important,
almost uncontrollable. And they require approaches and knowledges which differ
from existing ones. So companies, which want to be active in the biggest net and
want to influence on theirs target audiences, they started to develop direction of
internet (on-line) marketing. New marketing activities created new professions
directly connected to internet. In recent years on-line marketing became very
important part of marketers’ life and very fashionable. Every company which
understands the importance of new technologies actively lives in the internet. Its
marketing activity is more and more concentrated on internet. So, main aim of this
article is to investigate the company’s real possibilities to catch Global target
audience through the inter-net. So, main aim of this article is to investigate the
company’s real possibilities to catch Ukrainian target audience through the
internet.
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TABLE OF CONTENT
CHAPTER TITLE PAGE
NUMBER
CHAPTER 1 : INTRODUCTION 8 - 13
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CHAPTER - 1 INTRODUCTION
OFFLINE MARKETING
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These campaigns can include radio and print advertising – including
billboards, signs and pamphlets – telemarketing, and television ads. Since it’s
almost a prerequisite for any business today to have its own website, offline
marketing strategies are now frequently tied to company’s online efforts. For
example, companies such as Ford have created print ads that include sparse
information about new vehicles with predominant urls and references to
Facebook or iPhones.
Advertising in business is a form of marketing communication used to
encourage, persuade, or manipulate an audience to take or continue to take
some action. Most commonly, the desired result is to drive consumer
behavior with respect to a commercial offering. Advertising is defined by
Richard F. Taflinger as “Advertising is the non-personal communication of
information usually paid for and usually persuasive in nature about
products,services or ideas by identified sponsors through the various
media."
An agency can also handle overall marketing and branding strategies and
sales promotions for its clients. Types of ad agencies are –
• Billboard Ads
• Live Demonstrations
• Guerilla Marketing
• Direct Mail
• Telemarketing
• Print Ads
• And Weather Simulation Rooms (More on that in a minute)
This report is completely discussing about offline or old media agencies.
There was a time when Television was the most popular medium for
Marketer to promote, spread awareness and generate leads for their
products but now the trend has changed and the digital marketing took
places.
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1.2 LITERATURE REVIEW –
From a long period retail marketing and industry is doing great work globally but
specially in India.
Dong-Mo Koo, Ji-Hoon Lee (2011) proposed an interrelationship among
dominance, energetic and tense arousal, pleasure and Their impact on intention.
Results from the from a survey of 406 consumers (217 from offline store customers
and 189 online Store users) demonstrated that dominance had a significant positive
and/or negative effect on both energetic and tense Arousal, it has no impact on
pleasure and intention under both offline and online environment; effect of
dominance on tense Arousal was not statistically significant in an online shopping
environment; both energetic and tense arousal has a positive And/or negative
impact on pleasure.
Kitty Wang, Avi Goldfarb Journal of Marketing Research 54 (5), 706-719, 2017
The authors use evidence from store openings by a bricks-and-clicks retailer to
examine the drivers of substitution and complementarity between online and
offline retail channels. The evidence supports the coexistence of substitution across
channels and complementarity in demand. In places where the retailer has a strong
presence, the opening of an offline store is associated with a decrease in online
sales and search; however, in places where the retailer does not have a strong
presence, the opening of an offline store is associated with an increase in online
sales and search. The evidence suggests that whereas online and offline channels
may be substitutes in distribution, they are complements in marketing
communications. Specifically, the type of marketing communication driving
complementarity seems to be information about the existence of the brand. For
example, the authors observe a large increase in new customer acquisition and
sales, and little difference between fit and feel products and other products. Thus,
it is the presence of the store, rather than information about the attributes of the
products in the store, that drives complementarity.
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1.3 OBJECTIVE OF THE STUDY –
The objective of the project can be summarized under the following points :
• The main objective of this project is to know more about the offline and
retails store situation after the rapid increase of digital users.
• To the customer analysis which includes the major attributes that
customer’s values the retails shop these days or not.
• To predict the future of retail and offline markets globally after the rapid
technology increases.
• To know about which age type of customers mainly do the retail
shopping.
• To know awareness of people towards the retails shops.
• To seek out the effect of advertising On various offline and online
branding.
• To study about the offline and online marketing.
• To strategies the market for the further growth in future.
• The last one is to know that which class of people’s are going for the
offline markets.
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1.4 RESEARCH METHODOLOGY –
The research design is used for analyzing and studying the process of
Business Development. It is very simple & more specific than explanatory
study.
DATA SOURCE :
Primary Data :
It is a firsthand data which is collected by you only. The different way of collecting
primary Data is personal interview, questionnaire, survey etc. As my project is
descriptive study there Is very little amount of primary data collected as such .
I mainly collect my data from local markets such as super markets , kirana stores ,
vegetable market , supermarket and etc.
Secondary Data :
To meet the objectives, the study used qualitative research. The descriptive study
was done through review of existing literature that helped in validation and
extraction of the important variables and factors. Data was collected from
secondary sources. Secondary sources were Magazines, websites, books, office
executives, and company data.
I have merged the both primary and secondary data to compute the actual
findings.
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1.5 LIMITATIONS OF THE STUDY –
Since the road to improvement is never ending, so this study also suffers from
certain limitations.
❖ Due to lack of time I can’t collect much information regarding this project
❖ There is lack of scope in the growth of retail market after massive use of
internet.
stores only.
❖ This is time based project so as I could collect I write down in this project.
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CHAPTER : 2
CONCEPTUAL FRAMEWORK
2.1 HISTORY & EVOLUTION :
➢ What is Retail?
At its simplest definition, retail is the sale of different goods and services to
customers with the intention to make a profit.
We’ve already looked at some of the earliest history of retail — covering hundreds
of years of bartering and peddling in a single bound.
However, now let’s look at some (relatively) more recent retail history, how it
impacts what we buy and sell, and how we behave today.
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1. Mom and Pops: 1700s–1800s.
In the late 19th and early 20th centuries, America’s business and economic sectors
changed dramatically. Agriculture — which had previously been the dominant
business — was replaced by manufacturing and industry. Oil, steel, textile, and food
production in factories brought new jobs and new standards of living. With more
successful and affluent Americans having broader tastes, department stores like
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Macy’s (1858), Bloomingdales (1861), and Sears (1886) began popping up in cities
like New York City and Chicago.
3. Cha-Ching: 1883.
The first cash register was invented by James Ritty in 1883. Ritty was a saloon
keeper in Ohio and nicknamed the invention the “incorruptible cashier.” The
machine used metal taps and simple mechanics to record sales. A bell sounded
when a sale was completed, leading to the phrase “ringing up” — which we still use
today.
This invention went on to spark the ease of customer checkout for over a century,
as it was quickly adopted for retail sales.
In the 1920s, credit cards or “charge cards” began to take hold of the American
shopper. However, these early cards were usually issued by hotels or individual
businesses and could only be used within their companies. The first universal
credit card that could be used at multiple establishment was the Diners Club card
in 1950.
The first bank-run credit card was started by Bank of America in 1958. Unlike
today, a credit card’s main use was so people didn’t have to travel to a bank and
withdraw money to shop. Today it is far more of a bookkeeping/convenience use.
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Credit cards are also now much more likely to carry debt as consumers use them
to make up for budget shortfalls. According to the Federal Reserve, Americans
now have a record $1.09 trillion in credit card debt.
The first shopping mall was technically an outdoor shopping plaza that opened in
1922 in Kansas City. However, the first indoor shopping mall that mirrored how we
think of malls today was opened in 1956 in Edina, Minnesota. Malls were often
anchored by a large department store with a cluster of other stores around it.
The mall was envisioned as a cultural and social center where people could come
together and not only do their shopping but also make an activity of it. By 1960,
there were more than 4,500 malls accounting for 14% of all retail sales.
With ecommerce sales growing, the appeal of malls has gradually declined, hitting
a 20-year low in sales in 2019. That said, some digitally native brands are still
exploring in-person shopping at new mall-type environments. One example is
Neighborhoods Goods outside of Dallas, Texas, which features a rotating series of
pop-up shops from different merchants.
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the important aspect of customer relationship. According to (Kotler & Armstrong,
2012: 508; Kotler et al., 2010: 493) Online marketing consists of measures and
activities to Promote products and services and build relationships with customers
over the Internet. Burrett (2008) Understands online marketing as ―carefully
targeting users and getting them to interact with you while they‘re Engaged with
the most personal, intimate medium ever invented‖ (44). The most comprehensive
definition Has been articulated by Chaffey (2007), he defines online marketing as
―Applying Digital technologies which Form online channels (Web, e-mail,
databases, plus mobile/wireless & digital TV) to contribute to marketing Activities
aimed at achieving profitable acquisition and retention of customers (within a
multi-channel buying Process and customer lifecycle) through improving our
customer knowledge (of their profiles, behavior, value And loyalty drivers), then
delivering integrated targeted communications and online services that match
their Individual needs”. As this relationship concept definitions show online
marketing revolve around interaction And building relationship with customers, a
point which discriminates it from traditional, offline marketing.
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commercialization of internet soon gained Enormous momentum and the business
community quickly became aware of the potential it has to offer”(47).
With increasing the number of internet users during the 1990s, entrepreneurs
started to appreciate Commercial prospects of this new medium. Although there is
no complete consensus on when did internet Marketing exactly start, but the
majority of commentators refer to 1994. So it is widely held that “significant
Commercial use of the Internet began with the first ‗banner ads‘ on web pages in
1994, and the appearance Of Internet-based ‗malls‘ (the electronic equivalent of a
storefront) such as Amazon.com in 1995”.
Statistics make it clear that this young marketplace, online marketing, has had an
astonishing rate of growth. So amazing is the growth rate of this new paradigm of
marketing that it is hard to believe how young it is. In Fact “in 1994, spending for
internet marketing totalled nearly nothing, but increased to over $300 million in
1995. After a decade later, marketing spending and internet marketing business
has exploded to nearly $500 Billion (according to Forrester Research). Today, it‘s
hard to believe in having an organization which doesn‘t have some kind of online
presence.” (Shirvastav and Alam, 2014: 25)
This brief historic background is concluded by pointing to the fact that step by step
online marketing has Became a much more sophisticated practice. So early
methods of internet marketing such as online Advertising and email marketing has
been followed by more younger, developed methods such as search Engine
optimization or social media marketing.
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2.2 NATIONAL SCENARIO –
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Offline Ways to Promote your Retail Products in India Today –
Although India has one of the largest online markets in the world, around 50
percent of the population do not have access to the internet It seems that
whenever marketing or promotion is mentioned these days, it concerns the
internet. Social media marketing, pay-per-click advertising, SEO & SEM, and digital
marketing strategies, are talked about widely. And, for good reason.
Finding official figures is almost impossible, but a significant amount of businesses
likely have an online presence of some kind. However, not everyone has access to
the internet. Although India has one of the largest online markets in the world,
around 50 percent of the population do not have access to the internet, according
to the World Economic Forum.
With a vast amount of people unable to easily browse websites or use social media,
businesses have to find other ways to reach these people. This sometimes means
using tried and tested methods, and other times being a bit more creative.
Why use offline marketing today?
As you have already read, a large number of people still do not have easy means to
use the internet. However, this is not the whole picture. Some offline advertising is
more effective than online, depending on what the product or service is.
The internet is a vital tool in today’s marketing strategies, but it cannot always
match some traditional advertising. The internet cannot replicate the feel of fabric
or the smell of perfume, and in-store promotions can trigger impulse purchases.
Also, some businesses do not want worldwide custom, so they concentrate on
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localized advertising which doesn’t warrant an online presence. These businesses
may have a social media page, but they are more likely to advertise within a specific
radius.
What are the best forms of offline advertising in India today –
Television and print advertising are the two most popular forms of advertising, and
also the most trusted. According to a study by the Advertising Standards Council of
India, around 86% of people said that they trust newspaper advertising more than
any other form.
Here are some of the many forms of advertising that can be done in India today,
without using the internet.
Newspaper advertising
All around the world, newspaper and magazine circulations are in decline. Many
think that advertising in this form of media is archaic and unnecessary. However,
as the figures prove, this is not always the case, especially in India.
With nearly 90 percent of people trusting newspaper adverts, it would be naive to
dismiss this method just yet. Also, the circulation of some newspapers gives reason
to think that print advertising is not dead yet.
The newspapers, Dainik Jagran and Dainik Bhaskar have a combined circulation of
around 120 million according to a report on Statistic. Other countries may be seeing
their newspapers’ circulations dwindling, but in India, there is plenty of life left.
Public transport
With around 25 million people using public transport every day, there is huge
potential for advertising on buses across the country. Buses, trains, and tuk-tuks
provide a captive audience for the length of the journey. This means that any visible
advertising is likely to at the least, be browsed.
This type of advertising can work very well with businesses that are located close
to bus or train stations or en-route. This is because people are more likely to make
an impulse purchase while the advertising is fresh in their minds. An advert for a
delicious drink or snack is going to be more effective if the bus terminates close to
the seller’s business.
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Fig.04 – STRATEGY FOR PROMOTING RETAIL PRODUCTS IN OFFLINE WAYS
Hang tags
Hang tags are a form of advertising that you may not have heard of. They can be
used on many products but are very common with fashion. They could be
described as a customized clothing label, but they are a bit more complicated
than that.
Hang tags are designed to stand out in a retail environment and catch the
shopper’s eye. They are a way of advertising a product in-store and can carry a
wealth of information. Not only do they advertise the brand, but they can also
explain the benefits of the product, and show the company’s mission statement.
Labelling
Packaging and labelling can have a huge effect on potential buyers. Colorful
packaging and informative labels can grab a shopper’s attention, and sway them
towards a purchase. Some labels are required by the Food Safety and Standards
Authority of India to display information regarding the ingredients, but other
labels can be quirky and help to make sales.
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Labels can come in all shapes and sizes. Clothing labels can display the materials
used and the country of origin, and this is a form of promotion in itself.
Attractive packaging can help with sales too, and when it is done correctly, it can
make a product look superior to others. Packaging and labels are often
overlooked areas of advertising but they are important. Even a quilting label is a
form of advertising, albeit a very personal one, Where the artist’s name appears
along with the reason for making the quilt, and the start and end date.
Neon lighting
When it comes to fashion, the internet cannot beat a glossy poster or magazine.
Fashion brands use influencers to increase growth online, but they still know the
power of a good magazine advertising
• Sponsorships / patronage;
• Press conferences;
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IMPACT OF ONLINE SHOPPING IN INDIA –
In the very beginning online the shopping started in UK by Michael Aldrich and then Slowly spread
to India among other parts of the world. As per the most consumer reviews, online Shopping is
getting more popular than the traditional concept of shopping in stores or shops. Online Shopping
gives many advantages compared to the traditional retail shopping since its arm’s reach
Much farther by using internet with door delivery service. Thus, the consumers are saved from
Crowded markets and long queues wasted hours. With online shopping in the market it’s
beneficial To both parties: buyers and sellers. Both buyers and sellers do get customer reviews
about the Products, which actually helps them to make their services more effective in the future.
The Products bought online vary from minor purchases of books, grocery, clothing, footwear etc.
To That of major supplies like furniture, electronics, cars, residential buildings etc. And any kind
of Services may be ordered online. Therefore, online portals are having an exponential growth
rate, Which is presently around 200% a year, with major increase in the sales of electronics and
its Equipment. Apparels and accessories (30%) emerged as the second biggest product category
after Consumer electronics (34%). Other popular online searched categories include books (15%),
Beauty & personal care (10%), home & furnishings (6%), baby products (2%), and healthcare (3%).
Most popular online Shopping portals in India are www.homeshop18.com, www.flipkart.com,
www.yebhi.com, www.myntra.com. American online retail giant Amazon.com has also made an
entry into the Indian market in 2012 with Junglee.com, an online Shopping site powered by the
$48 Bln company (Deepali 2013).
A study conducted at global level marks India as the fifth largest retail destination globally, with
very high chances of India to get to the topmost favorite place in the list. India’s internet
penetration rate is 7.1%, which is more than that of the USA or UK. With more than 65% of India’s
population compassing youngsters as well as over half of the population having work, it presents
a fairly attractive market to the merchants around the globe. The ecommerce industry stood at
roughly INR 9200 crore in 2008. The online travel sites contribute to around 75-80% of the whole
online shopping market in India. The rest of the market is formed mainly by classified, retailing
(online purchase of goods) and digital downloads. In Flip Kart they say they have revenue of 500
Million INR ($11 million) in a fiscal year and is now clocking sales of about 10 Million INR a
Proceedings of The Association of Collegiate Marketing Educators (2018)38 day. The top
executives of the Future Group, India’s largest retail company, say that their daily online sales are
on their way to be tripled in the current financial year (Dwivedi 2012).
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stands number five in e-commerce throughout the world. In a way, e-Commerce in India was
started in 2004 when eBay started its operations in India by acquiring Avnish Bajaj’s Baazee.com,
which was India’s largest online auction portal. In 2007, Sachin Bansal and Binny Bansal starting
Flipkart by investing 2 lakh rupees each as an online book retailer. In the same year, Mukesh
Bansal, Ashutosh Lawania and Vineet Saxena started an online portal to customize goodies called
Myntra In the year 2010, Flipkart pioneered the Cash on Delivery (CoD) model, increasing e-
commerce and reach dramatically. At the same time Myntra expanded its catalogue to retail
fashion and lifestyle product. In 2013 Myntra.com has acquired San Francisco based virtual fitting
room startup Fitiquette and Baby product-seller Babyoye.com merged with Hoopos.com, which
also sells baby products. In 2014, the sector attracted the attention of investors, including top
global firms and leading Indian industry leaders like Azim Premji and Ratan Tata, said Assocham
- PwC study, adding that brands like Flipkart and Snapdeal are enjoying edging over global players
like Amazon in the country. As of June 2012, India has the base of 137 million internet users and
the leaning towards online shopping in youth will help the online retail industry to reach a score
of 7,000 crore by 2015.
According to Google, India have more than 100 million Internet users, out of which around half
choose for online Purchases and the number is growing every year. With such a large market size,
companies, from retail shops to consumer goods, are entering the Web space to attract potential
customers. According to a new report by Google and Forrester Research e-commerce market in
India is worth around $15 billion by 2016, up from $35 million in 2014. With millions of Indians
shopping online, the e-commerce industry is witness a massive boom and will continue to see
exponential growth. The number of online shoppers in India is expected to reach 100 million by
the end of 2016, and the number of Internet users is set to reach 300 million by the end of 2014.
A recent report by Juniper Research exposed that over two billion users of smart phones or
tablets will be making more e -commerce transactions through mobile before 2017 comes to an
end. Payments made through mobile in 2015 are expected to grow at a rate of 60.8 percent,
another report revealed. From the word of Google India Managing Director Rajan Anandan .The
online shopper base will grow 3 times by 2016 and over 50 million new buyers will come from
tier I and II cities. The confidence to shop online is on the rise as 71 per cent non-buyers
(respondents) from tier I and II cities said they plan to shop online in the next 12 months.
According to the Associated Chambers of Commerce and Industry of India (Assocham) retail
industry is expected To spend an additional $500 million to $1 billion on logistics functions,
leading to a cumulative spend of $950 Million to $1.9 billion till 2017-20, it said. Currently, over
25,000 people are employed in e retailing warehousing And logistics. It is estimated that there
will be an additional employment of close to 1,00,000 people in these two Functions alone by
2017-20.
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2.2 INTERNATIONAL SCENARIO –
As the domestic markets are becoming saturated, retailers have started looking to overseas
markets for business growth, economies of scale, especially in Asia. Similarly staples and Nike are
entering the Indian and Chinese markets. Target and Dollar stores (US based) also continue to
grow their geographic presence aggressively in Asian countries.
Further, geopolitical developments, including Tie-ups, joint ventures, trade pacts within the
regions is facilitating movements of goods and services across frontiers. The North American Free
Trade Agreement (NAFTA) – and its likely extension to include some additional central and South
American nations in the coming years, – the European Union (EU) and future alliances will
gradually but steadily abolish traditional geographical and political borders.
The global retail industry is expected to follow an upward growth trend from 2021 following a
tumble in 2020 as a result of the coronavirus pandemic.
In 2021, the retail industry growth hit 9.7 percent, marking a massive rebound after it fell 2.9
percent in 2020, which experts attribute to a higher unwillingness by consumers to spend amid
economic uncertainty.
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Looking forward, growth is expected to continue, albeit at a slower rate. According to analysts’
projections, the retail industry growth rate for 2022 is five percent—around half of the previous
year’s rate.
The retail industry’s growth is expected to slow down slightly next year. 2023’s retail industry
growth forecast is just a fraction lower at 4.8 percent. It’s forecast to rise slightly to 4.9 percent
before falling again to 4.1 percent in 2025—the slowest growth rate from 2021 to 2025.
Overall, in the period from 2020 to 2025, the average annual retail industry growth rate is
expected at approximately 4.3 percent as total retail sales worldwide rise from $23.7 trillion in
2020 to a projected $31.3 trillion in 2025.
According to estimates, over 80% of all retail sales in the USA is accounted for by the organized
retailers while in Europe, this figure accounts to 70%, 40% in Brazil and Argentina and nearly 35%
in Taiwan and Korea.
According to U.S. Department of labor , more than 22.5 million Americans are employed in the
retailing industry in over 2 million retail stores. Retailers throughout the globe now have
understood that sustainable competitive advantage can be achieved only by those retailing firms
that integrate consumer demand directly into their merchandising and supply chain planning
workflows. Global retailers know that if they have to stay ahead of changing consumer shopping
habits and increasing merchandise choices, committed ethical behavior, community
involvement, innovative promotions and pace with new technology is essential.
The global Retail scenario: The US$ 9 trillion Retail industry is one of the world’s largest industries
and still growing. 47 of the Global Fortune 500 companies & 25 of Asia’s Top 200 companies are
retailers.
Even as the developing countries are making rapid strides in this industry, organized Retail is
currently dominated by the developed countries with the USA, EU & Japan constituting 80% of
world.
Retail is a significant contributor to the overall economic activity the world over: the total Retail
share in the World GDP is 27% while in the USA it accounts for 22% of the GDP. The share of
organized Retail in the developing markets ranges between 20% to 55%.
Traditionally, local players tend to dominate in their home markets. Wal-Mart, the world’s leading
retailer, has about 8% of the US$ 2,350 billion market in the USA. Similarly, Tesco has a market
share of about 13% in the US$ 406 billion UK market.
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The main value propositions that most large retailers use a are a combination of low price, ‘all
under-one-roof’ convenience and ‘neighborhood’ availability The biggest drivers of the rising
retail industry growth rate are the world’s largest retailers. Currently, the world’s top retail
companies are located in the US and Europe .The largest retailer, Walmart, saw a turnover of
more than half a trillion ($519.93 billion) in 2021, nearly double that of its closest competitor and
ecommerce giant Amazon.
Here’s a list of the top ten global retailers and their global sales revenue in 2021:
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IMPACT OF OFFLINE MARKET IN ALLOVER THE WORLD –
Online shopping gives customers an opportunity to purchase goods and services from a provider
without Ever going to the store. Instead, customers can simply visit the provider or seller‘s
website and place the Order and pay for it. The products or services are delivered to the
customer‘s registered location. Online Shopping can be done via computer, tablet, or
Smartphone at anytime or anywhere. Now a days, the largest and the most popular online
shopping websites are Amazon (since 1995), eBay (since 1995), and Alibaba (since 2003). Online
shopping has changed the buying patterns in many countries and is quickly becoming Popular in
others.
Since the internet was first introduced to the public till now, it had become part of everyday
human life. As Population is increasing after the introduction of the internet so, doing tasks online
had become a common Place around the world for online shopping which cease to be a novelty
or convenience.
As per study, countries which spend the most time in shopping online is been calculated, among
which United States rank first with 1,804 (average e-commerce revenue per online shopper, in
US dollars), then Comes United Kingdom ranking second with 1,629. Followed by sweden with
1,446; France with 1,228; Germany with 1,064; Japan with 968; Spain with 849; China with 626;
Russia with 396 and lastly among top 10 comes Brazil with 350 (average e-commerce revenue
per online shopper, in US dollars).
As we are becoming more and more connected to the digital market our ability to make use of
data is increasing, purchasing may become much more ―natural‖ online. From now onwards we
are already exposed to targeted ads, news, and much more.
Another factors that contribute to the rise of online retailers is that it is time saving. You can order
anything at anytime from anywhere, without your any leg in few days it would arrive at your
doorstep. Today, with Drone technology, and with online retailers developing their own delivery
chains, the norm has become 2-Day delivery, and customer expectations have adapted.
With such advantages, shopping online had become more convenient, no doubtingly driving
future demand For it too. For people living in rural areas, small towns, products may not be
available near their locations, This might become their preferred method of shopping. Walmart
created a successful business around large Outlets near small towns; fast delivery brings similar
benefits, without the costs.
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• BRICK AND MORTAR IS STILL KING –
As per the different research it was observed that online retail sales in 2016 was grown upto
10.1% compared to 1.4% for total retail sales, or 7.4 times more. This trend might remind some
of similar past trends, such as those in the news industry when it seemed online might be their
future.
The present trends is proves that only one online retail company that features among the top 10
US retailers — Amazon, Inc. And even then, it ranks only 7th in retail sales, behind competitors
such as Walmart, Costco, and Walgreens. But on the other signs indicating that brick-and-mortar
stores, not online, are the future of retail. One would be the conversion rates. People who enter
physical shops are much more likely to purchase one item than those who visit websites.
Indeed, even Amazon seems to be trying to make the case for physical retailers. Its recent
acquisition of Whole Foods for almost US$14 billion, in addition to the several brick-and-mortar
bookshops it has already opened in the US, give away the impression that the company believes
a successful strategy for the future includes a combination of online and offline. To maintain a
sustainable competitive advantage, one of those streams alone might not be enough.
Physical retail shops allow customers and consumers to go through entirely different experiences,
still unavailable online. Factors like the smells, sounds, and human interaction that can be found
at a store are hard to replace and will likely be a driving factor for brick-and-mortar survival. It is
estimated that in 2020, in the US, more than 80% of retail sales will still happen within physical
stores.
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SWOT ANALYSIS
Strength Weakness
Customer relationships.
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OPPORTUNITY THREAT
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INDUSTRIAL ANALYSIS
This represented a challenge to the retail sector in India, the majority of whom still operate
in the offline model. The brick-and-mortar model is still lurking amid the uncertainty due
to the pandemic, the answer to optimal retailing for offline retailers is to embrace the click
and-mortar business strategy and paving their way forward.
While there are some green shoots of recovery, the future obviously lies in the hybrid
business model.
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Hybrid Model: The Answer to Optimal Retailing for Offline Retailers –
COVID-19 created challenges in both access to the customer and access to stocks.
Supply chains were deeply affected, particularly for the smaller brick-and-mortar stores.
Larger companies were also required to realign their working strategies and improvise
processes and transform operations by introducing more digitization and automation in
day-to-day practices.
With the businesses coming to a standstill, the concept of Omni channel retailing or hybrid
business approach became increasingly popular among offline retailers. Given the
complementary strengths of the physical and online channels, this hybrid structure is
beginning to emerge as the new face of retail. The most popular narrative of this concept
comes out is the way Kirana stores owners have adopted digital technology, from
receiving orders online to the fulfilment of the order through hyperlocal integrated chains
and to digital payments. And this became a lifeline for the country during the lockdown.
This helped the retailer further expand its reach to Tier II and Tier III cities and towns due
to the pandemic. The remote areas of the country are now given the benefits of that of a
metropolitan city because of the deep digital penetration. Big e-commerce brands
witnessed a massive spike in consumer buying behavior from these locations. This has
Also called for a geographical spread investment and enhanced customer experience which
otherwise many brick-and-mortar retailers are struggling to get started.
According to Forrester Research, in 2020, India’s retail sector was estimated at US$ 883 billion,
with grocery retail accounting for US$ 608 billion. And by 2024, the market is projected to reach
~US$ 1.3 trillion.
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With the announcement from the Government of India allowing 100 percent FDI in the online
retail of goods and services through the automatic route. And more the focus to improve digital
infrastructure in Tier II and Tier III markets has created a favorable surge in employment
opportunities in this sector.
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Analyzing Retail Stocks –
These 9 simple steps help investors evaluate retail companies :
• Calculate and Compare P/E Ratios vs. Expected Earnings Growth Rates.
An investor can learn a lot perusing the aisles of a retailer. The store's layout, availability
and appearance of merchandise, and the prices charged can provide information about a
retailer that can't be gleaned from a balance sheet. As a rule, investors should look
favorably upon well-lit stores, and merchandise that is neatly displayed, timely and
fashionable, and rarely discounted.
Analyze Promotional Activities
Is the company running promotions to drive foot traffic or earnings? Does it try to wring
every last dollar from the consumer out of desperation because it can't sell its wares? This is
important to consider. Companies that sell merchandise at deep discounts before the end of
a sales season often do so at the expense of margins and earnings.
Examine Gross Margin Trends
Investors should look for both sequential and year-over-year growth in gross margins.
However, investors should also keep seasonality effects in mind. Most retailers see a surge
in revenues in the fourth quarter compared with the third quarter because of the holiday
season. In any case, gross margin trends will give the investor a better idea of how good
current and/or future period earnings will be.
Focus on Sales-Per-Square-Foot Data
This metric that some companies reveal in conference calls and others in their 10-K or
10https://www.investopedia.com/terms/1/10q.aspQ filings is a reliable indicator of how well
Page 37 of 63
management is using storage space and allocating resources. The higher the sales-per-
square-foot data, the better it is for the company.
Examine Inventory/Receivable Trends
Investors should examine sequential and year-over-year trends in both inventories and
accounts receivable (AR). If all is well, these two accounts should be growing in pace with
revenue. However, if inventories are growing faster than revenue, it could indicate the
company is unable to sell certain merchandise. Unfortunately, when this happens,
companies are left with just two options: either sell product at a really low price point and
sacrifice margins, or they write off the merchandise altogether. The latter option could
adversely impact earnings.
Examine Same-Store Sales Data Closely
This is the most important metric in retail sales analysis. Same-store sales data reveal how a
store, or several stores, fare on a period-to-period basis. Ideally, an investor would like to
see both sequential and year-over-year same-store sales growth. Such an increase would
indicate the company's concept is working and its merchandise is fresh. Conversely, if same-
store sales numbers decelerate, it may suggest a host of other problems exist, such as
increased competition, poor merchandise mix, or some other factors that could be limiting
foot traffic.
Calculate and Compare P/E Ratios vs. Expected Earnings Growth Rates
When analysts evaluate retailers, they typically calculate a company's current price-
tohttps://www.investopedia.com/terms/p/price-earningsratio.aspearnings ratio (P/E ratio) and
compare the figure to the company's expected rate of earnings growth. Companies that
trade at an earnings multiple that is less than the expected growth rate are considered
"cheap" and might warrant a further look.
Tabulate Tangible Book Value
A company's tangible book value per share will reveal what its assets are worth and what
investors are getting for their money. To determine this number, investors should take the
total "stockholder equity" number from the company's balance sheet and then subtract any
intangibles such as goodwill, licenses, brand recognition or other assets that can't be readily
defined or valued. The resulting number should then be divided by the total number of
outstanding shares. Companies that are trading at or near tangible book value per share are
considered to be a good value.
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• ADVANTAGES AND DISADVANTAGE OF OFFLINE SHOPPING -
ADVANTAGES
• one of the many benefits of offline marketing that has been proven time and again. With
the offline marketing, it becomes easy to convert the customers into potential buyers as
they get to see that same ad in many different ways on print media like the newspaper,
television and even hear about it on the radios. This way it brings out the maximum
possibility to increase one’s customer base.
• It makes the business more tangible as a result of which the customers actually get to
have a look at the products in persons and not just virtually on the website.
• With the help of offline marketing, not just the new generation but also the older
generation of customers can be reached out. Mostly the internet is being used by people
who belong to the new generation but there are still many old people who belong to the
older generation and they too can be potential buyers.
• There are plenty of ways to communicate with your customers so that the companies can
advertise it even more. So even if the customers don’t read the newspaper they still come
across the ad on television. If they don’t also watch television.
• Disadvantage –
• The method of offline marketing costs a lot. This is because, in the offline mode, one
simply has to advertise on one platform but many. They have to advertise on television,
radio, and print media and through billboards. All of this will require investing a lot of
money. Thus the cost of advertising in the offline marketing is a lot.
• The other disadvantage is that this process is very time-consuming. One needs to invest a
lot of time in making and then printing it in the newspaper. Also advertising on radio or
television to are a time-consuming process.
• Also it is difficult to track the outcomes of the offline marketing. Since in offline marketing
no software is used to track and monitor the behaviors of the consumers it becomes a
little difficult to understand how many customers are really interested in the product and
how many are not.
• And although with the help of the offline marketing, one gets to reach to people who do
not have access to the internet, still the reachability of the offline marketing is limited to
some extent. This is because the money factor comes in between. If there is a big company
then they will invest more money thus will advertise more but if there is a small company
which can’t afford to invest a lot may not be able to reach out to many people
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ADVANTAGES AND DISADVANTAGE OF ONLINE SHOPPING –
• Advantages -
• Helps You to Find Potential Customers –
Searching customers through social media platforms is easier and productive. It is
important to know more about your target audience. Knowing their interests, needs and
preferences will lead to successful marketing strategy. For example- Using Instagram
insight on Instagram app, you can see the statistical data of your follower’s age group,
gender etc. Through this you can target your audience accordingly.
• Cost Effective –
This is one of the biggest advantages of online marketing. It is difficult for small and
medium size companies to pay for billboards, TV ads, radio ads etc. However there are
some strategies like search engine optimization (SEO), Pay-per-click(PPC), content
marketing etc. which are cost friendly.
• New Market-
Social Media acts as a whole new marketing platform, where you can gain customer
loyalty and build your brand image. Each satisfied customer can act as a marketer for your
company. Invests & DISCUSSIONS.
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• DISADVANTAGE –
• Requires Skill & Training-
Being a digital marketer requires lots of learning and training. Digital
marketing keeps on changing with the time, so it’s necessary to keep
oneself up-to-date with the technologies. SEO, PPC and Google
Analytics tools require prior training and assistance.
• Enormous Competitors-
It is quite challenging to stand out among competitors. If you want to
reach out to the global buyers, then you have to face stiff competition as
well. Therefore, strategies like customer analytics ability should be
designed to deliver a great customer experience.
• Privacy & Security Issues-
The Base of using online marketing is the Internet. it may bring threat to
the privacy of customer databases. Companies must take care of their
security system. They must comply with the rules of data protection. An
Integrated system should be developed which acts as a shield to protect
data from hackers.
• Time Consuming-
It is not a one day wonder. It requires lots and lots of time to develop a
plan and execute that plan. Learning SEO & PPC tools, creating content
and implementing strategies takes a lot of time. Building a brand in the
eyes of the audience is not an easy task. It takes time to get your brand
recognized.
• Negative Publicity–
Negative comments spread faster than positive one. Even a single bad
review about the company may affect the Goodwill of the company.
Moreover, online marketing on social media platforms is more riskier. As
negative comments come into highlights and get shared rapidly.
• Strategies can be Copied-
It takes no time to copy your marketing strategy. Piracy can be seen
among competitors. Your Marketing campaign and strategies should
remain protected from the competitors.
CHAPTER : 3
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DATA ANALYSIS & INTERPRETATION
Showing the proportion of male and female response.
RESPONSES NO. OF RESPONSES PERCENTAGE OF RESPONSES
Male 24 56%
Female 19 44%
INTERPRETATION : From the above diagram , it is found that 56% of the respondents are male
whereas 44% of them are female .
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Showing the age group to which the respondents belong to.
Below - 18 13 28 %
18 - 30 19 46 %
30 - 40 8 19 %
Above - 40 3 7%
Diagram 2: Showing the age group to which the respondents belong to.
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Showing how the people get information about the new Products.
RESPONSES NO. OF RESPONSES PERCENTAGE OF RESPONSES
Newspaper 12 27.9 %
T.V. 16 37.2 %
INTERPRETATION : According to the server , the maximum number of responders i.e. 37.2 %
get information from T.V. It has been also find out that 27.9 % of consumer get informed from
newspaper then the rest of them get informed by 13. 95 % from article & magazines and only
4.65 % people get informed by poster’s and hand Tags and rest 16. 28 % get informed from
other sources.
DIAGRAM NO. 3 : Showing how the people get information about the new Products.
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Showing The Customers Response Towards The Shopping They Mostly Prefer.
Both 2 4.65 %
INTERPRETATION : According to the survey , we find that 58.14 % of respondents like offline
shopping’s and rest 37.21 % prefer digital and online shopping and only 4.65 % enjoy both
markets.
DIAGRAM NO. 4 : Showing The Customers Response Towards The Shopping They
Mostly Prefer.
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Showing Which Type Of Discount The Consumer Prefer.
E – voucher 6 13.95 %
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Showing The Customers Review That Till Know They Prefer Offline Shopping Over online
Shopping.
Yes, I Do 17 39.54 %
DIAGRAM NO. 6 : Showing The Customers Review That Till Know They Prefer Offline Shopping
Over online Shopping.
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Showing Which Marketing Service Is Good In Returning Product.
Both 1 2.33 %
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Showing The Consumer Review That Which Thing They Like In The Offline Shopping.
DIAGRAM NO. 8 : Showing The Consumer Review That Which Thing They Like In The Offline
Shopping.
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Showing The Consumer Response Of Their Habit Of Buying Food & Grocery .
RESPONSES NO. OF RESPONSES PERCENTAGE OF RESPONSES
INTERPRETATION : According to the server, 76.74 % of people prefer nearby vegetable &
grocery market and 18.60 % of customers buying from Shopping while and rest 4.65 % go for
digital. Shopping.
DIAGRAM NO. 9 : Showing The Consumer Response Of Their Habit Of Buying Food & Grocery .
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Showing The Review Regarding The Consumer Bargain With The Seller.
Yes, I Do 15 34.88 %
INTERPRETATION : According to the server , 34.88 % of consumer Bargain while 51.16 % usually
not bargain all the time and rest 13.95 % of people don’t bargain.
DIAGRAM NO. 10 : Showing The Review Regarding The Consumer Bargain With The Seller.
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Showing The Customers Response Of Which Market Is Better for Electronic Goods.
INTERPRETATION : According to the server, 74.42 % of consumer go for offline market while
having some electronic goods while 25.58 % people thinks online is good for everything.
DIAGRAM NO. 11 : Showing The Customers Response Of Which Market Is Better for Electronic
Goods.
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Showing The Customers Response Towards They Get More Information And know About New
Products.
T.V. 15 34.88 %
Radio 4 9.30 %
Newspaper 7 16.28 %
INTERPRETATION : According to the server, 34.88 respondents go for T.V. 16.28 % of people get
informed from newspaper, poster & magazines and rest 23.13 % of people informed by other
sources.
DIAGRAM NO. 12 : Showing The Customers Response Towards They Get More Information And
know About New Products.
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Showing The Responses Regarding The Older People Mainly Prefer Offline Shopping.
Yes 28 64.12 %
No 15 34.88 %
INTERPRETATION : According to the diagram, 64.12 % (most) of the respondents thinks iolder
people are targeted audience while 34.88 % thinks not it’s Target all audiences.
DIAGRAM NO. 13 : Showing The Responses Regarding The Older People Mainly Prefer Offline
Shopping.
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Showing The Consumer Review On Which Market Rate Is Slightly High.
RESPONSES NO. OF RESPONSES PERCENTAGE OF RESPONSES
DIAGRAM NO. 14 : Showing The Consumer Review On Which Market Rate Is Slightly High.
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Showing The Consumer Review On The Future Of Offline Market In The Rapid Increase Of Digital
Market.
INTERPRETATION : According to the survey, 46.51 % of reviewers thinks the market is stable
but at the same time 18.60 % of people have thinks that their is some hope and on the other
hand 18.60 % of people thinks digital Market will took place of online market and rest 16.28 %
of people predict that market will spread quickly in future.
DIAGRAM NO. 15 : Showing The Consumer Review On The Future Of Offline Market In The Rapid
Increase Of Market.
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✓ FINDINGS
▪ From the analysis, it can find out that most of the respondents are males
belongs to the age group of 18 – 30.
▪ The study reveals that most of the target customers by the markets and store
is older age people.
▪ It is also found that majority of customers have faith in the retail and offline
market.
▪ The most advertising source of there is T.V.
▪ It can be clear that most of their repeat customers are came twice because
of Their behavior & service.
▪ From the survey it would be clear that most of the customer like to try more
clothes before Buying.
Page 57 of 63
CHAPTER – 4
CONCLUSION & RECOMMENDATION
Conclusion :
From the above study of “ Marketing analysis of retail and offline market “ we can
conclude that in the future years the retail and offline market has been developing
and going. But we could not dignified that online market is rapidly increasing and.
The customer sifted towards the online market because of their brand promotion
and advertising strategy.
From all the information and data I collected it’s shows that offline marketing have
many advantages , as we see that in our nearby everyone is being online. So if we
want to gathering more and more targeted audience , you have to use both online
and offline advertising strategy. As we know that the younger generation prefer the
online platform for shopping and save their time . The retail and offline market
targeted the older age people because the older ones have faith and see their
product then have a choice to buy or not.
From the information given in the project we could conclude that people above 45
yrs. have less interaction with internet and they spent most of their Shopping time
in the retails store. Offline market is a brilliant way to show out the direct
information.
So I conclude that it’s wrong to say that offline marketing in going stagnant after
the digital marketing increase and the scope of the offline market is not finished
yet.
Page 58 of 63
RECOMMENDATIONS –
Page 59 of 63
REFERENCES
All the given data has been collected from internets, Wikipedia, Local response from nearby
markets, by articles and many other sources and I would thanks to all my friends and teacher
http://pioneerjournal.in/conferences/mapping-for-excellence/18th-national-
conference/4084http://pioneerjournal.in/conferences/mapping-for-excellence/18th-national-
conference/4084-review-of-literature-on-online-vs-offline-consumer-behavior.htmlreview-of-
literature-on-online-vs-offline-consumer-behavior.html
https://www.marketingevolution.com/knowledge-center/the-role-of-offline-media-in-
thehttps://www.marketingevolution.com/knowledge-center/the-role-of-offline-media-in-the-
future-of-marketing?hs_amp=truefuture-of-marketing?hs_amp=true
https://mailchimp.com/en-au/pricing/marketing/
https://scholar.google.co.in/scholar?hl=en&as_sdt=0,5&as_vis=1&qsp=1&q=offline+shopping+
comparative+study&qst=ib
https://www.google.com/search?q=FINDINGS+on+offline+market+and+stores&client=ms https:/
/www.google.com/search?q=FINDINGS+on+offline+market+and+stores&client=ms-android-vivo-
rvo2&sxsrf=ALiCzsZsT2ndi2ijmMqAGh0OUTa76xZydQ%3A1652126384920&ei=sHJ5YvPuN4vC3LUP5L6k2
AI&oq=FINDINGS+on+offline+market+and+stores&gs_lcp=ChNtb2JpbGUtZ3dzLXdpei1zZX android-vivo-
rvo2&sxsrf=ALiCzsZsT2ndi2ijmMqAGh0OUTa76xZydQ%3A1652126384920&ei=sHJ5YvPuN4vC3L
UP5L6k2AI&oq=FINDINGS+on+offline+market+and+stores&gs_lcp=ChNtb2JpbGUtZ3dzLXdpei1z
ZX
https://www.marketing91.com/what-is-offlinehttps://www.marketing91.com/what-is-offline-
marketing/ -
:~:text=The%20main%20objective%20of%20offline,that%20is%20advertising%20their%20productmark
eting/#:~:text=The%20main%20objective%20of%20offline,that%20is%20advertising%20th
eir%20product
Page 60 of 63
https://www.google.com/search?client=ms-android-
vivohttps://www.google.com/search?client=ms-android-vivo-
rvo2&sxsrf=ALiCzsb8k3nnHWSibKXprNfhLqWE9PMvJA:1652097140119&q=Importance+of+offline+mark
eting&sa=X&ved=2ahUKEwji7q65rdL3AhXwUGwGHbW7D9MQ1QJ6BAhFEAE&biw=360&bih=730&dpr=2
rvo2&sxsrf=ALiCzsb8k3nnHWSibKXprNfhLqWE9PMvJA:1652097140119&q=Importance+of+offli
ne+marketing&sa=X&ved=2ahUKEwji7q65rdL3AhXwUGwGHbW7D9MQ1QJ6BAhFEAE&biw=36
0&bih=730&dpr=2
APPENDIX
QUESTIONNAIRE
Understanding The Future Of Offline Market From People View –
Gender
o Male o Female
Age Groups
o Below 18 o 18 –
30 o 30 – 40 o
Above 40
Newspaper
o T.V.
o Articles &
magazines o
tags o Other
sources
Page 61 of 63
• Which type of shopping do you prefer ?
o E – voucher o
Discount coupons
o Sales in Mall
• According to you which market have less chances of returning Goods ? o Offline
• From where you can buy your foods & grocery and your daily used item ? o
Nearby vegetable and grocery market o From Shopping Malls o From digital stores
• What type of market do you prefer for purchasing electronic goods ? o Offline
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• From which medium you get information about sales & discount offers ?
o T.V. o Radio o
Newspaper o Poster
sources
o Yes o
No
• Do you think that offline market is more convenient for the older age people ?
o Yes o
No
• From your point of View do you think their is a future of offline market ?
o Yes , the market is stable o There is some hope o Digital marketing can
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