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Minor Project Report on

APPAREL INDUSTRY – PANTALOONS- ANALYSIS , MARKETING & PRODUCT DEVELOPMENT

Submitted in partial fulfillment of the requirements


for the award of the degree of

BACHELOR OF BUSINESS ADMINISTRATION

Under the Guidance of: Submitted By:


Mrs. Shipra singh Diya Gupta
Assistant professor BBA II Semester
Enrollment no.:
02112501722

Session 2022-2025

Delhi School of Professional Studies and Research


(Affiliated to Guru Gobind Singh Indraprastha University, New Delhi)

i
Certificate

This is to certify that the project titled “ APPAREL INDUSTRY – PANTALOONS- ANALYSIS , MARKETING
& PRODUCT DEVELOPMENT ” is an academic work done by Ms. Diya Gupta submitted in the partial
fulfillment of the requirements for the award of degree of Bachelor of Business administration at Delhi
School of Professional Studies and Research, New Delhi under my guidance and direction.

Ms. Diya Gupta has given an undertaking that the information presented in the project has not been
submitted earlier.

(Signature of Faculty)
Mrs. Shipra singh
Assistant professor, DSPSR

ii
Declaration

I take this opportunity to express my profound gratitude and deep regards to my guide Mrs. Shipra singh
for her exemplary guidance, monitoring and constant encouragement throughout the course of this project.
The blessing, help and guidance given by her time to time shall carry me a long way in the journey of life on
which I am about to embark.

Last but not least, my sincere thanks to my parents and friends for their wholehearted support and
encouragement.

I also hereby declare that the project work entitled “APPAREL INDUSTRY – PANTALOONS- ANALYSIS ,
MARKETING & PRODUCT DEVELOPMENT ” under the guidance of Mrs. Shipra singh is my original work
and it has not been submitted earlier in any other university or institution.

Diya Gupta
BBA 2A

iii
CONTENTS
S.NO TOPIC PAGE NO.
1 Certificate 1
2 Declaration 2
3 Chapter 1- Introduction
- Executive summary
- Pestel Analysis 5-12
- Driving Forces
- Consumer Segments
- Competition
4 Chapter 2- Pantaloons
- Company profile
- Pricing, Promotion & Distribution 13-20
- Swot Analysis
- Opportunity & Threat matrix
5 Chapter 3- Marketing plan for new product
- Product positioning
- Product range 21-23
- Pricing strategies
6 Chapter 4- Promotional strategies for calberrys
- Use of promotional mix tools 24-26
- Distribution channel strategies
7 Chapter 5- Calberrys- vertical marketing 26-30
- Estimated sales, production, promotional
budget for 2023
- Calberrys section layout in pantaloons
8 Refrences 31
9 Appendices 32
- List of Tables
- List of figures
10 Marketing survey on pantaloons 32-34
11 Questionaire 35

iv
EXECUTIVE SUMMARY

This project report consists of overall analysis of APPAREL RETAIL INDUSTRY. The report comprises of
situational analysis of the industry as well as the micro and macro environment factors affecting the apparel
industry, in which I carried out the pestel analysis and analyzed some internal factors influencing the
industry. The key segments of apparel in the country and the brands offering products to the customers are
both organized and unorganized. The report further illustrates the market share of the brands and their future
prospects in the industry.
After analyzing the apparel industry as a whole I further went on analyzing one of the most popular multi
brand apparel retail outlets i.e. PANTALOONS. In this report I discussed about the company overview and
their presence in various cities of the country. Along with that I also came across the marketing mix
strategies of the brand which consists of the product, price, place and promotional strategies. The project
report also stated the SWOT analysis along with which the opportunity matrix and threat matrix were
prepared by me for Pantaloons. This lead me to think in the direction of suggesting a new product for
Pantaloons. By the help of this survey and above mentioned analyses I came with an idea of a new product
development for the company in the innerwear category for men, women and kids with their private label
named as CALBERRYS. The new product development strategy consists of all the four elements of
marketing mix to make it practical for the company to work upon the development.
In the end I prepared some financials and budgets for this new product along with the implementation table
for the first year .

v
PESTEL ANALYSIS OF APPAREL RETAIL
INDUSTRY

Macro environmental factors affecting the clothing industry are those which lie outside small companies and
their competitors. Business owners have less control of these external factors, and their impact in changing
them is minimal. Instead, small companies must adapt to these macro environmental factors, which include
consumer characteristics, technology, government influence and the economy. The way small companies
adapt to macro environmental factors determines both their ability to differentiate themselves from key
competitors and overall success.

Legal and political factors


A number of legal and political macro environmental factors affect small businesses in the clothing industry.
The industry has repeatedly been affected by issues such as workers' rights and child labour laws. Union
workers in clothing manufacturing plants may picket their employers, especially if their wages or medical
benefits are less favourable than workers in comparable industries. Workers picketing their clothing
employers impacts production. This can cause delays for retailers in getting spring or fall fashions on time.
Activists who are not employed by the companies may also picket retailers who purchase clothing from
countries known for violating child labour laws. This negative publicity may impact small clothing retailers'
sales and profits. Also, a trade embargo against another company's imports would force clothing wholesalers
to find different suppliers.

 Shop and Establishment Act

 Standards of Weights and Measures Act

 Provisions of the Contract Labour (Regulations and Abolition) Act

 The Income Tax Act

 The Companies Act

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ECONOMIC FACTORS
Economic factors can have both positive and negative impacts on the clothing industry. During economic
boom periods, people have more disposable income. Hence, they may buy more clothes, increasing sales for
clothing manufacturers, wholesalers and retailers.
However, recessions have the opposite effect. Sales for these various clothing entities may be significantly
lower. Consequently, retailers may be stuck with large amounts of inventory. And they may have to sell the
clothing at substantially reduced prices. Clothing manufacturers and retailers may also need to sell lower-
priced clothing brands to compete with more generic brands. Consumers often shop for cheaper brands when
they have less disposable income.

SOCIAL FACTORS
Consumer micro environmental factors include cultures, norms, lifestyle, demographics and population
changes. These factors affect the clothing industry in different ways. For example, a small clothing
manufacturer needs to create styles that appeal to those of different cultures, especially if those cultural
groups represent large enough segments of its market. Contrarily, clothing manufacturers, wholesalers and
retailers avoid creating too many clothing items that fall outside the norms of society, such as styles worn
100 years ago. An aging population may increase the demand for larger jeans and pants sizes, such as
relaxed or looser-fitting styles.
Generally, many people become more sedentary when they get into their 40s and 50s.
Consumers' waistlines expand so they need larger sizes and more room for comfort.

TECHNOLOGICAL FACTORS
Technological micro environmental factors affecting the clothing industry include availability of resources,
demand and production. For example, the scarcity of certain materials, such as leather, may force retail and
wholesale clothing companies to sell more faux or substitute leather products. Retailers may increase the
prices of cotton clothing if they encounter shortages of this raw material, as they must pay their
manufacturers more. The introduction of new clothing styles by a competitor can shift demand away from
older fashions. Hence, a small clothing manufacturer may need to discontinue certain clothing lines and
produce new ones that meet the needs of consumers. Moreover, clothing companies may add more advanced
equipment in their plants like robots, which may force companies to fire some workers.

vii
DRIVING FORCES OF APPAREL RETAIL
SECTOR

RISING DISPOSABLE INCOME OF INDIAN MIDDLECLASS


The Indian middle-class can be categorised into seekers and strivers, which is the consuming class and the
prime target segment for retailers in India. In 2005, these two categories together constituted around 6.4% of
total households in India but accounted for 20% of the disposable income. By 2015, the middle class is
expected to constitute around 25% of total households and account for 44% of the total disposable income,
and by 2025, the respective figures are likely to go up to 46% and 58%. The Indian middle-class population
and their growing disposable income levels will drive the future growth of organised retail in India6.

CHANGING CONSUMER PREFERENCES AND SHOPPING


HABITS
The prime reason for a paradigm shift in the shopping attitude of the Indian consumer is the change in their
preferences and tastes. Due to the increasing use of IT and telecom, Indian consumers have become aware of
brands and shops for lifestyle and value brands according to the need and occasion. Consumers will continue
to drive the growth in the organised retail by expanding the market and compelling retailers to widen their
offerings in terms of brands and in terms of variety.
The spending on essential commodities has been steadily falling over the years and the rising reach of media
coverage is increasing consumer awareness about products, their prices and services, which is likely to
further encourage growth in the organised retail segment.

CHANGING DEMOGRAPHICS
India is one of the youngest and the largest consumer markets in the world with a median age of around 25
years, which is the lowest as compared with other countries. According to estimates, India’s median age
would be 28 by 2020. It is expected that over 53% of the population will be under the age of 30 by 2020.
The plus about this population is that they will be more dynamic than the previous generations because their
consumption is driven by wants rather than needs. Thus, the organised apparel retailing, which thrives on
lifestyle products, is expected to receive a boost because of the young population by 2020.

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INCREASE IN WORKING POPULATION
India is the second-largest country in the world in terms of population, and is the largest consumer markets
in the world owing to its favourable demographics. In 2008 India’s working population (in the 15-49 years
age group) constituted around 53% of the population as compared with 48.6% in the UK, 49% in the US,
and 53% in Russia. Further, the increase in the number of working women has fuelled the growth in sales of
discretionary items. There has been a 20% increase in the number of working women in the last decade.

SPURT IN URBANISATION
Historically cities and towns have been the driving force of overall economic and social development.
Currently over 335 million people of India reside in cities and towns, which translates to around 30% of the
total population7. The rapid growth in urbanisation has facilitated organised retailing in India, and has
caused the speedy migration of population into major tier I and tier II cities, which have a significant share
in the retail sales of the country.

CHALLENGES FOR APPAREL RETAIL


INDUSTRY
CHANGING CUSTOMER

As shoppers turn to the internet for information and shopping, to smartphone applications for price
comparisons, and to social media for opinions, the industry's response becomes more service- and price-
sensitive. A broader variety of online and offline shopping alternatives gives brand loyalty less importance
and presents stocking and pricing concerns. To be competitive, retailers must balance inventories to avoid
out-of-stock scenarios that mean lost sales. They must reduce the time needed to bring goods from design to
delivery, or "speed to market." Their success and ability to offer competitive pricing depends largely on their
sourcing selections.

INVENTORY LEVELS
Controlling inventory is not a new apparel industry issue, but the rules of the stocking game have changed in
light of the way consumers shop today. Customer preferences change faster, which speeds up inventory
turnover requirements. Suppliers then must adjust to smaller orders placed by retailers and wholesalers, and
improve turnaround times. This puts pressure on their raw material, transportation, quality control and labour
costs. As energy prices climb worldwide and manufacturing costs rise in China -- where, according to IBIS
World, most of the world's clothing is made -- the industry has begun to seek more efficient production
locations. A strong supply-chain relationships are of extreme importance for inventory control.

PRODUCT SOURCING
Sourcing is a two-pronged issue in the apparel industry. The ability of other countries, such as Bangladesh,
to handle the production being moved from higher-cost China can affect critical delivery schedules. Local
sourcing has entered the picture, especially with private label clothing sold.

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SUSTAINABILITY
Environmental sensitivity has become an emerging issue in the apparel industry. The search for ways to
incorporate more environmentally friendly methods throughout the apparel production cycle includes
evaluating dyes, assembly, packaging and fibre production. LEAF.org -- Labelling Ecologically Approved
Fabrics -- offers certification to apparel industry companies that practice organic farming and humane
animal treatment, reduce wastewater associated with textile manufacturing and use biodegradable packaging.
Implementing a sustainability program gives businesses a way to differentiate themselves.

CONSUMER SEGMENTS
SEGMENTATION
 By Age & Gender:
o Men’s wear

oWomen’swear o Kid’s

wear

By Clothing Style: o Formal wear o Casual wear o Ethnic wear o Sports wear o Party/
Designer wear

x
SEGMENTATION BY PRICE RANGE &
CONSUMER BASE

KEY PLAYERS IN MARKET


Exclusive Showrooms Multi Brand Outlets
 United Colours of  Planet Fashion
Benetton  Abacus Store
 Levis'  Shoppers Stop
 Lee  Globus
 Wrangler  West Side
 Flying Machine  Kohli Brothers
 Spykar  Reliance Trends
 Calvin Klein  Trent, and many more
 Tommy Hilfiger
 Mufti and many more

xi
COMPETITION
If you are an aspiring fashion designer with plans to launch your own label, you are probably aware of the
complexity of the fashion industry, from manufacturing to marketing to distribution. Finding ways to
innovate and simplify are keys to surviving in the hypercompetitive fashion industry. Succeeding involves
more than just coming up with stylish designs or convincing a celebrity to wear your clothes. You will also
need to develop expertise in a variety of other areas.

IMPORTANT FACTORS OF COMPETITION IN


THE CLOTHING MARKET
The factors are as following:

 Costs, prices and the consumer.


 Technology and supply chains
 Brand management and competition.
 Sustainability and innovation.
 E-Retailing

PANTALOONS
xii
COMPANY PROFILE
Pantaloons is one of the fastest growing lifestyle apparel retail destination in India constantly innovating
designs, concepts and products by infusing the latest trends in fashion and clothing styles. A chain of stores
for every Indian, Pantaloons has a repertoire of lifestyle brands to cater to every consumer needs across
multiple occasions. The warm and personalized service offered by every store truly brings out the unique
value proposition of the format.
Pantaloons was launched amidst much fanfare in Gariahat, Kolkata in 1997. Over the years, the brand has
undergone several transitions therefore re-inventing itself to bring forth compelling trends and styles for
men, women and kids. It started as a discount format, moving to a family concept store and finally evolved
into a fashion destination with a sharp focus on bringing the latest in fashion.
Pantaloons retails over 200 brands which comprises a mix of exclusive brands, licensed brands, international
brands and more in apparel as well as accessories leaving the consumer spoilt for choices. The greatest asset
of Pantaloons is our exclusive brands that keep customers coming back to our stores. What sets these brands
apart is that each of the designs are crafted keeping the consumer’s fashion sensibilities and fashion needs in
mind.
Pantaloons was earlier owned by Future Group which is one of India's biggest retailer company, and has now
been taken over by Aditya Birla Nuvo Limited (ABNL)

With a chain of 120 fashion stores across 59 cities and towns, Pantaloons is constantly extending its
footprint into the rest of modern India. It spans a retail space of 2.3 million square feet which is amongst the
largest in India.

Voted as ‘India’s Most Trusted Apparel Retail Brand in the prestigious Brand Equity Survey 2014,
Pantaloons continues to nurture consumer trust and confidence.

Pantaloons is now an integral part of the prestigious Aditya Birla Group, a US$ 41 billion Indian
multinational operating in 36 countries across the globe with over 120,000 employees.

MERCHANDISE OFFERED BY PANTALOONS

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BRANDS AND RANGE AT PANTALOONS
Pantaloons offers a wide range of brands for men, women and kids with choices across categories including western
wear, ethnic wear, formal wear, party wear, active wear and accessories making it a one stop destination for all the
fashion needs of the consumers.

WOMEN’S SEGMENT
The women’s section houses exclusive brands that offer different collections for a wide range of occasions:
Ethnic wear exclusive brands include the mix-n-match range by Rangmanch, fusion wear by Akkriti and
occasion wear by Trishaa.
Western wear exclusive brands include Ajile for the fitness conscious, trendy casual wear by Honey, smart
formals and evening wear by Annabelle.

MEN’S SEGMENT
The men’s section houses a plethora of options that includes our range of exclusive brands as well as India’s
favourite brands.
Western wear exclusive brands include edgy casuals by SF Jeans, preppy British sports inspired
collection by Byford, sports luxury by Ajile and party wear by F Factor. Formal wear section offers a
range of crisp and well-tailored collection by popular international brands like Van Heusen, Allen
Solly, Peter England and Louis Philippe.

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KIDS SEGMENT
The kid’s section has something to offer for all age groups starting from 1 month old toddlers to 12 year old
tweens. The portfolio of brands includes infant wear by Chirpie Pie, ethnic wear by Akkriti, casual wear by
Chalk and Poppers.

In addition to this vast range of brands, Pantaloons also has a well established repertoire of partner brands
such as Lombard, Bare Denim, Bare Leisure, JM Sport Classic, RIG, Turtle, Spykar, Lee Cooper, 109F,
AND, Chemistry, Global Desi, Biba, Giny & Jony and Barbie.

MAJOR COMPETITORS
Pantaloons being a strong player in the Apparel Retail market faces competition from the following entities:
 Shoppers Stop
  Westside.
 Reliance trends
 Planet Fashion
 Life Style

PRICING, PROMOTION & DISTRIBUTION

PRICING STRATEGIES OF PANTALOONS


Pantaloons is well known in the market for its good value pricing as it provides its merchandise to a large
target customer base at affordable prices, thus it falls in the category of low margin and high turnover.
Pricing strategies followed by pantaloons are as follows:-

 Private Label Brand Pricing


 Good Value Pricing
 One Price Policy
 Psychological Pricing
 Markdown Pricing
 Product Bundled Pricing

xv
DISTRIBUTION STRATEGIES OF PANTALOONS
The distribution system of pantaloons is basically zero level as it has more than 25 private label brands, thus
the product is directly delivered to the customers via Pantaloons exclusive retail outlets.
Non pantaloons brands are also procured directly from the manufacturers by Aditya Birla Group and is
delivered to their stores without any intermediaries involved.
After Pantaloons' acquisition by Aditya Birla Nuvo Limited, the logistics department of Pantaloons is
controlled by the distribution management system of Aditya Birla where the products are sent to various
warehouses and is further transferred to the respective Pantaloons stores.
They have their warehouses in Noida as well as Bangalore. These hubs are strategically used to distribute
merchandise to maximum stores in India. The medium of transport for the stock is mostly by road and the
cargos are tightly packed with full description of stock.

PROMOTION STRATEGIES OF PANTALOONS


Pantaloons mostly uses customer relationship management strategies and sales promotion techniques to
attract their customers.

BELOW THE LINE PROMOTION


Coupons, discount, maximum number of merchandise at affordable prices, gift items with certain amount of
purchase, money back offers, exchange offers and offers on special occasions.

ABOVE THE LINE PROMOTIONS


Advertisement in newspapers, TV, Internet (through shopping websites which are owned by them) and
partnerships with Bigfilx & Big FM 92.7.
Other promotional mix tools used are:-

 Green Cards/ Payback Cards for customers to avail additional discounts.

 Posters and displays inside the store.

 Loyalty points for privileged customers.

 Sponsorships in various events and fests.

xvi
SWOT ANALYSIS OF PANTALOONS
STRENGTHS
 It is India’s largest retailer having 100 plus fashion stores across 86 locations in India.

 It is always updated with changing consumer preferences.

 It manages high number of purchase orders.

 Pioneer in the industry, largest market share and capitalization.

 Reputation for value for money (competitive pricing), convenience and a wide range of products.

 Highly strategic human resource management and development.

 Most trusted and respected brand by the consumers.

 Being financial strong helps pantaloons retail India deal with any problems, ride any dip in profits

and perform their rivals.

 Development & innovations are high at pantaloons India with regards to a product, consumer’s

preferences and lifestyle changes which keeps it’s ahead of its competitors.

WEAKNESSES
It serves mass consumer base but still skilled labour force is not adequate.

 Pantaloons’ does not function internationally, which has an effect on success, as they do not reach

consumers in overseas markets.

 Since pantaloons retail India ltd sell products across many sectors, it may not have the flexibility of

some of its more focussed competitors.

 Easy business lines faces competitions from specialty companies. Fashion segment, shoppers stop,

trend, lifestyles.

OPPORTUNITIES
 Increase in footfalls by increasing - TV commercial promotions.

 New products and new segments.

xvii
 Selling through different channels.

 Huge untapped market

 Rural retailing

 Opportunities to continue with its current strategy of large, super centres

THREATS
 Increase in trend of online shopping.

 Government policies.

 Strong competition from unorganized retail sector in India.

 Extra completion and new competitors entering the market could unsteady pantaloons retail India

 A slow economy or financial slowdown could have a major impact on pantaloons


Retail India business and profit

 Consumer’s lifestyle changes could lead to less of a demand for its product/ services.

 Price wars between competitors, price cuts and so on could damage profits for pantaloons retail

India.

MARKET PENETRATION GROWTH STRATEGY BY THE FIRM

Pantaloons lies in the Market Penetration phase because it has its share in the market since many years and
the products which they have been offering exists long time back.
Pantaloons is continuously expanding their product line even faster after their acquisition by Aditya Birla
Group.

xviii
OPPORTUNITY MATRIX FOR PANTALOONS

THREAT MATRIX OF PANTALOONS

xix
MARKETING PLAN FOR NEW PRODUCT
PRODUCT, CATEGORY & BRAND
I suggest Pantaloons to launch new products by manufacturing itself by their brand name and sell them in
other brand stores and in their store also. This will fill their market gap and market share and increase in
their sales so they should increase their product lines. I will suggest-

❖ PRODUCT:-
▪ Exclusive merchandise space for new category and brand of apparel.

 CATEGORY:-
 Innerwear, Nightwear and Thermal Wear.

 BRAND NAME:-
 CALBERRYS

TARGET MARKET
 All existing Pantaloons loyal customers.
 All customers of middle and upper middle class.
 Men, women and children’s winter thermal wear.
 Men and women having requirement of good quality nightwear at an affordable price.

xx
PRODUCT POSITIONING
Points of Parity :- Points of Differentiation :-

 Department available already in all leading multi  Premium quality at fair prices.
brand apparel retail outlets.  More Discounts & Promotional offers.
 Product collection almost similar to their
competitors.  Large assortment and wide range of
sizes.
 Graphic and printed inner wear to
attract youth and children.
 It will be an in-house brand.

PRODUCT CHARACTERISTICS
 Pantaloons should assign exclusive and prominently visible store space for the new category.

 Merchandise should be made with a mix of premium combed cotton and elastin to suit the Indian

climate.

 Should avoid inner tags and go for rubber prints.


 Use attractive box packing with full product features printed.
 Combo packs of 3 or 2 should be made available.

xxi
PRODUCT RANGE OF CALBERRYS
MENS INNERWEAR WOMENS INNERWEAR KIDS INNERWEAR AND
AND THERMAL AND THERMAL WEAR THERMAL WEAR
WEAR
INNERWEAR BOTTOM INNERWEAR BOTTOM  BRIEF
 REGULAR BRIEF  BIKINI BRIEF  VEST
 BOXER BRIEF  BOY LEG BRIEF  TRUNK
 TRUNK  HIPSTER  SHORTS
 BOXER SHORTS

INNERWEAR TOPS INNERWEAR TOPS W UPPER AND LOWER


 VEST  COTTON BRA
 MUSCLE VEST  PADDED BRA
 SLEEVED VEST  STRAPLESS BRA
 UNDERWIRE BRA

TH UPPER AND LOWER T UPPER AND LOWER

PRICING STRATEGIES
 Pricing strategy should keep the image of Pantaloons in mind i.e. good quality at fair prices.

 The pricing of product should follow GOOD VALUE PRICING.

 In the beginning they can use price penetration strategy to attract maximum customers.
 Product bundled pricing can be implemented as well.
MEN'S INNERWEAR AND WOMEN'S INNERWEAR AND KID'S INNER WEAR AND
THERMAL WEAR THERMAL WEAR THERMAL WEAR
INNERWEAR BOTTOM INNERWEAR BOTTOM INNERWEAR
PACK OF 1 AT Rs 149 PACK OF 1 AT Rs 149 PACK OF 3 BRIEFS AT Rs 199
PACK OF 3 AT Rs 399 PACK OF 3 AT Rs 399
INNERWEAR TOPS INNERWEAR TOPS THERMAL WEAR
PACK OF 1 AT RS 199 PACK OF 1 AT RS 199 UPPER AND LOWER AT Rs
PACK OF 3 AT RS 499 PACK OF 3 AT RS 499 399
THERMAL WEAR THERMAL WEAR
PACK OF 1 AT RS 599 PACK OF 1 AT RS 599

PROMOTIONAL STRATEGIES FOR


CALBERRYS
xxii
Integrated Marketing Communication (IMC) is the application of consistent brand messaging across both
traditional and non-traditional marketing channels and using different promotional methods to reinforce
each other. Pantaloons will be using the integrated marketing communication technique to promote all
innerwear, nightwear and thermal products under the brand name of Calberrys with a common message i.e.
"Premium Quality at Fair Prices".

TARGET AUDIENCE
 Upper Middle Class.
 Middle Class.

OBJECTIVES:
 To make people aware of “CALBERRYS”.
 To get customers know about the brand's features and it's range of products.
 To increase market share in innerwear, nightwear & thermal wear segment.
 To ultimately increase profits.
 To uplift the overall brand image of Pantaloons.

DESIGNING COMMUNICATION
 Appointing an exclusive salesperson for both men and women sections to demonstrate the product.

 Using indoor posters, printouts on shopping bags, placards at point of sales counters etc.

 Visual merchandising should be maximum.

PROMOTIONAL CHANNELS
 Banners will be installed outside malls and shopping centers.

 Online promotion on e-commerce websites/ Ads on social media platforms.

 Brochures/ Gift Cards.

 Posters inside Pantaloons outlets.

 Mannequins wearing the product on display at store windows.

 Sponsorship events in the name of CALBERRYS by Pantaloons.

 In store TV Commercials.

USE OF PROMOTIONAL MIX TOOLS

xxiii
 Use of advertising :

 Online ads on flipkart.com, myntra.com, facebook, jabong.com and apparel blogs.

 Printed advertisements in one local newspaper i.e. Dainik Jagran and one English daily like
in Lucknow Times off The Times of India. o Sending email advertisements and SMSs to
loyalty card members.
 Use of sales promotion techniques :

 Like giving 3% to 5% off.

 Giving Rs. 499 Calberrys gift vouchers during billing on purchase of any Pantaloons products
above Rs. 2999.

 Buy 1 for Rs. 199 and 3 for Rs. 499 offers.

 Providing Calberrys Gift Cards to customers during billing process on purchase of Calberrys
products. These Gift Cards can be redeemed in future to avail additional discounts.

xxiv
DISTRIBUTION CHANNEL STRATEGIES FOR
CALBERRYS
DISTRIBUTION STRATEGY
SALES CHANNEL- A sales channel can be direct if it involves a business selling directly to its customers,
or it can be indirect if an intermediary such as a retailer or dealer is involved in selling the product to
customers. There would be two sales channel for Calberrys :

 Pantaloons Outlets.

 Online/ E-Commerce websites.

o www.abof.com (Owned by Aditya Birla Group) o

www.trendin.com (Owned by Aditya Birla Group) o

www.myntra.com o www.jabong.com

CHANNEL LEVELS
When the distribution of product is direct from the producer to the consumer or the user, then it is a zero
level distribution channel. This is also called as direct selling. As
ADITYA BIRLA NUVO RETAIL LIMITED itself would be manufacturing Calberrys products for
Pantaloons, they will be following a zero level distribution channel.

xxv
CALBERRYS: VERTICAL MARKETING
SYSTEM
 The distribution channel is zero level as the ownership of Pantaloons is in the hands of ADITYA
BIRLA GROUP.

 Under Vertical marketing system it will follow CORPORATE VERTICAL MARKETING SYSTEM
with backward integration.

DISTRIBUTION SYSTEM
 Product will be manufactured at Madura fashion and lifestyle production units, which is a subdivision
of Aditya Birla Nuvo Ltd.

 Then the product will be sent to various warehouses situated at all corners of the country. For
Lucknow, the nearest warehouse is in NCR region. Lucknow Pantaloons outlets get their stocks from
this warehouse only.

 The distance that needs to be covered to transport Calberrys stocks from Noida to Lucknow would be
451 Kilometers. Approximate bulk transport cost between these two locations would be Rs. 8 - 11
per Kilometer.

 After that the inventory is stored at a centralized location in Lucknow from where it will be
distributed to different Pantaloons retail outlets in the city.

 The inventory distribution will be done as per the store's requirements for new stocks.

 For online purchases, Jabong and Myntra will provide their own delivery services which they are
currently using for other brands.
 The e-retailers will be sold Calberrys products on a bulk discount basis on which they will keep a
margin and sell it.
 The selling that will be done through trendin.com will require to engage a well networked home
delivery system just like ekart.

 ⚫ Proper INVENTORY MANAGEMENT is very necessary to avoid any kind losses or damage.

xxvi
IMPLEMENTATION TABLE
 O1 JUNE2023  Launch of CALBERRYS at all Pantaloons retail stores across the country.

 Use of suggested promotional tools to create awareness of the brand.

 01 JULY 2023  Analyzing the sales and recording the feedback from customers regarding the
product.

 01 AUGUST2023  Implementing the changes to be made in the product if any.

 01 OCTOBER 2023 Increased use of promotion mix tools to make the customers completely aware
 of the new launch.

 01 NOVEMBER 2023 Salaries to the sales team employees of Calberrys.


 01 DECEMBER  Checking the production and operations of Calberrys by analyzing the


2023 reports.

 01 june 2023  Forecasting the next year’s sale by preparing the current year’s sales chart

 Production planning for the next year with updated product changes and planning the
number of units to be produced of a particular product.

xxvii
ESTIMATED SALES BUDGET OF
CALBERRYS FOR 2023
A sales budget is a financial plan depicting how resources should best be allocated to achieve the forecasted
sales. The purpose of sales budgeting is to plan for and control the expenditure of resources (money,
material, people and facilities) necessary to achieve the desired sales objectives.

Sales include:

 Men’s Innerwear.
 Women’s Innerwear.
 Kid’s Innerwear.

1ST 2ND 3RD 4TH ENTIRE


QUARTER QUARTER QUARTER QUARTER YEAR
EXPECTED 450*3 600*3 750*3 900*3 8100
SALES IN UNIT

UNIT SALES Rs. 199 Rs. 199 Rs. 199 Rs. 199 Rs 199
PRICE
TOTAL SALES Rs. 268650 Rs. 358200 Rs. 447750 Rs. 537300 Rs. 3223800

ESTIMATED PRODUCTION BUDGET OF


CALBERRYS FOR 2023
The production budget calculates the number of units of products that must be manufactured, and is derived from a
combination of the sales forecast and the planned amount of finished goods inventory to have on hand (usually as
safety stock to cover for unexpected increases in demand).

1ST 2ND 3RD 4TH ENTIRE


QUARTER QUARTER QUARTER QUARTER YEAR
ESTIMATED 1350 1800 2250 2700 8100
SALES UNIT
DESIRED 500 500 500 500 500
ENDING
INVENTORY
TOTAL 1850 2300 2750 3200 8600
REQUIRED

xxviii
ESTIMATED PROMOTIONAL BUDGET OF
CALBERRYS FOR 2023
'Promotional Budget' is a specified amount of money set aside to promote an organization's products.
Promotional budgets are created to anticipate the essential costs associated with growing a business or
maintaining a brand name. As per our assessment Pantaloons should keep aside 60% of the estimated sales
amount calculated above for promotional activities.

I suggest to use “Percentage Distribution” of promotional budget to carry out various promotional
activities and estimate the total expenditure to be incurred for promotion of Calberrys.

TOOLS USED PERCENTAGE DISTRIBUTION (OF


PROMOTIONAL BUDGET)
 ONLINE/SOCIAL  10 PERCENT
MEDIA  20 PERCENT
 INSTORE DISPLAY  20 PERCENT
 POSTERS AND  10 PERCENT
BANNERS
 10 PERCENT
 CALBERRYS
SALESPERSON  20 PERCENT
 AD PRINTED  10 PERCENT
CARRYBAGS
 HOARDINGS
 BROCHURES/
LEAFLETS

xxix
CALBERRYS SECTION LAYOUT IN
PANTALOONS

xxx
REFRENCES
 www.marketing91.com
 www.slideshare.in
 www.ukessays.com
 www.wikipedia.com
 www.pantaloons.com

xxxi
APPENDICES:
LIST OF TABLES:-
Table no. Title Page no.
1 Key players in the market 11

2 Product positioning 21

3 Product range 22

4 Pricing strategies 22

5 Implementation table 27

6 Estimated sales budget for 2023 28

7 Estimated production budget for 2023 28

8 Estimated promotional budget for 2023 29

LIST OF FIGURES:-
Figure NO. Title Page No.
1 Segmentation by price, range & 11
consumer base

2 Opportunity matrix 19

3 Threat matrix 19

4 Channel Level 25

5 Calberrys section layout in 30


pantaloons

xxxii
MARKETING SURVEY ON PANTALOONS

Ques 1) How do you come to know about Pantaloons?


Ans - A) Television
B. Hoardings
C. Print media
D. Social Media
Ques 2) How frequently you visit Pantaloons?
Ans - A) Every week
B. Every month
C. Once in 2 months
Ques 3) Do you buy clothes each time you visit Pantaloons?
Ans – A) Yes
B) No

Ques 4) If “No” then what are the reasons behind not buying?
Ans - A) Non availability of brands
B. Less variety of clothes
C. High prices
D. Others

Ques 5) Is pantaloons economical?


Ans - A) Yes
B. To some extent
C. No
Ques 6) How do you rate advertisements done by pantaloons?

xxxiii
Ans – A) Excellent
B. Good
C. Satisfactory
D. Average
Ques 7) Does pantaloons consists of only high range apparels?
Ans – A) Yes
B. No
C. To some extent
Ques 8) What is your satisfaction level with pantaloons?
Ans – A) Excellent
B. Good
C. Satisfactory D) Average

xxxiv
CUSTOMER VALUE ANALYSIS –
QUESTIONAIRE

S.No. Attributes Relative Pantaloons Shoppers Vishal Westside


Scaling Stop Mega
(1-10) Mart
1 Price
2 Quality
3 Convenience
4 Staff
Service/Customer
Handling

5 Assortments
6 Exchange Policies

7 Discount & Loyalty


Programs

xxxv
THANK YOU

xxxvi

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