0% found this document useful (0 votes)
22 views24 pages

Group 7 ReM Final Assignment

The Retailing Management Report analyzes the retail mix and market strategies of Bata and its competitors, focusing on aspects such as product assortment, pricing, and customer service. It highlights Bata's historical milestones and compares its performance with Metro Brands and Zudio, emphasizing their distinct market positions and strategies. The report also evaluates the effectiveness of Bata's physical and digital channels, providing insights into customer experiences and preferences.

Uploaded by

Sumit Anand
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
22 views24 pages

Group 7 ReM Final Assignment

The Retailing Management Report analyzes the retail mix and market strategies of Bata and its competitors, focusing on aspects such as product assortment, pricing, and customer service. It highlights Bata's historical milestones and compares its performance with Metro Brands and Zudio, emphasizing their distinct market positions and strategies. The report also evaluates the effectiveness of Bata's physical and digital channels, providing insights into customer experiences and preferences.

Uploaded by

Sumit Anand
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 24

Retailing Management Report

On
Retail mix and retail market strategy

Submitted To
Prof. G.K Murthy

Submitted by:
Group – 7
1. Akash Kumar
2. Md Quadir Iqubal.
3. Ritin Raj
4. Shivangi Kumari
5. Shriyanshu Bhushan
6. Sumit Anand
Contents
1. SELECTING THE RETAILER......................................................................................... 2
2. MILESTONES IN BATA'S JOURNEY SINCE INCEPTION ....................................... 4
3.1 COMPARING THE TWO RETAILERS ........................................................................ 6
3.2 VARIETY AND ASSORTMENT ..................................................................................... 7
4. COMPARE THE TARGET FIRM’S TWO CHANNELS............................................. 10
5. RETAIL MARKET STRATEGY COMPARISON ........................................................ 12
6. FINANCIAL PERFORMANCE COMPARISON: BATA INDIA LTD. VS. METRO
BRANDS LTD........................................................................................................................ 15
7. EVALUATE THE LOCATION OF BATA'S STORE AND COMPARE IT WITH
METRO .................................................................................................................................. 19
8. REFERENCES .................................................................................................................. 22

1
1. Selecting the Retailer
1. Bata (Focal Retailer)/ Speciality Store (49 stores)

Why it fits:

• Established brand with a global presence and a strong historical foundation.

• Operates physical stores and digital platforms (website and app), fulfilling the dual-channel
requirement.

• Known for its variety and assortment in footwear, including formal, casual, and school shoes,
which makes it easy to compare its offerings with competitors.

• Financial data is available as Bata is a publicly traded company, and their store operations are
accessible for observation.

2. Metro (Direct/Intra-Type Competitor)/ Speciality store (4 stores)

Why it fits:

• Metro specializes in footwear, making it a direct/intra-type competitor to Bata.

• Offers a comparable product mix focusing on shoes and accessories, catering to similar target
audiences.

• Known for its focus on premium quality and variety, allowing for a meaningful retail mix and
merchandise comparison.

• Operates both physical stores and an online platform, fulfilling the multi-channel comparison
requirement.

3. Zudio (Indirect/Inter-Type Competitor)/ Full line discount store (5 stores)

Why it fits:

• Zudio specializes in affordable fashion apparel and accessories, making it an indirect/inter-


type competitor to Bata.

2
• Focuses on value-driven customers, which contrasts with Bata’s product positioning,
allowing for insightful comparisons of retail strategies and customer experiences.

• Offers a distinct merchandise category (fashion vs. footwear), making the retail mix analysis
more varied.

• Stores and digital presence make it convenient for multi-channel analysis.

3
2. Milestones in Bata's Journey Since Inception
Early Beginnings

• 1894: Bata was founded by Tomáš Bata, along with his siblings Anna and Antonín, in Zlín,
Austria-Hungary (now Czech Republic).

• 1897: The company introduced a novel manufacturing process that allowed it to produce
affordable, quality shoes for the working class.

Early 20th Century: Innovations and Expansion

• 1904: Adoption of mechanized production techniques, which led to mass production and
reduced costs.

• 1914-1918: During World War I, Bata supplied military boots, resulting in a significant
increase in production and revenue.

• 1920s: Pioneered welfare capitalism by providing employee housing, education, and


healthcare facilities.

• 1923: Became one of the largest exporters of footwear in Europe.

• 1929: Expanded globally, establishing operations in India, Canada, South Africa, and the
United Kingdom.

1930s: Entry into India

• 1931: Established its first factory in Konnagar, West Bengal, India.

• 1936: Opened the famous Bata township in Batanagar, Kolkata, which became the first large-
scale shoe manufacturing facility in India.

World War II and Post-War Period

• 1939-1945: World War II disrupted operations in Europe, but the company sustained itself
through its operations in India and other colonies.

• 1940s: Continued global expansion despite challenges, establishing factories and stores
across Asia, Africa, and Latin America.

4
Mid-20th Century: Consolidation and Innovation

• 1952: Introduced the “Bata Bullets” sneakers in the U.S., marking an entry into the athletic
shoe market.

• 1954: Introduced the iconic “Hawaiian Slippers,” making footwear affordable for millions in
India.

• 1962: Opened the Bata Shoe Museum in Toronto, Canada, showcasing the company’s
heritage and global impact.

Late 20th Century: Modernization and Diversification

• 1970s-1980s: Invested in modernizing its factories and improving supply chain efficiency.

• 1989: Introduced branded retail formats to improve customer experience.

• 1993: Expanded product offerings to include accessories and apparel in select markets.

21st Century: Revitalization and Growth

• 2000s: Focused on rebranding as a premium yet affordable footwear brand.

• 2010: Launched global collections and collaborated with renowned designers for limited
editions.

• 2012: Opened flagship stores in major cities worldwide, embracing a modern retail format.

• 2017: Achieved global recognition by being named one of the most admired companies in the
footwear industry.

Recent Developments

• 2020: Adapted to the COVID-19 pandemic by enhancing its e-commerce platform and
introducing home delivery services.

• 2022: Launched new sustainable footwear lines, emphasizing eco-friendly materials and
practices.

• 2023: Expanded digital operations, integrating augmented reality (AR) for virtual shoe
fittings.

5
3.1 Comparing the two retailers
Components of
Bata (Focal Retailer) Zudio (Indirect Competitor)
Retail Mix
Moderate assistance, mainly focused Self-service model, where
on shoe fitting and product inquiries. customers browse and select
Customer
Store staff help customers find the right products independently.
Service
shoe size and offer product Minimal staff intervention, mainly
recommendations. assisting at checkout.
Present in malls, high-street shopping Found in malls and densely
areas, and standalone stores. populated urban areas.
Location
Located in high-footfall areas to attract Growing presence in tier-2 and
professionals, families, and students. tier-3 cities.
Specializes in footwear, Focuses on apparel, with limited
including formal, casual, sports, and footwear options like casual shoes
Merchandise
kids' shoes. and flip-flops.
Assortment
Offers a mix of international and in- Offers trendy clothing and
house brands. accessories for the youth market.
Mid-range pricing, balancing cost and Low-cost, budget-friendly
quality. pricing for mass-market appeal.
Pricing
Frequent discounts and seasonal sales. Minimal discounts, as prices are
already set low.
Uses TV commercials, digital media, Heavy focus on social media
and print advertising. marketing and influencer
Communication Engages in in-store promotions and collaborations.
festive sales. Uses Instagram, Facebook, and
YouTube for promotions.
Simple and functional layout, Trendy, vibrant interiors designed
prioritizing easy navigation. to appeal to young shoppers.
Store Design &
Less emphasis on visual merchandising. Uses stylish mannequins and bold
Display
displays for an engaging shopping
experience.

6
• Bata focuses on quality, durability, and a mid-range pricing strategy, appealing to working
professionals and families.
• Zudio is a fast-fashion, budget-friendly brand targeting trendy, price-conscious
youth with digital-heavy marketing.

• While Bata excels in footwear variety and brand legacy, Zudio thrives on trend-driven
products, low pricing, and youth appeal.

3.2 Variety and Assortment


For BATA:

Aspect Details
Product Length (Categories)
Formal Shoes Office wear, leather shoes, business casual shoes.
Casual Shoes Sneakers, loafers, slip-ons, flip-flops.
Sports & Athleisure Running shoes, walking shoes, gym shoes.
Sandals & Slippers Open-toe sandals, slip-ons, comfort wear.
Kids' Footwear School shoes, casual shoes, sandals.
Accessories Socks, shoe polish, bags, insoles, laces.
Product Breadth (Types within Categories)
Formal Shoes 3 types (Oxford, Derby, Loafers).
Casual Shoes 4 types (Sneakers, Loafers, Slip-ons, Flip-flops).
Sports & Athleisure 3 types (Running shoes, Gym shoes, Walking shoes).
Sandals & Slippers 2 types (Comfort sandals, Flip-flops).
Kids' Footwear 2 types (School shoes, Sandals).
Accessories 3 types (Socks, Shoe polish, Bags).
Product Depth (Variants/SKUs per Type)
Formal Shoes 25-30 models.
Casual Shoes 20-25 models.
Sports & Athleisure 15-20 models.
Sandals & Slippers 10-15 models.
Kids' Footwear 10-12 models.
Accessories 8-10 models.

7
Average Number of SKUs for Accessories in Bata:
Accessory Type SKUs
Socks 20 SKUs
Shoe Polish 15 SKUs
Bags 10 SKUs
Insoles 12 SKUs
Laces 8 SKUs

Average SKU Count (Bata Accessories):

(20+15+10+12+8)/5 = 65/5 = 13SKUs

Key Observations:

• Bata's assortment depth is strongest in formal and casual shoes, with significant variety in
styles and materials.
• Accessories have a lower SKU count, indicating they are a secondary product category.
• Bata’s product mix is focused entirely on footwear and related accessories.
• Bata maintains a deep inventory in key categories like formal and casual shoes, ensuring
customers have multiple style and size options.

For Zudio:

Aspect Details
Product Length (Categories)
Men’s Apparel Casual wear, formal wear, ethnic wear, sportswear
Women’s Apparel Casual wear, formal wear, ethnic wear, activewear
Kids’ Apparel Boys’ and girls’ clothing across casual, ethnic, and seasonal
categories
Accessories Bags, belts, socks, caps, scarves
Footwear Casual shoes, sandals, flip-flops
Seasonal Collections Winter wear (jackets, hoodies, sweaters), summer casuals
(shorts, dresses)

8
Product Breadth (Types within Categories)
Men’s Apparel 4 types (t-shirts, jeans, ethnic kurta sets, shorts)
Women’s Apparel 5 types (tops, dresses, leggings, kurtis, sportswear)
Kids’ Apparel 3 types (casual t-shirts, shorts, ethnic wear)
Accessories 4 types (bags, socks, belts, caps)
Footwear 3 types (casual sneakers, flip-flops, sandals)
Product Depth (Variants/SKUs per Type)
Men’s T-Shirts 30-40 models
Women’s Dresses 25-35 models
Kids’ Casual Wear 20-30 models
Bags 10-15 models
Footwear (Flip-Flops & Sandals) 15-20 models

Average Number of SKUs for Accessories (Zudio):

Accessory Type SKU Count


Bags 15 SKUs
Belts 10 SKUs
Socks 20 SKUs
Caps 12 SKUs
Scarves 18 SKUs

Average SKU Count (Zudio):


(15+10+20+12+18)/5 = 75/5 = 15 SKUs
Key Observations:
• Zudio offers a wide product variety across men’s, women’s, and kids’ apparel, along with
accessories and footwear.
• Men’s and women’s apparel have the most breadth, with 4-5 types each, while kids'
clothing is relatively limited.
• Accessories have moderate depth, averaging 15 SKUs per type, which ensures variety
without excessive inventory.
• Zudio’s product assortment is more trend-driven, with a fast fashion approach ensuring
rapid turnover of styles.

9
4. Compare the target firm’s two channels

1. Comparison of Bata's Store vs Website/Mobile App:

Criteria Bata Store Bata Website/Mobile App


Subcategories: 5 (Formal Shoes,
Subcategories: 6 (Same as store +
Casual Shoes, Sandals, Kids'
Merchandise Exclusive Online Collections). SKUs:
Footwear, Women’s Shoes).
Assortment 500+ (broader assortment with more
SKUs: 50–80 per store, limited by
styles and sizes).
shelf space and inventory.
Wider inventory, including exclusive
Stock availability is limited to store
Product online products.
inventory; some styles or sizes may
Availability Higher chance of finding the right size
not be available.
and color.
Prices are consistent across stores, Prices are similar to stores but often
with occasional in-store discounts include exclusive online discounts,
and sales promotions. cashback offers, and promotional
Prices &
Pricing Examples: deals.
Discounts
Formal Shoes: ₹1,200–₹3,500 Free delivery on orders above ₹999.
Casual Shoes: ₹1,000–₹2,800 Limited-time discounts (e.g., festival
Sandals: ₹500–₹1,500 sales, end-of-season sales).
Shopping Experience
Well-organized store layout, but
Advanced search filters for category,
finding products depends on staff
Ease of Finding size, price, color, material, and brand.
assistance.
Products Easier comparison between multiple
Customers physically browse
products.
shelves for products.
Limited product information; relies Detailed product descriptions,
Availability of
on in-store staff for size, material, reviews, and size guides available for
Information
and care instructions. informed decision-making.
Customers must visit the store
Shopping 24/7 shopping from anywhere; no
physically, browse, and try on
Convenience need to visit a physical store.
products before purchasing.
Limited in-store customization
Customization No customization options but provides
available (e.g., orthopedic shoes,
Options detailed sizing recommendations.
shoe fitting services).
Quick and seamless checkout.
Physical queue at the billing counter.
Checkout Payment modes: Debit/Credit Card,
Payment modes: Cash, Card, UPI,
Process UPI, Net Banking, Mobile Wallets,
Mobile Wallets.
EMI options.

10
In-store exchanges possible if the Hassle-free returns and refund
Returns &
customer retains the bill. policies; customers can return within a
Exchanges
Returns depend on store policy. set period (e.g., 7–15 days).
Multiple delivery options: Home
Delivery & No delivery service; customers take delivery, Express Delivery (if
Pickup Options their purchase immediately. available), and Click & Collect (store
pickup).
Customer support via live chat, email,
Face-to-face customer service; staff
Customer or phone.
assist in finding sizes,
Support Chatbots help with FAQs, and real-time
recommendations, and fitting.
assistance is available.
Loyalty Physical loyalty programs and Digital loyalty program; points and
Programs & membership benefits available in- offers are directly credited to the online
Offers store. account.

Key Observations & Inferences:

• Merchandise & Pricing: The online store offers a larger variety of products, including
exclusive collections and discounts, while the physical store is limited by inventory space.

• Shopping Experience: The physical store provides personal assistance, making it ideal for
customers who prefer trying products before purchasing, whereas the website/app offers
convenience and easy filtering.

• Checkout & Payments: Online shopping is quicker and more seamless, while in-store
purchases require standing in queues but allow for instant gratification.

• Returns & Customer Support: The online store provides an easier return process,
whereas physical stores handle exchanges more efficiently for immediate replacements.

• Delivery & Accessibility: The online store offers home delivery and store pickup, making
it more flexible, while in-store shopping requires a physical visit.

11
5. Retail Market Strategy Comparison

1. Retail Format

Aspect Bata (Target Firm) Zudio (Competitor)


Type Specialty Retailer – Focuses Value Fashion Retailer – Specializes
exclusively on footwear and related in affordable, fast-fashion apparel
accessories. and accessories.
Store Size & Operates mid-sized specialty stores Operates large-format discount
Layout (1000–2000 sq. ft.), with an organized stores (2500–4000 sq. ft.), following
layout focusing on different shoe a self-service, high-volume format
categories (formal, casual, sports, etc.). with open shelves for quick
browsing.
Expansion Uses a mix of standalone stores and Aggressive expansion strategy,
Model mall outlets, with strong omnichannel focusing on metro cities and tier-2
integration. Expands based on footfall and tier-3 locations for mass-market
potential and demand for branded penetration.
footwear.
Omnichannel Operates through offline stores and a Primarily an offline retailer, with an
Approach strong e-commerce platform, offering online presence mainly for
online-exclusive collections. marketing and promotions, rather
than direct e-commerce.

Key Difference:

Bata follows a specialized footwear-focused model with strong omnichannel integration, while
Zudio operates a value-driven apparel model, emphasizing affordability and high-volume sales.

12
2. Target Market

Aspect Bata (Target Firm) Zudio (Competitor)


Geographic Strong presence in metros and tier-2 Expanding rapidly across tier-1,
Focus cities, focusing on high-footfall retail tier-2, and tier-3 cities, targeting
areas and shopping malls. value-conscious shoppers.
Demographic Targets middle-income and upper- Targets budget-conscious young
Focus middle-class consumers, including adults, college students, and
working professionals, families, families looking for trendy fashion
students, and sports enthusiasts. at low prices.
Consumer Customers prioritize comfort, quality, Customers prioritize affordable,
Preferences and durability in footwear, with some trendy, fast fashion, with a high
preference for brand loyalty and after- turnover in styles and impulse
sales support. purchases.

Key Difference:

Bata caters to quality-conscious customers who seek durable and branded footwear, whereas Zudio
appeals to trendy, price-sensitive shoppers looking for frequent fashion updates.

3. Positioning

Aspect Bata (Target Firm) Zudio (Competitor)


Brand Positions itself as a trusted, heritage Markets itself as a youth-centric,
Positioning footwear brand, offering a balance of affordable fast-fashion brand,
quality, affordability, and comfort. emphasizing trendy designs at low
prices.
Customer Seen as a reliable and family-friendly Perceived as a trendy, budget-
Perception brand, offering durable shoes for friendly fashion brand with frequent
various age groups and occasions. stock changes and affordable
pricing.

Key Difference:

Bata is positioned as a trustworthy, multi-generational brand with a focus on quality footwear,


while Zudio focuses on affordable, trendy apparel for young, budget-conscious shoppers.

13
4. Sources of Sustainable Competitive Advantage

Aspect Bata (Target Firm) Zudio (Competitor)


Brand Heritage & Established in 1894, Bata benefits A relatively new brand, but
Trust from strong brand recall and trust benefits from Tata Group’s
across generations. reputation and aggressive
expansion.
Product Offers a wide variety of footwear Focuses on fast-fashion clothing,
Assortment & categories, with deep assortments in offering low-cost apparel with
Depth formal, casual, sports, and kids' moderate variety in footwear.
shoes.
Retail Network Operates 49+ stores in various cities, Rapid expansion with 250+ stores,
including malls and high-street focusing on high-traffic urban
locations. areas and budget-conscious
locations.
Omnichannel & E- Strong online presence with website, Primarily an offline-focused
Commerce app, and third-party marketplace brand, using its website mainly for
Strength collaborations. promotions rather than direct
sales.
Customer Loyalty Strong customer retention due to Encourages frequent visits with
& Repeat brand reputation, comfort, and constantly changing collections
Purchases durability of footwear. and impulse-driven pricing.

Key Difference:

Bata’s competitive advantage lies in its heritage, strong brand trust, and deep footwear
assortment, whereas Zudio thrives on fast fashion, affordability, and high footfall locations.

Final Takeaways:

• Bata = Quality, Comfort, and Brand Trust (Best for long-term wear, brand-conscious
consumers).
• Zudio = Trendy, Budget-Friendly, Fast Fashion (Best for impulse shoppers and young adults).
• Both brands serve different consumer needs and have strong retail strategies tailored to their
market segments.

14
6. Financial Performance Comparison: Bata India Ltd. vs. Metro
Brands Ltd.
1. Net Profit Margin and Associated Metrics

This ratio measures profitability by showing the percentage of revenue that remains as profit after all
expenses are deducted. It reflects overall efficiency in controlling costs and generating profit.

Metric Bata India Metro Brands


Net Profit (₹ Cr.) 259.93 417.81
Revenue (₹ Cr.) 3,478.41 2,305.00
Net Profit Margin 7.47% 18.12%
Note: Net Profit Margin is calculated as (Net Profit / Revenue) × 100.

2. Asset Turnover and Associated Metrics

This ratio evaluates a company’s efficiency in using its assets to generate revenue. It indicates how
effectively the resources are utilized to produce sales. Higher ratios signify better operational
performance.

Metric Bata India Metro Brands


Total Assets (₹ Cr.) 3,339.61 3,289.19
Revenue (₹ Cr.) 3,478.41 2,305
Asset Turnover Ratio 1.04 0.70
Note: Asset Turnover Ratio is calculated as Revenue / Total Assets.

3. Return on Assets (ROA)

ROA measures a company’s efficiency in converting assets into net income. It reflects both
profitability and asset utilization, helping assess the effectiveness of asset investments in driving
profitability.

Metric Bata India Metro Brands


Net Profit (₹ Cr.) 259.93 417.81
Total Assets (₹ Cr.) 3,339.61 3,289.19
ROA 7.78% 12.70%
Note: ROA is calculated as (Net Profit / Total Assets) × 100.

15
Comparison of Financial Performance: Bata India vs. Metro Brands (FY23)
Bata India and Metro Brands operate in the footwear retail segment but have distinct operational
and financial characteristics. While Bata India focuses on a broad customer base with a mix of
premium and value products, Metro Brands targets the mid-to-premium market segment with a
curated product offering.

Key Insights from Strategic Profit Model (SPM) Analysis

1. Profitability: Metro Brands Has a Stronger Net Profit Margin

• Metro Brands' Net Profit Margin (NPM) is 18.12%, significantly higher


than Bata India's (7.47%), indicating Metro retains more profit per rupee of
sales.

• Metro Brands benefits from higher pricing power and operational efficiency,
likely due to a focused premium product mix and strategic cost management.

• Bata India's lower margin reflects its broader product range and possibly higher
operational costs associated with its larger distribution network.

2. Efficiency: Bata India Utilizes Assets Better

• Bata India's Asset Turnover Ratio is 1.04, outperforming Metro Brands' 0.70,
suggesting Bata generates more revenue per rupee of assets.

• This highlights Bata’s ability to effectively manage its inventory and retail
operations across a more extensive footprint.

• Metro Brands' lower ratio may result from its focus on premium products, which
could have lower turnover rates.

3. Return on Assets (ROA): Metro Brands Outperforms Bata India


• Metro Brands’ ROA (12.70%) is higher than Bata India’s 7.78%, indicating
Metro generates better returns from its asset base.
• Metro's superior ROA stems from its high profitability, offsetting its lower asset
turnover.
• Bata's lower ROA reflects the impact of its broader operational scale and
associated capital investments.

16
Differences in Financial Performance

1. Profitability (Net Profit Margin):

• Metro Brands (18.12%) has a significantly higher net profit margin than Bata
India (7.47%).

• This indicates Metro Brands achieves better cost efficiency and pricing strategies.

• Bata India's lower margin suggests higher operational or distribution costs relative
to its revenue.

2. Efficiency in Asset Utilization (Asset Turnover Ratio):

• Bata India (1.04) has a higher Asset Turnover Ratio than Metro Brands (0.70).

• This reflects Bata’s ability to generate higher revenue from its asset base due to a
wider reach and product mix.

• Metro Brands’ lower ratio could result from a slower-moving inventory mix in the
premium segment.

3. Return on Assets (ROA):

• Metro Brands (12.70%) outperforms Bata India (7.78%) in ROA, highlighting


better profitability relative to its assets.

• Metro Brands’ focused strategy and cost management contribute to its higher
returns.

• Bata’s ROA is lower, influenced by its broader scale and asset base.

Key Inferences

1. Metro Brands is More Profitable than Bata India

• Higher Net Profit Margin (18.12% vs. 7.47%) indicates Metro earns more
profit per unit of revenue.

• This reflects Metro’s focus on premium pricing and efficient operations.

17
2. Bata India is More Effective in Generating Sales from Assets
• Higher Asset Turnover Ratio (1.04 vs. 0.70) suggests Bata utilizes its assets
better to drive revenue.
• This advantage stems from Bata’s extensive network and broader customer base.
3. Metro Brands Delivers Higher Returns on Investment
• Higher ROA (12.70% vs. 7.78%) reflects Metro’s superior ability to convert
assets into profits.
• This is attributed to Metro’s strategic focus on high-margin segments.
4. Business Model Differences Influence Financial Performance
• Bata India operates a large-scale, high-revenue model with a diverse product
offering and wider customer base.
• Metro Brands follows a niche strategy, prioritizing higher margins and premium
products, which enhances profitability but limits scale.
5. Growth vs. Efficiency Trade-Off
• Bata India’s extensive operations enable higher revenue generation but come with
higher costs.
• Metro Brands’ profitability focus is sustainable in its current model but could face
challenges with aggressive expansion.

18
7. Evaluate the Location of Bata's Store and Compare it with Metro

1. Type of Location

Both Bata and Zudio have stores in Boring Road, Patna, a prime commercial area known for its
retail, fashion, and lifestyle shopping. Based on the classification:

• Boring Road falls under an Unplanned Location

o It has organically developed into a major retail hub.

o The area includes a mix of national and local retailers, restaurants, and service
providers, attracting a wide range of shoppers.

o While not a Central Business District (CBD), it functions as a Secondary Business


District (SBD), catering to the shopping and lifestyle needs of Patna's residents.

2. Site Characteristics

• High Footfall: Being a prime shopping destination, Boring Road witnesses a high volume of
daily shoppers, including college students, working professionals, and families.

• Accessibility: Well-connected to other parts of Patna through public transport, auto-


rickshaws, and private vehicles.

• Diverse Customer Base: Attracts a mix of middle-class and upper-middle-class


customers, seeking both branded and budget-friendly retail options.

• Retail Mix: The presence of multiple fashion stores, footwear retailers, electronics shops,
and food outlets, making it a competitive retail hub.

19
3. Comparison of Locations: Bata vs. Zudio (Boring Road, Patna)

Feature Bata (Specialty Retailer - Zudio (Value Fashion Retailer -


Footwear) Apparel & Accessories)

Location Type Unplanned, Secondary Business Unplanned, Secondary Business


District District

Site Accessibility High (Located on the main road High (Located in a commercial hub
with strong brand visibility). with youth-centric stores).

Target Audience Families, working professionals, Young adults, budget-conscious


students looking for quality shoppers, families looking for
footwear. trendy fashion.

Retail Format Specialty store, focused on Discount fashion store, offering


footwear and accessories. affordable apparel, accessories, and
footwear.

Customer Flow Moderate to high (customers visit Very high (fast-moving fashion,
with planned purchases for footwear impulse buying behavior).
needs).

Competitive Competes with other footwear Competes with other fashion


Environment brands like Metro, Khadim’s, and retailers like Max, Pantaloons, and
Liberty. Reliance Trends.

4. Inferences from the Comparison

Similarities:

• Both stores are located in Boring Road, benefiting from high footfall and strong retail
demand.

• Both fall under unplanned retail locations in a Secondary Business District, making them
easily accessible to a large number of shoppers.

• Both stores have recognizable brand presence, attracting a loyal customer base.

20
Differences:

• Bata is a specialty retailer, focusing on quality footwear and accessories, attracting


customers looking for planned purchases.

• Zudio is a value fashion retailer, selling affordable apparel and accessories, relying on
fast fashion and impulse buying.

• Zudio benefits from high customer turnover, as customers visit frequently for new fashion
arrivals, whereas Bata serves long-term needs, with customers purchasing footwear less
frequently but with brand loyalty.

Final Insight:

Both Bata and Zudio benefit from their prime location in Boring Road, but their retail strategies
differ—Bata focuses on durability and comfort in footwear, while Zudio leverages affordable
fashion and frequent customer visits to drive sales.

21
8. References
1. Bata India. (n.d.). Official website. Retrieved January 26, 2025, from https://www.bata.in
2. Metro Brands. (n.d.). Official website. Retrieved January 26, 2025, from
https://www.metrobrands.com
3. Zudio. (n.d.). Official website. Retrieved January 26, 2025, from https://www.zudio.com
4. Moneycontrol. (n.d.). Bata India financial results. Retrieved January 26, 2025, from
https://www.moneycontrol.com/financials/bataindia
5. Moneycontrol. (n.d.). Metro Brands financial results. Retrieved January 26, 2025, from
https://www.moneycontrol.com/financials/metrobrands
6. India Brand Equity Foundation (IBEF). (2023). Retail industry in India. Retrieved January 26,
2025, from https://www.ibef.org/industry/retail-india.aspx
7. Tata Group. (n.d.). Tata in the retail sector. Retrieved January 26, 2025, from
https://www.tata.com/business/zudio

22
Group 7 ReM Final Assignment .pdf
ORIGINALITY REPORT

1 %
SIMILARITY INDEX
1%
INTERNET SOURCES
0%
PUBLICATIONS
0%
STUDENT PAPERS

PRIMARY SOURCES

1
fastercapital.com
Internet Source 1%
2
www.lucintel.com
Internet Source <1 %
3
Submitted to Liberty University
Student Paper <1 %

Exclude quotes On Exclude matches < 14 words


Exclude bibliography On

You might also like