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PROJECT REPORT

ON
The Promotional Strategies & Customer Feedback

Management And Pilot Study Of Essar


AT

THE MOBILE STORE LTD


SUBMITTED BY:

FAIZ AHMED KHAN


Under the Guidance of
Prof. Suchitra Deogawkar

Submitted to University of Pune in partial fulfillment of the


requirement for the award of the degree of Masters In Marketing
Management,
Through
Prestige College Of Management And Technology

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DECLARATION

I declare that the project report entitled The retail and wholesale
distribution limited is an authentic work which has
been executed by me.
The project was undertaken as a part of the course curriculum of
M.M.M program Pune University, Maharashtra. This has not been
submitted to any other examination body earlier.

FAIZ AHMED KHAN

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ACKNOWLEDGEMENT
It gives me immense pleasure in completing this project and submitting the final
project report. I would like to thank several people for their support and guidance,
which helped me to complete my project.

I would like to thank and express my gratitude to Mr. Faisal Meer (Deputy
Manger-Rollout MP & CG) for providing opportunity to complete my project. I
would also like to thank Prof. M.P Singh (Faculty- Placements and personality
development) for assigning me a project on The Promotional Strategies ,
Customer Feedback Management And Pilot Study Of Essar . I would also like to
thank to entire staff of The Mobile Store Ltd. without whom the project would not
have been completed.
I would also like to thank my college faculty for their help in
getting this project completed.

FAIZ AHMED KHAN

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TABLE OF CONTENT
S.No.
1

Particulars

Page No
5

Introduction:
Executive Summary

6
Industry Profile

Company Profile

18

Customer Feedback Management:

24

Data Interpretation

40

Conclusion
4

Promotional Strategy:

63

Rock on Rolls

63

Conclusion & Recommendations

Page 4

64

CHAPTER 1
INTRODUCTION

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EXECUTIVE SUMMARY

This project was undertaken at The Mobile Store (Essar Telecom Retail Ltd) Ltd., one
of the pioneers of the mobile retail revolution in India. The research was conducted in
order to study the customers feedback.
The main ideology behind customer feedback management is as follows:
Whenever any customers come to a retail outlet they are given a feedback form to fill
wherein they are asked various questions about the products, services, offers and their
overall shopping experience.
Hence this research was conducted to find the levels at which this event was
happening and how it is affecting the store sale.
The research was conducted in the three stores and 150 sample units were approached.
After the data collection the data was formulated and analyzed using different
analytical and graphical methods and the result was concluded.

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INDUSTRY PROFILE

Indias Retail Industry is the largest among all the


industries, accounting for over 10 per cent of the countrys GDP and around 8 per cent
of the employment. The Retail Industry in India has come forth as one of the most
dynamic and fast paced industries with several players entering the market. But all of
them have not yet tasted success because of the heavy initial investments that are
required to break even with other companies and compete with them. The India Retail
Industry is gradually inching its way towards becoming the next boom industry.

The total concept and idea of shopping has undergone an attention drawing change in
terms of format and consumer buying behavior, ushering in a revolution in shopping in
India. Modern retailing has entered into the Retail market in India as is observed in the
form of bustling shopping centers, multi-storied malls and the huge complexes that
offer shopping, entertainment and food all under one roof.

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A large young working population with median age of 24 years, nuclear families in
urban areas, along with increasing working women population and emerging
opportunities in the services sector are going to be the key factors in the growth of the
organized Retail sector in India. The growth pattern in organized retailing and in the
consumption made by the Indian population will follow a rising graph helping the
newer businessmen to enter the Indian Retail Industry.

In India the vast middle class and its almost untapped retail industry are the key
attractive forces for global retail giants wanting to enter into newer markets, which in
turn will help the Indian Retail Industry to grow faster. Indian retail is expected to
grow 25 per cent annually. Modern retail in India could be worth US$ 175-200 billion
by 2016. The Food Retail Industry in India dominates the shopping basket. The
Mobile phone Retail Industry in India is already a US$ 16.7 billion business, growing
at over 20 per cent per year. The future of the Indian Retail Industry looks promising
with the growing of the market, with the government policies becoming more
favorable and the emerging technologies facilitating operations.

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THE INDIAN RETAIL SCENARIO

India is the country having the most unorganized retail market. Traditionally it is a
familys livelihood, with their shop in the front and house at the back, while they
run the retail business. More than 99% retailers function in less than 500 square
feet of shopping space. Global retail consultants KSA Technopak have estimated
that organized retailing in India is expected to touch Rs 35,000 crore in the year
2014-15. The Indian retail sector is estimated at around Rs 900,000 crore, of which
the organized sector accounts for a mere 2 per cent indicating a huge potential
market opportunity that is lying in the waiting for the consumer-savvy organized
retailer.

Purchasing power of Indian urban consumer is growing and branded merchandise


in categories like Apparels, Cosmetics, Shoes, Watches, Beverages, Food and even
Jewelry, are slowly becoming lifestyle products that are widely accepted by the
urban Indian consumer. Indian retailers need to take advantage of this growth and
aim to grow, diversify and introduce new formats. They have to pay more attention
to the brand building process. The emphasis here is on retail as a brand rather than
retailers selling brands. The focus should be on branding the retail business itself.
In their preparation to face fierce competitive pressure, Indian retailers must come
to recognize the value of building their own stores as brands to reinforce their
marketing positioning, to communicate quality as well as value for money.

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Sustainable competitive advantage will be dependent on translating core values,


combining products image and reputation into a coherent retail brand strategy.
There is no doubt that the Indian retail scene is booming. A number of large
corporate houses Tatas, Rahejas, Piramalss, Goenkas have already made
their foray into this arena, with beauty and health stores, supermarkets, self-service
music stores, new age book stores, every-day-low-price stores, computers and
peripherals stores, office equipment stores and home/building construction stores.
Today the organized players have attacked every retail category. The Indian retail
scene has witnessed too many players in too short a time, crowding several
categories without looking at their core competencies, or having a well thought out
branding strategy.

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STRATEGIES, TRENDS AND OPPORTUNITIES 2013

Retailing in India is gradually inching its way toward becoming the next boom
industry. The whole concept of shopping has altered in terms of format and
consumer buying behavior, ushering in a revolution in shopping in India. Modern
retail has entered India as seen in sprawling shopping centres, multi-storied malls
and huge complexes offer shopping, entertainment and food all under one roof. The
Indian retailing sector is at an inflexion point where the growth of organized
retailing and growth in the consumption by the Indian population is going to take a
higher growth trajectory. The Indian population is witnessing a significant change
in its demographics. A large young working population with median age of 24
years, nuclear families in urban areas, along with increasing workingwomen
population and emerging opportunities in the services sector are going to be the key
growth drivers of the organized retail sector in India.

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GROWTH OF RETAIL SECTOR IN INDIA

Retail and real estate are the two booming


sectors of India in the present times. And if industry experts are to be believed, the
prospects of both the sectors are mutually dependent on each other. Retail, one of
Indias largest industries, has presently emerged as one of the most dynamic and
fast paced industries of our times with several players entering the market.
Accounting for over 10 per cent of the countrys GDP and around eight per cent of
the employment retailing in India is gradually inching its way toward becoming the
next boom industry.

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RETAIL AS AN EMPLOYMENT GENERATOR

The retail sector can generate huge employment


opportunities, and can lead to job-led economic growth. In most major economies,
services form the largest sector for creating employment. US alone have over 12% of
its employable workforce engaged in the retail sector. The retail sector in India
employs nearly 21 million people, accounting for roughly 6.7% of the total
employment. However, employment in organized retailing is still very low, because of
the small share of organized retail business in the total Indian retail trade. The share of
organized retailing in India, at around 2%, is abysmally low, compared to 80% in the
USA, 40% in Thailand, or 20% in China, thus leaving the huge market potential
largely untapped. A modern retail/retail services sector has the potential of creating
over 2 million new (direct) jobs within the next 6 years in the country (assuming only
8-10% share of organized retailing), according to Arvind Singhal, CMD, KSA Techno
park. Retail can create as many new jobs as the BPO/ITeS sector in India. A strong
retail front-end can also provide the necessary fill up to agriculture & food processing,
handicrafts, and small & medium manufacturing enterprises, creating millions of new
jobs indirectly. Through its strong linkages with sectors like tourism and hospitality,
retail has the potential of creating jobs in these sectors also.
Issues like FDI in retail, allocation of government-controlled land on more favorable
terms, strong political and bureaucratic leadership, etc., need to be addressed
adequately.

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THE MOBILE REVOLUTION

Indian mobile market is continuously booming due to


several reasons. Some of the main reasons are higher disposable income, changing
lifestyles, expansion of middle class by upward movement of lower classes, poised
urbanization and growing need for customer-friendly telecom services. Statistics
reveal that almost six million new subscribers are added each month to mobile market.
World's largest mobile producer, Nokia, predicted India to be second largest market for
mobile. Most of this growth would result from the tapping of the unexploited potential
in 600,000 villages of India where millions of Indians reside.

As per the research analyst at RNCOS, the Indian telecom market is experiencing
huge and fast growth at the same time and it is necessary to monitor the growth if it
has to result in customer satisfaction. One stop shop for fulfilling all the needs of
mobile customers is the need of the hour. Telecom solution stores have always been
successful in satisfying and meeting all customers needs.

The retail market for mobile phones - handset, accessories and airtime - is already an
over US$ 17.33-billion market growing at the rate of 15-20 per cent. With the number
of mobile users expected to cross 220 million by the year end (and 550 million by
2016).

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INDIA 3rd LARGEST TELECOM MARKET

India has become the third largest telecommunication


network in the world after China and USA.
India's GSM telecom service providers added 5.92mn new subscribers in February,
taking their total customer base up to 184.67mn. In January, they had added 6.19mn
new users. At the end of February last year, the total GSM subscriber base stood at
115.29mn while the same was 178.41mn as at January 31, 2013.
Company wise break-up shows that Bharti Airtel, leader in the GSM space, added 2.25mn

new customers last month while Vodafone Essar saw its subscriber base swell by
1.41mn new users. Idea Cellular added 918,871 new customers and Spice
Communications added 141,377 new users. State-run BSNL added around 0.8mn new
customers last month. At the end of February, Bharti Airtel held a market share of
32.31% with a total of 59.67mn customers, while Vodafone Essar had a market share
of 23.04% at 42.55mn subscribers. BSNL accounted for 18.72% of the GSM market at
34.57mn customers and Idea held a market share of 12.39% at 22.87mn.

India is now also the third largest CDMA market in the world after US and South
Korea.

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RETAILING FORMAT IN INDIA


Malls:
The largest form of organized retailing today is located mainly in metro cities, in
proximity to urban outskirts. Ranges from 60,000 sq ft to 7,00,000 sq ft and above.
They lend an ideal shopping experience with an amalgamation of product, service and
entertainment, all under a common roof. Examples include Shoppers Stop, Piramyd,
and Pantaloon.

Specialty Stores:
Chains such as the Bangalore based Kids Kemp, the Mumbai books retailer
Crossword, RPG's Music World and the Times Group's music chain Planet M, are
focusing on specific market segments and have established themselves strongly in
their sectors.

Discount Stores:
As the name suggests, discount stores or factory outlets, offer discounts on the MRP
through selling in bulk reaching economies of scale or excess stock left over at the
season. The product category can range from a variety of perishable/ non-perishable
goods.

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Department Stores:
Department stores are large stores ranging from 20000-50000 sq. ft, catering to a
variety of consumer needs. They are further classified into localized departments such
as clothing, toys, home, groceries, etc. Departmental Stores are expected to take over
the apparel business from exclusive brand showrooms. Among these, the biggest
success is K Raheja's Shoppers Stop, which started in Mumbai and now has more than
seven large stores (over 30,000 sq. ft) across India and even has its own in store brand
for clothes called Stop.

Hyper marts/Supermarkets:
Large self-service outlets, catering to varied shopper needs are termed as
Supermarkets. These are located in or near residential high streets. These stores today
contribute to 30% of all food & grocery organized retail sales. Super Markets can
further be classified in to mini supermarkets typically 1,000 sq ft to 2,000 sq ft and
large supermarkets ranging from of 3,500 sq ft to 5,000 sq ft. having a strong focus on
food & grocery and personal sales.
Convenience Stores:
These are relatively small stores 400-2,000 sq. feet located near residential areas. They
stock a limited range of high-turnover convenience products and are usually open for
extended periods during the day, seven days a week. Prices are slightly higher due to
the convenience premium.
MBOs:
Multi Brand outlets, also known as Category Killers, offer several brands across a
single product category. These usually do well in busy market places and Metros.

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________________________________________________

HISTORICAL BACKGROUND OF THE COMPANY

The Essar group was founded over three decades ago by the Ruia family and is headed
by Chairman Shashi Ruia and Vice-Chairman Ravi Ruia. The Ruia family has been in
business and trading since the 1800s, when the family first moved to Mumbai from
Rajasthan in Western India. In 1956, Nand Kishore Ruia, the group founder, moved
south to Chennai to begin independent business activities. In 1969, following the
untimely demise of Nand Kishore Ruia, his sons Shashi and Ravi Ruia took over the
group. Along with a team of seasoned professionals, the Ruias have built the perfect
platform for Essar's accelerating growth. With a strong foundation at Indias industrial
core and in the sunrise services sector, Essar has stayed firmly in the forefront of new
opportunities. An early start has made us a key player in India's exploding telecom
market. Similarly, we set up Indias first independent power plant and its first new
generation private steel plant.
For decades, we have quietly touched the lives of millions of people with the steel to
build cars, the oil to fuel factories, the power to light up thousands of lives and the
pipelines to bring drinking water to remote villages. Today, we have come closer by
connecting customers with our cellular phone services and talking to thousands of

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people through our call centres, a countrywide chain of fuel outlets and marketing
steel at the retail level.

OVERVIEW OF THE COMPANY

Essar is one of the leading corporate houses of India. The group has diverse business
interests spanning Steel, Energy, Power, Communications, Shipping & Logistics, and
Construction. For the financial year ending March 2012, Essar Group earned revenues
of over US$ 4 billion. Essar Group employs 20,000 people in 50 locations worldwide.
All the investments of the group have been consolidated under Essar Global Ltd.,
along with its six sectoral holding companies: Essar Steel Holdings Limited, Essar
Energy Holdings Limited, Essar Power Holdings Limited, Essar Communications
Holdings Limited, Essar Shipping & Logistics Limited and Essar Constructions FZE.
Essar Group was founded by the Ruia family. The Ruia family originally belongs to
Rajasthan. In the 19th century, the family moved to Mumbai for business and trading
purposes. In 1956, Nand Kishore Ruia, the group founder, moved south to Chennai to
begin independent business activities and thus the foundations of Essar Group were
laid. In 1969, after the demise of Nand Kishore Ruia, his sons Shashi and Ravi Ruia
took over the group and guided the group to its present destiny.

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OVERVIEW :

Promoted by the Ruia Family


Large industrial group with enterprise value of
approximately USD 50 billion
A well balanced portfolio of assets in manufacturing,
services and retail
State-of-art facilities and technology
Global level of operations and strong business
relations
Moving closer to customers and building strong brands

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Essar Global Limited


100%

100%

100%

100%

Essar
Steel
Holdings
Limited

Essar
Energy
Holdings
Limited

Essar
Communicati
ons
Holdings
Limited

Essar
Steel Ltd

Essar Oil

Vodafone
Essar

4.6 MTPA
integrated
steel plant

Essar
Steel
(Hazira)
4 MTPA
integrated steel
plant

Essar
Steel
Orissa
6 MTPA pellet
plant

Algoma
Steel,
Canada
4.0 MTPA
integrated steel
plant

Minnesota
Steel
6 MTPA pellet
plant
1.5 billion tonne
iron ore
reserves

PT Essar
Indonesia
0.4 MTPA cold
rolling

10.5 MTPA
refinery
complex
1,500 retail
outlets
Refinery
expansion tp 34
MTPA

Exploratio
n&
Production
Assets
E&P rights in
some of
valuable oil &
gas blocks in
India and
abroad

40 million
subscribers

Essar
Power
Holdings
Limited

Essar
Power /
Bhander
Power

Essar
Telecom
Infrastruct
ure

1015 MW
combined cycle

5,000 Telecom
Sites by 2008;
20,000 by 2010

125 mw cogeneration

Essar
Telecom
Retail
Chain of 2,500
retail outlets by
2010

Aegis BPO
9 centres in
India and 9
centers in USA
16,000 people

BPL
Mobile
More than 1
million
subscribers

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Vadinar
Power

Expansion by
500 MW

Essar
Power M P
1200 MW coal
based

Essar
Power
Gujarat
1200 MW coal
based

100%
Essar
Projects
Limited

Essar
Constru
ction
Engineering
Fabrication
Construction
Fully geared
to execute
turnkey EPC
jobs in India
and
overseas

Global
Supplies
(UAE)
FZE
Global
procurement
company

100%
Essar
Shipping &
Logistics
Limited

Essar
Shipping
Fleet of 27
vessels, DWT
of 1.34 mn

Vadinar Oil
Terminal
Terminal facility
of 32 MTPA
Liquid Cargo

Bulk
Terminal
Dry bulk port
facilities

Essar
Oilfields
A drilling
company with
13 rigs

Essar
Logistics
Owns and
operates
transshipment
assets

Essar Global A Profile


Essar is one of the leading corporate houses of India. The group has diverse
business interests spanning Steel, Energy, Power, Communications, Shipping &
Logistics, and Construction. All the investments of the group have been consolidated
under Essar Global Ltd., along with its six sectoral holding companies: Essar Steel
Holdings Limited, Essar Energy Holdings Limited, Essar Power Holdings Limited,
Essar Communications Holdings Limited, Essar Shipping & Logistics Limited and
Essar Constructions FZE.
Essar Group was founded by the Ruia family. The Ruia family originally belongs to
Rajasthan. In the 19th century, the family moved to Mumbai for business and trading
purposes. In 1956, Nand Kishore Ruia, the group founder, moved south to Chennai to
begin independent business activities and thus the foundations of Essar Group were
laid. In 1969, after the demise of Nand Kishore Ruia, his sons Shashi and Ravi Ruia
took over the group and guided the group to its present destiny.
Essar Global Limited (EGL) is a diversified business corporation with a balanced
portfolio of assets straddling the manufacturing and services sectors of Steel, Energy,
Power, Communications, Shipping & Logistics, and Projects. EGL has an enterprise
value of approximately USD 50 billion (INR 200,000 crore) and employs 30,000
people worldwide.
With a firm foothold in India, Essar Global has been focusing on global expansion
with projects/investments in Canada, USA, Africa, the Middle East, the Caribbean and
South East Asia. Among its recent global acquisitions are the US-based companies,
Global Vantedge and Minnesota Steel, as well as the Ontario (Canada) based Algoma
Steel.

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Privately owned and professionally managed, EGL has an excellent track record,
having succeeded in the capital intensive and competitive manufacturing sectors.
Better focus for each business through integration, incorporation of state-of-the-art
technology and innovative in-house research has made Essar Global a leading player
in each of its businesses.

Essar Steel Holdings Limited (ESHL) is a global producer of steel with a footprint
covering India, Canada, USA, the Middle East and Asia. It is a fully integrated flat
carbon steel manufacturerfrom iron ore to ready-to-market .
ESHL has a current capacity of 9 million tonnes per annum (MTPA). With its
aggressive expansion plans in India and other parts of Asia and North America, its
capacity will go up to 20 to 25 MTPA by 2014.
ESHL has recently acquired Algoma Steel in Canada, which has a capacity of 4
MTPA. In Indonesia, it operates a 400,000 TPA cold rolling complex with a
galvanising line of 150,000 TPA, making it the largest private steel company in that
country. Additionally, Essar is setting up a hot strip mill in Vietnam and an integrated
steel plant in Trinidad & Tobago.
ESHL is the largest steel producer in western India, with a current capacity of 4.6
MTPA at Hazira, Gujarat, and plans to increase this to 9 MTPA. The Indian operations
also include an 8 MTPA beneficiation plant at Bailadilla, Chattisgarh, and an 8 MTPA
pellet complex at Visakhapatnam.
.Essar Steel is the first Indian steel company to receive an ISO 14001 certification for

environment management practices.


Essar Energy Holdings Limited (EEHL) drives EGLs Energy business. It operates a
fully integrated oil company of international size and scale in India. Its assets include
developmental rights in proven exploration blocks, a 10.5 MTPA refinery in the west
coast of India and over 1,100 oil retail stations across India. Plans are under way to
increase its exploration acreage in various parts of the globe, expand its refinery
capacity to 34 MTPA and open 5,000 retail outlets.
EEHLs 10.5 MTPA refinery at Vadinar (that represents approximately 10% of Indias
refining capacity), in Gujarat, Western India, has been built with state-of-the-art

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technology and has the capability to produce petrol and diesel suitable for use in India
as well as advanced international markets. It will also produce LPG, Naphtha, light
diesel oil, aviation turbine fuel and kerosene.
.

Essar Power Holdings Limited operates five power plants with a combined capacity
of 1,200 MW in three locations across India. This includes a 120 MW co-generation
plant and a 25 MW coal-based plant.
Essar Power is exploring opportunities for new power projects based on thermal, wind
and hydro energy.
Essar Communications Holdings Limited (ECHL) operates in four business
segments: Telecom, telecom retail, telecom infrastructure and IT & BPO.
ECHL is the single largest investor (with a 33% interest) in Vodafone-Essar, a
joint venture between Essar and the UK-based Vodafone Group. Vodafone-Essar
is one of Indias largest cellular service companies, with a subscriber base of
over 38 million and an enterprise value of USD 19 billion.
Essar operates integrated BPO services through the Aegis brand name, with a
presence in interaction services, back office services and value-added services.
It is Indias fifth largest BPO company. Aegis has a global delivery model with
centers across USA and India. It employs over 11,000 employees in India and
the U.S who have expertise in the Telecom, Insurance, Banking and Healthcare
domains.
Essar has launched India's first national chain of multi-brand and multi-service
outlets in the telecom retail space. Essar Telecom Retail currently runs 450 The
MobileStore outlets. In the next 3 years, over 2,500 stores outlets are expected
across 600 cities.
Essar Telecom Infrastructure is one of the largest independent telecom
infrastructure service provisioning companies in the country. It builds telecom

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tower infrastructure and shares it with several telecom operators in India. It has
already set up over 3,500 towers in India.

Essar Shipping & Logistics Limited (ESLL) is a leading integrated logistics provider
for steel mills, oil refineries and thermal power generation companies across the
world. Its businesses include shipping, oil and bulk terminals, logistics and oilfield
drilling services. The company operates in the following business areas:
Essar Shipping provides sea transportation management services to the global
energy industry. It owns a diverse fleet of vessels comprising VLCCs (Very
Large Crude Carriers) and product tankers, capesize vessels, bulk carriers, mini
bulk carriers, handymax and barges.
Vadinar Oil Terminal provides storage and distribution services in India. It
owns port and terminal facilities to handle receipt, storage and dispatch of crude
oil and petroleum products at Vadinar in Jamnagar, Gujarat, which is an allweather, deep-draft port. This business serves major oil refineries and
independent cargo traders in the region. The terminal has crude receiving
capacity of 32 MTPA and product dispatch capacity of 14 MTPA.
Essar Logistics integrates and provides efficient logistics services to Group
companies and their customers. It also undertakes stevedoring and lighterage
operations. The company owns material handling, lighterage and mobile
equipment for efficient Jetty operations and a fleet of dedicated trailers and
tankers to cater to the movement of steel and petroleum products.
Essar Bulk Terminals is building a shipping channel at Hazira to enable the
port to berth larger vessels. This will enhance the cargo handling capacity at the
port. It will also seek opportunities to construct berths and jetties in other ports
in India and overseas for captive and commercial use.

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Essar Oilfields Services offers onshore and offshore contract drilling, and
offshore construction services. It has invested USD 400 million in purchasing
drilling equipment and owns 13 onshore rigs and a semi-submersible rig.

Essar Projects Limited (EPL) is a 4,000-strong global engineering


procurement and construction company headquartered in Dubai. It has
offices in India and China. It provides complete construction solutions
under one roof. It operates through four main divisions:
Essar Engineering Centre: It specialises in detailed engineering and design
required for executing large projects. With four centres in Chennai, Kolkata,
Hazira and Mumbai, the centre has a specialised technical staff of over 1,000
people, focused on the steel, power and hydrocarbon sectors.
Global Supplies: The Global Supplies team specialises in procurement. It has
established excellent relationship with vendors across the globe, giving it the
ability to procure materials required for project execution. Besides timely
deliveries, the team can procure goods more economically.
Essar Constructions (India) Ltd: This division has over four decades of
experience in executing projects involving industrial plants, civil & irrigation
projects, laying of pipelines (both offshore and onshore), marine construction,
and highways and expressways.
Heavy Engineering Services: Has modern facilities for manufacturing pressure
vessels, reactors, vacuum vessels, cranes etc. This is strategically located on the
waterfront at Hazira on the west coast of India.

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Mission Statement:
To create enduring value for customers and stakeholders in core manufacturing and
service businesses, through world-class operating standards, state-of-the-art
technology and the positive attitude of our people.

Management Team:
Shri. Shashi Ruia

Chairman

Shri. Ravi Ruia

Vice Chairman

Shri. Prashant Ruia

Director

Shri. Anshuman Ruia Director


Ms. Smiti Ruia

Director

Shri. Rewant Ruia

Director

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THE MOBILE STORE LTD.

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Essar Telecom and Virgin Mobile have entered into an alliance for Mobile
Retailing. "The MobileStore Ltd (Essar Telecom Retail ltd.)" chain of mobile retail
stores in India. British company, Virgin will provide consultancy on branding and
marketing as a partner in the venture.

In todays fast-paced world, a mobile phone is much more than a call making device.
Mobiles entertain, they make a style statement of your choice, they help you stay
connected. The MobileStore understands this, and help the customers choose the right
mobile and mobile related accessories under one roof. Exciting mobile games, latest
ringtone downloads, offers and expert advice you name it, we have it. Each time
customer steps in, he/she will discover something new, something exciting.

The MobileStore is a single point destination where you get all this and more.

The MobileStore bring mobility and choice to various spheres of your life !
Be it Handsets & Accessories, Mobile Connections & Recharges, Entertainment
products like iPods, Gaming Consoles, DTH, Cameras, Value Added Services,
Handset Repairs and Bill Collection; all under one roof! And we pledge our
complete support to you, in and out of our store.

The MobileStore make way for fun! The latest ring tones, amazing world class
mobile games and real cool videos are yours to choose from. Browse, preview
and select content from our interactive Mobi World kiosk at each store.

The MobileStore serves you with the best range of products through its
alliances with various mobile service operators, handset manufacturer and other
service providers.

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Brand Persona
o

Trustworthy / Credible - We will be clear and simple, keep promises and


be honest.

Curious/Inquisitive At store, all your queries will be answered.

Fun You will enjoy the shopping experience at stores.

Value for money You will get more value for the same price.

The MobileStore will always be accessible for you, as it has launched more than 550
stores in top 40 cities (Ahmedabad, Bangalore, Chandigarh, Chennai, Cochin, Delhi,
Erode, Hyderabad, Kolkata, Ludhiana, Mumbai, Pune, Madurai, Mangalore, Mysore,
Nagpur, Nashik, Pondicherry, Trivendrum, Vijayawada, Indore, Jaipur, Lucknow,
Bhopal, Jabalpur, Aurangabad, Baroda, Coimbatore, Trichy, Secunderabad, Vizag,
Thissur, Nagercoil, Meerut, Kanpur, Jalandhar, Amritsar, Patiala, Malda, Patna) in
phase 1, ramping up to over 2500 stores across 600 cities in 3 years. The
MobileStore will be located conveniently in high streets, prime malls and as
standalone stores in your neighbourhood.

Page 30

Retail Mission
One Stop Smart Shop
Branded Telecom Retail Stores
Convergence of all Telecom Products & Services.
Pan India Presence.
Customer Loyalty Programs.
Stores That Deliver Great Value , Great Convenience & Great Fun
Multiple Formats to Cater to All Segments of the Market
Mobile based Gaming and Entertainment.
Mobile Repairs & Buy Back Service.
Sustainable value for all partners.
After Sales Service For Both Handset And Operators
World-class Ambience & Service
Consultative / Educative Selling Approach
Highly Trained Frontline Sales Force

Page 31

Range Of Products And Services

Handsets - GSM & CDMA

Connections Services - Post Paid / Pre Paid Recharge Coupons Prepaid


cards

Mobile Accessories
Chargers, Data Cables, Card Reader, Handsfree (Wired & Bluetooth),
Batteries, Car kits,, Storage Device (Memory cards & Pen Devices),
etc

Fashion Accessories

After Sales Service / Repairs

Value Added Services


Ringtones / Games / Movies and more delivered through experiential
kiosks

Landline / Cordless Phones

Entertainment Devices: MP3 / Ipods etc.

Other Related Devices: DTH / Broadband

Page 32

AWARDS:
The MobileStore wins the Best Marketing Campaign Retail Award .
The MobileStore bags the Campaign Of The Year and Durables Retailer of
the Year at The Star Retailer Awards held on December 12th, 2007 in Delhi
The India Retail Forum (IRF) presented the 'Most Admired Retailer of the Year'
Award, which recognised the retail marketing campaign initiatives of The
MobileStore.
The India Retail Awards selection process follows a nationwide consumer and
industry poll and nominations, backed up with performance assessment by an IRA
team of analysts and jury.
The MobileStore was also nominated under following four categories:
Most admired Retailer of the Year: Telecom Services
Most admired Retail Company of the Year: Retail Design & Visual
Merchandising
Most admired Retailer of the Year: Innovative Concept
Most admired Retailer for effective Technology Applications.
The awards establish the supremacy of The MobileStore brand as India's first national
chain of multi-brand and multi-service outlets in the telecom retail space. The
MobileStore offers world class shopping environment, with state of the art technology
in telecom solutions and a host of unique value-added services, all for an unmatched
customer experience.

Page 33

CHAPTER 2
Customer
Feedback
Management

Page 34

CUSTOMER FEEDBACK MANAGEMENT

Not all customer feedback is complaints related. Feedback also comes in the form of
compliments and comments on what companies are doing right, as well as ideas and
suggestions on how they can improve their products and services.

Unlike complaints, feedback is diverse in subject matter and generally unstructured


making it difficult for organisations to capture. It is the reason why many
organisations fail to implement an effective way of managing feedback. However, they
are valuable sources of free information that if captured and used effectively can
improve customer retention strategies, boost sales and increase customer satisfaction.

When was the last time your company did a close-up examination and evaluation of
your customer feedback management? If your answer is anything longer than one
month ago, your customer feedback management approach is probably lacking some
important maintenance. Businesses that thrive do not overlook the imperative nature
of customer feedback. Their CFM approach includes regular fine-tuning of their
customer feedback process and thorough evaluation.

Page 35

Many business leaders neglect customer feedback issues because they simply dont
know how to break down CFM correctly. Unless a business leader has some guidance
from a customer feedback expert, they can easily miss crucial pieces of the puzzle. In
order to maintain truly effective customer feedback management, a monthly or bimonthly evaluation must ask some detailed questions.

Businesses interested in better customer feedback and all of the valuable benefits that
come with it should seek expert counsel. Professionals who spend their day with
proper feedback gathering software and analyzing customer feedback results are
highly qualified to give invaluable advice. Your next responsibility as a business
leader is to meet with a customer feedback expert and employ better customer
feedback management in the company piece by piece.

Page 36

Proactive Feedback Management

The methods you choose and how you use them depend on what the type of feedback
that you want from customers, for example, to find out their needs in products and
services, what they think about your products and services, etc. Ways of collecting
feedback:
Employees
Your employees of usually the people who interact the most with your customers. Ask
them about products and services that customers are asking for. Ask employees about
what the customers complain about.
Comment Cards
Provide brief, half-page comment cards on which they can answer basic questions
such as: Were you satisfied with our services? How could we provide the perfect
services? Are there any services you'd like to see that don't exist yet?

Competition
What is your competition selling? Ask people who shop there. Many people don't
notice sales or major items in stores. Start coaching those around you to notice what's
going on with your competition.

Page 37

Customers
One of the best ways to find out what customers want is to ask them. Talk to them
when they visit your facility or you visit theirs.
Documentation and Records
Notice what customers are buying and not buying from you. If you already know what
customers are buying, etc., then is this written down somewhere? It should be so that
you don't forget, particularly during times of stress or when trying to train personnel to
help you out.
Focus Groups
Focus groups are usually 8-10 people that you gather to get their impressions of a
product or service or an idea.
Surveys by Mail
You might hate answering these things, but plenty of people don't -- and will fill our
surveys especially if they get something in return. Promise them a discount if they
return the completed form to your facility.
Telephone Surveys
Hire summer students or part-time people for a few days every six months to do
telephone surveys.

Page 38

Impact of Your Customer's Voice


Customers providing feedback prove every day just how capable they are of assisting
with product solutions and company support. A company doesn't only thrive on
customer sales, it is heavily reliant on the voice of the customer to steer its successproducing decisions and prevent it from getting away from the consumer's
expectations.
Many companies take for granted just how much their customer feedback can help
with every aspect of the company. Most staff collects comments and only grazes the
surface of their meaning, many times missing a deeper issue the customer is
confronting. A company can do itself a huge disservice by neglecting to read feedback
thoroughly. Businesses can better read, manage, and apply customer feedback by
doing two things:
First, customer feedback must be taken seriously. Seriously enough to cause company
staff to want to look deeper into the when, what, and why of the feedback. What
caused the customer to speak out about this? Why is it important to the customer? Is
there anything important about the timing of the comment?
The second series of questions that should be asked about customer feedback is the
Who - Who is this customer? What makes their response unique? How can we better
serve customers similar to this one?
In order to gain the most insight from customer feedback, companies have to learn to
look deeply at each comment and the person behind the comment. Gathering data
surrounding a comment is worth seeing the puzzle come together and portray a very
necessary change the company needs to consider. Taking customer feedback at face
value will cause a company to neglect a large amount of important information that
could be gleaned from their customer's concerns.

Page 39

CHAPTER 3
Data
Interpretation

Page 40

1). Factors affecting selection of Stores.


Paper
Ads
27

Earlier
Experience
32

Family/Friends

Offers

Price

Others

46

16

14

15

10%
9%

18%

Paper Ads
Earlier Experience

11%

Family/Friends
21%

Offers
Price
Others

31%

Out of 150 respondents, 46 got to know about the store through family/friends, 32
customer due to earlier experience, 27 due to paper ads, 16 due to offers, 15 due to
other sources and 14 due to price.

Page 41

2). Store experience in tune with the expectations customer had from the store in terms
of:
Display of products
Excellent Good
89

55

Needs
Improvement
6

Out of 150 respondents, 89 say that the display of the products are excellent, 55 say its
good and 6 say that it needs some improvement.

Page 42

Range of products
Excellent

Good

Needs
Improvement

73

55

22

80
70
60
50
40
30
20
10
0
Excellent

Good

Needs
Improvement

Out of 150 respondents, 73 say that the range of the products are excellent, 55 say its
good and 22 say it needs some improvement.

Page 43

Range of brands
Excellent Good
69

56

Needs
Improvement
25

Out of 150 respondents, 69 say the range of brand is excellent, 56 say its good and 25
say it needs some improvement.

Page 44

Look of the store


Excellent Good
96

Needs
Improvement

48

Out of 150 respondents, 96 say its excellent, 48 say its good, and only 6 say that it
needs some improvement.

Page 45

After sale service


Excellent Good
15

12

Needs
Improvement
19

Out of 150 respondents, only 46 attempted this question, out of which 15 said that it
was excellent, 12 said it was good and the remaining 19 said that it needs some
improvement

Page 46

Sales Person
Excellent Good
88

46

Needs
Improvement
16

Out of 150 respondents, 88 say sales person are excellent, 46 say they are good and
16 say that they need some improvement.

Page 47

Sales persons knowledge of schemes


Excellent Good
77

63

Needs
Improvement
10

Out of 150 respondents, 77 say the knowledge of the scheme is excellent, 63 say its
good and 10 suggests for an improvement.

Page 48

Sales persons knowledge of products


Excellent Good
91

48

Needs
Improvement
11

Out of 150 respondents, 91 say that the knowledge of sales persons is excellent, 48
say that its good and 11 suggests for an improvement.

Page 49

Speed of service
Fast

Average

Needs
Improvement

59

66

25

Out of 150 respondents, 59 say the speed of service is excellent, 66 say it is good and
25 say it needs an improvement.

Page 50

Price
Competitive Expensive
57

64

Low
29

Out of 150 respondents, 57 say the prices are competitive, 64 say its expensive and 29
say its low.

3). Products purchased by the customers.

Page 51

Handsets

Tata-Sky

Accessories

Gaming

RCV

VAS

89

11

22

Repairs

Nothing

I-Pods

Connections

29

27

Out of 150 respondents, 89 purchased handsets, 11 purchased accessories, 27


purchased new connections, 22 purchased RCV, 6 for repair and 29 didnt purchase
anything.

Page 52

4). Briefing about the free connection offer along with the handset.
Yes

No

118

32

Out of 150 respondents, 118 say yes and 32 say no about the briefing of the free
connection offer along with the handset.

5 (a). Number of customers bought new connection with the phone.

Page 53

Yes

No

16

73

Out of 150 respondents only 89 purchased the handsets, out of which 16 took new
connection and 73 didnt.

b). (If yes, then) Mobile operators selected by the customers.

Page 54

Airtel

Idea

Hutch

Out of 15 respondents who purchased a new connection with a phone


9 choose Idea, 4 Airtel and 2 Hutch.

c). Reason for choosing the particular service.

Page 55

Scheme

Coverage

Others

10

Out of 15 respondents, 10 bought connections because of schemes, 3 because of


coverage and 2 for some other reasons.

6). In case of nil purchase, request reason.

Page 56

Lack of Special Model Out of


Offers
Stock
5

10

7%

3%

Price

Service

Need more to
buy

11

17%

39%

34%

Lack of Special
Offers
Model Out of
Stock
Price
Service
Need more to
buy

Out of 30 who didnt purchase anything, 5 say that the reason was lack of offers, 10
say because the desired model was not in stock, 11 having issues related to price, 2
having issues regarding service and 1 need more time to buy.

Page 57

FINDINGS
People choose the store because of their earlier experience or recommended by
their family/friends.
Paper ads or other kind of advertisement are not able to attract the customers.
Display of the product is good, just needs a slight improvement.
Range of products/brands in the store needs some improvement.
Sales person having a good knowledge of schemes and products.
Looks of the store are eye catching, attractive.
After sale service needs to be improved.
Prices of the products are a bit higher as compared to the market.
Sale of connections, accessories, repair work, Tata sky and I pods is low.
Stock and price issues are the two main reasons for nil purchases.

Page 58

CONCLUSION
We always get a very healthy feed back because of the branding of the store with eye
catching display units and total look of the store. But when we talk about range of
brands we lack a bit. A complete range of brand to be hit. There should be a
guaranteed after sales service from the same store and with the competitive price.
The mobile store has presented and has set an example of how beautiful a store can
look but to make this a mind-blowing experience to a customer, we have to take care
of the factors which can be as follows:
Display of products.
Range of products.
Range of brands.
After sales service.

Pricing.

The future of any retail chain on this universe depends on the pricing. There are
certain factors, which hinders a customer that can be brand loyalty, exclusivity and
warranty. If a customer wants to buy a Nokia handset he would definitely like to go to
Nokia priority shop. If he will buy a handset from Nokia priority he will feel more
secure with a competitive price. But if the Mobile store wants to churn the customer
from other shops they have to do something over and above which includes
competitive price, bundle of offers with different formatted price discounts.

Page 59

SUGGESTIONS

Limited staff in the store: The strength of staff should be increased to handle
the customers, specially on weekdays.
More efforts to increase the sales of connections: As the sale of connections
is low, one person should be assigned for connections that should have complete
knowledge about the prepaid and postpaid schemes of all the operators. This
would help in the pitching of sales.
More training sessions: Training sessions should be organized for sales
associates and duty managers to enhance their technical knowledge of the
products.
Lack of technicians: A technician (mobile repairer) should be their in every
store so that he can deal with the repair problems because due to the
unavailability of technician, the store looses their customers and it also effects
the brand name.
Offers: More offers should be introduced to attract the customers.

Page 60

Measures should be taken in order to match the price of the products with the
market price to attract customers.
Use advertising techniques to create urgency and motivate customers to buy
products from your store.
Test different aspects for promoting business: -- new offers --new items -- new
prices -- special announcements -- stronger ads and better headlines.
Set up an inventory control system in regards to shrinkage, performance,
amount of merchandise, mark-up, profit and turnover.
Use different ways to arrange and display merchandise that will make it easier
for customers to buy.
Computerize your business to help streamline everyday tasks such as inventory
control, point of sale, and overall business analysis.

Page 61

Name:

Age:

Store:
Sex:
M Phone:

<25

25-35

35-45

>45

Location
M
Brand:

PHONE NO:

COPY OF QUESTIONNAIRE

Consumer Behavior:1. What made you choose this store:


Advertisement
Friends/Family Earlier experience

Promotions

Price

Others:

Experience:2. Was the store experience in tune with the expectations you had from the store in terms of:
Very Good
Average
Needs Improvement
Display of products:
Range of products:
Range of brands:
Look of Store:
After Sales Service:
Sales Person:
S/P Knowledge of schemes:
S/P Knowledge of Prod:
Speed of Service:
Fast
Average
Needs Improvement
Price:
Competitive
Expensive
Inexpensive
3. What products have you purchased?
Handset
Accessory
Gaming
Tata Sky
I Pods
Connection

VAS
RCV

Repair
Nothing

4.

Were you briefed about the free connection offer along with the handset? Yes

5.

a).Did you buy a new connection with the phone?


b).If Yes, than which operator. Airtel

Yes

Idea

Coverage

Other (p/s)-_________

In case of nil purchase, request reason why?

Lack of special
offers
7.

No
Hutch

c).Reasons for choosing the particular service: Schemes


6.

No

Desired model not


in stock

Price related

Service related

Will you recommend our Store to your friends and family?

Page 62

Yes

Need more time to


buy
No

8.

Any Observations/Suggestions that you want to convey to us on your overall experience:

PROMOTIONAL STRATEGIES

The Marketing effort has been a complete 360 degrees approach with the Marketing
strategy and communications built around our Brand value of Fun. This approach has
been taken across all media from TV to In-Store and across unprecedented buzz
creating ground activation program like the Rock with Rolls promotion with the
worlds most prestigious car the Rolls Royce Phantom, by creating a never before
ground carnival where any consumer can enjoy a free ride in the Mobile Store branded
Phantom. In just a short span of its launch, it is now a recognized and respected Brand.

Rock on Rolls :

Page 63

CHAPTER 4
Recommendation
s
Page 64

Recommendations:

1. According to the study done, customer satisfaction level should


be increased. Affordable prices should be offered which should be
competitive also.
2. Secondly, more advertising and sales promotion should be
increased to it should result in increase in awareness. Television
and print commercials frequency should be increased.
3. The company should look after its supply chain .
4. Proper competitive analysis should be done.

Page 65

5. Proper analysis of location should be done.


6. Proper pricing strategy should be made.
7. Database should be maintained properly.
8. According to a study 30% items are destroyed or damaged while
transportation. This has to be taken care of.
9. Tap the untapped rural potential.

Page 66

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