PREFACE

This Project Report has been prepared in partial fulfillment of the requirement for the Subject:
Practical Studies of the programme M.B.A. in Marketing Services (Sem. IV) in the academic year
2013-2015. The Project Report starts with the basic concepts of retailing, history of
retailing sector and also covers the general information of the retail store visited and its
functional departments like marketing department, human resource department and
financial department.
This training serves the purposes of acquainting the student with environment of an
organisation in which student have to work hard in future .Only theoretical knowledge is not
enough but its practical application is also required to be learned.

I was fortunate enough to have an opportunity of doing research at VISHAL MEGAMART,

KANGRA. I was assigned a project on
CUSTOMER PRECEPTION TOWARD RETAILING WITH REFRENCE TO VISHAL
MEGAMART.
The information presented in this Project Report is obtained from sources
CompanyPersonnel, Compan y Webs ites, O ther Websites , and Other Literature.

like

EXECUTIVE SUMMARY
The Indian retail industry is now beginning to evolve in the line with the transformation
that has swept other large economies. It witnesses tremendous growth with the
changing demographics and an improvement in the quality of life of urban people as
well as rural people. The growing affluence of Indias consuming class, the emergence
of the new breed of entrepreneurs and a flood of imported products in the food and
grocery space, has driven the current retail boom in the domestic market.
The concept retail which includes the shopkeeper to customer interaction, has taken
many forms and dimensions, from the traditional retail outlet and street local market
shops to upscale multi brand outlets, especially stores or departmental stores. Though
at this moment, it is still premature to say that the Indian retail market will replicate the
success stories of names such as Wal-Mart stores, Sainsbury and Tesco but at least the
winds are blowing in the direction of growth.
Hence, focusing on two aspects of retail marketing i.e. Store Retailing and Non-store
Retailing. Store Retailing as the departmental store, which is a store or multi brand
outlet, offering an array of products in various categories under one roof, trying to cater
to not one or two but many segments of the society and Non-store Retailing as the
direct selling, direct marketing, automatic vending.
Therefore, this concept of retail marketing through departmental stores, which is coming
up in a big way in India was decided to be studied in detail, through an exploratory and
conclusive research.
The objective being to assess the various parameters that influences a buyer to visit or
shop at departmental store thereby contributing to its turnover (in terms of sales and
profits) hence leading to its overall success.
The extensive research brought me to conclude that departmental stores are soon
emerging on the top priority lists, amongst the shopping spree in India, as they seem to
derive immense pleasure of convenience and exposure to variety under one roof, in
their extremely busy lives, when they dont have time for things.
Though some of the customers perceive departmental stores to be expensive and only
high income categorys cup of tea, the stores make constant efforts to induce them to at
least visit the store at once during the sale period, or discount offers.
Most of these stores believe in creating not just a marketing activity with its customers,
but rather favor relationship building with him so as to convert first time customers into a
client.
Hence this document entails me through these aspects in great detail, helping me to
understand the concept of retail marketing through departmental stores in Kangra.

INTRODUCTION TO THE TOPIC

What is Retailing?
The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off or sheds
a small piece from something. Retailing is the set of activities that markets products or services
to final consumers for their own personal or household use. It does this by organizing their
availability on a relatively large scale and supplying them to customers on a relatively small
scale.
Retailing involves selling products and services to consumers for their personal or family use.
Department stores, like Burdines and Macy's, discount stores like Wal-Mart and K-Mart, and
specialty stores like Wallmart, Big Bazar and Vishal Megamart etc, are all examples of retail
stores. Service providers, like dentists, hotels and hair salons, and on-line stores, like
Amazon.com, are also retailers.
Many businesses, like Home Depot, are both wholesalers and retailers because they sell to
consumers and building contractors. Other businesses, like The Limited, are both manufactures
and retailers. Regardless of other functions these businesses perform, they are still retailers when
they interact with the final user of the product or service.
For a retailer it is essential to see in which segment it is catering in the above division of villages.

Retailing In India
The India Retail Industry is the largest among all the industries, accounting for over 10 per cent
of the country 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
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 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 India 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 India
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 India Retail Industry
looks promising with the growing of the market, with the government policies becoming more
favorable and the emerging technologies facilitating operations.