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Executive Summary
Retailing is the interface between the producer and the individual
consumer buying for personal consumption. This excludes direct
interface between the manufacturer and institutional buyers such as the
government and other bulk customers. A retailer is one who stocks the
producers goods and is involved in the act of selling it to the individual
consumer, at a margin of profit. As such, retailing is the last link that
connects the individual consumer with the manufacturing and
distribution chain. The retail industry in India is of late often being
hailed as one of the sunrise sectors in the economy. AT Kearney, the
well-known international management consultancy, recently identified
India as the first most attractive retail destination globally from among
thirty emergent markets. It has made India the cause of a good deal of
excitement and the cynosure of many foreign and domestic eyes. The
entry of foreign and Indian retail giants like Wal-Mart, Metro, Reliance,
Birla, Tata etc. made Indian market more competitive which is at cut
throat level. So how retailers can reach to their end customers, to win
the mind share and increase the basket size of each shopping trip.
India retail industry is the largest industry in India, with an employment
of around 8% and contributing to over 10% of the country's GDP. Retail
industry in India is expected to rise 25% yearly being driven by strong
income growth, changing lifestyles, and favourable demographic
patterns.
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income, changing lifestyle, and demographic patterns which are
favourable.
More than a century ago, the father of our nation, Mahatma Gandhi,
had made visionary and deep meaningful statement at Johannesburg,
South Africa in 1980. A customer is the most important visitor of our
premises. He is not dependent on us .We are dependent on him He is
not interruption on our work. He is the purpose of it and not an
outsider on our premises. He is a part of it. We are not doing him
favour by serving him.
Today the entire firm engaged in a process of creating a life time value
and relationship with customers. This report start with discussion on the
diversity of consumer behaviour and the need for studying consumer
buying behaviour and consumer as a related field of marketing .this can
be largely be attributed to the prevailing market situation .Today the
company image is built and made known by its customers. Thus success
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of the firm determined how effective it has been in meeting the diverse
consumer need and wants by treating each customer as unique and
offering products and services to suit has or her need.
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ACKNOWLEDGEMENT
I take this opportunity to express my sincere gratitude to
the following personalities without whose help and guidance the
successful completion of my project work would have been
remained a dream.
I extend my heartfelt thanks to Miss Shushi Singhal for
the constant and valuable guidance by him throughout my
course. She has taken pain to go through the project and make
necessary correction as and when needed.
ANKITA AHUJA
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Contents
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RELIANCE
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"Growth has no limit at Reliance. I keep revising my vision. Only
when you can dream it, you can do it."
Dhirubhai H. Ambani
Founder Chairman Reliance Group
December 28, 1932 - July 6, 2002
RELIANCE GROUP
The Group's activities span exploration and production of oil and gas,
petroleum refining and marketing, petrochemicals (polyester, fibre
intermediates, plastics and chemicals), textiles and retail.
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Reliance enjoys global leadership in its businesses; The Group exports
products in excess of USD 15 billion to more than 100 countries in the
world. There are more than 25,000 employees on the rolls of Group
Companies. Major Group Companies are Reliance Industries Limited
(including main subsidiaries Reliance Petroleum Limited and Reliance
Retail limited) and Reliance Industrial Infrastructure Limited.
Subsidiaries of RIL
Reliance Petroleum
Ranger Farms Limited
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Retail Concepts and Services (India)
Private Limited
Reliance Retail
Reliance Global Management Services (P)
Limited
Reliance Biopharmaceuticals
Reliance Ghatraj Services
Reliance Engineering Associates (P)
Limited
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Reliance is gearing up to revolutionize the retailing industry in India.
Towards this end, Reliance is aggressively working on introducing a
pan-India network of retail outlets in multiple formats.
RRL launched its first store in November 2006 through its convenience
store format Reliance Fresh. Since then RRL has rapidly grown to
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operate 590 stores across 13 states at the end of FY 2007-08. RRL
launched its first Reliance Digital store in April 2007 and its first and
Indias largest hypermarket Reliance Mart in Ahmadabad in August
2007. This year, RRL has also launched its first few specialty stores for
apparel (Reliance Trends), footwear (Reliance Footprints), jewellery
(Reliance Jewels), books, music and other lifestyle products (Reliance
Timeout), auto accessories and service format (Reliance AutoZone) and
also an initiative in the health and wellness business through Reliance
Wellness. In each of these store formats, RRL is offering a unique set of
products and services at a value price point that has not been available
so far to the Indian consumer. Overall, RRL is well positioned to rapidly
expand its existing network of 590 stores which operate in 57 cities.
Through the year, RRL also expanded its supply chain infrastructure.
The Company is fully geared to meet the requirements of its rapidly
growing store network in an efficient manner.
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Management team
Name Designation
Mr. Mukesh Ambani Chairman&Managing
Director
Nikhil R Meshwani Executive Director
Hital R Meshwani Executive Director
Madhumita Mohanti Deputy General Manager
Akashay Lokhande Area Manager-Operation
&Sales and NSO
Devandra Chawla Vice-President-Business
Head, Merchandise Head
Zubin Nowrojee, State Head Category
Mangement
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Reliance Fresh,
Reliance Mart,
Reliance Digital,
Reliance Trendz,
Reliance Footprint,
Reliance Wellness,
Reliance Jewels,
Reliance Timeout and Reliance Super,
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RELIANCE fRESH
BACK GROUND
We can see many examples of businesses where, first we grow and then
think of expanding but
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FARM TO FORK
TRADI
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TIONAL MODEL OF RETAIL RELIANCE FARM TO
FORK
RELIANCE FRESH
Fa
rm
ers on
Ow COLLECTIO o rtati
nT nsp
ran N Tra
sp POINT/UNI wn
ort
a ers O
tio T rm
n Fa
RELIANCE OWN
LOGISTICS
PROCESSIN
G
RF tics UNIT/POINT Re
is li an RF
Log ce
wn ow
eo nL
nc og
e lia ist
R ics
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WHOLESALE TRADING (WST) :
Reliance formalized its second supply chain model to shift itself from
grocery retailer to grocery supplier by focusing and establishing itself
in Mandis.
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3) Merchandise from these collection processing centers are collected
and loaded for Wholesale mandis. As this merchandise is to be made
available by 4 A.M in morning thus deliveries in trucks are sent at
time depending upon:
5) In case still some vegetables and fruits are not sold reliance
logistics own
Transportation sends them to reliance fresh stores.
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SWOT ANALYSIS
The Indian retail market accounted for $ 200 billions. Food accounts
for over two-thirds of the $200-billion Indian retail market. Yet, it has
seen less than 1 per cent penetration by modern retail so far.
Reliance industries which always looking for new business
opportunities just started a new era with its introduction of new concept
stores named Reliance Fresh with opening convince store in high
streets of Banjara hills of Hyderabad. Reliance Fresh is very different
from what modern retail has offered in India so far and with this
reliance is planning to establish strong retail network in India in food
and farm sector. They have started with new eleven stores in the last
week and they are thinking to add 100 more stores to their feather by
the end of this year.
Strengths:
Reliance is the first into enter into this unorganized sector of vegetables
and fruits. According to them its intentions to have100% farm fresh
foods in their new retail stores. It is also adding shortly a juice bar, and
even a large counter for puja flowers. In fact, over 60 per cent of the
floor space has been dedicated to fresh fruits and vegetables, the rest to
other food products like staples, spices, bakery, etc. But reliance has
decided not to add any bar soap or toothpaste and detergent in its
shelves. So by using this strategy they are positioning themselves
different from other players of the industries like Food world, Big
Bazaar and Nilgiris. But over come the short comings of these
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specialized stores they are also introducing new Reliance full-fledged
supermarket called Shakhari Bhandar which offers each and everything
from the staple to soap. Most of the staples are under its own private
label brand Reliance Select. There is a 500g channa dal pack
priced at Rs 28, a 500g urad dal pack for Rs 39, all under Reliances
own brand. Excepting a few packets of Nestles Maggi, or MTRs
masalas or Pepsis Lays chips, there is very little shelf space given to
the big brand owners in the country. Reason: private labels offer far
better profit margin to the retailer than branded products of FMCG
companies. Most of these outlets will need only 2,000-5,000 sq. ft. A
supermarket may need as much as 8,000-10,000 sq. ft.
Weakness:
Opportunities
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estimated to touch million in next five years. The main aim of the
reliance is to eliminate the intermediaries in the sector and reduce the
cost. Smaller stores have two advantages. They bring down the cost of
real estate (and increase profits). It is easier to find space for small
convenience stores in a quiet neighbourhood than for supermarkets in
high streets.
Threats:
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CORPORATE SOCIAL RESPONSIBILITY
Today when most of the companies are busy in making profits by any
means, there are few
Ones who are focused to return this society, a part of what they have
earned through this society. Reliance retail is one of them. Following
efforts of reliance retail are aimed at benefiting the society making
reliance socially responsible:
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costs and training the farmers in better and sustainable farming
practices. This initiative results in higher income and upgrading of
skills for the farmers, and reduced spoilage of produce (up to 35
percent) and better quality products f or Reliance retail stores.
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Major players in retail sector
Shoppers Stop:
Pantaloon:
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Incorporated in 1987, Pantaloon Retail is among the pioneers in chain
retailing. It is the largest retailer in the country operating 350 stores
across segments in over 40 cities across the country and constituting 5
m square feet of retail space. Starting out with dedicated apparel stores
(Pantaloon), the company has stores across the cross-section of the
society. The companys business is broadly divided into 2 segments,
Lifestyle and Value retailing. On the apparels front it has Pantaloon (31
departmental stores), Central Malls (4 seamless malls as well as its other
concepts). These stores can be classified under Lifestyle Retailing. On
the general merchandise front it has Big Bazaar (51hypermarkets), Food
Bazaar (77 supermarkets) and Fashion Station (5 fashion stores) and
other delivery formats. These fall under Value Retailing.
more
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Research Objective
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Research Methodology
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Research Problem
Type of research
Data collection:
Primary Data
Primary data of research are collected from direct resources
(customer of Reliance fresh) through questionnaire.
Secondary Data
Secondary Data which are used for research to know the history
scop of Retail industry are collected from already available resources
like net and other sources
Sampling technique
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Random sampling is used for research project. I have given equal
weightages to my all respondent and chose them randomly without any
biased like gender, age, income culture.
Sample size
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Understanding The Buying Behaviour Of Reliance Fresh
Consumers
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Definition
Purchase decision making pattern that is a complex amalgam of needs
and desires, and is influenced by factors such as the consumer's (1)
societal role (parent, spouse, worker, etc.), (2) social and cultural
environment and norms, and (3) aspirations and inhibitions.
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Mark Buyer
eting Other s Buyers Buyers
Charac
Stim teristic Decisio
uli Stimuli s n Decision
Process
Problem
Produ Econom recogniti Product
ct ic Cultural on choice
Informat
Technol ion Brand
Price ogical Social Search choice
Persona Evaluati Dealer
Place Political l on choice
Promo Psychol Purchase
tion Cultural ogical Decision timing
Post
purchas Purchase
e amount
Behavio
ur
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Cultural Social
Personal
Referen
ce Psycholo
culture Groups gical
Cycle
Stage Motivation
Subcultur
e Family Economic Perception
Circumstan
ces Learning
Beliefs
and
Life Style Attitudes BUYE
Roles R
and
Statuse Personality
s and
Social Self
Class Concept
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Where reference groups influence is operative, the advertiser should
stress not only the people who buy the product but also those who
influenced the purchasing decision.
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(1). Gender of the consumer
Male & Female
14 36
Data Collected-
Data collected for this questionnaire to know the gender of customer of
reliance fresh.
ANALYSIS
Data collected for project from 50 responded
in which 36 are female which are 72% and 14 are male which are28% of the total respondent.
Interpretation-
In total respondent we analyse that most of the customer in this store are
female, and their demand is always considered at the time of taking the decision. Company
should try to attract new male customers by providing new schemes for them.
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(2). Age of customer
25&
15-20 21-25
above
18 20 12
Data Collected-
Data collected for this questionnaire is to know the maximum
age category of customers visiting Reliance fresh.
ANALYSIS
Data collected for project from 50 responded in which 18 are the age between
15-20 which are 36% and 20 are between age of 21-25 which 40% and 12 are between age of 25
& above which are 24 % of total respondent.
Interpretation-
In total respondent we analyse that most of the customers are
youth. I found that present generation believes in convenience shopping. It help the company to
employ young people to solve doubts of customers effectively.
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(3). How frequently do you visit Reliance
Fresh?
Daily Week Monthly Sometimes
4 28 15 3
Data Collected-
Data collected for this questionnaire is to know the shopping behaviour of
customer of reliance fresh.
ANALYSIS
Data collected for project from 50 responded amongst which 4 people that
is 0.08% people visit daily at reliance fresh and 28 customers i.e.56% visit weekly for shopping.
Out of these respondents 15 people i.e. 30% people visit monthly and out of these respondents 3
people i.e. 06% people visit fortnightly or sometimes.
Interpretation-
In total respondent we analyse that most of the customers are likely
to purchase on weekend. Therefore more schemes should be provided on weekends.
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(4). What is your main purpose of visiting
Reliance Fresh?
Purchase of Purchase of
Leisure time
Household other
activity
items products
5 25 20
Data Collected-
Data collected for this questionnaire to know the purpose of customers
to visit the store.
ANALYSIS
Data collected for project from 50 responded in which 10% customers visit
just for passing time, and 40% people visit for purchasing other products and 50% people visit
for purchasing household items.
Interpretation-
In total respondent we analyses that 50% people visit store to purchase
household items. Therefore more emphasis should be given for household and other products in
the store.
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(5) Is the store entrance welcoming?
Yes No
48 2
Data Collected-
Data collected from this questionnaire to know the cleanliness maintained
in store.
ANALYSIS
Data collected for project from 50 responded in which 48 i.e. 96%
customers feel that entrance is welcoming whereas 4% people feel the floor does not remain
clean.
Interpretation
In total respondent we analyses that most of the customer are satisfied
with the cleanliness in the store. Therefore I feel the store should remain clean.
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(6). who is the decision maker in your family?
Myself Parents Kids Spouse
10 40 0 0
Data Collected-
Data collected from this questionnaire to know the decision maker in family.
ANALYSIS
Data collected for project from 50 responded in which 20% people make decision for
purchase on their own whereas 40% people leave the decision for parents. Kids and other family
members are not involved in decision making.
Interpretation-
In total respondent we analyse that in many families parents take decisions for
purchasing a product. Thus, the store should offer more schemes and offers to increase the sales.
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(7).what is the priority of your shopping?
Quality Price Brand One stop shop
16 7 12 15
Data Collected-
Data collected from this questionnaire to know the priority adopted by people for
shopping.
ANALYSIS
Data collected for project from 50 responded in which 32% customers prefer quality for
purchasing and 14% people prefer price with discounts whereas 24% people prefer Branded
shopping and 30% people prefer one stop shop
Interpretation-
In total respondent we analyse that in many families parents take decisions for
purchasing a product. Thus, the store should offer more schemes and offers to increase the sales.
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(8). Are you satisfied with the variety of products at
Reliance Fresh?
YES NO
50 0
Data Collected-
Data collected from this questionnaire to know the priority satisfaction level of customers
with respect to variety of products at Reliance Fresh.
ANALYSIS
Data collected for project from 50 responded in which all people were satisfied with the
variety of products in reliance fresh. Therefore feedback was 100% from customers.
Interpretation-
In total respondent we analyse that customers are satisfied with the variety of products in
reliance fresh. Therefore, store should maintain the same variety or may improve it for satisfying
customers.
50
(9). Are you satisfied with the pricing strategy
followed by reliance fresh for its products?
YES NO
45 5
Data Collected-
Data collected from this questionnaire to know the priority satisfaction level of customers
with respect to variety of products at Reliance Fresh.
ANALYSIS
Data collected for project from 50 responded amongst them, 90% people are satisfied
with the pricing strategy whereas 10% people do not like the pricing strategy followed by store.
Interpretation-
In total respondent we analyse that the store should try to improve its pricing strategy by
providing discounts and offers for its customers.
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(10). what do you like the most at Reliance Fresh?
Display of
Price offers Variety of products
Merchandise
12 4 34
Data Collected-
Data collected from this questionnaire to know the liking of customers towards various
factors.
ANALYSIS
Data collected for project from 50 responded in which 68% of people like the variety of
products available in store. 24% people like the price offers and schemes and 8% people like
display of merchandise in store.
Interpretation-
In total respondent we analyse that customers are satisfied with the variety of products in
reliance fresh. But store should also improve the display of merchandise.
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(11). what factors are preferred while shopping at
Reliance fresh as compared to unorganised
market?
Price factor Quality Availability of products Customer service
4 5 32 4
Data Collected-
Data collected from this questionnaire to know the the preference of reliance fresh as in
compared to unorganised market.
ANALYSIS
Data collected for project from 50 responded in which 71% of people like the variety of
products available in store. 9% people like the price offered, 9% people like the customer service
in store and 11% people like Quality of store.
Interpretation-
In total respondent we analyse that customers are satisfied with the fresh availability of
products in reliance fresh. But store should also improve the customer service and quality.
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(11). Do you feel easy to search out the product
categories at Reliance?
Yes No
47 3
Data Collected-
Data collected from this questionnaire to know the placing of products in reliance fresh.
ANALYSIS
Data collected for project from 50 responded in which 94% of people are able to find
the products easily whereas 6% people cannot find the products.
Interpretation-
In total respondent we analyse that customers are satisfied with the placing of products
but proper directions and boards should be put up so that customer can easily find out the
product.
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(12). How do you feel about the customer service
of Reliance Fresh?
Excellent Average Poor
15 34 1
Data Collected-
Data collected from this questionnaire to know about customer service in store.
ANALYSIS
Data collected for project from 50 responded in which 68% people rate the service on
an average whereas 30% rate as excellent and 2% are dissatisfied with the service.
Interpretation-
In total respondent we analyse that majority of customers are satisfied with the customer
service. But it should be improved to gain maximum satisfaction from customers.
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(13).Does promotion schemes influence your
shopping decision?
Yes No
41 9
Data Collected-
Data collected from this questionnaire is to know that the promotion schemes influence
shopping decision of buyers.
ANALYSIS
Data collected for project from 50 responded. According to research 82% people
promotional schemes influence the buying decision whereas 18% people are not affected by
promotional schemes.
Interpretation-
In total respondent we analyse that majority of customers are affected by promotional
schemes. Thus there should be more of promotional schemes.
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(14).Are Promotion schemes easy to understand?
Yes No Sometimes
27 1 22
Data Collected-
Data collected from this questionnaire is to know that the promotion schemes are easy to
understand.
ANALYSIS
Data collected for project from 50 responded. According to research 54%people find
easy to understand the schemes whereas 44%people sometime do not understand the schemes.
Interpretation-
In total respondent we analyse that majority of customers are affected by promotional
schemes. Therefore offers and schemes should be well displayed.
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(15). Do you think shopping at Reliance fresh
saves time??
Data Collected-
Data collected from this questionnaire is to know about the time saving of customers
while shopping in reliance fresh.
ANALYSIS
Data collected for project from 50 responded. According to research 16% people
strongly agree whereas 84% people agree that shopping at reliance fresh saves their time.
Interpretation-
In total respondent we analyse that many people believe that shopping at reliance fresh
saves their time as all products are available under one roof.
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(16). what word of mouth would you extend
forward to your friends or relatives about Reliance
fresh?
Excellent Fair Poor
10 40 0
Data Collected-
Data collected from this questionnaire to know the satisfaction level of customer.
ANALYSIS
Data collected for project from 50 responded in which 80% say excellent 20% say fair.
Interpretation
In total respondent we analyse that many people are satisfied with the services provided
in reliance fresh.
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Finding
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Majority of customers here is female.
Majority of customers are young.
Majority customers like to purchase all goods from
Reliance fresh.
The store entrance is welcoming.
Majority of customers visit on weekends.
The main purpose of visiting Reliance fresh is to purchase
the products.
Majority of customers prefer quality in shopping.
Customers like one stops shopping.
Customers are satisfied with the variety of products
available at store.
Majority of customers are satisfied with the Display of
products.
Services provided to customers are average.
Promotion schemes are not so easy to understand for
customer.
Majority of customers feel that shopping at Reliance fresh
saves their time
Majority of customers recommend Reliance fresh for
shopping.
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Limitations
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The project has some limitations because it is totally based on
efforts of individuals. Peoples may be careless and may not give correct
answer to the questions, because of so many reasons.
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Suggestion
QUESTIONNAIRE
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Dear respondent, your valuable time and effort for filling this
questionnaire is highly appreciated. The information gathered
through this questionnaire will be used for academic purpose
only.
Name:-
Age:-
Sex: - M/F
3. Is the store entrance welcoming? (Free of dust, not and if visit is after 6PM,
lights working.)
Yes no
Quality Brand
7. Are you satisfied with the pricing strategy followed by reliance fresh for its
products?
Yes No
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9. What factors are preferred while shopping at Reliance fresh as compared to
unorganised market?
Price factor Quality
Availability of products Customer service
10. Do you feel easy to search out the product categories at Reliance?
Yes No
11. How do you feel about the customer service of Reliance Fresh?
Excellent 5 4 3 2 1 poor
Average
Yes No
15. What word of mouth would you extend forward to your friends or relatives
about Reliance fresh?
Excellent 5 4 3 2 1 poor
Fair
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References
Referred books-
Referred site-
www.ril.com
www.google.com
www.wickipedia.com
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