A Merchandising philosophy of Big Bazzar.

1. A REPORT ON
MERCHANDISING PHILOSOPHY OF
“BIG BAZAAR”
SUBMITTED TO: SUBMITTED BY:
PROF. T.K. CHATTERJEE DIPTAKSHYA BANERJEE
SEC – B
ROLL NO.- 76

2. TABLE OF CONTENTS
SL PARTICULARS PAGE NO.
NO.
1 INTRODUCTION 3
2 COMPANY PROFILE 4
3 STRATEGIES INVOLVED 6
4 THEORITICAL BACKGROUND 10
5 RESEARCH METHODOLOGY 12
6 FINDINGS & OBSERVATIONS 13
7 RECOMMENDATIONS 14
8 BIBLIOGRAPHY 16
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3. INTRODUCTION:
Retailing involves all activities incidental to selling to ultimate consumer
for their personnel family and household use. It does this by organizing
their availability on a relatively large scale and supplying them to a
customer on a relatively small scale. Retailer is any person/organization
instrumental in reaching the goods or merchandise or services to the end
users. Retailer is a must and cannot be eliminated.
The Indian retailing industry is becoming intensely competitive, as more
and more payers are Vying for the same set of customers. The major
retail players are Pantaloon Retail, Shoppers Stop, Reliance etc.
Retailing is one of the biggest sectors and it is witnessing revolution in
India. The new entrant in retailing in India signifies the beginning of
retail revolution. India's retail market is expected to grow tremendously
in next few years. According to AT Kearney, the’ Windows of
Opportunity’ shows that Retailing in India was at opening stage in 1995
and now it is in peaking stage in 2006. India's retail market is expected
to grow tremendously in next few years. India shows US$330 billion
retail market that is expected to grow 10% a year, with modern retailing
just beginning. India ranks first in 2005. In fact, in 2005 and 2006, India
is the most compelling opportunity for retailers, because now India is in
peaking stage.
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4. COMPANY PROFILE
BIG BAZAAR
Pantaloon Retail (India) Limited,
is India’s leading retailer that
operates multiple retail formats in
both the value and lifestyle
segment of the Indian consumer
market. Headquartered in Mumbai (Bombay), the company operates
over 7 millions square feet of retail space, has over 1000 stores across 53
cities in India and employs over 25,000 people.
The company’s leading formats include Pantaloons, a chain of fashion
outlets, Big Bazaar, a uniquely Indian Hypermarket chain, Food Bazaar,
a supermarket chain, blends the look, touch and feel of Indian bazaars
with aspects of modern retail like choice, convenience and quality and
Central, a chain of seamless destination malls. Some of its other formats
include, Depot, Shoe Factory, Brand Factory, Blue Sky, Fashion Station,
all, Top 10, bazaar and Star and Sitara. The company also operates an
online portal, futurebazaar.com.
Big Bazaar is not just another hypermarket. It caters to every need of
your family. Where Big Bazaar scores over other stores is its value for
money proposition for the Indian customers.
At Big Bazaar, you will definitely get the best products at the best prices
- that’s what they guarantee. With the ever increasing array of private
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5. labels, it has opened the doors into the world of fashion and general
merchandise including Home furnishings, utensils, crockery, cutlery, sports
goods and much more at prices that will surprise you. And this is just the
beginning. Big Bazaar plans to add much more to complete your shopping
experience.
FUTURE GROUP:
Future group is one of the country’s leading business groups present in
retail, asset management, consumer finance, insurance, retail media,
retail spaces and logistics. The group’s flagship company, pantaloon
Retail (India) Limited operates over 7 million square feet of retail space,
has over 1000 stores of its leading retail formats include, Pantaloon, Big
Bazaar, Central, Food Bazaar, Home Town, Ozone, Depot, future
Money and online retail format, futurebazaar.com.
Future group includes, Future Capital Holding, Future Generally India
Indus league clothing and Galaxy Entertainment that manages sports
Bar, Brew Bar and Bowling Co. Future Capital Holding, the group ‘s
financial arm, focuses on asset management and consumer credit. It
manages assets worth over $1 billion that are being invested in
developing retail real estate and consumer-related brands and hotels.
The group’s joint venture partners include Italian insurance major,
generally. French retailer ETAM group. Us-based stationery products
retailers, Staples Inc. and UK-based Lee Cooper and India-based
Talwalkar’s, Blue Foods and Liberty Shoes.
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6. Future Group’s vision is to, “deliver Everything, Everywhere, Every
time to every Indian consumer in the most profitable manner.” The
group considers” as a core value and its corporate credo is- Rewrite
rules, Retain values.
ADDRESS OF BIG BAZAAR AT MAGNETIC
SQUARE:-
Big Bazaar :: Maruti Mall :: Bhubhaneshwar
Address : Maruti Mall, Near KIIT Square, Patia, Bhubaneswar
Pincode: 751024
State : Orissa
Phone : 0674 - 272 5898 / 99
THE STRATEGY:-
• Savings is the key to the Indian middle class consumer.
• The Concept of Big Bazaar as the store offers large mix of
products at a discounted price, the name “Big Bazaar” was
finalized.
• The idea was to recreate a complete bazaar, with a large product
offering & offer a good depth & width in terms of range.
• Price was the basic value proposition at Big Bazaar
• Big Bazaar outlets sold a variety of products at prices; which were
5 to 70% lower than the Market Price.
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7. • The catch line “Is se sasta aur kahi nahi” emphasized the value of
the Mall.
SELECTING THE LOCATION:-
• The main consideration while selecting the location was whether
the low margin on the products would allow the company to
sustain growth.
• The group conducted a study & it was found that for a store like
Big Bazaar, a large catchment area is needed.
• In Bhubaneswar they have two stores located at Vani Vihar &
Magnetic Square.
THE MERCHANDISE MIX:-
• Large Product mix offered by Big Bazaar was the main attachment.
• The World stocked about 105000 items in over 18 product
Categories.
• In first year apparel accounted for 70% of the off take & the price
was largely responsible for the success.
• Price range starts from Rs 49 to Rs 250,000 according to the needs
of customers.
• Buying Process for most of the categories at big Bazaar is largely
price driven.
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8. STORES DESIGN:-
• It tells the customer what the store is all about. It creates an image
in the minds of Customer .It is the starting point of all marketing
efforts. For a customer store needs to be easy to navigate, it must
appeal to his sensory Perceptions & must create a sense of
belonging sense of relationship. The environment created in retail
store is a combination of exterior look, store interiors, the
atmosphere in the store & events promotions & themes which form
a part of retail store.
EXTERIOR DESIGN:-
It is a function of location of the store site & other facilities like parking
& ease of access. Store fronts is an important factor , it should be
inviting & it should have good lighting & other facilities in total it
should entice potential customers into store. The world is ideally located
at Patia Square 4km away from Jaydev Vihar.
 It is easily accessible either from Jaydev Vihar.
 It has got a spacious parking lot also.
 It has got a massive appeal, exterior look justifies its name “Big
Bazaar”
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9. INTERIOR STORE DESIGN:-
It is a function of aesthetics within the store, the merchandise sold within
the space used & the overall layout of the store.
 Space planning: the amount of space allocate within the store.
 Location of Various department.
 Creation of planogram.
 Relationship of space of profitability.
Big Bazaar is the three storied building, the ground floor with food &
beverages. The first floor is completely apparels & home & personal
care. The Second floor is completely with jewellery & decoration
materials & the third floor is all about shoes, casuals, child care & toys.
PRODUCT MIX:-
APPARELS FOOD CHILL HOME FASHION CHILD
PRODUCTS STATION & & CARE
PERSONAL JEWELLERY &
CARE TOYS
Formal Wear Staples Soft drinks Shampoos Footwear Kids wear
Denim Ready to eat Packaged Detergent Beauty Care Toy Bazaar
T- shirts Juices Soap
Fabrics Ready Milk items Liquid wash Bindre Stationery
& to cook
Cut piece
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10. Accessories Spices Frozen Cream Child Care
foods
Under garment Imported Ice-cream Deodorants
Bazaar
Night wear Tea & Coffee Utensils
Party wear Plastics
Sarees Crockery
SPACE PLANNING:-
Floor Plan--
 Where merchandise & customer service department is located.
 How much customers circulate through the store, & how much
space is dedicated to each department.
PROMOTION:-
 The main idea behind every effort is to make a bulk purchase.
 “Saal ke sabse sasta Teen Din” is the slogan of BIG BAZAAR.
 Advertisement (Print AD,TV AD,Radio AD)
 Point of purchase Promotion.
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11. THEORETICAL
BACKGROUND:
Retailing – is the most active and
attractive sector selling goods or
services directly to final of the last
decade. While the retailing industry
consumers for personal, non business
use itself has been present through
history in our country, it is in the recent
past it has witnessed so mush
dynamism
Retailing one of the largest sectors in
the global economy is going through a
transition phase not only in India but the world over.
The study of any subject is made easier by examining it in an organized
fashion. There are three classes of variables involved in understanding
consumer behavior, stimulus, response and intervening variables.
Stimulus variables, such as advertisement, products and hunger pangs
exist in both the individuals’ external and internal environment. These
generate sensory inputs to consumers. Responses variables are the
resulting mental and/or physical reactions of individual who are
influenced by stimulus variables. For ex: - purchasing a product or
forming attitudes about it could be viewed as responses variables.
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12. Many of the variables affecting consumer (such as personality, learning,
and perceptions of external situations, motives, and so forth) cannot be
directly observed therefore, those who want to learn about the variables
affecting consumer must often make inference to determine the extent to
which a given variable is having an influence
The study of consumer behavior can also be quite complex, because of
the many variables involved and their throw the variables, tendency to
interact with and influence each other. Models of consumer behavior
have been developed as a means of dealing. With this complexity.
Models can help organize out thinking about consumers into a coherent
into a coherent whole by identifying relevant variables, describing their
basic characteristics, and specifying how the variables relate to each
other.
RESEARCH METHODOLOGY
Research Methodology ill common parlance refers to a search for
knowledge. One can also define also research as a scientific and
systematic research for pertinent information a specific topic. Research
is an art of systematic investigation. Some people consider research as a
movement, a movement to the known to the unknown.
According to Clifford Woody: -
“Research comprises defining and redefining problems, formulating
hypothesis or suggested solutions, collecting, organizing and evaluating
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13. data, making deductions mil reaching conclusion, and at last carefully
testing the conclusion to determine whether they fit the formulating
hypothesis.”
Marketing research is defined as a systematic gathering and analysis
of the data concern with an objective. The whole activity is divided into
various parts and after compilation of that we reach at certain findings,
which enable us to marketing decision. It involves the diagnosis of
information needed and the selection of the relevant and inter-related
variables.
RESEARCH PLAN: -
Research Approach: SECONDARY TECHNIQUE
FINDINGS AND OBSERVATIONS:
1. We found out that most of the people were affected and attracted
with offers and schemes.
2. It has been found out that most of the people in Bhubaneswar city
visit malls for refreshment and enjoy.
3. Consumers choose malls to stop because they all want variety and
brands and shopping at malls according to the consumers is
economic as compared to shopping at other places.
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14. 4. Most of the people are brand loyal and most of them stack to the
brand they like.
5. Advertising plays a very crucial part in the consumer decision
making process and Big Bazaar is Known for Advertisement.
6. Most of the respondents take on the spot decision of buying
different products because of the various attractive product
displays and pretty combination which the store tries on the
mannequins is mostly dependent by the customers, show that most
of the consumers are attracted towards different fancy displays.
7. For most of the respondents quality plays a very important role
because most of the respondents said that they want quality
products’ and that’s also one reason for most of the respondents
sticking to particular brands.
8. We can also say that location, variety convenience and economical
products are not the only things which attract the customer but
there are some other factors which play a major role in attracting
the customers as mentioned.
RECOMMENDATIONS:
Customers are becoming price conscious they are having many options
in the market considering the consumer buying behavior the malls and
other shopping centers should take certain definite steps like retaining
customers by giving those schemes discounts and better service.
So Big Bazaar should opt for the following steps:-
 Should follow more of High low pricing rather than Everyday low
pricing.
 Should go for weekly coupon system as it holds more of the loyal
customers
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15.  As it is near KIIT University so it must give more emphasis on
students’ choice products like apparels, fooding, pillow, bed sheets
etc.
The trend today has been to combine shopping with various offerings for
ex… in a mall apart from shopping a customer enjoys food courts and
many others services which today’s modem malls provide.
Shopping has made people spend not just on their requirements of goods
to be bought but to look on the totality of the experience have a quick
bite at Mc Donald’s in the mall are let the kids play fun games while one
is busy shopping or even taking the family out to movie and having a
dinner “ALL UNDER ONE ROOF”
The benefits of this totality offering are that many vendors get to have
people patronized their offerings while the shopping experience i.e.’
being enhanced more business is got by the stores at the venue.
Shopping is no longer a onetime agenda for people. Various options are
opening up.
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16. BIBLIOGRAPHY
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17. BOOKS AND MAGAZINES:
• Consumer Behavior
- Fourth edition by David L. London &
Albert J. Delia Bitta.
• Research methodology (Methods & Technology)
Revised Second edition by C.R.Kothari
• Retail Management ( A Strategic Approach)
- Barry Berman & Joel R Evans
NET RESOURCES:
• www.google.com
• www.wikipedia.com
• www.answers.com
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