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 Your friendly neighborhood store in an area
of 2000 – 4000 sq feet.
 Fresh fruits, vegetables, staples, dairy and
FMCG products.
 First foray into retail by RIL.
 More than 560 stores in 80 cities across 14
states.
 5 million customers following the Loyalty
Program `Reliance One`
Secondary Activity Description
Procurement This concerns how resources are acquired for a business (e.g. sourcing
and negotiating with materials suppliers)
Human Resource
Management
Those activities concerned with recruiting, developing, motivating and
rewarding the workforce of a business
Technology
Development
Activities concerned with managing information processing and the
development and protection of "knowledge" in a business
Infrastructure Concerned with a wide range of support systems and functions such as
finance, planning, quality control and general senior management
PRIMARY ACTIVITIES
Daily Activities at the Store
 Store opens by 5:30 AM with the help of an armed guard and the
supervisor
 Daily indent of fruits, vegetables and milk products reach by
5:30 AM
 Merchandise are received by the customer associates and the
store is made ready for customers by 6:30am
 Store manager updates the opening stock
 He Revises the rate list sent by the head office
 He updates the discounts and the promotions on various product
categories
 Perishable merchandise are put on discount of 20% after 4 pm
 The merchandise is checked properly from time to time by the supervisor
 The house keeping people clean the outlet at least 7 times a day’s span
 Refrigeration and temperature are checked regularly by the store manager
 In the latter half of the day, indent of the next day merchandise is prepared
by the store manager with the help of the supervisor
 At the end of the day the closing stock is checked and further details of
replenishment are forwarded to the head office by the supervisor
 The cash manager checks the balance and compares it with the sale
 The store winds up for customers around 10 pm
 The accounting procedures are completed and the operators shut down the
outlet at 11 pm
Marketing strategies of reliance
fresh
PUSH STRATEGY
Point of sale displays.
Special Displays.
Catalogs and brochures.
Events.
Coupons.
Samples.
Premium and Gifts.
Refund / Rebates.
POP advertisement.
 DIRECT MARKETING : -
Use of mail, telephone, fax , e-mail or internet to communicate
directly with or solicit response or dialogue from specific
customers and prospects . this platform is used to inform the
‘reliance one’ members ( a loyalty programme ) through
e-mails , telephones and SMS . through this the information
regarding the latest offers , events are being communicated to
the customers.
The advertising part of reliance fresh is done
with the help of : -
 print & broadcast adds
 packaging outer
 catalogue
 directories
 billboards
 symbols & logos
 audio materials.
 A variety of short term Incentives to
encourage trial or purchase of a product or
service.
 The sales promotion at reliance fresh
includes :-
a) Premium & gifts
b) Sampling
c) Rebates
d) Offers like “BOGO” , “BXGY” etc.
Infrastructure Procurement
Technology
Development
Human Resource
Development
Secondary
Activities
 Reliance Industries has invested nearly Rs. 3,000 crore to
expand the Reliance Fresh stores.
 The stores work on The Ranger Format which means
selling of fresh vegetables to the road sellers.
 Reliance plans to invest in excess of Rs 25000 crore in
the next 4 years in their retail division.
 The company already has in excess of 650 reliance fresh
outlets across the country.
 A typical Reliance Fresh store is approximately 3000-
4000 square feet and caters to a catchment area of 2–3
km.
 Procurement of vegetables, fruits, dairy
products, bakery items directly from the
suppliers based on the pre-negotiated contracts.
 By procuring directly they weed out the
middleman commissions, costs of loading and
unloading, transportation costs and wastage due
to exchange of hands
 Perishable products are procured from nearby
areas of distribution centers.
 Non-perishable products such as FMCG products
which have longer shelf life are procured
centrally by their merchandising department.
Current supply chain of Reliance Fresh
 Always buy from local
farmers never from the
mandis .
 Established the rural
business hubs in many parts
of the country.
 The objective is to make the
entire value chain more
effective and responsive .
 Fully customized & equipped with highly secured software.
 Four major software used in reliance fresh : -
a) SAP
b) RETALIX
c) R CONNECT PORTAL
d) EUROPLEX SECURITIES
 PE Extruded nets are used to pack
vegetables individually wrapped for
enhanced shelf life.
 Thermoformed PP Trays to hold 4-6 large
fruits with Stretch Cling Wrapped films for
good visibility and shelf life.
 Laminates are used to pack fresh / cut
vegetables and fruits, offer a clear view and
extended shelf life.
 Preserves food by removing moisture
(Drying)
TOP LEVEL MANAGEMENT :
(a) STRATEGY MAKERS
(b) CLUSTER MANAGERS
MID LEVEL MANAGEMENT :
(a) AREA MANAGERS
(b) STORE MANAGERS
LOW LEVEL MANAGEMENT :
- ASST. STORE MANAGER
 Strict Appraisal Policies.
 Less Working Hours As Compared To Its
Competitors.
 Timely Wages.
 Timely Notice Prior To Termination.
 Recruitment From Friends & Referrals.
Reliance fresh value chain analysis

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Reliance fresh value chain analysis

  • 1.
  • 2.  Your friendly neighborhood store in an area of 2000 – 4000 sq feet.  Fresh fruits, vegetables, staples, dairy and FMCG products.  First foray into retail by RIL.  More than 560 stores in 80 cities across 14 states.  5 million customers following the Loyalty Program `Reliance One`
  • 3.
  • 4.
  • 5. Secondary Activity Description Procurement This concerns how resources are acquired for a business (e.g. sourcing and negotiating with materials suppliers) Human Resource Management Those activities concerned with recruiting, developing, motivating and rewarding the workforce of a business Technology Development Activities concerned with managing information processing and the development and protection of "knowledge" in a business Infrastructure Concerned with a wide range of support systems and functions such as finance, planning, quality control and general senior management
  • 7.
  • 8.
  • 9. Daily Activities at the Store  Store opens by 5:30 AM with the help of an armed guard and the supervisor  Daily indent of fruits, vegetables and milk products reach by 5:30 AM  Merchandise are received by the customer associates and the store is made ready for customers by 6:30am  Store manager updates the opening stock  He Revises the rate list sent by the head office  He updates the discounts and the promotions on various product categories  Perishable merchandise are put on discount of 20% after 4 pm
  • 10.  The merchandise is checked properly from time to time by the supervisor  The house keeping people clean the outlet at least 7 times a day’s span  Refrigeration and temperature are checked regularly by the store manager  In the latter half of the day, indent of the next day merchandise is prepared by the store manager with the help of the supervisor  At the end of the day the closing stock is checked and further details of replenishment are forwarded to the head office by the supervisor  The cash manager checks the balance and compares it with the sale  The store winds up for customers around 10 pm  The accounting procedures are completed and the operators shut down the outlet at 11 pm
  • 11. Marketing strategies of reliance fresh PUSH STRATEGY Point of sale displays. Special Displays. Catalogs and brochures. Events.
  • 13.  DIRECT MARKETING : - Use of mail, telephone, fax , e-mail or internet to communicate directly with or solicit response or dialogue from specific customers and prospects . this platform is used to inform the ‘reliance one’ members ( a loyalty programme ) through e-mails , telephones and SMS . through this the information regarding the latest offers , events are being communicated to the customers.
  • 14. The advertising part of reliance fresh is done with the help of : -  print & broadcast adds  packaging outer  catalogue  directories  billboards  symbols & logos  audio materials.
  • 15.  A variety of short term Incentives to encourage trial or purchase of a product or service.  The sales promotion at reliance fresh includes :- a) Premium & gifts b) Sampling c) Rebates d) Offers like “BOGO” , “BXGY” etc.
  • 17.  Reliance Industries has invested nearly Rs. 3,000 crore to expand the Reliance Fresh stores.  The stores work on The Ranger Format which means selling of fresh vegetables to the road sellers.  Reliance plans to invest in excess of Rs 25000 crore in the next 4 years in their retail division.  The company already has in excess of 650 reliance fresh outlets across the country.  A typical Reliance Fresh store is approximately 3000- 4000 square feet and caters to a catchment area of 2–3 km.
  • 18.
  • 19.  Procurement of vegetables, fruits, dairy products, bakery items directly from the suppliers based on the pre-negotiated contracts.  By procuring directly they weed out the middleman commissions, costs of loading and unloading, transportation costs and wastage due to exchange of hands  Perishable products are procured from nearby areas of distribution centers.  Non-perishable products such as FMCG products which have longer shelf life are procured centrally by their merchandising department.
  • 20. Current supply chain of Reliance Fresh  Always buy from local farmers never from the mandis .  Established the rural business hubs in many parts of the country.  The objective is to make the entire value chain more effective and responsive .
  • 21.  Fully customized & equipped with highly secured software.  Four major software used in reliance fresh : - a) SAP b) RETALIX c) R CONNECT PORTAL d) EUROPLEX SECURITIES
  • 22.  PE Extruded nets are used to pack vegetables individually wrapped for enhanced shelf life.  Thermoformed PP Trays to hold 4-6 large fruits with Stretch Cling Wrapped films for good visibility and shelf life.  Laminates are used to pack fresh / cut vegetables and fruits, offer a clear view and extended shelf life.  Preserves food by removing moisture (Drying)
  • 23. TOP LEVEL MANAGEMENT : (a) STRATEGY MAKERS (b) CLUSTER MANAGERS MID LEVEL MANAGEMENT : (a) AREA MANAGERS (b) STORE MANAGERS LOW LEVEL MANAGEMENT : - ASST. STORE MANAGER
  • 24.  Strict Appraisal Policies.  Less Working Hours As Compared To Its Competitors.  Timely Wages.  Timely Notice Prior To Termination.  Recruitment From Friends & Referrals.