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DR. CAMIL BULCKE PATH, RANCHI
__________________________________________________________________________


                             A project report
                                        On




Group-                                               Prof. A.R .Bodra
Aman Manish Lakra 07        Nishant Sinha   25        HOD, Marketing
Saurabh Sagar        32     Sumedha Sonal 53            XISS, Ranchi

Prateek Anand Singh 60
[Department of Marketing]                        Prof. Subhajit Bhattacharya
We express our sincere gratitude to Mr. A. R. BODRA HOD Marketing, XISS
for providing us an opportunity to work on this project. We are very
grateful for their constant support and guidance throughout the duration
of this project. We also express my sincere thanks to MR. ATUL MINOCHA,
the owner SHOPPERS' MART, Ranchi for providing us vital information
which results in successful completion of this project. The project provides
us the fundamental and practical knowledge and idea of how a retail shop
works.
We also like to thanks Prof. SUBHAJIT BHATTACHARYA for his continues
support and guidance.




Thank you

Regards,
Aman Manish Lakra            07
NishantSinha                 25
SaurabhSagar                 32
SumedhaSonal                 53
PrateekAnand Singh           60
(Marketing, XISS, 2011-13)
Sel. No.                             TOPIC             PAGE No.

  01       About the retail outlet                       01

  02       Logistics model of SHOPPERS MART              01

  03       Order booking process                         01

  04       Logistics model (Flow chart)                  02

  05       Shopper’s Mart Business model                 03

  06       Generation of profits                         03

  07       Monthly Expenditure                           03

  08       Strategy – Branding, Promotion, Marketing     04

  09       Competition                                   04

  10       Customer Relationship Management (CRM)        04
Shoppers' Mart is a retail outlet in Ranchi with a wide range of men’s, women’s and
children’s apparel, sportswear, denim, and a range of licensed products such as
accessories, fragrances and footwear. It is located at Roshpa Tower, Main Road, Ranchi.
Mr. Atul Minocha is the owner of the store. All the departments are handled by the
Head Sales assigned for every department.




Shoppers' Mart does not manufacture any product; they procure them from all over the
country. Some of the major places from where the products are procured are Delhi,
Mumbai, Kolkata and Bangalore.




Shoppers' Mart does its inventory management through software called Ginesys. Once
there is a shortage of any product, an individual from the store goes to the place from
where he has to procure the products. Agents are available to provide the product on
behalf of company and they act as a bridge between the retailer and the supplier. These
agents are known as commission agents and they earn around 1% on every transaction.

Once the order is booked the supplier arranges for the products to be shipped.
Shoppers' Mart only uses road transport. The order takes around 2 to 5 days to be
delivered the outlet. All the products are insured by the suppliers. They have an in house
go down for the storage of shipments. Some of the Logistics agencies that Shoppers'
Mart has a tag up with are:

DELHI - PATEL LOGISTICS

KOLKATA - BR LOGISTICS

BANGALORE - PATEL LOGISTICS

MUMBAI - TRIED LOGISTICS

Suppliers give 15 to 20 days for the payment to be made to them.



                                                                                             01
Bargaining with suppliers depends upon the personal terms that the retail outlet has
with them. If the retailer is giving discount of 20% they go with 10% contribution of
each. Some of the major suppliers are:

ADITYA BIRLA GROUP

ARVIND MILLS

MADURA GARMENTS




      DELHI




                      TRANSPORTATION

    MUMBAI                                                                                End
                                       AGENT                                            Consumer
                      TRANSPORTATION




  BANGALORE




IMPLICATION OF VARIOUS TAXES

Put this in a table

        TAX                   RATES

 Central Sales tax              1%

        VAT                     5%.



                                                                                                   02
MULTI BRAND RETAIL OUTLET

The basic model of the store is of a complete family store. Shoppers' Mart is a six years
old outlet. The outlet is of the same fraternity as Ved Textiles and Apparels. It has a sole
purpose of serving the whole family with a wide range of Branded and Non Branded
apparels and accessories. It has different sections for Men, Women and Children. There
are Head Sales for all the sections. The store hires in sales men of minimal qualifications
because of which they have a very high attrition rate. All the sales men report to the
Head Sales of their respective departments. The whole essence of the business lies in
the procurement of products from different suppliers and from different places so that
the customers get all the choices under one roof. Some of the major brands are Allen
Solly, Peter England, John Players, Van Heusen and Park Avenue.

STORE LAYOUT

The floor size of the store is 18000 sq. feet. The different sections are:

MEN            Apparels - Clothing (Branded and Non Branded).

               Accessories - Wallet, Belts and Watches.

WOMEN          Apparels - Clothing (Indian, Ethnic and Western)

               Accessories - Watches, Cosmetics, Footwear.

CHILDREN       Apparels and Footwear.

The store has two floors out of which the Ground floor has Accessories (for men and
women), Cosmetics, Footwear, Sarees.

The first floor has Menswear, Ladieswear and Kidswear.




                                                                                               03
Since its inception six years back the outlet has doubled its turnover. The outlet was
started with keeping in mind the demands of the whole family. With time the store has
increased its range of products. The major revenue is generated through the Men's
section. The sales volume increases at the time of sale/festive season. Every year
thetarget is to at least reach the last year's revenue level. The store also helps the
suppliers in stock clearance. At these times they even get discounts up to 50% from the
suppliers. For the store, concept of sale is a kind of festival. The margin of the retail store
is approximately 25%, exclusive of VAT (i.e. 5%).




The monthly expenditure of the shop is 7 to 8 lakhs which includes all the expenses
including the expenses of procurement of the products, rent, and electricity etc.




Shoppers' Mart has a very strong relationship with the suppliers, agents, logistics
agencies. They share their value apart from paying money to them. The store believes in
a mutual relationship of trust with the stakeholders. The sales team are trained well and
get rewards according to the targets they meet. Shoppers' Mart tries its level best to
give their customers best of the products at best of the prices. The store also gives
equal importance to the suppliers and the consumers so that there is no biasness.




The preferred source for advertising is newspapers, radio and hoardings. Newspapers are
used as a medium for spontaneous sales information to the customers. The popularity of
the newspaper in Ranchi acts as decision making factor for giving the advertisements.
Although newspaper is a very costly medium of advertisement. Hoardings are used for
long term branding. Most importantly the store depends majorly on the spread of
positive word of mouth through the customers. They believe in developing a positive




                                                                                                  04
image in their consumer's mind. They have a trust on the customer base they have. They
measure the impact of the promotional activities on a weekly basis

in terms of revenue generated and foot falls.




Six year back when the shop was opened there were not much big competitors. With
time big competitors like Big Shop, Kolkata bazaar, and Reliance trends came in the
market. These players are not much of a threat as Shoppers' Mart has its own customer
relationship which is very strong. This is also justified by the fact they have doubled their
revenues in six years. Moreover the store is a member of VastraVikretaSangh which takes
care of the interests of the retail outlets in the city. Whatever decisions that the fellow
retailers make is on common consensus. This is a way through which Shoppers' Mart
sustains in the market.

SURVIVAL STRATEGY

In future the store plans to bring in more brands and aspires to develop its customer
database. The store also plans to promote the brand to other cities as well. They are very
much aware that new entrants are going to enter into the market but they trust on their
existing customer base which is very loyal to them. Through efficient customer service
they would also manage the after sales service to woo more customers. Through
customer probing we came to know that the customers get personalized attention from
the sales people and the floor managers. This makes the customers feel good about
shopping in Shopper's Mart. We also asked if the customers refer the store to their
friends and relatives, and we got a positive response. This personalized service gives the
store an edge.




                                                                                                05
Shoppers' Mart believes in true customer satisfaction. They constantly strive for
personalized service being provided to the consumers. The sales team is trained
properly for this. They do not leave a stone unturned and always give personal attention
to the customers. They have a comprehensive database of 2000 customers. They keep a
personalized record of the frequently visiting customers. They do this through a form
which they ask their customers to fill up. They also have a membership card through
which regular customers avail special offers. The central idea for the store is 'Everything
for the family' and they achieve their motto by delivering personalized customer
satisfaction.




                                                                                              06

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Shoppers' mart

  • 1. DR. CAMIL BULCKE PATH, RANCHI __________________________________________________________________________ A project report On Group- Prof. A.R .Bodra Aman Manish Lakra 07 Nishant Sinha 25 HOD, Marketing Saurabh Sagar 32 Sumedha Sonal 53 XISS, Ranchi Prateek Anand Singh 60 [Department of Marketing] Prof. Subhajit Bhattacharya
  • 2. We express our sincere gratitude to Mr. A. R. BODRA HOD Marketing, XISS for providing us an opportunity to work on this project. We are very grateful for their constant support and guidance throughout the duration of this project. We also express my sincere thanks to MR. ATUL MINOCHA, the owner SHOPPERS' MART, Ranchi for providing us vital information which results in successful completion of this project. The project provides us the fundamental and practical knowledge and idea of how a retail shop works. We also like to thanks Prof. SUBHAJIT BHATTACHARYA for his continues support and guidance. Thank you Regards, Aman Manish Lakra 07 NishantSinha 25 SaurabhSagar 32 SumedhaSonal 53 PrateekAnand Singh 60 (Marketing, XISS, 2011-13)
  • 3. Sel. No. TOPIC PAGE No. 01 About the retail outlet 01 02 Logistics model of SHOPPERS MART 01 03 Order booking process 01 04 Logistics model (Flow chart) 02 05 Shopper’s Mart Business model 03 06 Generation of profits 03 07 Monthly Expenditure 03 08 Strategy – Branding, Promotion, Marketing 04 09 Competition 04 10 Customer Relationship Management (CRM) 04
  • 4. Shoppers' Mart is a retail outlet in Ranchi with a wide range of men’s, women’s and children’s apparel, sportswear, denim, and a range of licensed products such as accessories, fragrances and footwear. It is located at Roshpa Tower, Main Road, Ranchi. Mr. Atul Minocha is the owner of the store. All the departments are handled by the Head Sales assigned for every department. Shoppers' Mart does not manufacture any product; they procure them from all over the country. Some of the major places from where the products are procured are Delhi, Mumbai, Kolkata and Bangalore. Shoppers' Mart does its inventory management through software called Ginesys. Once there is a shortage of any product, an individual from the store goes to the place from where he has to procure the products. Agents are available to provide the product on behalf of company and they act as a bridge between the retailer and the supplier. These agents are known as commission agents and they earn around 1% on every transaction. Once the order is booked the supplier arranges for the products to be shipped. Shoppers' Mart only uses road transport. The order takes around 2 to 5 days to be delivered the outlet. All the products are insured by the suppliers. They have an in house go down for the storage of shipments. Some of the Logistics agencies that Shoppers' Mart has a tag up with are: DELHI - PATEL LOGISTICS KOLKATA - BR LOGISTICS BANGALORE - PATEL LOGISTICS MUMBAI - TRIED LOGISTICS Suppliers give 15 to 20 days for the payment to be made to them. 01
  • 5. Bargaining with suppliers depends upon the personal terms that the retail outlet has with them. If the retailer is giving discount of 20% they go with 10% contribution of each. Some of the major suppliers are: ADITYA BIRLA GROUP ARVIND MILLS MADURA GARMENTS DELHI TRANSPORTATION MUMBAI End AGENT Consumer TRANSPORTATION BANGALORE IMPLICATION OF VARIOUS TAXES Put this in a table TAX RATES Central Sales tax 1% VAT 5%. 02
  • 6. MULTI BRAND RETAIL OUTLET The basic model of the store is of a complete family store. Shoppers' Mart is a six years old outlet. The outlet is of the same fraternity as Ved Textiles and Apparels. It has a sole purpose of serving the whole family with a wide range of Branded and Non Branded apparels and accessories. It has different sections for Men, Women and Children. There are Head Sales for all the sections. The store hires in sales men of minimal qualifications because of which they have a very high attrition rate. All the sales men report to the Head Sales of their respective departments. The whole essence of the business lies in the procurement of products from different suppliers and from different places so that the customers get all the choices under one roof. Some of the major brands are Allen Solly, Peter England, John Players, Van Heusen and Park Avenue. STORE LAYOUT The floor size of the store is 18000 sq. feet. The different sections are: MEN Apparels - Clothing (Branded and Non Branded). Accessories - Wallet, Belts and Watches. WOMEN Apparels - Clothing (Indian, Ethnic and Western) Accessories - Watches, Cosmetics, Footwear. CHILDREN Apparels and Footwear. The store has two floors out of which the Ground floor has Accessories (for men and women), Cosmetics, Footwear, Sarees. The first floor has Menswear, Ladieswear and Kidswear. 03
  • 7. Since its inception six years back the outlet has doubled its turnover. The outlet was started with keeping in mind the demands of the whole family. With time the store has increased its range of products. The major revenue is generated through the Men's section. The sales volume increases at the time of sale/festive season. Every year thetarget is to at least reach the last year's revenue level. The store also helps the suppliers in stock clearance. At these times they even get discounts up to 50% from the suppliers. For the store, concept of sale is a kind of festival. The margin of the retail store is approximately 25%, exclusive of VAT (i.e. 5%). The monthly expenditure of the shop is 7 to 8 lakhs which includes all the expenses including the expenses of procurement of the products, rent, and electricity etc. Shoppers' Mart has a very strong relationship with the suppliers, agents, logistics agencies. They share their value apart from paying money to them. The store believes in a mutual relationship of trust with the stakeholders. The sales team are trained well and get rewards according to the targets they meet. Shoppers' Mart tries its level best to give their customers best of the products at best of the prices. The store also gives equal importance to the suppliers and the consumers so that there is no biasness. The preferred source for advertising is newspapers, radio and hoardings. Newspapers are used as a medium for spontaneous sales information to the customers. The popularity of the newspaper in Ranchi acts as decision making factor for giving the advertisements. Although newspaper is a very costly medium of advertisement. Hoardings are used for long term branding. Most importantly the store depends majorly on the spread of positive word of mouth through the customers. They believe in developing a positive 04
  • 8. image in their consumer's mind. They have a trust on the customer base they have. They measure the impact of the promotional activities on a weekly basis in terms of revenue generated and foot falls. Six year back when the shop was opened there were not much big competitors. With time big competitors like Big Shop, Kolkata bazaar, and Reliance trends came in the market. These players are not much of a threat as Shoppers' Mart has its own customer relationship which is very strong. This is also justified by the fact they have doubled their revenues in six years. Moreover the store is a member of VastraVikretaSangh which takes care of the interests of the retail outlets in the city. Whatever decisions that the fellow retailers make is on common consensus. This is a way through which Shoppers' Mart sustains in the market. SURVIVAL STRATEGY In future the store plans to bring in more brands and aspires to develop its customer database. The store also plans to promote the brand to other cities as well. They are very much aware that new entrants are going to enter into the market but they trust on their existing customer base which is very loyal to them. Through efficient customer service they would also manage the after sales service to woo more customers. Through customer probing we came to know that the customers get personalized attention from the sales people and the floor managers. This makes the customers feel good about shopping in Shopper's Mart. We also asked if the customers refer the store to their friends and relatives, and we got a positive response. This personalized service gives the store an edge. 05
  • 9. Shoppers' Mart believes in true customer satisfaction. They constantly strive for personalized service being provided to the consumers. The sales team is trained properly for this. They do not leave a stone unturned and always give personal attention to the customers. They have a comprehensive database of 2000 customers. They keep a personalized record of the frequently visiting customers. They do this through a form which they ask their customers to fill up. They also have a membership card through which regular customers avail special offers. The central idea for the store is 'Everything for the family' and they achieve their motto by delivering personalized customer satisfaction. 06