NATIONAL INSTITUTE OF FASHION TECHNOLOGY,

MUMBAI

RETAIL MANAGEMENT ASSISGNMENT :

STUDY OF RETAIL STRATEGY AND RETAIL MIX

FOR A BRAND

MASTERS OF FASHION MANAGEMENT

SEMESTER-1

SUBMITTED TO : SUBMITTED BY :

MR. SHUSHIL RATURI ONKAR BHAI PATEL

SIDDHARTH GUPTA

VIVEK ANAND

MAYANK PITARIYA

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 INTRODUCTION

The project is a study of retail strategy and retail mix for a brand. Every brand
has its own unique strategy in terms of pricing, positioning, assortments etc. The
main points to be focussed upon in the project are the brands strategy that is
assortment, customer service, store layout and space, promotional activities,
pricing etc. and the retail mix that is the location of the store and the future
plans.

The brand which is going to be open near sector 17, Poona Road , Kharghar,
Navi Mumbai-410210. After so many strategic approaches this strategic model
is being implemented very soon with a store for Men’s and Women’s wear
covering its target market of youngster of age between 18-35 years.

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At the new store in Kharghar, you will find a wide range of trendy urban outfits
for men and women, including Shirts, Tops, T-Shirts, dresses, skirts and
Trousers, along with fashion jewellery, scarves and bags. Be it through the fresh
outlook on clothing or through the store decor, This brand is - as its tagline
suggests – Dainty Couture !It believes that delicately beautiful and charming
;exquisite couture. So we bring to you the best in Western fashion, combining
high quality with affordability, to provide the ultimate shopping experience –
that does not burn a hole in your wallet!

It specializes in three genres of western wear for men and women – Casuals,
Basics Plus and High fashion. The casuals section covers tees, kurtas, tops,
tunics, short kurtis (contemporary in style) and the like within the price range of
Rs. 499 to Rs. 899. Capri’s in shades of beige, white and black are also
available. You will find straight fit trousers and boot cuts in similar shades.

The Basics Plus collection is casual wear with a little more attention to design
details. These are priced in the range of Rs. 899 to Rs. 1,200. The High Fashion
collection consists mainly of party wear shirts, trousers, tops and dresses priced
between Rs. 1,200 and Rs. 3,000. The collection are available in sizes from extra
small to extra large including plus size clothing likeS1,M1andL1.

What makes it different from its contemporaries is the delicate finish given to
each garment and the exquisite pastel shades used in the greater part of the
collection. The store also has a small collection of accessories (collection of
glasses, ties, bangles, earrings and chains) and stoles priced from Rs. 150
onwards. These are the only products sourced from Thailand, Bangkok and
various parts of India. An adorable range of cloth and Mumbai’s Terra leather
bags are available which are apt for college students. Terra clutch bags with
bows and bright colors such as green, yellow and red are also sold at the store.
It has a very contemporary exterior in black and white, with hues of yellow in
the form of butterfly motifs. Located in a residential area, this men’s and
women’s clothing store carries a catchy logo and title. The interiors,
approximately 1,200 square feet in space, are done up in shades of lemon yellow
and black. The furniture, chandeliers and one side of the store done up in black
with white block prints, give it an edgy yet soft finish. The yellow lighting
against the lemon yellow walls gives a bright touch to the entire store.

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LATEST COLLECTION

Add a splash of color to your wardrobe this season with the new collection from
this store.The fall collection takes on a fun, playful look with a its range of
casual tees, shirts halter necks and racer backs as well as feminine skirts, tunics
and dresses.

True to its back-to-nature theme, this range showcases its designs in a

kaleidoscope of colors and patterns. Be it funky floral prints in orange, blue and
red, or sober solids in green, pink, black and white – there is something for
everyone!

For the social butterflies, it presents its exclusive designer party wear range.
Exquisite dresses and tops with fine detailing and beaded embroidery give you
the perfect outfit for that much awaited dinner party.

And, there is yet another unique aspect to look forward to.“We had a lot of
requests from our customers for more styles in larger sizes. So this season, we
have made it a point to include a wider size range in many of our styles, starting
with the sizes XS, S, M, and L and moving on to S1, M1 and L1 for the larger
size-group of men and women”.

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ASSORTMENT

A good assortment planning is very important for any brand as it determines the
customer’s perception and the potential customers. A well planned assortment
would definitely attract customers and build their customer loyalty.

 The brand has a wide variety of merchandise as mentioned before like

Tops, Shirts T-Shirts, dresses, skirts and Trousers, along with fashion
jewellery, scarves and bags etc.

 The three categories which the brand offers are basic plus, high fashion
and casuals which have their own product lines.

 Basic plus – it is a medium range category which includes tops, printed t-

shirts, polo’s, trousers, shorts, Capri’s and skirts made of high quality
fabrics.

 These garments have undergone different washes and finishes to

improve the shine and hand feel.

 They have fine detailing to suit individual styling. Basic plus is priced
between Rs.899 – 1299.

 Casuals – it is a basic category that includes t-shirts, tops, shorts and

Capri’s for daily wear.

 The garments are detailed modestly to suit your pockets.

 The range is priced between Rs.499 - 899.

 High fashion – it includes silk dresses, long tops and trousers made of rich
fabrics.

 Each garment is constructed with fine intricate detailing and embroidery

which adds to the elegance of the garments.

 High fashion garments are priced between Rs.1299 – 3490.

The brand has four seasons which they call big drops. There are two big drops
and two small drops. The big drop collection comprises of 60 styles and is
introduced twice a year. It comprises of all the three categories that is the basic

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plus, casuals and high fashion. The sizes included in their collection are S, M, L,
S1, M1, and L1. The sizes S1, M1, L1 are actually sizes XL. XXL and XXXL.
The idea behind the sizes is not to make the customer conscious about their size
but make them feel comfortable while they buy them.

The small drop consists of 30 styles and also includes all the categories. Even
the sizes are the same as the big drop. This collection is also introduced twice a
year.

The brand has its own strategy of replenishment. They order the big drop and
the small drop collections alternatively so that a flow is maintained. The number
of pieces on order differs according to the collections. The high fashion
collection comprises of less number of pieces comparatively. About 2 - 3 pieces
are ordered per style, per color in high fashion and around 4-5 pieces per style,
per color in casuals. The number of pieces ordered in the basic plus category are
more as the name suggests they come under the category of staple goods and the
product lifecycle is longer for them.

CUSTOMER SERVICE

 Although all retail companies are always looking to see how they can
increase sales and their customer base most, if not all, would tell you that
good customer service is essential in ensuring that existing customers will
remain loyal. They will also state that keeping valued customers is a lot
easier than attracting new ones which is why excellent customer service
has to be placed right at the top of their agenda if you want your brand to
prosper.

 Good customer service is an essential ingredient in this store because if a

customer feels valued, they are more likely to not just stay with you but
they will also recommend you to others and the importance of ‘word of
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 mouth’ referrals should never be underestimated by any retail company
when it comes to increasing your sales and customer base.

 In any walk of life, people react to the kind of treatment they receive so if
you treat customers badly or show a total disregard for them, they are, at
best, going to complain more and, at worst, will simply not bother to
complain and take their business elsewhere.

 However, a brand should not believe for one minute that this means just
the loss of one customer. On the contrary, if a customer decides not to
shop with you because your customer service is poor, you can be certain
that they’ll also tell their family and friends who will also tell their family
and friends and so forth.

 Therefore, the loss of one actual customer could actually be equated to the
loss of, perhaps, several hundred potential customers in reality.

 The brand takes utmost care in maintaining a good service level in the
store for the customers.

 Customer service has a lot of positive effects on a brand other than

boosting sales like customer loyalty, employee motivation and most
importantly good service means free publicity for any store.

 Every customer has a different personality and needs, so a monotone

cookie-cutter approach seldom works. Customer service representatives
need to listen to a customer's problems and then determine a solution.
Simply showing the customer the latest sales item will only waste
time. The few extra minutes it takes to talk with the customer and find out
what features they want in a product can save time later.

 With all the competition in the retail world, it's often the little things that
make the difference between a customers defecting from one store to

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 another with similar prices. A friendly cashier, complementary offerings
or weekly theme changes may make a shopping experience more pleasant
and positively affect a shopper's retail decision.

STORE LAYOUT AND SPACE

 A well-planned retail store layout allows a retailer to maximize the sales

for each square foot of the allocated selling space within the store.

 The layout of the store depends on the amount of space available and the
types of products and service offered.

 Store layouts generally show the size and location of each department,
any permanent structures, fixture locations and customer traffic patterns.

 Each floor plan and store layout will depend on the type of products sold,
the building location and how much the business can afford to put into the
overall store design.

 Here in the front of the store is merchandised with the most profitable
items.

 The impulse and convenience items are located in the highest traffic
area. Cash register areas are a good location for impulse items. They
place sale and/or special items in a wide aisle in a special display or
“obstacle” rack for effective merchandising.

 A key factor in the store ambiance is circulation. Customers should feel

free to move though the store freely and fluidly. But you also must
maximize a customers’ exposure to displays and merchandise. Today’s
customers have less time to shop. The easier it is for customers to move
around, the more they will buy. By keeping the small retail store open
with wide aisles and ample directional signs, the shoppers will find what

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 they want by themselves. There well-thought out layout saves on selling
costs by making the store more self-service.

 The store layout is changed every three months to create a fresh and give
new look to the store. It helps them to create a new environment for the
customers and make good use of the space in the store.

PROMOTION

 Promotion is one of the major "tools" used in Marketing. Marketers

usually use promotion to communicate and inform the public of their
product. Promotion is also however used to influence the marketers target
market usually via means of interpellation, promoting their product as
better than any other similar products, or by changing the views,
awareness, beliefs and feelings of perspective customers.

 Promotion comprises of personal selling, advertising, sales promotion,

direct marketing, and publicity. A promotional mix specifies how much
attention to pay to the categories, and how much money to budget for
each. A promotional plan can have a wide range of objectives, including:
sales increases, new product acceptance, creation of brand
equity, positioning, competitive retaliations, or creation of a corporate

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 image. Fundamentally, however there are three basic objectives of
promotion.

These are:

1.) To present information to consumers as well as others

2.) To increase demand

3.) To differentiate a product

 There are different ways to promote a product in different areas of media.

Promoters use internet advertisement, special events, endorsements, and
newspapers to advertise their product. Many times with the purchase of a
product there is an incentive like discounts, free items, or a contest. This
is to increase the sales of a given product.

 Misfits promote their brand in many ways especially because it is new.

They employ a number of techniques for promoting the brand like
pamphlet, brochures, stalls, newspaper adds, magazine advertisements
etc.

 The mainly rely on the ‘word of mouth’ publicity. Almost 44% of their
publicity is through ‘word of mouth’. 12% of the promotions are through
magazines and rest 44% through pamphlets and other means.

 Promotion is one of the main prospects for the brand at the moment
because its new and have to create awareness especially when it is in its
expansion mode.

PRICING & DISCOUNT OFFERS

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  Pricing strategy is an extremely important factor for a newly launched
brand to consider.

 In this store one of its USP is their prices. They cater to all levels of the
society as their price point starts from basic Rs.499 and goes up to
Rs.3490.

 They have different categories of clothing for different price ranges. They
tend to maintain their brand value and not vary the prices too much.

 The brand caries a sale season every 3 months.

 Suppose the big drop comes in January. So till March the fresh stock is
available and rest of the stock goes in to the sale. After sale season fresh
new stock comes in which is the small drop collection containing 30
styles. The next sale period happens in July which is a big one
comparatively and also it has merchandise from both the big drop and the
small drop.

 The discounts offered are also on the merchandise rather than on the
prices as they don’t like to derail the value of their merchandise.

 Discounts are offered differently according to the merchandise.

LOCATION

 While retailer can change his merchandise mix, adjust prices, improve
communication with consumers and offer better service, once the store
comes into existence, it is fairly difficult to change the location.
 It may result in the loss of customers and employees.
 For many businesses, getting the right location can make the difference
between success and failure.
 There are lots of different reasons why location is important to a retailer and
location matters to some retailers much more than it does to others.

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 Some of the factors might be :
• Type of product
Convenience
Shopping
Speciality
• Population and your target market
• Accessibility and visibility
• Competitors
• Location cost

 It is located in the first phase of a residential area which faces the open
market.
 As it is a new brand they are not willing to spend a lot of money on an
expensive location rather they are looking for something moderate which
is not outside the market but also is not in the prime location.
 The main crowd puller around the store is NALLI saris. The
store is just adjacent to the store and pulls a fare amount
of crowd which in turn benefits it.

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EXPANSION PLANS

 The brand is looking into franchising with retailers like lifestyle and
shoppers stop.
 The expansion will start with the MBO’s and they are looking into the
expanding their exclusive brand outlets.
 The main cities for EBO’s would be Mumbai, Nagpur and Aurangabad.
 Average area for the stores would be the same which is 1200 sq ft.

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REFERENCES

 www.misfits.com

 www.buzzintown.com

 www.chennai.metromela.com

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