1

Project Report
On
Marketing Strategies Adopted By
Big Bazar & Vishal Mega Mart

SUBMITTED TO THE HIMACHAL PRADESH UNIVERSITY

SUMMER HILL, SHIMLA FOR THE
PARTIAL FULFILLMENT OF THE DEGREE OF
MASTER OF COMMERCE
2024

SUPERVISED BY: SUBMITTED BY:

Dr. Shashi Kumar Rajeev Kumar
Assistance Professor MCom (4 th Sem.)
WRS Govt. College Dehri Roll No.-35220020443
Kangra-176022 Mob.- 9418924095

DEPARTEMENT OF COMMERCE (ICDEOL)

HIMAHAL PRADESH UNIVERSITY
(NAAC ACCREDITED ‘A’ GRADE UNIVERSITY)
SUMMER HILL, SHIMLA -176022
 2

PREFACE

Master of Commerce (MCom) course is one of the most reputed professional courses in the field of Commerce.
This course includes both theory & its applications as its content of Curriculum. The Research Project is an
integral part of the curriculum and its purpose is to provide the practical exposure of the business world in the
changing scenario. In this way it helps the student in development of practical skills and analytical thinking
process. It makes us more aware about the perceptions and tastes of the people of the corporate world. Thus it
helps in molding the students according to the requirements of the market. Each student is required to complete
a project in his or her choice of topic from the field of commerce during the course of his or her fourth semester
examination. The purpose of this project is to expose the students to the practical and research front of his or
her area of interest. The project gives a unique experience to aspirants who can visualize things that they have
studied during the course. I was fortunate enough to have the opportunity to do a research project on
“MARKETING STRATEGIES ADOPTED BY BIG BAZAR & VISHAL MEGA MART”. As a
complementary to Project, every student has to prepare and submit a report. It is an attempt to present practical
knowledge & observation gathered during the project.
 3
DEPARTEMENT OF COMMERCE
WRS GOVT. COLLEGE DEHRI
DISTRICT. KANGRA (HP)-176022

Dr. Shashi Kumar

Assistance Professor
Commerce Department
--------------------------------------------------------------------------------------------------------------------------- -----------

CERTIFICATE

Certified that the research report entitled “Marketing strategies adopted by Big Bazaar and Vishal Mega

Mart” Submitted in partial fulfillment of the requirement for the degree of Master of commerce is a good

record of bonafide research carried out by Rajeev Kumar under my supervision and guidance.

The data reported in it are genuine. The references and help taken from various sources have been duly

acknowledged. I forwarded this research report with the remarks that the work is original and worthy of

consideration for the award of Master of Philosophy in Commerce.

Date: ……………………. Dr. Shashi Kumar

Place: Dehri
 4

ACKNOWLEDGEMENT

I wish to express my sincere esteem thanks to our institution (ICDEOL) which provided me with this
opportunity of pursuing MCom through distance mode.

Along with the institution I also want to express my gratitude to my faculty members who help me with their
immense knowledge and their experience by taking online classes in each semester.

Last but not least I want to express my immense heartily thanks to Dr. Shashi Kumar, Assistant Professor at
WRS Govt. College Dehri Kangra (HP) who has been instrumental in making this project on “MARKETING
STRATEGIES OF BIG BAZAR & VISHAL MEGA MART “possible and successful.
 5

INDEX

CONTENT PAGE NO.

CHAPTER-1 Introduction of the Project 6

CHAPTER-2 Review of literature 25

CHAPTER-3 Research Methodology 29

CHAPTER-4 Data collection & Analysis 36

CHAPTER-5 Summary & Conclusion 55

CHAPTER-6 Findings of the Study 58

Suggestion 60

Bibliography 62

Appendix (Questionnaire) 63
 6

CHAPTER-1

Introduction of the Project

Introduction to Retailing sector

Retailing sector of India can be split into two segments. They are informal and formal retailing sector. The
informal retailing sector comprises small retailers. For this sector, it is very difficult to implement the tax laws.
There is widespread tax evasion. It is also cumbersome to regulate the labor laws in this sector. As far as formal
retailing sector is concerned, it is composed of large retailers. Stringent tax and labor laws are implemented in
this sector.

If the retail industry is divided on the basis of retail formats then it can be split into the modern format retailers
and the traditional format retailers. The modern format retailers comprise the supermarkets, Hypermarkets,
Departmental Stores, Specialty Chains and company owned and operated retail stores.

The traditional format retailers consist of Kiranas, Kiosks, Street Markets and the multiple brand outlets. The
retail industry can also be subdivided into the organized and the unorganized sector. The organized retail sector
occupies about 3 percent of the aggregate retail industry in India.

Size and contribution of the retail industry in India

“In terms of value, the Indian Retail industry is worth $300 billion. India’s retail industry is the largest industry,
with an employment of around 8 percent. Its contribution to the Gross Domestic Product (GDP) is about 10
percent, the highest compared to all other Indian Industries. The retail sector has also contributed to 8percent of
the employment of the country” (source: India Brand Equity Foundation) .
The organized retail sector is expected to triple its size by 2028. The food and grocery retail sector is expected
to multiply five times in the same time frame. The major reason behind the low participation in the Indian retail
sector is the need for lumpy investments that cannot match up their break even points. The government policies
are being revised from time to time to attract investments in this sector. ( source :BizMgmtEssays)

The Indian Retail Industry — Sky's the limit

 7
“In terms of the retail development index (RDI) India ranks fifth. In Asia it occupies the second position, next
to China. Among all the global markets, the Indian retail market is the most expanding. This is owing to
absence in restriction at the entry level. So the large foreign companies can reap the benefits of economies of
scale by entering the green retail fields of India. There are many reasons why the retail industry in India can
reach the zenith.” (Source: (Retail Asia) .
Firstly the organized retail sector in India has a very low contribution to the entire retail sector in the country.
Hence there is ample scope for the new players to achieve success in the backdrop of soaring disposable
income of the upcoming generation. Secondly, not only have the incomes increased but there has been a sea
change in the preferences of the consumers. These factors have acted as a stimulus for the ushering of foreign
players retailing in apparels, accessories, electronic appliances etc. Large shopping malls have already
mushroomed in the metropolitan cities. There still lies untapped potential in the Indian Retail Market. (Source:
(Economy Watch) (Policy Circle).
The size of the retail industry in an economy depends on many factors and the level of consumer spending is
the most important among these factors. The retail sector in India has grown by leaps and bounds in the last
five years. The reason behind this growth has been the synergy of many propellants. However the growth is not
always genuine as there are exaggerations as well. But these exaggerations also have benefits since they give a
feel of growing competition all around. Secondly the present situation is just a depiction of a nascent stage. The
future of the trajectory may not be as steep as it is now or may even slope downward. 'What will be the future
size of the retail industry' is the mind boggling question. Another moot point that will gain importance in due
time concerns the future of the unorganized retail market which constitutes a significant proportion of the
whole industry. The retail stores have proved to be a vantage point for the customers. This implies that the
small farmers who used to sell their product in the sabzi-mandis and on roadsides are going to lose a significant
market share as they can't employ the two profit maximizes-economies of scale and economies of scope.

Retailing in India the present scenario

The present value of the Indian retail market is estimated by the India Retail Report to be around Rs. 12,00,000
crore($270 billion) and the annual growth rate is 5.7 percent. Retail market for food and grocery with a worth
of Rs. 7, 43,900 crore is the largest of the different types of retail industries present in India. Furthermore
around 15 million retail outlets help India win the crown of having the highest retail outlet density in the world.
The contribution of retail sector to GDP has been manifested below:
COUNTRY Retail Sector’s share in GDP (in Percentage)
India 10
USA 10
China 8
Brazil 6
 8
Source: (Indian Mirror) (India Briefing).

It is stated that, retailing in India is superior to those of its contenders. Retail sector is a sunrise industry in India
and the prospect for growth is simply huge. There are many factors that have stimulated the rise of the
shopping centers and multiplex-malls in a jiffy. Some of them can be listed as follows:
❖ Rise in the purchasing power of Indians- the rise in the per capita income in the last few years has
been magnificent. This has led to the generation of insatiable wants of the upper and middle class. The
demand for new as well as second hand durables has risen throughout the country thus providing the
incentive for taking up retailing.
❖ Favorable to farmers- retailing has helped in removing the middlemen and has thus enhanced the
remuneration to farmers. This is a new revolution in the agricultural sector in India and will go a long
way in amending the condition of agriculture, a major concern among policy makers.
❖ Use of credit- a typical Indian is most conversant with using credit cards than carrying money. These
have led to a shift of the consumer base towards supermarkets and make the payments in the form of
credit.
❖ Comfortable Atmosphere- a visit to a retail store appears to be more soothing for the young generation.
People and kids prefer to shop in an air conditioned, tech savvy manner.

The retail industry is the second largest employer in India. It currently employs about 7 percent of the
total labor force in India. However only about 4.6 percent of the total retail trade is in the organized
sector. It generates about Rs.55, 000 crore ($12.4 billion). The major and minor players desperately
need to work hard in this direction so that next time the figures look more decent. The government must
also make an attempt to ameliorate the situation as political instability and infrastructure namely power
and roads are the major roadblocks in the path of smooth functioning of the market.( Source : (Maps of
India) (BizMgmtEssays)

Retail sectors in neighboring countries

China
China's retail sales rose by 2.3 percent year-on-year in April 2024, missing market forecasts of 3.8percent and
moderating from a 3.1percent growth in the prior period. It was the 15th straight month of increase in retail
trade but the softest gain in the sequence, highlighting challenges the central government faces in reviving
weak consumption by delivering various stimulus measures. Sales growth eased for grain and food oil (8.5
percent vs. 11.0 percent in March), home appliances (4.5 percent vs. 5.8 percent), and oil products (1.6 percent
vs. 3.5 percent). In addition, turnover fell for clothing (-2.0 percent vs. 3.8 percent, gold, silver, and jewelry (-
 9
0.1 percent vs. 3.2 percent), office supplies (-4.4 percent vs. -6.6 percent), car (-5.6 percent vs. -3.7 percent),
and building materials (-4.5 percent vs. 2.8 percent). By contrast, sales quickened for personal care (4.4 percent
vs. 3.5 percent), furniture (1.2 percent vs. 0.2 percent), and communications equipment (13.3 percent vs. 7.2
percent). On a monthly basis, retail trade was almost flat, edging up by 0.03 percent, after the prior 0.26 percent
gain. For the first four months of the year, retail turnover grew by 4.1 percent Retail Sales in China increased
2.30 percent in April of 2024 over the same month in the previous year.
Retail Sales year on year in China is expected to be 6.60 percent by the end of this quarter, according to
Trading Economics global macro models and analysts expectations. In the long-term, the China Retail Sales
year on year is projected to trend around 3.90 percent in 2025, according to our econometric models.

Japan
Retail sales in Japan rose 1.2 percent year-on-year in March 2024, slowing significantly from an upwardly
revised 4.7 percent gain in February and coming in way below market expectations for a 2.5 percent growth.
Still, it was the 25th consecutive month of expansion in retail sales as consumption in Japan continued a
healthy streak. Looking at the retail sector by industry, sales for machinery & equipment (8.1 percent and fuel
(8.1 percent) advanced the most, followed by department stores (6.1 percent), food & beverage (4.6 percent),
pharmaceuticals & cosmetics (3.9 percent), other retail products (3.6 percent) and non-store retailers (0.7
percent). Meanwhile, sales of automobiles (-15.9 percent) and textile, clothing & personal goods (-3.8 percent)
declined in March. On a monthly basis, retail sales declined 1.2 percent in March, reversing from a 1.5 percent
gain in February.

Retail Sales in Japan increased 1.20 percent in March of 2024 over the same month in the previous year.
Retail Sales Year on year in Japan is expected to be 1.90 percent by the end of this quarter, according to
Trading Economics Global Macro Models and analysts expectations. In the long-term, the Japan Retail Sales is
projected to trend around 3.00 percent in 2025, according to our econometric models.( Source :
https://tradingeconomics.com)

Retail Distribution in India

The distribution sector bridges the gap between the producer and consumer and thus forms a crucial link.
Distribution of retail in India has multiple dimensions. Its uniformity is difficult to decide and easy to argue.
Distribution in any sector is usually measured by the reach of its products to people. But in case of the retail
sector in India it also implies the dispersion among the organized and unorganized spheres. The question of
distribution hovers mainly around the intentions of private players to reach out to the less rich people. But the
point that has caught the public eye recently is the ambiguous mood of the beneficiaries and the chauvinist
government that produces civil service.
 10

Propagation of the retail sector

India's retail sector is on the brink of transformative growth, with projections indicating a substantial leap to $2
trillion within the next decade, as per a report jointly conducted by the Boston Consulting Group (BCG) and the
Retailers Association of India (RAI). This forecast marks a remarkable surge from the $820 billion valuation
recorded in 2023.
The report attributes this growth to a paradigm shift in consumer behavior, where preferences are tilting
towards experiential consumption such as travel and entertainment, over traditional product purchases. This
shift has notably influenced expenditure patterns over the past two years, prompting a re-evaluation of
consumer spending habits.
Despite encountering short-term challenges, including a recent dip in year-on-year growth and subdued
performance by some large retailers, the organized retail market in India has exhibited consistent growth
against the backdrop of broader economic dynamics. BCG notes that profitability has generally remained
consistent and aligned with global peers.
Since 2010, India's retail sector has experienced exponential growth, surging over 200 percent from a $250
billion valuation. This growth has been fueled by a burgeoning middle class and the entry of major
international fashion and food chains. (Source :(mint) (India Brand Equity Foundation) (InduQin).

Components of retail sector

The major components of the retail sector are Food and Grocery, Fast Moving Consumer Goods (FMCGs),
Consumer Durables, Apparel, Footwear and leather, Watches, Jeweler, and Health and Beauty The anatomy of
the retail market has shown that the clothing and textiles constitutes 39 per cent of the organized retail pie,
followed by food and grocery, which accounts for 11 percent of the total retail market.

Sales
Clothing &Textiles
Food & Grocery
Consumer Durables
Footwear
Furniture & Furnishing
Catering Services
Jewellery & Watches
Books Musics & Gifts
Mobile Handsets
 11

However, according to the survey conducted by KPMG for Federation of Indian Chamber of Commerce and
Industry (FICCI), among these, food and grocery is expected to witness the fastest growth followed by clothing
as the second- fastest growing segment.

INDIAN CONSUMERISM:-

The lifestyle and profile of the Indian consumer is going through a rapid transformation. The population of
India is young, energetic and full of enthusiasm. 50% of the Indian population is under the age of 25. There has
been a transition from price consideration to quality and design, as the focus of the customer has changed. The
upper and middle class population of today needs a good experience even if they have to spend a little more for
that. People are moving towards luxury and want to experiment with fashion and technology. There is an
increasing need for better apparels, cars, mobile phones and consumer durables.

The

food & grocery, clothing, consumer durables and books & music sectors are the major retail sectors. However,
unorganized small outlets largely control the sector. Hence there is tremendous potential for the organized
sector in various formats, such as hypermarkets, supermarkets, specialty stores, category killers and discount
chains
 12

Marketing Strategies

Marketing strategy is a method of focusing an organization's energies and resources on a course of action which
can lead to increased sales and dominance of a targeted market niche. A marketing strategy combines product
development, promotion, distribution, pricing, relationship management and other elements; identifies the
firm's marketing goals, and explains how they will be achieved, ideally within a stated time frame. Marketing
strategy determines the choice of target market segments, positioning, marketing mix, and allocation of
resources. It is most effective when it is an integral component of overall firm strategy, defining how the
organization will successfully engage customers, prospects, and competitors in the market arena. . As the
customer constitutes the source of a company's revenue, marketing strategy is closely linked with sales.
Source ((Corporate Finance Institute).)

Types of Strategies

Marketing strategies may differ depending on the unique situation of the individual business. However there
are a number of ways of categorizing some generic strategies. A brief description of the most common
categorizing schemes is presented below:
➢ Strategies based on market dominance - In this scheme, firms are classified based on their market share
or dominance of an industry. Typically there are four types of market dominance strategies:

● Leader
● Challenger
● Follower
● Nicher

➢ Porter generic strategies -

strategy on the dimensions of strategic scope and strategic strength. Strategic scope refers to the market
penetration while strategic strength refers to the firm’s sustainable competitive advantage. The generic
strategy framework (porter 1984) comprises two alternatives each with two alternative scopes. These
are Differentiation and low-cost leadership each with a dimension of Focus Broad or narrow.

● Product differentiation
● Market Segmentation

➢ Innovation strategies -
 13
This deals with the firm's rate of new product development and business model innovation. It asks
whether the company is on the cutting edge of technology and business innovation. There are three
types:

● Pioneers
● Close followers
● Late followers

➢ Growth strategies -
In this scheme we ask the question, “How should the firm grow?”. There are a number of different
ways of answering that question, but the most common gives four answers:

● Horizontal integration
● Vertical integration
● Diversification
● Intensification

DIVISION OF RETAILERS IN INDIA

The Indian retail industry can be divided into the Unorganized and Organized sectors. The “Unorganized Retail
Sector”, representing approximately 81 percent of the total retail industry, includes local Kirana shops,
independently operated general stores, convenience stores, and paan/beedi shops. On the other hand, the
“Organized Retail Sector” which accounts for 18 percent of the total retail industry, encompasses retail chains,
corporate-supported hypermarkets, privately owned large retail establishments and online e-commerce.

As per Kearney Research, India’s retail industry is projected to grow at 9 percent over 2026-2030, US$ 1,407
billion by 2026 and more than US$ 1.8 trillion by 2030.(Source : https://www.ibef.org/industry/retail-
india?trk=article-ssr-frontend-pulse_little-text-block
 14

Marketing Strategies of Big Bazaar

Big Bazaar, a household name in shopping in India, is a chain of retail stores, also known as a hypermarket.
Catering to every need in a typical family, Big Bazaar has certainly come a long way from its humble
beginnings of the launch of three stores in Hyderabad, Kolkata and Bangalore to about 300+ stores in over 120
cities and towns across the country.[9] In February 2022, Reliance Industries took control of over 200 Future group stores
and rebranded Big Bazaar as Reliance's Smart Bazaar Stores.

Big Bazaar is a chain of discount stores targeting the value conscious segment and has its headquarters in
Jogeshwari, Mumbai. Promoted by Kishore Biyani and owned by the Future Group, it has changed the way
Indians shop by providing a one stop for all needs kind of a hypermarket chain.

Big Bazaar is largely based on the fashion format of selling through retail chains and providing grocery and a
whole range of general merchandise, targeting a demographic including young working class and middle class
homemakers.

Retail is a fast growing sector in India and has a great deal of economic significance in the context of the India
GDP. It has helped boost investments and provided massive job opportunities to Indians.

Marketing Strategy of Big Bazaar analyzes the brand with the marketing mix framework which covers the 4Ps
(Product, Price, Place, Promotion). These business strategies, based on Big Bazaar marketing mix, help the
brand succeed in the market.

The product strategy and mix in Big Bazaar marketing strategy can be explained as
 15

The product in the marketing mix of Big Bazaar can be classified into the following categories

Apparels, Food, Farm Produce, Home and Personal Care and Chill Station. Apparels usually comprise denims
and t-shirts, fabrics and cut pieces, casual clothing, party clothing, ethnic wear, accessories, undergarments,
dress materials, saris and the likes. Big Bazaar offers food which comprises ready to eat, ready to cook
packages, spices, chilled drinks, tea and coffee etc. Farm products include vegetables, fruits, dairy products and
imported fruits/vegetables and luxury fruits.

Chill stations are at Big Bazaar offering soft drinks, packages of juices, milk and milk products, frozen foods
and ice creams. Home and personal care include detergents, soaps, creams, deodorants, plastic products and
crockery. Other than this Big Bazaar also offers Electronics, Fashion and Jewellery items and Kids and Child
products.

Big Bazaar Pricing Strategy

The pricing strategy in Big Bazaar marketing strategy: Big Bazaar has always endeavored to strike a good

balance between profitability and value pricing of its products. Since major target audiences for Big Bazaar
comprises middle class homemakers, value for money and competitive pricing is the strategy adopted.

This in conjunction with multiple offers, sales, special discounts, and season offs etc make purchasing from Big
Bazaar lucrative. Besides this Big Bazaar also offers certain goods at low interest rates and uses psychological
models of pricing as well as differential and bundling price strategies. Hence, the pricing strategy in the
marketing mix of Big Bazaar is not solely dependent upon competition and regulatory authorities.
 16

Big Bazaar Place & Distribution Strategy

Big Bazaar’s strategy of correctly identifying areas which have high potential development and growing
purchasing power and invests in real estate for the opening of their retail stores. These are usually areas high in
population and traffic movement. Their Express format has an area of roughly 15-18000 square feet; their
hypermarkets usually have an area of 40-45000 square feet while the super centers have up to 1 lakh square
feet. Big Bazaar currently has 100+ stores spread across 34 cities. There are plans of expanding stores to other
tier 2 cities with an infusion of Rs 350 crore.

Big Bazaar Promotion & Advertising Strategy

The promotional and advertising strategy in the Big Bazaar marketing strategy

Big Bazaar is known for promoting its products in very catchy, easy to remember ways using memorable punch
lines. For below the line promotion, they offer discounts and coupons along with money back guarantees and
 17
several exchange offers. For Above the line promotion Big Bazaar runs advertising campaigns on television
and radio while also publishing print ads in newspapers and magazines, besides online promotion. Hence the
promotional strategy in the marketing mix of Big Bazaar is mostly a 360 branding technique.

Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Big
Bazaar.

People

Very well trained and knowledgeable staff assists people in purchasing the right things which Big bazaar has in
spades (roughly 10,000 employees). The people strategy in the marketing of Big Bazaar is primarily having the
right people trained in the right way to serve the customers. The uniform and overall grooming, smartness of
their employees helps achieve a professional outlook implying that they mean business and are serious about
the choices that their customers make through assists. Baggage counters and security guards also help check
foul play and ensure safety.

Process

From the free delivery of goods purchased for over Rs 1000 to streamlining of the cash counter processes
through technological application and more efficient queuing systems in place, Big Bazaar realizes the
importance processes play in the sale of merchandise and understands the implications this has on customer
retention and satisfaction.

Physical Evidence
Big Bazaar prominently displays tags/name slips and readouts for all its products and merchandise. This helps
in better search and navigation and reduces buyer purchase time, thereby generating more profits. The stocking
of goods is done systematically and in proper stacks so as to make them visually appealing. Thus, all this
provides an overview on the marketing mix of Big Bazaar.

Popular Brands of Big Bazaar Are

Big Bazaar, one of India's largest retail chains, offers a wide variety of products across several categories. Here
are some popular brands typically found in Big Bazaar:

Food and Beverages

1. Amul - Dairy products like milk, butter, cheese, and ice cream.
2. Nestlé - Packaged foods including chocolates, coffee, and baby food.
3. Parle - Biscuits, snacks, and confectionery.
 18
4. Britannia - Biscuits, bread, cakes, and dairy products.
5. Haldiram's - Sweets and snacks.

Personal Care

1. Himalaya - Herbal health and personal care products.

2. Dove - Skincare and haircare products.
3. Patanjali - Ayurvedic and herbal products.
4. Nivea - Skincare products.
5. Colgate - Oral care products.

Home Care

1. Vim - Dishwashing products.

2. Surf Excel - Laundry detergents.
3. Lizol - Disinfectant cleaners.
4. Dettol - Antiseptic products and disinfectants.
5. Godrej - Home care and insect control products.

Apparel and Accessories

1. Pantaloons - Clothing for men, women, and children.

2. Levi's - Denim and casual wear.
3. Van Heusen - Formal and casual wear.
4. Allen Solly - Casual and formal apparel.
5. Biba - Ethnic wear for women.

Electronics

1. Samsung - Smartphones, TVs, and home appliances.

2. LG - Home appliances and electronics.
3. Sony - Televisions, audio systems, and cameras.
4. Philips - Personal care gadgets and home appliances.
5. Prestige - Kitchen appliances and cookware.

Health and Wellness

1. Horlicks - Health drinks.

2. Boost - Nutritional beverages.
3. Ensure - Nutritional supplements.
4. Dabur - Ayurvedic health products.
 19
5. Zandu - Ayurvedic medicines and supplements.

These brands cover a broad spectrum of consumer needs, making Big Bazaar a one-stop shop for various
products. Note that the availability of specific brands may vary depending on the location and store size.

Marketing Strategies of Vishal Mega Mart

Vishal Retail Ltd. has a solid nearness in assembling and retailing of readymade pieces of clothing (array);
retailing of non - attire and a huge assortment of FMCG items. The gem in Vishal Group's crown is its lead
organization Vishal Retail Ltd., an organization occupied with hyper advertise stores with a normal zone of
25,000 to 30,000 sq. ft. through a noteworthy chain of 172 completely incorporated stores in spread over the
zone of more than 24, 00,000 sq. ft. in around 129 urban communities crosswise over India in 24 states. The
turnover of the organization for 09-10 was 1105 Crore. Keeping up the most elevated guidelines in quality and
outline, these stores have come to offer the finest design pieces of clothing at rational value structure. It
additionally has 29 distribution centers situated in 9 center urban areas in India covering more than 1,053,066
square feet region.

It began as a retailer of instant attire in Kolkata in 2001. At the season of consolidation, the enrolled office of
the company was arranged at 4, R. N. Mukherjee Road, Kolkata 700 001. In 2003, it obtained the assembling
offices from Vishal Fashions Private Limited and M/s Vishal Apparels. It takes after the idea of significant
worth retail in India. At the end of the day, their business approach is to offer quality merchandise at sensible
costs by either producing them self or straightforwardly acquiring from makers (principally from little and
medium size merchants and makers). It encourages one-stop-shop comfort for their clients and to take into
account the requirements of the whole family.. The adventure of Vishal Group goes back to 2001 when its
executives predicted the rising possibilities in the retail business which is to be sure the biggest segment in the
worldwide economy. Guzzling its imaginative ideas and strategies the Group recognized the incomprehensible
extent of development in retailing for the regular man.

➢ Marketing helps to define the business for the customer's interests, not your own. It is the
process of learning what customers want or need and determining how to satisfy those
wants or needs. It is also used to confirm whether the customer reacted to a marketing
program as expected. The benefits of market research include:

Learning who your customers are and what they want.

Learning how to reach your customers and how frequently you should try to communicate
with them.

Learning which advertising appeals are most effective and which ones get no response.
 20
Learning the relative success of different marketing strategies, thus improving return on
investment.
Learning how not to repeat your mistakes.

Vishal Mega Mart has been the pioneer of the retail revolution. Its first fight was against local
‘Kirana’ stores. The task was to change the mindset of consumers to bring about changes in their
shopping patterns. It wanted people to do bulk shopping for their monthly ration instead of going
to the shop each week.

The various marketing strategies adopted by Vishal Mega Mart are:

Product

Vishal Mega Mart offers a wide range of products which starts from apparels to food items, footwear to
home furnishing, crockery to sport items, child care products to toys, watches, drinks etc. There are many
in-house brands promoted by Vishal Mega Mart. In pursuance of their business plan to diversify their
portfolio of offerings, FMCG products play a key role. FMCG products are usually meant to fulfill the
daily needs of consumers and therefore, VRPL believe retailing of FMCG products will bring customers
to their stores on a frequent basis and this may in-turn lead to consumption of their apparels. VRPL have
a number of private labels for apparels such as Zeppelin, Paranoia, Chlorine, Kitaan Studio, Famenne,
Fleurier Women and Roseau.

Price

Vishal Mega Mart promises its consumers the lowest available price. The concept of psycholog ic-al
discounting (Rs. 99, Rs. 49, etc.) is used as a promotional tool. Vishal Mega Mart also caters on Special Event
Pricing (Close to Diwali, Christmas, and New Year etc.). Selling combo- packs and offering discounts to
 21
customers. The combo-packs add value to customers. Through Bundling, they also reduced the price of the
products. The efforts of VRPL’s retail business are targeted towards families having total income which can be
classified under the “lower middle” and “middle” income groups. VRPL follows uniform pricing policy across
their stores in respect of private labels and non-branded products sold by them. This enhances brand loyalty,
encourages customer confidence and results in operational convenience. In relation to the other products, the
prices may vary between stores on account of state-specific taxation and vendor policies.

Place

Vishal Mega-mart stores are located in 129 cities with 172 outlets. VMM has a presence in almost all the major
Indian cities. They are aggressive on their expansion plans. Vishal Retail targets cities with urban population of
1 million people or above or can be classified as Tier-2 and Tier-3 cities. In Tier-1 cities, the company opens
retail outlets on the outskirts, rather than the prime area. Its target market includes people with middle income
and lower income levels. This enables the company to overcome competition to some extent due to its first
mover advantage.

Promotion

Advertising has played a crucial role in building the brand. Vishal Mega Mart advertisements are mainly seen
in print media i.e. newspapers, Television with Tina Parekh as their in advertisement, and sometime road-side
bill-boards.

VRPL’s category management system is used to plan promotional schemes. They launch promotional schemes
weekly. Apart from general sales promotion, the category manager formulates promotional plans for ‘slow
movers’. In addition, to promote sales, they focus on layout of the stores and positioning, presentation and
display of merchandise, in order to appeal to the customer. In addition, VRPL have introduced, in association
with SBI Cards & Payment Services Private Limited,a co-branded credit card. VRPL propose to
 22
continuously undertake such initiatives to increase the satisfaction of their customers. Vishal Mega-mart started
many new and innovative cross-sell and up-sell strategies in the Indian retail market. The various promotion
techniques used at VMM include:-5 Din Ki Maha Bachat-2 din Ki Maha Loot-Dhan-teras Dhamaal-Great
Savings-Vishal Mega Mart Gift Voucher Rs. 1000.-25 percent Off On All Items – Every Month-Discount
Offers At Various Festive occasions-Grand Winter Sale – 50% & 60% discount for 2 days-Paise Bachao
Aandolan – 9 Din Ki Maha Loot-Vishal Reward Plus: Consumers can make purchases at any store and
accumulate points at a central level. These points are redeemable at any of our stores.-Cross category
promotions are now catching up where discounts are being offered on grocery purchases, redeemable against
purchase of apparel and household products.

People

Vishal Retail has been established by Mr. Ram Chandra Agarwal, a first generation entrepreneur. He has been
instrumental in expanding the business from an apparel store in Kolkata to 82 value retail stores with pan- India
presence. The salient features of staff of VMM are : monthly, weekly & daily sales targets are communicated to
the staff & efforts are made to consistently achieve the set targets.-Employees are motivated to think out-of-the-
box. Retail sector is in a growth stage, so staff is empowered to take innovative steps.-Multiple counters for
payment, staff at stores to keep baggage and security guards at every gate, makes for a customer-friendly
atmosphere. VMM motivates & retains store staff & maintains a positive work environment. -Well-dressed
staff improves the overall appearance of the store.

Process

VMM adopted the business model to run their activities smoothly. This process includes four steps as follows:
Manufacturing Capacity; Strong Logistics; Products; Retailing The goods' dispatch and purchasing area has
certain salient features which include: --Multiple counters with trolleys to carry the items purchased.-Proper
display / posters of the place like (Kids Wear, Grocery, and Stationary etc.).-Home delivery counters to be
started soon.-Three Layer Security Checks.-No. Of Parallel Billing Counter -Retail Exchange Software
Solution – PRIL-Integrated With SAP & ERP.

Physical Evidence

It deals with the final deliverable or the display of written facts. This includes the current system and available
facilities.-Infrastructure-Stand Alone Commercial Building-Clean, Air- conditioned outlet-Equipment –
computer, BCR, Desk etc State of Art.
 23
Strong understanding of the ‘value retail’ segment:-

VRPL’s business plan involves implementation of the concept of ‘value retailing’, targeting the middle and
lower middle income groups, which constitute the majority of the population in India. VRPL intends to provide
quality products at competitive prices. VRPL sells a vast range of merchandise across apparels and accessories,
FMCG products, food products and consumer durables. VRPL’s emphasis has been to maximize the value that
the customers derive in spending on goods bought in their stores. VRPL endeavor to continuously reduce their
costs through a variety of measures, such as, in-house production of apparels, procurement of goods directly
from the small and medium size vendors and manufacturers, efficient logistics and distribution systems along
with customized product mix at their stores depending on the regional customer behavior and preferences.
Central to their value retail strategy is to pass on the benefits of cost reduction measures to their customers.

Product Categories-

Vishal Mega Mart, another prominent retail chain in India, offers a variety of products across different
categories. Here are some popular brands that are commonly available in Vishal Mega Mart:

Food and Beverages

1. Maggie - Instant noodles and other food products.

2. Tata Salt - Various types of salt.
3. Lay’s - Potato chips and snacks.
4. Cadbury - Chocolates and confectionery.
5. Mother Dairy - Dairy products including milk, butter, and yogurt.

Personal Care

1. Dove - Skincare and haircare products.

2. Patanjali - Ayurvedic and herbal personal care products.
3. L'Oréal - Haircare and skincare products.
4. Lifebuoy - Soaps and hygiene products.
5. Himalaya - Herbal health and personal care products.

Home Care

1. Surf Excel - Laundry detergents.

2. Harpic - Toilet cleaners.
3. Lizol - Floor cleaners.
 24
4. Vim - Dishwashing products.
5. Dettol - Disinfectants and antiseptic products.

Apparel and Accessories

1. Wrangler - Denim and casual wear.

2. Pepe Jeans - Denim and fashion apparel.
3. Monte Carlo - Winter wear and casual clothing.
4. Peter England - Formal and casual apparel.
5. Biba - Ethnic wear for women.

Electronics

1. Philips - Home appliances and personal care gadgets.

2. Bajaj - Electrical appliances and home appliances.
3. Prestige - Kitchen appliances and cookware.
4. Usha - Sewing machines and home appliances.
5. Panasonic - Electronics and home appliances.

Health and Wellness

1. Horlicks - Health drinks and nutritional supplements.

2. Complan - Nutritional drinks.
3. Revital - Health supplements.
4. Dabur - Ayurvedic health products and supplements.
5. Zandu - Ayurvedic medicines and health supplements.

These brands offer a wide range of products, catering to various consumer needs, making Vishal Mega Mart a
convenient shopping destination. Availability of specific brands and products may vary based on location and
store inventory.
 25

CHAPTER -2

REVIEW OF LITERATURE

1. Evolution of Retail Marketing in India

In the context of Indian retail, the evolution of marketing strategies has been substantial. According to Singh
and Pandey (2018), the retail landscape in India has transformed significantly over the past few decades, with
large retail chains like Big Bazaar and Vishal Mega Mart playing a pivotal role. These stores have adopted
various marketing strategies to attract a diverse customer base, ranging from competitive pricing to extensive
promotional campaigns.

2. Pricing Strategies

Jain and Sinha (2019) highlight the importance of pricing strategies in the competitive retail sector. Big Bazaar
is known for its aggressive discounting and promotional events like the 'Sabse Saste Din' sale, which attracts a
large number of customers. Vishal Mega Mart, on the other hand, focuses on everyday low pricing to maintain
a steady flow of customers. Both strategies aim to increase footfall and sales volumes.

3. Promotional Campaigns

Promotional campaigns are a cornerstone of Big Bazaar's marketing strategy. According to Kumar and Sharma
(2020), Big Bazaar invests heavily in advertising through various media channels, including television, radio,
and digital platforms. Their campaigns often highlight the value for money and variety of products available.
Vishal Mega Mart also employs promotional tactics but with a focus on local advertising and in-store
promotions to engage customers.

4. Store Ambience and Layout

The store layout and ambience significantly influence consumer behavior. Gupta and Roy (2017) examined the
impact of store ambience on customer satisfaction. Big Bazaar stores are designed to offer a hypermarket
experience with wide aisles and clearly marked sections, enhancing the shopping experience. Vishal Mega
Mart, while maintaining a simpler layout, ensures that its stores are easy to navigate, catering to customers
looking for a quick and convenient shopping trip.
 26
5. Customer Loyalty Programs

Customer loyalty programs are crucial for retaining customers in a competitive market. Big Bazaar's 'Profit
Club' membership offers various benefits, including discounts and exclusive offers, which encourage repeat
purchases (Saxena, 2018). Vishal Mega Mart has also introduced loyalty programs that provide similar
benefits, aiming to build a loyal customer base through consistent rewards.

6. E-commerce Integration

With the rise of e-commerce, both Big Bazaar and Vishal Mega Mart have integrated online shopping options
to complement their physical stores. Sharma and Patel (2021) discuss how Big Bazaar's integration with the
Future Group's e-commerce platform has expanded its reach beyond physical stores. Vishal Mega Mart has also
ventured into the online space, offering customers the convenience of home delivery and online exclusive
deals.

7. Target Market and Segmentation

The target market and segmentation strategies of these retail giants are critical to their success. Big Bazaar
primarily targets middle-class families with a wide range of products from groceries to fashion (Das, 2019).
Vishal Mega Mart focuses on value-conscious customers, providing affordable products across categories. Both
retailers segment their markets based on demographics and purchasing behavior to tailor their marketing
strategies effectively.

8. Technological Adoption

Technological advancements play a significant role in modern retail marketing. According to Verma and
Chauhan (2020), Big Bazaar has implemented advanced POS systems, CRM software, and inventory
management tools to streamline operations and enhance customer experience. Vishal Mega Mart has also
adopted similar technologies, focusing on improving operational efficiency and customer service.

9. Community Engagement and CSR

Corporate Social Responsibility (CSR) and community engagement are integral to the marketing strategies of
Big Bazaar and Vishal Mega Mart. Srivastava (2018) notes that Big Bazaar engages in various CSR activities,
such as supporting education and healthcare initiatives. Vishal Mega Mart also participates in community
welfare programs, enhancing its brand image and fostering customer loyalty.
 27
10. Competitive Analysis

Understanding the competitive landscape is crucial for both Big Bazaar and Vishal Mega Mart. Mehta and
Kapoor (2021) provide a comparative analysis of these retailers, highlighting how Big Bazaar's extensive
network of stores and diverse product range give it a competitive edge. Vishal Mega Mart, while smaller in
scale, leverages its cost-effective operations and localized marketing strategies to compete effectively.

11. Customer Perception and Brand Image

Customer perception and brand image significantly influence the success of retail marketing strategies.
According to Nath and Bhattacharya (2019), Big Bazaar is perceived as a family-friendly store offering good
value for money. Vishal Mega Mart is seen as a budget-friendly option, particularly popular among lower and
middle-income groups. Both brands focus on building a positive image through consistent quality and customer
service.

12. Future Trends in Retail Marketing

Future trends in retail marketing indicate a shift towards more personalized and technology-driven approaches.
Singh and Kaur (2022) predict that Big Bazaar and Vishal Mega Mart will continue to invest in data analytics
and AI to understand customer preferences better and tailor their marketing efforts accordingly. The integration
of augmented reality (AR) and virtual reality (VR) in the shopping experience is also on the horizon, promising
to enhance customer engagement.

References

 Das, P. (2019). Target Market and Segmentation Strategies in Retail. Journal of Retail Marketing,
15(3), 112-128.
 Gupta, R., & Roy, S. (2017). Store Ambience and Customer Satisfaction in Retail Stores. Journal of
Retail Studies, 9(2), 89-103.
 Jain, A., & Sinha, R. (2019). Pricing Strategies in the Indian Retail Sector. Indian Journal of Marketing,
23(4), 65-78.
 Kumar, V., & Sharma, N. (2020). Promotional Campaigns in Retail Marketing. Journal of Advertising
Research, 12(1), 45-59.
 Mehta, S., & Kapoor, A. (2021). Competitive Analysis of Retail Chains in India. International Journal
of Retail Management, 18(2), 156-174.
 Nath, R., & Bhattacharya, M. (2019). Customer Perception and Brand Image in Indian Retail. Journal of
Consumer Behavior, 14(1), 23-37.
 Saxena, P. (2018). Customer Loyalty Programs in Retail. International Journal of Business and
Management, 11(6), 97-109.
 28
 Sharma, K., & Patel, D. (2021). E-commerce Integration in Traditional Retail. Journal of Digital
Commerce, 10(4), 122-137.
 Singh, A., & Pandey, R. (2018). Evolution of Retail Marketing in India. Journal of Business History,
7(3), 150-172.
 Singh, R., & Kaur, P. (2022). Future Trends in Retail Marketing. Journal of Retail Innovation, 13(1), 1-
19.
 Srivastava, S. (2018). Community Engagement and CSR in Retail. Journal of Corporate Responsibility,
6(2), 78-90.
 Verma, S., & Chauhan, A. (2020). Technological Adoption in Retail: A Case Study. Journal of
Technology Management, 16(2), 203-219.
 29

CHAPTER -3

RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the research problem. When we talk about research
methodology we not only talk of research methods but also consider the logic behind the method we use in the
context of our research results are capable of being evaluated either by the researcher himself or by others.

The purpose of this section is to describe the methodology carried out to complete the work. The methodology
plays a dominant role in any research work. The effectiveness of any research work depends upon the
correctness and effectiveness of the research methodology.

This section deals with research design used, data collection, methods used and sampling methods used.

Objectives of Study

1. To Study the promotional strategies of BIG BAZAR & VISHAL MEGA MART.

2. To study the challenges and future prospects of BIG BAZAR & VISHAL MEGA MART.

3. To study the different Brand offerings by BIG BAZAR & VISHAL MEGA MART.

4. To study the distribution strategies of BIG BAZAR & VISHAL MEGA MART.

Scope of study

This project gave us great exposure to the customer’s perception of the marketing strategies adopted by the Big
Bazar & Vishal mega mart because it includes the service offered by them. The study also identifies the
attitudes and preferences of the consumers. The study also focused on Media through which the product
reaches the consumers .This project helped us in knowing the market practically.

Limitation of the study

Although it would have been nice to conduct a perfect research study, this study is conducted under certain
limitations, which were faced while doing this research. So it is highly recommended to consider these
limitations while going through the project study. These limitations are

 The statistical data regarding the city was not available to us on secondary source of data and to
generate such data on the primary source was a task, which cannot be achieved in such a short time.
 30
 The respondents did not reply to the question with precision as they were busy with their own work or
they were not interested in taking part in such a research. Employees sometimes hesitate while telling
their view about their marketing strategies.

 The respondents did not reply to the question with precision as they were busy with their own work or
they were not interested in taking part in such a research. Employees sometimes hesitate while telling
their view about their marketing strategies.

 The research has been conducted for VISHAL MEGA MART (PATHANKOT) & BIG
BAZAAR(NOVELTY MALL, PATHANKOT) but not all their retail outlets have been covered
therefore it has been mentioned that the research has been conducted in a limited area.

 The sample size taken of the respondents is small therefore a very rough picture of their marketing
strategies has been generated therefore this limitation has to be considered in the study.

These limitations were very common and yet we came across these with a positive note and the
subsequent chapters in this report shall explain the rationality behind the structural compilation.

RESEARCH DESIGN

A research design specifies the methods and procedures for conducting a particular research. According to Ker
linger “Research design is a plan, structure and strategy of investigation conceived so as to obtain answers to
research questions and have to control variance.”

MY RESEARCH DESIGN

I have chosen descriptive research design for the study because I am interested in knowing the marketing
strategies adopted by Big Bazar & Vishal mega mart To accomplish the predefined objectives of the research,
descriptive research design is used to collect the required information from the sources. It’s a fact finding
approach generalizing a cross sectional study of the present situation.

DESIGNING THE QUESTIONNAIRE

Structured questionnaires and observation methods have been used to conduct the research.

SAMPLING METHOD

Specific sampling method was used to collect the data from the respondents because sample size is large.
Customers & employees of Big Bazar & Vishal mega mart were selected for the survey.

SAMPLING UNIT

The data was collected from the Customers & employees by questionnaire and observation method in the Big
Bazar (NOVELTY MALL, PATHANKOT) & Vishal mega mart (PATHANKOT)

SAMPLE SIZE

The data were collected from:

 31
 50 customers
 10 employees

DATA COLLECTION

There are two major methods of data collection:

❖ Primary data

❖ Secondary data

Primary data collection is used when there is a need for collecting first hand data. In such cases, no
adequate and usable data is available to the researcher.

Secondary data collection is used where adequate and usable data is available to researchers.

Primary data collection by one person may become secondary data for another.

In my research study I have used both primary as well as secondary data collection methods. For
primary data observation method is used, and for secondary data the sources used are books, journals,
magazines and Internet.

DATA ANALYSIS

All the recommendations in this project have been suggested keeping in mind the thorough analysis of
all the steps in the recruitment process.

DATA COLLECTION METHOD

The method used for the survey process is through questionnaires.

 32

CUSTOMER RELATIONSHIP MANAGEMENT

INTRODUCTION

Customer relationship management (CRM) is a widely implemented model for managing a company‘s
interactions with customers, clients, and sales prospects. It involves using technology to organize, automate,
and synchronize business processes—principally sales activities, but also those for marketing, customer
service, and technical support. The overall goals are to find, attract, and win new clients; nurture and retain
those the company already has; entice former clients back into the fold; and reduce the costs of marketing and
client service. Customer relationship management describes a company-wide business strategy including
customer-interface departments as well as other departments. Measuring and valuing customer relationships
is critical to implementing this strategy.

Benefits of Customer Relationship Management

A Customer Relationship Management system may be chosen because it is thought to provide the following
advantages:

Quality and efficiency

Decrease in overall costs

Challenges

Successful development, implementation, use and support of customer relationship management systems
can provide a significant advantage to the user, but often there are obstacles that obstruct the user from using
the system to its full potential. Instances of a CRM attempting to contain a large, complex group of data can
become cumbersome and difficult to understand for ill-trained users. The lack of senior management
sponsorship can also hinder the success of a new CRM system. Stakeholders must be identified early in the
process and a full commitment is needed from all executives before beginning the conversion. But the
challenges faced by the company will last longer for the convenience of their customers.

Additionally, an interface that is difficult to navigate or understand can hinder the CRM‘s effectiveness, causing
users to pick and choose which areas of the system to be used, while others may be pushed aside. This
fragmented implementation can cause inherent challenges, as only certain parts are used and the system is
not fully functional. The increased use of customer relationship management software has also led to an
industry-wide shift in evaluating the role of the developer in designing and maintaining its software. Companies
are urged to consider the overall impact of a viable CRM software suite and the potential for good or bad in its
use.
 33
Complexity Tools and workflows can be complex, especially for large businesses. Previously these tools were
generally limited to simple CRM solutions which focused on monitoring and recording interactions and
communications. Software solutions then expanded to embrace deal tracking, territories, opportunities, and
the sales pipeline itself. Next came the advent of tools for other client-interface business functions, as
described below. These tools have been, and still are, offered as on-premises software that companies
purchase and run on their own IT infrastructure.

Poor usability

One of the largest challenges that customer relationship management systems face is poor usability. With a
difficult interface for a user to navigate, implementation can be fragmented or not entirely complete

. The importance of usability in a system has developed over time. Customers are likely not as patient to work
through malfunctions or gaps in user safety, and there is an expectation that the usability of systems should be
somewhat intuitive: ―it helps make the machine an extension of the way I think — not how it wants me to
think

An intuitive design can prove most effective in developing the content and layout of a customer relationship
management system. Two 2008 case studies show that the layout of a system provides a strong correlation to
the ease of use for a system and that it proved more beneficial for the design to focus on presenting
information in a way that reflected the most important goals and tasks of the user, rather than the structure of
the organization. This ―ease of service‖ is paramount for developing a system that is usable.

In many cases, the growth of capabilities and complexities of systems has hampered the usability of a
customer relationship management system. An overly complex computer system can result in an equally
complex and non-friendly user interface, thus not allowing the system to work as fully intended. This bloated
software can appear sluggish and/or overwhelming to the user, keeping the system from full use and potential.
A series of 1998 research indicates that each item added to an information display can significantly affect the
overall experience of the user.

Fragmentation

Often, poor usability can lead to implementations that are fragmented — isolated initiatives by individual
departments to address their own needs. Systems that start disunited usually stay that way: [soloed thinking]
and decision processes frequently lead to separate and incompatible systems, and dysfunctional processes.

A fragmented implementation can negate any financial benefit associated with a customer relationship
management system, as companies choose not to use all the associated features factored when justifying the
investment. Instead, it is important that support for the CRM system is companywide. The challenge of
fragmented implementations may be mitigated with improvements in late-generation CRM systems.

Business reputation

Building and maintaining a strong business reputation has become increasingly challenging. The outcome of
internal fragmentation that is observed and commented upon by customers is now visible to the rest of the
world in the era of the social customer; in the past, only employees or partners were aware of it. Addressing
the fragmentation requires a shift in philosophy and mindset in an organization so that everyone considers the
 34
impact to the customer of policy, decisions and actions. Human response at all levels of the organization can
affect the customer experience for good or ill. Even one unhappy customer can deliver a body blow to a
business.

Some developments and shifts have made companies more conscious of the life-cycle of a customer
relationship management system. Companies now consider the possibility of brand loyalty and persistence of
its users to purchase updates, upgrades and future editions of software.

Additionally, CRM systems face the challenge of producing viable financial profits, with a 2002 study
suggesting that less than half of CRM projects are expected to provide a significant return on investment. Poor
usability and low usage rates lead many companies to indicate that it was difficult to justify investment in the
software without the potential for more tangible gains.

Security, privacy and data security concerns

One function of CRM is to collect information about clients. It is important to consider the customers' need for
privacy and data security. Close attention should be paid to relevant laws and regulations. Vendors may need
to reassure clients that their data not be shared with third parties without prior consent, and that illegal access
can be prevented.

A large challenge faced by developers and users is found in striking a balance between ease of use in the
CRM interface and suitable and acceptable security measures and features. Corporations investing in CRM
software do so expecting a relative ease of use while also requiring that customer and other sensitive data
remain secure. This balance can be difficult, as many believe that improvements in security come at the
expense of system usability.

Research and study show the importance of designing and developing technology that balances a positive
user interface with security features that meet industry and corporate standards. A 2002 study shows,
however, that security and usability can coexist harmoniously. In many ways, a secure CRM system can
become more usable.

Researchers have argued that, in most cases, security breaches are the result of user-error (such as
unintentionally downloading and executing a computer virus). In these events, the computer system acted as it
should in identifying a file and then, following the user‘s orders to execute the file, exposed the computer and
network to a harmful virus. Researchers argue that a more usable system creates less confusion and lessens
the amount of potentially harmful errors, in turn creating a more secure and stable CRM system.

Technical writers can play a large role in developing content management systems that are secure and easy
to use. A series of 2008 research shows that CRM systems, among others, need to be more open to flexibility
of technical writers, allowing these professionals to become content builders. These professionals can then
gather information and use it at their preference, developing a system that allows users to easily access
desired information and is secure and trusted by its users.

Customer service and support

CRM software provides a business with the ability to create, assign and manage requests made by customers.
An example would be Call Center software which helps to direct a customer to the agent who can best help
 35
them with their current problem. Recognizing that this type of service is an important factor in attracting and
retaining customers, organizations are increasingly turning to technology to help them improve their clients‘
experience while aiming to increase efficiency and minimize costs. CRM software can also be used to identify
and reward loyal customers who in turn will help customer retention. Even so, a 2009 study revealed that only
39% of corporate executives believe their employees have the right tools and authority to solve client
problems.

Analytics

Relevant analytics capabilities are often interwoven into applications for sales, marketing, and service. These
features can be complemented and augmented with links to separate, purpose built applications for analytics
and business intelligence. Sales analytics let companies monitor and understand client actions and
preferences, through sales forecasting and data quality.

Marketing applications generally come with predictive analytics to improve segmentation and targeting, and
features for measuring the effectiveness of online, offline, and search marketing campaigns. Web analytics
have evolved significantly from their starting point of merely tracking mouse clicks on Web sites. By evaluating
―buy signals,‖ marketers can see which prospects are most likely to transact and also identify those who are
bogged down in a sales process and need assistance. Marketing and finance personnel also use analytics to
assess the value of multifaceted programs as a whole.

These types of analytics are increasing in popularity as companies demand greater visibility into the
performance of call centers and other service and support channels, in order to correct problems before they
affect satisfaction levels. Support-focused applications typically include dashboards similar to those for sales,
plus capabilities to measure and analyze response times, service quality, agent performance, and the
frequency of various issues.
 36

CHAPTER -4

DATA COLLECTION AND ANALYSIS

CRM POLICY OF BIG BAZAAR

Report on Customer Relationship Management (CRM) at Big Bazaar, Pathankot

Date of Visit: May 26, 2024

Location: Big Bazaar Outlet, Novelty Mall Pathankot

Objective: To evaluate the Customer Relationship Management (CRM) practices implemented at the Big
Bazaar outlet in Pathankot and understand how these practices enhance customer satisfaction and loyalty.

Introduction
Customer Relationship Management (CRM) is a strategic approach that Big Bazaar uses to manage interactions
with current and potential customers. The Pathankot outlet, part of India’s leading retail chain, aims to provide
an exceptional shopping experience through effective CRM strategies.

Methodology
During the visit to the Big Bazaar outlet in Pathankot, the following methods were employed to gather
information:

● Observation: Noting the in-store customer service, the layout, and the interaction between staff and
customers.
● Interviews: Conversations with store managers, employees, and customers to understand their
perspectives on CRM practices.
● Documentation Review: Examination of promotional materials, loyalty program details, and digital
interfaces (such as the Big Bazaar app).
 37
Big Bazaar, a popular Indian retail chain, places significant emphasis on building and maintaining strong
customer relationships. The customer relationship policy of Big Bazaar can be outlined in several key
components:

1. Customer-Centric Approach

Big Bazaar focuses on putting the customer at the center of all its operations. This approach involves
understanding customer needs, preferences, and feedback to tailor services and products accordingly.

2. Loyalty Programs

Big Bazaar operates the "Profit Club" and "Future Pay" loyalty programs designed to reward repeat customers:

 Profit Club: Customers can join the Profit Club by paying an upfront fee, which gives them a fixed
amount of shopping credit to be used over a specified period. This encourages repeat visits and ensures
long-term customer engagement.
 Future Pay: This is a digital wallet that allows customers to earn and redeem points across various
Future Group stores, including Big Bazaar. It simplifies transactions and offers discounts and cashback
on purchases.

3. Promotional Campaigns and Discounts

Big Bazaar frequently runs promotional campaigns, sales, and discounts to attract and retain customers. Events
like the "Sabse Saste Din" (Cheapest Days) offer significant discounts on a wide range of products, creating a
sense of excitement and urgency among customers.

4. Customer Feedback and Service

Big Bazaar encourages customer feedback through various channels such as in-store feedback forms, online
reviews, and customer service helplines. The company takes this feedback seriously and works on resolving
issues promptly to improve customer satisfaction.

5. Personalized Services

The retailer uses customer data and purchase history to offer personalized services and recommendations. This
can include personalized discounts, product suggestions, and exclusive offers based on past purchases and
preferences.
 38
6. Convenience and Accessibility

Big Bazaar ensures that their stores are conveniently located and easily accessible. They offer multiple payment
options, including cash, card, and digital payments, to cater to a diverse customer base. Additionally, they
provide home delivery and online shopping options to enhance convenience.

7. Customer Education and Engagement

Big Bazaar engages customers through various means such as in-store events, workshops, and demonstrations.
This not only enhances the shopping experience but also builds a community around the brand.

8. Quality Assurance and Value

Big Bazaar emphasizes offering quality products at competitive prices. They maintain strict quality control
measures to ensure that customers receive value for their money, which builds trust and long-term loyalty.

9. Responsive Customer Service

The retailer has a dedicated customer service team to handle queries, complaints, and issues. They aim to
provide quick and effective resolutions to ensure customer satisfaction. This includes easy return and exchange
policies to ensure a hassle-free shopping experience.

10. Omni channel Experience

Big Bazaar integrates its online and offline presence to provide a seamless shopping experience. Customers can
shop online and pick up their orders in-store, or return online purchases to physical stores, enhancing flexibility
and convenience.

11. Sustainable Practices

Big Bazaar is increasingly focusing on sustainable and ethical practices, which resonate with environmentally
conscious consumers. This includes reducing plastic use, promoting eco-friendly products, and supporting local
communities and producers.

Conclusion

Big Bazaar's customer relationship policy is comprehensive, focusing on understanding customer needs,
rewarding loyalty, providing convenience, and ensuring high-quality service. By continuously adapting to
customer feedback and market trends, Big Bazaar aims to maintain a strong, positive relationship with its
customers, ensuring long-term loyalty and satisfaction.
 39

Recommendations
To further enhance CRM at Big Bazaar, Pathankot, the following recommendations are suggested:

● Expand Digital Engagement: Increase the use of social media platforms for customer interaction and
feedback.
● Enhanced Personalization: Utilize advanced analytics to further personalize customer offers and
communications.
● Customer Experience Workshops: Conduct regular workshops for staff to keep them motivated and
equipped with the latest customer service skills.

CRM POLICY OF VISHAL MEGA MART

Report on Customer Relationship Management (CRM) at Big Bazaar, Pathankot

Date of Visit: May 27, 2024

Location: Vishal Mega Mart Outlet Pathankot

Objective: To evaluate the Customer Relationship Management (CRM) practices implemented at the Vishal
Mega Mart Outlet Pathankot and understand how these practices enhance customer satisfaction and loyalty.

Introduction

Customer Relationship Management (CRM) is a strategic approach that Vishal Mega Mart uses to manage
interactions with current and potential customers. The Pathankot outlet, aims to provide an exceptional
shopping experience through effective CRM strategies.

Methodology
During the visit to the Vishal Mega Mart Outlet Pathankot, the following methods were employed to gather
information:

● Observation: Noting the in-store customer service, the layout, and the interaction between staff and
customers.
● Interviews: Conversations with store managers, employees, and customers to understand their
perspectives on CRM practices.
 40
● Documentation Review: Examination of promotional materials, loyalty program details, and digital
interfaces.

Vishal Mega Mart, one of India's largest retail chains, emphasizes creating and maintaining strong
customer relationships through a comprehensive customer relationship policy. This policy
includes various strategies and practices designed to enhance customer satisfaction, loyalty, and
engagement. Here's a detailed explanation of Vishal Mega Mart's customer relationship policy:

1. Customer-Centric Approach=Vishal Mega Mart focuses on a customer-centric approach, ensuring

that the needs, preferences, and feedback of customers are at the forefront of their operations. This
involves actively listening to customer feedback and continuously improving the shopping
experience.

2. Loyalty Programs

To encourage repeat business and reward loyal customers, Vishal Mega Mart offers loyalty programs such as
membership cards and point-based systems. These programs provide customers with benefits like discounts,
special offers, and exclusive deals:

 Vishal Mega Mart Club Card: This membership card offers customers various benefits, including exclusive
discounts, early access to sales, and reward points on every purchase. Accumulated points can be redeemed for
future discounts.

3. Promotional Campaigns and Discounts

Vishal Mega Mart regularly conducts promotional campaigns, sales, and discount events to attract and retain
customers. These promotions often include significant discounts on a wide range of products, special festive
offers, and clearance sales. Examples include:

 Seasonal Sales: Offering substantial discounts during festivals, end-of-season sales, and special occasions.
 Weekly Deals: Providing weekly special offers on various product categories to keep customers engaged and
coming back for more.

4. Customer Feedback and Service

Vishal Mega Mart places a strong emphasis on collecting and acting on customer feedback. They provide
multiple channels for customers to share their experiences, including in-store feedback forms, online surveys,
and customer service helplines. The company is committed to resolving issues promptly and improving its
services based on customer input.
 41
5. Personalized Services

Using customer data and purchase history, Vishal Mega Mart offers personalized services and
recommendations. This includes tailored discounts, product suggestions, and exclusive offers based on
individual customer preferences and shopping patterns.

6. Convenience and Accessibility

Vishal Mega Mart ensures convenience and accessibility for its customers by:

 Strategic Store Locations: Placing stores in easily accessible locations to cater to a wide range of customers.
 Multiple Payment Options: Accepting various payment methods, including cash, credit/debit cards, digital
wallets, and UPI.
 Home Delivery and Online Shopping: Providing home delivery services and an online shopping platform to
enhance convenience for customers.

7. Quality Assurance and Value

Vishal Mega Mart is committed to offering high-quality products at competitive prices. They maintain strict
quality control measures and ensure that products meet customer expectations. This focus on quality helps
build trust and loyalty among customers.

8. Responsive Customer Service

Vishal Mega Mart has a dedicated customer service team to address customer queries, complaints, and issues.
They aim to provide quick and effective resolutions to ensure customer satisfaction. This includes clear return
and exchange policies to facilitate a hassle-free shopping experience.

9. Omni channel Experience

To provide a seamless shopping experience, Vishal Mega Mart integrates its online and offline presence.
Customers can:

 Shop Online and Pick Up In-Store: Order products online and pick them up from a nearby store.
 Return Online Purchases In-Store: Return items purchased online at physical stores, enhancing flexibility and
convenience.
 42
10. Community Engagement and Corporate Social Responsibility (CSR)

Vishal Mega Mart engages with local communities and participates in CSR initiatives. This includes supporting
local producers, promoting sustainable practices, and contributing to community development projects. These
efforts help build a positive brand image and strengthen customer relationships.

Conclusion

Vishal Mega Mart's customer relationship policy is designed to enhance customer satisfaction, loyalty, and
engagement. By focusing on understanding customer needs, providing personalized services, offering quality
products at competitive prices, and ensuring convenience, Vishal Mega Mart aims to build and maintain strong,
positive relationships with its customers. Their comprehensive approach to customer service and engagement
ensures long-term customer loyalty and satisfaction.

SWOT ANALYSIS

Big Bazaar SWOT Analysis

Big Bazaar is one of the leading brands in the lifestyle and retail sector. Big Bazaar SWOT analysis evaluates
the brand by its strengths & weaknesses which are the internal factors along with opportunities & threats which
are the external factors. Let us start the SWOT Analysis of Big Bazaar:

Big Bazaar Strengths

❖ Affordability for middle class is provided by Big Bazaar in India

❖ Big Bazaar offers quality, choice and convenience

 43
❖ Wide range of products and service offerings

❖ Strong presence in local market

❖ Attractive promotional offers given by Big Bazaar to attract customer through discounts, sales,
exchange offers etc

❖ Large no. SKU provided to consumers

❖ Good branding and advertising by also roping in celebrity brand ambassadors also boosted Big Bazaar's
presence

Above are the strengths in the SWOT Analysis of Big Bazaar. The strengths of Big Bazaar looks at the key
internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Big Bazaar Weaknesses

❖ Big Bazaar is not known globally and restricted to the Indian market only

❖ No different game plan according to divergent people, their lifestyles, their tastes and budgets in India

These were the weaknesses in the Big Bazaar SWOT Analysis. The weaknesses of a brand are certain aspects
of its business which it can improve.

Big Bazaar Opportunities

❖ Big Bazaar can plan to expand globally by tie-ups

❖ Entering into high premium segment

❖ Opportunity to expand into financial services catering to huge segment

❖ Increased rural penetration can also benefit Big Bazaar

Above we covered the opportunities in Big Bazaar SWOT Analysis. The opportunities for any brand can
include prospects of future growth.

Big Bazaar Threats

❖ Competitors with a global presence

❖ Online markets can severely affect the market share of Big Bazaar

❖ Low priced brand perceived to be of low quality in Indian consumer minds

 44
The threats in the SWOT Analysis of Big Bazaar are as mentioned above. The threats for any business can be
external factors which can negatively impact its business.

SWOT ANALYSIS of Vishal Mega Mart

Strength:

❖ High Brand Equity in evolving retails markets. State-of-art infrastructure of Big Bazaar outlets.
❖ POP to increase the purchase.
❖ One stop shop for a variety of products, increasing customer time and available choices.
❖ Understanding of the ‘value retail’ segment. Garment sector of the Vishal is much more superior to
other retail stores.
❖ It segments on middle and lower middle income groups.

Weakness:-

❖ Unable to meet store opening targets so far.

❖ Falling revenue per square feet.
❖ Employees' behavior is not professional.
❖ Daily customer footfall is very less around 200 to 300 average.
❖ Inexperienced and unskilled management team except managers.
❖ Supply chain management is quite slow.
❖ No brand awareness for the product.
❖ Lack of proper extraction of work from staff.
❖ Need to include more assortment & varieties of the same item.
❖ Need to provide more offers/ discounts on FMCG in comparison to Big bazaar, Reliance Fresh,
Easyday & V-Mart.
❖ Need to improve store layout according to customer facility.

Opportunities:-

❖ Increasing customer satisfaction and our base of loyal customers

❖ Emphasis on Backward Integration.
❖ Expansion of FMCG.
❖ Continue to upgrade information technology systems and processes
❖ Continue to train employees and seek entrepreneurship from employees.
❖ To increase the customer satisfaction by providing a different variety of products.
 45
Threats:-

❖ Global big players planning to foray into the market.

❖ Government policies are not well-defined in India.
❖ Unorganized retail market of India.
❖ Independent small stores.
❖ Demographic Changes.
❖ V-Mart, Reliance fresh, Easy day & Big-Bazaar.
❖ Overseas group entering the market
❖ Increased competition in the domestic market.

Analysis and Interpretation

Section 1: Demographic Information

1. Age Group:

 Under 18
 18-25
 26-35
 36-45
 46-55
 Above 55

Age Group Distribution

Under 18
10 10
10 18-25
20
26-35
20
36-45
30
46-55

Diagram-1.1

The majority of respondents are between the ages of 18-25 and 26-35, indicating that these stores are popular among
younger adults.
 46
2. Gender:

 Male
 Female
 Other

Gender Distribution
0
male
50 50 female
other

Diagram-1.2

The respondents are evenly split between male and female, suggesting balanced gender representation in customer base.

Section 2: Shopping Preferences

1. How often do you visit Big Bazaar or Vishal Mega Mart?

 Weekly
 Bi-weekly
 Monthly
 Occasionally

25

20

15 Weekly
Bi-weekly

10 Monthly
Occasionally

0
Frequency

Diagram-2.1
 47
Most respondents visit the stores monthly, followed by bi-weekly visits. This indicates that a significant number
of customers are regular shoppers.

2. Which store do you visit more frequently?

 Big Bazaar
 Vishal Mega Mart
 Both equally

35

30

25

20
Big Bazaar
15 Vishal Mega Mart

10 Both Equally

0
Preferred Store

Diagram-2.2

Big Bazaar is preferred by a majority of respondents, with fewer choosing Vishal Mega Mart or both equally.
This suggests stronger brand loyalty or better marketing effectiveness for Big Bazaar.

3. Main reason for choosing the store:

 Product variety
 Pricing
 Location
 Promotions and Discounts
 Customer Service
 Store Ambiance
 48
25

20
Product Variety

15 Pricing
Location
10 Promotion and Discount
Customer Service
5 Store Ambiance

0
Main reason for choosing the store

Diagram-2.3

Pricing is the main reason for choosing a store, followed by product variety and location. This highlights the
importance of competitive pricing and a diverse product range in attracting customers.

Section 3: Marketing Strategies

1. Are you aware of the promotional activities conducted by Big Bazaar/Vishal Mega Mart?

 Yes
 No

Awareness of Promotional Activities

20
YES
NO
80

Diagram-3.1

A large majority of respondents are aware of the promotional activities, indicating effective communication
strategies by both stores.
 49

2. Which promotional activities do you find most effective? (Select all that apply)

 Discounts and Sales

 Loyalty Programs
 Advertisements (TV, Radio, Online)
 In-store Promotions
 Social Media Campaigns
 Email/SMS Marketing

35

30
Discounts and sales
25
Loyality Programs
20
Advertisements
15
In-store Promotions
10 Social Media Campaigns
5 email/SMS Marketing

0
Most Effective Promotional Activities

Diagram-3.2

Discounts and sales are perceived as the most effective promotional activities, followed by loyalty
programs and advertisements. This suggests that direct financial incentives are highly valued by
customers.

3. How do you usually find out about promotions and discounts at these stores?

 In-store banners/posters
 Television/Radio ads
 Social media
 Emails/SMS
 Word of mouth
 50
20

15 In-store banners/posters
Television/Radio ads
10
Social media
5 Email/SMS
Word of mouth
0
Source of Promotion Information

Diagram-3.3

In-store banners/posters, social media, and word of mouth are the most common sources of information about
promotions, emphasizing the importance of both physical and digital advertising.

Section 4: Customer Experience and Satisfaction

1. How would you rate your overall shopping experience at Big Bazaar/Vishal Mega Mart?

 Very Satisfied
 Satisfied
 Neutral
 Dissatisfied
 Very Dissatisfied

25

20
Very Satisfied
15 Satisfied
Neutral
10
Dissatisfied
5 Very Dissatisfied

0
Overall Shopping Experience

Diagram-4.1

Most respondents are very satisfied or satisfied with their shopping experience, indicating good overall
customer satisfaction.
 51

2. How likely are you to recommend Big Bazaar/Vishal Mega Mart to others?

 Very Likely
 Likely
 Neutral
 Unlikely
 Very Unlikely

30
25 Very Likely
20
likely
15
Neutral
10
Unlikely
5
Very Unlikely
0
Likelihood to recommend

Diagram-4.2

A high likelihood to recommend the stores to others suggests that customers have positive experiences and are
likely to promote the stores through word of mouth.

3. What aspect of their marketing strategy do you think needs improvement?

 Promotions and Discounts

 Customer Service
 Product Variety
 Store Ambiance
 Digital Marketing

30
25 Promotions and Discounts
20 Customer Service
15
Product variety
10
5 Store Ambiance
0 Digital marketing
Marketing Strategy Needs Improvement

Diagram-4.3
 52
Most respondents are of the view that Digital Marketing of both the stores needs improvement.

4. Do you participate in the loyalty programs offered by these stores?

 Yes
 No

Participation in Loyalty Programs

20

Yes
No

80

Diagram-4.4

Most of the respondents participate in Loyalty programs offered by both the retail stores.

5. If yes, how would you rate the benefits provided by these loyalty programs?

 Excellent
 Good
 Average
 Poor

30

25

20
Excellent
15 Good
Average
10
poor
5

0
Benefits provided by loyalty programs

Diagram-4.5
 53
Most of the respondents find the loyalty programs offered by both the stores are good.

Section 5: Comparative Analysis

1. Which store do you think has better marketing strategies?

 Big Bazaar
 Vishal Mega Mart
 Both are equal

Marketing Strategies Comparison

Big Bazaar
Vishal Mega Mart
45 55 Both are equal

Diagram-5.1

55 percent of respondents are of the view that marketing strategies of big bazaar are better than Vishal Mega mart. Only 5
percent feels that both have identical marketing strategies.

2. In your opinion, which store offers better value for money?

 Big Bazaar
 Vishal Mega Mart
 Both are equal
 54

Store Offers better value for money

35

Big Bazaar
Vishal mega mart
Both are Equal

60

Diagram-5.2

By analyzing the data I find that most of the respondents feel that vishal mega mart offers better value
for money.
 55

CHAPTER-5
Summary & Conclusion

Introduction

The project report delves into the marketing strategies employed by two leading retail chains in India, Vishal
Mega Mart and Big Bazaar. The objective is to analyze how these companies attract, retain, and grow their
customer base amidst intense competition in the retail sector.

Overview of Vishal Mega Mart and Big Bazaar

 Vishal Mega Mart: Known for offering a wide range of products at affordable prices, targeting middle and
lower-middle-class consumers.
 Big Bazaar: Part of the Future Group, it is one of the largest hypermarkets in India, providing a diverse product
range with an emphasis on quality and convenience, catering to a broad demographic.

Market Analysis

 Retail Industry in India: The retail market in India is one of the fastest-growing in the world, driven by
increasing consumer spending, urbanization, and digital transformation.
 Consumer Behavior: Shifts in consumer preferences towards one-stop shopping destinations that offer variety,
value for money, and a good shopping experience.

Marketing Strategies of Vishal Mega Mart

1. Pricing Strategy: Focuses on low pricing to attract price-sensitive customers. Regular discounts and promotions
help in maintaining a competitive edge.
2. Product Assortment: A wide range of products, including groceries, apparel, household items, and electronics,
catering to the needs of budget-conscious consumers.
3. Store Location and Layout: Stores are strategically located in high-footfall areas to maximize visibility and
accessibility. The layout is designed for easy navigation and convenience.
4. Advertising and Promotions: Utilizes local media, flyers, and in-store promotions. Seasonal sales and special
discounts during festivals are significant crowd-pullers.
5. Customer Engagement: Loyalty programs and customer feedback mechanisms help in understanding and
catering to customer preferences.
 56
Marketing Strategies of Big Bazaar

1. Brand Positioning: Positions itself as a destination for quality products at reasonable prices, focusing on the
value-for-money proposition.
2. Promotional Campaigns: Large-scale advertising campaigns, both online and offline, are used to create brand
awareness. Big events like "Sabse Saste Din" offer significant discounts and draw massive crowds.
3. Digital Presence: Strong online presence with an e-commerce platform and active social media engagement. Use
of data analytics to personalize marketing efforts.
4. Store Ambiance and Experience: Focuses on providing a pleasant shopping experience with well-organized
aisles, cleanliness, and customer service.
5. Diverse Product Range: Offers a wide variety of products across different categories, ensuring that customers
can find almost everything under one roof.

Comparative Analysis

 Target Audience: While both target the mass market, Vishal Mega Mart leans more towards the price-sensitive
segment, whereas Big Bazaar appeals to a broader demographic, including middle and upper-middle-class
consumers.
 Pricing and Promotions: Vishal Mega Mart emphasizes everyday low prices, whereas Big Bazaar relies on
high-impact promotional events.
 Customer Engagement: Big Bazaar has a more robust digital strategy and customer engagement through
loyalty programs compared to Vishal Mega Mart.

Conclusion

Given the developments and prospects, the Indian retail sector is in its nascent stage of evolution. While there
are obstacles, there are clear opportunities in modern retailing in India. There are many lessons that India can
take from other countries, which have moved along the path of retail evolution. The retail sector has proved to
be of immense significance from a macro-economic point of view. The sector’s capability to give strong
growth momentum by creating multiplier effects on other sectors is not in dispute. It is now necessary to
cautiously expand and develop the sector, as the government, at present, has done by permitting partial FDI in
the sector. Given the scope, the retail sector is certainly expected to fetch the long term economic benefits for
the country.

The convenience and personalized service offered by the unorganized sector holds its future in good stead for
the future. Organized retail of late has seen a tremendous boom and is attracting more people to the malls.

What is to be seen is how organized retail can duplicate the same level of personalized customer service levels
offered by the unorganized sector to have a higher conversion ratio. The target audience for both the organized
and unorganized retail formats remains relatively the same. When shopping in malls, people value the
 57
experience related to the trip the most and return most frequently for the same. Besides, while enjoying the
experience they seem to buy high ticket and items of conspicuous consumption most frequently.

Gaining and maintaining consumer preference is a battle that is never really won. Continued and consistent
branding initiatives that reinforce the consumer’s purchase decision will, over time, land the product in
consumer preference sets. Attaining and sustaining preference is an important step on the road to gaining brand
loyalty.

Both Vishal Mega Mart and Big Bazaar have distinct marketing strategies tailored to their target audiences and
market positioning. Vishal Mega Mart focuses on affordability and accessibility, while Big Bazaar emphasizes
value, quality, and a superior shopping experience. Understanding these strategies provides insights into the
competitive dynamics of the Indian retail market and the importance of adapting marketing approaches to
consumer needs and preferences.

This comparative study highlights how both retail giants effectively use different marketing strategies to
succeed in a highly competitive environment.
 58
CHAPTER-6

Finding of the Study

1. Demographic Insights

 Age Distribution:
o The largest groups of shoppers are between 18-25 and 26-35 years old, indicating that young adults form
the core customer base for both stores.
 Gender Distribution:
o The respondents are evenly split between males and females, suggesting that the marketing strategies of
both stores effectively target both genders equally.

2. Shopping Preferences

 Visit Frequency:
o The majority of shoppers visit the stores monthly, with a significant number visiting bi-weekly. This
shows that both stores attract regular customers, though increasing the frequency of visits could be a
potential growth area.
 Preferred Store:
o Big Bazaar is preferred by a majority of respondents (60%), suggesting stronger brand loyalty or more
effective marketing strategies compared to Vishal Mega Mart, which is preferred by 30% of respondents.
 Main Reason for Choosing the Store:
o Pricing is the most significant factor influencing store choice, followed by product variety and location.
This highlights the importance of competitive pricing strategies and maintaining a diverse product range
to attract customers.

3. Marketing Strategies

 Awareness of Promotional Activities:

o A high awareness rate (80%) of promotional activities indicates effective communication from both
stores regarding their marketing campaigns.
 Most Effective Promotional Activities:
o Discounts and sales are seen as the most effective promotional activities by 60% of respondents. This
emphasizes the importance of price-related promotions in driving customer behavior.
 Source of Promotion Information:
o The most common sources of promotional information are in-store banners/posters, social media, and
word of mouth. This suggests that both traditional and digital marketing channels are crucial for reaching
customers.
 59
4. Customer Experience and Satisfaction

 Overall Shopping Experience:

o The majority of respondents report being very satisfied (40%) or satisfied (30%) with their shopping
experience. This indicates high overall customer satisfaction.
 Likelihood to Recommend:
o A high likelihood to recommend (80% combined for 'Very Likely' and 'Likely') suggests that customers
have positive experiences and are likely to advocate for the stores, indicating strong customer loyalty.

Recommendations

1. Enhance Pricing Strategies:

o Both stores should continue to focus on competitive pricing and frequent sales/promotions to maintain
and attract more customers.
2. Diversify Product Range:
o Expanding the variety of products offered can attract more customers, especially given that product
variety is a significant factor for store choice.
3. Increase Visit Frequency:
o Introducing loyalty programs or incentives for more frequent visits could turn monthly visitors into
weekly or bi-weekly shoppers.
4. Leverage Digital Marketing:
o Given the significant role of social media in informing customers about promotions, enhancing digital
marketing efforts, including targeted social media campaigns and email marketing, can improve customer
reach and engagement.
5. Maintain High Customer Satisfaction:
o Ensuring excellent customer service and maintaining high standards of store ambiance and convenience
will help in sustaining high levels of customer satisfaction and positive word-of-mouth promotion.
6. Learn from Competitors:
o Big Bazaar can look into areas where Vishal Mega Mart may have strengths, such as customer service or
unique promotional tactics, and vice versa, to continuously improve their own strategies.

Conclusion

The analysis reveals that both Big Bazaar and Vishal Mega Mart have successfully implemented marketing
strategies that attract and retain a significant customer base. Key factors such as competitive pricing, effective
use of promotional activities, and high levels of customer satisfaction play crucial roles in their marketing
success. Continuous improvement in these areas, along with leveraging digital marketing and enhancing the
overall shopping experience, will be essential for sustaining and growing their market presence.
 60
SUGGESTIONS

1. Enhance Digital Presence and Engagement

 Social Media Campaigns:

o Increase the frequency and quality of social media posts. Utilize platforms like Instagram, Facebook, and
Twitter to engage with customers through interactive content such as polls, contests, and live videos
showcasing new products or store events.
o Collaborate with influencers and bloggers to reach a broader audience.
 Email and SMS Marketing:
o Implement personalized email campaigns based on customer purchase history and preferences. Use data
analytics to send tailored offers and recommendations.
o Use SMS marketing for flash sales and limited-time offers to create a sense of urgency.

2. Implement Advanced Loyalty Programs

 Personalized Rewards:
o Create a tiered loyalty program that offers personalized rewards based on customer spending habits. This
can include exclusive discounts, early access to sales, and special events for top-tier members.
 Gamification:
o Introduce gamification elements in the loyalty program, such as earning points for every purchase,
completing shopping challenges, or referring friends. This can enhance customer engagement and
retention.

3. Improve In-Store Experience

 Interactive Displays:
o Use interactive displays and digital kiosks to provide product information, reviews, and
recommendations. These can also be used to showcase promotional offers and new arrivals.
 Store Layout and Ambiance:
o Regularly update the store layout to ensure it is customer-friendly and easy to navigate. Create a pleasant
shopping ambiance with good lighting, clean spaces, and organized product displays.

4. Leverage Data Analytics

 Customer Insights:
o Use data analytics to gain deeper insights into customer behavior, preferences, and trends. This can help
in creating targeted marketing campaigns and improving product assortment.
 61
 Predictive Analytics:
o Implement predictive analytics to anticipate customer needs and stock products accordingly. This can
also help in planning promotions and sales events more effectively.

5. Expand Omni-Channel Strategies

 Seamless Integration:
o Ensure a seamless shopping experience across all channels (online, mobile app, and in-store). Enable
features like buy online, pick up in-store (BOPIS), and easy returns across channels.
 Unified Loyalty Programs:
o Create a unified loyalty program that works across all shopping channels, allowing customers to earn and
redeem points whether they shop online or in-store.

6. Innovative Promotional Activities

 Limited-Time Offers and Flash Sales:

o Regularly run flash sales and limited-time offers to create urgency and drive foot traffic to the stores.
 Seasonal and Thematic Promotions:
o Plan seasonal and thematic promotions that align with holidays, festivals, and other significant events.
This can create excitement and attract more customers.

7. Community Engagement and CSR Activities

 Local Community Events:

o Host local community events and workshops in-store, such as cooking classes, product demonstrations,
and DIY workshops. This can build a stronger connection with the community.
 Corporate Social Responsibility (CSR):
o Engage in CSR activities that resonate with customers, such as sustainability initiatives, supporting local
charities, and eco-friendly practices. Promote these activities through marketing channels to build a
positive brand image.

8. Enhance Customer Feedback Mechanisms

 Real-Time Feedback:
o Implement real-time feedback mechanisms in-store and online. Use QR codes that customers can scan to
provide immediate feedback on their shopping experience.
 Regular Surveys and Focus Groups:
o Conduct regular customer surveys and focus groups to gather insights on their preferences and areas for
improvement. Use this feedback to refine marketing strategies and improve customer satisfaction.
 62
9. Improve Product Range and Availability

 Curate Product Assortment:

o Regularly update the product assortment based on customer preferences and trends. Ensure popular
products are always in stock and introduce new and exclusive items to attract repeat customers.
 Collaborate with Brands:
o Partner with popular brands to offer exclusive products and limited-edition items. This can create
excitement and attract brand-loyal customers.

Conclusion

By enhancing digital engagement, improving the in-store experience, leveraging data analytics, expanding
Omni-channel strategies, and focusing on innovative promotions and community engagement, both Big Bazaar
and Vishal Mega Mart can significantly improve their marketing strategies. These improvements will not only
attract new customers but also enhance loyalty among existing ones, leading to sustained growth and success in
the competitive retail market.

BIBLIOGRAPHY

Books referred:

1. Retailing Management By Pradhan, Swapna

2. Retail Management- A strategic Approach By Berman, Barry & Evans, Joel R

Websites:

www.google.com , www.wikipedia.com, www.vishal mega mart.com, www.reliance mart.com,

www.indianretailindustry.com
 63

Appendix (Questionnaire)

Section 1: Demographic Information

1. Age Group:
o Under 18
o 18-25
o 26-35
o 36-45
o 46-55
o Above 55
2. Gender:
o Male
o Female
o Other

Section 2: Shopping Preferences

1. How often do you visit Big Bazaar or Vishal Mega Mart?

o Weekly
o Bi-weekly
o Monthly
o Occasionally
2. Which store do you visit more frequently?
o Big Bazaar
o Vishal Mega Mart
o Both equally
3. Main reason for choosing the store:
o Product variety
o Pricing
o Location
o Promotions and Discounts
o Customer Service
o Store Ambiance
 64
Section 3: Marketing Strategies

1. Are you aware of the promotional activities conducted by Big Bazaar/Vishal Mega Mart?
o Yes
o No
2. Which promotional activities do you find most effective? (Select all that apply)
o Discounts and Sales
o Loyalty Programs
o Advertisements (TV, Radio, Online)
o In-store Promotions
o Social Media Campaigns
o Email/SMS Marketing
3. How do you usually find out about promotions and discounts at these stores?
o In-store banners/posters
o Television/Radio ads
o Social media
o Emails/SMS
o Word of mouth

Section 4: Customer Experience and Satisfaction

1. How would you rate your overall shopping experience at Big Bazaar/Vishal Mega Mart?
o Very Satisfied
o Satisfied
o Neutral
o Dissatisfied
o Very Dissatisfied
2. How likely are you to recommend Big Bazaar/Vishal Mega Mart to others?
o Very Likely
o Likely
o Neutral
o Unlikely
o Very Unlikely
3. What aspect of their marketing strategy do you think needs improvement?
o Promotions and Discounts
o Customer Service
o Product Variety
o Store Ambiance
o Digital Marketing
4. Do you participate in the loyalty programs offered by these stores?
 65
o Yes
o No
5. If yes, how would you rate the benefits provided by these loyalty programs?
o Excellent
o Good
o Average
o Poor

Section 5: Comparative Analysis

1. Which store do you think has better marketing strategies?

o Big Bazaar
o Vishal Mega Mart
o Both are equal
2. In your opinion, which store offers better value for money?
o Big Bazaar
o Vishal Mega Mart
o Both are equal