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Girish

This document presents a case study for Girish Food Store, a third generation grocery store facing competition from modern retail formats. Some key points: - Girish Food Store was started 50 years ago and is celebrating its Golden Jubilee in 2005. However, it now faces stiff competition from supermarkets and hypermarkets. - The grocery retail industry in India is one of the largest, providing employment to 5% of the workforce. However, the scenario is changing with modern formats growing. - The document analyzes Girish's sales data and proposes category-level strategies to improve profitability based on gross margin and category share. It also suggests developing a competitive assortment and improving promotional performance.

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Max Ray
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350 views14 pages

Girish

This document presents a case study for Girish Food Store, a third generation grocery store facing competition from modern retail formats. Some key points: - Girish Food Store was started 50 years ago and is celebrating its Golden Jubilee in 2005. However, it now faces stiff competition from supermarkets and hypermarkets. - The grocery retail industry in India is one of the largest, providing employment to 5% of the workforce. However, the scenario is changing with modern formats growing. - The document analyzes Girish's sales data and proposes category-level strategies to improve profitability based on gross margin and category share. It also suggests developing a competitive assortment and improving promotional performance.

Uploaded by

Max Ray
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 14

GIRISH FOOD STORE ( CASE

PRESENTATION )

PRESENTED BY:
AMIT KUMAR
SHARDUL BHARDWAJ
JYOTI PUNJ PRAKASH
PRASHANT KUMAR
SHARMA

Girish Food Store


0 Started by his grand father 50 year ago
0 Girish was a third generation entrepreneur
0 was facing changes in retail scenario
0 Store was completing Golden Jubilee in 2005
0 Facing stiff competition from modern retail

formats
0 Girish wanted to open several stores in its
Golden Jubilee year

Indian Grocery Industries


0 One of the largest Industries
0 Provided employment to 5% of Indias total

workforce
0 Retailers contributed roughly Rs. 3000 crore
in Sales in 2005
0 10% of Indias GDP
0 Changing Scenario of Retail

Different Format of
Retailing
0
0
0
0
0

Kiranas
Upgraded Kiranas
Super Market
Hyper Market
Wholesellers

Shoppers Analysis
0
0
0

600 per day customer


Generates more than 575 bills
3 types of shoppers
Fill in
Routine
Stockup

Q.1. Analyze the data provided in the


case study and suggest category
tactics based on the profitability of
each sub-categories, GMROF and
category share?
According to table 7.9

CATEGORY: 1. GROCERY PRODUCTS


2. MERCHANDISE CATEGORY

Grocery products
Total sales amount = 807071
COGS
= 640911
Gross Margin = 166160 (weekly)
Safety stock
= 42.94 units

GMROF

= GROSS MARGIN / SPACE

PROVIDED

= 166160/ 791.65
= Rs 209.89/sqft

Merchandise category
Total sales amount
Cogs
Gross margin

0 GMROF

= 974468
= 832561
= 141907

=
=

141907/ 843.62
Rs.168.21/sqft

CATEGORY SHARE
0 WEEKLY UNIT SALES BASIS

i. Grocery: 41.3%
ii. Merchandise: 58.7%
0 WEEKLY SALES AMOUNT BASIS

i. Grocery: 45.3%
ii.Merchandise: 54.70%
0 SHELF SPACE BASIS

i. Grocery: 48.41%
ii. Merchandise: 51.59%

Q.2 Suggest an assortment based


competitive strategy for Girish to
meet the challenges posed by kirana
stores and hypermarkets?
Item sales performance is the most important factor. If an item

succeeds to create a significant turnover during field tests it is


automatically considered as a prospect to enter into the
assortment.
Incremental contribution of each SKU is tested through regular

evaluations
The decision to launch a private label is based on substitution

analysis where the brand and private label is presented on the


shelf next to each other.
If the turnover of private label item reaches to 80 % of sales of

the national brand then the national brand is replaced

Q.3. Analyse the performance of the promotional


efforts of the store. Draw implication ans suggest
measures to improve category and sub-category
promotional performance

The performance of promotional activity is


good.

Buying Characteristics Feature,


No
Display

Display
And
Feature

Coupons

Low
Promotio
n

High PenetrationHigh Purchase


Frequency

High

Medium

Low

Low

High PenetrationHigh Purchase


Frequency

High

Medium

Medium

High

High PenetrationHigh Purchase


Frequency

Low

Low

Low

High

0 Q.4. Draw out a classification plan for

the different categories and identify


their roles based on the sales data and
strength of the other formats.

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