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A FRESH APPROACH TOWARDS RETAILING IN INDIA
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Page 1: Reliance Retail

A FRESH APPROACH TOWARDS RETAILING IN

INDIA

Page 2: Reliance Retail

INDIAN RETAIL SCENARIOIndia ranks 1st for top international

destination for retail investment.U.S $ 350 billion retail market. 96% market share is held by 12 million

family run shops.4th largest economy in purchasing parity

terms after US , china & Japan.Retail sector will grow 35% in 2008.

April 8, 2023 2STRATEGIC MARKETING

Page 3: Reliance Retail

ORGANISE SECTOR FACTSVirgin territory for organized retail

investment. 2-6% of total retail.Expected to increase to 15-18% by 2011.Food retailing is expected to grow to US$ 1.6

billion.Apparel to increase by 9.5% by 2010.

April 8, 2023 3STRATEGIC MARKETING

Page 4: Reliance Retail

RETAIL SECTORStreet cards .Corner shops.Open air market “ MANDIS”Kiryana Stores

April 8, 2023 4STRATEGIC MARKETING

Page 5: Reliance Retail

ORGANISE SECTORHyper marketSuper marketSpecialty chain stores.Factory outletsMallsMultiplexes

April 8, 2023 5STRATEGIC MARKETING

Page 6: Reliance Retail

CONTD……HYPER MARKETBIG BAZAR(PANTALOON RETAIL INDIA

LTD)GIANT(RPG GROUP)

DEPARTMANTAL STORESWEST SIDE(TATA)SHOPPERS STOP(K.RAHEJA GROUP)

April 8, 2023 6STRATEGIC MARKETING

Page 7: Reliance Retail

ABOUT RILIndia largest company Market value US$ 35 billionTurn over of US$ 27 billion in 2007Started by Dhirubhai Ambani with US$ 1000Grown rapidly & went public to raise funds

for polyester plantWorld’s Largest producer of polyesterRIL has grown exponentially to diversify

April 8, 2023 7STRATEGIC MARKETING

Page 8: Reliance Retail

RIL RETAIL STRATEGYInvesting US$ 5 billion in pan-india retail

including both small & super stores.

Generating 1 million jobs

Reaching annual sales of US$ 25 billion by 2011

April 8, 2023 8STRATEGIC MARKETING

Page 9: Reliance Retail

RIL FRESH2200-4000 sq feetTrial partnership with struggling govt owned

cooperative stores “SAHAKARI BHANDAR” in Mumbai.

Consisted of revamping of stores & providing supply chain management services.

April 8, 2023 9STRATEGIC MARKETING

Page 10: Reliance Retail

OBJECTIVES ACHIEVEDFirst hand knowledge of retail business

Small retailers are a powerful lobby

Made RIL to take on international retail giants.

April 8, 2023 10STRATEGIC MARKETING

Page 11: Reliance Retail

HYPER MARKETAmbani plans to built hyper markets, titled

Reliance Mart spread over 150000 sq feet's

Selling everything from groceries to clothes & consumer electronics

April 8, 2023 11STRATEGIC MARKETING

Page 12: Reliance Retail

RELIANCE FRESHTargeting 784 small Indian towns with

population greater than 500006000 outlets in 784 cities & towns by 2010-

11Opening & operating 100 millions sq feetBy doing so it will be ahead of “TESCO”

which has 58 million sq feet

April 8, 2023 12STRATEGIC MARKETING

Page 13: Reliance Retail

SUPPLY CHAIN“ from farm to fork”Agro- Retail strategyTwo modern India's most backward sector1600 procurement & distribution hubsNamed as “ Reliance Mandis” Supplied by rural farming centers with fresh

produce & dairy products

April 8, 2023 13STRATEGIC MARKETING

Page 14: Reliance Retail

WHY SUPPLY CHAIN MANAGEMENT?Lack of infrastructure, which leads to decay

of half of the countries fresh produce before they reach stores.

Cold storage , food processing facilities & also provides farmers with fertilizers , fuel & credit to suppliers(Farmers).

Eliminate the middlemen , by this Reliance hopes to pass savings to farmers .

April 8, 2023 14STRATEGIC MARKETING

Page 15: Reliance Retail

CONTD….In Kerala farmers are able to sell their produce

at the mandis without paying any commission and receive immediate payment of produce.

85 logistics centers to move food to retail

outlets & to airports

Stock is replenished 2 times a day , fresh produce comes from their own distribution center .

April 8, 2023 15STRATEGIC MARKETING

Page 16: Reliance Retail

REAL ESTATE BANKCompany wants to own most of its underline real

estate .

Motive behind this strategy is to protect its business margins by avoiding payment of high rents

Reliance plans of consolidating about 15 million sq feet of property would mean shunting of competitors such as PANTALOONS & SHOPPERS STOP.

April 8, 2023 16STRATEGIC MARKETING

Page 17: Reliance Retail

CONCLUSION

Will the dreams turn into Reality!!!

April 8, 2023 17STRATEGIC MARKETING

Page 18: Reliance Retail

April 8, 2023 STRATEGIC MARKETING 18

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