Retail Industry - Spencer’s

RETAIL INDUSTRY

spencer’s Hyper

Piyushree NagraleMBA

BIM, Trichy

spencer’s Address: No-6, Bharthiyar Salai,

Cantonment,Near Junction, Trichy

spencer’s Hyper

• RP Sanjiv Goenka Group • Shaswath Goenka- Youngest Chairman in Retail

Industry• Format- Hypermarket• Date of opening- October 2008• 8 Stores in the South Region ( Erode, Kodaikanal,

Coimbature, Trichy)• Choice of Location- Near Central Bus stand &

Residential area• Trading Area- 11,883 square feet

Product Category

• Food Court• Footwear• Bakery• Personal Care• FMCG Products• Perishable Food Products• Imported goods• Kitchenware• Fruits/Vegetables

In-store Promotions

• Lucky Draw on Basmati Rice•Offered Flight Tickets to the winners•Points on purchase•Discounts on Home grown products

Colgate SectionPond’s Section

Merchandise Sourcing• Distribution Centre- Manikandam location• Frequency- ARS system(Auto Replenishment)• Replenishment- No. of SKU based on store sq ft• Merchandiser will fix MSF (maximum shelf fit) for every SKU based on 3

months trends

• Local Purchases- Direct Supply– Based on margins– Products: Desi Food(snacks), egg, milk, Floor Cleaner, Perishable products, Smart

Choice(Dishwasher) etc.

• Private Brands-– Kept along with the other products– Products: Spencer’s Iodised Salt, Clean Home Dishwasher, Expert Matic

Detergent Powder, Spencer’s Facial Tissues, Perfumed Floor Cleaner.– More offers on In-house brands such as Buy 1 Get 1 Free!!!!– Top Selling Product: Household Cleaner

Private Brands

Private Brands

Private Brands

Other Info

• Delighted shoppers- Married Women (32-35 age group)• Average Ticket size- Rs. 400• Catchment Area- Cantonment, Junction, Kaja malai,

Thilai Nagar, srirangam.• Differentiator- Raw Rice: Quality for Brahmins• Sales Pattern: – Weekdays: Less than expected– Weekends: Huge Response

• Average Sales per SFT: Rs. 650

Trichy Market

• Price Sensitive Market• A+ Customers • Mostly Family• FSM – Biggest Competitors– More product assortment in categories such as

Jewellery, Garments, Kid zone, Food Court.

Current Status

• Out of 14, 3 stores closed before 3 months & 8 were closed recently.

• Reason- below 8000 sq ft.• Plans: Only Hyper concentration• No plans to open more Supermarket in Trichy

T H A N K YO U …