Vishal Mega Mart

INTRODUCTION

V-VALUE

I-INCREASE

S- SHOPPING

H-HYPER MARKET,

A-AFFORDABLE

L- LOW PRICE

Vishal Retail Ltd, a leading player in the Indian retail industry, is a pioneer in discount

retailing and is focused on tier II and III cities in the country. It has a strong presence in

manufacturing and retailing of readymade garments (apparels); retailing of non-apparels and a

large variety of FMCG products. The company has pan-India presence with 159 mid-sized

hypermarket format stores as on April 28, 2011 covering about 2.3mn sq ft retail space area.

Vishal is supported by strong manufacturing set-up in

Gurgaon, Dehradun and Manesar with a capacity of 5,000 garment pieces per day in each unit.

It also has 29 warehouses located in 8 key cities in India covering over 1.1mn sq ft area.Vishal

started as a humble one store enterprise in 1986 in Kolkata (erstwhile, Calcutta) is today a

conglomeration compassing 148 showrooms in 91 cities / 23 states. India’s first hyper-market

has also been opened for the Indian consumer by Vishal. Situated in the national capital Delhi

this store boasts of the singe largest collection of goods and commodities sold under one roof

in India The group had a turnover of Rs. 1895.12 million for fiscal 2009, under the dynamic

leadership of Mr. Ram Chandra Agarwal. The group had of turnover Rs 2884.43 million for

fiscal 2010 and Rs. 6026.53 million for fiscal 2011.The group’s prime focus is on retailing.

The Vishal stores offer affordable family fashion at prices to suit every pocket. The group’s

philosophy is integration and towards this end has initiated backward integration in the field of

high fashion by setting up a state of the art manufacturing facility to support its retail

endeavors.

Company Background

Vishal Retail was incorporated on July 23, 2001 as Vishal Retail Private Limited as a retailer

of ready-made apparels in Kolkata in 2001. The company has acquired the business of 'M/s

The Vishal Garments' and 'M/s Vishal Garments' in 2001. In 2003, the company has acquired

the manufacturing facilities from Vishal Fashions Private Limited and M/s Vishal

Apparels.Vishal is one of fastest growing retailing groups in India. Its outlets cater to almost all

price ranges. The showrooms have over 70,000 products range which fulfills all your

household needs, and can be catered to under one roof. It is covering about 2059292 lac sq. ft.

in 18 states across India. Each store gives you international quality goods and prices hard to

match. The cost benefits that are derived from the large central purchase of goods and services

are passed on to the consumer.

The Founders

Mr. Ramchandra Agarwal Mr. Surendra Agarwal Mrs. Uma Agarwal

DETAILED OF Mr. RAM CHANDRA AGARWAL

Mr. Ram Chandra Agarwal, CMD, Vishal Retail Limited, He holds a bachelor’s degree in

commerce from St.Xavier’s college, Kolkata the group owes its origin to a small 50 sq ft shop in

Kolkata's Lal Bazaar that started selling readymade garments. In tune with the pulse of the

market, he envisioned a mega store that would sell garments at prices none other could match. .

The first big store opened in Calcutta's Esplanade area in 1997, under the banner of Vishal

Garments. He was involved in all the aspects of the business: right from sourcing the garments to

interacting with customers. And this led to his greatest finding “The Vishal Group.” After

identifying the immense market in fashion garment for the masses, He moved to Delhi in 2001

and opened his first store in Delhi’s Rajouri Garden by the name of Vishal Mega Mart (The

jewel in Vishal Group’s crown) and then there was no looking back for Mr. Ram Chandra

Agarwal. At present, in addition to garments, Vishal Mega Mart stores retail the entire range of

household products, FMCG and electronic goods. Vishal's prices are roughly 15 to 20 per cent

less than other mass market garment labels.

Mr. Ram Chandra Agarwal, CMD, Vishal Retail Limited believes that the shopping habits of

Indians are changing due to their growing disposable income, higher

aspirations, relative increase in the younger population, and the change in attitudes towards

shopping. The emphasis has changed from price consideration to design,

quality and trendy. Age is also a major factor that affects the spending decisions of an individual.

Consumer spending is an important factor that affects the economic growth and development in a

country. As a trend, consumer is more educated. He has access to all reforms taking place

through various arrays of communication. He is becoming a “value shopper” everyday. Keeping

this in mind, the group is now looking for franchisees to join hands with Vishal and grow under

common banner. This partnership will help small retailers to survive the onslaught of organized

retail as it will enhance their competitiveness. Small stores can avail of the benefits on account of

the economies of scale, a key advantage for big retailers. As per the plans, Vishal

Retail will completely take over the supply chain of its franchisees and provide them with

technology, new practices, visual merchandising skill and special promotional schemes, besides

its brand and costumer base.

Some of the Franchisee exclusive business categories are

Mens Fashion

Ladies and Kids

Footwear

Toys and Games

Home – General

Convenience (FMCG)

CDIT

Watches

Mobile

The Group also has a plan to raise around Rs 200 crore through preferrential issue in the next

few months to fund the company’s expansion plan. Mr. R C Agarwal said “Rs 100 crore corpus

raised through the initial public offering had already been utilized and more money was required

to push the expansion plans further.” The group has registered a consistent growth over the

years. It recorded a whopping turnover of more than Rs.600 crores in 2010-11 as opposed to

a turnover of Rs 288 Crore for 2008- 2009. This ascent has inspired the Group to chalk out an

ambitious expansion program, with expansion and growth plans being implemented on different

dimensions.

“Retailing is an engine for taking merchandise to the end-users. There is a lot of

opportunity in this sector for us since demand of the potential consumers are not being met

under the existing facilities. Therein lies the road to success.” says Mr. R C Agarwal

Investment Rational

Vishal Retail sells ready-made apparels (including its own brands) and wide range of

household merchandise and other consumer goods such as footwear, toys, watches, toiletries,

grocery items, sports items, crockery, gift and novelties.

Vishal is value Retail Company catering to middle and lower middle income groups. As

Apparel segment contributes 63 percent; it has plans to focus more on FMCG. To reduce cost,

Vishal does in-house production of apparels, Procurement of goods directly procurement of

goods from the small and medium size vendors and manufacturers.Efficient Logistics and

distribution system along with customized product mix at stores depending on the regional

customer behavior and preferences Plans of penetrating deeper into Tier 1 and Tier 2 cities to

bank upon early mover advantage, where organized retail is yet to make a significant mark,

which will help establish and build customer loyalty prior to other players. Higher margins of

around 5-6 percent in private labels which account for 10 percent of sales in FY07.

Future Prospective

Vishal Retail Ltd has declared that the company has opened four new Showrooms at different

localities. The company has opened a store at Shree Ram Palace, Main Delhi Road, Meerut.

This is the company’s second store in Meerut spreading across an area of 3,600 Sq. ft.

(Approx). The company opened a store at Nauchandi Garh Road, Meerut commonly called

Dreemz, Opp. Samrat Heavens, Meerut. This is the company’s third store in Meerut covering

up an area of 12,000 Sq. ft. The company has opened a showroom at Enclave, Near BSNL

Office, Ranipur More, Haridwar. This is the company’s first store in Haridwar spreading

across an area of 9,545 Sq. ft. (Approx). The company opened its store at Arcade, Plot No. 56-

58, Dumas Road, Piplad, Surat. This is company’s second store in Surat spreading across an

area of 38,000 Sq. Ft (Approx). Vishal Retail Limited is an India-based retail company. It was

established in 1986. It was formerly called Vishal Retail Private Limited and changed its name

to Vishal Retail Limited in 2006. The company is based in New Delhi, India. As of August 8,

2007, the company operated 53 retail stores, including two stores that are operated by its

franchisees. It sells readymade clothes, and a variety of household merchandise and other

consumer goods, including toys, footwear, toiletries, sports items, watches, grocery items,

crockery, novelties and gifts. Today, the stock is

hovering around Rs 724 on the Bombay Stock Exchange. Vishal Retail has seen a 52-week

high of 812 and low of Rs 42

VISION 2010

The past 2-3 years have seen a number of developments in the retailing business in India. The

entries of corporate houses like RPG, Tatas and Piramals have increased the capital availability

in the market. Bigger players like Shoppers Stop are in a position to take advantage of their

sizes in dealing with the manufacturers. Despite a slowdown in the economy, customer queues

at the stores are not decreasing. Retail sector is bound to grow in the coming years. But how

much and in what direction are the questions that need to be evaluated. Various agencies have

made different estimates of the size of organized market in 2010. The one thing in common

amongst these estimates is that the Indian organized Retailing industry will be very big in

2010. The status of the industry will depend a lot on external factors like Government

regulations and real estate prices, besides activities of the retailers and demands of the

customers. Based on our analysis of present trends, and development of retailing elsewhere, we

present our perspectives and snapshots of organized retailing, as it would exit in 2010.

BRANDS

OUR VISHAL APPARELS BRAND

Vishal Mega Mart is one of India’s fastest growing retail chains. The chain currently has 51

company stores in 39 cities in India. The Vishal brand is known for great modern style for men,

women and children. Vishal offers high level fashion styling. Since 1986, our name has been

synonymous with quality, value and fashion integrity. We offer an unparalleled collection of

clothes for the entire family. Each garment is hand selected for quality and contemporary styling.

Vishal manufactures majority of its own garments and out sources some under its direct quality

supervision. This enables us to offer the lowest

possible and most reasonable price Our goal is to provide a range of fashion wear to suit every

pocket. Our product mix represents the most current fashion trends in tops, bottoms, formals and

accessories for men, women and kids . Our courteous staff will ensure that consumers get a

perfect fit.

PRESENT SCENARIO

Our Products Categories

HOME FURNISHING

Drawing Room Bedroom

Door Mat Bed SheetCarpet PillowsCurtains Pillow Cover

Kitchen Bathroom

Apron Bath MatsKitchen Napkin Towel Gift Setsmore...

FOOD MART

FOOD & BEVERAGES SnacksDrinks

SPORTS & FITNESS

INDOOR GAMES OUTDOOR GAMES

Basket Ball Cricket Bat T.T. Bat FootballBoxing Kit Lawn TennisSwimming Costumes Tennis RacketWater Ball Tennis Ball

FOOTWEAR

BOYS GIRLS

Shoes SlippersSandals Sandals

LADIES MENS

Shoes ShoesSlippers Slippers

more...

TELEMART

Communication Mobile Accessories

Mobile Mobile Batteries Mobile Charger Mobile Dori

MENS

Upper Lower

Shirt Casual Jeans(MP) Shirt Formal Cotton Trouser(MPC)

Ethnic & Sports Winter Wear

Night Suits Suit(WMC)T-Shirts Blazer(WMB)Dupatta Windcheater(WMW)Sherwani Jacket

LADIES ACCESSORIES

Upper Lower

Kurta Pants JeansSkirt Top Capri

Ethnic Winter Wear

Nighty JacketsLancha StawlSharara BlazerSalwar Suit Track Suit

more...

INFANTS

Garments Accessories

Hot Pant Bed SheetFrock Under GarmentsBaba Suit Socks

Winter Wear

SweaterPull Over

more...

WOMEN

Sarees Personal Items

Fancy(SRF) Cap(LCA)Synthetics Socks(Las)Banarsi

Jewellery CosmeticsNecklace Lip GlossRing Nail Polish

more...

KIDS BOYS

Lower Sets Winter Wear

Jeans Night Suit SuitBermudas Baba Suit BlazerDungries Jacket

Upper Ethnic

Shirt Formal Kurta- PyjamaT-Shirt Sherwani

more...

KIDS GIRLS

Lower Sets Winter Wear

Hot Pant Night Suit Hipster Set

Upper Ethnic

Tops(GWT) ShararaFrock(GFK) Lancha

more...

TRAVEL ACCESSORIES

Luggages Portfolio Bags

Suitcase Shoulder Bags Executive Bag School Bags

Pouch & Cases

Waist PouchVanity Cases

HOUSEHOLD

AcrylicWare Copper Steel

Dinner Set Jug Cake Server

Home Aids Pressure Cooker Non Stick

Floor Wiper Cooker HandiSanitary Brush Pressure Pan Dosa Tawa

General Plastic Electrical App. Bone ChinaGoods

Coffee Mug Chopper Soup SetBucket Microwave Oven Dessert Set

Glass Ware Thermo Ware Porcelain

Cup Tiffin Cup & SaucerLemon Set Container

LIFESTYLE

Time Zone Opticals Gifts & Novelties

Ladies Wrist Watch Ladies Sun Glass Flower VaseMens Wrist Watch Mens Sun Glass Key Chain

Mens Accessories Electric Perfume/Deo & Electronics Items

Belts Battery(ABT) Spray

Wallets Calculator(EEC) Deo

more...

TOYS & GAMES

Soft Toys Dolls Cycles & Scooters

Musical Toys Barbie Doll CyclesNon-Musical Other Dolls Scooters

Board Games Infant Toys Video Games

Wooden Blocks Teether T.V. Video GamePuzzles Swing Hand Video Game

more...

STATIONARY

School Office Paper Mart

Exam Board Office File DiaryClay Punching Machine File

Party StuffBalloonsRibbons

Our Products

- GARMENTS

MEN WOMEN

BOYS GIRLS

INFANT TOYS

HOME FURNISHING

FOODMART

HOUSEHOLD

THERMOWARE KITCHEN AIDS

VISHAL MEGA MART STORE OPERATIONS

The retail store is the place where customers take a decision on the purchase of the products

offered by the retailer. The store also influences the perception that customers form in their

minds about the store, the products services and staff. Therefore from management’s point of

view, operations of the store are a major element of costs. Therefore store becomes a critical

asset of the retail business and it is imperative that the operations are managed well to achieve

and sustain customer satisfaction and be cost effective.

Managing store operations for a retail business is a challenging task. It requires integration

among various functions within the store. When all the functions are performed in an integrated

manner then only the store can run smoothly achieving full customer satisfaction.

The retail store becomes of prime importance to the retail organisation, for basically two reasons.

1. Retail store is the primary source for revenue for the retailer.

2. It is the point where the customer actually interacts with the retail store and its offering.

COMPONENTS OF RETAIL OPERATIONS

Each and every process taking place in the store is defined in the Store Operations Manual. This

document lists the tasks which need to be carried out at the store level; it states the responsibility

and the time period in which these tasks need to be carried out. This document serves as a guide

to efficient store operations.

The task in the store can be broadly classified into following:

1. Store Administration and Management of the Premises;

2. Managing Inventory and display;

3. Managing Receipts;

4. Customer Service; and

5. Managing Promotion, Events, Alliances and Partnerships

Figure: Tasks to be performed at the Store Level

As seen in the figure we can easily observe that each and every task is revolving around

Customer Service as it is always at centre stage. Every task is aimed at providing customer an

experience which leads to customer delight which is the only way vishal can stay ahead of its

competitors and still run profitably.

After receiving a service the customer evaluates post purchase and three possible outcomes are:

1. Actual performance matches expectation, leads to satisfaction.

2. Performance exceeds expectation and the consumer is Delighted and here customer is

excited and does repeat purchases and involves himself into mouth to mouth publicity for

the Store. Hence such customers are valuable assets to the

3. company. And the store should always try to gain delighted customers by their

unmatchable service. This can help store achieve all its objectives.

4. Performance below expectations is the situation where customer gets unsatisfied and

resorts to negative publicity of the store. This situation has to be avoided at all cost. This

can do a very damaging impact on the store image and it becomes a very tough job to get

back such a customer.

Store Admininistration and Management of Premises

Recieving and displaying goods Providing customers 'shopping' experience Recording sales

Managing Alliance / Partnerships and Promotions / Events

1. Store Administration and Management of the Premises

Management of Premises

Managing the operations of a retail store starts by determining how the tasks pertaining to the

premises are to be performed.

Now here we can understand how even minute things matter even managing our own premises

can contribute heavily towards customer satisfaction.

Some of the tasks which include in management of premises are:

1. Business hour duration: This is a very crucial decision to be taken by the management

which is decided on the basis of target customers. Here the convenience for customer is

given due importance. In case of vishal being a convenience store located at residential

areas where customers start visiting the store as early as 9.00 am. The office going people

can come and shop at that time for their daily needs after their morning walk. The same

can be the case in the evening when customer wants to shop after their office hours.

Providing flexibility to the opening and closing timings leads to customer convenience

and which can help contribute towards reaching customer satisfaction and delight.

2. Judicial use of Air Conditioners: Air Conditioner provides a congenial environment

where we want our customers to stay and spend more time in the store.

This is done basically for two reasons:

a. Providing customers an experience and comfort while shopping which will

definitely help achieve satisfaction.

b. As the customer spends more time in the store it will definitely have a positive

impact on ticket size which means more revenue and profit.

But while using A.C. judicial use is talked as we know that we have to function under certain

constraints where we have to minimize the costs also. During lean hours (1.00 P.M to 4.00 P.M)

there is no need to run A.C on full capacity and during rush hour (after 6.00 P.M) A.C can be run

on full capacity.

Therefore by following the above the store maintains a delicate balance while trying to achieve

Customer Delight and escalating costs and hence satisfying both conditions.

3. Store Layout: The store layout should be planned in such a manner that customer finds

enough space for movement. The layout should be in such a systematic manner that

customer can easily locate products he/she wants to purchase. At vishal megamart a very

impressive layout has been put in place where customer easily finds what he wants.

HOME FURNISHING PROCESSED FOOD

NO

N-FO

OD

(Personal Care)D

AIRY

PLASTIC WARES

PROCESSED

FOO

DS

PROCESSED

FOO

D

STAPLES

PERSON

AL CARE

FOO

D &

BEVERAGES

FOO

D &

BEVERAGES

FRUITS &

VEGETABLES

VEGETABLES

BEVERAGES/D

AIRYCustom

er Service

TILL

TILL

STAPLESMOBILES

PROCESSED FOOD

EXIT

Store Layout: vishal megamart fatehabad road

Store Administration

Store Administration deals with various aspects like the cleanliness of the store premises,

maintenance of the store façade and display, etc. Apart from these it is also responsible for

utilizing the store personnel effectively.

Tasks involved in Store Administration which can contribute towards achieving customer

delight:

1. Floor Maintenance: The premises of the store need to be maintained as per standards

decided upon by the management.

Floor cleanliness and merchandise arrangement play a very crucial role in creating an

image of store in the minds of the target customers. This is crucial when customer tries to

evaluate several stores and matches the pricing of products offered with the services

provided by the store.

Therefore when a customer tries to compare Vishal megamart with Fair Price store, Fair

Price fails terribly as Vishal megamart has specially emphasized on its services apart

from pricing strateg

At Fair Price the products are scattered on the floor and customers are also not attended

to the level Vishal megamart does. Hence providing products at cheaper price is not the

only factor which customer considers from where to buy.

But Vishal megamart is using a combination which definitely making it lead is that it is

providing all services a convenience store can provide but at better price which is leading

to Customer Satisfaction and Delight.

At Vishal megamart very impressive initiative was taken to maintain its overall store

floor maintenance in the name of “Operation Shine” where days were systematically

assigned for a particular task and at end of it store performance was evaluated for each

store which lead to store maintained and cleaned which gave a very good signal to its

customers for its uncompromising take on floor maintenance.

2. Manpower Planning: The next most important thing that a customer looks after entering

the store is how Customer Care Associates (CCA) attend to them, how well a CCA and

other staff members at the front end are dressed, educated and competent enough to

respond to their queries.

Manpower Planning may include certain functions like:

a. Shift Planning: A roster is maintained at a Vishal megamart Store in which the store

manager plans and assigns optimum staff to each shift also considering weekdays and

weekends.

This is done basically on the basis of footfalls of customer at a particular time. Hence

providing for more staff during evening hours when footfalls are high.

The Store Manager also has to intelligently assign work to his staff members

according to footfalls as he can assign routine work to supervisor and CCAs at lean

hour of the day for work like stock take (Physical Inventory, Stock Indenting etc). He

has to push his staff towards attending customers at rush hours ask them to drive sales

through their efforts. This helps Reliance Fresh to not only increase sales but gain

Customer Satisfaction and Delight.

b. In charge: For every task in the store a staff member is made incharge of that task so

that no confusion is there on the floor and in the store as a whole.

Various tasks like opening of store, indenting of F & V and milk, GRN, stock

correction etc. is assigned among supervisors shift wise.

CCAs are assigned bays and responsibility given to them regarding their bay

regarding maintenance of Planogram, FIFO, FEFO, proper stacking etc. By doing the

above the store can manage display efficiently and ensure the service of the store to

an optimal level.

[

MSRs are assigned to regularly make announcements of schemes offered by the store

as it is very crucial as communication helps consumer make decision and push sales.

This apart from the task of acting as a member of customer service desk and solving

any customer complaints.

2. Managing Inventory and Display

The task of allocating the merchandise to the various stores rests with the category manager. At

the store the staff manages this inventory. Each and every process is documented at the store

level.

Responsibilities with respect to merchandise at the store level involves receiving and inwarding

the goods. Once the merchandise is received at the store, the quantity and other details are tallied

with the documents accompanying the goods, to detect any discrepancies.

Hand Held Terminal is used at Vishal megamart stores to directly scan and do the GRN for the

products received.

After receiving the goods the real play starts where an MBQ (Maximum Bin Quantity /

Maximum display Quantity) is maintained which signifies the maximum quantity the

store has to maintain of a particular product. It is done so that optimum level of inventory is

maintained so as to optimize cost of holding a product. There is a limitation of the store that

excess stock can be put as the space in the store is quiet costly and maximum space has to be

utilized for purpose of displaying product to sell.

Excess stock means blocking of valuable resources like money, leads to wastage due to

breakage, shrinkage etc leading to direct losses to the company.

A Target Stock quantity is set for each SKU and as it is a reorder level in the MBQ when the

Auto Replenishment System automatically indents for the particular product and the product

hence is sent by the distribution centre (DC).

This is most critical process as it helps prevent shortages in the store which can lead to customer

dissatisfaction and even unwanted excess stock is avoided which spoils the display of store with

products lying on the floor.

Hence it is clear that even proper inventory management leads to proper customer satisfaction.

Some important processes followed by Vishal megamart in inventory management helping them

reach optimality in inventory levels and customer satisfaction is:

1. Physical Verification of Stock: Under this process stocks are physically verified and

entered into the SAP. This activity is known as Stock Take.

Any variation with the book stock is recorded. This helps the store to control its

shrinkage if the SKUs are physically lesser than the book stock. Similarly excess stock if

any is also recorded.

The implication of these variations on planogram display is such that in case of Negative

variation i.e. Physical Stock < Book Stock then it leads to shortages of that SKU as Auto

Replenishment fails to function as inspite of stock in realty should have triggered the

Target Stock but will not as the system shows that there is more stock (Book Stock). This

causes great inconvenience to the customers like if a customer comes to purchase a

product of daily requirement like Spices and he is not getting it regularly due to such a

discrepancy he will definitely get unsatisfied and the store loses sale of that SKU due

shortage inspite of demand.

And in case of Positive variation i.e. Physical Stock > Book Stock it creates a different

kind of problem where excess stock is sent by the DC and it becomes

difficult to manage it as it have to remain scattered all over the floor waiting for the

stocks on the bay to get cleared. This also gives negative impression about

the store as an ill managed store where products are scattered and there is problem in free

movement. This should also be avoided.

2. Proper recording of Dump and Shrinkage: To maintain proper MBQ it is very

important to regularly update dump and shrinkage. This has to be done apart from Stock

take which is done once a month or as and when asked by the management.

3. Push Indenting of Promo article for a particular scheme: During an offer on a product

a sudden spurt in demand can be seen which is quite temporary in nature. There it is not

advisable to change MBQ as it is more permanent in nature. In case of upward revision of

MBQ the product will be delivered in increased quantity even after removal of promo

offer. There a temporary increase in indenting is done called Push Indenting. Hence after

withdrawal of the scheme the product is delivered on the normal basis.

4. Revision of MBQ: There is also a process of revising MBQ in case there is a regular

increase in demand and the store is maintaining lower MBQ meaning regular shortages.

There an upward revision is done.

In case of slow moving goods which the store manger feels is a drag on store

performance and is just blocking space he can request for revising the MBQ to lower

levels or removing it from the shelf altogether. The product has to be sent back to DC.

5. DSD Indenting: Direct Store Delivery (DSD) Indenting is done for very fast moving

goods like beverages, highly perishable goods like ice-creams and also glass items which

highly fragile in nature.On the part of consumer it helps him to receive products fresh in

case of perishables leading to maintainability of high quality standards. On part of

management it reduces cost of holding such perishable and fragile products as the store

will receive from the vendor only products which are saleable and meet standards.

6. Markdown Process: It is process where store manager is authorized to reduce price of

saleable quantity F&V, Bakery products or products which are nearing expiry and are

expected to become dump if proper step of reducing price is not done.

The objective of this process is to reduce dump at store level and also sell non moving stock of

such products

DISPLAY

A very integral part of managing inventory at store level is display it correctly. The best

merchandise may remain unsold if it not displayed in a manner that is appealing and convenient

for the customer. A very simple example can be illustrated like if rice packets are put on high

bays it will become very inconvenient for which mostly female customer do the buying, hence

would negatively impact sales.

Display can be considered as a silent salesperson helping to self sell the products. Display is such

a critical part in serving customers as it helps avoid confusion and guides customer to make

prompt decision.

Various methods are employed to impressively display products are:

1. Planogram (POG): A planogram is a diagram created from photographs, computer

output that illustrates how exactly where every SKU should be placed. It is a visually

appealing; represent the manner in which consumer shops (or the manner in which the

retailer wants his customer to shop).

Planogram Display

2. End Caps: They are used to display promotional items which helps customer to easily

identify schemes and offers on products.

3. Shelf Edge Labels (SEL): SELs are used to display the prices of the products. At

Reliance Fresh, Hand Held Terminal (HHT) is used to give commands for the purpose of

printing updated SELs. This makes it quite convenient for the CCAs to promptly change

the SELs. A portal is there in place through which the print command is accepted and

prints given.

4. Shelf Talkers: These are used to display promotional schemes on a visually attractive

format.

All of the above are used to impressively inform the customer about running promotions

and availability of products.

3. Managing Receipts

Managing receipts involves defining the manner in which the retailer is going to receive

payments for the sales.

At Vishal megamart the payment is received in the following forms:

1. Cash

2. Credit / Debit Card

All the responsibilities pertaining to Cash management is on Commercial & Accounts (C&A).

The prime responsibility of C&A is Till Management.

He has to ensure proper and smooth running of Tills.

He maintains changes and float cash (Rs.1500) in the till.

He has to ensure that there is no long queues while bill, if at all there is he has to open another

till. Almost every CCA is trained to run the billing which is done on Retailix software. It is a

known fact customers are reluctant to shop on places with long queues. There Queue

Management is a very important as proper customer service is concerned and helps toward

customer satisfaction

4. Customer Service

The customer service policy adopted by Vishal megamart is quite impressive and definitely

helping it to achieve customer satisfaction and delight.

The customer service policy is put into practice by the store staff primarily by the MSR and then

Supervisor on the floor.

This policy doesn’t begin and end at the customer service counter in the retail store. Every staff

member is advised to ensure that the customer, who comes in contact with him/her, is

comfortable and has a pleasant shopping experience.

An important aspect which affects a customer’s perception of the retail store is the experience

that he has while billing the products purchased by him. While a customer may spend hours

choosing the product that he like waiting for a long time of payment. Long queues result in

disgruntled customers. Vishal megamart operations is geared to

handle such a situation. It has provided proper training to each staff to handle cash counters.

Several important steps have been taken by Vishal megamart to serve its customers better:

Customer Greeting: Every staff member has been asked to make eye to eye contact with

customers and greet them on first contact in the store.

PR & Rapport: Staff members are advised to make good personal relations with its

customers and make a good rapport.

Proper Attention & Assistance: In case a customer has any query the staff member in

contact is supposed to give proper attention and assist him/her with proper solution.

Enrolling in Loyalty program: MSR is expected to make new member in its loyalty

program. It helps company to study the customers changing taste and preferences. It also

helps Vishal megamart to regularly communicate to its customers on latest promotions.

On the part of customer feels alighted for being a part of such a program where he is

given due attention and also offered loyalty bonus points which can be encashed on a

regular basis.

Telecalling: Telecalling is also done from the store by the MSRs to the regular members

for informing them about latest promotional offers and schemes.

Home Delivery: This facility has also been introduced to give customers a more

customised service.

Scheme Announcements: Regular announcement is done within the store to

communicate to its customers about schemes and offers.

Addition of items at store level: Items can be added at the store level if there is a

persistent demand of that product. This has to be conveyed to the category team which

further does the needful.

Newspaper Insertions: Insertions on weekends about the offers are done to

communicate to its customer.

Putting up banners in catchments: Also done to communicate to its customers.

Upselling by Staff members: The staff members’ upsell their products like if a customer

has purchased for Rs.700 the staff member communicates about scheme on high value

purchase like plate set free on purchase of Rs.999/- which benefits the customer as he/she

gets a good offer and as a retailer Reliance Fresh gets an opportunity to increase ticket

size as well as win customer loyalty.

Maintenance of Complaint Book: A complaint book has to be maintained at the

customer service desk where incase of customer wanting to lodge complaint can do it.

This has to be resolved in a specified time.

All of the above plays a major role in creating an atmosphere which leads to a Customer

Delight.

5. Managing Promotions

Events and promotions are very much a part of the retail marketing scene. In order to enable the

success of such an event or a promotion, the store is geared up with prior preparation of such an

event.

At Vishal megamart a KIDS CARNIVAL was organised where blank sheets was given to kids

who had to draw painting and submit in a day.

Gifts were distributed to them. This type of events create a bond with its participants and when

they are children it becomes more important as we know there importance in decision taken even

by their parent.

Thus from all of the above we come to understand how most of the process in Store

Operations if direct intelligently can reduce costs apart from an important aspect of

achieving Customer Satisfaction and Delight which will contribute towards long term

success.

RESEARCH OBJECTIVE

It is said that the well defined objective is half attained. In order to make sure that a proper

research has been taken ensures defining clear cut objectives and outline is a prerequisite. The

research objectives of the study are:-

To find out the consumer perception about the organization retailers with reference to

Vishal mega mart.

To study the buying behavior pattern of the customers of Vishal mega mart.

To find out the factor which influencing the consumer buying behavior at

Vishal mega mart.

To analyze the foot fall concession strategy used by the Vishal mega any it’s input on

the consumer

RESEARCH METHODOLOGY

The second stage of marketing research calls for developing the most efficient plan for

gathering the needed information. Designing the research plan calls for decision on the data

sources, Research Approaches, Research Instrumental, and Sampling Plans & Contact

Methods. Research methodology deals with the various methods of research. The purpose of

the research methodology is to describe the research procedure used in the research.

Research methodology overall includes the research design, data collection method and

analysis procedure which are used to explore the insight information from the research

problem. Research methodology helps in carrying out the project report in by analyzing the

various research findings collected through the data collection methods. Marketing Research

is the backbone of marketing. The objective of my research is to study the consumer

perception about Parle agro product in rural market of Agra region. The nature of my

research is exploratory research. Its goals to shed light on the real nature of the problem and

to suggest possible selection and its involves number of steps.

RESEARCH DESIGN

Research design is an important and the vital part of the research. Research design is a

comprehensive master plan specifying the procedure for collecting and analyzing the needed

information. Research design provides an excellent framework for the research plan of

action. The function of the research design is to ensure that the required data is in

Accordance; research design is a blue print for the research study, which guides research in

collecting and analyzing the data.

Here in the project I have used two type of research design.

1. Exploratory Research Design

2. Conclusive Research Design

EXPLORATORY RESEARCH DESIGN

Exploratory research design helps the researcher in getting the insight information from the

research problem. Generally all the marketing research is done with help of this design as it

provides sharp focus of the problem under research. Exploratory research lays emphasis on

the discovering of ideas and possible insight to get the information needed to carry out the

research. This has been used in the research design for project under study.

CONCLUSIVE RESEARCH DESIGN

Conclusive research design is the design, which helps the researcher in studying the research

problem in the conclusive form; this helps the researcher in choosing the possible cause of

action from various alternatives to make a rational design. Hence this type of research has

being used in this research project.

SOURCE OF DATA

The task of data collection begins after a research problem has been defined and research

design /plan chalked out. I shall collected my research data from secondary as well as

primary sources from random sampling survey. The success of any project or market survey

depends heavily on the data collection and analysis. It is necessary that the data collected is

a reliable data in order to achieve the research objective. All data sources can be classified

into two:

1. Primary Data

2. Secondary Data

PRIMARY DATA:

Primary data is the data, which are fresh and collected for the first time, and are original in

character. There are various Primary Data Collection techniques, which have helped in data

gathering.

SECONDARY DATA:

Secondary data are those data, which have been already collected or published for the

purpose other than specific research need at hand. This data is simply used up

by the researcher for his purpose of collected data and it’s used for the same purpose. The

secondary data sources here in this project are:

a. Websites

b. Books

QUESTIONNARE

Name: ______________________________________

Contact No.__________________________________

1) Spending pattern of regular customers of Vishal megamart & others

(a) Vishal megamart

(b) bigbazar

(c) Neighbourhood Kirana Store

(d) Others

2) Monthly Expenditure (Rs.) on Food and Grocery

(a) < 2500

(b) 2500 - 5000 

(c) 5000 - 10000

(d) 10000 & Above

3) Preferred Schedule of Purchase

(a) Monthly

(b)Weekly

(c) Daily

4) Total spend in Vishal megamart

(a) 0% (c) 25% - 50%

(b)1% - 25% (d) > 50%

5) Total spend in Vishal megamart on F & V

(a) 0% - 25%

(b) 25% - 50%

(c) 50% - 75%

(d) > 75%

6) USP of Vishal megamart as viewed by the customers.

a. Better Price

b. Freshness & Quality of Products

c. Merchandise

d. All of the above

7) Prime Factor on which the Respondents decided from where to purchase

(a) Better Price

(b) Freshness & Quality of Products

(c) Merchandise

(d) Service