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Preface
The I nd ian Ret ai l I ndus tr y i s t he l ar gest among a ll t he i ndus tr ie s,
accounting for over 10 per cent of the countrys GDP and around 8 per cent
of the employment. The Retail Indust ry in India has come for th as one of
the most dynamic and fast paced industries with several players entering the
market.
Modern retai l has entered India as seen in sprawling shopping centers ,
multi-storied malls and huge complexes offer shopping, entertainment and
food all under one roof.
As the contemporary re ta il s ec tor in India i s r e fl ected in sprawling
shopping centers , mul t iplex- mal ls and huge complexes offer shopping,
enter tainment and food al l under one roof , the concept of shopping has
al tered in terms of format and consumer buying behavior , usher ing in a
revolution in shopping in India.
V Mart , a leading chain of complete family l ifestyle stores spread across
India. In the rapidly growing retai l industry , V Mart has successfully
created a niche for i tself . Ltd. operates a chain of retai l s tores and sells
groceries, apparel , footwear, and menswear to middle and lower-middle
segments. Less Price Fashion is the main motto through which V Mart
believe in providing the latest t rends to the upwardly mobile Indians at
the best possible price.
V mart provides a comple te r ange of products r anging f rom Clothes,Accessories & Footwear for men, women and kids bes ides Cosmetics,
Luggage and Toys & Games. I t also provides a wide range of food, non-
food and staple items in our Kirana Bazaar section.
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Acknowledgement
A task or project cannot be completed alone. It requires the effort of many
individuals . I t ake thi s opportuni ty to thank a ll those who helped me
complete this project.
I express my s incere grat itude to Sir Adrish Bosu for g iv ing us the
oppor tunity to undergo thi s projec t . I fur ther thank h is for l ending a
helping hand when i t came to solving my problems related to the project .
This project would not have been possible without his valuable t ime andsupport.
I also thank Centum Learning Centre; Ajmer affiliated to Annamalai
University, Tamilnadu for an oppor tunity to under take a Soft ski ll s
project at the s tar t of our MBA course which helped us to unders tand
deeply for those topics which are untouched.
This project i s an at tempt to talk about the Marketing Strategies of a
Retail Chain Organization The 3Ps (Physical Evidence, Process &
People) of V-Mart, Ajmer .
Any suggestions to improve are always welcome.
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CERTIFICATE
This is to certify that the Project Report titled Marketing Strategies of a Retail
Chain Organization The 3Ps (Physical Evidence, Process & People) of V-Mart,
Ajmer submitted by Hemlata Jodhwat Enroll No: 5310801014 during Semester
Second of the MBA Program embodies original work done by her.
Signature of the Faculty Supervisor
Name (in Capitals) : Sir Abhinav Nigam
Designation : Faculty Incharge
Campus : CentumLearning Centre, Ajmer
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Contents
1 Introduction 4
2 Key Points of Indian Organised Retail Industry 6
3 Companys Profile: V-Mart 7
1. History 7
2. Mission 9
3 Visions 9
4. Values 9
4 V-Mart Ajmer 11
5. Profile 11
6. Segmentation 11
5 V Mart Aspire 12
6 V Mart Plus 12
7 V Mart Corporate 12
8 V Mart Values 12
9 Our Culture 15
10 Offers 16
11 Management Style 17
12 The Strategy 17
13 Marketing Strategies of A Retail Chain 18
Organisation The 3ps Of V Mart, Ajmer
14 Physical Evidence 2015 Process 2116 People 22
17 Objective 26
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18 Research Methodology 27
7. Data Source 28
8. Research Instruments 29
9. Sampling Plan 30
19 Analysis and Interpretation 31
20 Findings 37
21 Recommendations 38
22 Limitations 39
23 Conclusion 40
24 Bibliography 41
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Introduction
The Indian Retai l Indust ry is the larges t among al l the indust r ies ,
accounting for over 10 per cent of the countrys GDP and around 8 per cent
of the employment. The Retail Indust ry in India has come for th as one of
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the most dynamic and fast paced industries with several players entering the
market.
Retail ing in India is gradually inching i ts way toward becoming the
next boom industry. The whole concept of shopping has al tered in terms of
format and consumer buying behavior, ushering in a revolution in shopping
in India. Modern retai l has entered India as seen in sprawling shopping
c en te rs , m ul ti- st or ie d m all s a nd h ug e c om pl ex es o ffe r s ho pp in g,
entertainment and food al l under one roof. The Indian retai l ing sector is at
an inflexion point where the growth of organized retailing and growth in the
consumpt ion by the Indian popula tion i s going to t ake a h igher growth
trajectory. The Indian population is witnessing a significant change in i ts
demographics.
Retai l and real es tate are the two booming sectors of India in the
present t imes. And if industry experts are to be believed, the prospects of
both the sector s a re mutual ly dependent on each o ther. Reta il , one of
Indias largest industries, has presently emerged as one of the most dynamic
and fas t paced indust r ies of our t imes wi th several players enter ing the
market . Accounting for over 10 per cent of the countrys GDP and around
eight per cent of the employment retai l ing in India is gradually inching i ts
way toward becoming the next boom industry.
As the contemporary retai l sector in India is reflected in sprawling
shopping centers , mult iplex- malls and huge complexes offer shopping,
enter tainment and food al l under one roof , the concept of shopping has
al tered in terms of format and consumer buying behavior , usher ing in a
revolut ion in shopping in India. This has also contr ibuted to large-scaleinvestments in the real estate sector with major national and global players
investing in developing the infrastructure and construction of the retai l ing
business. The trends that are driving the growth of the retail sector in India
are
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Low share of organized retailing
Falling real estate prices
Increase in disposable income and customer aspiration
Increase in expenditure for luxury items
Another credible factor in the prospects of the retai l sector in India is
the increase in the young working popula tion . In India, hefty pay
packets, nuclear families in urban areas, along with increasing working-
women populat ion and emerging oppor tuni t ies in the services sector .
These key factors have been the growth drivers of the organized retai l
sector in India which now boast of retai l ing almost al l the preferences
of life - Apparel & Accessories, Appliances, Electronics, Cosmetics and
Toi le tr ies , Home & Off ice Product s, Travel and Leisure and many
more. With this the retai l sector in India is witnessing rejuvenation as
t radi t ional markets make way for new formats such as depar tmentalstores, hypermarkets, supermarkets and specialty stores.
The re ta il s ector i s changing as new s tore ca tegor ies have s tar ted
dominating the marketp lace. Mass merchandisers (Wal-Mar t, Big
Bazaar) , discount clubs (V-Mart) , so-cal led category ki llers (Home
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Depot, Vishal chain), and specialty retailers (Time Zone, Tanishq) have
al l developed a successful retai l models . At the same t ime, the smal l
mom-and-pop stores and the tradit ional department stores, are f inding
the competi tion intense . Smal l independent s tores , across product
categories, is a very common retai l formats they are also undertaking
large scale r enovations to appeal and a tt rac t the ir t arget consumer
segments.
Key Points of Indian Organised Retail Industry
1. Potential to be the third largest economy in terms of GDP in next
few years
2. It ranks high amongst the top 10 FDI destinations of the world .
3. Fastest growing tourist market in Asia.
4. World bank states, India to be worlds second largest economy after
China by the year 2050.
5. Stable and investor friendly Central Government at the helm of
affairs.
6. Introduction of Value Added Tax or VAT and tax reforms.
7. High degree of professionalism and corporate ethics.
8. Excellent Investment opportunities in Indian retail sector and in
allied
sectors; sure and high returns on investments.
9. To invest US $130 billion for the development of infrastructure, by
year 2010.
10. Hordes of foreign investors are thronging in to invest in
Indian retail
markets.
11. Highly educated English speaking young workforce.
12. Vibrant and multi cultured cities.
13. Huge opportunity exists, especially in semi-rural and rural
areas.
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14. Till date the second largest employer after agriculture sector,
for the
huge semi-skilled Indian population.
15. Offers highest shop density in the whole world.
16. Having almost 1,20,000 shops, across the length and breadth
of the country.
Companys Profile: V-MART
History
V mart retail ltd. was established in the year 2002. The company made itsforay into retail sector in October 2003 by openingits maiden showroom in Ahmedabad.
Today V Mart has 53 stores across 42 cities and isexpanding at a rapid pace with a turnover of morethan 150 crores last year.
V Mart, a leading chain of complete familylifestyle stores spread across India. In the rapidlygrowing retail industry, V Mart has successfullycreated a niche for itself.
V Mart is one of Indias fastest growing value-retai ler promoted by Mr.Lali t Agarwal , a f ir st genera t ion entrepreneur . I t operates a chain of medium sized hypermarket format retail stores (10000-12000 sq. Ft.) Witha focus on tier II and tier III cities.
V-Mar t Ret ai l Pvt ., L td . ope ra te s a cha in o f r et ai l s to res and s el lsgroceries, apparel , footwear, and menswear to middle and lower-middlesegments. Less Price Fashion is the main motto through which V Mart believe in providing the latest t rends to the upwardly mobile Indians atthe best possible price.
V mart provides a comple te r ange of products r anging f rom Clothes,Accessories & Footwear for men, women and kids bes ides Cosmetics,Luggage and Toys & Games. I t also provides a wide range of food, non-food and staple items in our Kirana Bazaar section.
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In an extremely fashionable and price conscious market, V Mart has been
successful in maintaining the equil ibrium between the quali ty and price.
Through i t s chain of s tores , the company always s t r ives to offer to the
I nd ian mas ses excel lent ambience and t remendous conveni ence f or
shopping.
During a downturn, cost reduction is paramount, and often promoters have
nary a c lue on how to go about the t ask in an ef fec t ive manner . Lal i t
Agarwal, Chairman of V-Mart and also brother of Ram Chandra Agarwal,
Chairman of Vishal Retail- had big plans to take his discount retai l chain
from 23 to 75 stores across India. He had a reason to dream big as he was
f lush with funds rece ives f rom Aditya Bir la Priva te Equi ty (ABVE)
around Rs. 60-70 crore.
Just Before Lali t Agarwal could go ahead
w ith t he b lu ep ri nt fo r t he n ati on wi delaunch, he had one more task to complete:
To revisit the drawing board, this time with
Bharat Banka, Managing Director & CEO ,
ABVE in tow . Banka suggested a clustered
approach o f i nc reas ing s to re p resence
within exist ing states instead of spreading
wings across al l regions and states. That proved to be a crucial tweak in
the launch game plan. Our over-aggressiveness was curtai led. We started
penetrat ing into ci ties wi thin exist ing s tates rather than spreading out
everywhere, admits Agarwal. Today, his company has managed to more
than double the number of s tores to 53 but just across 10 states as against
a presence in eight states pre expansion.
Turnover was up 50 percent last f iscal over a year ago capital expenditure
was tr immed by 40 percent and saving on advert isements and manpower
cost s were u ti li sed on researching regional t as tes in the s ta tes where
VMart has a p resence. I t a ls o s hi ft ed t hr ee unpro fi tabl e s to res and
negotiated lease rents at s tores where sales were sluggish. While Agarwal
is hes i tant to share actual numbers , the cos t of operat ions due to these
consolidated efforts has come down by 20 percent s ince the beginning of
this year. V Mart was an early follower of the clustered approach, and i t
is reap ing the benefits now .
Mission
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To Be A Leading Company In Value For Money Segment Of Retail. To
Cross A Turnover Of 1000 Crores.
Vision
Qual i ty products at reasonable pr ices in an excel lent ambience to every
strata of the Indian society. To provide best value for money and latest
fashion to the Indian consumer. Our slogan is SABSE SASTA, SABSE
ACHCHA
Values
We will be four & honest.
We respect our customers & their hard earned money
We are socially responsible.
We will have an environment for Innovation & Development
We will have an atmosphere of Training / Guidance
We will take only that which is ours.
We will pass whatever extra benefits we get to our valued customers
It will always be CUSTOMER FIRST for us
The philosophy behind Sabse Sasta, Sabse Achcha or Best Products
at Lowest Prices i s t o f ul ly r es pect t he har d ear ned money o f our
customer. The slogan signifies value for money,
because the company caters to the middle and lower-middle
segment of the socie ty . V Mart provides the comfor t of
shopping a t a b ig r eta il s tore a t a ffordable pri ces. We
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s tr ive to g ive you top qual ity products a t the best poss ib le pr ice. To
a ch ie ve th is , o ur m er ch an dis er s p ro cu re p ro du ct s fr om th e m os t
competi t ive sources globally. Our in-house designers & Quali ty Control
depar tment ensure that bes t qual i ty products come out of our in-house
manufacturing units.
V-Mart Ajmer
Profile
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V mart Ajmer was es tabl ished in the year 2004 near Ajmer Museum,
Naya Bazar. I t is one km from Ajmer Railway Station; this format is f irst
of i ts kind in Ajmer and i t has a big and at tractive building According to
V-Mart Retai l Vice-Pres ident Abhishek Jetia company also s tar ts his
outlets in Delhi , Punjab, Mumbai, Bhopal, Rajkot, Vadodara, Kohlapur
wi th Ajmer outl et . The a im of thi s outl e t i s primari ly ca ters to the
burgeoning middle and lower mid-segment consumer group, which forms
an integral par t of Indias growing purchas ing power . I t has been our
constant endeavor to reach out to masses and offer world-class shopping
experience at affordable prices.
Segmentation
V Marts products cater to the needs of al l the segments of the society .
The product portfolio is given below.
Casual wear for the younger segment.
Formal wear to cater to the executives and working professionals
Womens apparel r anging f rom t radit ional Indian wear l ike to
contemporary wear and other accessories.
Kids section catering to baby and kids market with clothes, school
bags, meal boxe s, bottles etc.
Home Mart that provides the dai ly household needs l ike crockeryand other general items.
Grocery under the section Kirana Bazaar at most of i ts outlets with
the aim of providing all daily household needs under one roof.
With providing contemporary fashion at a reasonable pr ice, V MART,
Ajmer has been successful in creating an identi ty for i tself amongst the
target segment of the society. For the convenience of customers as well as
to ident i fy the s tores s tock requirements and sales pat tern, V MART,
Ajmer has internally created 4 divis ions /formats that are ment ioned
below.
V Mart Aspire
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Kids (Girls)Upper - Tops, T-Shirts
Lower - Bermudas, Capris, Half Pants, Jeans, Skirts, Trousers
Ethnic - Ethnic Suits, Lachas, Salwar Suits
Accessories - Bags, Caps, Hair Bands, Purse, Socks, Wrist Watches
U-Garments - Inners, Pant
Kids (Boys)Upper - Shirt, T-Shirts
Lower - Half Pants, Jamaicans Jeans, Trousers
U- Garment - Vests, Briefs
Ethnic - Kurta Pyjamas, Sherwanis, Suits
Accessories - Belts, Caps, Goggles, Socks, Wrist Watches
Infant Accessories and Garments
Upper - Shirt, T-Shirts
Lower - Half Pants, Jamaicans Jeans, Trousers
U- Garment - Vests, Briefs
Ethnic - Kurta Pyjamas, Sherwanis, Suits
Accessories - Belts, Caps, Goggles, Socks, Wrist Watches
Upper - Tops, Casual Shirts, Formal Shirts, Kurtas
Lower - Trousers, Jeans, Shorts, Skirts, Capris
Ethnic - Dress Fabrics, Lachas, Salwar Suits, Sarees
Accessories - Bags, Belts, Sunglasses, Socks, Wallets
U-Garments - Slips, Bras, Panties, Swim Wears
W-Wear - Blazers, Cardigans, Coats, Jackets, W-Tops
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Accessories
Bags & Luggage - College Bags, Executive Bags, File Bags, Laptop Bags, School Bags,
Strolly Bags, Travel Bags
Fashion Jewellary - Anklets, Bangles, Earrings, Cluctchers
Office Stationery - Cd Holders, Mouse Pads, Staplers, Folders
School Stationery - Pens, Crayons, Pencil Boxes, Sketch Pens, Stationery Sets
Accessories - Belts, Caps, Goggles, Socks, Wrist Watches
Home mart
Crockery - Coffee Mugs, Cup & Saucers,Glass Sets, Dinner Sets, Soup Sets
Electrical Appliances - Irons, Microwaves, Sandwich Makers, Vacuum Cleaners
Home Furnishing - Mats, Pillow Covers, Curtains, Bed Sheets
Footwear Mart
Ladies - Chappals, Slippers, Sandle, SneakersMens - Chappals, Floaters, Nagras, Sandles, Shoes, Slippers, Sneakers
Girls - Chappals, Slippers, Sandles, Shoes, Sneakers
Boys - Chappals, Floaters, Nagras, Sandles, Shoes, Slippers, Sneakers
Infant - Chappals, Sandles, Shoes
Our culture
At V Mart,Ajmer, Empowerment is what you acquire and Freedom at Work
i s what you get . We bel i eve our mos t va luable as se t s a re our People .
Young in spir i t , adventurous in action, with an average age of 27 years,
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our ski ll ed & qual if ied professionals work in an envi ronment where
change is the only constant.
Powered by the desire to create path-breaking practices and held together
by va lues, work in thi s people intens ive indust ry i s driven by sof ter
issues. In our world, making a difference to Customers l ives is a Passion
and performance is the key that makes it possible. Out of the Box thinking
has become a way of life at V Mart and living with the change, a habit.
L ea de rs hi p i s a v al ue th at i s f ol lo we d b y o ne a nd a ll a t V M ar t.
Leaders hi p i s t he qua li ty t ha t mot ivat es us t o never s top l ea rn ing,
stretching to reach the next challenge, knowing that we will be rewarded
along the way. In the ques t of creat ing an Indian model of retail ing, V
Mart has taken init iat ives to launch many retail formats that have come
headed for serve as a benchmark in the industry. Believing in leadership
has given us the opt imism to change and be successful at i t . We do not
predict the future , but create it .
At V Mart you will get an opportunity to handle mult iple responsibil i t ies ,
and therein, the grooming to play a larger role in the future. Work is a
uni que mix o f p rese rv ing our cor e I nd ian val ues and y et p rovi di ng
customers with a service, on par with international standards.
At V Mart you will work with some of the brightest people from different
spheres of indust ry . We beli eve i t s a p lace where you can l ive your
dreams and pursue a career that reflects your skills and passions.
OFFERS
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V MART provides many offers to the customers this also a strategy to promote sale and
proves companys logo SABSE SASTA SABSE ACHCHA
S
P
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F
FE
R
S
P
E
C
I
A
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F
FE
R
S
P
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I
A
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O
F
FE
R
SPECIAL OFFER
SP
E
C
I
A
L
O
F
F
ER
SP
E
C
I
A
L
O
F
F
ER
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S
P
E
CI
A
L
O
F
F
E
R
Management Style
The organizat ion s t ructure for V Mart i s f lat in nature. For V Mart , the
divisions are apparel , non apparel and the new business division, which
includes garments , footwear and the shopping-shops . For Food Mart , aseparate teem has been created which again works independently.
About 1,800 people work for di rectly . Suppor t and ancil lary services
comprise another 400 people. A new trainee is put through a basic three
day training program before going on the shop floor. Evaluation is done
every six months.
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The Strategy
Saving is a key to the Indian middle class consumer . The s tore, which
would be created, had to offer value to the consumer . Keeping this in
mind, the concept of V Mart was created.
In India , when a customer needs some thing for the home, a typica l
thought is to seek it from the bazaar. A bazaar is a place where a complete
range of products is always available to the consumer. This is t rue across
India. As the s tore would offer a large mix of products at a discounted
p ri ce , t he name V Mar t was f inal ized . The i dea was t o r e- cr ea te a
complete bazaar, with a large product offering (at t imes modified to suit
local needs) and to offer a good depth and width in terms of range. The
mind to market for the first store was just six months.
Pr ice was the basic va lue propos it ion a t V Mar t. The V Mart , Ajmer
s t r a tegy was to se l l var i e ty of product s a t pr i ces , which were 5 to 60
per cent l ower t han t he mar ke t p ri ce . The l ine Sabse Sasta Sabse
Achcha emphasized this
Marketing Strategies of a Retail Chain Organisation The 3Ps of V
Mart, Ajmer
RETAIL MIX.
The retai l mix i s the combination of f actor s r etai l used to sat is fi ed
customer needs and inf luences thei r purchase decis ion. I t s include the
t yp e o f m er ch an di se a nd s er vi ce s o ff ere d, m er ch an dis e p ri ci ng ,
adver t is ing, promot ional programs s tore design merchandise display,
ass is tance to cus tomer provided by salespeople, and convenience of the
stores location.
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Retail mix is the term used to describe the various elements and methods
required to formulate and execute retail marketing strategy.
Retail managers must determine the optimum mix of retailing
activities and coordinate the elements of the mix.
The aim of such coordination is for each store to have a distinct
retail image in consumers mind.
The mix may vary greatly according to the type of the retailer is in,
and the type of product/services.
While many e lements may make up a f irms r e ta il mix , the es senti alelements may include:
Store location,
merchandise assortments
Store ambience,
customer service,
price,
Communication with customer
Personal selling
Store image
Store design
Sales incentives
People
Process
Physical evidence
Composition of retail mix
Place
Product
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Price
Promotion
People
Process
Physical Evidence
For study of our project report we have laid emphasis on the 3 important
Ps which are termed as Extended Marketing Mix :
Physical Evidence
Process
People
Physical Evidence
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Where is the service being delivered? Physical Evidence is the element of
the service mix which al lows the consumer again to make judgments on
the organisation. If you walk into a restaurant your expectat ions are of a
clean, f r iendly environment . On an ai rcraf t i f you t ravel f i r s t class you
expect enough room to be able to lie down!
Physical evidence is an essential ingredient of the service mix; consumers
will make perceptions based on their s ight of the service provision which
will have an impact on the organisations perceptual plan of the service.
Physical evidence is the material part of a service. Strictly speaking there
are no physical at t r ibutes to a service, so a consumer tends to rely on
material cues. There are many examples of physical evidence, including
some of the following:
Packing
Internet web pages
Paperwork (such as invoices, tickets and dispatch notes)
Brochures
Furnishing
Signage (such as those on aircraft and vehicles)
Uniforms
Business cards
The building itself (such as prestigious offices or scenic headquarter)
Mailboxes and many other.
Organiza tions depend heavily upon phys ica l ev idence as a means of
marketing communications, for example A sporting event is packed full of
physical evidence. Your t ickets have your team's logos printed on them,
and players are wearing uniforms. The stadium itself could be impressive
and have an e lec tr ifying a tmosphere. You t ravel led there and parked
quickly nearby, and your seats are comfortable and close to restrooms and
store. All you need now is for your team to win!
Process
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Refers to the systems used to assist the organisation in delivering the
service. Imagine you walk into Burger King and you order a Whopper
Meal and you get it delivered within 2 minutes. What was the process that
allowed you to obtain an efficient service delivery? Banks that send out
Credit Cards automatically when their customers old one has expired
again require an efficient process to identify expiry dates and renewal. An
efficient service that replaces old credit cards will foster consumer loyalty
and confidence in the company.
Process is another element of the extended marketing mix, or 3P's.There
are a number of perceptions of the concept of process within the business
and marketing literature. Some see processes as a means to achieve anoutcome, for example - to achieve a 30% market share a company
implements a marketing planning process. Another view is that marketing
has a number of processes that integrate together to create an overall
marketing process, for example - telemarketing and Internet marketing can
be integrated. A further view is that marketing processes are used to
control the marketing mix, i .e. processes that measure the achievement
marketing objectives. All views are understandable, but not particularly
customer focused.
For the purposes of the marketing mix, process is an element of service
that sees the customer experiencing an organisation's offering. It 's best
viewed as something that your customer participates in at different points
in time. Here are some examples to help your build a picture of marketing
process, from the customer's point of v iew.
Going on a cruise - from the moment that you arrive at the dockside, you
are greeted; your baggage is taken to your room. You have two weeks of
services from restaurants and evening entertainment, to casinos and
shopping. Finally, you arrive at your destination, and your baggage is
delivered to you. This is a highly focused marketing process.
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People
An essential ingredient to any service provision is the use of appropriate
staff and people. Recruiting the right staff and training them appropriately
in the del ivery of thei r service is essent ial i f the organisat ion wants to
obtain a form of competi t ive advantage. Consumers make judgments and
del iver percept ions of the service based on the employees they interact
with. Staff should have the appropriate interpersonal skills, aptititude, and
service knowledge to provide the service that consumers are paying for .
Many organisations aim to apply for the Investors In People accreditation,
which tel l s consumers that s taf f are taken care off by the company and
they are trained to certain standards.
People are the most important e lement of any serv ice or experience.
Services t end to be produced and consumed a t the same moment , andaspects of the cus tomer exper ience are al tered to meet the ' individual
needs ' of the person consuming i t . Most of us can think of a s i tuat ion
where the personal service offered by individuals has made or tainted a
tour, vacation or restaurant meal. Remember, people buy from people that
they like, so the attitude, skills and appearance of all staff need to be first
class. Here are some ways in which people add value to an experience, as
part of the market ing mix - t ra in ing , personal se ll ing and cus tomer
service.
The f inal P of the marketing mix is people. Develop the habit of thinkingi n t er ms o f t he peopl e i ns ide and out si de o f y our bus ines s who a re
responsible for every element of your sales and market ing s t rategy and
activities.
I t' s amazing how many entrepreneurs and bus inesspeople wil l work
extremely hard to think through every element of the marketing strategy
and the marketing mix, and then pay l i t t le at tention to the fact that every
single decision and policy has to be carried out by a specif ic person, in a
speci f ic way. Your abi l i ty to select , recrui t , hi re and retain the proper
people, with the skills and abilities to do the job you ne ed to have done , is
more important than everything else put together.
In his best-sel l ing book, Good to Great , J im Coll ins discovered the most
important factor applied by the best companies was that they f irst of al l
"got the r ight people on the bus, and the wrong people off the bus." Once
these companies had hi red the r ight people, the second s tep was to "get
the right people in the right seats on the bus."
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To be successful in bus iness , you must develop the habi t of thinking in
terms of exactly who is going to carry out each task and responsibil ity. In
many cases, it 's not possible to move forward until you can attract and put
the r ight person into the r ight posit ion. Many of the best business plans
ever developed s it on shelves today because the [people who crea ted
them] could not find the key people who could execute those plans.
Training
All cus tomer f ac ing per sonnel need t o be t ra ined and devel oped t o
maintain a high quali ty of personal service. Training should begin as soon
as the individual s tarts working for an organization during an induction.
The induction will involve the person in the organization's culture for the
f ir st t ime, as well as bri ef ing h im or her on day- to-day poli cies and
procedures. At this very early stage the training needs of the individual
are ident i fied. A t raining and development plan is const ructed for theindividual which sets out personal goals that can be l inked into future
appraisals . In practice most training is ei ther 'on-the-job' or 'off- the-job. '
On- the- job t raining involves t raining whi ls t the job is being performed
e.g. training of bar staff. Off-the-job training sees learning taking place at
a col lege, t raining centre or conference faci l i ty . At tent ion needs to be
paid to Continuing Professional Development (CPD) where employees see
t he ir p ro fe ss io na l le ar nin g a s a l if el on g p ro ce ss o f tr ain in g a nd
development.
Personal Selling
There are di f ferent kinds of salesperson. There is the product del ivery
salesperson. His or her main task is to deliver the product, and sell ing is
of less impor tance e.g. fas t food, or mai l . The second type is the order
taker, and these may be ei ther ' internal ' or 'external . ' The internal sales
person would take an order by telephone, e-mai l or over a counter . The
external sales person would be working in the f ield. In both cases l i t tle
sell ing is done. The next sort of sales person is the missionary . Here, as
wit h t hose mis si onar ie s t ha t p romote f ai th , t he s al es pe rs on bui lds
goodwill with customers with the longer-term aim of generating orders.Again, actual ly clos ing the sale i s not of great impor tance at this ear ly
s tage. The for th type is the technical salesperson , e .g. a technical sales
eng inee r. The ir i n- dept h knowl edge s upport s t hem as t hey adv is e
customers on the best purchase for their needs. Finally, there are creative
sellers. Creat ive sel lers work to persuade buyers to give them an order .
This is tough selling, and tends to offer the biggest incentives. The skill is
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identifying the needs of a customer and persuading them that they need to
satisfy their previously unidentified need by giving an order.
Customer Service
Many products , serv ices and experiences are suppor ted by customer s er vi ces t eams . Cus tomer s er vi ces p rovi ded exper ti se ( e.g. on t he
selection of f inancial services) , technical support(e.g. offering advice on
IT and software) and coordinate the customer interface (e.g. controll ing
service engineers , or communicat ing wi th a salesman) . The disposit ion
and at t i tude of such people is vi tal ly important to a companyThe way in
which a complaint is handled can mean the difference between retaining
or los ing a cus tomer , or improving or ruining a company 's reputat ion.
Today, customer service can be face-to-face, over the telephone or using
t he I nt er ne t. Peopl e t end t o buy f rom peopl e t ha t t hey l ike, and s o
effect ive cus tomer service is vi tal Customer services can add value by
offering customers technical support and expertise and advice.
OBJECTIVE
To understand the different marketing strategies being followed by V Mart,
Ajmer.
To learn their marketing mix.
Market ing help to def ine the bus iness for the cus tomer 's interes ts , not
your own. I t 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 cus tomer reacted to a market ing program as expected. The
benefits of market research include:
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Learning who your customers are and what they want.
Learning how to r each your customers and how f requently you
should try to communicate with them.
Learning which adver t is ing appeals are most ef fect ive and which
ones get no response.
Learning the relat ive success of different marketing strategies, thus
improving return on investment.
Learning how not to repeat your mistakes.
V Mart has been the pioneer of retail revolution. Its first fight was against
local Kirana stores. The task was to change the mindset of consumer to br ing about changes in thei r shopping pat terns . I t wanted people to do
bulk shopping for their monthly ration instead of going to the shop each
week.
For the betterment of this Project I also set some objectives in front
of me, this proved very helpful in this Project . I have performed work
according these objectives. The objectives, which we have selected, are as
below.
1 . To ide ntify an d u nd erstan d t he sig nifica nc e o f retailin g in the
current business environment
2 . To devel op gui de li nes t o bui ld a r et ai li ng busi ness
3 . To identi fy the paradigm shif ts in re ta il ing business with increasing
scope of technology / e-business and develop strategies accordingly
4 . To unders tand the bene fi ts to cus tomers fr om Ret ai l s ec to r.
5. To know about V-Mart .
6 . To know about it s s tr engths , weaknesses, oppor tunit ies & threa ts .
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7. To earn practical knowledge.
8 . To anal yze pr ob lems which I am f ac ing whil e wor ki ng on f ie ld .
9 . Last b ut n ot least to kn ow ab out mark etin g s trateg ies- ph ysic al
evidence, process and people.
Research Methodology
Research Plan obta in p ioneer p lace whi le working on any
project. So we go through the research plan.
The research plan is as follows:-
While working on our Projec t r eport , the par ti cipa t ion of
manager, sales manager, marketing manager, auditor , employees, etc. &
our professors enlighten the use of theoretical concepts in actual business
world. Their views & suggest ions proved very useful in the successful
completion of our Management Project.
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We developed the research plan into various components:-
A] Data sources
B] Research instruments
C] Sampling methods
A] Data Sources
1) Primary data:-
Primary data i s col lected f rom the local i ty of the coverage
area . We have t aken in to cons idera tion the v iews of manager , sales
manager, marketing manager, auditor , employees, etc. & our professors
about the relevant subject & also pay at tention towards their suggestions.
Their suggestions are incorporated in the report . This data prepared the
basis for the Projec t Report.
Be sid e of all th is, so me da ta is also co lle cte d by w e
ourselves.
2) Secondary data:-
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Same as above some data is collected from the media also.
i) Newspapers
ii) Magazines
iii) Books on Management
iv) Text books
v) Internet
B] Research Instruments
To collect the primary data for the Project Report , we have selected some
questions in concern with the organization i.e. V-Mart in Ajmer . We used
these questions as a research instruments for knowing the facts.
These questions are as follows:-
1) Questions related to their marketing management.
2) Questions related to their advert ise expenditure.
3) Questions related to their interpersonal relations with Customers
4) Questions related to their organizational s tructure.
5) Questions related to training & development of employers
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6) Quest ions related to mot ivat ion.
7) Questions related to role of personal manager in the
organization.
C] Sampling Plan
A sampling plan is most important to do Project Report successfully.
The points considered in the sampling plan are as following:-
I) Sampling Unit:-
The s ta ff o f t he o rgan izat ion i nc ludi ng t he manager s o f
different departments and the employees was targeted for the Management
Project.
II) Sampling Quantity:-
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The sampling quanti ty was 24 & all are related with V-Mart .
Apart from this we also considered some customers of V-Mart in Ajmer.
iii) Coverage:-
The coverage of the survey was whole organizat ion i .e . V-
Mart, Ajmer.
ANALYSIS AND INTERPRETATION
Q1. In a month how many times you visit V Mart, Ajmer?
a) Once 7b) Twice 23c) Thrice 8d) More than thrice 25e) As per requirement 37
INTERPRETATION:
Out of 100 respondent, 37% people visit the store when they have some requirement and25% are visited more than thrice, 23% visited two times in month and 7% & 8% peoplevisited one and three times in a month respectively. Most of them regularly visit V Mart,Ajmer.
Maximum number of people visited store frequently.
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Q2. Your shopping experience in V Mart, Ajmer is always!
a) Outstanding 1b) Excellent 21
c) Good 43d) Average 32e) Bad 3
INTERPRETATION:
Out of 100 respondent, 43% people has good shopping experience in V Mart, Ajmer,32%has average and 21% people has excellent. But 1% has outstanding shopping experienceand 3% has bad shopping experience.
Maximum numbers of people has a better experience of shopping in V Mart,Ajmer .
Q3. Brands and products availability in V Mart, Ajmer is!
a) Outstanding 3b) Excellent 28c) Good 44d) Average 22e) Bad 3
INTERPRETATION:
Out of 100 respondents, over all 31% customer are satisfied by the availability of brandand products in V Mart, Ajmer, 66% customer product availability is average rest said itis bad. Some people think there is no good brands and products availability in V Mart,Ajmer . Especially in apparels.
Q4. Ambience & atmosphere inside the store is!
a) Outstanding 5b) Excellent 27c) Good 41d) Average 21e) Bad 6
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INTERPRETATION:
Out of 100 respondents, Ambience & atmosphere inside the store is good feel by 41%customers, 27% feel it is excellent and only 3% feel outstanding. But 27% customers are
not satisfied by the ambience & atmosphere inside the store of V Mart, Ajmer.
Due to much noisy and unpleasant environment some of the customer irritates.Atmosphere is really good.
Q5. Discounts and offers served in V Mart, Ajmer is!
a) Outstanding 7b) Excellent 32c) Good 36
d) Average 23e) Bad 2
INTERPRETATION:
Out of 100 respondents, Discounts and offers served in V Mart, Ajmer is good said by36% customers, 32% feel it is excellent and only 7% feel outstanding. But 25%customers are not satisfied by Discounts and offers served in the V Mart, Ajmer.
Maximum Customers are satisfied by Discounts and offers served in the.
Q6. Location 0f V Mart, Ajmer in your city is!
a) Outstanding 29b) Excellent 32c) Good 22d) Average 13
e) Bad 4
INTERPRETATION:
Out of 100 respondents, 61% is highly satisfied with location of V Mart, Ajmer in city,22% is satisfied and only 17% is not satisfied.
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Location ofV Mart, Ajmeris outstanding. It is situated central business district(CBD).
Q7. In offer days the shopping experience in the store is!
a) Outstanding 3b) Excellent 29c) Good 39d) Average 25e) Bad 4
INTERPRETATION:
Out of 100 respondent, 39% people has good shopping experience in V Mart, Ajmer,25% has average and 29% people has excellent. But 3% has outstanding shoppingexperience and 4% has bad shopping experience.
Maximum numbers of people has a better experience of shopping in offer days.Some customer do not enter in store due to heavy rush.
Q8. How do you feel about sales persons and promoters?
a) Outstanding 4b) Excellent 21c) Good 49
d) Average 23e) Bad 3
INTERPRETATION:
74% of the respondents are satisfied by the sales persons and promoters in the store rest26% respondents are not satisfied by the sales persons and promoters in the store.
Sales persons and promoters behave well with customer.
Q9.The parking facility in V Mart, Ajmer is!
a) outstanding 0b) Excellent 05c) Good 09d) Average 12
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e) Bad 74
INTERPRETATION:
74% of the respondents are not satisfied by the parking facility in V Mart, Ajmer, rest
26% respondents are satisfied by the parking facility in V Mart, Ajmer.
Maximum customer are not satisfied with the parking facility in V Mart, Ajmer.
Q10. The quality of the product served by V Mart, Ajmer is!
a) Outstanding 3b) Excellent 19c) Good 47
d) Average 26e) Bad 5
INTERPRETATION:
21% of the respondents are highly satisfied with the quality of the products at V Mart,Ajmer, rest 74% are said the quality of the products in V Mart, Ajmer is averaged, only
5% said its not good.
Maximum number of people is not satisfied with quality of the product.
Q11. The cleanliness and hygiene maintained in the store is!
a) Outstanding 13b) Excellent 41c) Good 28d) Average 13e) Bad 5
INTERPRETATION:
According to maximum number of respondent i.e. 82% feels that cleanliness and hygienemaintained in the store is up to the mark rest 18% feel it is not up to the mark.
Cleanliness and hygiene maintained in the store is up to the mark.
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Q12. Are you satisfied with the billing facility at the store?
a) YES 72b) NO 28
INTERPRETATION:
72% of the respondents are satisfied by the billing facility in the store, rest 28 % are notsatisfied. Some customer are not satisfied by billing facility (Especially in offer day andrush hours ).
Q13. Is it easy to move with the trolley in the store?
a) YES 74b) NO 26
INTERPRETATION:
According to 74% of the respondents it is easy to move in the store with trolley only 26%said it is not.
The space management in the store is up to mark.
Q14. Do you feel that shopping in V Mart, Ajmer has made you a more
knowledgeable conscious and aware customer?
a) YES 63b) NO 37
INTERPRETATION:
According to 63% of the respondents they feel that shopping in V Mart, Ajmer has mademore knowledgeable conscious and aware customer, and 37% they are alreadyknowledgeable conscious and aware customer.
V Mart, Ajmerhas made customer a more knowledgeable conscious and aware
customer
Q15.Do you feel that V Mart, Ajmer provide you value for money?
a) YES 85b) NO 15
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INTERPRETATION:
Out of 100 respondent, 85% of the respondents feel that V Mart, Ajmer provide youvalue for money, 15% feel not.
FINDINGS
Store performing well in attracting the customers.
V Mart, Ajmer provides better shopping experience.
Brands and products availability in V Mart, Ajmer is not up to the mark. Especially inapparels.
Noisy and unpleasant environment is irritates customer. Air conditioning is reallygood.
Discounts and offers doing well in the store.
In offer days the store management is good.
Home delivery services are not used by customer.
Quality in products is not up to the mark.
Location of V Mart, Ajmer is outstanding. It is situated near Ajmer Museum
Parking facility in V Mart, Ajmer is not good.
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Cleanliness and hygiene maintained in the store is up to the mark
RECOMMENDATIONS
Create awareness & manage home delivery services properly.
There should be proper assortment of various product categories.
Proper signage should be there so that customer can locate the products
easily.
Cleanliness and hygiene should be maintained regularly.
Proper training should be provided to sales person so that they can deal
with the customer efficiently.
Various schemes and offers can be provided to them and attract new
customers (Use pull strategy). No. of cash counter needs to be increased keeping in view customer
traffic intensity.
Quality in products should be increased up to mark
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LIMITATIONS
Collection of data related to marketing strategy of V-Mart, Ajmer is
a difficult task because this information is very rarely available with
secondary resources therefore it requires more time and lot of efforts. The
main limitations as experienced are as under :
1. Time limit is the major constraint.
2. Some respondents refuse to co-operate.
3. Some respondents replied half heartedly.
4. Some respondents gave incomplete information.
5. The survey was conducted in very general way as no other variable such as their
education level, occupation and sex.
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Complaints: -
The following complaints have come to our notice :
1. Low var iety of product avai lable and cus tomizat ion of products i s
not there.
2. Air condi tioners are not proper ly working
3. Prices are not mentioned at all places and at al l products.
4 . Prices are not competi tive as they are assumed to be h igher when
consumers are visiting other retail outlets.
5. Grocery i tems are not suff icient and they are not at al l avai lable at
many stores.
6. Clothing i tems of women are pr iced unreasonably7 . Lack o f s pace i n t he s t or e wh il e s hoppi ng and moving wi th in a
store.
Conclusion
In spite of several good steps taken by V Mart, Ajmer it has not is able to
get the desired results. After due consideration I have come to the
conclusion that V Mart, Ajmer should take the following suggested steps
at the earliest in case it is aimed to get the best results:
Suggestions:-
1. Inc lude more t r a ined sa les person to he lp customers in the s tore
while shopping.
2. Improve quali ty of the products especially clothes.
3 . Play good songs or sooth ing mus ic in the s tore r ather than cheap
filmy songs.
4. Customer care service can be introduced
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5. More branded products can be displayed in the s tore as people s t il l
prefer branded clothes than offered by local venders.
6. Constant reminder of discounts through pamphlets, speakers inside
the store for inducing consumers for impulse buying.
7 . Ad d mo re cosme tic p rod uc ts a s its h av in g a h ug e mark et of
consumers attached to it .
8 . Display of product should be improved so that the product i s eas i ly
visible to the consumers.
9. Proper advert isement in press and outdoor to make V Mart should
be visible in the e yes of consumers.
1 0. S ho uld h av e p ark in g spa ce s in fro nt of e ve ry sto re.
1 1. H ire m ore s alesg irls a s in la die s se ctio n its v ery d iffic ult f or
both the consumers and salesman to interact with each other.
12. Regular training to sales person to improve there overall
performance.
BIBLIOGRAPHY
BOOK REFERRED
Research methodology (C.R. Kothari) Retailing Management (Levy & Weitz)
Magazines, Newspaper, pamphlets
Business Times, Economic Times and Local Newspapers of Ajmer
Marketing textbook
Retail Management textbook
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Websites
www.google.com
www.vmart.co.in
www.business.com