anil panta project report

7/31/2019 Anil Panta Project Report

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TRAINING REPORT ON

PAYBACK MARKETING

AT

Pantaloon Retail (India) Limited, Ambience mall, Gurgaon

Submitted in partial fulfillment of requirements for the award of

the degree of Post Graduate Programme (Level-1, Level2)

Under Guidance of: Amit DuklanCSD

Student Name: Anil Kumar Saini

SBS/MDU16MBA-1961

122 Institutional Area, Sector-44,

Gurgaon- 122003, India.


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PREFACE

The research provides an opportunity to a student to demonstrate

application of his/her knowledge, skill and competencies required during

the technical session. Research also helps the student to devote his/her

skill to analyze the problem to suggest alternative solutions, to evaluate

them and to provide feasible recommendations on the provided data

The research is on the topic of

PAYBACK MARKETING

AT


Although I have tried my level best to prepare this report an error free

report every effort has been made to offer the most authenticate position

with accuracy


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CERTIFICATE


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DECLARATION

I, Anil Kumar Saini having Roll No. SBS/MDU16MBA-1973 of PGP

Semester 2 of Skyline Business School hereby declare that the

project entitled PAYBACK MARKETING is an original work and the

same has not been submitted to any other institute for award of any

other degree. The feasible suggestions have been duly

incorporated in consultation with the guide.

Signature of the candidate

Anil Kumar Saini

MBA -2ndSemester

Skyline Business School, Gurgaon

Under Guidance of:

Amit DuklanCSD



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ACKNOWLEDGEMENT

This Project has been made possible through the direct

and indirect Co-operation of various persons, whohave inspired me at every step of my work. It is a matter

of pride for me to acknowledge entire staff of

Pantaloon, for there valuable Cooperation and

Guidance. And above all, I am beholden to my Parents

and other family members for their blessing and

encouragement in completing this task.

Anil Kumar Saini

Internship Trainee


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Content

1. Title Page2. Preface3. Company Certificate4. Acknowledgement5. Declaration6. Scope7. Objectives8. Executive Summary/ Executive Synopsis9.

Industry Profile10.Company Profile

Mission,Vision,Values,Culture,History,Market size,Main Product,Competitors Information,S.W.O.T Analysis of the Organization.

11.Organization overview/Organization structure/Organization chart(with Explanation)

12.Departmental study (department structure, role of department)13.Intern profile and Learning Outcomes14.Critical Observations/Findings15.Conclusion16.Bibliography


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SCOPE

This project will help Pantaloons to identify their competitors and above all

the areas in which they can have an edge on Customer Loyalty Program.

1. P a n t a l o o n g i v e v a r i o u s d i s c o u n t s a n d o f f e r s . T h i sr e p o r t w i l l a l s o h e l p i n knowing whether various discounts

and offers given by Pantaloons are enough for attracting

customers or not.

2. This research will also be helpful in knowing the loyalty ofcustomers towards Pantaloons. By PBGC status we can get an

idea about it.


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OBJECTIVES

This study aims to review the loyalty program of PANTALOONS. In addition,

main objective of this study is to examine the influence emerged from

loyalty program on customer loyalty.

The specific objectives of the study are,

1. To know about the current trends regarding loyalty program andhow they can be implemented.

2. Ways to improve the performance of loyalty program and make itmore efficient and updated.

3. Analysis of sales performance as a result of loyalty program.

4. To find out the influence of the loyalty program on consumerperception.

5. A detailed study on the impact of loyalty program on consumerbuying behavior.


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EXECUTIVE SUMMARY

Summer internship training at Pantaloon Retail (India) Limited in Gurgaon.

Primarily the study aims to give the reader an insight into the Indian retail

industry. The recent revolution and growth of the industry and the entry of

many large business houses into this domain has ushered in a definite

transition of the structure of the industry from its traditional outlook.

Different models employed to evaluate the industry are also covered in

the first portion of this report. Secondly, the study aims to analyze the

customer Loyalty Programs offered by Pantaloon Retail (India) Limited.

T h i s p r o j e c t r e p o r t t h r o w s l i g h t o n t h e r e a s o n s b e h i n d

c u s t o m e r s deci s ion of choos ing Panta loon for pu rchase

of Apparel s and var ious other products from Pantaloon. Pantaloon

is one of the emerging players in the Indian retail industry and offers a deep

insight into the industry.

Proactive customers gave many sugg es ti ons for Pa nta loo n l ik e

they sho uld have mor e S taff esp ecia l ly dur ing Sales, more

Sitting area, more variety, etc. Feeding the data into for analysis

gave interesting conclusions which have been compiled in this report.


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In this project has put an effort to understand the Customer Loyalty

importance.

1.

In this report, first of all given a brief review about retail sector as awhole.

2. Then it has given a review of the findings of some of the study thathas already been done by industry.

3. Then it has enumerated objectives.4. Then it has given the panoramic view regarding the topic.5. Then it has analyzed the data which was collected by various

sources.


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INDUSTRY PROFILE

India, like Britain, is a nation of shopkeepers. With over 12 million retail

outlets, India probably has the highest density of retail outlets in the world,

with one for approximately every 90 persons; little wonder that the country

is the ninth-largest retail market in the world, with estimated annual retail

sales of around USD215 billion in 2005 (Rs 960,000 crore). At the same time,

the share of organized trade in this enormous market is currently very

small. It is estimated at just USD8 billion (Rs 35,000 crore) in 2005, up

fromUSD6.25 billion (Rs 28,000 crore) in 2004. This accounts for less than 4

per cent of the total retail trade in the country

AN UNDERDEVELOPED RETAIL MARKET

Organized trade in India is very underdeveloped when compared with

other emerging markets in Asia, Latin America and Eastern Europe. The

Indian and Chinese markets are comparable in many aspects both

countries are not homogeneous. They comprise many markets within a

single country, with significantly varying cultures and customer

preferences across regions.

There is a significant rural population in both countries, which has much

lower purchasing power compared to the urban population. Both

countries are geographically very large and unevenly developed, adding

a significant distribution and logistics dimension to the retail trade.

Consumers in both countries are highly value conscious.

Between 1996 and 2003, the organized retail market in China more than

doubled. We estimate that the Indian retail market is today at the same

inflection point as China was in the mid-1990s. Consequently, considering

a similar per capita GDP and roughly similar rates of economic growth,


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the Indian organized retail market has the potential for exponential

growth over the next decade.

CONSUMERISM: THE NEW WAVE

Growing consumerism would be a key driver for organized retail in India.Several demographic indicators show favorable trends for the growth of

organized trade:

Rapid income growth

: consumers have a greater ability to spend. Increasing urbanization:

larger urban populations that value convenience, coupled with the

higher propensity of the urban consumer to spend.

Growing young population

: growth of the post-liberalization maturing population, with the attitude

and willingness to spend.

Spend now vs. save earlier

: consumers are willing to borrow for present consumption.

THE SIZE OF THE OPPURTUNITY

Research done by the Tata Strategic Management Group (TSMG)indicates that over the next 10 years, the total retail market in India is likely

to grow at a compounded annual growth rate (CAGR) of 5.5 per cent (at

constant prices) to USD374 billion (Rs 16,77,000 crore) in 2015. The

organized retail market is expected to grow much faster, at a CAGR of

21.8 per cent toUSD55 billion (Rs 246,000 crore) in the same time frame,

garnering around15 per cent of overall retail sales. Based on our

projections, the top five organized retail categories by 2015 would be

food, grocery and general merchandise; apparel; durables; food service;

and home improvement.(Table 1)

Organized retail market in India (Rs crore)


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Retailers inspired by the Wal-Mart story of growth in small town America

are tempted to focus on smaller towns and villages in India. However, a

careful analysis of the town strata-wise population, population growth,migration trends and consumer spend analysis reveals a very different

picture for India.

As per our estimates, the share of the 35 towns with a present population

of greater than 1 million in India's total population would grow much faster

than their smaller counterparts, from 10.2 per cent today to reach 14.4 per

cent by 2025. Simultaneously, the share of these towns in the overall retail

market would grow from 21 per cent today to 40 per cent by 2025.Within these top 35 towns, an estimated 70 to 80 per cent of retail trade

could be in the organized sector. This is similar to the experience in China,

where in cities like Shanghai and Beijing, the organized sector accounts

for 70 to 80 per cent of overall retail trade in certain categories. Retailers

should therefore focus on the top 37towns in the next decade, as the

opportunity in smaller towns and rural India would be smaller and more

fragmented, compared to the larger towns.

Gaining importance in the specialty retail categories. While supermarkets

may emerge at the initial stages of retail market development, in the long

term they are unable to match the consumer value proposition of

convenience stores and hypermarkets.


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PRIVATE LABEL BRANDS BECOME IMPORTANT

Private labels today account for 17 per cent of global retail sales, with the

highest share of 23 per cent in Europe and the lowest share of 4 per centin Asia. M+M Planet Retail data shows that private label penetration varies

from 25 per cent to 95 per cent among some of the largest retailers in the

world.

Growing acceptance among consumers, increasing price competition,

the need for differentiation among retailers and the ability to offer higher

margins are the key factors contributing to the growth of private labels.

Private labels provide the retailer an ability to offer a significant priceadvantage to consumers, their prices being 16 to 32 per cent lower than

manufacturers' brands.

IMPLICATIONS OF INDIAN RETAILER

Global trends have important implications for Indian retailers. The Indian

consumer is very value conscious; willing to spend money in most cases,but constantly cost conscious, evaluating every rupee spent. It is therefore

imperative for retailers to offer a price advantage through sourcing and

operational efficiency, as well as a strong private label programme to

attract customers. Existing and new entrants need to achieve scale

quickly to drive efficiencies in procurement, supply chain and marketing.

Else, they risk being marginalized by larger players. Real estate and

human resources will be the critical drivers to build scale. While there are a

few hundred malls under various stages of development across the

country at present, retailers will also need to think out of the box to ensure

the availability of real estate. This may include acquiring and developing

the real estate themselves, rather than wait for mall development. Given


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the rising demand for retail real estate, retailers will need to take a long-

term view on rentals and look at alternative options like ownership or very

long leases. Retailers that invest in training will be able to ensure the

availability of quality manpower in a rapidly growing market. Inconclusion, the retail market in India offers an opportunity for a large

player to build a Rs 40,000-crore retail business spanning multiple

categories by 2015 (at current prices). Compared to this, the revenue of

the largest Indian retailer, Pantaloon, grossed only Rs 1,085 crore in

2005.Little wonder that large domestic business houses and international

retailer shave expressed a keen interest to enter the retail sector in India.

To capitalize on the opportunity, however, players need to be aggressivein outlook and build scale quickly.


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COMPANYS PROFILE

Pantaloon Retail (India) Limited, is Indias leading retailer that operates

multiple retail formats in both the value and lifestyle segment of the Indian

consumer market. Headquartered in Mumbai (Bombay), the company

operates over 5 million square feet of retail space, has over 450 stores

across 40 cities in India and employs over18,000 people. The companys

leading formats include Pantaloons, a chain of fashion outlets, BigBazaar,

a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain,blends the look, touch and feel of Indian bazaars with aspects of modern

retail like choice, convenience and quality and Central, a chain of

seamless destination malls. Some of its other formats include, Depot, Shoe

Factory, Brand Factory, Blue Sky, Fashion Station, all, Top 10, mBazaar and

Star and Sitara. The company also operates an online portal,

futurebazaar.com. A subsidiary company, Home Solutions Retail (India)

Limited, operates Home Town, a large-format home solutions store,Collection i, selling home furniture products and E-Zone focused on

caterings to the consumer electronics segment. Pantaloon Retail was

awarded the International Retailer of the Year 2007 by the US-based

National Retail Federation (NRF) and the Emerging Market Retailer of the

Year 2007 at the World Retail Congress held in Barcelona. Pantaloon

Retail is the flagship company of Future Group, a business group catering

to the entire Indian consumption space.

Future Groupis Indias leading business group that caters to the entire

Indian consumption space. Led by Mr. Kishore Biyani, the Future Group

operates through six verticals: Retail, Capital, Brands, Space, Media and


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Logistics. Apart from Pantaloon Retail, the groups presence in the retail

space is complemented by group companies, Indus League Clothing,

which owns leading apparel brands like Indigo Nation, Scullers and Urban

Yoga, and Galaxy Entertainment Limited that operates Bowling Co, SportsBar, F123 and Brew Bar.

The groups joint venture partners include French retailer ETAM group, US-

based stationary products retailer, Staples and UK-based Lee Cooper.

Group Company, Planet Retail, owns and operates the franchisee of

international brands like Marks &Spencer, Next, Debenhams and Guess in

India. The groups Indian joint venture partners include, ManipalHealthcare, Talwalkars, Blue Foods and Liberty Shoes. Future Capital

Holdings, the groups financial arm, focuses on asset management and

consumer credit. It manages assets worth over $1 billion that are being

invested in developing retail real estate and consumer-related brands

and hotels. The group has launched a consumer credit and financial

supermarket format, Future Money and soon plans to offer insurance

products through a joint venture with Italian insurance major, Generalise.The group is currently developing over 50 malls and consumption centres

across the country and has formed a joint venture company focusing on

mall management with Singapore-based Capital and, one of Asias

largest property companies. Future Groups vision is to, deliver Everything,

Everywhere, Every time to Every Indian Consumer in the most profitable

manner. The group considers Indian-ness as a core value and its

corporate credo is - Rewrite rules, Retain values. Future the word which

signifies optimism, growth, achievement, strength, beauty, rewards and

perfection. Future encourages us to explore areas yet unexplored, write

rules yet unwritten; create new opportunities and new successes. To strive

for a glorious future brings to us our strength, our ability to learn, unlearn


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and re-learn, our ability to evolve. We, in Future Group, will not wait for the

Future to unfold itself but create future scenarios in the consumer space

and facilitate consumption because consumption is development.

Thereby, we will effect socio-economic development for our customers,employees, shareholders, associates and partners. Our customers will not

just get what they need, but also get them where, how and when they

need. We will not just post satisfactory results, we will write success stories.

We will not just operate efficiently in the Indian economy, we will evolve it.

We will not just spot trends, we will set trends by marrying our

understanding of the Indian consumer to their needs of tomorrow. It is this

understanding that has helped us succeed. And it is this that will help ussucceed in the Future. We shall keep relearning. And in this process, do

just one thing.

Rewrite Rules. Retain Values

Group VisionFuture Group shall deliver Everything, Everywhere, Every time for Every

Indian Consumer in the most profitable manner.

Group Mission

We share the vision and belief that our customers and stakeholders shall

be served only by creating and executing future scenarios in the

consumption space leading to economic development. We will be the

trendsetters in evolving delivery formats, creating retail realty, making

consumption affordable for all customer segmentsfor classes and for


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masses. We shall infuse Indian brands with confidence and renewed

ambition. We shall be efficient, cost- conscious and committed to quality

in whatever we do. We shall ensure that our positive attitude, sincerity,

humility and united determination shall be the driving force to make ussuccessful.

Core Values

Indianans: confidence in ourselves.

Leadership: to be a leader, both in thought and business.

Respect & Humility: to respect every individual and be humble in our

conduct.

Introspection: leading to purposeful thinking.

Openness: to be open and receptive to new ideas, knowledge and

information.

Valuing and Nurturing Relationships: to build long term relationships.

Simplicity & Positivity: Simplicity and positivity in our thought, business and

action.

Adaptability: to be flexible and adaptable, to meet challenges.

Flow: to respect and understand the universal laws of nature.


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CULTURE

Passion for Retail is why we are here.

At Pantaloon Retail, Empowerment is what you acquire and Freedom at

Work is what you get.We believe our most valuable assets are our People.

Young in spirit, adventurous in action, withan average age of 27 years, our

skilled & qualified professionals work in an environment wherechange is

the only constant.Powered by the desire to create path-breaking

practices and held together by values, work in this people intensive

industry is driven by softer issues. In our world, making a difference

toCustomers lives is a Passion and performance is the key that makes it

possible. Out of the Boxthinking has become a way of life at Pantaloon

Retail Retail and living with the change, a habit.Leadership is a value that

is followed by one and all at Pantaloon Retail. Leadership is thequality

that motivates us to never stop learning, stretching to reach the next

challenge, knowingthat we will be rewarded along the way. In the quest

of creating an Indian model of retailing,Pantaloon Retail has taken

initiatives to launch many retail formats that have come to serve as a

benchmark in the industry. Believing in leadership has given us the

optimism to change and besuccessful at it. We do not predict the future,

but create it.At Pantaloon Retail you will get an opportunity to handle

multiple responsibilities, and therein,the grooming to play a larger role in

the future. Work is a unique mix of preserving our coreIndian values and

yet providing customers with a service, on par with international

standards.At Pantaloon you will work with some of the brightest people

from different spheres of industry.We believe its a place where you can

live your dreams and pursue a career that reflects your skills and passions


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HISTORY

With a focus on todays youth, Pantaloons offers trendy and hip fashion

that defines their hopes and aspirations. Our stores reflect our ideology:

Fresh Feeling, Fresh Attitude, Fresh Fashion. We offer fresh collections that

are visually stimulating thanks to appealing interiors and attractive

product display.

The first Pantaloons opened in Gariahat in 1997. Over the years it has

undergone several transitions. When it was first launched, this store mostly

sold external brands. Gradually, it started retailing a mix of external brands

and its own recently-introduced private brands. Initially positioned as a

family store, it finally veered towards becoming a fashion store with an

emphasis on 'youth' and clear focus on fresh fashion.

Pantaloons stores have a wide variety of categories like casual wear,

ethnic wear, formal wear, party wear and sportswear for Men, Women

and Kids.

The fashion store extends to almost all major cities across the country.

Pantaloons have established its presence with stores not just in the metros,

but also in smaller towns.


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Milestones

1987

The company is incorporated under the name of Manz Wear Private

Ltd.

Pantaloons, one of Indias first formal trouser brands, is launched.

1991

BARE, an Indian denim brand is launched.

1992

Pantaloon Retail India Ltd. makes an Initial public offer (IPO).

1994

The Pantaloon Shoppe, our exclusive menswear store in a franchisee

format is launched across the nation. The company starts distribution of

branded garments through multi-brand retail outlets across the nation.

1997

Pantaloon Retail enters modern retail with the launch of the first 8000-sq.

ft. store Pantaloons in Kolkata.

2001

Pantaloon Retail launches three Big Bazaar stores within a span of 22

days in Kolkata, Bangalore and Hyderabad.


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2002

Food Bazaar, the supermarket chain is launched.

2004

Pantaloon Retail launches Indias first seamless mall, Central, in

Bangalore.

2006

Home Town, the home building and improvement products retail chain,

is launched along with consumer durables format Ezone and furniture

chain Furniture Bazaar.

2007

Pantaloon Retail wins the International Retailer of the Year award at US-based National Retail Federation convention in New York, and Emerging

Retailer of the Year award at the World Retail Congress held in Barcelona.

2008

Big Bazaar crosses the 100-store mark, marking one of the fastest

expansions of the hypermarket format anywhere in the world.

2009


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Pantaloon Retail celebrates its first Shopping Festival across all retail

formats in key Indian cities.

COMPETITION

LIFESTYLE

The Dubai-based Landmark Group's department store chain, Lifestyle,

started operations in India in1998. It currently operates 19 Lifestyle

departmental stores in nine cities with a total retail space of 7,45,711 sq. ft.

In 2004 the chain had seven stores in five cities with a space of 2,68,436

sq.ft, which grew to 10 stores in the same five cities with an increased retail

space of 3,41 ,587 sq.ft. By2010 they plan to have 41 stores in 16 cities with

a combined retail space of 19,33,931 sq.ft. The average store size of a

Lifestyle department store is 46,000 sq.ft, the largest of them being the

Chennai store with an area of 75,000 sq.ft. Lifestyle now plans to majorly

expand into the tier-II cities in the country. Ginger, Baby Doll and JRS

Active are the three major private labels of Lifestyle, besides segment-

specific brands like 2xtremz for women and Juniors for infants. These

private labels contribute approximately towards 10 per cent to the total

revenue. Its customer loyalty programme is called The Inner Circle, which

contributes 40 per cent to total sales. Each of the stores has a Coffee

Island managed by Qwiky's. Lifestyle International has announced

investments to the tune of Rs.400 crore in the next five years to fund its

expansion in India. This includes plans to bring in its concept stores into the

country, including the Max Hypermarkets and Lifestyle Centres. The Max

chain of value stores and Home Centres have already been launched.

Landmark is also working on a Lifestyle Centre


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GLOBUS

The Mumbai-based Rajan Raheja Group launched its first Globusdepartment store in January 1998at Indore and since then it has become

a 20-outlet strong chain with a presence in 14 cities. Apart from the

Globus department stores, the chain also runs a second retail format with

Globus 2, the factory outlet format. Globus' flagship store was launched in

Mumbai in November 2001. The department store chain's customer loyalty

programme is called the Globus Privilege Club card programme. In 2004,

the chain had seven outlets in five cities with a total space of 1,39,658 sq.ftby2005 their retail presence had reached eight cities with 12 stores and a

total retail space of 1,94,610sq.ft. Today the chain runs 20 outlets in 14

cities with a total retail space of 2,90,000 sq.ft. Retail expansion plans

include having 30 outlets by 2007, 100 by 2008, and taking it to 120 by

2010 with a total retail space of 12,40,000 sq.ft. The chain's in-store labels

apparel labels, Globus and F21, contribute about 35 per cent towards

total retail sales. Frequent consumer promotions during peak sales periodslike traditional festive seasons bring in 25-30 per cent increase in average

sales.

SHOPPERS'STOP

Shopper's Stop Ltd from the K Raheja Group, opened its first Shoppers'

Stop department store in Mumbai in 1991; and over the last 16 years has

established itself as the largest player in the department store category in

India. From 16 stores in nine cities with an area of7,52,848 sq.ft, the chain

today operates 26 outlets in 12 cities with a total retail space of 15,07,126

sq.ft, with plans to have 34 stores by 2007. By 2010 Shoppers' Stop plans to


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have nearly 50 outlets in 20 cities across a total retail space of 36,26,899

sq.ft. Shoppers' Stop was the first retailer in the country to have Bar-coded

garments, Co-branded credit card; and Retail ERP Shoppers' Stop, unlike

Pantaloon and Westside where the chunk of sales are driven by privatelabels, houses a large number of external brands. The chain is today the

largest retailer for popular brands like Levi's Strauss, Pepe, Arrow,Zodiac,

Ray-Ban, Swatch, ete. The launch of Buzz (the designer pret wear section)

and Kasba by Raghavendra Rathore were some new additions. Some of

the chain's private labels include Stop, Life, Vettorio Fratini, Haute Curry,

indi-vidual and Acropolis, sales from which grew by 44 per cent in2005,

over the previous year. Shoppers' Stop customer loyalty programme, FirstCitizen's Club has approximately 4,40,000 members, who contribute to

over 50 per cent of the total sales. Shoppers' Stop, which has tied up with

Mothercare, the global brand for infants and children, will be opening40

Mothercare outlets over the next five years. It currently has 11 Mothercare

outlets. The bookstore section, Crossword; as well as food and beverages

outlets such as Cafe

WESTSIDE

The lifestyle store by the Tatas that caters to the upper middle class

segment, has built its customer base through its USP of affordable style.

There are 23 Westside stores in 14 cities Price is crucial in the Indian retail

scenario and Westsides focus on this factor is part of the reason. If

customers are looking for style, they will probably go to Westside and buy

something for Rs 400rather than go to Mango (a UK-based chain).

Another issue is convenience of parking space. Almost everyone in major

metros has a car and doesnt want to go through the hassle of finding

parking space. Westside has worked on molding its outlets along the

snazzy, well-designed, hands-on ambiences and coffee shop displays


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typical of Lacoste, Nike and Switch retail stores in the West, and

personalized its offerings by offering style and accessory guides to its

customers. Westside houses a collection of the finest merchandise for the

entire family. There are spacious shopping areas for the various sections -womens wear, mens wear and the children's and the household sections

occupy the floor level. Caf West from the Taj group on a level above is

an ideal place for a coffee break on a shopping spree. Westside offers

customers the very best and latest international shopping experience.

Westside has a team of dedicated stylists, merchandisers, helpful and

courteous store staff and talented in-house designers. The combination of

the very latest in-style fashion with affordability is highlighted in all ofWestsides merchandise. Westside stands out from the competition for a

variety of reasons. One is that a majority of the brands the chain stocks

and sells are its own, unlike retailers who store multiple labels. About 90 per

cent of Westsides offerings are home-grown, and they cater to different

customer segments. The other 10per cent includes toys, cosmetics and

lingerie. However, recently Westside has recently expand edits range of

merchandise by offering outfits from some of Indias best-known fashiondesigners, among them Wendell Roderick, Anita Dongre, Krishna Mehta

and Mona Pali. This is an interesting marketing shift, since it means moving

away from the chains only-our-own-brands concept.

In the fashion segment, they face competition from Shoppers Stop,

Reliance Trendz, Trent, Westside and Lifestyle. Though the hypermarket is

new only three to four years old in the country competition is faced from

likes RPG (Spencer's), Trent (Star India Bazaar) and with Shoppers Stop.

Several other outlets which are giving competition to Pantaloon are

Koutons, Charlie outlaw, Cantabil, etc. Another competitor may prove to


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be a very potential, which is going to enter in the Indian market, and it is

the WALL- MART coming to India, in partnership with Bharti.

PANTALOONS and COMPETITOR

Brand: The American Marketing Association describes a brand as

name, term, symbol or design, or a combination of them intended to

identify the goods and service of one seller or group of sellers and to

differentiate them from those of competition

.

The company has its own brands but it focus on other multiple brands as

well. It also provides various other brands to its customers. It has

collaboration with many different brands and it sales them under its

name, it provides benefit to both. The Competitor Brands in the Market

are: Koutons, Tng, Cantabil, TQS, La FAnso, Charlie Outlaw, Reliance,

Cobb Italy, Levis, etc. As these are the small retail outlets placed nearby

to the local markets, so they are giving competition to Pantaloon.These are the few famous brands which are available at Pantaloons:

S.No Category Private Label

1 MENS WEARPANTALOONS

TROUSERS

2 JEANS,GABARDINE,JACKETS AND NIGHTWEARS BARE DENIM

3 WESTERN CLOTHES FOR YOUNG GIRLS HONEY

4 SHIRTS JOHN MILLER

5 LADIES WEAR SRISHTI


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6 ELEGANT SALWAR SUITS RANG MANCH

7 SPORTS WEAR AGILE

8 WESTERN AND FORMAL WEAR ANNABELLE

9 JEANS AND ACCESSORIES JEALOUS

10 WINTER WEAR JACKETS,BLAZERS,SWEATERS SCOTSVILLE

11 EXCLUSIVE WESTERN,INDOESTERN,SKIRTS,JEANS REMANIKA

12 KIDS WEAR CHALK

13 BUYING SEPARATE AND COMBINING MIX N MATCH

14 CLASSIC ENGLISH FORMAL WEAR LOMBARD

15 STICHING SALWAR KAMMEZ TRISHAA

16JEANS.SHIIRTS,JACKETS,TRENDY SPORTS AND

ULTILITY WEARUMM

17 MENS WEAR URBAN YOGA

18 MENS ETHNIC WEAR GHAGROOS

19 MENS N WOMENS ETHNIC WEAR AKRITI

S.No Category Licensed Label

1 JEANS,T-SHIRTS FOR MEN N WOMEN AND KIDS LEVIS

2 JEANS,T-SHIRTS FOR MEN N WOMEN PEPE

3 KIDS WEAR,INFANTS LILLIPUT

4 KIDS WEAR CATMOSS

5 SPORTS WEAR,JACKETS,SHOES CONVERSE

6 EXCLUSIVE TRENDY WEAR FOR GIRLS 109.F

7 FORMAL WEAR FOR MEN INDIGO NATION


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PLASTIC CARDS

VALUEPROPOSITION with earlier Pantaloons Greencards

VALUEPROPOSITION

SPECIAL

DESK

FOR BILLINGHOME

DELIVERY

PARKING

REFUNDED

ONLINEPURCHASING

EXCHANGE

PERIOD

SPECIAL

INVITES IN

HAPPEING

EVENTS

REGULAR

UPDATE

EXCLUSIVES

HOPPING

DAYS

INSTANTDISCOUNT


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PAYBACK GREEN CARD

BENEFITS WITH NEW CARD


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About Payback:

A powerful loyalty program offering a multitude of advantages for

consumers.

PAYBACK is Indias largest loyalty program. It presents many advantages

over traditional, stand-alone customer loyalty schemes restricted to one

brand or company only. The power of PAYBACK stems from pooling

loyalty benefits from many attractive partners: Using one single card,

members earn loyalty points when they shop at a wide range of different

merchants and brands - offline and online.

Importantly, PAYBACK partners are mostly market leaders in consumer

segments covering daily needs, ranging from food to travel and

entertainment. As a result, members are able to accumulate a large

number of points quickly. A coalition of strong partners united on the

common PAYBACK platform also multiplies redemption opportunities.

The combination of rapid accumulation of points and their easy

redemption for desirable rewards makes PAYBACK so attractive. Otherbenefits include discounts on purchases through points earned or through

coupons and exclusive special offers. Shoppers love these unrivalled

features, because they simply get more value for every Rupee spent.


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MARKETING PROGRAME

At Future Group, we believe in building long-lasting relationships withcustomers. We encourage repeat customer visits through our uniqueoffers and special sale days.

Future Group has taken the whole concept of customer loyalty to the nextlevel by joining hands with PAYBACK. PAYBACK is Indias largest and one

of Europes most successful multi-partner loyalty programs. With PAYBACK,customers can shop, save and get rewarded. This program enablesconsumers to collect millions of points across online and offline partnerswith just a single card. Customers can accumulate points across FutureGroup formats, thereby making shopping rewarding.

What Is PAYBACK?

PAYBACK is Europe's leading customer loyalty program, headquartered inGermany, with a total of 25.5 million active cardholders in Germany andPoland. In India, PAYBACK consolidated its position after taking a major

stake in I-Mint. Today, with more than 30 partners with 1,500 outlets and 10million card members, its the only program which works with market

leading pan-India players from the banking, travel, petroleum and onlinesectors such as ICICI Bank, HPCL, Univercell, BookMyShow andMakeMyTrip.

Now that Future Group has become a part of this bandwagon, customersare bound to earn points at every stepfrom formats like Big Bazaar,Food Bazaar, Pantaloons, Central, Home Town, eZone, Brand Factory andFuture Bazaar.

These points can then be redeemed for air miles, movie tickets, air ticketsand vice versa.

With Future Group and PAYBACK Shopping is Rewarding.

Benefits Of PAYBACK


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Our formats Big Bazaar, Food Bazaar, Pantaloons, Central, Home Town,eZone, Brand Factory and Future Bazaar are a part of the PAYBACKLoyalty program.

PAYBACK increases customer loyalty and boosts partners sales.

In an increasingly complex marketplace, customer loyalty is gaining in

significance all the time. Particularly in places where the real and virtual

worlds meet, successful customer relationship management can prove an

effective success strategy and give companies a real competitive edge.

PAYBACK is proving a real successboth as a loyalty program and as a

marketing platform with very efficient and, above all, effective

communication channels.

The success rests on the principle that a single loyalty card can be used

on a day-to-day basis to collect points with a whole range of strongbrand-name partners. This enables consumers to quickly collect an

attractive points balanceand earn the reward of their choice. The

reward scheme also helps partner companies to reach customers with

highly personalized, relevant offers. This has enabled PAYBACK to become

the largest multichannel marketing platform in Europe.


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Pantaloons - MARKETING MIX (4 PS)

The kind of product mix to be offered by the retailer is another important

consideration.

As mentioned earlier the main product line of Pantaloons is mens and

womens clothing and other accessories comprising a vigilant mix of

private as well as other labels... Since Pantaloons provides products to apotentially large number of customers at affordable prices, it falls in the

High Turnover -Low Margin Category.

PRODUCT

Spring (designer wear for men andwomen)

Mens occasion wear

Ladies formal Mens formal

Ladies ethnic and casuals Mens ethnic

Nightwear Denim wear

Infant necessities Active wear, Sports wear

Indo-Western Teen boys wear

Kids wear Mens casuals


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PRICE

Buy directly from the manufacturers so that the middle man is eliminated. We buy in cash and get a cash discount, and Manage their stocks turns so that they don't have money stuck up. The

benefits are passed on to the customers. Cash discounts (for buying

goods upfront in cash) on the other hand could range from 2 per cent to

10 per cent.

Almost 70 per cent of the ready-to-wear products in the store aremanufactured by the group's own garment units. As a result it is able to

offer prices in ready-to-wear that are virtually 30 per cent cheaper than

competitors. They increase their margins by pushing their own in-house

label

Pantaloons visual merchandising is creative, innovative and outstandingwhich can be seen from its own in house private brands such as John

Miller.

The new launched products are showed by prominent color back ground. Window display is highly interactive for impulsive buyer. Price range is average. 30% discount allowance to employees working at pantaloons


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PROMOTION

Sponsorship Celebrity Endorsements Season Sale Hoardings Advertisement

Promotion Strategy

Sales promotionis a key ingredient in marketing campaign consists of a

collection of incentives tools, mostly short-term, design to stimulate quicker

or greater purchase of particular product, services by consumers or

consumers or the trade.

PLACE

Tarapur is Pantaloon's central warehouse.

Whenever it procures merchandise from its suppliers, the entire process

had to undergo two to three steps before it reaches outlets. At each step,

considerable human intervention is required and barcode readers hadbeen installed at all merchandising locations.


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SWOT

Strength

1. Product of different price range.2. Product availability.3. Fashion Friday.4. Dedicated customer service desk.5. Loyalty program.6.

Stores location.

Weakness

1. Shrinkage rates are higher than industry norms.

2. Store renovations of older stores not done.

3. Low employee retention levels at shop floor level due to better pay

package by competitors.

4. Floor level Customer Relations Executives not having proper product,store etc. knowledge due to lack of proper training.

5. Loyalty program of competitors is more effective due to better scheme

and merchandise.

6. Merchandise and product focus not consistent and clear

Opportunity

1. Geographical Expansion: Untapped market in terms of tier II and tier III

cities.

2. Untapped segments such as ethnic wear, Organic cotton wear etc.

3. Luxury segment with brands like Gucci, Tommy, Armani etc.

4. Standalone stores of other brands like Bare, UMM etc.


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5. Getting license agreement of smaller regional brands.

6. More effective online shopping for garments.7. Custom Tailoring business untapped.

8. Suiting brand from Future group can be feasible.

Threat

1. Economic slowdown and scanty rainfallwhich has major impact on

IndianEconomy. Consumer spending on non-essential fashion items,

garments etchave been reduced significantly.2. Competitive rivalry in the industry like BigBazaar is facing competition

fromFashion Yatra (Trent Ltd), HyperCity (Shoppers Stop), Max (

Landmarkgroup), Megamart (Arvind). Pantaloon &Central is facing

competition from Westside (Trent), Shoppers Stop, Reliance Trends,

Lifestyle, Globus etc.

3. Foreign players like Carrefour, Tesco, Walmart lined for their Indian

operations


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ORGANIZATION OVERVIEW - Line of business

Line of business of PRIL

PANTALOON RETAIL (INDIA) LIMITED

Wellness

(Cosmetics)

Blue Sky

(Fashion

Accessories)

Watch

Sunglass

MELA (Home

Designing)Apparels

MEN

Casual, Ethnic,

Formal,Accessories

WOMEN

Casual, Ethnic,Formal,

Accessories

KID

Depot

(Stationary)


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MANAGEMENT HIERARCHY IN THE RETAIL OUTLET

Team member trainee

Team member

Team Leader

Asst. Department Manager

Department Manager

Asst. Store Manager

Store Manager


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DEPARTMENTAL STUDY

1. HUMAN RESOURCE DEPARTMENT

2. ACCOUNTS DEPARTMENT

3. MAINTENANCE DEPARMENT

4. FINANCE DEPARTMENT

5. SYSTEMS DEPARTMENT

6. LOGISTICS DEPARTMENT7. MARKETING DEPARTMENT

Customer Service Desk

From that perspective, customer service should be included as part of an

overall approach to systematic improvement. Some have argued that the

quality and level of customer service has decreased in recent years and

that this can be attributed to a lack of support or understanding at the

executive and middle management levels of a corporation and/or a

customer service policy. Customer service is an organization's ability to

supply their customers' wants and needs. Excellent customer service (is)

the ability of an organization to constantly and consistently exceed the

customer's expectations.


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"It consists of all those activities by the retailer that influence

(1) The ease with which a potential customer can shop or learn about the

stores offering.

(2) The ease with which a transaction can be completed once thecustomer attempts to make a purchase, and,

(3) The customers satisfaction with the transaction.

Activities undertaken by a retailer in conjunction with the basic

goods and services it sells.

Parking Credit acceptance Salespeople In store announcement Gift Wrapping and packaging Merchandise Availability Complaint handling Merchandise returns Servicing and repair Deliveries Alteration


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INTERN PROFILE

Week 1-2: Dated

[16th

May to 27th

May 2012]

1. Task assignedLeads generation for Sponsorship for the

pantaloons model hunt event held at various

metropolitan cities on 3rd June 2012 Target

market was real estate.mailing to the interested players and getting

feedback

second week, store location was assigned in the store, learnt about the payback green

card and its process

2. Progress1st Week task - call 50 real estate companies

marketing heads.

Understanding of the process of paybackgreen card migration and issuing new cards

green card migration and issuing new cards


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3. Learning outcomesLearned Telephonic etiquettes, documentation, data

analysis and report generation in a professional way.

Week 3-4: Dated

[28th May to th 10 June 2012]

1. Task assigned

Achored in Model Hunt Event "Get The Style"Handled payback processHandling Payback customer loyalty program

launched At sahara mall, gurgaon.

customer interaction2. Progress

Issuing new Payback Greencards to the newcustomers and existing greencard holders.

3. Learning outcomesMigration of old card and Issuing new card

(Process and Customer Interaction)

Handling queries of customers in the bestpossible way with maximum utilization of the


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least possible time available to

communicate the marketing promotions.

Week 4 & 5:

Dated [11th June to 30th June 2012]

1. Task assigned

Host an in-house event at pantaloonsambience mall

Handling Payback and Issuing Gift Vouchersto the Payback Greencard holders.

Trained new trainees on Payback.2. Progress

handling Payback operations and reportgeneration.

Provide training to the new joiners.

3. Learning outcomesSupport and work with team to handle daily

operations smoothly in a professional way.


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Week 6 (From 1st July to 7th July ) :

1) Task assigned

Handling Payback process and Issuing Gift Vouchersto the Payback Greencard holders.

Trained new trainees on Payback.preparation for the end of season saleCalled the customer to invite them for end of season

sale

2)Progress

handling Payback operations and report generation.Provide training to the new joiners.called 50 customers a day. trained the new trainees.

3)Learning outcomesSupport and work with team to handle daily

operations smoothly in a professional way.


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FINDINGS

o Old records can be maintained.o High competition between pantaloons and Lifestyle.o Strategies to be no. 1 in Retail market.o

Good relationship with all the employees.o Free tea snacks for staff.o EDC offer card to employees.o All birth day babies all greeted with birth day card

and chocolates.

o A training program is conducted to all managementand worker staff every month last week.

o Brand portfolio management.o Quality of human resource management


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CONCLUSIONS:

Objective of the study of Marketing Management as a part of customer

experience is to put things in mind as to how customer service affects the

whole shopping experience of the customers and what all is needed on

of retailer to make that experience a remembering one for every

individual customer. I have got an idea that before setting up any

marketing promotion it is very much essential to know certain things and

these are as follows:

1.) Know your business.

2.) Consult with customers and employees.

3.) Set customer sensitive services standard

4.) Communicate service standards to customers and performance to

employees.

5.) Manage your organization based on service standards and quality.

In this project, I also tried to cover the few aspects of the store which is

being assigned to me. I have tried to Gain knowledge about the

customer, there psyche, Behavior of customer in the store, understood the

need, requirement of customer. What other competitors are doing in the

market under the radius of store. Try to regain customers. Using variouskinds of tactics to get customers it is important for a lifestyle retailer.


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BIBLIOGRAPHY

1. Principles of marketing By PHILIP KOTLER.

2. http://pantaloon.futurebazaar.com/indexPantaloon.jsp.

3. http://en.wikipedia.org/wiki/Pantaloon_Retail_India.

4. http://business.mapsofindia.com/india-retail-industry/.5. http://en.wikipedia.org/wiki/Retailing_in_India

anil panta project report

Documents