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TOPIC
–“Visited a departmental store/ retail shop or
consumer co-operative store located nearby to
study and report on the functioning of the store or
shop”
INDEX
1. CERTIFICATE
2. ACKNOWLEDGEMENT
3. TOPIC
4. INDEX
5. FOUNDER PICTURE
6. INTRODUCTION ON THE STORE
7. PROFILE
8. HISTOY OF THE FOUNDER
9. HISTORY ON THE STORE
10. VISION
11. NETWORK
12. HIERARCHY
13. GROWTH PROFILE
14. FUNCTIONING OF THE STORE
15. PRODUCT MIX -1
16. PRODUCT MIX -2
17. PRODUCT MIX - 3
18. PRICE MIX - 1
19. PRICE MIX - 2
20. PRICING METHODS USED-1
21. PRICING METHODS USED-2
22. HIGH AND LOW END PRODUCTS
23. PICTURES OF BILL
24. PLACE MIX
25. BRANCHES
26. SUPPLIERS
27. PURCHASE PROCEEDURE
28. PURCHASE ORDER FORM
29. STOCK
30. WAREHOUSE & STORAGE
31. PROMOTION MIX
32. ADVERTISEMENT
33. SALES PROMOTION
34. PERSONAL SELLING
35. PROMOTIONS & SIGNAGES
36. PICTURES OF PROMOTIONAL MATERIALS
37. MAJOR COMPETITORS
38. CARREFOUR
39. WESTZONE
40. BAQER MOHEBI
41. EVENTS HOSTED/SPONSORED
42. AL MAYA 30TH ANNIVERSARY
43. RAMADAN CAMPAIGN
44. AWARD OF EXCELLENCE
45. ENVIRONMENTAL CONCERNS HANDLED
46. CASE STUDY- PROBLEM
47. CASE STUDY- SOLUTION
48. SWOT ANALYSIS
49. PICTURE WITH THE MANAGER
50. CONCLUSION
51. BIBLIOGRAPHY
AL MAYA
Founder and Chairman Mr.
L.K.Pagarani
Introduction on the
store
History on the founder
– In 1982, LK Pagarani founded the Al Maya Group with one grocery store
in Ajman, UAE. Initially focusing on the food business, Al Maya Group has
gradually diversified into retail, distribution, restaurants and poultry farms.
– CitiMart, Jesco, Maya’s and the flagship Al Maya Supermarkets and Al Maya
Hypermarkets are the most well-known brands of the conglomerate.
– In 2013, Al Maya was awarded super brand status by the Superbrands Council,
the world's largest independent brand arbiter.
– Mr. LK Pagarani is ranked 21st according to Forbes Middle East in the category:
Top Indian Business Leaders in the Arab World.
PROFILE
– Al Maya Group, headquartered in Dubai, UAE, is a
diversified company established in 1982 by our
Founder and Chairman Mr. L.K.Pagarani.
– It is with his vision and leadership that Al Maya
Group successfully completes 34 years in 2016.
– The Group's core business' consist of Distribution of
Food and Non-Food products, Supermarkets,
Lifestyle Retail (Borders & Paperchase) and
Franchising (BHS & Mom and Me).
History On The Store
– What started as a humble one store enterprise in 1982 in Ajman, today, with the support of over 30
self-owned supermarkets in prime locations, a fleet of over 300 vehicles, and a state-of-the-art
distribution facility that covers over a million square feet, enjoys over 97% market coverage, ranging
from small groceries to large hypermarkets.
– Keeping convenience as a main focus, the Group’s flagship supermarkets included free home delivery
and 24-hour service which at the time, was not provided by any other retailer.
– As the supermarket business continued to flourish, fresh ideas were born in the minds of the
management. Thus the Central Warehouse Distribution depot under the auspices of the Al Maya
Trading Group was established in 1991.
– Using modern warehouse management systems, streamlined logistics and a professional, dedicated
and highly experienced staff, the Al Maya Group has established itself as the industry leader in
reliability and efficiency.
Vision
– Al Maya will strive to be the preferred partner for
global brands in the region and offer to our patrons
world-class products that advocate wellbeing
amidst the society we do business.
– Al Maya will nurture the professional aspirations of
our people and continue to evolve upon the same
ethos and values instilled in the organisation by our
Founder & Chairman Mr. L.K.Pagarani, lovingly
called Dada.
Network
– Headquartered in the UAE, the Al Maya
Group has strengthened its regional presence
across Oman, Bahrain, Kuwait and Qatar over
the past two decades.
– Besides this the group has also been
fortifying its global identity with stores in
India and the United Kingdom.
Founder and
Chairman – Mr.
L.K. Pagarani
CEO – Mr.
Deepak
Pagarani
CFO - Sudeep
Trehan
General
Manager–
Admin and
Finance-
Ghanshyam
Lahori
COO - Bejoy
Thomas Pulickel
Purchase
Manager –
Ravindran
Pookattil
Group
Personnel
Manager –
Manish Sharma
Sales/Retail
Manager–
Maldeen Key
IT Manager –
Bharat Korwani
Brand Manager
– Kailash
Bhagnari
Group Director
– Kamal
Vachani
Hierarchy:
1982 -Established
stand-alone
supermarket in
Ajman, U.A.E.
1985 - Acquired the
prestigious British
Home Stores (Bhs)
franchise for the
Northern Emirates.
Sep 6, 2005 -Invested Dh40
million in an expansion
involving the setting up of
eight new supermarkets and
two fashion retail stores.
Oct 10, 2006 -Franchise
deal between Borders Inc.,
a subsidiary of Borders
Group, and Dubai-based
retailer Al Maya Group.
May 4, 2012 - Top Indian
Fast-moving consumer
goods (FMCG) brands
launched by the Al Maya
Group at Al Maya
Supermarkets/Hypermark
et, Dubai.
August 2014 - Al Maya
has announced that it
has opened its fourth
store in Abu Dhabi.
December 2014 -UAE-
based Al Maya has
announced that it is
aiming to increase its
imports of products,
specifically in fresh, from
Jordan.
7 October 2015- Al
Maya Distribution
has been appointed
the exclusive
distributor for all
American Kitchen
products.
27 Feb 2016 –
Opened brand new
store at Dubai Sports
City, Dubai.
PRODUCT MIX
Product Mix
Fruits and
Vegetables
Garments Butchery Bakery
Electronics Kitchenware Stationery Rice (own
brand)
Product Mix
Cosmetics Fishery Toys Confectionery
Dairy Products Accessories Travel Bags Home
Appliances
Product Mix
Frozen Food Footwear Greeting Cards Crockery
Home Decor Pulses Baby Care Fresh Flowers
PRICE MIX
Price of different product categories
Price of different product
categories
– Competition based pricing:
– Al Maya mostly uses this pricing strategy. The price will be either equal to less than their
competitors like West Zone Supermarket, Carrefour, etc.
– Zone pricing method:
– Al Maya uses different prices on the basis of the location of their store/zones. Customers
in high-income regions, for example Jumeirah, the price is higher than their store in Al
Satwa. This helps Al Maya to tailor the prices found at different stores to maximize
profits across regions.
Pricing Method Used:-
Al Maya also provides Loyalty Discounts to
customers using Mashreq bank.
Products With High End Prices
And Low End Prices
Products with high
end prices
– Electronics
– Home appliances
– Kitchenware (branded)
– Branded watches and
clocks
– Branded footwear and
clothing
Products with low
end prices
– Almost all products
like:
– Food products
– Toiletries
– Home décor, etc.
PLACE MIX
BRANCHES:
– The Al Maya group has 45 stores situated in U.A.E .
– Dubai has a total of 32 stores
– There a total of 6 stores in Abu Dhabi.
– In Sharjah and Ajman, there are 4 and 3 stores each.
– Every store has the same promotion techniques, product ranges, prices and placing of
products.
– Every branch has a branch manager and the other department heads follow him.
(purchase manager, sales manager)
– Every Al Maya store ensures customers convenience, reach and satisfaction.
DUBAI
Place Store name
Dubai Al Maya Hypermarket -Lamcy
Al Diyafah Al Maya Mart
Satwa Al Maya Mart
Al Barsha Al Maya Supermarket
Al Mankhool Road, Bur Dubai Al Maya Supermarket
Al Muraqqabat, Deira Al Maya Supermarket
Al Reef Mall Al Maya Supermarket
Al Sadaf, JBR Al Maya Supermarket
Boulevard 8, Downtown Al Maya Supermarket
Bur Dubai Al Maya Supermarket
Clover Bay Tower, Business Bay Al Maya Supermarket
Deira Al Maya Supermarket
Dream tower, Dubai Marina Al Maya Hypermarket
Liberty House, DIFC Al Maya Supermarket
Al Jazira Street Al Maya
Financial Centre Road Al Maya Supermarket
Place Store name
Mamzar Al Maya Supermarket
Marina Promenade, Dubai Al Maya Supermarket
Murooj Rotana Al Maya Supermarket
Ritaj Community, DIP Al Maya Supermarket
Shams, JBR Al Maya Supermarket
Silicon Oasis Gate 1 Al Maya Supermarket
JBR Bahar Al Maya Supermarket
Bur Dubai Citimart
Arabian Ranches Daily Gourmet
JBR Murjan Daily Gourmet
Deira Jesco
Hamriya Jesco
Al Qusais Al Maya Supermarket
Dubai sports city Al Maya Supermarket
Satwa Al Maya Departmental Store
Satwa Extra Al Maya
AJMAN, SHARJAH AND ABU DHABI
Place Store name
Al Bader Street Al Maya Supermarket
Al Shaali Tower Al Maya Supermarket
RAK Road Al Maya Supermarket
Place Store name
Al Falah Village 3 Al Maya Supermarket
Al falah Village 4 Al Maya Supermarket
Al Reem Island Al Maya Supermarket
Citi Mall Al Dhafra Al Maya Supermarket
Tourist Club Al Maya Supermarket
Al Dhafra Extra Al Maya
Place Store name
Al Nahda Al Maya Supermarket
Rolla Al Maya Supermarket
Sharjah Jesco
Sharjah Al Maya
SUPPLIERS
– Al Maya Group enjoys prestigious partnerships with key brands like English knitwear giants Byford
London, Fruit of the Loom, Levis, Shock Absorber, Dim Scholl, Dollar and the footwear brand Relaxo.
Theses are the main suppliers for garments, footwear, legwear products etc. of their brands.
– Other suppliers include:
a)Al Seer Group – They have ISO 22000 and HACCP certifications and have a wide
portfolio of strong brands in categories of food, non-food, frozen, stationery and
beverage.
b)National Marketing & Trading Co LLC - For Foodstuff & Agents Spices, Medical Items &
Cosmetics.
c)Arabian Oasis – Provide food and beverages.
d)T.Choithram – Supplies food items like Rainbow, Kimball, Fruitella, Weetabix and
Seasons Harvest.
e)MARS Gulf - A leading FMCG sales and distribution business of Galaxy®, Mars®,
Bounty®, M&M's®, Twix®, Uncle Bens®, Pedigree®, and Whiskas®.
f)Al Rashideen Trading Co. – Suppliers of Tobacco and Cigarettes.
g)Sea Fam and Sea Top – These are the daily suppliers for fish. The orders are given at
night and fresh fish is supplied every morning.
h)Fruits and Vegetables Suppliers – Fruits and vegetable from different places like
Thailand, Srilanka, India, Philippines etc. are imported on Wednesdays.
SUPPLIERS
PURCHASE PROCEDURE:
The purchase procedure of Al Maya departmental store consists of five steps which
are as follows:
– Purchasing requisition - It is a formal request initiated by the store keeper or a
specific department to the purchasing department for the purchase of specific
items.
– Tenders or quotation - After receiving purchasing requisition, the purchasing
department finds the best source to purchase the material from. Invitations for
tender in a prescribed form are sent to prospective suppliers incase they don’t
have a contract with the supplier yet. If they do, they proceed to step 3.
– Purchase order - The purchase order is a contractual agreement with the
supplier for the supply of materials. It is prepared in five copies. The purchase
order prepared is sent to the supplier.
– Receiving and inspecting materials - The receiving department performs the
function of unloading and receiving of materials dispatched by the suppliers. It
verifies the quantity and condition of materials and sends back the goods that
are not as per requirement.
– Checking and passing of bills for payment - When the invoices are received
from the supplier, they are verified and sent to the accounting department to
make the payment to the supplier. Payment will be made according to the
terms specified in the contract of each supplier.
PURCHASE
ORDER FORM
STOCK : How does Al Maya maintain stock?
– Al Maya maintains the stock of their shop through the below ways:
a) Theft control. Without an inventory system, it's impossible to know if you're being
ripped off by customers or employees until it's too late
b) Customer service. You can avoid running out of stock and can determine if an item's in
stock and locate it more readily if you keep track. You can also locate out-of-stock
items, their prices, and manufacturers.
c) Financial management. Inventory systems help you keep track of how you're doing. It
makes little sense to go for an entire year without knowing the status of your stock.
d) Product tracking. You can track specific items and weed out low sellers with sales or
markdowns.
Theft Control Product Tracking
Customer Service Financial Management
Warehouse and Storages
– Located at 'Dubai Investment Park-II', Al Maya has a brand new Warehousing set-up
of about 80,000 sqft. having facilities to store and make the distribution of all the
goods smoothly and promptly. They have modern equipments for smooth movement
within the storage facilities and the goods inwards & outwards are handled by well
experienced skilled labours & supervised by professional staff who have excelled in
this field.
– The Central Warehouse is located in Al Quoz Industrial Area 3, Dubai, Near United
Precast Concrete Dubai LLC.
– The goods which are replaced frequently on the shelf, include Dairy products, Fruits
and vegetables, Fishery and butchery, Soaps and detergents.
PROMOTION
MIX
PROMOTION
– Customers will always find discounted and sale products in Al Maya.
– Al Maya has allotted certain areas in the store where through-out the
year products are put on promotions.
– Majority of the promotional items are displayed near the entrance, to
catch the customers eyes.
– Big promotional offers are conducted in the festival times like Christmas,
Eid, Ramadan, Vishu, Easter, Diwali, National Day, etc.
– In the fruits and vegetable section, huge promotion and fests are
organized like Mango Mania, each country’s fruit/vegetable during its
national day and so on.
– Products which relate to the occasion are displayed on sale. For example,
customers walking in before re-opening of schools will witness ‘Back to
School’ promotion offering variety of stationery items and school bags
for students.
ADVERTISING:
– Al Maya usually uses Print Media for advertising.
– Their offers and new arrivals are given in all the leading newspapers, magazines.
– Flyers and brochures are made available at the doorstep of every house in a particular
residential area.
– They use little to no Visual Media advertising.
SALES PROMOTIONS OFFERED:
– Al Maya usually sales promotion methods very frequently.
– This is done in order to never lose out customers.
– Clearance sale, bundle offers, discounts up to 75%, half pay back, etc. are the most
commonly used methods.
– These offers are always advertised everywhere.
PERSONAL SELLING:
– The employees are well trained and even experienced.
– They communicate to the customers with a lot of ease.
– The costumers feel comfortable and do not hesitate to ask them about any queries.
– There is a separate counter for customer service too.
Promotions and Signage's
– Pyramidal Structures for Discounts
– Red promotion flags hanging from ceiling
– Red ground demarcation for promotion areas
– Gondolas at the end of aisles aware stacked high
with items on promotion
– Signage for directions and products clearly
mentioned on boards suspended from ceiling.
PICTURES OF PROMOTIONAL MATERIAL
PICTURES OF PROMOTIONAL MATERIAL
MAJOR
COMPETITORS:
1. Carrefour
2. West Zone Supermarket
3. Baqer Mohebi
CARREFOUR
– Carrefour, one of the largest French hypermarket chains in the world was introduced to the Middle East
and North Africa (MENA) market in 1995 by Majid Al Futtaim, the leading shopping mall, retail and
leisure pioneer across MENA.
– Carrefour has become the most dynamic, fast-moving and exciting hypermarket chain in the region and
shared its growth with more than 21,000 employees from more than 68 nationalities in 12 countries,
providing shoppers with variety and value-for-money.
– Carrefour ensures customer satisfaction and everyday convenience while offering unbeatable value for
money with a vast array of more than 100,000 products.
– Carrefour currently operates over 55 hypermarkets and over 50 supermarkets and one web store in 12
countries across the MENA region and will extend to include 38 countries in the Middle East, Central
Asia, Africa and Russia.
WEST ZONE
– West Zone Group was incorporated in 2005 and has progressed formidably to become one
of the top rated corporate house in the UAE.
– All the West Zone employees are specifically trained to give the customers an experience
that they deserve.
– Their key facts:
– 35 locations and growing
– Over 1,500 employees
– Around 500,000 sq. ft. retail area
– Over 5,000 global brands stocked
– 70% products are imported
– Baqer Mohebi Enterprises is one of the foremost specialists in the UAE for the distribution and
marketing of consumer goods, both food and non-food. We currently serve over 6000 clients from over
40 multi-national premium brands. We also operate a number of retail stores.
– Key benefits are that the matrix organizational structure ensures efficient sales management, trade
marketing initiatives, in-store merchandising and direct distribution without diluting the
category/brand focus across market segments.
– They cover 100% of numeric and weighted distribution in Modern, Traditional and Wholesale Trade
and in Direct Distribution, 80%.
– They leverage multi-product and multi-country status to reduce operational hurdles and to drive
negotiations, thereby gaining greater market share/control at the lowest possible cost.
Events Hosted and Sponsored/
Awards Won
– Al Maya Group sponsors and participates in various events like
U.A.E National Day, Mother’s Day, Ramadhan Kareem, Eid,
Christmas etc.
– They make sure to include and involve their customers in such
events.
– One such event as the Al Maya 30th Anniversary.
– The Al Maya Group also has received various awards for their
excellence in retailing and other qualities.
– These awards make Al Maya more trustworthy and responsible.
Al Maya 30th Anniversary
April 29, 2012 :Al Maya Group celebrates carnival
To mark 30 years of operations in the region
As part of the 30th anniversary celebrations, the Al Maya
Group has announced that it is starting ‘the Al Maya
Birthday Carnival’ from May 1. Customers have a chance to
win one of three brand new Mini Coopers during the
birthday carnival on a single purchase of Dh100 at any of
the 60 plus Al Maya owned stores within the UAE including
Al Maya, Al Maya mart, Citimart, Shop n Save supermarkets
in Dubai, Al Ain City Centre, Borders, Mom & Me,
Paperchase and BHS (Dubai and northern emirates).
Ramadan Campaign
– 11 Jun 2015 : As a part of our Ramadan campaign, Al
Maya will be offering a price lock for 135 basic Food
and FMCG products across the UAE
– Al Maya has announced a Ramadan budget of almost
Dhs.1.2 million, offering discounts and subsidized
pricing for more than 150 products during the Holy
Month of Ramadan.
– Al Maya Group has also pledged Dhs.100,000/- to Dubai
Cares and various other local charitable organizations
as part of its charitable initiatives.
Al Maya Group awarded the “Award of Excellence” for
excellent business partnership
– March 10, 2013: Al Maya Group announced that it has
been awarded the “Award of Excellence” for excellent
business partnership by Sun Mark Limited, UK.
– The award was presented by Ian Gibbons MBE, Deputy
Consul General & Director of UK Trade & Investment,
British Embassy, Dubai, to Kamal Vachani, Group
Director, Al Maya Group.
– “We are indeed honoured to have been awarded
‘Award of Excellence’ which was presented to us by
Mr. Ian Gibbons. We will make all efforts to boost
business relationship with British companies,” said
Vachani.
ENVIRONMENTAL
CONCERNS HANDLED
– Al Maya departmental store doesn’t have any particular handling
of environmental concerns. They have plastic bags that are made
according to the rules laid down to them and ensure proper waste
management. They keep the stores clean and tidy at all times.
– Al Maya group as a whole or other brands of Al Maya group do
handle environment concerns like the WEEE Directive by
Paperchase and the paper recycling campaign held at Gems Our
Own English High School, Dubai.
– The Al Maya Group pursues a proactive approach towards the
protection of the environment.
CASE STUDY: PROBLEM:
HIGHER OPERATING COSTS:
– Al Maya has many departments dealing in different lines of
products, since it aims at selling everything under one roof.
Such a large retail organization always required a large amount
of capital to keep the business running as the cost of running a
departmental store was very high.
– Since it was centrally located at places of increasing demand
the rent for the building was very high. Furthermore Al Maya
also offered personal services and facilities like Free Home
delivery, spent more on advertising, held regular promotions
and gave a high salary to skilled and hardworking employees.
All these expenses increased the overhead expenses of Al
Maya.
CASE STUDY: SOLUTION:
– The high overhead expenses that Al Maya had to
undertake were reduced by following the Economies Of
Scale and by cutting down a little on frequent
promotions when this problem aroused.
– By producing a huge number of goods they were able
to reduce the per unit cost and could therefore harvest
more profits. They were also very careful in spending
on advertising during this period and focused more on
keeping expenses low.
– Salary peaks were dismissed and an acceptable pay
scale was adopted. Thus Al Maya was able to overcome
the problem of huge overhead expenses.
STRENGTH
1. Private label sale – own products (maya’s)
2. Economies of scale - The company can
share its fixed costs over many products,
which makes Al Maya one of the cheapest
places to shop.
WEAKNESS
1. 1. Poor inventory control
2. 2. Staff – Lack of knowledge about
products
3. 3. Parking
OPPORTUNITY
1. Large untapped market in the United Arab
Emirates.
2. Reduce operating cost.
THREAT
1. With other competitive stores opening in
Dubai market, market share is reducing.
2. Fierce competition
SWOT
ANALYSIS
CONCLUSION
– A spacious departmental store which offers a wide variety of products from all
over the world. Having various departments with signage's and various choices
for products, Al Maya is a good choice for daily shopping.
– The store promises customers with quality products at a lesser price. Providing
parking space and counter to leave shopping bags while inside the store add to
the convenience that the customers desire.
– Even though the store is sometimes unorganized (when new supplies are
brought in), the large isles allows the customers to move around easily, even
during rush times. Al Maya employees are present in all corners of the store to
lend assistance to any customer whenever possible.
– The Al Maya group can however focus more on environmental concerns as it is
important to give back to the environment what one takes. Overall, a customer
has a good and pleasant time shopping at Al Maya Departmental store.
– The store’s tagline “ONE MAN'S DREAM, TODAY AN ASPIRATION FOR MANY” is
indeed fitting for Al Maya because of its achievements in Retailing.
Bibliography
– http://www.almaya.ae/offers-news/news-details.aspx?id=46
– http://www.almaya.ae/offers-news/news-details.aspx?id=37
– http://retailanalysis.igd.com/Hub.aspx?id=13&tid=1&rid=2637
– http://gulfnews.com/business/sectors/markets/al-maya-group-plans-
expansion-1.299911
– https://www.zawya.com/story/Al_Maya_Group_participates_in_Gulfood
_2014-ZAWYA20140223075027/
– MS OFFICE

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Departmental store mkt project grade 12

  • 1. TOPIC –“Visited a departmental store/ retail shop or consumer co-operative store located nearby to study and report on the functioning of the store or shop”
  • 2. INDEX 1. CERTIFICATE 2. ACKNOWLEDGEMENT 3. TOPIC 4. INDEX 5. FOUNDER PICTURE 6. INTRODUCTION ON THE STORE 7. PROFILE 8. HISTOY OF THE FOUNDER 9. HISTORY ON THE STORE 10. VISION 11. NETWORK 12. HIERARCHY 13. GROWTH PROFILE 14. FUNCTIONING OF THE STORE 15. PRODUCT MIX -1 16. PRODUCT MIX -2 17. PRODUCT MIX - 3 18. PRICE MIX - 1 19. PRICE MIX - 2 20. PRICING METHODS USED-1 21. PRICING METHODS USED-2 22. HIGH AND LOW END PRODUCTS 23. PICTURES OF BILL 24. PLACE MIX 25. BRANCHES 26. SUPPLIERS 27. PURCHASE PROCEEDURE 28. PURCHASE ORDER FORM 29. STOCK 30. WAREHOUSE & STORAGE 31. PROMOTION MIX 32. ADVERTISEMENT 33. SALES PROMOTION 34. PERSONAL SELLING 35. PROMOTIONS & SIGNAGES 36. PICTURES OF PROMOTIONAL MATERIALS 37. MAJOR COMPETITORS 38. CARREFOUR 39. WESTZONE 40. BAQER MOHEBI 41. EVENTS HOSTED/SPONSORED 42. AL MAYA 30TH ANNIVERSARY 43. RAMADAN CAMPAIGN 44. AWARD OF EXCELLENCE 45. ENVIRONMENTAL CONCERNS HANDLED 46. CASE STUDY- PROBLEM 47. CASE STUDY- SOLUTION 48. SWOT ANALYSIS 49. PICTURE WITH THE MANAGER 50. CONCLUSION 51. BIBLIOGRAPHY
  • 3. AL MAYA Founder and Chairman Mr. L.K.Pagarani
  • 5. History on the founder – In 1982, LK Pagarani founded the Al Maya Group with one grocery store in Ajman, UAE. Initially focusing on the food business, Al Maya Group has gradually diversified into retail, distribution, restaurants and poultry farms. – CitiMart, Jesco, Maya’s and the flagship Al Maya Supermarkets and Al Maya Hypermarkets are the most well-known brands of the conglomerate. – In 2013, Al Maya was awarded super brand status by the Superbrands Council, the world's largest independent brand arbiter. – Mr. LK Pagarani is ranked 21st according to Forbes Middle East in the category: Top Indian Business Leaders in the Arab World.
  • 6. PROFILE – Al Maya Group, headquartered in Dubai, UAE, is a diversified company established in 1982 by our Founder and Chairman Mr. L.K.Pagarani. – It is with his vision and leadership that Al Maya Group successfully completes 34 years in 2016. – The Group's core business' consist of Distribution of Food and Non-Food products, Supermarkets, Lifestyle Retail (Borders & Paperchase) and Franchising (BHS & Mom and Me).
  • 7. History On The Store – What started as a humble one store enterprise in 1982 in Ajman, today, with the support of over 30 self-owned supermarkets in prime locations, a fleet of over 300 vehicles, and a state-of-the-art distribution facility that covers over a million square feet, enjoys over 97% market coverage, ranging from small groceries to large hypermarkets. – Keeping convenience as a main focus, the Group’s flagship supermarkets included free home delivery and 24-hour service which at the time, was not provided by any other retailer. – As the supermarket business continued to flourish, fresh ideas were born in the minds of the management. Thus the Central Warehouse Distribution depot under the auspices of the Al Maya Trading Group was established in 1991. – Using modern warehouse management systems, streamlined logistics and a professional, dedicated and highly experienced staff, the Al Maya Group has established itself as the industry leader in reliability and efficiency.
  • 8. Vision – Al Maya will strive to be the preferred partner for global brands in the region and offer to our patrons world-class products that advocate wellbeing amidst the society we do business. – Al Maya will nurture the professional aspirations of our people and continue to evolve upon the same ethos and values instilled in the organisation by our Founder & Chairman Mr. L.K.Pagarani, lovingly called Dada.
  • 9. Network – Headquartered in the UAE, the Al Maya Group has strengthened its regional presence across Oman, Bahrain, Kuwait and Qatar over the past two decades. – Besides this the group has also been fortifying its global identity with stores in India and the United Kingdom.
  • 10. Founder and Chairman – Mr. L.K. Pagarani CEO – Mr. Deepak Pagarani CFO - Sudeep Trehan General Manager– Admin and Finance- Ghanshyam Lahori COO - Bejoy Thomas Pulickel Purchase Manager – Ravindran Pookattil Group Personnel Manager – Manish Sharma Sales/Retail Manager– Maldeen Key IT Manager – Bharat Korwani Brand Manager – Kailash Bhagnari Group Director – Kamal Vachani Hierarchy:
  • 11. 1982 -Established stand-alone supermarket in Ajman, U.A.E. 1985 - Acquired the prestigious British Home Stores (Bhs) franchise for the Northern Emirates. Sep 6, 2005 -Invested Dh40 million in an expansion involving the setting up of eight new supermarkets and two fashion retail stores. Oct 10, 2006 -Franchise deal between Borders Inc., a subsidiary of Borders Group, and Dubai-based retailer Al Maya Group. May 4, 2012 - Top Indian Fast-moving consumer goods (FMCG) brands launched by the Al Maya Group at Al Maya Supermarkets/Hypermark et, Dubai. August 2014 - Al Maya has announced that it has opened its fourth store in Abu Dhabi. December 2014 -UAE- based Al Maya has announced that it is aiming to increase its imports of products, specifically in fresh, from Jordan. 7 October 2015- Al Maya Distribution has been appointed the exclusive distributor for all American Kitchen products. 27 Feb 2016 – Opened brand new store at Dubai Sports City, Dubai.
  • 13. Product Mix Fruits and Vegetables Garments Butchery Bakery Electronics Kitchenware Stationery Rice (own brand)
  • 14. Product Mix Cosmetics Fishery Toys Confectionery Dairy Products Accessories Travel Bags Home Appliances
  • 15. Product Mix Frozen Food Footwear Greeting Cards Crockery Home Decor Pulses Baby Care Fresh Flowers
  • 17. Price of different product categories
  • 18. Price of different product categories
  • 19. – Competition based pricing: – Al Maya mostly uses this pricing strategy. The price will be either equal to less than their competitors like West Zone Supermarket, Carrefour, etc. – Zone pricing method: – Al Maya uses different prices on the basis of the location of their store/zones. Customers in high-income regions, for example Jumeirah, the price is higher than their store in Al Satwa. This helps Al Maya to tailor the prices found at different stores to maximize profits across regions. Pricing Method Used:-
  • 20. Al Maya also provides Loyalty Discounts to customers using Mashreq bank.
  • 21. Products With High End Prices And Low End Prices Products with high end prices – Electronics – Home appliances – Kitchenware (branded) – Branded watches and clocks – Branded footwear and clothing Products with low end prices – Almost all products like: – Food products – Toiletries – Home décor, etc.
  • 23. BRANCHES: – The Al Maya group has 45 stores situated in U.A.E . – Dubai has a total of 32 stores – There a total of 6 stores in Abu Dhabi. – In Sharjah and Ajman, there are 4 and 3 stores each. – Every store has the same promotion techniques, product ranges, prices and placing of products. – Every branch has a branch manager and the other department heads follow him. (purchase manager, sales manager) – Every Al Maya store ensures customers convenience, reach and satisfaction.
  • 24. DUBAI Place Store name Dubai Al Maya Hypermarket -Lamcy Al Diyafah Al Maya Mart Satwa Al Maya Mart Al Barsha Al Maya Supermarket Al Mankhool Road, Bur Dubai Al Maya Supermarket Al Muraqqabat, Deira Al Maya Supermarket Al Reef Mall Al Maya Supermarket Al Sadaf, JBR Al Maya Supermarket Boulevard 8, Downtown Al Maya Supermarket Bur Dubai Al Maya Supermarket Clover Bay Tower, Business Bay Al Maya Supermarket Deira Al Maya Supermarket Dream tower, Dubai Marina Al Maya Hypermarket Liberty House, DIFC Al Maya Supermarket Al Jazira Street Al Maya Financial Centre Road Al Maya Supermarket Place Store name Mamzar Al Maya Supermarket Marina Promenade, Dubai Al Maya Supermarket Murooj Rotana Al Maya Supermarket Ritaj Community, DIP Al Maya Supermarket Shams, JBR Al Maya Supermarket Silicon Oasis Gate 1 Al Maya Supermarket JBR Bahar Al Maya Supermarket Bur Dubai Citimart Arabian Ranches Daily Gourmet JBR Murjan Daily Gourmet Deira Jesco Hamriya Jesco Al Qusais Al Maya Supermarket Dubai sports city Al Maya Supermarket Satwa Al Maya Departmental Store Satwa Extra Al Maya
  • 25. AJMAN, SHARJAH AND ABU DHABI Place Store name Al Bader Street Al Maya Supermarket Al Shaali Tower Al Maya Supermarket RAK Road Al Maya Supermarket Place Store name Al Falah Village 3 Al Maya Supermarket Al falah Village 4 Al Maya Supermarket Al Reem Island Al Maya Supermarket Citi Mall Al Dhafra Al Maya Supermarket Tourist Club Al Maya Supermarket Al Dhafra Extra Al Maya Place Store name Al Nahda Al Maya Supermarket Rolla Al Maya Supermarket Sharjah Jesco Sharjah Al Maya
  • 26. SUPPLIERS – Al Maya Group enjoys prestigious partnerships with key brands like English knitwear giants Byford London, Fruit of the Loom, Levis, Shock Absorber, Dim Scholl, Dollar and the footwear brand Relaxo. Theses are the main suppliers for garments, footwear, legwear products etc. of their brands. – Other suppliers include: a)Al Seer Group – They have ISO 22000 and HACCP certifications and have a wide portfolio of strong brands in categories of food, non-food, frozen, stationery and beverage. b)National Marketing & Trading Co LLC - For Foodstuff & Agents Spices, Medical Items & Cosmetics. c)Arabian Oasis – Provide food and beverages. d)T.Choithram – Supplies food items like Rainbow, Kimball, Fruitella, Weetabix and Seasons Harvest. e)MARS Gulf - A leading FMCG sales and distribution business of Galaxy®, Mars®, Bounty®, M&M's®, Twix®, Uncle Bens®, Pedigree®, and Whiskas®. f)Al Rashideen Trading Co. – Suppliers of Tobacco and Cigarettes. g)Sea Fam and Sea Top – These are the daily suppliers for fish. The orders are given at night and fresh fish is supplied every morning. h)Fruits and Vegetables Suppliers – Fruits and vegetable from different places like Thailand, Srilanka, India, Philippines etc. are imported on Wednesdays.
  • 28. PURCHASE PROCEDURE: The purchase procedure of Al Maya departmental store consists of five steps which are as follows: – Purchasing requisition - It is a formal request initiated by the store keeper or a specific department to the purchasing department for the purchase of specific items. – Tenders or quotation - After receiving purchasing requisition, the purchasing department finds the best source to purchase the material from. Invitations for tender in a prescribed form are sent to prospective suppliers incase they don’t have a contract with the supplier yet. If they do, they proceed to step 3. – Purchase order - The purchase order is a contractual agreement with the supplier for the supply of materials. It is prepared in five copies. The purchase order prepared is sent to the supplier. – Receiving and inspecting materials - The receiving department performs the function of unloading and receiving of materials dispatched by the suppliers. It verifies the quantity and condition of materials and sends back the goods that are not as per requirement. – Checking and passing of bills for payment - When the invoices are received from the supplier, they are verified and sent to the accounting department to make the payment to the supplier. Payment will be made according to the terms specified in the contract of each supplier.
  • 30. STOCK : How does Al Maya maintain stock? – Al Maya maintains the stock of their shop through the below ways: a) Theft control. Without an inventory system, it's impossible to know if you're being ripped off by customers or employees until it's too late b) Customer service. You can avoid running out of stock and can determine if an item's in stock and locate it more readily if you keep track. You can also locate out-of-stock items, their prices, and manufacturers. c) Financial management. Inventory systems help you keep track of how you're doing. It makes little sense to go for an entire year without knowing the status of your stock. d) Product tracking. You can track specific items and weed out low sellers with sales or markdowns.
  • 31. Theft Control Product Tracking Customer Service Financial Management
  • 32. Warehouse and Storages – Located at 'Dubai Investment Park-II', Al Maya has a brand new Warehousing set-up of about 80,000 sqft. having facilities to store and make the distribution of all the goods smoothly and promptly. They have modern equipments for smooth movement within the storage facilities and the goods inwards & outwards are handled by well experienced skilled labours & supervised by professional staff who have excelled in this field. – The Central Warehouse is located in Al Quoz Industrial Area 3, Dubai, Near United Precast Concrete Dubai LLC. – The goods which are replaced frequently on the shelf, include Dairy products, Fruits and vegetables, Fishery and butchery, Soaps and detergents.
  • 33.
  • 35. PROMOTION – Customers will always find discounted and sale products in Al Maya. – Al Maya has allotted certain areas in the store where through-out the year products are put on promotions. – Majority of the promotional items are displayed near the entrance, to catch the customers eyes. – Big promotional offers are conducted in the festival times like Christmas, Eid, Ramadan, Vishu, Easter, Diwali, National Day, etc. – In the fruits and vegetable section, huge promotion and fests are organized like Mango Mania, each country’s fruit/vegetable during its national day and so on. – Products which relate to the occasion are displayed on sale. For example, customers walking in before re-opening of schools will witness ‘Back to School’ promotion offering variety of stationery items and school bags for students.
  • 36. ADVERTISING: – Al Maya usually uses Print Media for advertising. – Their offers and new arrivals are given in all the leading newspapers, magazines. – Flyers and brochures are made available at the doorstep of every house in a particular residential area. – They use little to no Visual Media advertising.
  • 37. SALES PROMOTIONS OFFERED: – Al Maya usually sales promotion methods very frequently. – This is done in order to never lose out customers. – Clearance sale, bundle offers, discounts up to 75%, half pay back, etc. are the most commonly used methods. – These offers are always advertised everywhere.
  • 38. PERSONAL SELLING: – The employees are well trained and even experienced. – They communicate to the customers with a lot of ease. – The costumers feel comfortable and do not hesitate to ask them about any queries. – There is a separate counter for customer service too.
  • 39. Promotions and Signage's – Pyramidal Structures for Discounts – Red promotion flags hanging from ceiling – Red ground demarcation for promotion areas – Gondolas at the end of aisles aware stacked high with items on promotion – Signage for directions and products clearly mentioned on boards suspended from ceiling.
  • 42. MAJOR COMPETITORS: 1. Carrefour 2. West Zone Supermarket 3. Baqer Mohebi
  • 43. CARREFOUR – Carrefour, one of the largest French hypermarket chains in the world was introduced to the Middle East and North Africa (MENA) market in 1995 by Majid Al Futtaim, the leading shopping mall, retail and leisure pioneer across MENA. – Carrefour has become the most dynamic, fast-moving and exciting hypermarket chain in the region and shared its growth with more than 21,000 employees from more than 68 nationalities in 12 countries, providing shoppers with variety and value-for-money. – Carrefour ensures customer satisfaction and everyday convenience while offering unbeatable value for money with a vast array of more than 100,000 products. – Carrefour currently operates over 55 hypermarkets and over 50 supermarkets and one web store in 12 countries across the MENA region and will extend to include 38 countries in the Middle East, Central Asia, Africa and Russia.
  • 44. WEST ZONE – West Zone Group was incorporated in 2005 and has progressed formidably to become one of the top rated corporate house in the UAE. – All the West Zone employees are specifically trained to give the customers an experience that they deserve. – Their key facts: – 35 locations and growing – Over 1,500 employees – Around 500,000 sq. ft. retail area – Over 5,000 global brands stocked – 70% products are imported
  • 45. – Baqer Mohebi Enterprises is one of the foremost specialists in the UAE for the distribution and marketing of consumer goods, both food and non-food. We currently serve over 6000 clients from over 40 multi-national premium brands. We also operate a number of retail stores. – Key benefits are that the matrix organizational structure ensures efficient sales management, trade marketing initiatives, in-store merchandising and direct distribution without diluting the category/brand focus across market segments. – They cover 100% of numeric and weighted distribution in Modern, Traditional and Wholesale Trade and in Direct Distribution, 80%. – They leverage multi-product and multi-country status to reduce operational hurdles and to drive negotiations, thereby gaining greater market share/control at the lowest possible cost.
  • 46. Events Hosted and Sponsored/ Awards Won – Al Maya Group sponsors and participates in various events like U.A.E National Day, Mother’s Day, Ramadhan Kareem, Eid, Christmas etc. – They make sure to include and involve their customers in such events. – One such event as the Al Maya 30th Anniversary. – The Al Maya Group also has received various awards for their excellence in retailing and other qualities. – These awards make Al Maya more trustworthy and responsible.
  • 47. Al Maya 30th Anniversary April 29, 2012 :Al Maya Group celebrates carnival To mark 30 years of operations in the region As part of the 30th anniversary celebrations, the Al Maya Group has announced that it is starting ‘the Al Maya Birthday Carnival’ from May 1. Customers have a chance to win one of three brand new Mini Coopers during the birthday carnival on a single purchase of Dh100 at any of the 60 plus Al Maya owned stores within the UAE including Al Maya, Al Maya mart, Citimart, Shop n Save supermarkets in Dubai, Al Ain City Centre, Borders, Mom & Me, Paperchase and BHS (Dubai and northern emirates).
  • 48. Ramadan Campaign – 11 Jun 2015 : As a part of our Ramadan campaign, Al Maya will be offering a price lock for 135 basic Food and FMCG products across the UAE – Al Maya has announced a Ramadan budget of almost Dhs.1.2 million, offering discounts and subsidized pricing for more than 150 products during the Holy Month of Ramadan. – Al Maya Group has also pledged Dhs.100,000/- to Dubai Cares and various other local charitable organizations as part of its charitable initiatives.
  • 49. Al Maya Group awarded the “Award of Excellence” for excellent business partnership – March 10, 2013: Al Maya Group announced that it has been awarded the “Award of Excellence” for excellent business partnership by Sun Mark Limited, UK. – The award was presented by Ian Gibbons MBE, Deputy Consul General & Director of UK Trade & Investment, British Embassy, Dubai, to Kamal Vachani, Group Director, Al Maya Group. – “We are indeed honoured to have been awarded ‘Award of Excellence’ which was presented to us by Mr. Ian Gibbons. We will make all efforts to boost business relationship with British companies,” said Vachani.
  • 50. ENVIRONMENTAL CONCERNS HANDLED – Al Maya departmental store doesn’t have any particular handling of environmental concerns. They have plastic bags that are made according to the rules laid down to them and ensure proper waste management. They keep the stores clean and tidy at all times. – Al Maya group as a whole or other brands of Al Maya group do handle environment concerns like the WEEE Directive by Paperchase and the paper recycling campaign held at Gems Our Own English High School, Dubai. – The Al Maya Group pursues a proactive approach towards the protection of the environment.
  • 51. CASE STUDY: PROBLEM: HIGHER OPERATING COSTS: – Al Maya has many departments dealing in different lines of products, since it aims at selling everything under one roof. Such a large retail organization always required a large amount of capital to keep the business running as the cost of running a departmental store was very high. – Since it was centrally located at places of increasing demand the rent for the building was very high. Furthermore Al Maya also offered personal services and facilities like Free Home delivery, spent more on advertising, held regular promotions and gave a high salary to skilled and hardworking employees. All these expenses increased the overhead expenses of Al Maya.
  • 52. CASE STUDY: SOLUTION: – The high overhead expenses that Al Maya had to undertake were reduced by following the Economies Of Scale and by cutting down a little on frequent promotions when this problem aroused. – By producing a huge number of goods they were able to reduce the per unit cost and could therefore harvest more profits. They were also very careful in spending on advertising during this period and focused more on keeping expenses low. – Salary peaks were dismissed and an acceptable pay scale was adopted. Thus Al Maya was able to overcome the problem of huge overhead expenses.
  • 53. STRENGTH 1. Private label sale – own products (maya’s) 2. Economies of scale - The company can share its fixed costs over many products, which makes Al Maya one of the cheapest places to shop. WEAKNESS 1. 1. Poor inventory control 2. 2. Staff – Lack of knowledge about products 3. 3. Parking OPPORTUNITY 1. Large untapped market in the United Arab Emirates. 2. Reduce operating cost. THREAT 1. With other competitive stores opening in Dubai market, market share is reducing. 2. Fierce competition SWOT ANALYSIS
  • 54. CONCLUSION – A spacious departmental store which offers a wide variety of products from all over the world. Having various departments with signage's and various choices for products, Al Maya is a good choice for daily shopping. – The store promises customers with quality products at a lesser price. Providing parking space and counter to leave shopping bags while inside the store add to the convenience that the customers desire. – Even though the store is sometimes unorganized (when new supplies are brought in), the large isles allows the customers to move around easily, even during rush times. Al Maya employees are present in all corners of the store to lend assistance to any customer whenever possible. – The Al Maya group can however focus more on environmental concerns as it is important to give back to the environment what one takes. Overall, a customer has a good and pleasant time shopping at Al Maya Departmental store. – The store’s tagline “ONE MAN'S DREAM, TODAY AN ASPIRATION FOR MANY” is indeed fitting for Al Maya because of its achievements in Retailing.
  • 55. Bibliography – http://www.almaya.ae/offers-news/news-details.aspx?id=46 – http://www.almaya.ae/offers-news/news-details.aspx?id=37 – http://retailanalysis.igd.com/Hub.aspx?id=13&tid=1&rid=2637 – http://gulfnews.com/business/sectors/markets/al-maya-group-plans- expansion-1.299911 – https://www.zawya.com/story/Al_Maya_Group_participates_in_Gulfood _2014-ZAWYA20140223075027/ – MS OFFICE