1. PROJECT REPORT
PANTALOONS
(The Great India Place, NOIDA)
GROUP-11
PGFA-1642 DEEPTI SHARMA
PGFA-1646 DIVYANSHI DAYALANI
PGFA-1651 RISHABH KUMAR
PGFA-1654 UTKARSH SINGH
PGDM (2016-18)
2. TABLE OF CONTENTS
Particular
Executive summary
Company description
Current market scenario
Situation analysis
Competitor analysis
PESTEL analysis
SWOT analysis
Ansoff matrix
STP analysis
Marketing mix
Productstrategy
Pricingstrategy
Distributionandcommunicationstrategy
Budget and control
Action programmes
Recommendation
conclusion
3. ACKNOWLEDGEMENT
We would like to extend our gratitude and sincere thanks to our respected professor
Dr DEEPAK SINGH, who gave us this opportunity to learn more about the major
player of the retail industry – pantaloons. This project has helped us to learn and
understand the key aspects ofmarketing in pantaloons and retail sector, byproviding
the practical insights of the industry and working on some live projects.
We also extend our gratitude to our industry mentor Mr. ATTIN KUMAR, for
guiding us throughout the project.
Once again,
Thank You.
4. EXECUTIVE SUMMARY
We got an opportunity to visit Pantaloons, The great India place, Noida located
in sector 38 and to interact with Mr. ATTIN KUMAR, Industry mentor of our
industrial visits. He had been really supportive and humble.
Pantaloons aims at providing services to people at value added prices. They are
targeting various segments in the consumer, taking advantage of opportunities
indicated by higher demand for lifestyle segment.
On our first field visit, we met Mr. ATTIN KUMAR. He gave us a broad idea about
service and retail sectors are all about. Through our Desk Research we tried to have
some idea beforehand for better understanding. We asked him questions about the
products and services.
We tried to understand about the various marketing strategies he plans to adoptand
also how will he segment, target, and position this new Service in the minds of
people. We asked him about what are the various opportunities for this kind of
Services in the market.
The main aim behind this project was to get experience of customers in lifestyle
clothing sector in Pantaloons.
5. COMPANY DESCRIPTION
PANTALOONS
Retail (service) industry Headquarters in Mumbai, Maharashtra, India.
Deals in lifestyle segment.
Number of outlets 168 and still growing.
Managing Director: Pranab Barua.
Chief Executive Officer: Shital Mehta.
6. Founded in 1987, pantaloons earlier was known as ManzWear, inspired from Italian
brand. The manz wear brand focused on jeans and trousers. Earlier the brand was
owned byFUTURE GROUP. Thebrand name was then changed to pantaloons retail
and then again to PANTALOONS RETAIL FASHION private limited. The
headquarters are located in Mumbai, Maharashtra, India. Pantaloons is now owned
by Aditya Birla nuvo limited.
The Aditya Birla group has opened two lifestyle retail formats namely, pantaloons
and Madhura. Pantaloons has now becomea leading retailer in Indian retail industry.
Pantaloons provides service to consumers in terms of apparels, accessories like
footwear, sunglasses, watches, cosmetics. The area served for pantaloons covers
most of urban and semi – urban areas of India. Tier –ll &tier- lll cities are also now
ea major target for pantaloons. The pantaloons has expanded widely over the nation
with number of exclusive and nonexclusive 168 stores, and many more to comeover
the years. It has also been awarded as ‘The most trusted apparel brand in India’.
VISION: We shall deliver Everything, Everywhere, Every time for Every Indian
Consumer in the most Profitable Manner.
MISION: Infuse Indian Brands with Confidence and Ambition.
7. CURRENT MARKET SCENARIO
FEATURES:
• One Stop Shop for Customers.
• More than 200 In-house & Out-house brands.
• Quality Apparel.
• Value for Money.
• Innovative tactics to approach Customers.
MARKET SIZE:
• Market leader in the Retail Industry.
• Captures 43% of the Retail Industry.
• Organized retail sector growing at rate of 5%.
• Growing Middle Class Group.
8. SITUATIONAL ANALYSIS
Before we talk about anything let us see what Google has to say about Pantaloons
regarding its popularity as compared to Reliance trends.
As we can see that Google has shown that pantaloons is more popular than its
competitor Reliance trends. Demand is more for pantaloons products in India.
9. CORE COMPETANCIES
Pantaloons seeks to use its core competencies to achieve a sustainable competitive
advantage, in which competitors cannot provide the same value to consumers that
Pantaloons does. Already, Pantaloons has developed core competencies in
Offering a high-quality, branded productwhoseimage is recognizable among
consumers;
Providing quality brands at very low cost.
Developing a reputation among retailers as a reliable retail outlet delivering
the requested number of products onschedule. Thefirm intends to build on
these competencies through marketing efforts that increase the number of
products offered as well as distribution outlets.
By forming strong relationships with consumers, suppliers and other goods and
services, Pantaloons believes it can create a sustainable competitive advantage over
its rivals. No other retail company can say to its customers with as much conviction
“LIVE BETTER SPEND LESS”!
COMPETITORS
Shoppers stop
Wills lifestyle
Globus
Max
10. Objectives:pantaloons target to achieve 10% hike in sales during the festival
season.
Interest areas in India
In overall India people are obtaining more pantaloons’ productbut in southern few
areas, people are buying more from reliance trends.
12. S.NO SERVICES PANTALOONS
SHOPPERS
STOP LIFESTYLE GLOBUS MAX
1 ALTERATIONS YES YES YES YES YES
2 PARKING NO YES NO YES(buddies) NO
reimbursement
3 EXCHANGE
PERIOD
members 90 days 20 days 30 days 30 days 30 days
non-members 30 days 14 days 30 days 30 days 30 days
4 GIFT WRAP YES NO YES NO NO
5
HOME
DELIVERY YES YES YES YES NO
(withina
range) for goldenglow
withina
range for buddies
6 OUT OF STORE YES YES YES
OFFERS
7
END OF
SEASON YES YES YES YES YES
SALE
13. PESTEL ANALYSIS
POLITICAL FACTORS:
• Implementation of GST.
• Liberalized FDI policies.
ECONOMICAL FACTORS:
• Growth of service sector in GDP.
• Infrastructural growth i.e. ‘MAKE IN INDIA’.
SOCIO-CULTURAL FACTORS:
• Growing middle class group.
• Shift in taste & preferences of consumers.
TECHNOLOGICAL FACTORS:
• Growth in e – retailing.
• Extensive usage of marketing analytics.
LEGAL FACTORS:
• Taxation policy of India.
• Excise duty of 12.5% imposed on apparels.
ENVIRONMENTAL FACTORS:
• Usage of eco-friendly shopping bags.
• Promotion through social media, rather using paper.
14. SWOT ANALYSIS
STRENGTHS
• Well-established brand.
• Highly qualified staff(6000+employees)
• Economic Pricing.
• Quality apparel.
WEAKNESS
• Wide span of control.
• More complexity.
• Applications of IT.
• Employee retention.
OPPORTUNITIES
• Merge with Global Brands.
• Growth in middle class group.
• Increase in disposable Income.
THREATS
• Being pioneer, extensive competition.
• New entrants.
• International exposure of competitors.
17. SEGMENTATION
Geographic segmentation: Well pantaloons is covering overall India for target
market. They had over 168 stores across 73 cities. It has many stores in every
state. But here we are explaining you about Delhi and Delhi NCR region.
In Delhi and Delhi NCR
• Sahara mall
• Ambience mall
• South extension 11
• Cross river mall
• Shipra mall
• The great India palace mall
• Ajmal khan road, Karol bagh
• Model town phase 2, new Delhi
• Kamla nagar, new Delhi
• City center mall
• World square mall, Mohan nagar
• Metro mall, Dwarka new Delhi
• Wave city center, Noida
18. Demographic segmentation:
• Income : a) Upper to lower middle income group people
(Aspirers to seekers)
• Gender : a) Male
b) Female
• Age : a) 0-14 years (kids)
b) 14-28 (youngsters)
c) 28-40 (adults)
• Occupation : a) Professional
b) Managers
c) Sales staff
d) Students
e) Homemakers
Psychographic segmentation:
• Fashion followers
• Shopaholics
• Trend setters
19. Behavioralsegmentation:
• Occasions : a) Seasonal
b) Holiday
c) Special occasion
d) Regular occasion
• Benefits : a) Quality
b) Economy
TARGETING
Pantaloons is mainly targeting people as per their income. Middle income group
people are enjoying more services of pantaloons.
Income (Occupation) :
• Professional: Formal wear
Lower (Sales staff) T-shirts and jeans
Middle (Students) College formals
Upper (Manager) Corporatesuit
• Income (Women : Professional and non-working)
Upper: Professional
Lower: Homemakers
• Income (Behavioral)
Price conscious people are purchasing as per their purchasing power.
20. POSITIONING
Pantaloons is positioning them as a store which gives:
Value: As they are selling at economic prices and high discounts.
Choice:They have variety of products which gives right of choices to customer
Quality and latesttrend: They are providing quality and trendy products at right
time as per current market demand.
It is define itself by its tagline:
‘In love with life,
In love with fashion’
21. THE MARKETING MIX
The following discussionoutlines some ofthe details ofthe proposed marketing mix
for products:
PRODUCT STRATEGY:
Brands: In-house brands
Out-house brands
Product description:
Apparel: Ethnic wear and western wear
Men : Ethnic wear (Indus Route)
Western wear (Alto Moda)
Women: Ethnic wear (Rangmanch)
Western wear (Honey)
Kids : Ethnic wear (Aakriti)
Western wear (Poppers)
22. Accessories:
Junk Jewelry : butterfly 18
Sunglasses : Polaroid
Watches : Fastrack
Cosmetics : Lakme, Revlon
Footwear : Honey, Catwalk
Handbags : Caprese, Lavie
LEVELS OF PRODUCT
Actual product
1. Brand name : Pantaloons
2. Features : Economic pricing
Quality apparel
One stop shop.
3. Design: well updated with latest fashion trends
Innumerous choices and designs.
Augmented product
1. After sale service: Happiness Index
Credit shopping points
2. Warranty : exchange period
90 days for registered customers
30 days for non-registered customers
3. Productsupport : alteration services
4. Delivery : delivery for those who have given their apparel for
alteration and available within range.
23. PRICING STRATEGY
Value basedpricing: This pricing uses buyers perception of value, not the seller’s
costas the key to pricing. Value based pricing means that the marketer cannot design
a productand a marketing program and then seta price. In this, the pantaloons assess
the customer needs and value perceptions, based onprimary and secondaryresearch
of data obtained of the customers. The targeted value and price then drive the
decisions about what costs can be incurred and the resulting designs of products.
In pantaloons, the variety ofproducts available to customers along with key features
that is quality ofapparel strikes in the mind ofconsumers. Along with this, after sale
services like alterations, customer relationship management are also certain values
given to customers. Pantaloons is also well known for its good value pricing
techniques. This means that brand offers right combination of product quality and
service at right time.
Product –
Mix pricing strategies
Productline pricing - setting prices across the entire productline.
Productbundle pricing – pricing bundles of products sold together.
Pricing strategiesfollowedby Pantaloons:
Segment pricing : Middle class income group.
Discount pricing : During festive and sale seasons.
Geographical pricing : Fixed pricing based on standard rates.
Psychological pricing : Quality products available at economical rates.
24. DISTRIBUTION CHANNELSTRATEGY
Mother production warehouse: It is situated in Mumbai. Mother production
warehouse is main center of pantaloons, where production happens fluently
and after production it circulates to other regions.
Regional warehouse: Main productionwarehouse provides goods to regional
warehouses. There are five regional warehouses.
Northern
Southern
Eastern
Western
central
City warehouse: From regional warehouses to goods shift towards city
warehouses.
Pantaloons has selected their locations that are easily accessible to the target market
in areas that are consistent with the retailer’s positioning. Pantaloons locates its
stores in almost 90% of malls in Delhi and Delhi NCR region. Whether it is high
end mall or smaller one. Moreover they have women, kids and men exclusive stores.
They want to cover entire area of this region.
Mother production
warehouse (Mumbai)
Regional
warehouses
northen
southern
western
eastern
central
city
warehouses
particular
stores
25. Communication strategy
Advertising: Any paid form ofnon-personal presentation and promotion ofservices
by an identified sponsor. Advertising is divided into 2 parts as per area coverage.
ATL: (Above the line)
Advertising is where mass media is used to promote brands and reach out to target
consumers.
Sources: Newspapers, Radio, Television
Websites: http://pantaloons.com/
http://www.abfrl.com/
https://www.facebook.com/pantaloons/
26. https://www.youtube.com/results?search_query=pantaloons
BTL (Below the line)
Sources : Events, pamphlets, messages and mails
Sales promotion: This is use to encourage the purchases of services through short
term incentives
As pantaloons give some special discounts offers in festive seasons. They have
winter offers for 10 days, 15 days, 20 days offers.
Public relation: Through various events and shows they are maintaining relationship
with consumers. They organizes games in events and provide gifts to winners.
27. People
Managing Director: Pranab Barua
Chief Executive Officer: Shital Mehta.
TGIP store manager (our industry mentor): Attin Kumar
Process: Firstly, customer visits shopping store of pantaloons and select as per
their choices.
Physical evidence
Pantaloons provide products, shopping bills, and shopping bags etc as physical
evidence.
28. BUDGETS & CONTROLS
Establishing a systematic set ofprocedures in a clothing storeis necessary to prevent
or minimize inventory losses, cash pilferage, unnecessary expenses and other
problems that will cause business to lose assets and income. Such controls should
stop employees, customers and suppliers from committing theft or fraud. A good
internal control system includes separation of duties, a well-defined system of
authorization, and clear areas of responsibility and accountability.
AREAS FOR CONTROLS INCLUDE:
1. Cash control
2. Inventory control
3. Employee retention
4. New customers
5. Advertisement Budgets
29. ACTION PROGRAMMES
The company aims to achieve more market share in the Indian market .This can be
accomplished by bringing variety in their existing products available at an affordable
prices. The Pantaloons targets the increasing middle income group. Gradually, more
of the consumers have shown a drastic shift in their tastes and preferences.
Properpromotionshould be doneso that more peopleknows about the sales season’s
onset.
To create more awareness, advertising campaign in the form of fashion showcan be
organized.
During sales, the brand offers discounts at variety of products.
Certain offers like gift with pay can be used to retain and attract customers.
30. RECOMMENDATIONS
Better services in terms of logistics for customer.
There should be more billing counters as during weekends there is more rush
so as to handle customers in a better way.
Value added services can be improvised so that customer avail those
services and producepositive feedback towards the brand.
CONCLUSION
It was a great experience to explore the retail sectorofpantaloons. Shopping in India
has witnessed a revolution with the changes in the consumer buying behavior and
the whole format of shopping altered .Pantaloons ranks in the pyramid of Indian
retail with its brilliant consumer centered approachand marketing. To competewith
this sectoroneneeds to have up to date market information forplanning and decision
making. The second most important requirement is to manage costs widely in order
to earn at least normal profits in face of stiff competition.