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MARKETING STRATEGY & CUSTOMER SATISFACTION OF BIG BAZAAR

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MARKETING STRATEGY & CUSTOMER SATISFACTION OF BIG BAZAAR

  1. 1. A PROJECT ON MARKETING STRATEGY & CUSTOMER SATISFACTION OF BIG BAZAAR IN THE SUBJECT STRATEGIC MANAGEMENT SUBMITTED BY NAME: SOUMEET D. SARKAR ROLL NO.: 041 DIVISIONS: A M.Com. Part - I in Advance Accountancy UNDER THE GUIDANCE OF PROF. PRERNA SHARMA TO UNIVERSITY OF MUMBAI FOR MASTER OF COMMERCE PROGRAMME (SEMESTER - I) YEAR: 2013-14 SVKM’S NARSEE MONJEE COLLEGE OF COMMERCE &ECONOMICS VILE PARLE (W), MUMBAI – 400056. 1
  2. 2. EVALUATION CERTIFICATE This is to certify that the undersigned have assessed and evaluated the project on “MARKETING STRATEGY & CUSTOMER SATISFACTION OF BIG BAZAAR” submitted by student of M.Com. – Part - I (Semester – I) for the academic year 2013-14. This project is original to the best of our knowledge and has been accepted for Internal Assessment. Name & Signature of Internal Examiner Name & Signature of External Examiner PRINCIPAL Shri. Sunil B. Mantri 2
  3. 3. DECLARATION BY THE STUDENT I, student of M.Com. (Part – I) Roll No.:041 hereby declare that the project titled “MARKETING STRATEGY & CUSTOMER SATISFACTION OF BIG BAZAAR” for the subject STRATEGIC MANAGEMENT submitted by me for Semester – I of the academic year 2013-14, is based on actual work carried out by me under the guidance and supervision of PROF. PRERNA SHARMA . I further state that this work is original and not submitted anywhere else for any examination. Place: MUMBAI. Date: (SOUMEET D. SARKAR) Name & Signature of Student 3
  4. 4. ACKNOWLEDGEMENT It is indeed a great pleasure and proud privilege to present this project work. I thank my project guide and M-COM co-ordinator of SVKM‟S NARSEE MONJEE COLLEGE OF COMMERCE AND ECONOMICS, VILE PARLE (WEST). Their co-operation and guidance have helped me to complete this project. I would sincerely like to thank the principal of our college Shri.Sunil B.Mantri for his support and guidance. I would also like to thank the college library and its staff for patiently listening and guiding me and finally. I would like to thank my family and friends who supported me in this project. THANK YOU. 4
  5. 5. CONTENT Sr. No. PARTICULARS Page No. CHAPTER I – INTRODUCTION 1.1 Meaning & Definition 7 1.2 Financial & Non-Financial Benefits 7 1.3 Phases of Strategic Management 8 CHAPTER II –RESEARCH METHODOLOGY 2.1 Objective of Study 9 2.2 Methodology Adopted 9 2.3 Objective of WTO 9 2.4 Sources of Data 9 CHAPTER III – COMPANY INFORMATION 3.1 Company Profile 10 3.2 Progress of Big Bazaar 11 CHAPTER IV – COLLECTION OF DATA & ANALYSIS 4.1 Marketing Mix 14 4.2 Marketing Strategies 16 4.3 Customer Satisfaction 18 4.4 Strategies to Attract Customers 19 4.5 Integrated Marketing Communication 20 4.6 Questionnare Sample 23 4.7 Data Analysis of Customer Satisfaction 25 5
  6. 6. CHAPTER V – CONCLUSIONS & SUGGESTIONS 5.1 Conclusion & Suggestions on Marketing Strategies 38 5.2 Conclusion & Suggestions on Customer Satisfaction 39 5.3 Biblography 41 6
  7. 7. INTRODUCTION:Strategic Management is an ongoing process that evaluates and controls the business and the industries in which the company is involved; assesses its competitors and sets goals and strategies to meet all existing and potential competitors; and then re-assesses each strategy annually or quarterly [i.e. regularly] to determine how it has been implemented and whether it has succeeded or needs replacement by a new strategy to meet changed circumstances, new technology, new competitors, a new economic environment, or a new social, financial, or political environment. Strategic Management can also be defined as the identification of the purpose of the organization and the plans and actions to achieve the purpose. It is that set of managerial decisions and actions that determine the long term performance of a business enterprise. It involves formulating and implementing strategies that will help in aligning the organization and its environment to achieve organizational goals. Strategic Management analyzes the major initiatives taken by a company's top management on behalf of owners, involving resources and performance in internal and external environments. It entails specifying the organization's mission, vision and objectives, developing policies and plans, often in terms of projects and programs, which are designed to achieve these objectives, and then allocating resources to implement the policies and plans, projects and programs. Strategic Management allows an organization to be more proactive than reactive in shaping its own future; it allows an organization to initiate and influence activities and thus to exert control over its own destiny. Many small business owners, chief executive officers, presidents and managers of many profit and non-profit organizations have recognized and realized the benefits of strategic management. Historically, the principle benefit of strategic management has been to help organization formulate better strategies through the use of the more systematic, logical and rational approach to strategic choice. Financial Benefits:1) Improvement in sales. 2) Improvement in profitability. 3) Improvement in productivity. Non-Financial Benefits:1) 2) 3) 4) Improved understanding of competitors strategies. Enhanced awareness of threats. Reduced resistance to change. Enhanced problem-prevention capabilities. 7
  8. 8. Phases of Strategic Management:Strategic management is not a static concept, but an ongoing process. The strategic management process encompasses four distinct phases. In order to succeed, a strategy must succeed in each phase. It is important, therefore, that anyone planning a business strategy understands these four phases and the roles that they play. 1. Formulation:- Strategic management begins with the formulation phase, where the firm‟s management develops an overall strategy for achieving the firm's objectives. Objectives may include, for example, increasing market share or reducing costs. The top management team typically is saddled with the responsibility of developing the firm's overall strategy. They may, however, seek the input of line managers and front-line workers as they develop their strategy. 2. Implementation:- With a clear strategy formulated, managers can then go about implementing it. Strategies are usually implemented from the top down. To begin with, the top management team will inform line managers about the strategic changes, and line managers will, in turn, pass this information on to their subordinates. Many strategies fail due to poor implementation, but managers can avoid this by carefully introducing the new strategy and listening to any employee concerns about the changes. 3. Evaluation:- When a strategy is implemented, it will hopefully be successful, but managers cannot assume that every strategy will be. They will, therefore, need to measure the success of a strategy. To measure this success, the strategy must be evaluated against the firm's goals. A gap analysis is a useful tool for evaluating the success of a strategy. This measures the gap that exists between the desired results and a firm's actual results. 4. Modification:- Sometimes, strategies are successful on the first attempt, but more often than not, there is room for improvement. If the evaluation of the strategy shows that the firm has not achieved all its desired goals, then it is necessary to modify the strategy. For example, if the firm used a cost-leadership strategy to increase sales, but the sales actually decreased, then the firm would need to modify this strategy, perhaps using a premium-pricing strategy instead. 8
  9. 9. OBJECTIVE OF THE STUDY:I. II. III. IV. To To To To understand the marketing strategy of Big Bazaar. analyze how well the company‟s marketing strategies attract customers. understand the expectations and requirement of customers. understand how big bazaar convert CUSTOMERS in CONSUMERS. METHODOLOGY ADOPTED FOR THE STUDY:A. Observing the marketing-mix adopted by the company. B. Preparing a questionnaire and distributing it to the customers of Big Bazaar and knowing their responses. C. Analyzing the responses received. PRIMARY DATA:Primary data was collected from the feedback of the customers of Big Bazaar with the help of questionnaire. SECONDARY DATA:Secondary data was collected from various newspapers, magazines and internet. 9
  10. 10. COMPANY PROFILE:- Parent Group Owner Founded Headquarter Industry Future Group Kishore Biyani (CEO) 2001 Jogeshwari, Mumbai Retail Big Bazaar is the largest hypermarket chain in India. Big Bazaar was launched in September, 2001 with the opening of its first four stores in Kolkatta, Indore, Bangalore and Hyderabad in 22 days. Currently, there are 214 stores across 90 cities and towns in India covering around 16 million sq.ft. of retail space. It was started by Kishore Biyani. Big Bazaar was launched mainly as a fashion format selling apparel, cosmetics, accessories and general merchandise. Over the years, the retail chain has included in its portfolio a wide range of products and services, ranging from grocery to electronics. Big Bazaar is popularly known as the „Indian Wal-mart‟ today. Most Big Bazaar outlets are multi-leveled stores and are located in stand-alone buildings in city centre as well as within shopping malls. These stores have more than 2,00,000 stock keeping units (SKU) in a wide range of categories, led primarily by fashion and food products. The retail space of these stores in the metros range between 50,000 and 1,60,000 sq.ft. According to Kishore Biyani‟s 3-C theory, Change and Confidence among the entire population is leading to rise in Consumption, through better employment and income which in turn is creating value to the agricultural products across the country. Big Bazaar has divided India into three segments:1. India One:- Consuming class which includes upper middle and lower middle class (14% of India's population). 2. India Two: Serving class which includes people like drivers, household helps, office peons, liftmen, watchmen, etc. (55% of India's population). 3. India Three: Struggling class (remaining 31% of India's population). While Big Bazaar is targeted at the population across India One and India Two segments, Aadhaar Wholesale is aimed at reaching the population in India Three segment. With this, Future Group emerged as a retail destination for consumers across all classes in the Indian society. 10
  11. 11. PROGRESS OF BIG BAZAAR:2001  Three Big Bazaar stores launched within a span of 22 days in Kolkata, Bangalore, Hyderabad. 2002   Big Bazaar - ICICI Bank Card is launched. Food Bazaar becomes part of Big Bazaar with the launch of the first store in Mumbai at High Street Phoenix. 2003   Big Bazaar enters Tier II cities with the launch of the store in Nagpur. Big Bazaar welcomes its 10 million customer at its new store in Gurgaon. 2004   Big Bazaar wins its first award and national recognition. Big Bazaar and Food Bazaar awarded the country‟s most admired retailer award in value retailing and food retailing segment at the India Retail Forum. A day before Diwali, the store at Lower Parel becomes the first to touch Rs.10 million turnover on a single day. 2005     Initiates the implementation of SAP and pilots a RFID project at its central warehouse in Tarapur. Launches a unique shopping program: the Big Bazaar Exchange Offer, inviting customers to exchange household junk at Big Bazaar. Electronic Bazaar and Furniture Bazaar are launched. Big Bazaar and ICICI Bank launched ICICI Bank-Big Bazaar Gold credit card program to reward its loyal customers. 2006    Mohan Jadhav sets a national record at Big Bazaar Sangli with a Rs.1,37,367 shopping bill. The Sangli farmer becomes Big Bazaar‟s largest ever customer. Big Bazaar launches Shakti, India‟s first credit card program tailored for housewives. Navaras – the jewellery store launched within Big Bazaar stores. 11
  12. 12. 2007     The 50th Big Bazaar store is launched in Kanpur. Big Bazaar partners with Futurebazaar.com to launch India's most popular shopping portal. Big Bazaar initiates the "Power of One" campaign to help raise funds for the Save The Children India Fund. Pantaloon Retail wins the International Retailer of the Year 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 becomes the fastest growing hypermarket format in the world with the launch of its 101st store within 7 years of launch. Big Bazaar dons a new look with a fresh new section, Fashion at Big Bazaar. Big Bazaar joins the league of India‟s Business Super brands. It is voted among the top ten service brands in the country in the latest pitch- IMRB international survey. Big Bazaar initiated the Mega Saving "Monthly Bachat Bazaar" campaign, to provide exceptional deals on groceries and food items during the first week of every month. 2009       Big Bazaar opens its second store in Assam at Tinsukia. Big Bazaar initiates Maha-Annasantarpane program at its stores in South India – a unique initiative to offer meals to visitors and support local social organizations. Big Bazaar captures almost one-third share in food and grocery products sold through modern retail in India. Mahendra Singh Dhoni and Asin, youth icons of India, were chosen as the brand ambassadors of Big Bazaar. Big Bazaar announced the launch of 'The Great Exchange Offer'. Formed a joint venture with Hidesign to launch Holi, a new brand of handbags, laptop bags and other accessories. 2010    Future Value Retail Limited is formed as a specialized subsidiary to spearhead the group‟s value retail business through Big Bazaar, Food Bazaar and other formats. Big Bazaar wins CNBC Awaaz Consumer Awards for the third consecutive year. Adjudged the Most Preferred Multi Brand Food & Beverage Chain, Most Preferred Multi Brand Retail Outlet and Most Preferred Multi Brand One Stop Shop. Big Bazaar connects over 30,000 small and medium Indian manufacturers and entrepreneurs with around 200 million customers visiting its stores. 12
  13. 13.     Big Bazaar opens its third store in Kanpur at Z Square Mall. Big Bazaar opens its fourth store in Kanpur at Jajmau which is the largest leather tannery garrison of Asia. Vidya Balan was chosen as the brand ambassador of Big Bazaar's Price Challenge exercise. Ranked 6 among the Top 50 Service Brands in India. 2011       Big Bazaar forays into the rural wholesale and distribution business through „Aadhaar Wholesale‟ store at Kalol, Gujarat. Big Bazaar has come up a new logo with a new tag line: „Naye India Ka Bazaar‟. 200th store opened in India. Future Group has launched its latest venture, Foodhall – a premium food destination across 10 metros in India. For the convenience of the online customers, Big Bazaar has started free shipping on all orders above Rs.1000. Entered into an agreement with Hindustan Unilever to co-develop and co-brand bakery products, which would be sold exclusively at Big Bazaar stores. 2012   Big Bazaar entered into a five year multi-million dollar deal with Cognizant Technology Solutions for IT infrastructure services that support Future Group's network of stores, warehouses, offices and data centers. Partnered with Disney to launch "Kidz Cookies", exclusively for kids across India. Big Bazaar is planning to add further value to its retail services by offering value added services like grinding, de-seeding, vegetables cutting at free of cost. 13
  14. 14. COLLECTION OF DATA AND ANALYSIS:Marketing is "the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners and society at large." Marketing is a management process or social process or an effective communication through which goods and services move from concept to the customer and companies create value for customers and build strong customer relationships in order to capture value from customers in return and also identifying, anticipating and satisfying customer requirements profitably. Marketing mix is a deciding factor in formulating marketing techniques for the success of a particular brand, commodity or company. It includes the coordination of four elements called the 4P's of marketing:1. 2. 3. 4. Identification, selection and development of a Product. Determination of its Price. Selection of a distribution channel to reach the customer's Place. Development and implementation of a Promotional strategy. In recent times, however, the 4P‟s have been expanded to the 7P‟s. MARKETING MIX OF BIG BAZAAR:Product:- Big Bazaar offers a wide range of products which range from apparels, food, farm products, furniture, child care, toys, etc. of various brands like Levis, Allen Solly, Pepsi, Coca-Cola, HUL, ITC, P&G, LG, Samsung, Nokia, HP etc. Big Bazaar also promotes a number of in house brands like:1. 2. 3. 4. 5. 6. DJ & C Tasty Treat Clean Mate Sensei Care Mate Koryo and 44 other brands. Pricing:- The pricing objective at Big Bazaar is to get “Maximum Market Share”. Pricing at Big Bazaar is based on the following techniques:1. Value Pricing ( EDLP – Every Day Low pricing ):- Big Bazaar promises consumers the lowest available price without coupon clipping, waiting for discount promotions, or comparison shopping. 14
  15. 15. 2. Promotional Pricing:- Big Bazaar offers financing at low interest rate. The concept of psychological discounting ( Rs.99, Rs.49, etc. ) is also used to attract customers. Big Bazaar also caters on Special Event Pricing ( Close to Diwali, Gudi Padva and Durga Pooja ). 3. Differentiated Pricing:- Differentiated pricing, i.e., difference in rate based on peak and non-peak hours or days of shopping is also a pricing technique used in Indian retail, which is aggressively used by Big Bazaar. For example, Wednesday Bazaar. Bundling :- It refers to selling combo-packs and offering discount to customers. The combo-packs add value to customer and lead to increased sales. Big Bazaar lays a lot of importance on bundling. For example 3 Good Day family packs at Rs.60 ( Price of 1 pack = Rs.22 ), 5 kg oil + 5 kg rice + 5 kg sugar for Rs.599. Place:- The Big Bazaar stores are operational across three formats – hypermarkets spread over 40,000 - 45,000 sq.ft. , the Express format over 15,000 - 20,000 sq.ft. and the Super Centers set up over 1 lakh sq.ft. Currently Big Bazaar operates in over 34 cities and towns across India with 116 stores. Apart from the metros these stores are also doing well in the tier II cities. These stores are normally located in high traffic areas. Big Bazaar aims at starting stores in developing areas to take an early advantage before the real estate value booms. Mr. Biyani is planning to invest around Rs.350 crores over the next one year expansion of Big Bazaar. In order to gain a competitive advantage Big Bazaar has also launched a website www.futurebazaar.com, which helps customers to orders products online which will be delivered to their doorstep. This helps in saving a lot of time of its customers. Promotion:- The various promotion schemes used at Big Bazaar include:1. 2. 3. 4. 5. 6. 7. 8. Saal ke sabse saste 3 din. Hafte ka sabse sasta din “Wednesday bazaar”. Exchange Offers “Junk swap offer”. Future card ( 3% discount ). Shakti card. Advertisement ( print ad, TV ad, radio ). Brand endorsement by M S Dhoni and Asin. Big Bazaar has come up with 3 catchy lines written on hoardings taking on biggies like Westside, Shoppers stop and Lifestyle. They are:a) “Keep West - aSide. Make a smart choice!” b) “Shoppers! Stop. Make a smart choice!” c) “Change your Lifestyle. Make a smart choice!” 15
  16. 16. People:1. 2. 3. 4. Well trained staff at stores to help people with their purchases. Employ close to 10,000 people and employ around 500 more per month. Well - dressed staff improves the overall appearance of store. Use scenario planning as a tool for quick decision making multiple counters for payment, staff at store to keep baggage and security guards at every gate, makes for a customer – friendly atmosphere. Process:- Big Bazaar places a lot of importance on the process right from the purchase to the delivery of goods. When customers enter the stores they can add the products they which to purchase in their trolley from the racks. There are multiple counters where bill can be generated for purchases made. Big Bazaar also provides delivery of products over purchases of Rs.1000. Physical Evidence:- Products in Big Bazaar are properly stacked in appropriate racks. There are different departments in the store which display similar kind of products. Throughout the store there are boards/written displays put up which help in identifying the location of a product. Moreover boards are put up above the products which give information about the products, its price and offers. Big Bazaar stores are normally „U shaped‟ and well planned & designed. Big Bazaar’s New Marketing Strategy: Big Bazaar has launched new marketing strategy which is based on Guerrilla Marketing. Guerrilla marketing warfare strategies are a type of marketing warfare strategy designed to wear down the enemy by a long series of minor attacks, using principles of surprise and hit and run tactics. Attack, retreat, hide, then do it again, and again, until the competitor moves on to other markets. Herein guerrilla force is divided into small groups that selectively attack the target at its weak points. In the world of cut throat competition, corporate use extension of the same strategy in marketing. Corporate like Coke, Pepsi, etc. have been using the same for quite some time now and the latest entrant is our very own „Future Group‟- Big Bazaar, Pantaloons, Future Bazaar, eZone are all part of this group and they are taking on the biggies like Shoppers Stop, Lifestyle and Tata‟s Westside. In order to do the same, Future Group have come up with 3 catchy and cheeky ad campaigns which surely do catch our eyes and surely one can‟t resist appreciating the same. 1. Keep West-aSide. Make a smart choice! 2. Shoppers! Stop. Make a smart choice! 3. Change Your Lifestyle. Make a smart choice! 16
  17. 17. Advertising:- The departmental store chain Big Bazaar has launched a commercial sometime back to promote 'The Great Exchange Offer'. The commercial portrays how customers can exchange any old and broken items (junk) and get new products at a discounted price from Big Bazaar. The 30 seconds film unfolds through the eyes of a cabbie in a busy city street, he is intrigued by the disruptive visual of a well-dressed office executive carrying a bundle of old newspaper and walking through a crowded place. The cabby then notices a young office going lady in western wear carrying a rusty bucket filled with broken utensils, the cabbie is absolutely confounded but continues to follow her with a broken tyre in his hand and comes across another absurd situation of a highly placed executive in a chauffeur driven car with a broken commode on the top of the car. Penultimate situation reveals everybody is heading towards Big Bazaar for the exchange offer; the cabbie comes out of the store happy and excited after getting an amazing deal for his junk tyre. Moving images are interspersed with supers that hi-light the amazing prices a consumer can get for his junk. The sound track uses a typical kabada guy's shout as he walks through city street calling for junk. The month of January and February is generally a low-key affair in terms of customer footfalls and revenue generation. Innovative, out of the box promotions is one of the effective ways to draw customer attention and shore up the revenue. Historically exchange schemes have been used to induce better sales, it also has a strong appeal with the Indian mindset of getting value even for their junk, states an official release from Big Bazaar. Brand Ambassador:- A brand ambassador is a celebrity ( or an attractive or interesting person ) used to help advertise a product or services. Big Bazaar, has roped in cricketer Mahendra Singh Dhoni as the brand ambassador for its new range of fashion apparel. Dhoni would feature in a series of advertisements across all media. Dhoni and Big Bazaar have a lot of synergies as the Indian one-day international team‟s captain stands for the aspirations of youths, while Big Bazaar is looked up to by millions of Indians to fulfill their aspirations. In this way, Big Bazaar make full use of the marketing mix for a new venture which earlier belongs to the unorganized retail sector, i.e., kirana stores. Application of the best marketing practices helps Big Bazaar in a great way. SPECIAL STRATEGIES:1. 2. 3. 4. To minimize retailing cost. Operating:- Fewer staff on the floor; one person for every 500 sq.ft. Minimize the furniture cost. Saving shelf space. 17
  18. 18. 5. Way to deal unsold stock off. 6. “Today‟s Price”:- Everyday a chosen product is being sold at lower than usual price. CUSTOMER SATISFACTION:Satisfaction is an overall psychological state that reflects the evaluation of a relationship between the customer/consumer and a company-environment-product-service. Satisfaction involves one of the following three psychological elements:- cognitive (thinking/evaluation), affective (emotional/feeling) and behavioral. "Satisfaction" itself can refer to a number of different facts of the relationship with a customer. For example, it can refer to any or all of the following:1. 2. 3. 4. Satisfaction Satisfaction Satisfaction Satisfaction with the quality of a particular product or service. with an ongoing business relationship. with the price-performance ratio of a product or service. because a product/service met or exceeded the customer's expectations. The achievement of customer satisfaction leads to company loyalty and product repurchase. EXPECTATIONS AND CONSUMERS SATISFACTION:Expectations are beliefs (likelihood or probability) that a product/service (containing certain attributes, features or characteristics) will produce certain outcomes (benefitsvalues) given certain anticipated levels of performance based on previous affective, cognitive, and behavioral experiences. Expectations are often seen as related to satisfaction and can be measured as follows:1. IMPORTANCE:- Value of the product/service fulfilling the expectation. 2. OVERALL AFFECT-SATISFACTION EXPECTATIONS:- Like/Dislike of the product/service. 3. FULFILLMENT OF EXPECTATIONS:- The expected level of performance vs. the desired expectations. This is “Predictive Fulfillment” and is a respondentspecific index of the performance level necessary to satisfy. 4. EXPECTED VALUE FROM USE:- Satisfaction is often determined by the frequency of use. If a product/service is not used as often as expected, the result may not be as satisfying as anticipated. For example a motorcycle that sits in the garage, an unused year subscription to the local fitness center/gym, or a little 18
  19. 19. used season pass to a ski resort would produce more dissatisfaction with the decision to purchase than with the actual product/service. IMPORTANCE OF CUSTOMER SATISFACTION:- Effective marketing focuses on two activities:1. Retaining existing customers. 2. Adding new customers. Customer satisfaction measures are critical to any product or service company because customer satisfaction is a strong predictor of customer retention, customer loyalty and product repurchase. STRATEGIES OF BIG BAZAAR TO SATISFY AND ATTRACT CUSTOMERS:1. Wednesday Bazaar:- Big Bazaar introduced the Wednesday Bazaar concept and promoted it as “Hafte Ka Sabse Sasta Din”. It was mainly to draw customers to the stores on Wednesdays, when least number of customers are observed. According to the chain, the aim of the concept is "to give homemakers the power to save the most and even the stores in the city don a fresh look to make customers feel that it is their day". 2. Sabse Sasta Din:- With a desire to achieve sales of Rs.26 crores in a one single day, Big Bazaar introduced the concept of "Sabse Sasta Din". The idea was to simply create a day in a year that truly belonged to Big Bazaar. This was launched on January 26, 2006 and the result was exceptional that police had to come in to control the mammoth crowd. The concept was such a huge hit that the offer was increased from one day to three days in 2009 ( 24 to 26 Jan ) and to five days in 2011 ( 22 - 26 Jan ). 3. Maha Bachat:- Maha Bachat was started off in 2006 as a single day campaign with attractive promotional offers across all Big Bazaar stores. Over the years it has grown into a 6 days bi-annual campaign. It has attractive offers in all its value formats such as Big Bazaar, Food Bazaar, Electronic Bazaar and Furniture Bazaar - catering to the entire needs of a consumer. 4. The Great Exchange Offer:- On February 12, 2009 Big Bazaar launched "The Great Exchange Offer", through which the customers can exchange their old goods in for Big Bazaar coupons. Later, consumers can redeem these coupons for brand new goods across the nation. 19
  20. 20. 5. Pay-back Card:- At Future Group Big Bazaar, we believe in building long-lasting relationships with customers. We encourage repeat customer visits through our unique offers and special sale days. Future Group has taken the whole concept of customer loyalty to the next level by joining hands with PAYBACK. PAYBACK is India‟s largest and one of Europe‟s most successful multi-partner loyalty programs. With PAYBACK, customers can shop, save and get rewarded. This program enables consumers to collect millions of points across online and offline partners – with just a single card. Customers can accumulate points across Future Group formats, thereby making “shopping rewarding”. Our formats Big Bazaar, Food Bazaar, Pantaloons, Central, Home Town, eZone, Brand Factory and Future Bazaar are a part of the PAYBACK loyalty program. 6. T24 Program:- T24 will provide customers with a dual advantage all 24 hours of the day - „Shop More, Talk More‟ and „Talk More, Shop More‟. Shopping and talking on our mobile phones are among the two favorite activities for all of us in India. With T24, we have been able to develop a unique customer value proposition that combines these interests of the aspirational Indian. Customers will get shopping benefits for talking and talk-time benefits each time they shop. We believe that with our partners, Tata Teleservices Limited, we have been able to develop a differentiated offering in the crowded telecom space and also increase the loyalty we enjoy among the millions of customers who patronize our stores. T24 ( Talk 24 ) tariff plans reflect the competitive per-second rates being offered for pre-paid customers on Tata Teleservices Limited‟s GSM network. In addition, customers will be rewarded with free talktime for every purchase at Future Group stores starting at Rs.10 to a maximum of Rs.350. Plans will keep evolving to offer ever more attractive options to the customer. Integrated Marketing Communication (IMC):Integrated marketing communications (IMC) is an approach to brand communications where the different modes work together to create a seamless experience for the customer and are presented with a similar tone and style that reinforces the brand‟s core message. Its goal is to make all aspects of marketing communication such as advertising, sales promotion, public relations direct marketing, online communications and social media work together as a unified force, rather than permitting each to work in isolation, which maximizes their cost effectiveness. IMC is becoming more significant in marketing practice because of the reduced cost effectiveness of mass media and media fragmentation. As consumers spend more time online and on mobile devices all exposures of the brand need to tie together so they are more likely to be remembered. Increasingly the strategies of brands cannot be understood by looking solely at their 20
  21. 21. advertising. Instead they can be understood by seeing how all aspects of their communications ecosystem work together and in particular how communications are personalized for each customer and react in real time, as in a conversation. Brand strategies and their tactics can be viewed on the integrated brands site. IMC Components of Big Bazaar:1. The Foundation - is based on a strategic understanding of the product and market. This includes changes in technology, buyer attitudes and behavior and anticipated moves by competitors. 2. The Corporate Culture - increasingly brands are seen as indivisible from the vision, capabilities, personality and culture of the corporation. 3. The Brand Focus - is the logo, corporate identity, tagline, style and core message of the brand. 4. Consumer Experience - includes the design of the product and its packaging, the product experience ( for instance in a retail store ) and service. 5. Communications Tools - includes all modes of advertising, direct marketing and online communications including social media. 6. Promotional Tools - trade promotions, consumer promotions, personal selling, database marketing and customer relations management, public relations and sponsorship programs. 7. Integration Tools - software that enables the tracking of customer behavior and campaign effectiveness. This includes customer relationship management (CRM) software, web analytics, marketing automation and inbound marketing software. Importance of IMC for Big Bazaar:- Several shifts in the advertising and media industry have caused IMC to develop into a primary strategy for marketers:1. From media advertising to multiple forms of communication. 2. From mass media to more specialized ( niche ) media, which are centered on specific target audiences. 3. From a manufacturer - dominated market to a retailer - dominated, consumer – controlled market. 4. From general - focus advertising and marketing to data - based marketing. 5. From low agency accountability to greater agency accountability, particularly in advertising. 6. From traditional compensation to performance - based compensation ( increased sales or benefits to the company ). 7. From limited internet access to 24/7 internet availability and access to goods and services. 8. It can create competitive advantage, boost sales and profits, while saving money, time and stress. 21
  22. 22. 9. IMC wraps communications around customers and helps them move through the various stages of the buying process. The organization simultaneously consolidates its image, develops a dialogue and nurtures its relationship with customers. 10. This 'Relationship Marketing' cements a bond of loyalty with customers which can protect them from the inevitable onslaught of competition. The ability to keep a customer for life is a powerful competitive advantage. 11. IMC also increases profits through increased effectiveness. 12. Carefully linked messages also help buyers by giving timely reminders, updated information and special offers which, when presented in a planned sequence, help them move comfortably through the stages of their buying process. 13. Finally, IMC saves money as it eliminates duplication in areas such as graphics and photography since they can be shared and used in say, advertising, exhibitions and sales literature. 14. IMC also makes messages more consistent and therefore more credible. This reduces risk in the mind of the buyer which, in turn, shortens the search process and helps to dictate the outcome of brand comparisons 22
  23. 23. QUESTIONNARE SAMPLE:- Dear Customer, NAME:-____________________________________________ OCCUPATION:-_______________________ GENDER:- MALE / FEMALE AGE:- ( 18-28, 28-38, 38-48, 48-58, 58-65 ) 1. Do you frequently shop at Big-Bazaar ? ( Options: Yes / No ) 2. How frequently you shop at Big-Bazaar ? ( Options: every week / once in 2 week / once in 3 week / once in a month.) 3. What comes to your mind when you think about Big-Bazaar ? ( Options: Discount / Product / Variety / Brand / Quality / Offers / Others ) 4. Do you feel you find different product variety in Big-Bazaar ? ( Options: Yes / No ) 5. Do you find the specific brand that you look in the Big-Bazaar ? ( Options: Yes / No ) 6. In which section you spend more time while shopping? ( Options: Food-Bazaar / Apparels / Kitchen-Section / Electronics-Section / Children & Toys Section / Sports Section / Others ) 7. Are you satisfied with your product ? ( Options: Yes / No ) 8. Do you think this store has good parking facility ? ( Options: Yes / No ) 9. How would you rate the following in this store ambience ? a) Music - Good / ok / Bad 23
  24. 24. b) Temperature - Good / ok / Bad c) Lighting - Good / ok / Bad d) Cleanliness - Good / ok / Bad. 10. How did you find the following qualities of our store staff ? a) Courteousness - Good / ok / Bad b) Grooming - Good / ok / Bad c) Efficiency & Knowledge - Good / ok / Bad 11. How would you rate the following in our Products ? a) Range - Good / ok / Bad b) Prices - Good / ok / Bad c) Quality - Good / ok / Bad d) Availability - Good / ok / Bad. 12. How would you rate the Navigation ( Ease of moving around the store ) in our store ? ( Options: Good / ok / Bad ) 13. How would you rate the Product Display in our store ? ( Options: Good / ok / Bad ) 14. How would you rate the following in our store ? a) Cashier interaction - Good / ok / Bad b) Cashier Speed - Good / ok / Bad c) Check out counter - Good / ok / Bad d) Customer Service Desk - Good / ok / Bad e) Loyalty Program - Good / ok / Bad f) Sales Persons - Good / ok / Bad 15. How was your overall experience ? ( Options: Good / ok / Bad ) 16. Would you visit Big-Bazaar again ? ( Options: Sure / Maybe / Never ) 24
  25. 25. DATA ANALYSIS OF CUSTOMER SATISFACTION:AGE TOTAL 18-28 40 PERCENTAGE % 20 28-38 68 34 38-48 36 18 48-58 40 20 58-65 16 8 TOTAL 200 100 No. of Respondents based on Age 80 70 60 50 40 NUMBER OF RESPONDENTS 30 20 10 0 18-28 28-38 38-48 48-58 58-65 25
  26. 26. No. of Respondents based on Age 18-28 28-38 38-48 48-58 58-65 8% 20% 20% 34% 18% No. of Respondents based on Sex SEX TOTAL Male Female TOTAL PERCENTAGE % 43 57 100 86 114 200 No. of Respondents based on Sex MALE FEMALE 43% 57% 26
  27. 27. 1. Do you frequently shop at Big-Bazaar ? ( Options: Yes / No ) YES NO TOTAL 148 52 200 74% 26% 100% RESPONSES 160 140 120 100 RESPONSES 80 60 40 20 0 YES N0 2. How frequently you shop at Big-Bazaar ? ( Options: every week / once in 2 week / once in 3 week / once in a month.) EVERY WEEK ONCE in 2 WEEK ONCE in 3 WEEK ONCE in a MONTH TOTAL 44 48 32 76 200 22% 24% 16% 38% 100% 27
  28. 28. SHOPPING FREQUENCY 22% 38% EVERY WEEK ONCE IN 2 WEEK 24% ONCE IN 3 WEEK ONCE IN A MONTH 16% 3. What comes to your mind when you think about Big-Bazaar ? ( Options: Discount / Product / Variety / Brand / Quality / Offers / Others ) DISCOUNT PRODUCT VARIETY BRAND QUALITY OFFERS OTHERS TOTAL 68 48 8 16 56 4 200 34% 24% 4% 8% 28% 2% 100% 70 60 50 40 30 20 10 0 DISCOUNT PRODUCT VARIETY BRAND QUALITY OFFERS OTHERS 28
  29. 29. 4. Do you feel you find different product variety in Big-Bazaar ? ( Options: Yes / No ) YES NO TOTAL 132 86 200 66% 34% 100% PRODUCT VARIETY 140 120 100 80 PRODUCT VARIETY 60 40 20 0 YES NO 5. Do you find the specific brand that you look in the Big-Bazaar ? ( Options: Yes / No ) YES NO TOTAL 74 126 200 37% 63% 100% SPECIFIC BRAND 37% 63% YES NO 29
  30. 30. 6. In which section you spend more time while shopping? ( Options: Food-Bazaar / Apparels / Kitchen-Section / Electronics-Section / Children & Toys Section / Sports Section / Others ) FOOD BAZAAR APPARELS KITCHEN SECTION ELECTRONICS SECTION CHILDREN & TOYS SECTION SPORTS SECTION OTHERS TOTAL 82 72 22 5 41% 36% 11% 2.5% 4 2% 5 10 200 2.5% 5% 100% SECTIONS FOOD BAZAAR APPARELS KITCHEN ELECTRONICS CHILDREN SPORTS OTHERS 7. Are you satisfied with your product ? ( Options: Yes / No ) YES NO TOTAL 176 24 200 88% 12% 100% 30
  31. 31. SATISFACTION 200 180 160 140 120 100 SATISFACTION 80 60 40 20 0 YES NO 8. Do you think this store has good parking facility ? ( Options: Yes / No ) YES NO TOTAL 150 50 200 75% 25% 100% PARKING FACILITY YES NO 31
  32. 32. 9. How would you rate the following in this store ambience ? a) Music - Good / ok / Bad b) Temperature - Good / ok / Bad c) Lighting - Good / ok / Bad d) Cleanliness - Good / ok / Bad. MUSIC TEMPERATURE LIGHTING CLEANLINESS GOOD 122 61% 120 60% 170 85% 188 94% OK 48 56 20 10 BAD 24% 28% 10% 5% 30 24 10 2 15% 12% 5% 1% 100% 90% 80% 70% 60% BAD 50% OK 40% GOOD 30% 20% 10% 0% MUSIC TEMPERATURE LIGHTING CLEANLINESS 10. How did you find the following qualities of our store staff ? a) Courteousness - Good / ok / Bad b) Grooming - Good / ok / Bad c) Efficiency & Knowledge - Good / ok / Bad 32
  33. 33. COURTEOUSNESS GROOMING EFFICIENCY & KNOWLEDGE GOOD 170 85% 142 71% 116 58% OK 20 18 40 BAD 10% 9% 20% 10 40 44 5% 20% 22% 100% 90% 80% 70% 60% BAD 50% OK 40% GOOD 30% 20% 10% 0% COURTEOUSNESS GROOMING EFFICIENCY & KNOWLEDGE 11. How would you rate the following in our Products ? a) Range - Good / ok / Bad b) Prices - Good / ok / Bad c) Quality - Good / ok / Bad d) Availability - Good / ok / Bad. PRODUCT RANGE PRODUCT PRICES PRODUCT QUALITY PRODUCT AVAILABILITY 154 156 GOOD 77% 78% 26 24 OK 13% 12% 20 20 BAD 10% 10% 168 84% 18 9% 14 7% 168 84% 28 14% 4 25 33
  34. 34. 200 180 160 140 120 BAD 100 OK 80 GOOD 60 40 20 0 PRODUCT RANGE PRODUCT PRICES PRODUCT QUALITY PRODUCT AVAILABILITY 12. How would you rate the Navigation ( Ease of moving around the store ) in our store ? ( Options: Good / ok / Bad ) GOOD OK BAD TOTAL 144 38 18 200 72% 19% 9% 100% IN-STORE NAVIGATION GOOD 19% OK BAD 9% 72% 34
  35. 35. 13. How would you rate the Product Display in our store ? ( Options: Good / ok / Bad ) GOOD OK BAD TOTAL 92 54 54 200 46% 27% 27% 100% PRODUCT DISPLAY GOOD OK BAD 27% 46% 27% 14. How would you rate the following in our store ? a) Cashier interaction - Good / ok / Bad b) Cashier Speed - Good / ok / Bad c) Check out counter - Good / ok / Bad d) Customer Service Desk - Good / ok / Bad e) Loyalty Program - Good / ok / Bad f) Sales Persons - Good / ok / Bad. 35
  36. 36. CASHIER INTERACTION CASHIER SPEED CHECK OUT COUNTER CUSTOMER SERVICE DESK LOYALTY PROGRAM SALES PERSON GOOD 130 65% OK 36 18% BAD 34 17% 118 59% 44 22% 38 19% 166 83% 28 14% 6 3% 154 77% 26 13% 20 10% 144 72% 38 19% 18 9% 142 71% 32 16% 26 13% 250 200 150 BAD OK 100 GOOD 50 0 CASHIER INTERACTION CASHIER SPEED CHECK OUT CUSTOMER LOYALTY COUNTER SERVICE DESK PROGRAM SALES PERSONS 15. How was your overall experience ? ( Options: Good / ok / Bad ) GOOD OK BAD TOTAL 164 30 6 200 82% 15% 3% 100% 36
  37. 37. OVERALL EXPERIENCE GOOD OK BAD 3% 15% 82% 16. Would you visit Big-Bazaar again ? ( Options: Sure / Maybe / Never ) SURE MAYBE NEVER TOTAL 180 18 2 200 SURE MAYBE 90% 9% 1% 100% NEVER 1% 9% 90% 37
  38. 38. CONCLUSIONS FOR MARKETING STRATEGIES:1. To increase the footfall of the store during the weekday. 2. Customers are more attracted towards discount schemes & sales. 3. Various product lines also attract customers to choose their retails stores. 4. Entertainment units & kids zone should be provided in retail stores in order to cater more customers. 5. The after sales service of retail stores should be helpful & effective. This after sales service creates loyal customers. 6. Major steps should be taken to stop shop-lifting in retail stores, as it is one of the problematic characters for leading & large size retails stores. 7. The retail stores should provide various kinds of loyalty rights in order to provide more customers. SUGGESTIONS FOR MARKETING STRATEGIES:1. Retail stores should focus more on store ambience, store space & selling areas. 2. All the retails formats should have an effective loyalty program. 3. More focus on direct marketing should be given in order to attract more & more 4. 5. 6. 7. 8. customers. Better after sales service & customer service should be provided in order to make customers loyal. To manage proper proportion of convenience, staple & impulse goods. Along with SMS the retails formats should use more innovative ways to alert customers. The retail store should replenish the goods on time ( before the stock ends ). A proper proportion of private & national brands should be kept in retail stores. CONCLUSIONS FOR CUSTOMER SATISFACTION:1. Variety:- Big Bazaar offers a wide variety of products of different prices and different qualities satisfying most of its customers. 2. Quality:- Providing quality at low prices and having different types of products for different income customers is another advantage. 38
  39. 39. 3. Price:- As noted the prices and offers in Big Bazaar have been one of the main attractions and reasons for its popularity. The price ranges and the products offered are very satisfying to the customers. 4. Location:- The location of Big Bazaar has been mainly in the hear t of the city or in the out skirts giving a chance to both the city and the people living outside the city to shop. 5. Advertisements:- Big Bazaar has endorsed very popular figure like M S Dhoni and other famous personalities which has attracted a lot of customers. This has resulted in increase of sale and the outdoor advertising techniques have also helped Big Bazaar. 6. Middle Class Appeal:- Considering the fact that there are a lot middle class families in India, Big Bazaar has had a huge impact on the middle class section of India, the prices, quality and sales strategy has helped in getting the middle income groups getting attracted towards Big Bazaar. 7. Attractive Sales:- Big Bazaar has been known for its great sale and great offers. Big Bazaar has had long lines of people waiting to get into the store for the sale. Therefore, the sales of Big Bazaar has increased in a huge way due to the sales and offers, thus this has been one of the main advantages of Big Bazaar. SUGGESTIONS FOR CUSTOMER SATISFACTION:1. Store Layout:- The store layout and the assortment of goods is not the best at Big Bazaar, as the quantity of goods sold is more, the arrangement and assortment of goods in the store is the greatest. Hence at times customers find it hard to find what they require, this leads to dissatisfaction of customers. 2. Lower Quality of Goods:- As Big Bazaar aims more toward the middle income group, the quality of goods is not of the highest quality, and this is sometimes a disadvantage as some would prefer better quality to the price, making customers to search for different places. 3. Does Not Appeal to the Elite:- As mentioned above, the main customers are middle income and a few high income groups. The elite do not like to shop at Big Bazaar as the quality of goods is lower and they would prefer a higher price and get a better brand, this decreases sales from the elite class. 39
  40. 40. 4. Not Acclaimed for Very Good Service:- Big Bazaar is not known for high class service. The staff recruited is not very well trained and the billing queues take a long time to move, this irritates customers which makes them visit the store more seldom. 5. Lower Quality of Goods:- As the store is trying to concentrate on the middle income group the type of products used is not of the most superior quality and most of the times nor branded, this may dissatisfy certain customers. 6. Consumer Satisfaction:- Long queues and lower quality leads to dissatisfaction of customers. Due to factors mentioned above Big Bazaar shoppers are not always satisfied, this is not positive for the company. 40
  41. 41. BIBLOGRAPHY:1. www.futuregroup.in 2. www.en.wikipedia.org/wiki/Big_Bazaar 3. www.economictimes.indiatimes.com 4. It Happened In India - Kishore Biyani & Dipayan Baishya 5. Marketing Management - Philip Kotler 41

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