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Executive summary
Big Bazaar is a chain of in hypermarkets India currently with 100 stores in operation. It is a subsidiary of Future Group. It works on same the economy model as Wal-Mart and has had considerable success in many Indian cities and small towns. The idea was pioneered by entrepreneur Kishore Biyani, the head of Pantaloon Retail India Ltd. Big Bazaar, a part of the Pantaloon Group, is a hypermarket offering a huge array of goods of good quality for all at affordable prices. Big Bazaar with over 50 outlets in different parts of India is present in both the metro cities as well as in the small towns. Big Bazaar has no doubt made a big name in the retail industry of India, moreover shopping here is further made a memorable experience with the varied rates of discounts on products as well as discount vouchers available in a variety of amounts, like INR 2000, INR 3000, INR 4000, INR 5000 and INR 10000 on all Big Bazaar products and accessories. The significant features of Big Bazaar: Shopping in the Big Bazaar is a great experience as one can find almost everything under the same roof. It has different features which caters all the needs of the shoppers. The project is all about on the effectiveness of promotions and the consumer behaviour of Big Bazaar. Both primary data and secondary data are used in the report. Questionnaire is used for the survey for obtaining the primary data.

 Introduction to Indian retail industry:

The sea of change can pull customers in many directions. It is our responsibility to light the way and take care of them before the competition does. RETAILING Means Re-tailing to the customers so that they comeback. Retailing consists of all activities involved in selling goods and services to consumers for their personal, family, or household use. It covers sales of goods ranging from automobiles to apparel and food products, and services ranging from hair cutting to air travel and computer education. Sales of goods to intermediaries who resell to retailers or sales to manufacturers are not considered a retail activity. The Indian retail story couldn't have been more different. India has approx 12 million retail stores, more than rest of the world put together. But the per capita square feet area under retail is just 2 sq.ft or 0.2 sq. meters with fragmented kirana stores being the predominant players.

Retailing in India has remained in the unorganized sector and largely untouched by corporate. The first decade of modern retail in India has been characterized by a shift from traditional channels to new formats including department stores, hypermarkets, supermarkets and specialty stores across a range of categories. Modern retail formats have mushroomed in metros and mini-metros, in the last few years modern retail has also established its presence in the second rung cities. Thus, exposing the residents of these cities to shopping options, they have never experienced before. It has been forecasted that the share of modern retail will increase from 2 per cent currently, to about 15-20 per cent over the next decade. To begin with, retailers today will have to support the large retail infrastructure in terms of Malls and Superstores that are being created. The challenge for leading retailers shall therefore shift from diverting demand to creating demand.

With all the modern stores offering convenience in terms of an assortment of products, ambience, service and innovative products, the paradigm shall shift from competing with the kirana stores to an in-house demand creation. Relevant experiences from consumer goods companies, which have successfully crafted an explosion in demand in their sectors, through innovation, consumer driven strategies, will be head runner. Times are changing. With the GDP at an all time high and income levels shooting through the roof, the average Indian consumer has never had it so good. The propensity to consume has reached peaks that had never been scaled before. Credit cards are flashed with disdain and shopping baskets are getting bigger all the time. Here are some factors that indicate the potential of retail in India: At 271 million, one of the largest consuming base in the world, forming 27% of the total population. A high spending community below 45 years comprises 81 percent of the population. A young population with 54% population below 25 years Increased literacy from 44% in 1965 to 70% in 2003 Increase in working women from 1.3 million in 1961 to 4.8 million in 1998. The first decade of modern retail in India has been characterized by a shift from traditional kirana shops to new formats including department stores, hypermarkets, supermarkets and specialty stores across a range of categories. Modern retail formats have mushroomed in metros and minimarts. In the last few years, modern retail has also established its presence in the second-rung cities, exposing residents to shopping options like never before. However, even as modern retailers garner share from traditional channels, there is a larger role they would be required to play in boosting consumption levels. Figures suggest that the total turnover of the sector is around Rs 10 lakh crores, of which 4 percent is contributed by the organized sector.
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The retail sector in India is highly fragmented with organized retail contributing to only 2% of total retail sales. The retail sector in developed countries was also highly fragmented at the beginning of the last century but emergence of large chains like Wall Mart, Sears, and McDonalds led to rapid growth of organized retail and growing consolidation of the retail industry in the developed countries. Organized retail is growing rapidly and we see the emergence of large organized retail chains like Shoppers Stop, Lifestyle, and Westside. We also find retail malls mushrooming all over the country. The opportunities in retail industry in India will increase since Indian retailing is on the threshold of a major change. India retail industry is the largest industry in India, with an employment of around 8% and contributing to over 10% of the country's GDP. Retail industry in India is expected to rise 25% yearly being driven by strong income growth, changing lifestyles, and favorable demographic patterns. It is expected that by 2016 modern retail industry in India will be worth US$ 175- 200 billion. India retail industry is one of the fastest growing industries with revenue expected in 2007 to amount US$ 320 billion and is increasing at a rate of 5% yearly. A further increase of 7-8% is expected in the industry of retail in India by growth in consumerism in urban areas, rising incomes, and a steep rise in rural consumption. It has further been predicted that the retailing industry in India will amount to US$ 21.5 billion by 2010 from the current size of US$ 7.5 billion. Shopping in India have witnessed a revolution with the change in the consumer buying behavior and the whole format of shopping also altering. Industry of retail in India which have become modern can be seen from the fact that there are multi- stored malls, huge shopping centers, and sprawling complexes which offer food, shopping, and entertainment all under the same roof. India retail
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industry is expanding itself most aggressively; as a result a great demand for real estate is being created.

Traditional Convenience Stores:

Traditional convenience stores are too well established in India than to be wiped out and besides there is uniqueness in the traditional items that represent the sub-continent. The retail stores in India are essentially dominated by the unorganized sector or traditional stores. Infact the traditional stores have taken up 98 percent of the Indian retail market. Now stores run by families are primarily food based and the set up is as Kirana or the 'corner grocer' stores. Basically they provide high service with low prices. If the stores are not food based then the type of retail items available are local in nature. The traditional family run convenience stores can take pride in the fact that the Kirana is the most common outlet forms for the consumers. The tough competitions for convenience stores are coming from organized retail stores dealing in food items, like: Apna Bazaar Canteen stores Food World Subhiksha Food Bazaar

Convenience Stores are open for long hours and is one of the formats of the
Indian retail stores that cater to basic needs of the consumer. A good example such would be Convenes. These stores are found in both residential as well as commercial markets. The food products of traditional family run convenience

stores are comprised of branded as well as non-branded items. The benefits of family run convenience stores are that they give importance to: Personal touch Facilities of credit Quick home delivery Non-food based stock comprises of multiple and varieties of local brands. The future of such stores as they face competition from organized sector, would depend on the following particulars: Place and capacity Diligent area coverage Disciplined work schedule Managing turnover Revenue from assets Customer service and satisfaction

The traditional family run convenience stores serves the purpose of the housewives who definitely wants to avoid traveling long distances to purchase daily needs. The convenience factor in terms of items, among people in general can be highlighted as below: Groceries Fruits Drug Store Necessary stationery As such traditional family run convenience stores are here to stay and cannot be oversized by the organized retail sector besides, it represents the variety of India.

 Indian organized retail market

Indian organized retail market is growing at a fast pace due to the boom in the India retail industry. In 2005, the retail industry in India amounted to Rs 10,000 billion accounting for about 10% to the country's GDP. The organized retail market in India out of this total market accounted for Rs 350 billion which is about 3.5% of the total revenues.

Retail market in the Indian organized sector is expected to cross Rs 1000 billion by 2010. Traditionally the retail industry in India was largely unorganized, comprising of drug stores, medium, and small grocery stores. Most of the organized retailing in India have started recently and is concentrating mainly in metropolitan cities. The growth in the Indian organized retail market is mainly due to the change in the consumers behavior. This change has come in the consumer due to increased income, changing lifestyles, and patterns of demography which are favorable. Now the consumer wants to shop at a place where he can get food, entertainment, and shopping all under one roof. This has given Indian organized retail market a major boost.

Retail market in the organized sector in India is growing can be seen from the fact that 1500 supermarkets, 325 departmental stores, and 300 new malls are being built. Many Indian companies are entering the Indian retail market which is giving Indian organized retail market a boost. One such company is the Reliance Industries Limited. It plans to invest US$ 6 billion in the Indian retail market by opening 1000 hypermarkets and 1500 supermarkets. Pantaloons is another Indian company which plans to increase its retail space to 30 million square feet with an investment of US$ 1 billion. Bharti Telecoms an Indian company is in talks with Tesco a global giant for a 750 million joint venture. A number of global retail giants such as Wal-Mart, Carrefour, and Metro AG

are also planning to set up shop in India. Indian organized retail market will definitely grow as a result of all this investments.

Classification of Indian retail sector:

a) FOOD RETAILERS There are large number and variety of retailers in the food-retailing sector Traditional types of retailers, who operate small single-outlet businesses mainly using family labour, dominate this sector In comparison, super markets account for a small proportion of food sales in India, However the growth rate of super market sales has being significant in recent years because greater numbers of higher income Indians prefer to shop at super markets due to higher standards of hygiene and attractive ambience.

b) HEALTH & BEAUTY PRODUCTS With growth in income levels, Indians have started spending more on health and beauty products .Here also small, single-outlet retailers dominate the market .However in recent years, a few retail chains specializing in these products have come into the market. Although these retail chains account for only a small share of the total market their business is expected to grow significantly in the future due to the growing quality consciousness of buyers for these products.

c) CLOTHING & FOOTWEAR Numerous clothing and footwear shops in shopping centers and markets operate all over India. Traditional outlets stock a limited range of cheap and popular items; in contrast, modern clothing and footwear stores have modern products and attractive displays to lure customers. However, with rapid urbanization, and

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changing patterns of consumer tastes and references, it is unlikely that the traditional outlets will survive the test of time.

d) HOME FURNITURE & HOUSEHOLD GOODS Small retailers again dominate this sector. Despite the large size of this market, very few large and modern retailers have established specialized stores for these products. However there is considerable potential for the entry or expansion of specialized retail chains in the country.

e) DURABLE GOODS The Indian durable goods sector has seen the entry of a large number of foreign companies during the post liberalization period. A greater variety of consumer electronic items and household appliances became available to the Indian customer. Intense competition among companies to sell their brands provided a strong impetus to the growth for retailers doing business in this sector.

f) LEISURE & PERSONAL GOODS Increasing household incomes due to better economic opportunities have encouraged consumer expenditure on leisure and personal goods in the country. There are specialized retailers for each category of products (books, music products, etc.) in this sector. Another prominent feature of this sector is popularity of franchising agreements between established manufacturers and retailers.

Today trend is the development of integrated retail cum Entertainment centers or shopping malls. An increasing number of retailers are focusing on malls now as opposed to stand-alone developments. While the number of shopping malls has seen a massive surge in the recent past in the metros and their suburbs, the latest trend in this sector is the increasing focus on providing leisure activities
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such as multiplexes, facilities for kids' entertainment, eateries etc. within the mall premises. Customer less the time consumes and more entertainment with his family in malls because they within shopping mall number of retail shop and variety of products and selected the product they want. Good environment in mall. Less crowed and These are enclosed, air-conditioned, multi-level malls of at least 100,00 sq ft. Critical to these malls is the concept of the anchor, the key outlet or store around which other outlets cluster. The most popular Indian anchors include Shoppers' Stop, Globus, Pantaloon, Lifestyle and hypermarkets like Big Bazaar and Giant. Cinemas also often anchor malls. Driven by the lucrative tax breaks, the old single screen theatres are being divided into threefive smaller screens, as was done in the US, years ago.

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 Company profile
Pantaloon Retail (India) Limited, is Indias leading retailer that operates multiple retail formats in both the value and lifestyle segment of the Indian consumer market. Headquartered in Mumbai (Bombay), the company operates over 10 million square feet of retail space, has over 1000 stores across 61 cities in India and employs over 30,000 people. The companys leading formats include Pantaloons, a chain of fashion outlets, Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain, blends the look, touch and feel of Indian bazaars with aspects of modern retail like choice, convenience and quality and Central, a chain of seamless destination malls. The company also operates an online portal futurebazaar.com. A subsidiary company, Home Solutions Retail (India) Limited, operates Home Town, a large-format home solutions store, Collection i, selling home furniture products and E-Zone focused on catering to the consumer electronics segment. Pantaloon Retail was awarded the International Retailer of the Year 2007 by the US based National Retail Federation (NRF) and the Emerging Market Retailer of the Year 2007 at the World Retail Congress held in Barcelona. Pantaloon Retail is the flagship company of Future Group, a business group catering to the entire Indian consumption space. Pantaloon is not just an

organization - it is an institution, a centre of learning & development. We believe that knowledge is the only weapon at our disposal and our quest for it is focused, systematic and unwavering. At Pantaloon, we take pride in challenging conventions and thinking out of the box, in travelling on the road less traveled. Our corporate doctrine Rewrite Rules, Retain Values is derived from this spirit. Over the years, the company has accelerated growth through its ability to lead change. A number of its pioneering concepts have now emerged as industry standards. For instance, the company integrated backwards into

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garment manufacturing even as it expanded its retail presence at the front end, well before any other Indian retail company attempted this.

It was the first to introduce the concept of the retail departmental store for the entire family through Pantaloons in 1997. The company was the first to launch a hypermarket in India with Big Bazaar, a large discount store that it commissioned in Kolkata in October 2001. And the company introduced the country to the Food Bazaar, a unique 'bazaar' within a hypermarket, which was launched in July 2002 in Mumbai. Embracing our leadership value, the company launched ALL in July 2005 in Mumbai, making us the first retailer in India to open a fashion store for plus size men and women. Today we are the fastest growing retail company in India. The number of stores is going to increase many folds year on year along with the new formats coming up. The way we work is distinctly "Pantaloon". Our courage to dream and to turn our dreams into reality that change peoples lives, is our biggest advantage. Pantaloon is an invitation to join a place where there are no boundaries to what you can achieve. It means never having to stop asking questions; it means never having to stop raising the bar. It is an opportunity to take risks, and it is this passion that makes our dreams a reality. Come enter a world where we promise you good days and bad days, but never a dull moment!

Our culture
At Pantaloon, Empowerment is what you acquire and Freedom at Work is what you get. We believe our most valuable assets are our People. Young in spirit, adventurous in action, with an average age of 27 years, our skilled & qualified professionals work in an environment where change is the only constant. Powered by the desire to create path-breaking practices and held together by values, work in this people intensive industry is driven by softer issues. In our

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world, making a difference to Customers lives is a Passion and performance is the key that makes it possible. Out of the Box thinking has become a way of life at Pantaloon and living with the change, a habit. Leadership is a value that is followed by one and all at Pantaloon. Leadership is the quality that motivates us to never stop learning, stretching to reach the next challenge, knowing that we will be rewarded along the way. In the quest of creating an Indian model of retailing, Pantaloon has taken initiatives to launch many retail formats that have come headed for serve as a benchmark in the industry. Believing in leadership has given us the optimism to change and be successful at it. We do not predict the future, but create it. At Pantaloon you will get an opportunity to handle multiple responsibilities, and therein, the grooming to play a larger role in the future. Work is a unique mix of preserving our core Indian values and yet providing customers with a service, on par with international standards. At Pantaloon you will work with some of the brightest people from different spheres of industry. We believe its a place where you can live your dreams and pursue a career that reflects your skills and passions.

New discoveries in retail industry

In the financial year 2006-07, the companys retail businesses discovered new categories across formats, new sets of consumers and fresher and contemporary merchandise. We have been able to offer more in the established businesses and gain favourable acceptance with new concepts. In addition, concerted expansion plans saw retail space increase to over 5.2 million square feet at the end of 2006-07. This expansion mode was characterized by a two pronged approach. By dominating the cities the company was already present in and by bringing the benefits of modern retail to towns and cities like Mangalore, Palakkad, Surat, Indore, Kanpur, Haldia, Agra, Coimbatore, Jaipur and Panipat.

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The company has also undertaken significant private label initiatives in food, in general merchandise and in the consumer durables and electronics categories. Strategic alliances have also been forged with established domestic and international brands. However, the most significant development was the internal realignment the company undertook within each of its retail businesses. To embark on a more detailed approach towards value creation and increasing efficiency, the company reviewed its business operations and adopted a more focused approach by creating an integrated support unit or Line of Business. Augmenting the retail front-end team, Line of Business (LoB) units have been created in the three most critical businesses food, fashion and general merchandise. Formed during the second half of 2006-07 these business units focus on introducing optimum operational efficiencies. Thus, these units ensure that back - end measures are appropriately taken care of and the right kind of merchandise reaches the stores in the best possible time, at the right price.

These teams focus on product consolidation and suitability, margin improvement, and vendor rationalization, thereby ensuring that the sourcing benefits are made available to the front end team. The companys efforts over the next couple of years would entail a combination of expansion and process up gradation and implementation. The emphasis will be on the next discoveries to be made in the retail space that will lead to expansion. At the same time, there will be an increased focus on micro detailing aspects including process, product and operational efficiencies thereby contributing positively to the companys bottom-line.

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It was the first Pantaloons store in Kolkata that set off a chain of discoveries that have led us to where we are today. Ten years later, we have launched our largest Pantaloons store in Kankurgachi in Kolkata. Spread across 85,000 square feet, the store is the first among a series of large format stores that will be launched across the nation. After consolidating its Fresh Fashion positioning, Pantaloons embarked on a major expansion during the year 2006-07. In 8 cities,11 Pantaloons stores were opened with 7 of them opening in the single month of March 2007. The total count of Pantaloons stores as on 30th June 2007 stood at 31 with the total area under retail close to 1 million square feet. In order to maintain the top of the mind association with fashion in India,

Pantaloons continued to be the title sponsor for the Femina Miss India 2007 pageant. In addition, Bipasha Basu and Zayed Khan were roped in as brand ambassadors in the month of August 2006. The success of this initiative was evident in the increased sales for the Haldi Gulal range as well as the Svayam Utsav summer collection that were endorsed by Bipasha and Zayed. The
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private label apparel share during the year was in excess of 70 percent. The year also witnessed categories like Winter-wear and Ethnic Ladies-wear

strengthening their presence in the stores. The increasing success of the store brand is evident from the fact that the stores loyalty programme, Green Card, added 200,000 new members. Pantaloons will see a significant expansion during the coming year with an increase of nearly 0.50 million square feet of retail space and an addition of about 15 stores.

Pantaloons will look at dominating cities where it has a first entrant advantage and will scale up size ably with larger stores, additional categories and retail formats. The year 2007-08 will witness considerable focus in the North and East regions. Delhi and the NCR area along with Punjab, Chandigarh and Ludhiana will see the next stage of expansion. Cities like Ranchi, Guwahati and Siliguri in the East will also discover Fresh Fashion. In 2006-2007, more Indians discovered the value of shopping in Big Bazaar. And with the launch of each store, we discovered more value in terms of operational efficiency. Big Bazaar launched 27 new stores in 22 cities, covering over 1.40 million square feet. As of June 2007, there were 56 Big Bazaar stores across 43 cities. While Big Bazaar continued to expand in the large cities, it also tapped consumption potential in smaller cities like Agra, Allahabad, Coimbatore, Surat, Panipat, Palakkad, Kanpur and Kolhapur.

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The year under review also witnessed realigning of business teams with shared experience in category management, sourcing, front-end operations and business planning. In addition, separate teams have been formed to look into all aspects of new store launches and to manage mature stores. This provides more flexibility and focus in expansion plans. The increase in SKUs in existing categories and the introduction of new categories encouraged the opening of larger stores or Super Centers, measuring 100,000 square feet or more. There are now 5 Big Bazaar Super Centers. Considering this scale of expansion, technology plays a significant facilitating role. The introduction of SAP in 2005-06 and its roll out during the year positively impacted the business. Big Bazaar has initiated the process of Auto Replenishments Systems, thus improving operational efficiencies and productivity. The company has also rationalized nearly 250 vendors through better vendor management in terms of potential to expand, and for inclusion and up gradation to the online B2B platform. The company plans to open over 60 stores across India. In FY 2008, and the opening of the 100th Big Bazaar store will mark the fastest ever expansion by a hypermarket format.
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 Food Bazaar Discovering the new consumer

Based on the companys in-house consumer data and research, and in cognizance with observations on customer movements and the shopping convenience factor, Food Bazaar has initiated certain refurbishments and layout design across all stores. The intention is to continuously change with the times and demands of the evolving Indian consumer. Food Bazaar also witnessed healthy expansion during the year 2006-07, making its presence felt in nearly 26 cities and adding 40 stores during the year under review. The total count of Food Bazaars as on 30th June 2007 stood at 86 stores. The year under review witnessed the companys private label programme gaining significant traction. The brands have been very competitive visa- vis the established brands in quality and price terms, and have in fact scored better than national or international players in certain categories. The share of private labels as a percentage of total Food Bazaar revenues has increased significantly and comprise nearly 50 merchandise categories.
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While Fresh & Pure brand entered categories like cheese slices, frozen peas, honey, packaged drinking water and packaged tea, the Tasty Treat brand received a very favorable response in new categories like namkeens and wafers. In the home care category, Cremate launched aluminum foil and baby diapers while Clean mate launched detergent bars and scrubbers. A new format BB Wholesale Club was launched and 4 such stores have been opened so far. To be managed by Food Bazaar from the ensuing financial year, this format sells only multipacks and bulk packs of a select range of fast moving categories and caters to price sensitive customers and smaller retailers.

Future ideas Discovering new opportunities

Future Ideas is the Innovation, Design & Incubation cell within Pantaloon Retail that stems from the core proposition - Protecting and preserving the soul of a small business or enterprise within a large organisation. Future Ideas deals with the whole aspect of idea creation, scenario planning activities, alternate approaches to an issue, providing varied outcomes and solutions to a problem and handholding the activity till its success parameters are satisfied. A unique initiative in corporate India, Future Ideas rests on a tripod that can be classified as Innovation driven, Design Management approach and an Incubation chamber, each with its own uniqueness, yet with common objectives. The Design Management team looks at each observation made by the Innovation team, and brainstorms by using a collaborative and holistic approach. The resultant ideas are then nurtured within the Incubation cell. The Incubation team comprises of business teams, mentored by the Innovation and Design teams. They are people who are released from their original businesses or concepts and made part of the entire ideation process at Future Ideas. They remain at Future
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Ideas till project completion stage when the success parameters for running the business are met. Future Ideas draws inspiration for most of its activities and projects, keeping in mind the new genre of inspirational Indians. At any point of time Future Ideas would work on about 20 varied projects within the Future Group.

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 HISTORY OF BIG BAZAAR:Big Bazaar, the flagship retail chain of the Future Group, is on the verge of achieving a unique milestone in the History of World Retail by being the first hypermarket format in the globe to rollout fastest 101 stores in a short span of seven years. Big Bazaars journey began in October 2001, when the yo ung, first generation entrepreneur Kishore Biyani opened the countrys first hypermarket retail outlet in Kolkata (then Calcutta). In the same month, two more stores were added one each in Hyderabad and Mumbai, thus starting on a successful sojourn which began the chapter of organized retailing in India. Speaking on this momentous occasion and remembering the days of conceptualizing the hypermarket idea Mr. Kishore Biyani said, We initially decided to name the format as Bazaar because we had designed the store keeping the Indian mandi style in mind. Since the size of the hypermarket was big than an average mandis, the thought came to name it as BIG BAZAAR. However, we had freezed on the punch line ISSE SE SASTA AUR ACHHA KAHI NAHI much before we met the creative agency to design the final logo of Big Bazaar. Though, Big Bazaar was started purely as a fashion format including apparel, cosmetics, accessory and general merchandise, the first Food Bazaar format was added as Shop-In-Shop within Big Bazaar in the year 2002. Today, Big Bazaar, with its wide range of products and service offering, reflects the aspirations of millions of Indians. The journey of Big Bazaar can be divided into two phases one pre and the other post January 26th, 2005, when the company rewrote the retail chapter in India, with the introduction of a neverbefore sales campaign Sasbe Sasta Din. In just one day, almost the whole of
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India descended at various Big Bazaar stores in the country to shop at their favorite shopping destination. Further, what followed was the time and again rewriting of the Indian Retail experience, wherein understanding of the Indian consumers reflected in the products and services offered, creating innovative deals, expanding in the tier II and tier III towns, tying up with branded merchandise to offer exclusive products and services to its customers. Big Bazaar is present today in 59 cities and occupying over 5 million sq.ft. retail space and driving over 110 million footfalls into its stores. The format is expecting the number of footfall in the stores to increase by over 140 million by this financial year. Over the years, Mr. Biyani for his vision and leadership, and Big Bazaar for its unique proposition to its customers, have received every prestigious consumer awards both nationally and internationally. Every Big Bazaar is a small family by its own and the head of the family Karta is the store manager. Kishore Biyani, the CEO of the Future Group, has a vast understanding of the consumers insight, has inculcated the habit of observing, understanding customers behaviour, in every employee of the group. Apparently its part of Big Bazaars (owned by Biyanis Future Group) new Guerrilla Marketing Strategy according to agencyfaqs.com Surely one must have heard about the guerilla warfare strategies during one of those history sessions. 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 Tatas Westside.

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With retail market in India especially in metros where standard of living and disposable income is at an all time high, competitors will vie for the market share and can stoop to any levels while marketing their products. Guerilla marketing is just one of the strategies and surely one can learn a lot from the ongoing battle, especially people interested in marketing/marketing techniques.

BOARD OF DIRECTORS
Mr. Kishore Biyani, Managing Director Mr. Gopikishan Biyani, Wholetime Director Mr. Rakesh Biyani, Wholetime Director Mr. Ved Prakash Arya Director, Operations & Chief Operating Officer Mr. Shailesh Haribhakti, Independent Director Mr. S Doreswamy, Independent Director Dr. D O Koshy, Independent Director Ms. Anju Poddar, Independent Director Ms. Bala Deshpande, Independent Director Mr. Anil Harish, Independent Director

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 MISSION Future group shall deliver everything, everywhere, everytime for every Indian consumer in the most profitable manner VISION We share the vision and belief that our customers and shake holders shall be served only by creating and executing future scenario in the consumption space leading to economic development

Positioning And Establishment

Customers Segmentation: Big Bazaar targets higher and upper middle class customers. The large and growing young working population is a preferred customer segment. Big Bazaar specifically targets working women and home makers who are the primary decision makers.

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 Marketing mix

process physical evidene

product

7P's
people price

place

promotion

1) Product Big bazaar offers a wide range of products which range of apparels , food , furniture ,child care, toys etc products of all these major brands are available at big bazaar. Also there are many in house brands promoted in Big bazaar . Big bazaar also sold over 300,00 pairs of jeans,50,000 DVD players and 25,000 microwave ovens. In all the fashion, electronics and travel segments made up about 70% of sales. Last year this category made up only about 60%. 2) Price The tag line isse sasta aura acha aur kahin nai. They work on the model of economics of scale. Their pricing objective is to get maximum market score the various techniques used at big bazaar are: Value pricing :- big bazaar promises consumers the lowest available price without coupan, clipping, waiting for discount promotion or comparisons shopping.
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 Promotional pricing:- big bazaar offers financing at lower intert rate. The concept of psychological discounting (rs 49, rs 99) is used at

promotional tool . big bazaar also caters on special event pricing (durga puja ,gudi padiya and diwali). Differentiated pricing :- time pricing i.e. difference in rate based on peak and non peak hours or days of shopping is also pricing technique used in india retail which is aggressively used by big bazaar. Bundling :- selling combo packs and offering discounts to customers. The combo pack adds value to customer. 3) Place Big bazaar are located in 50 cities with 75 outlets big bazaar has presence in almost all major Indian cities. They are aggressive on their expansion plans. 4) Promotion Big bazaar started many new and innovative cross sells and up-sell strategies in Indian retail market. The various promotion techniques used at big bazaar include saal ke sabse saste teen din future card (the card offers 3% discount) , shakti card. Brand endorsement M.S.Dhoni , exchange offer Junk Swap Offer, Point-OfPurchase Promotions. Advertising has played a crucial role in building of the brand . Big bazaar advertisement are seen in print media , TV ,Radio (FM), and road side bill boards. 5) People They are one of the key for any organizations. The salient features of staff of big bazaar are

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Well trained staff, the staff employed by big bazaar are well situated for modern retail. Well dress staff improves the overall appearance of stores. Employees are motivated to think out of the box . retail sector is in growth stage , so staff is empowered to take innovative steps. 6) Process:- good dispatches and purchasing area has certain salient features which include multiple counters with trolleys to carry the items purchased proper display/ posters of the place like ( DAL, SOAP etc..) . home delivery counters also started at many places

7) Physical evidence It deals with final deliverable or the display of written facts .this include the current system and available facilities

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 RESEARCH OBJECTIVE The basic objective of the project is to primarily check the buying behavior and buying decision base on the effectiveness of promotion and secondarily

customers satisfaction with the project. In the process the project also has to focus on the following:

1. The satisfaction level of the customers with the company. 2. Knowing the buying behaviour of the consumers. 3. The role of employees in the purchase of the big bazaar products. 4. Test the effectiveness of various promotional schemes.

RESEARCH METHODOLOGY The project on marketing strategies for big bazaar and its products is a survey based project. One can not make assumptions on strong basis, so a small sample of customers of big bazaar was undertaken. The steps of the project report are as follows: 1. Project depiction 2. Stage of selecting customers 3. Designing questionnaire 4. Survey 5. Analysis 6. Recommendation

In the initial stages the sample size of 200 was fixed. This sample size would comprise the consumers of the big bazaar
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According to the gathered information, further detailed analysis and interpretation of each gathered information was done deeply. Based on such interpretations needed recommendation are also anticipated here with. RESEARCH DESIGN: DESCRIPTIVE RESEARCH DESIGN. The research methodology is of descriptive multiple cross sectional type because the research herewith has first all the data collected then a descriptive analysis of the data is done and later the complete interpretation and recommendation to the research are provided with. Also it can be said multiple because more than 1 sample units and sample size are used and cross sectional because the respondents are contacted only once. Thus we can say that the methodology is of descriptive multiple cross sectional in nature. RESEARCH APPROACH: SURVEY METHOD. The project report of big bazaar is a survey based research because no one can make assumptions on strong basis, so a small sample survey of customers of was done. SAMPLING UNIT & ELEMENT: POTENTIAL CUSTOMERS OF BIG BAZAAR. For a successful survey, a perfect survey element should be chosen. The perfect survey element for this research was the potential customers of big bazaar. The valued information which we needed for the accomplishment of this project would not have been completed without the responses of the customers who themselves are using the products. Thus they made to be the perfect sampling element for the research. SAMPLING METHOD: SIMPLE RANDOM METHOD. The sampling method is simple random method because no particular selection of sample was done. Randomly the selection was made amongst the customers which are connected with big bazaar to make a perfect analysis.
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 SAMPLING SIZE: 200 CUSTOMERS. The sample size was 200 which was randomly selected for the survey. DATA SOURCES: PRIMARY AND SECONDARY DATA. The data type are primary and secondary both because the primary data was the one which was available with the help of big bazaar website i.e., www.bigbazaar.com and secondary because rest information was collected by survey and analysis. Thus the research deals in both the data type. DATA COLLECTION MEDIUM : STURCTURED QUESTIONNAIRE The data collection medium was pre-decided as a structured questionnaire. Because of the vast information gathered from the customers it was difficult to analyze it in a perfect order. Thus a structure questionnaire was pre-made that the answers could be obtained only of those questions which were necessary to interpret and analyze for the betterment of the research

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ANALYSIS AND INTERPRETATION

1) How frequently do you visit big bazaar? a) Weekly c) 15 days b) Monthly d) on unplanned basis

Weekly Monthly 15 days on unplanned basis

2) Apart from Big Bazaar do you intend to visit any other retail outlet in a Mall? a) Yes b) No

If yes then what are the other retail outlets do you intend to visit in a mall? a) Garment Outlet b) Footwear Outlet c) Food Court d) Entertainment e)Gift Corner f) jewellery and Watches store

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50 45 40 35 30 25 20 15 10 5 0

Series1

3) How much time do you spend in a visit to big bazaar a) 30 minutes b) 30 minutes to 1 hr. c) 1hr to 2 hr. d) More than 2 hr.
50 45 40 35 30 25 20 15 10 5 0 30 minutes 1hr to 2 hr. 30 minutes to 1 More than 2 hr hr Series1

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4) Why do you prefer big bazaar a) Less time b) Economic c) Quality d) Convenience e) Brands f) Variety g) All under one h) Word of mouth

Less time Economic Quality Convenience Brands Variety All under one Word of mouth

5) What items do you mostly purchase from big bazaar a) Food products b) Cosmetics c) Leather item d) Electronic item e) Toys and Gift item f) Grocery g) Apparel h) Any other item

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35 30 25 20 15 10 5 0 Series1

6) What is your mode of payment in big bazaar. a) Cash payment b) Credit card c) Debit card

cash payment credit card debit card

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7) Have you ever purchased an item from big bazaar because of promotional schemes a) Yes b) No

yes no

8) Which scheme was offered to you a) Exchange gifts b) Finance schemes c) Extended warranty d) Special gifts e) Special discounts f) Special combined pricing g) Any other schemes (please mention the scheme) _____________
Exchange gifts Finance schemes Extended warranty Special gifts Special discounts Special combined pricing

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9) For big bazaar and its product please the rate the following (1 TO 5 ) a) b) c) d) e) Availability Price Sample test Quality features _______ _______ _______ _______ _______

BIG BAZAAR
35 30 25 20 15 10 5 0 33 23 16 14 14

VALUE

Av ai la bi lity

ua li t y Q

Te st

PARTICULARS

fe at ur es

Pr ic

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10) How would you rate the response you got from the employee of big bazaar on a 1-5 scale 5 4 3 2 1

Very good good ok

poor very poor

very good good fair poor very poor

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 FINDINGS
1. Big bazaar provides its customers with maximum opportunity for incentives and cash gifts on the sale of the products. Sales of some products in some chosen time or lot of the products. However these offers are no more prominent and free tours were availed in the past.

2. Many customers preferred to give additional promotional offers to increase the sales of particular products. Cash discounts and free gifts were the most popular schemes used.

3. Customers felt that big bazaars products needed more advertisements in local areas. Good after sales and before sales service was main reason for the customers opting for its products. Customers complained of the demonstrator techniques.

4. Respondents felt that all the products were a good idea to keep a track on health and all the type of benefits. 5. Customers are mainly influenced by the features of the big bazaar which induce them to buy those particular products. Word of mouth publicity i.e., recommendations by friends and relatives also forms a prominent part in selecting a particular products.

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 RECOMMENDATIONS OFFENSIVE STRATEGY big bazaar can apply a strategy in line to its competitors by providing same features and promotional offers. Even more as given to its competitors, to its all the types of products. In addition to big bazaar can improve more on products and its quality and availability. SERVICE STRATEGY. Customers relations should form an integral part of the big bazaar. The warranty aside it is the sales service before and after both also which holds the key to customer satisfaction. As a beginning in these products, big bazaar could start contacting is new customers, quarterly and inquire about the product and the possible difficulties faced. This will not only ensure word as mouth publicity but also a long standing relationship with the customers.

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 CONCLUSION

The past 4-5 years have seen increasing activity in retailing. And, various business houses have already planned for few investments in the coming 2-3 years. And though the retailers will have to face increasingly demanding customers, and intensely competitive rivals, more investments will keep flow in. New formats like super markets and large discount and department stores have started influencing the traditional looks of bookstores, furnishing stores and chemist shops. The retail revolution, apart from bringing in sweeping, positive changes in the quality of life in the metros and bigger towns, is also bringing in slow changes in lifestyle in the smaller towns of India. Lastly I want to conclude my project in some points The customers are attracting towards BIG BAZAAR Big bazaar are targeting to middle class customers because the purchasing power of this class is rapidly growing as well as the class is also growing. Most of the family wants to purchase from big bazaar because there are no bargaining system so the have a trust that there is no cheating. The main strength of most of the big bazaar are providing attractive offers to attract customers. Big bazaar stores are running effective promotional schemes which has increased profits and no. of customers.

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 ANNEXURE

Questionnaire
(NOTE: This questionnaire is prepared for the fulfillment of master degree in PGDM and will be totally confidential.) Name Gender 1) Age Profession

How frequently do you visit big bazaar? d) Weekly c) 15 days e) Monthly d) on unplanned basis

2) Apart from Big Bazaar do you intend to visit any other retail outlet in a Mall? a) Yes b) No

If yes then what are the other retail outlets do you intend to visit in a mall? e) Garment Outlet f) Footwear Outlet g) Food Court h) Entertainment i) Gift Corner j) Jewellery and Watches store

3) How much time do you spend in a visit to big bazaar b) 30 minutes b) 30 minutes to 1 hr. f) 1hr to 2 hr. d) More than 2 hr.

4) Why do you prefer big bazaar i) Less time j) Economic k) Quality l) Convenience m) Brands n) Variety o) All under one p) Word of mouth
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5) What items do you mostly purchase from big bazaar a) Food products b) Cosmetics c) Leather item d) Electronic item e) Toys and Gift item f) Grocery g) Apparel h) Any other item 6) What is your mode of payment in big bazaar. d) Cash payment e) Credit card f) Debit card 7) Have you ever purchased an item from big bazaar because of promotional schemes b) Yes b) No 8) Which scheme was offered to you h) Exchange gifts i) Finance schemes j) Extended warranty k) Special gifts l) Special discounts m) Special combined pricing n) Any other schemes (please mention the scheme) ___________________________ 9) For big bazaar and its product please the rate the following (1 TO 5 ) f) Availability g) Price h) Sample test i) Quality j) features _______ _______ _______ _______ _______

10) How would you rate the response you got from the employee of big bazaar on a 1-5 scale 5 Very good 4 good 3 ok 2 poor 1 very poor

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BIBLIOGRAPHY The sources collected for the completion of this project report are taken from:1. Marketing research by N.Malhotra 2. Employees of big bazaar. 3. Respondents and potential users of big bazaars products. 4. www.bigbazaar.com

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