Retail Formats

Classification on the basis of merchandise

• Convenience stores• Supermarket• Hypermarket• Speciality stores• Departmental stores• Factory Outlets• Category killers/specialist

Convenience store• Relatively small stores located near residential

areas.• They are open for long hours, seven days a week• Offer limited line of convenience products like

groceries, eggs, milk, bread etc.• They are targeted customers who want to make

their purchases quickly.• International size 3000 – 8000 sq. ft where as

India standard is 500 – 1000 sq. ft• e.g. 7- Eleven, In & Out

• In&Out stores have a wide range of services viz., ATMs of leading Banks, Music stores from Planet M and Music World, Beverages from Pepsi, Coffee and snacks from Cafe Coffee Day and Coffee Day Xpress and a variety of impulse buys including confectionery, snacks, convenience foods, toiletries and select range of branded groceries and other FMCG products through exclusive tie-ups with such FMCG majors like ITC, Cadbury and Frito-Lay. •In&Out stores are the first to open and last to shut in the neighborhood.•The In&Out stores offer Western Union Money Transfer facilities in Mumbai – Money available all the time from your near and dear ones abroad at our store •In&Out stores offer all cellphone – recharge cards, and today with the launch of e-charge we are the first in the country to offer electronic charging of e-cards – now you can never lose your prepaid card re-charge voucher

Supermarkets• These are large, low cost, low margin, high volume, self

service operations designated to meet food, groceries & other non food items.

• These usually sell 70% foodstuffs and every day commodities.

• Over the years variations of this business model have emerged like superstore and combination store.

• Superstore is larger than supermarket with more than 25000 items.

• Combination store is superstore and full line pharmacy with GM and HBM accounting at least 15 % of sales

• International size 8000 – 20000 sq. ft where as in it is 800 – 5000 sq. ft in India.

• e.g. Kroger, Tesco, Foodworld, Nilgiries, subhiksha, More

• Foodworld Supermaket– 67 outlets as of now in Bangalore, Chennai and

Hyderabad– Size is 3000 – 5000 sq. ft.

• Foodworld Superstore– One store at present in Hyderabad– Size is 15000 sq. ft.– Includes service counters sea food, fresh meat,

house hold need products

Department Store• Sells fashion clothing, accessories, cosmetics and

household goods with separate departments.• Food, clothing and home related items at least 10

% but less than 70%of their sales.• These stores have at least 50 employees and self

service ratio less than 50%.• International size 75000 + sq. ft where as in India

it is 5000 – 40000 sq. ft.• e.g. Sears, Marks & Spencers, Globus, West side,

Shopper’s Stop

Hypermarket• One stop shopping.• It is a combination of supermarket and a department store• At least 35% of selling space devoted to non grocery

products.• Offeres variety of food and non food items likes clothes,

jewellery, sports equipments, cycles, motor accessories, books, electrical and electronic equipments.

• International standard size 80000 – 220000+ where as Indian standard size 40000 – 75000 sq. ft.

• Now the trend is up to 165000 by Reliance at Ahmedabad Reliance Mart

• e.g. Wal – Mart, Big Bazaar, Giant

Speciality Store• A store specializing in a particular type of

merchandise or single product of durable goods e.g. home furniture, consumer electronics, domestic electrical appliances etc.

• Norrow product line with deep assortments in that product line

• Usually concentrate on apparel, jwellery, fabrics, sports goods, furniture etc.

• Internationally 5000 – 8000 sq. ft. In India 2000 – 5000 sq. ft.

• Cross World, Planet M, Harsha Electronics

Factory outlets

• Stores which sells branded merchandise at a discount.

• Typically level of service is low.• These are franchise outlets located aways

from main market.• Internationally these are 5000 – 10000 Sq. ft.

where as in India these are 500 – 1000 sq.ft.• e.g. Do I need to tell you?

Category Killers

• Category killer a type of speciality retailer who offers very large selection of chosen product category at economical prices.

• Internationally these range from 20000 – 50000+ . In India these are 15000+ sq. ft.

• e.g. Home Depot, Toy Kemp

Classification on the basis of Ownership

• Independent Retailer• Chain retailer or a corporate retail chain• Franchising– A product or trade mark franchise

• e.g. Archie’s store, Hall Mark

– A business format franchise• e.g. McDonald’s

• Leased Department• Consumer co-operatives

Non-Store Retailing

• Direct Selling• Television shopping• Electronic shopping• Automated vending

Services Retail

• Retail Banking• Retail financial services• Car rental• Various service provider• Service contract