36249480 big-bazaar-project-17

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A PROJECT REPORT ON “BUYING BEHAVIOUR PATTERN OF CONSUMERS IN GENERAL MERCHANDISE” AT P.C.M.C PUNE -18 Submitted for partial fulfillment of award of Post graduate programme of Indira School of career development Pune Under the guidance of Prof. M.V.Kulkarni Submitted By Rahul kumar G-34 Indira School of Career Development 2009-2011 1 | Page

Transcript of 36249480 big-bazaar-project-17

A

PROJECT REPORT ON

“BUYING BEHAVIOUR PATTERN OF CONSUMERS IN

GENERAL MERCHANDISE”

AT

P.C.M.C PUNE -18

Submitted for partial fulfillment of award of Post graduate programme of

Indira School of career development Pune

Under the guidance of

Prof. M.V.Kulkarni

Submitted By

Rahul kumar

G-34

Indira School of Career Development

2009-2011

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Summer Training Project Report

On

“BUYING BEHAVIOUR PATTERN OF CONSUMERS IN

GENERAL MERCHANDISE”

AT

BIG BAZAAR P.C.M.C PUNE-18

In the partial fulfillment of the requirement of the career

Development programme for the session of 2009-2011 of Indira

School of career development programme

Under the under the guidance of

Supervision of prof.M.V. Kulkarni

Ashutosh sathe

Store manager

Submitted by

Rahul kumar G-34

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DECLARATION

I hereby declare that the information presented here is true to the best of

my knowledge. Also, the report has not been published anywhere else.

Rahul kumar

Acknowledgement

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The project of this magnitude would not have been completed singly.

Firstly I want to give my hearty thanks to all mighty who made the world

and me also.

There are many other people without whom the completion of the

project would not have been possible.

It gives me immense pleasure to thank and I would like to express my

gratitude to Mr. AHUSTOSH SATHE SIR, Store Manager, and Mr.

NITIN SIR DM of general merchandise Big Bazaar (P.C.M.C PUNE)

whose direction, assistance, and guidance have been invaluable for the

project. I wish to thank Big bazaar staff for their constant support.

I express special thanks to Prof. M.V.Kulkarni my project guide,

who provided his recommendations and suggestions to complete my

project successfully.

I particularly like to extend my thanks to my seniors and my friends who

supported me during the project.

Rahul kumar

PREFACE

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PGP is the one of the most reputed professional coures in

the field of Management.It include theory as well as its

practical application.Summer Training is an integral part of

Post graduate programme, for sucessful completion of this

programme require two months summer training .

So after completion of second semester each student at Indira

school of career development need to under go two

months training in an organisation.

This training serves the purposes of acquainting the

student with environment of an organisation in which student

have to work hard in future .Only theoretical knowledge is not

enough but its practical application is also required to be

learned.

I was fortunate enough to have an opportunity of doing

summer training at BIGBAZAAR, P.C.M.C PUNE . Every

trainee was required to prepare a report of his working in the

organisation. I was assigned a project on

“Buying behaviour pattern of consumers in general

merchandise”. In this report,all the important findings of the

project are included ,over and above an overall profile of the

company(PANTALOON) is also given.

EXECUTIVE SUMMARY

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As customers taste and preferences are changing, the market

scenario is also changing from time to time. Today’s market

scenario is very different from that of the market scenario

before 1990. There have been many factors responsible for the

changing market scenario. It is the customers changing tastes

and preference, which has bought in a change in the market.

Income level of the people has changed; life styles and social

class of people have completely changed now than that of olden

days. Technology is one of the major factors, which is

responsible for this paradigm shift in the market. Today we can

see a new era in market with the opening up of many

departmental stores, hypermarket, shopper’s stop, malls,

branded retail outlets and specialty stores.

The study is based on a survey done on customers of a

hypermarket named big bazaar. Big bazaar is a type of market

where various kinds of products are available under one roof.

My study is on determining buying behaviour pattern of

customer in general merchandise (luggage, untensil, plastic,

footwear) . The study will find out the current status of big

bazaar and determine customer response toward big bazaar.

ABOUT THE PROJECT

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Primary objective :-

“To study the buying behaviour pattern of consumers in general

merchandise” in Big bazaar.

Secondary objective:-

a) Swot analysis of general merchandise(Big bazaar)

b) To find out the current status of Big Bazaar.

c) To find out the customer response towards GM (Big

Bazaar).

d) To identify main competitors of (GM) Big Bazaar.

e) To study the satisfaction level of customer in GM.

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LIST OF CONTENTS

GENERAL INTRODUCTION

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Sr.No. Name of Contents Page

NO.

1. a) INRODUCTION OF TOPIC

b) RETAIL INDUTRY IN INDIA

c)COMPANY INTRODUCTION

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2. RESEARCH OBJECTIVE 37

3. RESEARCH METHODOLOGY 38

4. DATA COLLECTION 39

5. ANALYSES AND INTERPRETATION 41

6. SWOT ANALYSIS 64

7. FINDING AND SUGGESTIONS 65

8. RECOMMENDATION 66

9. CONCLUSIONS 67

10. LIMITATION 69

11. ANNEXURE 70

12. BIBLIOGRAPHY 77

Like England, India too, has been described as a notion of

shopkeepers having an estimated 15 million small retail outlets, mostly

single-store, family-owned fronts all over the country. This works out to

14 shops per 1000 people, which is one of the highest densities of shops

per 1000 population all over the world. The unorganized sector

comprising small & medium retailers who employ over 40 million people

is indeed the current face of retail that is in the threshold of

transformation to a more organized form. Only 2-3 % of retailers are

large -scale who have the ambition to organized retailing to the whole of

India. Only 4% of the 15 million retail outlets have floor space in excess

of 500 sq.ft. The vast available untapped potential, naturally has

attracted majors like Reliance, Tatas, Birla’s, Godrejs, Mahindra’s & ITC

to foray into this sector.

More Importantly, the revolution in retail forges farm to fork linkages

with thousands of farmers to procure additional outlets for retailing

their produce. This necessarily entails huge investments in supply chain

logistics, cold chain, warehousing, & so on all over India's rural market.

RETAIL INDUSTRY IN INDIA

Retail is the world's largest industry with global sales of roughly

US$ 8 trillion. Retailing is also one of the biggest contributers to the

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Gross Domestic Period(GDP) of most countries & also one of the biggest

employers(Source CII McKinsey Report titled “Retailing in India, the

Emerging Revolution”). In India however, the retail sector has been a

high level of fragmentation with a large Share held by unorganized

players.

INDIAN RETAIL INDUSTRY:

India is the 4th largest economy in the world in purchasing power

parity (PPP) terms after USA,China and Japan. In 2008-09, India

became the 2nd fastest growing economy in the world with a growth rate

of 9.2%. The economy is expected to grow at an average 7.8% per

annum for the next 5 years.

Wholesale & Retail trade sector currently contributes to about 13% of

GDP & employs about 40 million people. India has a large number of

retail enterprises with close to 12 million retail outlets. India has one of

the highest retail densities in the world, but only 4% being larger than

500 sq ft in size. In terms of the structure, the industry is fragmented &

predominantly consists of independent, owner managed shops. The

retail businesses include a variety of traditional retail formats, such as

“Kirana” stores which stock basic household necessities (including food

products).

RETAILING IN INDIA, THE EMERGING

REVOLUTION!

• Retail sector accounts for 13.72 % of India's GDP.

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• Provides employment to 15% of the population.

• World's largest retail networks with 12 million outlets.

• Total market size of retailing in India now is US$ 300 billion.

• Current share of Organized Retail is 3% or US$ 9-10 billion.

• The size of Indian retail sector is estimated to grow by a compound

annual growth rate of 5.5 per cent, to become $410 billion market by

2010.

COMPANY PROFILE

We never created a group identity in the past...... We cannot be known

as Pantaloon. It was originally a trouser brand.

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----Kishore Biyani

CEO, Future Group.

PRIL, which begin as a trouser manufacturer in the mid 1980's, had

grown over the years to become one of India's largest retail chains. In

march 2006, the pantaloons group renamed as the “Future Group”.

The “Future Group”

In march 2006, the Pantaloon Knowledge Group, as a part of its

restructuring & its expansion plans changedits identity to the “ Future

Group”. The new group was set up to drive growth through the use of

consumer insights and scenario planning to design future retail delivery

formats. Kishore Biyani, chairman PRIL said, “India is changing rapidly

and we believe that rather than look at the past to extrapolate or the west

to emulate, we have to prepare ourself by planning scenarios based on

innovative and original research”.

Descriptions of verticals in Future Group

FUTURE

GROUP

DESCRIPTIONS

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VERTICALS

Future RetailPRIL's Retail business like food and fashion were

included under this vertical.

Future SpaceManagement of all the shopping malls and real

estate.

Future BrandsManagement of all owned or licensed brands of the

Group companies.

Future MediaFocus on development and management of retail

media spaces.

Future CapitalThe financial arm of the Future Group , which would

focus on retail financial products and services.

Future logistics

This vertical would focus on deriving efficiencies

across businesses through better supply chain

management and distribution.

With the launch of Future Group, PRIL had plans to develop a

business model, which resembled wall-Mart's Sam's club. This strategy

was adopted to strengthen its back-end supply chain sourcing

capabilities in addition to reducing costs and scalling up business

volumes.

Analysts opined that PRIL, under its new identity as the Future

Group aimed to garner market share in the retail industry in India. A

report released by AT Kearney in 2006 titled emerging market priorities

for global retailers, ranked india first in its 2006 Global Retail

Development Index, an indication that global retailers considered it one

of the most attractive markets. The reports also estimated that the retail

industry in india was worth US$300 billion.

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Outlook

Big Bazaar has been accepted as a pan-India model, from the

agrarian singly to the-cosmopolitan Mumbai. Big Bazaar has

democratized shopping in India and is entering its most aggressive role

out phase. Besides, Big Bazaar will enter rural India; it is both a vertical

and horizontal aggression. The outlook is very exciting and buoyant.

Fashion Focus

With Private labels expected to be at the forefront, the

category is likely to see lot of action in jeans and knits in men's and

ladies wear, as well as in the hugely popular fusion or mix and match

ladies wear. With the introduction of Gine & Jony products in the

stores, the kids and infants section will also be reinforced considerably.

Another category that the company has identified is the sportswear

category, which will be addressed through the setting up of a fashion led

sports apparel mix of the best in national and international brands, all

under one roof.

Market size

Largely an untapped and unorganized market as of now, the

total retail size of the Indian books and music sector is estimated to be

about Rs.800 crore. Of this the share of organized retailing accounting

for about 10 percent and is growing at a faster rate than traditional

retail. As a size of total retail pie, this segment accounts for just 1

percent but attracts close to 8 percent of a consumer's wallet. A recent

report indicates that between 2002 & 2010, the category is estimated to

grow at a rate of nearly 26 percent every year for the next five years.

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Strategic Direction

With a wide range of private labels, at different price points,

Fashion Station will continue to provide the customers an alternative

option to latest fashion that was hitherto not addressed in modern retail

environment. With more stores lined up in the coming year, across

cities and towns, this concept would cater to a larger mass of customers

and also improve the company's bottom- line.

Across India, food habits vary according to community,

customs and geography. Food Bazaar, through its multiple outlets

addresses this. At the same time,it offers best quality products at

wholesale prices to a wide cross section of the Indian population. Food

bazar effectively blends the look,touch and feel of the Indian bazar with

the choice,convenience and hygiene that modern retail provides. Most

stores are located within Big Bazaar,Central and Pantaloon and act as

strong footfall generators. These are separated stand alone Food Bazaar

as well. The business contributed just under 50% of value retailing and

30% to the company;s turnover during 2009-10.Food Bazar offers a

variety of daily consumption items,which includes staples,soaps and

detergents,oils,cereals and biscuits. On the product category side , the

primary segregation is done on the basis of staples,fresh

products,branded foods,home and personal care products.

Changing Food Preferences

Food Bazaar talks to the housewives of India and constantly

learns from them and it is at the forefront of changing preferences.

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Some of the trends that were noticed during year were increased

consumption of processed food category and ready to eat concepts.

Besides an increasing number of working women are experimenting lot

with their cooking habits and this is opening up of new food categories.

Restaurant Business

While consumers in the West spend nearly 46% of their food

expenditure on away from home meals, Indian consumers spend only

about 3% of their food expenditure in hotels and restaurants. However a

significant trend noticed in this group is that almost 8% of their wallet

share is spent on eating on at either a restaurant or a fast food joint,as

compared to other forms of entertainment.

Joint Venture with Blue Foods and food rite

With the intention of expanding the organized food and

restaurant business in the country, the company entered into a equal

joint venture with blue foods Pvt. Ltd and food rite. Through its PAN

India food solution private limited subsidiary. The alliance aims at

offering the best in Indian and multi cuisine preparations to Indian

public,capitalizing on the modern retail experience and customer

insights that Pantaloon provides coupled with Blue Foods reputation as

a pioneer in this business.

FINANCIAL PERFORMANCES

The growth in the retail sector was reflected in the financial results

of PRIL for 2005-06. For the year ended june 30, 2006, PRIL reported a

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total income of Rs.38.72 billion in 2008-09 pantaloon Retail (India)

Limited declared its unaudited financial result for the quarter ended

December 31, 2009 wherein the Net profit ( Rs 50.67 crore) increased by

51.1 percent for the quarter ; income from operation (Rs 1912.84 crore )

increased by 25.4 per cent ; and PBDIT ( Rs 205.46 crore ) increased by

29.4 per cent.

GROWTH AND DEVELOPMENT OF ORGANIZATION

Mr. Kishore Biyani

Managing Director (FUTURE GROUP)

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Company Name: Pantaloon Retail (India) Limited

Background: Founded in 1987 as a garment manufacturing company,

the company forayed into modern retail in august 1997 with the launch

of its first department store, pantaloons in Kolkata.

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Organization Design

The company follow an inverse pyramid structure; as a result

decisions are taken closest to the point of customer action. Sales executive

are encouraged to think customer first. They are empowered to run their

respective departments like 'small business owners'.

Pantaloon India's major retailers with presence in the following

two segments

1. Lifestyle Retailing - Pantaloons, Central, all, Blue sky.

2. Value Retailing - Big-Bazaar, Food Bazaar, Depot, Health village,

Fashion station.

Lifestyle retailing: The stores under this category primarily retail

non-food items such as - (apparel, footwear, accessories, cosmetic &

household products.)

Value retailing: The stores under this category retail mainly

food & household items.

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MAJOR INDIAN RETAILERS

The low-intensity entry of the diversified Mahindra Group into retail is

unique because it plans to focus on lifestyle products. The Mahindra group

is the fourth large Indian business group to enter the business of retail

after Reliance Industries Ltd, the Aditya Birla Group, and Bharti

Enterprises Ltd. The other three groups are focusing either on perishables

and groceries, or a range of products, or both.

RPG Retail-Formats:

Music World- Music World's product portfolio comprises of audio CDs,

DVDs and VCDs, CD-ROMs, gaming consoles & software of all the leading

brands, and other music accessories. The company is an important player

in the home video market.

Books & Beyond- books, encyclopaedia, novel etc.

Spencer’s Hyper- monthly groceries, weekly fresh and top ups, fashion

accessories, home care, toys, stationery, electricals, electronics and

garments

Spencer’s Super: - monthly groceries and weekly top up of fresh

requirements, deli, fresh meat, chicken and fish products, a bakery and a

café.

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Daily & Fresh:- groceries, fresh food, chilled and frozen products, bakery

items and weekly top up .

Pantaloon Retail-Formats:

Food & grocery (Big bazaar, Food bazaar), Home solutions (Hometown,

furniture bazaar, collection-i), consumer electronics (e-zone), shoes (shoe

factory), Books: music & gifts (Depot), Health & Beauty care services (Star,

Sitara and Health village in the pipeline), e-tailing (Futurbazaar.com),

entertainment (Bowling co.).

The Tata Group-Formats: Tata Group - operates Westside, a lifestyle

retail chain and Star India Bazaar - a hypermarket with a large assortment

of products at the lowest prices.

Landmark- India's largest book and music retailer.

Titan – watches, glasses (specks).

Tanishq- jewellery

Westside:- Menswear, Women’s wear, Kid’s wear, Footwear, Cosmetics,

Perfumes and Handbags, Household Accessories, lingerie, and Gifts

K Raheja Corp Group-Formats:

Shoppers’ Stop: - Menswear, Women’s wear, Kid’s wear, Footwear,

Cosmetics, Perfumes and Handbags, Household Accessories, lingerie, and

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Gifts

Crossword: - Books, Magazines, Music, Movies, Toys, Stationery, CD

ROMs Lifestyle International-Lifestyle, Home Centre, Max, Fun City and

International Franchise brand stores.

Pyramid Retail-Formats: Pyramid Megastore, TruMart

Nilgiri’s-Formats: Nilgiri's’ supermarket chain

Subhiksha-Formats: Subhiksha supermarket pharmacy and telecom

discount chain.

Trinethra- Formats: Fabmall supermarket chain and Fabc

Vishal Retail Group-Formats:

Vishal Mega Mart:- monthly groceries, weekly fresh and top ups, fashion

accessories, home care, toys, stationery, electricals, electronics and

garments

Reliance Retail-Formats: Reliance Fresh:- monthly groceries, weekly

fresh and top ups.

Reliance ADAG Retail-Format: Reliance World, reliance trendz:-

Menswear, Women’s wear, Kid’s wear, Footwear, Cosmetics, Perfumes and

Handbags, Household Accessories

Shoprite Holdings-Formats: Shoprite Hyper

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D mart : monthly groceries, weekly fresh and top ups, home care,

stationery, electricals, electronics .

Aditya birla:-

More:- monthly groceries, weekly fresh and top ups, home care,

stationery, electricals, electronics .

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DESCRIPTION OF LIVE EXPERIENCE

These are some of my live experiences and learning from the

store:

• As a trainee I gained enough experience particularly in relation

to the initial efforts such as floor designing, stores arrangement,

selling counters, billing & delivery counters.

• I got a first hand experience of the desirable effect team work. An

exposure to work with the immediate superiors and experienced

colleagues. And to learn the practical aspects of retailing, face to

face dealing with the customers.

• I learnt that relationship marketing, the essence of the successful

retailing is lesson to be learned step by step and continuously

everyday. Retailing provides these wonderful opportunities of

imbibing this vital quality of dealing with customers reaching up

to their expectations, as each customer leaves a clue that would

please customers.

I Learnt many things from store such as:-

• How offers and promotions are executed on floor to increase the

sales.

• How meetings are conducted successfully.

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• How to check daily sales and plan for targets smooth handling of

operation.

• How to handle pressure in difficult situations, keep benchmarks

and try to achieve that.

• Understanding the organization and the store objectives, pool all

resources together to achieve those objectives. Preparing

questionnaires and interacting with customers with a great

experience.

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P.C.M.C BIG BAZAAR

• The word hypermarket is derived from the French word

hypermarche, which is a combination of a supermarket and

department store

• The stores occupy an area which ranges from anywhere between

80,000 to 2,20,000 sq. ft. and offer a variety of food products like

clothes, jewellery, hardware, sports equipment, books, CD’s,

DVD’s, TV’s, electrical equipment and computers etc.

• This store is located in Pimpri Pune.

• Big Bazaar trying to provide customer with 3V’s

o Value

o Variety

o Volume

• Big Bazaar divides into three categories; such as

o Food Bazaar

o Apparels

o General Merchandise :- At Big Bazaar, you will definitely get

the best products at the best prices - that’s what we guarantee.

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Electrronics and

furniture

With the ever increasing array of private labels, it has opened

the doors into the world of fashion and general merchandise

including home furnishings, utensils, crockery, cutlery, sports

goods and much more at prices that will surprise you. General

merchandise is one of the most fascinating departments of big

bazaar.

It is divided into two parts

GENERAL MERCHANDISE

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o GENERAL HOME : - GM home basically cater the need of

daily home utility. This department include :

Plastic

Utensils

GM home has wide variety of home utility product. It has

various brand of product available under one roof. EDLP is also

one of the important aspect of GM home.

UTENSILS DEPARTMENT AT BIG BAZAAR

utensils department has wide variety of merchandise from gas

burner to steel utensils. Offers like 20% and 30% off often

attract customer to purchase product.it has inhouse brand like

Dreamline which is mostly purchased by customers.

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Car accesories

• The offer in Utensil Department, 1. Buy Nirlep Black Pearl 4 burner gas stove for Rs. 4995/- and get

goods worth Rs. 4170/- absolutely free. (1 Pressure cooker; 1 Non stick Tava; 1 Non stick Fry Pan with lid; 1 Non stick Fry Pan without lid; 1 Non Stick Kadhai and a 24pc Stainless Steel Dinner Set)

2. Buy 1 Non Stick Tava and get a 3 liter. Inner lid pressure cooker worth Rs. 595/- absolutely free.

3. Buy 1 Non Stick Fry Pan Rs. 589 and get Tava, kadhai, Gas Toaster and Tadka Pan worth Rs.1224 free

Big Bazaar has a punch line isse sastaa aur achha kahin nahinIt gives the high discount on the price like; Gas stove (20%, 25%, 35%) Non stick cookware (10%, 20%, 35%), buy one get one free plastics storage containers, buy one get one free plastics prince bucket etc.

4. Pressure cooker: - Jaipan, tuffware, prestige etc.

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PLASTIC DEPARTMENT AT BIG BAZAAR

This department has wide variety of plastic container. in

plastic department we have the many brand such as; cello,

milton, bluepast, dreamline, dew, creative, pearlpet,

pioneer, gala, homio, polyset, neelkamal etc. Recently big

bazaar has launched Dreamline cresols (hot pot) which has

become much popular because of its look design and quality.

• The offer in Plastic Department1. IMPORTED RANGE OF PLASTIC HOUSEHOLD CONTAINERS,

MICROWAVE COOKWARE & TABLEWARE Flat 40 % Off

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2. IMPORTED RANGE OF PLASTIC WATER /FRIDGE BOTTLE Buy 1 Get 1

3. ENTIRE RANGE OF PLASTIC BUCKETSBuy 1 Get 1

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GM FASHION

This department contain all those merchandise which are used for

fashion or used other than home utility. Brand, design, style has mostly

influence customer to purchase product. So department has to

accommodate with merchandise of branded as well as private level

brands to cater the need every class of people. Department has wide

variety and range of products. Discount offer like 20%, 30% and 50%

plays important role in attracting customer.

Department include:

LUGGAGE DEPARTMENT @ BIGBAZAAR

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GM FASHION

Car accessories

FootwearLuggage

StationaryToys

department

BRANDS AVAILABLE IN LUGGAGE DEPARTMENT:-

• MILESTONE

• VIP

• SAFARI

• AMERICAN TOURISTER

• TRACKER, etc.

FOOTWEAR DEPARTMENT AT BIG BAZAAR

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MENS

Formal Shoes Brands: - A) Branded

B) Private level brand

Branded: - DJ&C, Provogue, Franch Leone

Private level brands: - Knighthood, Neptune, Spalding,

Spunk, Picks etc.

Men fancy slippers:- Sach ,Spalding

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Casual shoes :- A) Branded

B) Private level brand

Branded: - DJ&C, ID, Numerono, Puma, and Leecouper etc.

Private level brand: - Spalding, All star etc

Sports:-A) Branded

B) Private level brand

Branded:-Reebok, Puma, Nike Addidas etc.

Private level brand: - Fairport, Fitness Jogger, Spunk etc

Ladies

Private level brand: - Shyla, leaf, spring, Haute&Spicy, Xe-

look, Hype etc

Kids sandal’s:-Disney, Fuel etc.

Ladies fancy slippers: - Sach

Kids shoes: - Liberty, Fitness Jogger etc.

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Stationary

DePOT is a chain of retail stores from Pantaloon Retail (India) Limited

(a part of Future Group), which sells books, gifts, stationary items.

Books available at DePOT span a diverse range of subjects including

fiction, general reference, management, kids, cookery, etc. It also has an

attractive range of gifts (candles, mugs, photo-frames, theme parks) toys

and stationery (office, children’s and fancy stationery). Depot stores

display the products in an informal setting, focusing of affordable

pricing. It aims at providing a localized, youthful, lively and interactive

retail experience to its customers.

Toys department:-

Toys department of general merchandise has wide variety of kid’s game

and toys. Toys department has wide range and variety of Soft toys ,

electronic toys, board games etc.it also international brand like Barbie

doll, batman series etc.

Major brand include Fun school, Mitashi, Flamingo,United,

creative, Venus

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RESEARCH OBJECTIVE

Primary objective:-

“To study the buying behaviour pattern of consumers in general

merchandise” in big bazaar.

Secondary objective:-

a) Swot analysis of general merchandise(Big bazaar)

b) To find out the current status of Big Bazaar.

c) To find out the customer response towards GM (Big

Bazaar).

d) To identify main competitors of (GM) Big Bazaar.

e) To study the satisfaction level of customer in GM.

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Electronic car, train etc.

Cricket bat, badminton

Board games

Soft toys, dollsS

Toys department

RESEARCH METHODOLOG

The objective of the study was to understand the buying behaviour

pattern of consumer in general merchandise.

Source and method of data collection:-

Collection of data

The task of data collection begins after a research problem has been

defined and research design chalked out. While deciding about the

method of data collection to be used for the study, two types of data

should be kept in mind .they are primary and secondary data .both type

of data are used in the report

1. Primary data sources

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They are those which are collected fresh and for the first time and thus

happen to be original in character.

Tool of data collection

1. Observation method

2. Reference of previous report

3. Interview method

4. Structured questionnaire

2. Secondary source:-

Secondary data are those which have already been collected and

which have already been passed through the statistical process,

secondary data can be collected from:

Books

Annual reports of the company

Journal and magazine

Internet

Newspaper

Research Design - Exploratory Research

Type of sampling method used:-

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The sampling procedure used here was non-probability convenience

sampling which helped in keeping the path of research in focus

throughout the work.

Target population:-

Individual between the age group of 15 to 70 years were chosen as

the target population .it is people under this age group who are

frequent visitors and shoppers to the big bazaar.

Sample size:

Since covering the entire population for the study was not feasible,

a sample of 250 customers was taken.

Sample element:-

The sample elements consisted of people who visit and shop from

big bazaar.

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Analysis and interpretation

Customer s monthly income

Higher income group 13

Middle income group 125

Lower income group 50

No income group 62

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Analysis: The above diagram shows the distribution of income level of

customers coming in to big bazaar. Among the 250 respondents 50% of

customers are of middle income level that is between Rs10000 – 40000

per month. Least number of customers visiting Big bazaar are the higher

income level people (> Rs.60000 pm) that constitute only 5%. The lower

income level of people coming to big bazaar constitutes of 20%. 25% of

people belong to no income group which mostly consists of students.

Interpretation: Big bazaar is the hub of shopping for middle level

income group people because of its reasonable price on its each product

category. The higher level income group people don’t prefer to do

shopping in big bazaar as it doesn’t deal with much of the branded

products. The higher level income group people are very status conscious

and their psychology is such type that they don’t prefer much to visit big

42 | P a g e

INCOME GROUP

5%

50%

20%

25%Higher Income

Group (> Rs.60000)

Middle IncomeGroup (Rs. 40000-60000)

Lower IncomeGroup(Rs.10000-40000)No Income Group

(< Rs.10000)

bazaar as it is a discounted store. The lower income group people come

in to big bazaar as they get goods at a discounted price. Hence big bazaar

should include branded products in its product category which will

encourage higher income group people to come in to big bazaar.

Customers visit Big Bazaar

Weekly 29% 73

Monthly 34% 85

Quarterly 23% 57

On unplanned basis 14% 35

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Interpretation:

From this I interpret that in big bazaar 34% customers visit monthly,

29% customer visit weekly 23% customers visit quarterly and 14%

customers visit on planned basis , it means mostly customers visit weekly

and monthly basis for purchase their requirements.

Apart from Big bazaar visit retail outlet

64%

36%

0%

10%

20%

30%

40%

50%

60%

70%

yes no

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Interpretation: From this I interpret that 64% customers of big bazaar

visit other retail stores for their requirements and 36% customers of big

bazaar generally do not visit other retail stores. It shows that customers

satisfaction level is more in big bazaar.

Products mostly purchased by customers in big bazaar

Clothes 60%

Grocery 70%

Food Item 50%

Leather Item 25%

Electronic Item 15%

Gift Item 10%

Any other Item 10%

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0% 20% 40% 60% 80%

Clothes

Grocery

Food Item

Leather Item

Electronic Item

Gift Item

Any other Item

Series1

Analysis: This chart clearly indicates that the demand for grocery that is

70% is highest by the customers followed by clothes rated 60%. The next

highest demand is for food items that is 50%. 25% demand is for leather

items in big bazaar. Electronic items holds 15% of demand and gift items

and other items has a demand of only 10% by the customers of big

bazaar.

Interpretation: From this analysis I interpret that customers demand

are high for grocery and clothes followed by food items in big bazaar.

Electronic items have a little demand by the customers. Gift items and

other items are not much in demand by the customers. I can interpret

that clothes, grocery and food items are the major products which hold

maximum number of customers. So big bazaar should maintain its low

pricing and product quality to keep hold of the customers.

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Expenditure pattern of customers coming in to big bazaar

Below Rs.500 /single visit 11%

500-1000 /single visit 16%

1000-1500 /single visit 22%

1500-2000 /single visit 22%

More than 2000 /single visit 29%

EXPENDITURE PATTERN

11%

16%

22%22%

29%Below 500

500-1000

1000-1500

1500-2000

More than 2000

Analysis: We can clearly see from this graph that majority of the

customers spend a lot in big bazaar that is 29% of people spend more

than Rs2000 in a single visit to big bazaar. Equal number of people that

is 22% of people each spend Rs 1000-1500 and Rs 1500-2000

respectively in a visit to big bazaar.16% of people spend Rs 500-1000

and only 11% of customers are there who spends less than Rs500 in their

visit to big bazaar.

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Interpretation: From this I interpret that most of the customers

purchase goods in bulk which leads them to spend a lot. Volume sales

are high in big bazaar. Customers tend to purchase more goods from big

bazaar as it provides goods at a discounted rate. Probably those persons

who spend more in a visit to big bazaar are purchasing on a monthly

basis. Those customers who are spending very less money that is below

Rs 500 are mostly coming in just to move around big bazaar and spend

time.

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Do you know about general merchandise department

Yes 90%

No 10%

Analysis :

1. We can clearly see from this graph that majority of the are

aware about the general merchandise department

2. 10% people are not aware about the department

Interpretation :- thus from graph we can interpret that consumer come

to GM for buying merchandise . as this department include all non food

essenytial goods. GM department attract customer through various

offers and scheme.

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If yes do you purchased footwear from GM

Analysis : 65% people comes to luggage department for purchasing

footwear. Whereas 35% never visit footwear department.

Interpretation:- from this we can interpret, footwear department of

Big bazaar attract customer to purchse footwear as it offers good quality

footwear at low price. Brand like Spunk ,knighthood and splading are in-

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Yes 65%

No 35%

house brand which is mostly purchased by consumer because of good

quality ,and design at lowest price. Footwear department also has big

brand of footwear like Puma, leecouper, ID etc. But footwear department

need to un tap rest customer by offering discount and standard quality

footwear

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Factor influencing buying decision while purchasing footwear

1) Quality 20%

2) Price 40%

3) Style 30%

4) Brand 10%

Analysis: - 20% of people are influenced by quality, 40% are influenced by price and

30% are influenced by style and deign of footwear.

Interpretation:- from this we can interpret that Footwear department has to

maintain quality as well as price to attract the customer . Footwear department has

various private level brands like fairport,spunk and spalding which has standard

quality and design . footwear department also has branded shoes to attract customer.

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Rank the attribute according to satisfaction level

Price 50%

Durability 17%

Variety 15%

Looks and comfort 18%

50%

17% 15% 18%

0%

10%

20%

30%

40%

50%

60%

price durability variety looks

factor

price

durability

variety

looks

Analysis:- 50% people give priority to price ,while 17% give priority to

durability. 15 % and 18% to looks.

Interpretation:- this indicates that price is the main attribute which often affect

the buying decision of consumer. As in big bazaar merchandise are sold at low

price so consumer give more priority to price than other thing

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GM footwear serves the purpose of providing footwear of

consumer choice

Strongly agree 35%

Agree 35%

Disagree 20%

Strongly disagree 10%

Analy sis :- 70% people agree on this statement and while 30% do not agree.

Interpretation:- from this we can interpret that 70% of the customers are

satisfied with the footwear department. Footwear department fulfil the

demand of customer by giving footwear at lowest price and of best quality.

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b) Purchased luggage from luggage department

Yes 70%

No 30%

Analysis:- 70% of people purchased luggage from luggage while 30% of person

never purchased.

Interpretation :- from this we can interpret that 70% of consumer are attracted by

the luggage department because of branded and wide range of luggage present in

luggage section. Even discount offer like 30% and 50% attract customer to purchase

luggage. Luggage department offers lowest price than retail outlet existing outside

the big bazaar. while 30% never purchase luggage from big bazaar. Hence luggage

department must attract these customers.

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If yes which brand purchased

Milestone 15%

American tourister 30%

V.I.P 20%

Samsonite 10%

Safari 25%

Analysis : from the graph we can conclude that most of the customer

purchase branded luggage from luggage department. Luggage

department must promote inhouse brand (milestone) to attract

customer.

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Satisfied with the variety offered by luggage department

Strongly agree 35%

Agree 45%

Disagree 10%

Strongly disagree 10%

Analysis : 80% of customer thinks that luggage department fulfil

demand of customer. While 20% of people are unsatisfied

Interpretation:- luggage department offers wide range of luggage at very

low price so consumer purchase luggage from luggage department.

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d) plastic and utensils

Purchased any product from plastic and utensils department

Yes 93%

No 7%

Analysis :- from graph it is clear that 93% of people prefer to purchase

merchandise from plastic and utensils while 7% never purchase from

plastic and utensils.

Interpretation: - from this we can interpret that plastic and utensil

department offers product (home utility) in wide range and at lowest

price.

Product available in plastic and utensil are

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Excellent 45%

Good 35%

Bad 15%

Very bad 5%

Analysis :- from graph we can say that 80% of customer are satisfied

with the product offer in plastic and utensils while 20% are not

satisfied.

Interpretation:- from this we can interpret that big bazaar offer huge

discount and offers on the utensil and plastic.

d) Stationary department

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Purchased stationary from stationary department

yes 75%

No 25%

Interpretation :- from this we can interpret that 75% comes to

stationary department for shopping while 25% never do shopping in

stationary department. Stationary department has wide variety of

product for children and office item.

Satisfied with the availability of product

in stationary department

60 | P a g e

Strongly agree 45%

Agree 35%

Disagree 10%

Strongly disagree 10%

Interpretation:-from this we can interpret that 80% of the customer are

satisfied with the stationary department. They are satisfied with the wide

range at low price. Discount offered during back to school and price

challenge are attracting.

Product Mostly purchase merchandise from stationary department

Stationary 60%

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Gifts 5%

Books 10%

Office use items 25%

Interpretation:- from this we can interpret people come to this

department for buying stationary product.

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Comparison of GM of Big bazaar with others Organized retailers

based on following points

Price Service Variety Quality Convenience

Shopping

Experience Ambience

GM(BB) 45% 50% 55% 52% 54% 46% 58%

O. Org. Retails 55% 50% 45% 48% 46% 54% 42%

Interpretation: I interpreted from this that other organized stores is

another competitors of GM big bazaar. It is a threat for GM big bazaar as

some of the attributes of other organized stores store provides more

satisfaction to customers. GM Big bazaar should try to improve on each

of its attributes and out compete the other organized stores.

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SWOT ANALYSIS OF BIG BAZAAR

A SWOT analysis is done to know the strengths, weaknesses,

opportunities and threats of any company. This analysis will explain

about the strengths, weaknesses, opportunities and threats of GM at big

bazaar.

Strength

• Large variety of product available in GM

• Discounts and offers• Huge customer Base• Availability of branded

product

Weakness

• Unable to tap the entire region across Chinchwad and Pimpri.

• Unavailability of separate cash counter in GM department

• Customers’ negative perception about the private level brand

Threat

• Opening up of other discounted stores like shoes express, D mart ,local retail store , Reebok, Addidas, woodland etc.

• Convenience of customers to nearby retail shop.

• Availability of products in other retail outlets

Opportunity

• MIDC region has largest density of population

• Private level brand like spunk, milestone are becoming popular

• To bring in the customers of other retail outlet by dealing with branded products

• Increase in standard of living of people and preference

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FINDING AND SUGGESTIONS

1. Generally youth and women are the main customers at big bazaar.

2. Electronic media has a great impact on customers. Electronic media

help in making people aware about new products and offers

3. The availability of all products under one roof of GM and nearby their

house helps customer to shop weekly and shop fresh every time.

5. Mega events like great Indian shopping festival has great impact in

attracting customer to purchase more and more.

6. Customer are more attracted toward discount and offer including gift .

7. Signage and display helps in attracting customer to purchase more

and more.

8. Offers and promotional scheme helps in add on sales.

9. Availability of branded and private level brand like milestone, spunk,

Dreamline helps in catering every section of people.

10. Big bazaar follow rule of GAPACT

G- Greeting the customerA-approach the customerP-purpose about the productA-Add on salesC- closing the dealT-thanks

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SUGGESTION

1. General merchandise constitute number of departments so cash

counter should be added up in the section to reduce problem of billing.

2. Queue process management should be made good.

3. During weekend customer often feel problem of trolley’s so trolley

should be properly managed to get rid of trolly problem.

4. Damaged product should be replaced because it gives bad impact to

other product kept on the shelf.

5. Big bazaar should include more of branded products in its product

category so as to attract the brand choosy people to come in to big

bazaar.

6. Employee should be given training time to time. The service of the

sales person is needed to be improved. Personal care should be taken by

the sales person for the customers so that the customers feel good.

8. It was observed most of the customers were not aware about the offer

and scheme going in the store .so proper communication should be made

to mke customer aware about the offer and discount.

9. Customer often face problem of unavailability of product like shoes,

folder, different size of pressure cooker etc. so product should be made

available in stock so that customer should not face problem of stock out.

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RECOMMENDATION

1. It is recommended that Big Bazaar must develop effective CRM tool to

survive in the market and to attract more and more customer for

example if GM of Big bazaar is launching new trolley or shoes then it

should be informed to customer about the particular product.

2. Big Bazaar must perform demonstration new products to make

customers aware and create trust among them.

3. General merchandise has number of departments so staff number

should be increased to serve customer during weekend and big days.

4. Often many of the product are not sold because of low visibility, high

price so, the product should be properly displayed and discount should

be given to attract the customer to purchase the product. For example

many product present in stationary department are placed at the corner

which is not purchased by customer due to high price.

5. Proper signage should be there so that customer can locate the

products easily.

6. To increase more footfalls more promotional activities must be carried

out either offer more discount or increase advertisement.

9. Promotion of big bazaar should be made in society by conducting free

distribution of sample and other activity.

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10. Private level branded should be durable and give value to the

customer money.

11. Allowing more space between the entrance of store and product allow

customer to spend more time and buy more.

12. Exhibit their new line of footwear, luggage, untensil through events

like fashion show.

13. Make some arrangement for any new scheme or offer such as queue

system management so crowd can be controlled during big days.

14. Waiting time should be short enough.

15. During the off peak hour’s big bazaar should provide some offers to

its customers so that people would be encouraged to come to big bazaar

during off peak hours. The customers who are present in the mall during

the off peak hours of big bazaar will definitely go in to big bazaar if

surprise offers are made at that time.

16. Customer care department is needed to take proper care of customer

complaints and queries. For example: - warranty on certain product like

non- stick cookware, shoes.

CONCLUSION

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Big bazaar is a major shopping complex for today’s customers. It is a

place where customers find variety of products at a reasonable price. Big

bazaar has a good reputation of itself in the market. It has positioned

itself in the market as a discounted store. It holds a huge customer base.

The majority of customers belong to middle class family. The youth

generation also likes shopping and moving around big bazaar. Volume

sales always take place in big bazaar. Impulse buying behaviour of

customers comes in to play most of the times in big bazaar.

GM department of big bazaar provides various kinds of goods like

stationary, luggage, footwear, toys, plastic and utensils leather items,

crockery, decorative items, sport items, many more. It competes with all

the specialty stores of different products which provide goods at a

discounted rate all through the year. It holds a large customer base and it

seemed from the study that the customers are quite satisfied with Big

bazaar. Private brand like Milestone, Dreamline, Spunk are accepted by

consumer due to good quality and reasonable price.

The report reveals that there is huge scope for the growth of organised

retailing and improvement of big bazaar P.C.M.C in Pune. Target

achieved every week show that movement of product is good. Aggressive

marketing is the key to increase market share in this area. Since market

is still untapped. Big bazaar uses SAP, DOT, REM, RFID technology.

Discount and scehme decision are taken by the headquarters and new

product is added time to time by the direction of category management.

GM department should manage their merchandise in such a way that

they must be accepted by customer.

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LIMITATION OF THE STUDY

Certain limitation do creep in research study due to constraints of the

time, money human efforts, the present study is also not free from

certain limitation, which were unavoidable. Although all efforts were

taken to make the result of the work as accurate as possible as survey but

the survey have following

1. Some customer was not willing to giving proper response.

2. Due to very large size of the population, only a selected sample of

customer could be contacted.

3. Some of respondents were not co-operative they didn’t provide some

of the details.

4. Language barrier was also one of the main reasons.

5. As per company rule many information was not disclose as the

manager were busy in their daily schedule. It was not possible for us to

spend more time in interaction with them.

6. Personal biases might have come while answer the question.

ANNEXURE(S)70 | P a g e

Questionnaire

Name: -___________________ Age: -

Gender: - Ph.

Address: -________________ occupation : -

What’s your monthly income?

a) Below 10,000

b) 20,000 – 40,000

c) 40,000 – 60,000

d) More than 60,000

1.How frequently do you visit Big Bazaar?

a) Weekly

b) Monthly

c) Quarterly

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

2.(a). 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

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2. What type of products do you mostly purchase in Big Bazaar?

a) Cloths

b) Grocery

c) Food Item

d) Leather Item

e) Electronic Item

f) Gift Item

g) Any other Item

3. On an average how much amount of money do you spend in a visit to

Big Bazaar?

a) Below 500

b) 500 – 1000

c) 1000 – 1500

d) 1500 – 2000

e) More than 2000

4. Do you know about general merchandise department at Big bazaar?

Yes No

Footwear

4 a) If yes do you purchase footwear from footwear department?

a) Always b) Sometime c) No

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4 b) which factor influence your buying decision while purchasing

footwear?

a) Quality

b) Price

c) Style

d) Brand

e) Not applicable

4 c) Rank the attribute according to your satisfaction level?

a) Price b) durability c) variety d) looks and comfort

4 d) do you think GM footwear department of Big bazaar serves the

purpose of providing you footwear of your choice?

a) Strongly agree

b) Agree

c) Disagree

d) Strongly disagree

Luggage

5 a) have you purchased any luggage from Luggage department ?

a)Yes b) no

5 b) if yes which luggage brand you have purchased?

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a) Milestone b) American tourister c) V.I.P d) Samsonite e) safari

5 c) Are you Satisfied with the variety offered by luggage department

a) Strongly agree

b) Agree

c) Disagree

d) Strongly disagree

5 d) what factor influence you to purchase luggage from luggage section?

a) Discount b) quality c) design d) brand

Plastic and utensils

6 a) Have you purchased any product plastic and utensils department ?

a) yes b) no c) not applicable

b) Product available in plastic and utensil are!!

a) Excellent b) Good c) Bad d) Very bad

Stationary department

7 a) have you purchased any product from stationary department ?

a) Yes b) no

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b) Satisfied with the availability of product in stationary department

a) Strongly agree b) Agree c) Disagree d)

Strongly disagree

c) What type product you mostly purchase from stationary department?

a) Stationary b) Gifts c) Books d) Office use

items

8. Compare others organized retail stores with GM at Big Bazaar on the following parameters.

a) Price

1.GM(BB) II. Others Organized Retailer

b) Service

1.GM(BB) II. Others Organized Retailer

c) Variety

1.GM(BB) II. Others Organized Retailer

d) Quality

1.GM(BB) II. Others Organized Retailer

e) Convenience

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1.GM(GM) II. Others Organized Retailer

f) Shopping Experience

1.GM(BB) II. Others Organized Retailer

g) Ambience

1.GM(BB) II. Others Organized Retailer

THANK YOU

BIBIOGRAPHY

BOOKS76 | P a g e

1. Kotler Philip, marketing management, (Pearson education, 12th

edition).

2. Prof.M.V. Kulkarni , Research methodolgy

INTERNET WEB PAGE

• Bigbazaar.co.in

• Organizedretail.co.in

• Retail seminar. In

• Literature review on Big Bazaar.com

• Retailing.co.in

• Pantaloon.com

• Futuresbazaar.com

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