Big Bazaar Case Study 1
Big Bazaar Case Study 1
Big Bazaar Case Study 1
Introduction.
It Happened in India.
Big Bazaar.
Marketing Techniques used by Big Bazaar.
Loyalty Program in Big Bazaar.
Different Retail Marketing Schemes Offered By Big
Bazar.
Customer Services of Big Bazaar.
Basic Marketing Strategy of Big Bazaar.
Core Values in Big Bazaar.
Different Customer services.
Customer Relationship Management of Big Bazaar.
Innovative Management Practices of Big Bazaar.
Strategic Objectives of the Company.
Innovative Marketing Strategies of Big-Bazaar.
Impact of Big Bazaar on the Consumers Retailers.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Introduction:
The Indian retail market is growing at a very fast pace of
about 20 per cent and has a market size of US$ 500 billion. The
retail sector is the second largest employer after agriculture. The
retail industry alone managed to generate more than 35 million job
opportunities. The Indian retail industry is segregated into two
sectors: organized and unorganized retailing.1 Organized retailing
comprises of those kind of trading activities which are undertaken
by retailers who are registered for sales tax, Income tax etc.
Corporate backed hypermarkets, retail chains, privately owned
large retail businesses are some of the examples of organized
retailing. Unorganized retailing mainly comprises of local kirana
shops; owner managed general stores, street vendors, convenience
stores etc. However now it can be seen that traditional markets are
paving way for development of departmental stores, supermarkets,
specialty stores. Shopping from malls and buying branded
products is also gaining momentum. Inspite of all this Indian retail
sector is mainly dominated by unorganized segment with 95 per
cent. The reason for this being deep penetration of this sector in
the rural areas and large number of Big Bazar stores in the urban
areas.
It Happened in India:
Growing up in a joint family, Kishore Biyani was expected to
eventually follow his father and uncles and join their textile mill
business. However, Kishore Biyani was always a bit different, even
while young. He wanted to try something different. He classifies
entrepreneurs into three classes, creators, preservers and
destroyers. His family belonged to the preserver category, while he
wanted to be a creator. He was willing to experiment and take
risks. He wanted to create a readymade apparel brand. The idea
was conceived in the 1980s, and after some initial setbacks, he
established the Pantaloon Shoppe. Later, he thought of starting a
hypermarket retail chain, but was doubtful if the western model
would work in India, considering the Indian shopper’s psyche.
Then, he visited the ‘Saravana Stores’ in Chennai, and observed its
popularity among customers. He decided to use this as a model.
But his vision and model differed a lot from the Chennai based
retail chain. The Saravana Stores is a conservative family business.
The retail chain Biyani set up, Big Bazaar, is not. Also, Big
Bazaar expanded rapidly to establish branches all across the
country. It is now India’s largest hypermarket chain. In It
Happened in India, Kishore Biyani identifies three types of Indian
customers. India is the elite class, the high spenders. He targets the
next category. The middle class who make up a major chunk of the
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Big Bazaar:
Pantaloon Retail (India) Limited was incorporated as Manz
Wear Private Limited in the year 1987. It became a public limited
company in 1991 and was renamed Pantaloon Fashions (India)
Limited and then Pantaloon Retail (India) Limited in 1999. Over
the years the company has accelerated growth through its ability to
manage change. It integrated backwards into garment
manufacturing and expanded its retail network at the same time. It
launched three successful brands – Pantaloon trouser bar denims
and John Miller shirts between 1987 and 1993. The company
introduced the concept of The Pantaloon Shoppe, an exclusive
men’s wear retail store, which expanded across India from 1994-
1998 . In the year 1997, Pantaloon moved to large format lifestyle
retailing with the launch of Pantaloons India’s family Store.
Pantaloon has grown to a 29 store network and occupies 2,63,000
sq ft of the retail space. They contributed Rs 174 crores to the total
turnover of the company.4
Big Bazaar include "Saal Ke Sabse Saste Teen Din", Future Card
(the card offers 3% discount), Shakti Card, etc.
Brand Image:
“Is se sasta aur accha kahin nahi” Nothing captures the
spirit of Big Bazaar better than this one line. It is a simple
statement and yet it positioned at the top of Indian customers
mind. It shows that big bazaar was built on the foundation of
entrepreneurship and simplicity. They believe in service and value
for the customers. They consider that it is their only duty to keep
customer in mind at every step; they go that extra mile and buy
directly from source in bulk so that they can get best rates by
keeping the margin low.
Merchandise:
Main objective of the store layout is to maximize the interface
between customers and merchandise. It provides easy accessibility
to the customers to view the offerings of the store. Layout of the
store has been strategically designed in order to make effective use
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Chapter No. 05: Big Bazaar: Innovative Retail Marketing Practices. Page 200
A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Customers can test those new items on free of cost and if they
like it then make purchase of it. In short customers can trail a
new product. Big bazaar has tie up with those products so that
this can be possible. Big Bazaar has provided sampling for
Nescafe, nimbooz, 7 up a new product of PepsiCo, act to pop
corn etc.
Vision:
To deliver Everything, Everywhere, Every time for every time
for Every Indian consumer in the most profitable manner.
Mission:
We share the vision and belief that our customers and
stakeholders shall be served only by creating and executing
future scenarios in the consumption space leading to economic
development.
We will be the trendsetters in evolving delivery formats,
creating retail realty, making consumption affordable for all
customer segments – for classes and for masses.
We shall infuse Indian brands with confidence and renewed
ambition.
We shall be efficient, cost- conscious and committed to quality
in whatever we do.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Quality policy:
All products sold at Big Bazaar are guaranteed to be at good
price and of good quality.
Price guarantee:
If within two days of purchase, you find a product of same
brand /quality available at a lesser price, please bring back to us
within ten days along with cash memo and we will give you a gift
voucher which will be of DOUBLE the value of the price difference.
Infrastructure Facilities:
A typical Big Bazaar store usually consists of 2-3 floors. The
Back office is situated at the ground floor. The Big Bazaar stores
are fully air conditioned and are equipped with music facilities,
escalators, Parking facilities.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Price Mix:
Value Pricing.
Promotional Pricing.
Low Interest Financing.
Psychological Discounting.
Special Event Pricing.
Differentiated Pricing.
Time Pricing.
Bundling.
Place Mix:
Initially Identifies Future/Potential development areas.
Acquire such areas at an early phase before the real estate
value booms.
Located at high traffic areas.
Design to look crowded.
Promotion Mix:
“Saal Ke Sabse Saste 3 Din”
Future Card (3%Discount)
Advertising (Print ads, TV Ads, Radio)
Brand Endorsement by M.S Dhoni
Exchange Offer.
Weekend Discount.
Point of Purchase Promotion.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
who praise the Big Bazaar and encourage others to buy from it. The
ultimate challenge is to convert these advocates into partners
where the customers and the clients work actively together to
discover ways of getting mutual benefit. Thus in CRM the key
performance figure is not just current market share but share of
life time value by converting customers into partners. In CRM the
Big Bazaar identified that small percentage of key account holders
whose contribution to the Big Bazaar revenues is high. So from this
point of view, CRM is also known as key account management.6
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Exterior Signs:
An effective sign is a silent sales person. A sign must attract
attention of customers in less than ten seconds and should convey
what the business is and what it has to sell. The size of the letter
used in signs should be large enough to be read from a distant
place. Elegant design and expensive sign material will convey a
business of luxury goods and services. A design of the sign conveys
a great deal about the business. Signs can also be used to target a
specific market segment such as youth, women, singles etc. Logo is
also very important and plays a major role in attracting customers.
They should be unique and noticeable. To put it in simple words
simple brief, well designed, well lettered and easy to read signs will
attract more customers and convey a feeling of welcome to the
customers. A stores signs is its identity. It is with the sign that the
public recognize the store. Hence it should create an image that
can be consistently carried out as an identity of the store.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Marquees:
Marquees are special type of signs used to display stores
name. Effective marquees should be designed so as it is different
from others and attracts the attention of customers.
Banners:
Banners are economical but colorful and eye catching means
of promotion. They can be changed frequently to create different
appearances which will in turn attract customers to the store. It
will be more effective when the colour scheme and design concept
used in the banners are the same as what is used in the store, on
promotional materials and newspaper ads.
Window Displays:
The display at shop windows is becoming increasingly
popular as far as visual merchandising stands. Changing window
displays to suit themes and moods and seasons is gaining
popularity. Special emphasis has to be placed on a store’s window
displays because they are the information link to the potential
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Interior Presentation:
Selling space is the most important part of a store and
therefore, efforts to utilize each square foot will help to maximize
sales. When planning interior displays, it should be kept in mind
that the theme and image presented on the exterior must be
carried throughout the interior of the store to provide consistency
for the customer. The purpose of interior display is to develop
desire for the merchandise, show what is available, and encourage
both impulse and planned buying. Three major goals of a store
should be to motivate the customer to spend money, project the
image of the store and keep expenses to a minimum. Well-
designed displays and in-store promotions are essentials for a
consistent theme and to help the customer find advertised items.
Display Design:
An effective way of attracting customers to a store is by
having good displays, both exterior and interior. A customer will be
attracted to a display within three to eight seconds, which is the
time a customer spends to determine interest in a product. Every
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Use of music:
The store image and the mood of the customers can be
changed dramatically by the use of music. Music establishes
moods, helps to motivate the subconscious mind and create long
lasting impression on the customers. Specific music for particular
merchandise can create a good shopping experience and can be an
important tool for creating a brand.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
definitely get the best products at the best prices - that’s what they
guarantee. 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. Big Bazaar plans to add much more to complete their
customers shopping experience.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Weaknesses:
Overcrowded: During offers, promotions and even on
weekends the place is overcrowded with people and sometime
even there is the situation of closing the store due to it.
Opportunities:
Big Bazaar can enter into production of various products due
to its in depth understanding of customers’ tastes and preferences.
Nowadays people prefer going to one big store and buy everything
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
Threats:
High business risk involved: Big Bazaar investment is
very large so it is obvious that there is high business risk
involved.
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
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A Study of Innovative Marketing Practices In Retail Marketing Sector with
Special Reference to Big Bazaars in Maharashtra State. 2015
References:
1. Puneeet Shweta (2008) - Technology The Heart of
Organized Retail - Marketing Mastermind, May, p.p. 45-48.
2. Kishore Biyani (2007) - It Happened in India: The Story of
Pantaloons, Big Bazaar, Central and the Great Indian
Consumer - Rupa Publication, Mumbai.
3. Interview: Kishore Biyani, CEO, Future Group -
http://www.bestmediainfo.com
4. Kumar, V., (2010) - Promotional Strategy of Big Bazaar &
Maintaining the image in Retailing. [Online] -
http://www.skylinecollege.com
5. Gupta, N., (2010) - Big Bazaar Maha Bachat -
http://www.indiasummary.com
6. Pandey Sanjay and Henry Amit Stieve (2013) - A study on
customer relationship management (CRM) with reference to
Big Bazaar in Bilaspur City - International Journal of
Management, IT and Engineering, Volume 3, Issue 8
7. Sujith Potu (2010) - Impact Of Visual Merchandising On
Sales At Big Bazaar, Hubli - SCMS Campus, Prathap Nagar,
Muttom, Aluva, Cochin
8. Chetan Bajaj et al (2008) - Retail Management -
Oxford Publishers, New Delhi.
9. Sunder K Shyama & Ramji (2000) – Coming Closer to the
Customer - Indian Management, December. p.p. 49-51.
10. Banerjee Arindam (2002) - Roadmap for Successful CRM
Implementation - Indian Management, July, p.p. 48-52.
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