Project on Private label product in Food Bazaar

Mentor Abhishek Singh Store manager BB, Deoghar

Submitted by Sumit jha future Innoversity Kolkata, West Bengal

ACKNLOWEDGEMENT
The project of this magnitude would not have been completed by me alone. Firstly, there are many other people without whom the completion of this project would not have been possible. Some have contributed towards this directly while other has provided their indirect guidance and support. It gives me immense pleasure to thank Mr.Abhishek singh. (Store Manager) and Mr. Manash ray (HR) for providing me training in his reputed organization and giving me a chance to have the experience of actual retail operations. I am indebted to Mr.Islam Mubarak (Asst.Department Manager) of FOOD BAZAAR for his guidance and cooperation in completing this project. Last but not the least I would like to convey my heartiest gratitude to all team members and team leaders of BIG BAZAAR Deoghar who helped me a lot for successful completion of this project report.

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.

Sumit kumar jha Mba retail services Future innoversity

Place Deoghar

INDEX
Introduction Private label product in food bazaar Private labels in food bazaar Benefits of private label products Depth of private label by retailers Consumer survey Pattern of shopping Brand purchase A look on internet poll Findings and suggestions

INTRODUCTION
Food Bazaar comes with a slogan

Ab Ghar Chalaana Kitna Aasaan

Food Bazaar invites you for a shopping experience, unique by its ambience. At Food Bazaar you will find a hitherto unseen blend of a typical Indian Bazaar and International supermarket atmosphere. Food Bazaar is a chain of large supermarkets with a difference, where the best of Western and Indian values have been put together to ensure your satisfaction and comfort while shopping. The western values of convenience, cleanliness and hygiene are offered through pre packed commodities and the Indian values of "See-Touch-Feel" are offered through the bazaar-like atmosphere created by displaying staples out in the

Open, all at very economical and affordable prices without any compromise on quality. The best of everything offered with a seal of freshness and purity will definitely make your final buying decision a lot easier. Food Bazaar is divided into four sections in Big Bazaar Deoghar 1.Food (FMCG) 2.Non food (FMCG) 3.Staples section 4.Farm fresh Food (FMCG) includes departments such as: Fit and healthy Chef zone Hungry kya Chill station different sub

Non food (FMCG) includes departments such as: Speak and spine Mens grooming Head to toe

different

sub

Staples section is also known as GOLDEN HARVEST in Big Bazaar. Staples section contains of cereals, dry fruits, pulses, flour, spices, sugar &salt, cooking medium. Farm fresh is also important part of food bazaar which contains of fruits and vegetables

PRIVATE LABEL PRODUCT IN FOOD BAZAAR

Retailers own brands are making rapid gain across consumer product segments in the booming modern retail industry, weakening several established brands power to negotiate lower trade margins. Leading the charge is the country's largest retailer Future Group, whose private brands have been outselling some of the country's best-known brands in select categories across 200-plus Big Bazaar and Food Bazaar outlets. In Big Bazaar stores, private labels such as Clean Mate and Tasty Treat outsell national brands such as Domex, Pril and Bambino, and own brands lead the sales in at least four product segments. Future Group had boycotted chocolate maker Cadbury in 2008, and the following year it boycotted cereal maker Kellogg's brands across its Food Bazaar for higher margins.

PRIVATE LABELS IN FOOD BAZAAR

Tasty treat Clean mate Fresh an pure Sach Care mate Ektaa Golden harvest Chuckles Prarthana

BENIFITS OF PRIVATE LABEL PRODUCTS

Private brand

levels and

provide

an

opportunity retail the in

to

differentiate

from offer

existing variety

stores product

category. They help in gaining customer loyalty in the situation where one can avoid comparisons. Private label products act as agent of goodwill generation. It also gives store an opportunity to gain positive control over inventory and better bargaining option in the economy. Private label products also help the store to make high profit margins which boost stores bottom line performance. It also gives freedom for designing and creating own marketing plan for private label so that we can beat competitors in the market.

In a retail store we use to see more and more private labels products because selling in house brands in a retail store gives more margins and help to generate more profit which also helps in increasing loyalty among the customers. Future groups Food bazaar is

Planning to increase the basket of private label products sold at Big Bazaar, the hypermarket format from the retail major. Private labels currently contribute 12- 14% of business. The goal is to increase it to 25% over the next few years. In Big Bazaar Deoghar I have analyzed that the sale of private label product is less if compared to other brands. Its because people did not have an idea about ours private label brand products. In a survey conducted by me during my internship at Deoghar Big Bazaar I found that many of the customers did not have private label brand knowledge and also after making them aware about our private label brand I found customers neglecting these products.

CONSUMER SURVEY

Sample size: - 50

Sex ratio: - 50:50

Location: - Deoghar big bazaar The survey was based I on a set to of the

questionnaire

which

asked

customers on the day when we had the sampling of private label products in our store. The data which I collected after questioning the customers helped me to generate this report from it.

PRIVATE LABEL BRAND KNOWLEDGE

YES 20%

NO 80%

After having a round of questionnaire with customers I get to know that more than majority of people dont even know about our private label brand products.

PATTERN OF SHOPPING
In the second round of questioner, I hunted for pattern of shopping customers follow in their daily life. The fact was unbelievable that less than more than 70% of consumers buy general items they dont even have any consideration about any of the brands available in the store.

SHOPPING PATTERN OF CUSTOMERS

SPECIFIC BRAND 30%

GENERAL SHOPPING 70%

BRAND PURCHASE
In brand purchase I have written about different customers interests in different private label products. This data i have collected from the set of people having the private label brand knowledge with them. These customers were interested in private label products because they find its price is

lower and in a lower price they are getting some branded product.

10 9 8 7 6 5 4 3 2 1 0 CARE MATE CLEAN MATE FRESH AN PURE SACH TASTY TREAT

A LOOK ON INTERNET POLL ORGANISED BY plug.In.com

FINDINGS AND SUGGESTIONS

Customers are generally wary of straying away from their usually followed manufacturers brand.

Apart from this most of the shoppers are not aware of better choice, quality and price offered by retailers private brand products.

The customers still consider private label as poor cousins of manufacturers brand, compromising upon quality.

The manufacturers should work on the negatives of their brand so that customers can be loyal to the private label brand products.