Presented By-

Apeksha Bhat (17)

Group 7 – Big Bazaar Gurpreet Singh (22)

Sonali Jaju (28)

Vs Dmart
Nikunj Katkoria (38)
Shaili Baranwal (50)
Vrushali Avhad (60)
Role of Macro Environment in Retail Industry
• The macro environment includes economic, technological, societal and governmental influences
Government:
1) Laws, regulations and other government policies can
have a number of positive or negative effects on the
retail industry.
2) Government assistance, such as government-backed
loans and subsidies, can help fledgling retailers grow or
allow an established company to keep costs low for
consumers.
3) However, government policies can also hinder
businesses by imposing regulations that increase costs
Technology:
1) Technology not only creates new products for retail
companies to sell, but also plays a major role in changing the
way retail companies do business.
2) Barcoding and computerized billing systems have improved
the retail industry by allowing retailers to develop new
processes that increase efficiency.
3) Point-of-sale systems increase sales by allowing retailers to
process cash, check, credit- and debit-card payments.
Role of Macro Environment in Retail Industry

Economic: Social:
1) Retail sales are driven by the economic environment 1) Changes in social values and trends impact the goods
2) A robust economy correlates to an increase in retailers sell and how retailers relate to consumers
consumers' disposable income, increasing sales and
2) The retail industry is often under pressure to develop and
allowing retailers to sell more valuable goods, such as
implement socially responsible business practices, such as
high-end electronics
selling environmentally-friendly products, placing warnings or
3) On the other hand, a sluggish economy decreases
restrictions on potentially harmful goods, and removing
consumer confidence and can cause people to spend
recalled or controversial products from the shelves.
less, leading to declining sales and forcing retailers to
lower prices
 Role of Micro Environment in Retail Industry
The micro environment includes suppliers, intermediaries, customers and competitors
Suppliers:
1) Developments in the ‘suppliers’ environment can have
a substantial impact on the retailer’s marketing
operations
2) Supply shortages and other events can prevent
fulfilling delivery promises and lose sales in the short
run and damage customer goodwill in the long run
Intermediaries:
1) Intermediaries are firms that aid the retail shop in
promoting selling and distributing its goods to final buyers
2) Marketing service agencies-marketing research firms,
advertising agencies, media firms and marketing consulting
firms – assist the retailer in targeting and promoting its
products to the right markets
3) Financial intermediaries include banks, credit companies,
insurance companies and other companies that help finance
firm and / or insure risk associated with the buying and selling
goods
Role of Micro Environment in Retail Industry
Customers:
1) Customers have the most direct microeconomic
impact on a business
2) A retailer links himself with suppliers and middlemen,
so that he can efficiently supply appropriate products
and services to its target market
Competition:
1) The level of competition also impacts your economic livelihood
2) A retailer rarely stands alone in its effort to serve a given customer
market. His efforts to build an efficient marketing system to serve the
market are matched by similar efforts on the part of others.
3) The retailer’s marketing system is surrounded and affected by a host of
competitors. These competitors have to be identified, monitored to
capture and maintain customer loyalty.
 Competition
Rank Retailer No. of Stores Owned Sales in FY14-15 US$ Millions
1 Wall-Mart Stores Inc. (USA) 4178 $180,787
2 Carrefour Group (France) 8130 $61,047
3 The Kroger Co. (USA) 3445 $49,000
4 The Home Depot Inc. (USA) 1134 $45,738
5 Royal Ahold (Neatherlands) 7150 $45,729
6 Metro AG (Germany) 2169 $44,189
7 Kmart Corporation (USA) 2105 $37,028
8 Sears, Roebuck and Co. (USA) 2231 $36, 823
9 Albertson’s Inc. (USA) 2512 $36,726
10 Target Corporation (USA) 1307 $36,362
Marketing Goals of Big Bazaar
• To attract more and more customers at their
store

• Take down competitors by long series of minor

attacks

• Guerrilla Marketing – Attack, retreat, hide –

then do it again, and again until the competitor
moves on to other markets
Competitive advantage of BigBazaar
Variety of Merchandises
Customer shopping experience
Attractive sales
Loyalty programs
Location and no. of outlets
One stop shop
D-Mart
Mehnat Humari Bachat Aapki
Launched its first store in Mumbai in 2002
The supermarket chain of DMart stores is owned and operated by Avenue Supermarts Ltd.
As of October 2018, it has 163 stores across India
Offers a wide range of products at competitive pricing
Products:
- Groceries
- Personal Care
- Home Appliances
- Toys, stationery
- Apparels and Footwears
- Dairy Products
Pricing:
- Every day low pricing
- Bundled pricing
- Multiple Unit pricing
Less Promotions
Places:
Situated mostly in western and southern regions – Maharashtra, Gujarat, Telangana,
Andhra Pradesh, Karnataka, Madhya Pradesh, Chhattisgarh, NCR, Tamil Nadu, Punjab,
Rajasthan
Target market is mostly value conscious people
 Strengths Weakness
Discounts and low price Visually unappealing
Cheaper product assortment Distorted placements
Owned store model Does not sell electronic equipments
Sourcing efficiency Mostly situated in Western and Southern parts of India
 TARGET MARKET SEGMENTATION OF BIG BAZAAR
Price conscious
Targets lower, middle and upper-middle class customers
The youth and newly married growing population is preferred customer segment
Specially targets working women and home makers who are primary decision makers
MARKET POSITIONING OF BIG BAZAAR
 Distribution channel OF BIG BAZAAR
Manufacturers
Central
Manufacturers Distribution
Centre

Manufacturers

Local Vendors

Local Vendors
Pricing Strategies @Big Bazaar
They work on the model of economics of scale. Their pricing objective is to get “Maximum
Market Share”.
The various techniques used at Big Bazaar are:
1. Value Pricing (EDLP - Every Day Low Pricing): Big Bazaar promises consumers the lowest available
price without coupon clipping, waiting for discount promotions, or comparison shopping.
2. Promotional Pricing : Big Bazaar offers financing at low interest rate. The concept of psychological
discounting (Rs. 99, Rs. 49, etc.) is used as promotional tool. Big Bazaar also caters on Special
Event Pricing
3. Differentiated Pricing : Time pricing, i.e., difference in rate based on peak and non-peak hours or
days of shopping is also a pricing technique used in Indian retail, which is aggressively used by Big
Bazaar
4. Price Bundling : Selling combo-packs and offering discount to customers. The combo-packs add
value to customer
5. Psychological Pricing/ Odd pricing: setting prices in 49, 99, 699 etc. i.e. slightly lower than
rounded numbers
BRAND PERSONALITY TRAITS OF BIG BAZAAR

Sincerity Excitement Competence

• Down-to- • Cool • Reliable
earth • Up-to-date • Hard working
• Family • Secure
Oriented
Brand Promise
The new tagline reads, 'Naye India Ka Bazaar', replacing the earlier 'Isse Sasta Aur Accha Kahin
Nahin‘

It promises value for money, low prices, good deals and now claims to be the shopping
destination of the new generation
 Brand Pyramid
One stop solution
Essence

Emotional Benefits Satisfaction, Delight

Value for money, Quality goods, Broad

Product Benefits variety of products, trending fashions,
fresh products, save time, profitable,

Product Apparels, Food, Farm Products, Chill station, Home &

Personal Care, Electronics , Fashion & Jewellery,
Attributes Furniture Bazaar, Child Care & Toys, Other services
Promotion
The various promotion techniques used at BigBazaar include "Saal ke sabse saste teen din",
Future Card (thecard offers 3% discount) Brand Endorsement by M. S. Dhoni,Exchange Offer -
‘Junk Swap Offer’, Point-of-PurchasePromotions. Advertising has played a crucial role in building
of the brand. Big Bazaar advertisements are seen in print media, TV, Radio (FM) and road-side
bill-boards
Promotion
Advertising: The Essential of Brand Building Process.

• Advertising is an essential component of brand building. The

advertisement and brand building is done through various ways, the
techniques are used.
• Advertising has played a crucial role in building of the brand. Big
Bazaar advertisements are seen in print media, TV, Radio (FM) and
Road-side Bill-boards, Internet (own website which give Online
shopping service),
• Partnership with Bigfilx, Big FM 92.7.
Tag-line

Isse Sasta aur acha kahin

 Customer Connection
“Superior quality at a “kapde bhi reasonable
reasonable price” hain…T-Shirts, trousers itne
bhi mehenge nahin
“Itna bada a/c shop, trolleys jisme apna
samaan aur chote bacche dono sama hain”
jate hain, thakaan to zara bhi nahin
hota”

“Kya variety hain! Jo kahin

bhi na mile idhar zaroor
“There is something for my
milega”
“Pahli baar dar husband, my kid and
laga…socha bahut me”
expensive hoga. But
reasonable
Prices dekhe bahut “We always get extra bags
khushi hui” from Big Bazaar…gives a
good impression to be seen
with the bag”
“Discounts are always “Khaali haath nahin
on” lautenge!!!”
 Print Ads

Big Bazar newspaper

advertisements are present
just before launch of any new
scheme. This creates good
image about the Big Bazaar
brand in the minds of
customers.
In – Store offer posters
In Store Panels
New Store Launch
Promotions of Different
Segment
(Men,Kids,Women)
In – Store offer posters
Road-side Advertisements

Big Bazaar bill-

boards are displayed
on prime locations in
various cities as a
brand building
exercise. They display
the catch-phrases now-
a-days.
Future Strategy
• The front-end operations will be further divided
in three categories.
• Big Bazaar Express with store area less than 40,000 sq. ft.
• Standard Big Bazaar with store area between
40,000 to 75,000 sq. ft.
• Big Bazaar Supercentres with store area more
than 75,000 sq. ft.
• Future Group is also planning to distribute financial
products like consumer loans and insurance through Big
Bazaar outlets.
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References
https://www.motilaloswal.com/site/rreports/HTML/636337193984127111/index.htm