1. “Competition Track”
For Competitive Advantage
A Case Study on MAX Retail Division
(A division of Lifestyle International (P) Ltd)
Submitted in partial fulfillment of PGDM
PGDM BATCH 2010-12
Submitted By
Akash Kumar Jaiswal
1
2. Declaration
I AKASH KUMAR JAISWAL hereby declare that the project titled
“A CASE STUDY ON MAX RETAIL COMPETITIONTRACK “is an original work carried
out under the guidance of PROF.B.JAYAKAR.
The report submitted is a bonafide work of my own efforts and has not been submitted
to any institute or published before.
Signature of the student
(AKASH KUMAR JAISWAL)
Date:
Place:
2
4. Faculty Guide Certificate
I Prof. B. JAYAKAR certify Mr. AKASH KUMAR JAISWAL, that thework done and the
Training undertaken by him is genuine to the best of myknowledge and acceptable.
Signature
Date-
Place-
4
5. Acknowledgement
I owe a great many thanks to a great many people who helped and supported me
during the writing of this book.
My deepest thanks to Prof. B. JAYKAR, VISHWA VISHWANI INSTITUTE OF
SYSTEMS AND MANAGEMENT, HYDERABADthe Guide of the project for guiding
and correcting various documents of mine with attention and care. He has taken pain to
go through the project and make necessary correction as and when needed.
I express my thanks to theDR. SABYASACHI RATHDIRECTOR ACADEMICS,
VISHWA VISHWANI INSTITUTE OF SYSTEMS AND MANAGEMENT, HYDERABAD,
for extending his support.
My deep sense of gratitude to Mr. ANUP RAMTEKE (REGIONAL MARKETING
EXECUTIVE) & MR. K. DURGA PRASAD (AREA HR- AP REGION), MAX RETAIL
DIVISIONfor support and guidance.
Thanks and appreciation to the helpful people at MAX RETAIL DIVISION
HYDERABAD, for their support.
I would also thank my Institution and my faculty members without whomthis project
would have been a distant reality.
I also extend my heartfelt thanks to my family and well-wishers.
(SIGNATURE)
AKASH KUMAR JAISWAL
Regd. No. 6052
PGDM 2010-12
VVISM
DATE- 20-6-2011
PLACE- Hyderabad
5
6. INDEX
Chapter. Content Page
No. No.
Chapter 1 Introduction 7-10
Chapter 2 Industry Profile 11-28
Company Profile 29-46
Literature Review 47-48
Chapter 3 Research 49-67
methodology
Chapter 4 Data collection 70-85
Analysis&Interpretation
Chapter 5 Findings 86-89
Recommendations 89
Extra initiative 91-92
Conclusions 93-94
bibliography Books/ Articles 95-97
referred
Websites referred
Annexure Questionnaire 98-99
6
8. INTRODUCTION
Max is a fashion and footwear retailer in the Value segment. Max retails its own
label clothing for men, women and children, as well as footwear and house ware.
Max is opening around 100 stores across India, is a division of Lifestyle
International Pvt Ltd., which is a part of US $ 1 billion Landmark Group.
Landmark group is one of the largest retailers in the Middle East with over 500
stores across 8 countries, directly employing 10,000 people.
We have already opened stores in Indore, Ahmedabad, Bangalore, Delhi-Rajouri
Garden, Agra, Hyderabad, Lucknow, Mumbai Noida and Delhi - Laxminagar.
A good shopping experience and a great value at Max translate into making
customers „Look good and Feel good‟ to the maximum
The topic i.e. Competition Track, is all about knowing the competitors of MAX retail in all
dimensions.
With competitor tracking, we can identify competitors and analyze their sales strategies,
their products, and what contracts they win. This functionality includes adding and
maintaining competitor records, and storing competitor documents.
Competitor tracking provides the means to disperse competition information to everyone
that deals with an opportunity, so that they can compete in the most effective way
possible to close the sale and maintain the relationship.
Competitor tracking helps us to compare your business unit to the competition, including
opportunities lost to and won against competitors.
Competitor: Another company who offers competing products and services.
Each competitor record can contain detailed information about the competitor, including
a company profile, a SWOT analysis (Strengths, Weaknesses, Opportunities, and
Threats), and any relevant sales materials and presentations. In addition, competitor
articles can contain links to relevant information in the marketing encyclopedia.
One or many competitors can be associated with any opportunity. By using this
association, salespeople give management the ability to track their overall win/loss
record versus specific competitors, as well as to do further analysis regarding the cause
of losses and other outcomes.
8
9. In this we have to keep track on all the activities related to marketing. Some of the
related activities which I have tracked in my project are given below-
1) Sales figure
2) Promotional events
3) Products and availability
4) Walk ins
5) Area of the stores
6) CRM
7) Current offers
8) SWOT analysis of each competitor.
9) Advantages and disadvantages of various competitors stores in Hyderabad
It is said that before looking others or track others we should be clear about our own
profile. We should be very clear about our marketing strategy and all the above
activities mentioned above and then understand the competitors and then analyses our
status, where we stand in front of our competitors in all the field of marketing and then
rectify our strategy and then formulate new and the best strategy we can develop so
that we become the zenith in that particular field.
We have to analyze the marketing mix i.e. product, price, place & promotion off all the
competitors separately.
We also need to know about the marketing strategy of different competitors. Some of
the strategy which should be kept in mind are-
1) Channel strategy
2) Product strategy
3) Pricing strategy
4) Advertising strategy
9
10. Methodology adopted during the Project work
First of all our research topic was selected. The research topic being “A case study on
Max retail Competitor‟s Track”
Objective of research-
To identify the promotion approach and product image in market.
To know the offers to customer and competitor‟s offer given to customer.
To know the competitors advantages and disadvantages.
To know the competitive status in market.
To find out advantages and disadvantages of Max Retail.
Extensive literature Survey-
The yearly Journals and manuals & project reports provide by our institute were studied.
Lots of valuable information regarding real estate industry was collected through
Internet and necessary information regarding company through website of the
organization
“Systematic and scientific method of collecting new information calledas research
methodology.” the research which is doing is an analytical as well as quantitative type of
research.
DATA COLLECTION
Primary data: Data which is collected on our own is called primary data.
· Personal interaction with company guide.
· Discussion with other officials.
· Group discussion.
· Company‟s policies and circulars.
· Questionnaires, Surveys and suggestions
Secondary data: Already existing data is called secondary data. It has been collected
by the following methods:
· Company‟s website.
· Articles in company‟s internal newsletters/periodicals.
· Others sources.
10
12. Retail Industry Profile
Retailing including
Retail, according to Concise Oxford English Dictionary, is "the sale of
all activities
involved in selling goods to the public for use or consumption rather than for resale."
goods or services
World over, the retail segment has performed exceptionally since its
directly to the final
consumers for inception in the 20th century. Sample these facts:
personal, non-
business use Retail is currently the biggest industry in the world with sales of
$7.2 trillion
Any organization
selling to final Every 10th billionaire in the world is a retailer.
consumers-
25 of the top 50 Fortune 500 companies are in retail.
whether it is a
manufacture,
whole seller, or The Indian retail sector is highly fragmented with 97 per cent of its
business being run by the unorganized retailers like the traditional family
retailer – is doing run stores and corner stores.
retailing.
The organized retail however is at a very nascent stage though attempts
are being made to increase its proportion to 9-10 per cent by the year
Consumers today
2010 bringing in a huge opportunity for prospective new players.
can shop for
The sector is the largest source of employment after agriculture, and has
goods & services
deep penetration into rural India generating more than 10 per cent of
in a wide variety of India‟s GDP.
retail Org. The
best- known type
of retail is the
Department
store.
12
13. Modern retail formats have mushroomed in metros and mini-metros, in the last few
years modern retail has also established its presence in the second rung cities. Thus,
exposing the residents of these cities to shopping options, they have never experienced
before. It has been forecasted that the share of modern retail will increase from 2 per
cent currently, to about 15-20 per cent over the next decade.
To begin with, retailers today will have to support the large retail infrastructure in
terms of Malls and Superstores that are being created.
The challenge for leading retailers shall therefore shift from diverting demand to
creating demand.
With all the modern stores offering convenience in terms of an assortment of products,
ambience, service and innovative products, the paradigm shall shift from competing with
the kirana stores to an in-house demand creation. Relevant experiences from consumer
goods companies, which have successfully crafted an explosion in demand in their
sectors, through innovation, consumer driven strategies, will be head runner.
Times are changing. With the GDP at an all-time high and income levels shooting
through the roof, the average Indian consumer has never had it so good. The propensity
to consume has reached peaks that had never been scaled before. Credit cards are
flashed with disdain and shopping baskets are getting bigger all the time. Here are
some factors that indicate the potential of retail in India:
13
14. Multichannel retailing is all about giving the customer a choice of which shopping
channel he or she wishes to purchase products through. The most popular shopping
channels include the stores, Internet and catalogues and telemarked (including mobile
shopping).
Retailers must provide a seamless multichannel experience for their customers. For
this, they become the most valuable consumers within a retailer's customer base.
Multichannel retailing needs to be adopted:
Grow market share
Increase customer base
Offer convenience
Achieve cost reductions through economies of scale, supply chain efficiencies,
and logistics
Improve customer analytics
Open new revenue streams by cross-sell & sell ups
Reduce cycle time between order and delivery
Lower fulfillment cost &Improve demand planning
However, going multichannel, the retailer should not ignore the critical part: the
customer. Customers have become more sophisticated and expect a retailer to
recognize them.
14
16. Top 10 Retailers World Wide
Retailer Home Country
Wal-Mart Stores USA
Carrefour Group France
The Home Depot, Inc USA
The Kroger Co. USA
Royal Ahold Netherlands
Metro AG Germany
Target Corporation USA
Albertson’s, Inc. USA
Sears, Roebuck and Co. USA
Kmart Corporation USA
16
17. Country/Region Share of Organized
Retailing
USA 80%
Western 70%
Europe
Malaysia 50%
Thailand 50%
Brazil 40%
Argentina 40%
Phillippines 35%
Indonesia 25%
South Korea 15%
China 10%
THEORY OF RETAIL- ENVIRONMENTAL, CYCLIC, CONFLICT
• Theories of retail development can broadly be classified as:
1. Environmental: where a change in retail is attributed to the change in the
environment in which the retailers operate.
2. Cyclic- where change follows a pattern and phase can have definite identifiable
attributes associated with them.
3. Conflict: where the competition or conflict between two opposite types of
retailers, leads to a new format being developed.
17
18. The Concept of Life Cycle in Retail
• Retail organization passes through identifiable stages of innovation,
development, maturity and decline. This is commonly termed as the “Retail Life
Cycle”
• The retail life cycle is a theory about the changes through time of the retailing
outlets
A. Innovation:
• A new organization is born; it improves the convenience or creates other
advantages for the final customers, which differ sharply from those offered by
other retailers. This is the stage of Innovation.
• In Innovation organization have very few competitors.
• Because it is new concept, the rate of growth is fairly rapid and the management
fine-tunes its strategy through experimentation.
At this stage the level of profitability re moderate and this stage can last up to five years,
depends on the organization
B. Accelerated Growth:
• Theretail organization faces rapid increase in sales.
• As organization moves to stage two of growth, which is the stage of
development, a few competitors emerge.
• As company has been in the market for a while it is now in a position to pre-empt
the market by establishing a position of leadership.
• At this stage since growth is imperative, the investment levels also high as is the
profitability.
C. Maturity:
• The organizational this stages still grows, but competitive pressures are felt
acutely from newer forms of retailing that tend to arise.
• Thus growth rate tends to decreases.
• Gradually as marketers become more competitive and direct competition
increases, the rate of growth slows down and profits also start declining.
18
19. • This is the time when the retail organization needs to rethink its strategy and
reposition itself in the market.
• A change may occur not only in the format but also in the merchandise mix
offered.
D. Decline:
• The retail organization loses its competitive edge and there is a decline.
• At this stage organization needs to decide is it is still going to continue in the
market.
• The rate of growth is negative, profitability declines further and overheads are
high.
19
20. Evolution of Indian Retail
• Traditional Rural Retail Fairs
• Traditional Family Run Convenience Stores
Traditional Rural Retail Fairs
Traditional rural retail fairs are a very big attraction to foreign tourists. We have the
Pushkar fair in Rajasthan which brings in a lot of revenue both from domestic buyers
and buyers from abroad. In the Pushkar fair livestock like camels, horses, cows, goats,
and sheep are sold as well as bought. A range of exotic items are also available. The
traditional items here are handmade jewelry and other colorful memorabilia of
Rajasthan.
Traditional rural retail fairs in India deal in a good number of handcrafts items which are
mentioned below:
• Hand painted wooden chest drawers
• Wooden wall brackets
• Embossed wooden table
• Hand painted chairs in chowki
• Wooden corner stand
• Wooden Hand painted table
• Embossed wooden chairs
• Brown wooden stool
• Camel bone Jewelry
• Metal jewelry
• Snake charmer puppets
• Handmade candles
20
21. Traditional Family Run Convenience Stores
Traditional family run convenience stores are too well established in India than to be
wiped out and besides there is uniqueness in the traditional items that represent the
sub-continent. The retail stores in India are essentially dominated by the unorganized
sector or traditional stores. Infact the traditional stores have taken up 98 percent of the
Indian retail market. Now stores run by families are primarily food based and the set-up
is as Kirana or the 'corner grocer' stores. Basically they provide high service with low
prices. If the stores are not food based then the type of retail items available are local in
nature.
The traditional family run convenience stores can take pride in the fact that the Kirana is
the most common outlet forms for the consumers. The tough competition for
convenience stores is coming from organized retail stores dealing in food items, like:
Apna Bazaar
Canteen stores
Food World
Subhiksha
Food Bazaar
Convenience Stores are open for long hours and is one of the formats of the
Indian retail stores that cater to basic needs of the consumer. A good example of
such would be Convenio. These stores are found in both residential as well as
commercial markets. The food products of traditional family run convenience
stores are comprised of branded as well as non-branded items. The benefits of
family run convenience stores is that they give importance to:
Personal touch
Facilities of credit
21
23. The key to success is identifying a superior value-promise and who is in a better
position to do it than retailers? Retailers are the closest to the point of purchase and
have access to a wealth of information on consumer shopping behavior. Retailers have
some unique advantages for managing brands such as continuous and actionable
dialogue with consumers, control over brand presentation at point-of-sale, control over
shopping environment, display location/adjacencies, and signage. And they have used
this advantage with tremendous success.
The 3 stages of evolution of the trade channel are shown in the exhibit below:
Extended Limited Direct
Manufacture Manufacture Manufacture
/ Retailer
Depo/CNF
Depo/CNF
Distributor
Retailer
Retailer
Shopper
Shopper
Shopper
23
24. As seen, the role of the intermediary is being diminished gradually, which has obvious
implication of backlash of the trade channel upwards towards the suppliers. This is more
severe in countries such as India, where the channel economics in favors of the
middlemen is still strong enough given the fragmentation of the retail sector. Therefore
when Food World, the largest grocer in
India has a “direct supply” contract with over 20% of its key suppliers; it gives rise to
conflict of interest with the distribution infrastructure that suppliers have painstakingly
built over the years.
Thus companies like HLL have evolved a distinct distribution channel altogether (called
“Modern Trade”) to service the needs of such large grocers. Even the mom and pop
stores (known as kirana shops) are affected due to this “unfair” back-end advantage
extended by the supplier to its leading accounts (the emerging supermarket chains).
The strategies adopted by the retailer to compete with branded goods are illustrated by
the following diagram. Branding the store and following a private label strategy is the
key strategy which helps the retailer to compete with branded products.
24
25. FORMAL RETAILING SECTOR
1. Typically large retailers
2. Greater enforcement of taxation mechanisms
3. High level of labor usage monitoring
25
26. CATEGORIIES OF IINDIIAN RETAIIL
CATEGOR ES OF ND AN RETA L
1. Corporate Houses
Tatas: Tata Trent
RPG group: Food World, Health and Glow, etc
ITC: Wills Life Style
Rahejas(ShoppersStop), Hiranandani(Haiko), DLF(DT cinemas) etc.
26
27. 2. Dedicated brand outlets
Nike, Reebok, Zodiac etc
3. Multi-brand outlets
Vijay Sales, Viveksetc
4. Manufacturers/ Exporters
Pantaloons, Bata, Weekender
Classifying Indian retail
(A) Modern Format retailers
1) Supermarkets (Foodworld)
2) Hypermarkets (Big Bazaar)
3) Department Stores (S Stop)
4) Specialty Chains (Ikea)
5) Company Owned Company Operated
(B) Traditional Format Retailers
1) Kiranas: Traditional Mom and Pop Stores
2) Kiosks
27
28. 3) Street Markets
4) Exclusive /Multiple Brand Outlets
(C) C) Large Indian retailers
Hypermarket
1) Big Bazaar
2) Giants
3) Shoprite
4) Star
II Department store
1) Lifestyle
2) Pantaloons
3) Piramyds
4) Shoppers Stop
5) Trent
III Entertainment
1) Fame Adlabs
2) Fun Republic
3) Inox
4) PVR
28
29. Company Profile
Landmark Group-
The Landmark Group was started thirty years ago, with the mission of becoming one of
the foremost retailers in the Middle East. This, by providing customers with a wide range
of high quality products at exceptional value. From a single children‟s store set up in
1973, in Bahrain, the Group has expanded exponentially and currently operates over
500 stores, several concepts & business interests. The Landmark Group today has a
widespread presence of over 5 million square feet and a footprint that spans across the
Middle East continent and India.
The highlights of the Landmark Group are its product & concept innovation. The entire
retail experience revolves around its “Concept” stores, which have been designed and
engineered to suit evolving customer needs and Lifestyles. The six major concepts of
Landmark Group are Baby shop, Splash, Shoe Mart, Home Centre, Lifestyle& Max.
Apart from these, the group also has „Citymax‟ catering to hospitality sector and „Max
Hypermarket‟ under its umbrella.
Key Facts
35 Years of retail experience.
Turnover in excess of US$2.5bn.
Total retail space over 10 million sq ft.
Retail Presence across 12 countries: Bahrain, China, India, Jordan, Kingdom of Saudi
Arabia, Kuwait, Oman, Qatar, Spain, UAE, Pakistan & Egypt.
Operates over 825 stores.
Employs 24,000 personnel.
29
30. Lifestyle International (P) Ltd. incorporated in India in 1999 brings together five concepts
under one roof – Apparel, Footwear, Kids wear, Health & Beauty, offering a convenient
one stop shop for customers. Positioned as a young trendy, young colorful and vibrant
store, Lifestyle offers consumers not just the ease of shopping but also provides for an
enjoyable shopping experience. Present across major metros in India, Lifestyle is
rapidly expanding its footprint in India. Currently there are 15 Lifestyle stores in the
country.
In the year 2005, Lifestyle launched its first specialized, stand-alone home improvement
store – „Home Centre‟ by Lifestyle. Home Centre is a one stop destination for furniture,
home décor and soft furnishing that truly represents style, comfort and individuality. The
stores use unique „concept‟ rooms as they display model, to give consumers a practical
idea of how each piece of furniture would look in a particular room.
SPAR is the World‟s Largest Food Retail Chain with more than 13600 stores across 33
countries and serves over 10 million consumers worldwide everyday.
SPAR provides a truly international shopping experience to the Indian consumer by
delivering exceptional service, wide range of products, superior quality & amazing
value, there by enabling the consumer to have a better quality of life. SPAR is a one
stop shopping destination as it meets all the daily needs of a consumer by providing
grocery, fruits & vegetables, meat & fish, wine & spirits, kitchenware, electronics,
apparel, health & beauty, furniture & much more, under one roof. SPAR was brought to
India by Max Hypermarket India Pvt. Ltd. in the year 2007.
30
31. "bossini" is a widely recognized casual wear brand renowned for its comfortable, easy
to mix-and-match, colorful and energetic style, bossini offers a full range of good value
for money casual wear apparel products, including ladies', men's & kids' wear which are
designed to fit customer needs
Starting with just in 1993, the fashion house, Splash – a part of the Dubai – based
Landmark Group, is now a leading retailer in the GCC with headquarters in Dubai and a
retail network of 80 Splash stores and 66brand boutiques around the region. Splash
showcases popular in-house collections for men & women such as Ms, Nexus, Maxim,
Retro, ZYNC & Scarlet, with international brands such as Maui and Sons and Yishion.
Splash is also the exclusive licensee for Lee Cooper and Kappa in the Middle East, as
well as the franchisee for Bossini in Kuwait, Bahrain & Saudi Arabia.
Max is a shopping destination for the entire family with a wide range of over 60000
options for men, women and children besides footwear and accessories. The brand
offers contemporary fashion apparel with great quality at affordable prices. Launched in
the UAE in 2004, the brand today is the largest value fashion chain in the Middle East.
This internationally successful chain was launched in India in 2006 and is well
positioned to become the leading “value fashion” brand in the country.
31
32. „The Yellow Chilli‟ is a Fine Dine restaurant, the Brand is endorsed by celebrity Chef
SanjeevKapoor. Chef SanjeevKapoor‟s inspiration for his recipes has come from the
melting pot of local flavors across India and the world. Experience fine dining and
authentic Indian food that traces back to its origin at „The Yellow Chilli‟.
Gloria Jean‟s Coffees is Australia‟s most loved coffee chain. With more than 900 outlets
in over 35 countries, Gloria Jean's Coffees is a leading specialty coffee retailer and one
of the fastest growing franchise organization‟s in the world.
Gloria Jean's Coffees provides consumers with a wide range of specialty coffee
including estate, origins and delicious flavored coffees and a complete menu of
espresso-based beverages such as lattes, cappuccinos, chillers, cocoas and gourmet
teas. We also offer a selection of coffee accessories, quality merchandise and gift
packs.At Gloria Jean's Coffees, we are committed to delivering the ultimate coffee
experience.
Polynation - the food court is based on different themes. The décor is detailed to
perfection. The lighting is synchronized with the ambience and different seating layouts.
Polynation breaks all the rules by replacing the typical food court seating with proper
restaurant like seating. Polynation- the Food court, offers a bespoke mix of brands
catering to the city‟s palette. The brands are intelligently chosen from distinct food
concepts and other popular international and local express brands to complete the
overall family eating experience.
Providing wholesome experience to all, Polynation- the food court will be a destination
of choice and not a destination by chance.
32
33. Max, the largest value fashion retailer in the Middle East offers fashion clothing,
footwear, accessories and household products at amazing value, all under one roof.
Launched in UAE in May 2004, Max is today the largest value fashion retail chain in the
Middle East. Max caters to the mid-market section of the population. With 114 stores
across UAE, KSA, Jordan, Kuwait, Bahrain, Qatar, Oman, Turkey, Egypt, Yemen &
India, MAX plans to expand its network in more potential markets within the Middle East
& beyond. With stores that typically measures between 18,000 to 30,000 sq. ft., Max
retails private label clothing for men, women and children as well as footwear and
home. A good shopping experience with fashionable products at great value is an
assurance that translates into making customers "Look good, Feel good" with Max.
Key Facts
Established in 2004.
75 stores spread across 8 countries.
The Largest Value Fashion Chain in the Middle East
Products designed and developed exclusively for Max, by a large team of
in-house designers and buyers.
Key Facts
Year of Inception - 2004
Origin - UAE
Stores - 114
Retail Space-
2.15 million sq. ft.
33
34. In India stores are located in the following cities:-
VISSION AND MISSION
To create a truly global brand that provides growth opportunities for the company and its
employees, whilst achieving its goal of becoming the number one value fashion retailer
across the Middle East and India.”
MISSION STATEMENT VALUES
Be a market leader in the field of value retailing.
Provide fashionable products at affordable prices.
Be innovative, cost effective and globally competitive.
Exceed our customer‟s expectations.
34
35. CATEGORY OF RETAILING
Max is a fashion apparel retailing store, it provides “fashion value retailing”.
Max retails private label clothing for men, women and children as well as
footwear and home.
Max store promises to be a one-stop shop for latest fashion buys at pocket-
friendly prices ranging between Rs. 199-599.
A good shopping experience with fashionable products at great value is an assurance
that translates into making customers "Look good, Feel good" with Max.
Sales performance-
Middle East retail chain Max, part of $ 3.8 Billion Landmark group
Expects revenue from Indian operations to double to breach the Rs 400 crore
mark by March 2011
It plans to take its total store count to 53 by March 2011, by which time it is
targeting a turnover of Rs 430 crore.
Max gets one-fourth of its revenue from children wear, he said, noting that it is
the only retail chain to thrive on in-house designs, which are sourced from Dubai.
It has 120 vendors across India. Max has an average billing of Rs 1,000.
Indian turnover accounts for around 9-10 per cent of Max Retail‟s overall revenue, in the
next 3-4 years we can touch 15-18 per cent share from Indian operations alone,”
35
36. Detailed Organizational Chart
TOP MANAGEMENT
Chairman Landmark Group – MickyJagtiani.
CEO Max - HariharanRamanathan
Executive Director - Vasanthkumar
Chief Operating Officer - C.S.Shekar
Head Designer - AmakshiKaul
36
37. Historical back ground of the Company-
May 2004 marked the beginning of an exciting journey for max. With the launch
of the first Max store in United Arab Emirates
By the end of 2009, Max has a network of 100 stores across the Middle East and
new markets.
Max currently operates in UAE, Saudi Arabia, Jordan, Kuwait, Bahrain, Qatar,
Oman, Turkey, Egypt, Yemen and India.
Operating in India since 2007
Max- a division of Lifestyle International (P) Ltd & a part of the Dubai based
Landmark Group was launched in early 2004 in the Middle East. Over the past 5
years it has grown to become the largest value fashion chain in the region. It
currently has over 115 stores across the Middle East, Egypt, India, Turkey,
Yemen and Palestine. In India, Max has 49 stores across 19 cities covering all
metros & tier 2 cities. It has extensive plans to double the stores to 56 stores by
2010-11.
MAX has pioneered the concept of 'value fashion retailing' in the India thereby
offering the value conscious customer a choice of variety without compromising
on the quality. It offers merchandise which is fashionable & predominantly priced
in the range of Rs. 199 to Rs. 599, making it quite affordable. Max sources its
merchandise both from India as well as overseas thereby offering contemporary
styles inspired by the latest fashion trends across the globe.
Future plans of the Company-
In Hyderabad, it is going to open 1 new outlet-
One in AS Rao Nagar
37
38. INNOVATIVE RETAIL PRACTICES
LOYALTY PROGRAMS:
In keeping with the Group‟s tradition of making every shopping experience even
more rewarding and memorable, Landmark Group‟s Loyalty program allows members,
to enjoy exclusive benefits and privileges such as reward points and exciting offers.
They offer two loyalty cards.
THE INNER CIRCLE
SHUKRAN
PRODUCT LINE
MAX
CLOTHINGS HOME DECORS
FOOTWEAR ACCESSORIES
38
39. KIDSWEAR DEPARTMENT
INFANTS SECTION: -
BOYS (SIZES) GIRLS (SIZES)
6-12 MONTHS 6-12 MONTHS
12-18 MONTHS 12-18 MONTHS
18-24 MONTHS 18-24 MONTHS
BOYS SECTION: -
SUB SECTION 1-8 YEARS 8-14 YEARS
SIZES SIZES
2-3 YEARS 8-9 YEARS
3-4 YEARS 9-10 YEARS
5-6 YEARS 11-12 YEARS
7-8 YEARS 13-14 YEARS
GIRLS SECTION: -
SUB SECTION 1-8 YEARS 8-14 YEARS
SIZES SIZES
2-3 YEARS 8-9 YEARS
3-4 YEARS 9-10 YEARS
5-6 YEARS 11-12 YEARS
7-8 YEARS 13-14 YEARS
INFANTS GIRLS
TUNIC
V-NECK
R- NECK
COLLER
FRONT OPEN
39
41. ETHNIC
FUSION
KURTI
ROUND NECK
V-NECK
HALTER NECK
MATKA NECK
CUT NECK
SQUARE NECK
CUT SLEAVES
STEPS KURTI
SKIRT
STRAIGHT SKIRTS
CRUSH SKIRTS
CRUSH ANKLE SKIRTS
FABRICS: - ACOBA, COTTON, GORGET, SHIFFON, LINEN, VISCOS.
SIZES
XL
S
M
L
TRADITIONAL
KURTI
SHORT LENGTH KURTI
HE KURTA
LONG KURTA
DUPATTA
COTTON
SHIFFON
SALWAR
PATIALA
NORMAL
CHOORIDAR
41
42. SIZES
S
M
L
XL
XXL
ETHNIC WEAR BASICS: -
KURTA
SALWAR
CHOORIDAR
PATIALA
DUPATTA
PANTS
BASICS SLIPS
HOMES
TABLE MAT
TABLE RUNNER
TABLE COVER
DUBLE BED SHEET
SINGLE BED SHEET
DOUBLE BED COVER
SINGLE BED COVER
NAPPKIN
TOWEL
BATH MATS
CUSHION COVERS
42
43. WESTERN WEAR
CORE
KNIT TOP
WOVEN TOP
KNIT BOTTOM
WOVEN BOTTOM
SKIRTS
YOUNG
KNIT TOP
WOVEN TOP
KNIT BOTTOM
WOVEN BOTTOM
DENIM BOTTOM
JACKET
SHORTS
SKIRTS
SPORTY
JACKET
KNIT TOP
WOVEN TOP
KNIT BOTTOM
WOVEN BOTTOM
DENIM
DENIM FULL LENGTH
CAPRI
NIGHT WEAR
GOWNS
SLEEPWEAR
43
44. MENSWEAR
CASUAL DENIM
BOOT CUT
REGULAR FIT
SLIMFIT
CASUAL NON- DENIM
KNITTED TOP- FULL SLEAVES
KNITTED TOP- HALF SLEAVES
KNITTED TOP- SLEAVE LESS
WOVEN TOP- FULL SLEAVES
WOVEN TOP- HALF SLEAVES
WOVEN TOP- SLEAVE LESS
WOVEN TOP- H/S BASIC
WOVEN TOP- F/S BASIC
FORMAL
WOVEN BOTTOM- FLAT FRONT
WOVEN BOTTOM- PLEATED
WOVEN TOP- FULL SLEAVES
WOVEN TOP- HALF SLEAVES
INNER WEAR
TRUNK VALUE PACK
WEST VALUE PACK
Y FRONT VALUE PACK
SEMI FORMAL
WOVEN BOTTOM- FLAT FRONT
WOVEN BOTTOM- PLEATED
WOVEN TOP- FULL SLEAVES
WOVEN TOP- HALF SLEAVES
SPORTS WEAR
KNITTED TOP- FULL SLEAVES
KNITTED TOP- HALF SLEAVES
KNITTED TOP- SLEAVELESS
JACKET
KNITTED TRACK BOTTOM
WOVEN TRACK BOTTOM
WOVEN TRACK SHORTS
KNIT TRACK SHORTS
SIZES- SHIRTS T-SHIRTS DENIM REGULAR FIT SLIM FIT
39 to 44 S to XL 28 to 36 28 to 36 28 to 38
44
47. Literature Review
Article- 1
GEAR UP FOR COMPETITION
Author-Manish Chaturvedi, vice president – Indirect Sales, CitiXsys Technologies
http://www.slideshare.net/CitiXsys/gear-up-for-competition-an-article-in-images-retail-
technology-directory-india-2011?from=embed
1) Indian retailers need to undergo a paradigm shift to align to the
current economic reality, escalating capital investments in
inventory and increased customer service demands.
2) Such a shift can come only when retailers embrace a fully
integrated enterprise-wide application set.
Article- 2
Competing With Big Box Stores
Tips for Retail Competition
Author- Shari Waters, About.com Guide
http://retail.about.com/od/competition/a/big_box_stores.htm
1) It tells that people purchase a higher percentage of their
merchandise from the mass merchandisers and consequently a
lower percentage from local merchants.
2) The company should emphasize the originality of your inventory
as compared to the items offered by the chain store.
47
48. Article- 3
Market Structure and Competition in the Retail Discount Industry
Author: TING ZHU, VISHAL SINGH, and MARK D. MANUSZAK
http://www.marketingpower.com/AboutAMA/Pages/AMA%20Publications/AMA%20Journals/Jou
rnal%20of%20Marketing%20Research/TOCs/SUM_2009.4/Market_Structure.aspx
1) The authors examine competition among the three major firms
in the retail discount industry—Wal-Mart, Kmart, and Target.
2) They find that Wal-Mart has a large negative effect on the store-
level revenues of its rivals and that Target has a somewhat
lesser effect, with Kmart trailing behind.
Article- 4
Retail Industry Information: Overview of Facts, Research, Data &
Trivia 2011
Author- Barbara Farfan, About.com Guide
http://retailindustry.about.com/od/statisticsresearch/p/retailindustry.htm
1) In this article the author has mainly focused on US Retail
Industry and says that an estimated two-thirds of the U.S. gross
domestic product (GDP) comes from retail consumption.
2) This article speaks about two type of retail industries-
a) Store Retailers
b) Non-Store Retailers
48
50. “Systematic and scientific method of collecting new information called as
research methodology.” the research which is doing is an analytical as well as
quantitative type of research.
Sample
In statistics, a sample is a subset of a population.
Typically, the population is very large, making a census or a complete enumeration of
all the values in the population impractical or impossible.
The sample represents a subset of manageable size. Samples are collected and
statistics are calculated from the samples so that one can make inferences or
extrapolations from the sample to the population.
This process of collecting information from a sample is referred to as sampling.
The best way to avoid a biased or unrepresentative sample is to select a random
sample, also known as a probability sample.
A random sample is defined as a sample where each individual member of the
population has a known, non-zero chance of being selected as part of the sample.
Several types of random samples are simple random samples, systematic samples,
stratified random samples, and cluster random samples.
A sample that is not random is called a nonrandom sample or a nonprobability
sample.
Some examples of nonrandom samples are convenience samples, judgment samples,
purposive samples, quota samples, snowball samples, and quadrature nodes in quasi-
Monte Carlo methods.
50
51. OBJECTIVES OF STUDY
To identify the promotion approach and product image in market.
To know the offers to customer and competitor‟s offer given to
customer.
To know the competitors advantages and disadvantages.
To know the competitive status in market.
To find out advantages and disadvantages of Max Retail.
Sampling Design
Sampling unit Respondents from Malls
Size of sample 100 respondents
Sample Method Random Sampling
Types of questionnaire Close ended
Research Method
Type of Data
Data type collected for analysis is PRIMARY i.e. data has been observed and recorded
by the researchers for the first time to their knowledge.
Data collected through journals, newspapers & internet is SECONDARY type.
51
52. Method of data collection
This study is a research which utilizes interrogation and observation method for data
collection. Secondary data was obtained from intensive analysis & observation. The
primary data are those, which are collected afresh and for the first time, and thus
happen to be original in character. The secondary data, on the other hand, are those
which have already been collected by someone else and which have already been
passed through the statistical process. Method employed to collect data is
Questionnaire. This is a simple survey conducted by filling in questionnaire from the
people who visit malls.
Collection of Primary Data
Personal interaction with company guide.
Discussion with other officials.
Group discussion.
Company’s policies and circulars.
Questionnaires, Surveys and suggestions
52
53. Primary Data collected through Direct Observation Method for
Competitor Tracking
Competitors SWOT Analysis
1) Reliance Trend
• Financially sound • Lack of differentiation in
• Retail location the product line
• Fashion oriented • Acute lack of awareness
about the store
• Signed with youth
icon for promotion • Visual merchandising
• CRM • Lack of national and
international brands
• Quality of merchandise
is low
STRENGTH WEEKNESS
OPPORTUNITY THREAT
• It can target II and • Negligible awareness
III tier cities of • me-too image to
country company
• Fresh stock at low • Cut throat
price- competition
differentiating from
others competitors
53
54. 2) Globus
SWOT Analysis
• Quality and price • Experience and well
• Local distribution educated sales staff
network • Staff are not result
• Stylish and good oriented-just work
looking oriented
merchandise • Swapping is very
• Healthy supply slow
chain
STRENGTH WEAKNESS
OPPORTUNITY THREAT
• Tapping new • Increasing no.of
segments MNCs
• Rural areas • Low price strategy
• Mai include shoes • Cope up with new
and sports wear technologies
54
55. 3) Westside
SWOT Analysis
• Growing at the
• Not much product
faster pace
range for middle
• Brand name of class
TATA‟s.
• Lack of
• Good customer differentiation
base.
• Poor inventory
• Apparels are turns and stock
cheaper availability
• Attractive
promotional STRENGTH WEAKNESS
schemes
OPPERTUNITY THREATS
• Huge untapped • Competition from
market organized retail
• Urbanization players
• Competition from
local retailers.
55
56. 4) Pantaloons
SWOT Analysis
• Managing • Hiring and
Purchase Order. training of
• Ease of usage employees
• Analysis of
complex data • Expensive
• Generate
Reports
• Supports
Vendors.
STRENGTH WEAKNESS
OPPORTUNITY THREATS
• Increase the • Retail competitors
footfalls with • Price
promotional • Promotional events
activities.
• New Avenues for
opening of
outlets.
56
57. Observed Merits and Demerits of Competitors outlet in Hyderabad
Date- 11-05-2011,
Retail outlet- Reliance Trend, Majahab Tank &Begumpet
My Observation-
1) External environment-
At the entry of reliance trend, it is displaying an Arc shaped Hording of the
latest offer event, i.e., PANT & JEANS MELA (spend Rs 1999 and get
free Gift Coupons worth 1000).
Parking area is to be concern (very limited)
Window merchandising is good but displayed only men‟s wear.
Bags keeping place was very small ( around 20-30 bags)
2) Internal environment-
The ambiance was really attractive and well organized.
Ground floor is women‟s section and 1st Floor is men‟s section.
Billing counter was only on the ground floor.
Segmentation of merchandise was done properly (displaying the price
range or any offers with the concern product type).
Templates to guide the customer were to go for their needs was properly
displayed and it was hanging on the roof.
Visual merchandising was done properly on both the floor.
3) Women’s Section-
Contains variety of apparels (suite, suite piece, jeans, tops, kids wear,
sari, jewelries, inner wears etc.
Women staffs were aged people.
No brand wears.
Only 2 trail room.
Perfume collection was good.
Products were mainly marketed by Reliance Trend Ltd.
57
58. 4) Men’s section-
Contains branded apparels like INEXCESS, SCULLERS, PETER
ENGLAND, JOHNPLAYER, OXEMBERG, LEVIS, KILLERS, JOCKEY.
FIRST CLASS, TEAMSPIRIT, PERFORMAX were the reliance trends
marketed brand.
Apparels were displayed along with price and any offers.
Separate place were given for the respective brands.
5) Merits-
Vide variety of collection which provides alternatives to customers.
Membership Cards having policy of points making (1points per Rs 100 of
purchase and can be used at any reliance outlets.)
Location is superb.
Customer service desk
Effective use of visual merchandising.
Alteration timing 20-30 minutes.
Men‟s employees are more interactive to customers.
Ambiance is felt soothing.
Bathrooms were very clean and full of fragrance.
6) Demerits-
Parking area is limited.
Bag keepings were also limited.
Billing counters on ground floor and not in the men‟s section.
No display for bathroom.
Aged women in women‟s section.
Knowledge gap is present between the employees.
No customer service programs.
We can gain the points in membership cards but cannot reimburse them in
the reliance trends.
58
59. 13-05-2011
Globus Retail Outlet- City Center Mall&Inorbit, Hyderabad
Merits-
Location of store is very good and customer centric too. It had worked hard in
Place parameter of Marketing Mix.
It has targeted its segment (high class) and provides all the necessities of its
customers.
Ambiance is soothing.
Proper signage utilization is done.
Merchandise was very fashionable.
Branded merchandise is high in numbers.
Demerits-
Target segment of customer is very limited.
Visual merchandising is not done properly.
The accessories are not so good and useless to the customer.
Signage for the price of particular segment of the merchandise is not at all
displayed.
Staffs are untrained.
They didn‟t bother what the customer wish to purchase.
The transaction in billing process is time taking.
No CSD in any of the store of the Globus.
The Price of some of the merchandise is very high.
Very Low Acquisition Power.
59
60. 16-05-2011
Westside retail- Begumpet&Nampally, Hyderabad
Merits-
Ambiance is really fantastic. It is very neat and clean and very perfect place for
the family to shop.
The staffs along with the Executives present in the stores are very helpful to the
customer.
They make the customers to decide as well as to make them buy the products
very effectively.
Everything in the store is made only for customers.
CSD is very effective.
The price of merchandise is affordable along with the quality of it.
Accessories are very attractive and fashionable.
Demerits-
Stocks availability is less.
As the stores are very big they do not have the blue print of the service.
Footwear departments had less stock.
Women staffs are less in numbers
Very less offers and schemes.
Customer membership is chargeable.
60
61. Date- 12-05-2011
Retail outlet- PANTALOON, Begumpet.
My observation-
Merits -
1) Welcoming the customers was very good. Even the staff of baggage counter and
the security guard welcomes the customer by saying good morning.
2) Membership card system was superb as it provided 5 % discount on every Friday
and in the birthday month it will provide 50 % discount on your one transaction.
3) Vide variety of collections for both men‟s wear and women‟s wear. Latest trend is
being followed.
4) Current offer which is going on is purchase Formal Shirts worth Rs. 2499 and
gain Rs. 500 off.
5) CSD is effectively maintained. One of the lady employees came to the customer
wished him and ask him for having a membership with the Pantaloons.
6) Ambiance is effectively appealing to the customer.
7) On an average 800 customers visit to the pantaloons per day.
Demerits-
1) No parking area. Parking is just on the main road.
2) Knowledge gap is present between the employees in the women‟s section.
3) No billing counters in women‟s section.
4) In visual merchandising same type of products were displayed( the t-shirts of
similar design of various size was displayed in large number)
5) In front Shoppers stop is present.
6) No food courts or no enjoyment source in the surrounding which attract the
people.
7) No affordable offers for customers.
8) Kids section was just near the entry.
61
62. Competitor’s offers-
Reliance Trends-
Purchase for Rs. 1999 and get a gift coupon up to Rs. 1000.
Valid from- 15 may to 19 june, 2011
Customer has to purchase for 1999 and they will get 2 gift coupons of 500.
And then from 20th june to 10th july,2011and on next purchase of 2000 they
will get flat discount of gift coupon.
62
63. Globus-
In City Center Mall
Up to 30% off on selected Merchandise.
Valid up to 31st may
In Inorbit, High Tech.
Watch out offer- purchase for Rs. 1499 and get a watch worth Rs 499 for Rss 99.
Validity- Not informed
Pantaloons-
Sonekichidiya(SKC) offers- pantaloons is allowing to redeem all the points in
the membership cards till 31st August, 2011.
Validity- 1st may to 31st may, 2011
They are giving gifts like glass bowl set based on the points the customer have
collected.
63
67. 2) Globus Retail
Company Profile
• Launched in January 1998, Globus is part of the RajanRaheja group.
• The company opened its first store at Indore in 1999, followed by the launch of its
second store in Chennai (T-Nagar).
• Soon to follow was another store in Chennai located in Adyar.
• The flagship store in Mumbai opened on 1st November 2001 followed by a
swanky new outlet in New Delhi in South Extension Part-2.
67
68. 3) Westside Retail
Company Profile-
• Style, affordable prices, quality these are the factors that have shaped Westside
success story in the retail fashion stores business.
• Established in 1998 as part of the Tata Group, Trent Ltd. operates Westside, one
of India's largest and fastest growing chains of retail stores.
• These include Menswear, Women‟s wear, Kid‟s wear, Footwear, Cosmetics,
Perfumes and Handbags, Household Accessories, lingerie, and Gifts.
68
69. 4) Pantaloons
Company Profile-
Headquartered in Mumbai, the company has over 1,000 stores across 71
cities in India and employs over 30,000 people , and as of 2010.
Industry Retailing
Founded India
Headquarters Mumbai
Area served India
Key people Kishore Biyani, (MD & CEO)
Products Discount Stores
Supercenters
Revenue 6,019.00 crore (US$1.34 billion)
Parents Future Group
Website Pantaloon.com
69
70. ` Chapter 4
Data collection/ Analysis &Interpretation
70
71. Primary data collected through Questionnaire
Sampling Design
Sampling unit Respondents from Malls
Size of sample 100 respondents
Sample Method Random Sampling
Types of questionnaire Close ended
I have selected 11 questions for analysis of ranking of MAX Store with
comparison to its competitors.
1) How frequently you visit the retail stores?
2) Family income of the respondent-
3) Variety of product available in following retail stores-
4) Best price offered by the following stores-
5) Quality of product available in the following retail stores
6) Up-to-date style available in the following retail stores-
7) Best customer‟s service provided by the following retail stores-
8) Best display of merchandise by the following retail stores-
9) Awareness created by internet by the following retail stores-
10) Awareness level created by audio/visual media-
11) Awareness level created by print media-
71
72. Respondent profile
• Sample size is 100 and out of that 67 are male& 33 are female respondent.
100%
33 33%
80%
60%
67 67%
40%
20%
0%
Numbers Percentage
Male Female
• No. of Respondent Age wise
Number of Respondent Age-wise
40
Numbers
20
0
18-20 Numbers
21-23
24-26
27-29
18-20 21-23 24-26 27-29
Numbers 21 27 38 14
72
73. 1) How frequently you visit the retail stores?
Time Periods Response
Fortnight 18
Monthly 43
Quarterly 26
Half Yearly 13
Yearly 0
How frequently you visit the stores?
0%
13% 18%
fortnight
26%
Monthly
Quarterly
Half Yearly
43%
Yearly
On the basis of the above respondents the graph shows that out of 100 respondent
43 visit retail stores monthly, i.e. 43% or maximum customers‟ visits retail stores
monthly.
73
74. 2) Family income of the respondent-
Income Response
20000- 25000 37
25001- 30000 34
30001- 35000 19
Above 35001 10
Family income of the respondent
10% 37%
19%
20000- 25000
25001- 30000
34%
30001- 35000
Above 35001
On the basis of the above respondents, the graph shows that out of 100 responses 37
were having family income between Rs. 20000- Rs. 25000. Nearly 34% of the people
visiting malls have income ranging between Rs. 20000- Rs. 25000.
74
75. 3) Variety of product available in following retail stores-
Stores Mean rankings
Westside 2.02
Max 3.70
Pantaloons 3.08
Reliance 3.57
Globus 3.13
Variety of product
4
3
Ranks
2
1
0
Westside Max Pantaloons Reliance Globus
Series 1 2.02 3.7 3.08 3.57 3.13
On the basis of above respondent, the graph shows that Max have the best variety of
product with average Ranking 3.7 out of 5.
75
76. 4) Best price offered by the following stores-
Stores Mean rankings
Westside 2.33
Max 2.97
Pantaloons 3.22
Reliance 2.97
Globus 4.02
Best price
5
4
3
Ranks
2
1
0
Westside
Max
Pantaloons
Reliance
Globus
On the basis of above respondent, the graph shows that the best price is given
by Globus with ranking 4.02 out of 5
76
77. 5) Quality of product available in the following retail stores
Stores Mean rankings
Westside 2.88
Max 3.59
Pantaloons 3.56
Reliance 2.03
Globus 2.23
Quality of product
4
3
Ranks
2
1
0
Westside Max Pantaloons Reliance Globus
Series 1 2.88 3.59 3.56 2.03 2.23
On the basis of above respondent, the graph shows that the best quality of product is
delivered by Max with 3.59 ranks out of 5.
77
78. 6) Up-to-date style available in the following retail stores-
Stores Mean rankings
Westside 3.12
Max 2.41
Pantaloons 2.44
Reliance 2.02
Globus 4.06
Up-to-date style
5
4
Ranks
3
2
1
0
Westside Max Pantaloons Reliance Globus
Series 1 3.12 2.41 2.44 2.02 4.06
On the basis of above respondent, the graph shows that best up to date style is
delivered by Globus with ranking 4.06 out of 5.
78
79. 7) Best customer‟s service provided by the following retail stores
Stores Mean rankings
Westside 3.07
Max 3.40
Pantaloons 3.05
Reliance 3.02
Globus 2.27
Best customer’s service
3.5
3
2.5
Ranks
2
1.5
1
0.5
0
Westside Max Pantaloons Reliance Globus
Series 1 3.07 3.4 3.05 3.02 2.27
On the basis of the respondents, the graph shows that the best customer service is
given By Max with ranking 3.4 out of 5.
79
80. 8) Best display of merchandise by the following retail stores-
Stores Mean rankings
Westside 2.65
Max 3.56
Pantaloons 3.27
Reliance 3.48
Globus 2.49
Best display of merchandise
4
3
Ranks
2
1
0
Westside Max Pantaloons Reliance Globus
Series 1 2.65 3.56 3.27 3.48 2.49
On the basis of the above respondents, the graph shows that the best display of
merchandise is done by Max with 3.56 ranks out of 5
80
81. 9) Awareness created by internet by the following retail stores
Stores Mean rankings
Westside 3.4
Max 3.65
Pantaloons 3.7
Reliance 3.44
Globus 3.5
Awareness created by internet
3.7
3.6
Ranks
3.5
3.4
3.3
3.2
Westside Max Pantaloons Reliance Globus
Series 1 3.4 3.65 3.7 3.44 3.5
On the basis of the respondents, the above graph shows that the awareness created
through internet is done best by Pantaloons with mean ranks 3.77
81
82. 10) Awareness level created by audio/visual media-
Stores Mean rankings
Westside 3.2
Max 3.80
Pantaloons 4.02
Reliance 3.60
Globus 3.2
Awareness level created by audio/visual
media
5
4
Ranks
3
2
1
0
Westside Max Pantaloons Reliance Globus
Series 1 3.2 3.8 4.02 3.6 3.2
On the basis of respondents, the above graph shows that the awareness created
through audio/visual media is best done by Pantaloons with 4.02 ranks.
82
83. 11) Awareness level created by print media-
Stores Mean rankings
Westside 3.7
Max 3.4
Pantaloons 3.9
Reliance 3.35
Globus 3.85
Awareness level created by print media
4
3.8
Ranks
3.6
3.4
3.2
3
Westside Max Pantaloons Reliance Globus
Series 1 3.7 3.4 3.9 3.35 3.85
On the basis of respondents, the above graph shows that awareness created
through print media is best done by Pantaloons.
83
84. Mean Ranks calculated are given below
stores Westside Max Pantaloons Reliance Globus
Parameters
Variety of product 2.02 3.70 3.08 3.57 3.13
Best price 2.33 2.97 3.22 2.97 4.02
Quality of product 2.88 3.59 3.56 2.03 2.23
Up-to-date style 3.12 2.41 2.44 2.02 4.06
customer’s service 3.07 3.40 3.05 3.02 2.27
Best display 2.65 3.56 3.27 3.48 2.49
Awareness- internet 3.4 3.65 3.7 3.44 3.5
Awareness- audio/visual media 3.2 3.80 4.02 3.60 3.2
Awareness- print media 3.7 3.4 3.9 3.35 3.85
Average Mean Rank 2.93 3.38 3.36 3.05 3.19
84
85. Average Mean Ranks
3.38 3.36
3.4
3.3
3.19
3.2
3.05
3.1
3 2.93
2.9
2.8
2.7
Westside Max Pantaloons Reliance Globus
Series 1
According to above graph Max has the highest rank with 3.38 out of 5 with respect to
all the parameters and its best rivalry is Pantaloons with 3.36 ranks out of 5.
85
87. Findings on the Analysis Basis-
1) In retail stores customers coming are in the ratio of 67: 33 (male: female
resp.)
2) The average family income of these customer ranges between Rs. 20,000-
30,000.
3) When considering variety of products availability, Max is best preferred in
Comparison to its competitors which are Westside, Pantaloons, Reliance
Trend and Globus
4) According to my analysis Reliance Trend is competing with Max in variety of
product and its availability as customers gave 3.75 ranks out of 5 to Reliance
Trend and 3.7 ranks to Max.
5) Price is no longer considering as the tools for competitive advantage in
today‟s generation rather quality is preferred more.
6) When considering Price parameters customer is more happy with the price
offered by the Globus as customers have given 4.02 ranks out of 5 to it and
2.97 ranks to Max and thus it is giving competition to max
7) Quality is best considered to distinguish yourself with others competitors. Max
and Pantaloons are having neck to neck completion on this concern with
3.59 and 3.56 ranks respectively.
8) Customers prefer Max cloths more than Pantaloons on the quality point of
view.
9) Being up-to-date and fashionable has become prerequisite of this generation.
Max stands far behind in this respect.
87
88. 10) Max has raked 2.41 out of 5 whereas Globus is leading with 4.06 Ranks out
of 5.
11) Globus merchandise is best accepted as up-to-date and fashionable one and
thus it is competing with Max in this field of fashion.
12) Customers are considered as the blood life of any business in today‟s
scenario. Making one customer delight will give us another new customer.
13) Max is giving the best customers service and stands first among its
competitors scoring 3.4 ranks out of 5. It maintains its CRM (TIC) very
effectively and efficiently.
14) Max also has a good visual merchandising among its all 4 competitors.
Customers have given 3.56 ranks out of 5.
15) Max is lagging behind in its promotion in some respects
16) Creating awareness through Internet or through Audio/ visual or through
Print media is best done by Pantaloons.
17) For crating awareness through internet, audio/visual & print media,
pantaloons scored 3.7,4.02 & 3.9 ranks respectively out of 5
18) Customers are aware of all the current offers going in Pantaloons.
88
89. After all my findings I would like to give SWOT Analysis of Max in Hyderabad
• Urbanization • Trained personnel
• retail space • No CSD
• PROMOTION • Service Gaps
• EVENTS AS PER • Display of Hoardings
SEASONS • Brands
• SCM • Lack of acquisition
• Price powers
STRENGTH WEAKNESS
OPPORTUNITY THREAT
• Competitors- locally &
• Potential for investment. globally.
• E- retailing • Price competition.
• Locational advantage. • Competitors superior
• Sectors with high growth distribution channel
potential. • Promotional events.
• Fastest growing formats. • merchandise
• Rural retail.
89
90. My recommendations on the basis of analysis are:
Grant industry status to retail
The merchandise should be up to date and fashionable.
Invest in supply chain infrastructure
It should take steps to convert the footfall in the Retail Stores into sales by
offering, “Catchy & Intelligent schemes”.
The attitude of sales force must be helping & communication in formal way.
Proper signage should be used in Max retail store.
Exchange Policies of Max retail store should be properly communicated to
customers during Sale.
Accessories like Sunglasses and Bracelets etc. should be attractive and
branded.
To solve the problem of alteration on Sunday, Company can provide the home
delivery of altered merchandise.
Sizes of the merchandising should be standard.
Sizes of merchandising should be easily visible or one rack can be made for
each size of different style.
Advertisement through Prints, Internet and Audio/ visual media should be
increase for Max.
Brands should be increase to catch more customers.
Max should undergo extensive promotion to be Zenith among its Competitors.
Extra Initiative during my Project
90
91. I managed the Promotional Event – “Guess n Win Contest”, in City Center Mall
for all the 3 weekends of May, 2011.
I got an opportunity from Max for Inspection of Audio/ Visual Screening of
Promotion of Max in PVR, INOX, IMAX and Anand Theater in Hyderabad.
I also managed all amount of Gift Vouchers issued in Max, City Center and
tracked for 1 week From 20th May, 2011 to 27th May, 2011 during Summer
Delight Offer in Max.
I also got Wonderful opportunity to give the Briefing of the Summer Delight Offer,
2011 to all the sales staff in the City Center, Max store.
17-05-2011
5 best events that can be carried out in Max Retail outlet in the upcoming weeks
are-
1) Treasure Hunt- A treasure hunt can be played inside the store in which any
object will be hiding in the store only and the participant will have to find out in at
least 2 hours and the winner will get assured prize or gift coupon.
2) Happy Hours- Discount for hour and hours, or every 10 minutes get 5 % off in
any merchandise.
3) Max Mascot-A mascot can be made which is never done by any of the retail
outlet. It will be done only in weekends (Saturday & Sunday). For this buzz
marketing can also be done which will give a target impact on the customers. It
might become symbol for the Max. Play with the mascot in given period of time
and if the customers win he or she will get assured prizes.
91
92. 4) Ice cream rivalry- it‟s a 2 member in a group activity. In this eyes of both the
player will be closed with band and one player will have to take an ice-cream and
make the other one to eat without touching here and there on the face and that
too in 1 min. The person who does it will become winner and will be awarded
gifts.
5) HouseyHousey- A game in which Players mark off numbers on a ticket as they
are randomly called out, in order to achieve a winning combination.
A typical bingo ticket is shown to the right. It contains twenty-seven spaces, arranged in
nine columns by three rows. Each row contains five numbers and four blank spaces.
Each column contains either one, two, or very rarely three, numbers:
The first column contains numbers from 1 to 9,
The second column numbers from 10 to 19,
The third 20 to 29 and so on up until the last column, which contains numbers
from 80 to 90 (the 90 being placed in this column as well).
92
93. Conclusion-
The past 4-5 years have seen increasing activity in retailing. And, various business
houses have already planned for few investments in the coming 2-3 years. And though
the retailers will have to face increasingly demanding customers, and intensely
competitive rivals, more investments will keep flow in and the share of organized sector
will grow rapidly.
Retailing in India is surely poised for a takeoff and will provide many opportunities both
to existing players as well as new entrants.. The country is witnessing a period of boom
in retail trade, mainly on account of a gradual increase in the disposable incomes of the
middle and upper-middle class households. More and more corporate houses including
large real estate companies are coming into the retail business, directly or indirectly, in
the form of mall and shopping center builders and managers.
New formats like super markets and large discount and department stores have started
influencing the traditional looks of bookstores, furnishing stores and chemist shops. The
retail revolution, apart from bringing in sweeping, positive changes in the quality of life in
the metros and bigger towns, is also bringing in slow changes in lifestyle in the smaller
towns of India. Increase in literacy, exposure to media, greater availability and
penetration of a variety of consumer goods into the interiors of the country, have all
resulted in narrowing down the spending differences between the consumers of larger
metros and those of smaller towns.
93
94. Lastly I want to conclude my project in some points-
The customers are attracting towards shopping malls & retail outlets.
The shopping malls & Max retail outlets are targeting to middle class customers
because the purchasing power of this class is rapidly growing as well as the
class is also growing.
The young generation is fashion & show-off conscious so Max retail outlets
should mainly focus on them.
Most of the family wants to purchase from big showrooms and malls because
there are no bargaining system so they have a trust that there is no cheating.
Max should make them Delight.
The main strength of most of the retail outlets are providing attractive offers to
attract customers.
Other Competitors retail stores are running customer loyalty programs which
have increased profits and no. of customers.
94
98. Questionnaire
Dear Sir/ Mam,
As a part of PGDM course in VishwaVishwani Institute of System and Management, I am doing a project
on competitor tracking of Max Retail. Please give your valuable inputs for this project.
Your time and response is really appreciated.
Name-………………………………………………………………... Age-……… Gender- M/F
1) How frequently you visit the retail stores?
a. Fortnight b. Monthly c. Quarterly d. Half yearly e. Yearly
2) Family income of the respondent-
a. 20k to 25k b. 25k to 30k c.30k to 35k d. Above 35000
Response your answer between 1 to 5 in the (……..) provided-
3) Variety of product available in following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
4) Best price offered by the following stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
5) Quality of product available in the following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
6) Up-to-date style available in the following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
7) Best customer’s service provided by the following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
8) Best display of merchandise by the following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
9) Awareness created by internet by the following retail stores-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
10) Awareness level created by audio/visual media-
a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
11) Awareness level created by print media-
98
99. a. Westside (…...) b. Max (…….) c. pantaloons (……..) d. reliance (……) e. Globus(……)
99
