Mini Project Report on

Study on changing consumer preference towards

organized retailing from un-organized retailing of
Bangalore City
BY

Dilu Balachandran

1NH15MBA48

Submitted to

DEPARTMENT OF MANAGEMENT STUDIES

NEW HORIZON COLLEGE OF ENGINEERING,
OUTER RING ROAD, MARATHALLI,
BANGALORE

In partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of
Dr. Uday Kumar D

INTERNAL GUIDE
Dr. Uday Kumar D

CHAPTER - 1
1.1 INTRODUCTION
Retailing is a distribution channel function, where one organisation buys

products from supplying firms or manufactures products themselves, and then

sells these directly to consumers .

The Indian Retail Industry is the fifth largest in the world. Comprising of

organized and unorganized sectors, Indian retail industry is one of the fastest

growing industries in India, especially over the last few years. Though initially the

retail industry in India was mostly unorganized, however with the change of taste

and preferences of consumers, the Industry is getting more popular these days and

getting organized as well. According to the 10th Annual Global Retail

Development Index (GRDI) of A.T. Kearney,India is having a very strong growth

fundamental base thats why its the perfect time to enter into Indian Retail

Market. Indian Retail Market accounts for 22% of countrys GDP and it

contributes to 8% of the total employment. The total retail spending is estimated

to double in the next five years. Of this, organized retail currently growing at a

CAGR of 22%- is estimated to be 21% of total expenditure. The unorganized

retail sector is expected to grow at about 10% per annum with sales expected to

rise from $309 billion in 2006-07 to $496 billion in 2011-12. This paper focused

on changing face of Retail Industry, organized or unorganized retail industry,

major players in retail industry and also highlights the challenges faced by the

industry in near future.

1.2 Kind of Indian retail industry

 The Indian retail industry is divided into organized and unorganized

sectors. The Indian retail sector is highly fragmented, with a major share of its

business is being run by unorganized retailers like the traditional family run stores

and corner stores. The organized retail however is at a very nascent stage, though

attempts are being made to increase its proportion bringing in a huge opportunity

for prospective new players.

There are two types of Retailing:

Organized Retailing
Unorganized Retailing
1.2.1Organized Retailing

Organized retailing refers to trading activities undertaken by licensed retailers,

that is, those who are registered for sales tax, income tax, etc. These include the

corporate-backed hypermarkets and retail chains, and also the privately owned

large retail businesses.

1.2.2Unorganized Retailing

Indian retail is dominated by a large number of small retailers consisting of the

local kirana shops, owner-manned general stores, chemists, footwear shops,

apparel shops, paan and beedi (local betel leaf and tobacco) shops, hand-cart

hawkers, pavement vendors, etc. which together make up the so-called

"unorganized retail" or traditional retail.

1.3Major retail sector in India

 There are many sectors in retail industry in India and there are established in
various company at specific sectors.

1. Food and grocery:

Food Bazaar

Aditya Birla Retail Ltd

Trinethra Super Market Ltd

Reliance Retail

2. Fashion and accessories

Pantaloons

Shoppers Stop

3. Koutons:

4. Footwear

Reebok

Bata

5. Khadims:

6. Home and office improvement

Godrej Lifespace

Home Stop

Home Town

7. Electronics

eZone:

Viveks:

8. Catering services
 Yum! Restaurants:

McDonalds

Caf Coffee Day

9. Telecom

The Mobile Store:

MobileNXT:

10. Pharmaceuticals

Apollo Pharmacy

MedPlus:

11. Beauty and wellness

Reliance Wellness

Himalaya Drugs

12. Jewellery

Gitanjali:

Tanishq:

Reliance Jewels

13. Timewear

Citizen:

Titan.
 1.4 NEED OF THE STUDY

As we all know that Indian retain sector in growing day by day and

specially the organized retailing sector because after these study I have observe

that most of the people are moving towards the organized retailing now a days the

old kirana shopes are been changed to organized sector just because the public

demand is been changing and chaining and because of that the there is several

change in the market growing because in past the retail sector is full depends up

on the festival market but now a days the retail depends up on the offer and the

discount provided by the retailer for a certain period of time. So because of the

change in the taste of the customer the tradition of the retail sector is been

chaining. .

1.5Difference between Organized Retailing &Unorganized Retailing

Organized Retailing Unorganized Retailing

Organized retailing refers to trading Unorganized retailing, on the other hand,
activities undertaken by licensed retailers, refers to the traditional formats of low-cost
that is, those who are registered for sales retailing
tax, income tax, etc
There are include the corporate-backed There are include the local kirana shops,
hypermarkets and retail chains, and also the owner-manned general stores, chemists,
privately owned large retail businesses. footwear shops, apparel shops, paan and
beedi (local betel leaf and tobacco) shops,
hand-cart hawkers, pavement vendors, etc
Multi storied malls and huge complexes Low cost retailing. These are highly
that offer a large variety of products in competitive outlets, with negligible rental
terms of quality, value for money and costs (unregistered kiosks or traditional
makes shopping a memorable experience.
The ownership and management rest with
two or more person.
The organized stores are not having number The unorganized stores are having number
of options to cut their costs
The customersare want to change in
many shopping malls.
property), cheap workers (work is shared by
members of family) and low taxes and
overheads.
The ownership and management rest with
one person only
of options to cut their costs
This is one of the good reasons which
the customer doesn't want to change
their old loyal kirana shop.

1.6 Literature review

According to Dholakia (1999),i the rationale for shopping is

making physical visits to a shopping site. It is considered as a
household task as well as a form of recreation, relaxation and
entertainment. Shopping is also considered to have the most
positive attribute of being a leisure activity along with work
(Dholakia, 1999).
Sinha & Banerjee (2004)ii studied the drivers of store choice in
various product categories, in the context of evolving retail
industry in India and found that the distinct store features as
perceived by respondents with true motivations of various
consumers in patronizing various stores. Study suggests that
consumers of Indian unorganized retail market do not require the
service paraphernalia offered by many retailers. Store
environment plays a vital role for store patronage and repeat
purchases which includes convenience, value for money
products, etc.
 Backstrom & Johansson (2006)iii studied factors that influence
consumers' in-store experiences. In-store experiences are
constituted by traditional values such as the behavior of the
personnel, a satisfactory selection of products, price and a layout
that facilitates the store visit.
Terblanche & Boshoff (2006)iv suggested that retailers will
have to accept that it is not only what they are marketing but
also how it is done. The personal (face-to-face) interaction
between retail staff and shoppers is of critical importance.
Kalhan (2007)v studies the impact of organized retail on
unorganized retail shops. Major findings reveal that 70 % of
unorganized retailers reported falling sales. This fall in sales is
due to superior shopping environment, convenience, availability
of variety, ambience of shop, and availability of parking space
and perception of quality of products sold in organized retail
setup.
Goswami (2008)vi studied the shopping experiences in kirana
stores and in modern stores. The major findings suggest Kirana
stores to improve or to enrich shopping experiences. Kiranas also
have to stay alert, try to upgrade and have to improve on service
quality while concentrating on innovation and efficiency.
Das & Kumar (2009)vii studied the impact of sales promotion on
consumers shopping experiences. A major finding reveals that
keeping product satisfaction constant, sales can be improved by
enhancing shopping experience which includes convenience of
shopping, ease of locating products, easy check in and
checkouts, customer friendly sales people and customer friendly
policies. Secondly finding reveals that purchase decision for the
same product under same promotion at different stores may vary
because difference in shopping experiences provided by different
stores. Further this study shows that promotion plays a limited
role on consumers buying behavior where only small percentage
 of people are attracted to such sales promotion and wait for it.
Study lastly emphasizes on the importance of shopping
experience (ease of shopping, parking space, convenience etc.)
for positively impacting consumer buying behavior.
Goswami & Mishra (2009)viii seek to understand whether
Indian consumers are likely to move from traditional Kirana
stores to large organized retailers while shopping for groceries.
The research finding reveals that customer patronage to grocery
stores was found to be positively related to location, helpful,
trustworthy salespeople, and home shopping, cleanliness, and
offers, quality and negatively related to travel convenience.
Kiranas do well on location but poorly on cleanliness, offers,
quality, and helpful trustworthy salespeople. The converse is true
for organized retailers. Study also finds that Kiranas have major
disadvantages on all customer perception scores except location.
These scores being less important determinants of patronage
compared with location, in the short run kiranas may not be
ousted out of customers' flavor. However, in the long run if they
do not work on these other factors, they would face oblivion.
Kiranas need to upgrade their facilities to be able to compete
with the organized retailers to provide consumers better
shopping experiences, whereas organized retailers which are
expected to improve their location scores rapidly in the near
future will grow rapidly.
Inside store (2009)ix studied the shopping experiences at
traditional Indian retail stores. Major findings reveal that 70% of
purchases are made at the point of purchase, so store
environment can impact the 70% of purchases which is one of
the important constituent of shopping experience in unorganized
retail setup.
Mittal and Parashar (2010)x explained that irrespective of
area, people prefer grocery stores to be nearby, product
 assortment is important for grocery. Ghosh & Srivastava (2010) in
his research found that service quality has become vital for
service firms to pay attention due to increased competition.

Sivaraman (2010)xianalyzed customer attitude toward

unorganized retailers on the attributes of store image, range of
products, brand choices, price, store ambience, credit
availability, shop proximity and complements. However there
were no perceived difference on product freshness and customer
care. This study clearly point out that the unorganized retailers
are facing stiff competition from the organized retailers. This has
reduced their sales, profit, and employment considerably. The
operational cost, consumer credit also increased due to the
presence of organized retailers.

Kumar (2011)xiistudied on the strategies of unorganized

retailers with reference to consumer durables and found that a
product strategy which means merchandise is the most
important factor followed by price, distribution and promotion.
Kushwaha (2011)xiii compared the perception of consumers in
organized and unorganized retail market and found that factors
like cleanliness, distance, price, quality, safety and space for
shopping are the determinant factors for unorganized retail.
Purohit and Kavita(2013) according to their studies that the
traditional retailers are not very much clear about the
consequences of the modern retailing the traditional retailers are
neutral or undecided, modern retailing will cut the profit margin
of the traditional retailers; the modern retailing will lead healthy
competition in the market, modern retailing will reduce the sales
volume of the traditional retailers and traditional retailers should
improve customer care services in the era of modern retailing.
 Shaoni Shabnam (2013): It is important to highlight that in
organized retail, the status of employment is much better than
that in unorganized retail. Hence it is definitely desirable that
more and more labor gets absorbed in this sector of retail. In the
current context, the labor employed in unorganized retail stands
unfit for finding employment in organized retail. If appropriate
training and skills could be imparted to them, it is possibly
feasible to offer better forms of employment to them in the
organized retail sector. The status of employment is much better
than that in unorganized retail. Hence it is definitely desirable
that more and more labor gets absorbed in this sector of retail. In
the current context, the labor employed in unorganized retail
stands unfit for finding employment in organized retail. If
appropriate training and skills could be imparted to them, it is
possibly feasible to offer better forms of employment to them in
the organized retail sector.
Meeta Punjabi (2013): According to their study they suggest
that the development efforts in this area are based on three
grounds: First, farmers associated with the modern value chains
earn higher returns than selling to the traditional markets.
Second, the modern supply chains have specific quality
requirements which are easier to meet by the large and medium
farmers and the small farmers tend to get left out of these
markets.Third, there are several successful examples of linking
small farmers to these modern value chains with effort from
government agencies, NGOs and development agencies. This
knowledge presents strong grounds for a closer look at the
emerging sector in India.
Mathew Joseph (2013): Unorganized retailers in the vicinity of
organized retailers experienced a decline in their volume of
business and profit in the initial years after the entry of large
 organized retailers. The adverse impact on sales and profit
weakens over time. There was no evidence of a decline in overall
employment in the unorganized sector as a result of the entry of
organized retailers. There is some decline in employment in the
North and West regions which, however, also weakens over time.
The rate of closure of unorganized retail shops in gross terms is
found to be 4.2% per annum which is much lower than the
international rate of closure of small businesses. The rate of
closure on account of competition from organized retail is lower
still at 1.7% per annum. There is competitive response from
traditional retailers through improved business practices and
technology up gradation. A majority of unorganized retailers is
keen to stay in the business and compete, while also wanting the
next generation to continue likewise. Small retailers have been
extending more credit to attract and retain customers.

BACKGROUND OF THE STUDY

The Indian Retail Industry is the fifth largest in the world. Comprising of organized and
unorganized sectors, Indian retail industry is one of the fastest growing industries in India,
especially over the last few years. Though initially the retail industry in India was mostly
unorganized, however with the change of taste and preferences of consumers, the Industry
is getting more popular these days and getting organized as well. The Indian Retail
Industry is expected to grow from US$330 billion in 2007 to US$640 billion by 2015.

According to the 10th Annual Global Retail Development Index (GRDI) of A.T. Kearney,
India is having a very strong growth fundamental base thats why its the perfect time to
enter into Indian Retail Market. Indian Retail Market accounts for 22% of countrys GDP
and it contributes to 8% of the total employment. The total retail spending is estimated to
double in the next five years. Of this, organized retail currently growing at a CAGR of
22%- is estimated to be 21% of total expenditure. The unorganized retail sector is expected
to grow at about 10% per annum with sales expected to rise from $309 billion in 2006-07
to $496 billion in 2011-12. This paper focused on changing face of Retail Industry,
organized or unorganized retail industry, major players in retail industry and also highlights
the challenges faced by the industry in near future.

Indian Retail Industry

Indias Retailing Boom has acquired further momentum, dynamism and vibrancy with
international players experimenting in the Indian market and the countrys existing giants
taking bold innovative steps to woo the consumer. At the same time, the early entrants are
redefining their strategies to stay competitive and suit the new market landscape.

The next few years are liking to witness rapid growth in the organized retailing sector with
several leading international players establishing their presence in India by adjusting their
formats to suit local tastes and buying behaviour while regional players have stepped up
their defences and are striving to gain edge over global players by using their knowledge of
local markets. Clearly the next wave of the retail boom is upon us. Retailing is one of the
pillars of the economy in India. Over the past few years, the retail sale in India is hovering
around 33-35% of GDP as compare to 20% in the US.

The Indian retail industry is the fifth largest in the world. Comprising of organized and
unorganized sectors, Indian retail industry is one of the fastest growing industries in India,
especially over the last few years. Though initially, the retail industry in India was mostly
unorganized, however with the tastes and preferences of the consumers, the industry is
getting more popular these days and getting organized as well. Now with growing market
demand, the industry is expected to grow at pace of 25-30% annually.

The Indian retail industry is currently growing at a great pace and is expected to go up to
US $ 833 billion by the year 2013. In the last four years consumer spending in India has
climbed up to 75%. In India though, organized retail accounts for app. 5-6% of total retail
revenues, however, with a young population, increasingdisposable income, changing life
styles and a robust economy India is set to emerge as one of the fastest growing organized
retail markets in the world.
Retailing is one of the biggest sectors and it is witnessing revolution in India. The new
entrant in retailing in India signifies the beginning of retail revolution. India's retail market
is expected to grow tremendously in next few years. According to AT Kearney, The
Windows of Opportunity shows thatRetailing in India was at opening stage in 1995 and
now it is in peaking stage in 2006. The origins of retailing in India can be traced back to
the emergence of Kirana stores and mom-and-pop stores. These stores used to cater to the
local people. Eventually the government supported the rural retail and many indigenous
franchise stores came up with the help of Khadi & Village Industries Commission. The
economy began to open up in the 1980s resulting in the change of retailing. The first few
companies tocome up with retail chains were in textile sector, for example, Bombay
Dyeing, S Kumar's, Raymonds, etc. Later Titan launched retail showrooms in the
organized retail sector. With the passage of time new entrants moved on from
manufacturing to pure retailing.

Retail outlets such as Food world in FMCG, Planet M and Music world in Music,
Crossword in books entered the market before 1995. Shopping malls emerged in the urban
areas giving a world-class experience to the customers. Eventually hypermarkets and
supermarkets emerged. The evolution of the sector includes the continuous improvement in
the supply chain management, distribution channels, technology, back-end operations, etc.
this would finally lead to more of consolidation, mergers and acquisitions and huge
investments. India's retail market is expected to grow tremendously in next few years.
India shows US$330 billion retail market that is expected to grow 10% a year, with modern
retailing just beginning.

In India, the most of the retail sector is unorganized. The main challenge facing the
organized sector is the competition from unorganized sector. Unorganized retailing has
been there in India for centuries. The main advantage in unorganized retailing is consumer
familiarity that runs from generation to generation. It is a low cost structure; they are
mostly operated by owners, have very low real estate and labour costs and have low taxes
to pay. Organized retail business in India is very small but has tremendous scope.
Data Analysis and interpretation
1.Are you a localite (Bangalore based) or are you from other place and
working here ?

No Of Responds Percentage
Bangalore based 85 61
Other 55 39
TOTAL 140 100

Figure showing of responds.

 Other

Bangalore based

Interpretation: The above figure showing the data

collected from the responds shows that 61% of them are
from Bangalore and 39% of them are from outside
Bangalore.

2. Do you prefer to Organized or Unorganized retail shops for your

purchase?

Responds Percentage
Organized Retail 90 65
Unorganized 40 28
Retail
Depends/Not 10 7
Fixed
TOTAL 140 100
Figure showing what people prefer :-

Depends/Not Fixed; 7%

Unorganized Retail ; 29%

Organized Retail ; 64%

Interpretation: The figure is showing 64%of the

people are preferred to the organized retailing
sector , 29% of the preferred to the unorganized
retailing and 7% of the people said it depends.

3. How did you make your most recent purchase?

Respond Percentage
Online 28 20
By phone 21 15
By mail/catalogue 14 10
In-person/in-store 70 50
Through a dealer 7 5
TOTAL 140 100
 Most recent purchase

through a dealer; 5%
1st Qtr; 20%

2nd Qtr; 15%

In personal/in store; 50%
By mail/catalogue; 10%

Interpretation: The figure showing the recent

purchase done by the consumer its shows that 50%
of the people purchased from personal/stores,20%
of them purchased from online, 15% of them had
purchased from phone ,5% of them purchased
through the mail/catalogue and 5% of them
purchased from them dealers .

4. If you organized Retail, Which shop do you prefer?

Respond Percentage
D-Mart 14 10
Big Bazar 42 30
Spinach 28 20
Reliance Fresh 35 25
other 21 15
TOTAL 140 100

Figure showing the preferred retain organization:-

Other; 15% d-MART; 10%

Big Bazar; 31%

Reliance Fresh; 26%

sainach; 18%

Interpretation: The figure showing the from were people

prefer to purchase its shows that 31% of the people prefer to
purchase from big bazaar, 26% of the people prefer to purchase
from reliance fresh, 18%of the people prefer to purchase from
sainach, 31% of the people prefer to purchase from big bazaar,
10% of the people prefer to purchase from d mart, 15%of the
people prefer to purchase from other.

5. What do you shop, how often from where?

Daily Weekly Monthly TOTAL

Vegetables 7 4 3 14
Grocery(Dal 7 14 28 49
Rice ,Wheat)
FMCG 7 14 7 28
Garments/Cl 0 3 4 7
othes

Utensils 7 10 11 28
Oil 4 10 14
TOTAL 28 49 63 140
Figure showing how offen they shop:-

Frequent of shopping

Daily; 20%

Monthy; 45%

Weekly; 35%

Interpretation: The above figure shows the how

offen they shop according to the study its shows
that 20% of the people shop daily ,35% of the
people shop weekly and 45% of people shop
monthly .

6. Why do you prefer to go for Organized Retail formats?

Responds Percentage
Price is less 15 10.71
Near house 14 10.00
Everything at 21 15.00
one place
Good Service 12 08.57
Good Quality 20 14.28
Long 14 10
Relationship
Good Offers 10 07.15
Large Variety 11 07.85
Self Service 10 07.15
Overall 13 09.29
experience
TOTAL 140 100

Figure showing public prefer to go for retailing format:-

Format of retailing

Price is less; 11%

Overall experience; 9% Near house; 10%
Good
Good seifOffer;
service;
Quality; 14%7% 7%
Everything in 1 place; 15%
Large
Long Variety;
Relation; 8%
10%service; 9%
Good

Interpretation : The format retailing shows that 10.71% of

the people shop because of the price is less ,10% of the shop to
near to there house ,15% of them shop from everything get at one
place,8.57% go for good service,14.28% of go for good quality, 14%
go for the long relationship, 7.85% go for the large variety, 7.15% of
them go for the self service, 9.29% go for overall experience.
8. What is your gender?

Responds Percentage
MALE 84 60
FEMALE 56 40
TOTAL 140 100

Figure showing of gender:-

FEMAIL; 40%

MALE; 60%

Interpretation : The figure shows the out of the

total 40% of the 140 are female that is 56. And
60% of 140 them are male that is 84.
9. What is your age?

Responds Percentage
18 or under 21 15
19-35 55 40
36-50 39 28
50 or more 25 17
TOTAL 140 100

Age
60

50

40
Series 1
30

20

10

0
18 as under 19-35 36-50 50 or above

Interpretation: In these study we observed that under 18

there are 15% that is 21, between the 19-35 there are 40% of that
is 55 out of 140, between 36-50 there are 28% that is 39 of 140 ,
between 50 and above there are 17% that is 25 of 140.

10. What is your annual household income?

Responds Percentage
Under 25000 pm. 21 15
25000-50000 42 30
50000-75000 35 25
75000-100000 28 20
100000 or More 14 10
TOTAL 140 100

Figure showing annual income of household income:-

Household Income
Series 1

42
35
28
21
14

Interpretation: The figure is showing the income status of

the 140 responds in which under 25k there are 21 that is 15%,
between 25k-50k there are 42 that Is 30%, between 50k-75k
there are 35 that is 25% ,between 75k-100k there are 28 that is
20% of total, and above 100k there are 14 people that is 10% of
the total.

12. Do you plan to continue to buy organized retail ?

Responds Percentage
YES 102 85
NO 38 15
TOTAL 140 100

Figure showing what people prefer :-

Preferance

NO; 27%

YES; 73%

Interpretation: The study shows that 73% that is

102 of the total will continue shopping in organized
retailing and remaining 27% that is 38 of the total
feel they will not continue with the organized
retailing.

13. How would you rate organized retailing in term of store

cleanliness ?
 Responds Percentage
Excellent 54 38.6
Very good 43 30.7
Average 24 17.2
Fair 19 13.5
TOTAL 140 100.0

Figure showing store cleanness of organized retailing:-

60

50

40

30

20

10

0
Excellent Very Good Average Fair

Interpretation: The study is showing the store cleanness

has we analysis 38.6% that is 54 people are telling excellent in
term of cleanness, report shows that 30.7% that is 43 people tells
very good, 17.2%of people that is 24 says that stores are Average
in term of cleaning and 13.5% people that is 19 of them tells that
stores are fair in terms of cleaning.
14. How would you rate organized retailing in term of Meat
Quality/Freshness?

Responds Percentage
Excellent 43 30.8
Very good 38 27.15
Average 33 23.57
Fair. 26 18.57
TOTAL 140 100

Figure showing of meat Quality/Freshness:-

Meat Quality

45
40
35
30 Series 1
25
20
15
10
5
0
Excellent Very Good Average Fair

Interpretation: The study says that the quality of the meat

provided by the organized retailer is 30.8% that is 43 people says
quality is excellent,27.15 people that is 38 of them says that
quality is very good, 23.57% people that is 33 of them says that
quality is average and 18.57% of the that is 26 of them says that
quality is fair.
15. How would you rate organized retailing in term of Regular
Prices ?

Responds Percentage
Excellent 28 20
Very good 37 26.42
Average 36 25.71
Fair. 39 27.87
TOTAL 140 100

Figure showing pricing of organized retailing :-

Regular Pricing

40
35
30
25
20
15
10
5
0
Excellent Very Good Average Fair

Series 1

Interpretation: The study says that 20% of people that is

28 of them says that pricing in excellent, 26.42% people that is
37 says that pricing is very good, 25.71 that is 36 people says
that pricing is average and 27.87 that is 39 people says that
pricing is fair.
 16. Kindly rate the below of an organized retail and unorganized
retail based upon your preference?

POOR-1 , FAIR-2 ,AVERAGE-3 ,VERY GOOD-4 ,EXCELLENT-5

UN-
ORGANIZED ORGANIZED
Everything at one 3 4 2 1 1 0 1 2 1 3
place
Offers 7 5 7 5 4 2 1 2 2 1
Relationship 5 4 1 2 1 1 2 1 2 1
Ambience 1 4 5 2 2 1 1 1 2 1
Home Delivery 4 5 6 4 3 0 2 1 1 2
Faster 5 2 4 1 2 0 1 1 1 1
TOTAL 102 38

organized Un-Organized

1.6

1.2

1.4 1.2 0.8

1.4 5.6
4.4

2.6 2.8 2.8

2.2

At one place Offer Relationship Ambience Home Delivery Faster

17. Why do you like shopping at a department store?

Responds Percentage
Convenience 27 19.28
near where I live
Items I normally 21 15.00
buy are all under
one roof
Good customer 23 16.43
service
Excellent brand 14 10.00
name
Comfortable 24 17.15
browsing
experience
know I can ask for 31 22.14
product advice
TOTAL 140 100.0
 Series 1
35
30
25
20
15
10
5
0

Axis Title

Interpretation : In these study we seen that 27 people go

for convenience out of 140, the 21 people go for the item under
one roof,23 of the will go for the good consumer service, 14 of
them prefer for the excellent brand name, 24 for them will go for
the comfortable browsing and 31 of them will go for the know I
can ask for product advice.

18. Why do you prefer organized retailing?

Responds Percentage
Quality 47 33.89
Brand 54 38.34
Varity or choice 39 27.77
TOTAL 140 100.0

Figure showing the prefer Organized retailing:-

 Organized retailing depends on
60

50 54

47
40
39
30

20

10

0
Quality Brand Variety or choice

Interpretation: In this study it shows that 33.89% that is 47

out of 140 depends on the Quality, 38.34% that is 54 out of the
140 prefer the brand and 27.77 that is 39 out of 140 prefer the
variety or the choice. ,

19. At what time you use to visit the for retail shopping ?

Responds Percentage
Morning 46 32.85
Afternoon 31 22.14
Evening 63 45.00
TOTAL 140 100.0

Figure showing the visiting time of public:-

 Time of visit
70

60

50

40
Axis Title
30

20

10

0
Morning Afternoon Evening

Interpretation: In these showing the visit of the customer

in the organized retailing sector it shows that 32.85% that is 46
out of 140 visits in the morning, 22.14% that is 31 out of the 140
visits in the afternoon and as the graph only shows that 45% of
them that is 63 out of 140 visits in the evening .

20 Are you attracted due to offers and discounts in organized

retailing ?

Responds Percentage
YES 73 52.28
NO 67 47.72
TOTAL 140 100
Figure showing the public attracted due to offer & Discount :-

RESPONDS

73
72
71
70
Axis Title 69
68
67
66
65
64
YES NO

Interpretation: The study shows that 52.28% that is

73 out of the 140 are attracted to the offers and the
discounts and remaining 47.72% that is 67 out of the 140
are not attracted to the offers and the discounts.

Chapter 5

Findings
 The data collected from the responds shows that 61% of them are from Bangalore and
39% of them are from outside Bangalore.
The recent purchase done by the consumer its shows that 50% of the people purchased
from personal/stores,20% of them purchased from online, 15% of them had purchased
from phone ,5% of them purchased through the mail/catalogue and 5% of them
purchased from them dealers .
The study shows 64%of the people are preferred to the organized retailing sector , 29%
of the preferred to the unorganized retailing and 7% of the people said it depends.
The result from where people prefer to purchase its shows that 31% of the
people prefer to purchase from big bazaar, 26% of the people prefer to
purchase from reliance fresh, 18%of the people prefer to purchase from
sainach, 31% of the people prefer to purchase from big bazaar, 10% of the
people prefer to purchase from d mart, 15%of the people prefer to purchase
from other.
The result shows how offen they shop according to the study its shows that 20% of the
people shop daily ,35% of the people shop weekly and 45% of people shop monthly .
The format retailing shows that 10.71% of the people shop because of the price is less ,
10% of the shop to near to there house ,15% of them shop from everything get at one
place,8.57% go for good service,14.28% of go for good quality, 14% go for the long
relationship, 7.85% go for the large variety, 7.15% of them go for the self service, 9.29%
go for overall experience.
The data collection is showing the income status of the 140
responds in which under 25k there are 21 that is 15%,
between 25k-50k there are 42 that Is 30%, between 50k-75k
there are 35 that is 25% ,between 75k-100k there are 28
that is 20% of total, and above 100k there are 14 people that
is 10% of the total. By these we understand that who have
income 50k to 75k they are more attracted to organized
structure as compare to others.
The study shows that 73% that is 102 of the total will continue
shopping in organized retailing and remaining 27% that is 38 of the
total feel they will not continue with the organized retailing.
 The study is showing the store cleanness has we analysis 38.6% that is 54 people are
telling excellent in term of cleanness, report shows that 30.7% that is 43 people tells very
good, 17.2%of people that is 24 says that stores are Average in term of cleaning and
13.5% people that is 19 of them tells that stores are fair in terms of cleaning.
The study says that the quality of the meat provided by the organized retailer is 30.8%
that is 43 people says quality is excellent,27.15 people that is 38 of them says that quality
is very good, 23.57% people that is 33 of them says that quality is average and 18.57% of
the that is 26 of them says that quality is fair.
The study says that 20% of people that is 28 of them says that pricing in excellent,
26.42% people that is 37 says that pricing is very good, 25.71 that is 36 people says that
pricing is average and 27.87 that is 39 people says that pricing is fair.
In these study we seen that 27 people go for convenience
out of 140, the 21 people go for the item under one roof,23
of the will go for the good consumer service, 14 of them
prefer for the excellent brand name, 24 for them will go for
the comfortable browsing and 31 of them will go for the
know I can ask for product advice.
In this study it shows that 33.89% that is 47 out of 140
depends on the Quality, 38.34% that is 54 out of the 140
prefer the brand and 27.77 that is 39 out of 140 prefer the
variety or the choice.
In these showing the visit of the customer in the organized
retailing sector it shows that 32.85% that is 46 out of 140
visits in the morning, 22.14% that is 31 out of the 140 visits
in the afternoon and as the graph only shows that 45% of
them that is 63 out of 140 visits in the evening
The study shows that 52.28% that is 73 out of the
140 are attracted to the offers and the discounts and
remaining 47.72% that is 67 out of the 140 are not
attracted to the offers and the discounts.

Managerial Implications Be everywhere, do everything and never fail to astonish the customer.
Macys Motto

For Unorganized Retail

 Unorganized retailers should purchase variety of products from the single
wholesaler to avail adequate discounts so that they meet the cost
expectations and needs of their customers.
The unorganized retailers should continuously improve their display to compete with the
organized sector.
The unorganized retailers should provide adequate self service facilities to the customers.
The unorganized retailers should offer cash discounts to customers on bulk purchases.
The unorganized retailers should offer attractive weekly or monthly schemes for
groceries and other items and promote them through leaflets or pamphlets. If they target
only category killer customers, it could help them to retain customers.
Unorganized retailers should make remarkable changes in their store ambience to retain
the existing customers and attract new customers with sophisticated facility and more
space.
The unorganized retailers should make a strategy to retain their customers by providing
quality goods and services because it is well said that Quality is remembered long after
the price is forgotten. - Gucci Family Slogan
They should also go for collaborations within the regional level so that they can survive
in this globally competitive world.

For Organized Retail

organized retailers should provide attractive offers to compete with the

unorganized sector.
The organized retailers should offer lucrative schemes, discounts to generate
costumers stimulus.
The organized retailers should provide necessary arrangements for home
delivery of goods.
Organized retailers have been adding value to their products through prices,
services and offers to attract and retain customers.
Organized retailers should organize efficient and effective loyalty programs.
This could help in providing recognition to the customers.
Organized retailers should make necessary arrangements for consumer
complaint management because customer complaints are the schoolbooks
from which they could learn

Suggestion
 The organized stores should have more cleaness
If we see the un organized stores they should improve

their quality of the loose product.

In the un-organized stores the store man should use

the hand gloves and should be properly dressed.

The organized stores improve there service it mean

all variety should be kept in a sequence way so it will

be easy for the consumer.

Conclusion
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