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RETAIL BUSINESS MANAGEMENT

Submitted By;
ADALBERT P SHA
MBA A
b2055
DMart is a one-stop supermarket chain that aims to offer customers a wide range of basic
home and personal products under one roof. Each DMart store stocks home utility products -
including food, toiletries, beauty products, garments, kitchenware, bed and bath linen, home
appliances and more - available at competitive prices that our customers appreciate. Our core
objective is to offer customers good products at great value.
DMart was started by Mr. Radhakishan Damani and his family to address the growing needs
of the Indian family. From the launch of its first store in Powai in 2002, DMart today has a
well-established presence in 158 locations across Maharashtra, Gujarat, Andhra Pradesh,
Madhya Pradesh, Karnataka, Telangana, Chhattisgarh, NCR, Tamil Nadu, Punjab and
Rajasthan. With our mission to be the lowest priced retailer in the regions we operate, our
business continues to grow with new locations planned in more cities.
The supermarket chain of DMart stores is owned and operated by Avenue Supermarts Ltd.
(ASL). The company has its headquarters in Mumbai.

QUESTION 1

DMart – CURRENT CLIMATE AND SITUATION


D-Mart seeks to provide a one-stop shopping experience for the entire family, meeting all
their daily household needs. A wide selection of home utility products is offered, including
foods, toiletries, beauty products, garments, kitchenware, bed and bath linen, home
appliances and much more. D-mart’s vision is to make available products/categories for the
customer’s everyday use at the ‘best’ value than D-Mart is constantly expanding across
departments to keep pace with our rapidly growing business.
DMart further claimed that by the end of the current fiscal, the group will have more than 700
Stores from the present. Each such store will have an investment of around Rs. 18 lakhs.

INDUSTRY – RETAIL INDUSTRY


Retailing is one of the pillars of the economy in India and accounts for 23% of GDP. Most
Indian shopping takes place in open markets and millions of independent grocery shops
called kirana. Organized retail such supermarkets accounts for just 8% of the market as of
2016. Regulations prevent most foreign investment in retailing. Moreover, over thirty
regulations such as "signboard licenses" and "anti-hoarding measures" may have to be
complied before a store can open doors. There are taxes for moving goods to states, from
states, and even within states. An increasing number of people in India are turning to the
services sector for employment due to the relative low compensation offered by the
traditional agriculture and manufacturing sectors. The organized retail market is growing at
35 percent annually while growth of unorganized retail sector is pegged at 6 percent.
The Retail Business in India is currently at the point of inflection. Rapid change with
investments to the tune of US $ 25 billion is being planned by several Indian and
multinational companies in the next 5 years. It is a huge industry in terms of size and
according to management consulting firm Technopak Advisors Pvt. Ltd., it is valued at about
US $ 350 billion. Organized retail is expected to garner about 16-18 percent of the total retail
market (US $ 65-75 billion) in the next 5 years.
India has topped the A.T. Kearney ‘s annual Global Retail Development Index (GRDI) for
the third consecutive year, maintaining its position as the most attractive market for retail
investment. The Indian economy has registered a growth of 8% for 2017. The predictions for
2018 are 9-10%. The enormous growth of the retail industry has created a huge demand for
real estate. Property developers are creating retail real estate at an aggressive pace and by
2021, 1300 malls are estimated to be operational in the country.

RETAIL SECTOR
D-Mart is a chain of hypermarket and supermarkets in India started by R K Damani. It
founded in 15th May 2002 As of 2016, it has 110 stores spread across Maharashtra, Gujarat,
Telangana, Andhra Pradesh, Madhya Pradesh, Chhattisgarh and Karnataka. The company
shows a good pace in advancing towards expanding across India. D-Mart is a one-stop
supermarket chain that aims to offer customers a wide range of home and personal products
under one roof. Each DMart store stocks home utility products - including food, toiletries,
beauty products, garments, kitchenware, bed and bath linen, home appliances and more -
available at competitive prices that our customers appreciate. DMart today has a well-
established presence in 110 locations across Maharashtra, Gujarat, Andhra Pradesh, Madhya
Pradesh, Karnataka, Telangana and Chhattisgarh. With our mission to be the lowest priced
retailer in the regions we operate, our business continues to grow with new locations planned
in more cities.

CONSUMER BEHAVIOUR AND COMPETITIVE PRESSURES

D-mart’s vision is to make available products/categories for the customer’s everyday use at
the ‘best’ value than D-Mart is constantly expanding across departments to keep pace with
our rapidly growing business. D-Mart will believe in ‘learning through opportunities’. As an
equal opportunity employer, it strongly believes that ANYBODY can be a part of D-Mart. it
encourages candidates from every background to bring in their best in terms of new ideas,
innovative thinking and positive outlook towards work. They judge their prospective and
existing employees only on the basis of their professional mettle. It has consumers from all
kinds of religious background. It is why to stay up to date and to make sure that the
consumers from all religious backgrounds are satisfied they offer separate deals.
D-Mart is a major shopping complex for today’s customers. It is a place where customers
find variety of products at a reasonable price. The majority of customers belong to middle
class family. The youth generation also likes shopping & moving around D-mart. As it is
surveyed it seems that D-Mart is big competitors store at today’s level.
D-Mart’s main competitors are More, Hyper CITY Room story and
Easyday. Hyper CITY is Mahindra Retail's biggest rival. Hyper CITY was founded in
Mumbai, Maharashtra} in 2004. Hyper CITY operates in the Hypermarkets & Super Centres
industry. Compared to Mahindra Retail, Hyper CITY generates $140M more revenue. More
store is Mahindra Retail's #3 competitor. More store was founded in 2007 in Mumbai,
Maharashtra. More store operates in the Hypermarkets & Super Centres industry. More store
generates $80M more revenue than Mahindra Retail. Room Story is an online store that sells
kitchenware, barware, decoration items, bed linen and home appliances.
Room story’s headquarters is in New Delhi, Delhi. Room story has a revenue of $1.5M, and
49 employees. Room story’s main competitors are D-Mart, D- Mart and Zingy Homes. Easy
day is an Indian retail brand that runs chains of consumer retail Department stores. The brand
is wholly owned by Bharti Enterprises limited and is operated by its subsidiary, Bharti Retail
limited which is headquartered in New Delhi.

QUESTION 2

EVOLUTION OF DMART

D-Mart is a chain of hypermarket and supermarkets in India started by R K Damani. It


founded in 15th May 2002 As of 2016, it has 110 stores spread across Maharashtra, Gujarat,
Telangana, Andhra Pradesh, Madhya Pradesh, Chhattisgarh and Karnataka. The company
shows a good pace in advancing towards expanding across India.
The retailer has 29 stores in Maharashtra and Gujarat and is likely to double that
number in the next two years. “The plan is to close financial year 2010 with 35 stores, up
from 29,” a D-Mart executive said. A second executive said, on condition of anonymity, D-
Mart will add 10-15 large-format stores of 30,000-40,000 sq. ft every year for the next two
years. D-Mart did not reply to email queries. Industry observers said D-Mart enjoys an edge
due to its combination of large stores and a value platform. D-Mart is a one-stop supermarket
chain that aims to offer customers a wide range of home and personal products under one
roof. Each DMart store stocks home utility products - including food, toiletries, beauty
products, garments, kitchenware, bed and bath linen, home appliances and more - available at
competitive prices that our customers appreciate. Our core objective is to offer customers
good products at great value.
D-Mart was started by Mr. Radhakishan Damani to address the growing needs of the
Indian family. From the launch of its first store in Powai in 2002, DMart today has a
wellestablished presence in 110 locations across Maharashtra, Gujarat, Andhra Pradesh,
Madhya Pradesh, Karnataka, Telangana and Chhattisgarh. With our mission to be the lowest
priced retailer in the regions we operate, our business continues to grow with new locations
planned in more cities.
The supermarket chain of D-Mart stores is owned and operated by Avenue Supermarts Ltd.
(ASL). The company has its headquarters in Powai, Mumbai.
The product mix is good & lot of variety is available. The D-Mart offer price and the Max.
Retail Price both ware visible on the price card. The whole area was divided as per the
products that they offered like apparels, stationeries, crockery’s, sanitary items, gift articles,
steel items, detergents, vegetables, fruits etc. D-Mart executives credit the chain’s operating
model for its smooth sailing. The chain pays its suppliers within 48 hours of delivery, gaining
a 1-2% advantage on cost margin over other national retailers, claimed the first company
executive mentioned earlier.
D-Mart offers a wide selection of products in the following categories:
• Foods
• Toiletries and Beauty products
• Garments
• Kitchenware
• Bed and Bath linen
• Toys & Games Stationery
• Home Appliances
• Footwear

BUSINESS MODEL

DMart is currently following a B2B model. As per the current business model, the
franchisee used to sell the DMart products across the length and breadth of the country.
The process was made very simple for franchisee as their involvement was only limited to
take orders from the customers. Rest of the entire cycle of delivering the booked orders
on to the customers ‘door step used to fall under the periphery of DMart. The Agony
doesn ‘t ends here, after going through the pain of delivering the goods, Big Bazaar also
used to pay commission to the franchisee that miffed company the most.
It is not saying that Easyday has been changed to so and so, but company is in a
transition process and thereby, it will share the details when everything is finalised.
Cost control has been another key focus area of DMart. Unlike its peers in the retail
space, DMart has steered clear of exuberant spending on marketing and advertising. It has
simple store plans and has never set up fancy stores in malls or launched multiple formats
and categories. Instead, it moved forward taking measured steps. It owns most of its
stores or has them on 30-year long-term leases. This has brought down costs further as
real estate dents revenues to some degree.
Besides avoiding swift and costly expansion strategies to gain market share, DMart has
also avoided forking out astronomical pay packages to top honchos. In fact, it does not
hire high profile executives like its competitors.
Radhakrishnan Damani very tactically infused professional management and
remained outside of daily business decision making of Avenue Supermarkets, the
parent holding company of D-Mart. Neville Noronha is CEO of Avenue
Supermarkets. This is the business instinct of Damani, who knows better when to
interfere and when not to in Business even being the owner. This is where most of the
companies in India fail. Professional management allowed D-mart to make Quick
decisions.
CORPORATE STRATEGY AND GOALS

1. Keep an eye on the long term

Like Warren Buffett, Damani too has been a value investor who would take canny view
of the long term. When he turned an entrepreneur, he retained the same approach and
built D-Mart without relying on any quick shortcuts. For instance, he never leases
property for his stores but buys it. In the long term, it saves him from a big rental outgo.
This was a key factor behind the profitability of D-Mart.

2. Value your people


Damani began with buying a franchise of Apna Bazar. That was when he began building
personal relations with vendors and suppliers. He values both and they never let him
down. The stores never go out of stock.

3. Buy low, sell cheap


Damani knew what he was doing: offering people consumer products of daily use at
heavy discounts. That became his only goal. One of his methods was to pay his suppliers
and vendors within days

4. Go local
Even though D-Mart is the most successful grocery retail chain of the country, Damani
has confined it to the western states. One reason is his reliance on local supplies instead
of elaborate supply chains.

5. Go slow
Though D-Mart started 16 years ago, it still has 119 stores in a few states, a small number
compared to those owned by Ambani and Biryani. Instead of rapid expansion, Damani
adopted a slow pace which gave him his focus.

6. No frills
Damani knew the purpose behind his enterprise was to supply consumer goods at lower
prices. He did just that, without wasting his energy on frills. His stores have limited range
of products and have simple decor. People come for just one thing: lower prices. The trait
reflects in his own appearance. He wears only white shirt and white trousers, for which he
is called "Mr White and White".

7. Ignore the herd


Damani had learnt and practised with success the art of not following the herd while he
was an investor. As an entrepreneur, he has the same approach. There have been so many
new-fangled ideas in retail, such as various e-commerce trends, which he did not give any
importance. Fashions or trends cannot influence the man who knows what he wants and
how he can get it.
Goals
At DMart, we research, identify and make available new products and categories that suit the
everyday needs of the Indian family. Our mission is to provide the best value possible for our
customers, so that every rupee they spend on shopping with us gives them more value for
money than they would get anywhere else.

FUTURE PLANS

Going forward, D’Mart plans to expand to new locations. To ensure success, it will have to
play a fine balancing act between the ownership model and the lease model for its stores.
With all the inherent risks in land, as well as the lack of flexibility in relocation and
expansion, leasing may be worth a closer look if fast-track growth is a leading objective.
However, maintaining margins could be a challenge, as lease rentals will continue to escalate
at prime locations.

D’Mart has correctly chosen to establish and maintain its presence in highly-populated
middle income and lower middle-income markets, as it works best for this business. These
locations are typically high on lease rentals, too.

However, the foresight with which Damani has planned his real estate strategy will definitely
serve him well going forward, too. More than most, this savvy businessman and retailer have
unfailing instincts that will guide his strategy on ownership and leasing.

QUESTION 3

CORPORATE ANALYSIS

Parent company – Avenue Supermarts Ltd. (ASL)

Avenue Super Marts Ltd (ASL) owns and operates hypermarkets and supermarkets by the
store name D-Mart.
D-Mart seeks to provide a one-stop shopping experience for the entire family, meeting all
their daily household needs. A wide selection of home utility products is offered, including
foods, toiletries, beauty products, garments, kitchenware, bed and bath linen, home
appliances and much more. Since D-Mart first opened its doors in the Mumbai region in
2000, it has grown into a trusted and well-established shopping destination in Maharashtra,
Gujarat, Andhra Pradesh and Karnataka. DMart is now looking forward to growing its stores
across India. At ASL, we’re strong believers in deriving excellence in customer service
through systemic training and rigor at work. We value simplicity and humility in our people
and strongly believe that integrity and merit is the only route to growth at ASPL. We hire
professionals who share our values and unabashedly lead by example.
RETAIL BUSINESS PORTFOLIO
Future Consumer has surged 9% to Rs 61.95 on the BSE on back of three-fold jump in
trading volumes.
Future Market Networks (up 18% to Rs 148), Future Enterprises (17% at Rs 42.50), Future
Retail (6% to Rs 609), Future Lifestyle (5% at Rs 479) and Future Supply Chain Solutions
(3% at Rs 698) were up in the range of 3% to 18% on the BSE. On comparison, the S&P BSE
Sensex was up 0.36% at 35,446 at 09:48 am.
The eco-system will include offline and online retail, payments systems, logistics, insurance,
healthcare and entertainment. Walmart has all this and Sam Club and also an alliance with
Google. So they are also following the same strategy. In India we have the entire eco-system
which include brands, factories, supply chain, logistics etc, said Kishore Biyani
DMart is home to some of the leading consumer businesses in the country that connects with
a diverse and passionate community of Indian buyers, sellers and businesses. Operating over
more than 22 million square feet of retail space, the Group serves more than 500 million
customers through 1,800+ stores across India. With a retail presence in every state, and
through stores in more than 250 cities, the Group effortlessly qualifies as among the leading
national retailers.
DMart also owns and markets over a hundred brands in the food, FMCG, fashion and
homeware segments that cater to almost every category and consumer segments in the
country.

QUESTION 4

COMPETITORS OF DMART

D-Mart’s main competitors are More, Hyper CITY Room story and
Easyday. Hyper CITY is Mahindra Retail's biggest rival. Hyper CITY was founded in
Mumbai, Maharashtra} in 2004. Hyper CITY operates in the Hypermarkets & Super Centres
industry. Compared to Mahindra Retail, Hyper CITY generates $140M more revenue. more
store is Mahindra Retail's #3 competitor. More store was founded in 2007 in Mumbai,
Maharashtra. more store operates in the Hypermarkets & Super Centres industry. more store
generates $80M more revenue than Mahindra Retail. Room Story is an online store that sells
kitchenware, barware, decoration items, bed linen and home appliances.
room story’s headquarters is in New Delhi, Delhi. Roomstory has a revenue of $1.5M, and 49
employees. room story’s main competitors are D-Mart, D- Mart and ZingyHomes. Easy day
is an Indian retail brand that runs chains of consumer retail Department stores. The brand is
wholly owned by Bharti Enterprises limited and is operated by its subsidiary, Bharti Retail
limited which is headquartered in New Delhi.
COMPETITIVE ADVANTAGES

Variety of Products

The main competitors for D-Mart are Easy Day, More, and Reliance Fresh. Easydaysells
almost everything in the retail sector. From Easyday, you can buy packed food, vegetables,
fish, apparels, toys, footwear to hi-tech electronic goods such as TVs, cameras, iPods, etc.
They even have entertainment zones and hotels inside their stores. This offers the family a
comfortable place to do shopping and to spend time. When Easydayoffers everything under a
single store, its main competitors offer only specialized products.

Large Chain of Stores

D-Mart has 120 stores in 70 locations in India. This offers great accessibility for customers.
As they have many stores, they purchase product in bulk for cheap price from the suppliers.
This enables D-Mart to sell their products for low price.

Low Price

All the products sold in D-Mart are priced lower when compared with its competitors. In
India, the price is the main factor that attracts customers. With a right mix of marketing and
procuring the products, D-Mart is offering the products and services for the lowest price.

COMPETITIVE STRATEGIES OF DMART

The company carefully monitors the prices offered by its competitors and continuously adjust
its pricing and promotions to maintain competitiveness. The principal factors affecting
competition in the supermarket sector include pricing, product and service quality, brand
perception and taste and product variety. D-Mart believe that it distinguishes itself from its
competitors on the basis of strong branding and ownership of the same, high levels of
customer service, good café locations, trendy café format, competitive pricing and a wide
range of products.

QUESTION 5

a. SEGMENTATION AND TARGETING

Segmentation involves finding out what kinds of consumers with different needs
exist. In the auto market, for example, some consumers demand speed and
performance, while others are much more concerned about roominess and safety. In
general, it holds true that ―You can ‘t be all things to all people, and experience has
demonstrated that firms that specialize in meeting the needs of one group of
consumers over another tend to be more profitable. Several different kinds of
variables can be used for segmentation: -

1. Demographic variables essentially refer to personal statistics such as income,


gender, education, location (rural vs. urban, East vs. West), ethnicity, and family
size.
2. Another basis for segmentation is behaviour. Some consumers are ―brand
loyal‖—i.e. they tend to stick with their preferred brands even when a competing
one is on sale.

b. POSITIONING

Positioning involves implementing our targeting. DMart positioning to its


targeting customer, middle class by giving discount offers, working women by
monthly saving bazaar and home makers by providing a wide range of food, non-
food, fruits and vegetable
As far as its competitors like Big bazar, EasyDay are concerned, they are premium
brands that will cater only to those who are willing to give some extra for the
quality of products and services provided. So the competitors of DMart is so far
unsuccessful in penetrating the markets.

c. TECHNOLOGY

The company‘s vision is to build a virtual digital store that is open to customers
24/7 that is managed with digital data, so orders can be placed from anywhere,
anytime and anyplace, with options of express delivery, standard delivery, instore
pick-up, etc.

d. LOCATION STRATEGIE

D-Mart's expansion began in 2007, when stores were opened in Ahmedabad, Baroda, Pune,
Sangli and Solapur. Today D-Mart is established in 46 locations across Maharashtra, Gujarat,
Andhra Pradesh and Karnataka, in:
Maharashtra, Mumbai, Navi Mumbai, Thane, Pune, Solapur, Sangli , Gujarat
Ahmedabad, Rajkot, Baroda, Surat , Anand Amravati, Kolhapur, Andhra Pradesh
Hyderabad, Karnataka, Bangalore.

Layout
People often complain that Big Bazaar outlets always look very crowded. But few realize that
it is concisely designed to look just like that. When the shop looks neat and empty, the
masses never walk into it. There has to be what is called the ‗buttonbush effect ‘, and an
‗organized chaos ‘. As Indians, we like bumping into people, chatting, gossiping and eating
while we shop! Big Bazaar layout consists of layout of long rows of parallel fixtures; with no
aisles because aisles can be boring they restrict space and can ‘t be dramatized. At Big
Bazaar, they create multiple cluster or mini-bazaars within every store. It was designed as an
agglomeration of bazaars with different sections selling different categories ‘―It uses space
efficiently. It provides easy sitting of merchandise and linking of the product throughout the
store. It allows more customers in the store at any time. Allows staff of the store to work
easily alongside the customers without disturbing them. Provide self-service atmosphere.
MERCHANDISING STRATEGIES

Main objective of the store layout is to maximize the interface between customers and
merchandise‖ It provides easy accessibility to the customers to view the offerings of the store.
Layout of the store has been strategically designed in order to make effective use of
merchandise and passage to draw customers‘ attention on store‘s offerings.DMart has a wide
range of merchandise they have both branded and unbranded products like:

Home line items: Like bed sheets, pillow covers, carpets to kitchen utility items like steel
utensils and crockery and other minor utility items required in a house.
Electronic items: like refrigerator, T.V, vacuum cleaner, music system, vacuum cleaner,
washing machine. Etc
Mobile Zone: A wide range of mobile phones and accessories is available at lowest possible
price
Furniture: All kinds of furniture are available that one may require to decorate their house.
Opticians: In this section all brands and types fashion glasses are available
Men Ladies and kids wear: This section includes fashion and casuals wear for men ladies
and kids both branded and unbranded.
Foot wear: In this section footwear for men women and kids is made available.
Music: A wide collection of CDs DVDs is made available
Toys: All kinds of toys for children is available Stationary: all kind of office stationery and
stationery for school going kids is Available.

e. PRICING
Price determination is referred to as the processes and activities employed to arrive at a price
for a product including consideration of relative prices of products within the same line, and
differences in price for similar products of differing grades and qualities. Price administration
is referred to as the activities involved in fitting basic prices to particular sales situations such
as geographic locale, functions performed by customers, position of distribution channel
members, or special sales situations.

f. ADVERTISEMENT AND SALES PROMOTIONS

Advertising is recognized as an indispensable tool of promotion. It has acquired a lot of


significance in the national and international markets. With the advent of globalization and
liberalization its imperativeness in the Indian retail sector has increased as a result of
competitions, latest technologies, and the rapidly changing consumer lifestyles. Objectives of
Advertising:
The fundamental objective of advertising is to sell something –a product, service, or an idea.
The Major Objectives of advertising are:
1. To promote a new product.
2. To warn the public against imitation of the retailer ‘s product.
3. To manage competition in the market.
b. Benefits of Advertisements:
1. Advertisement helps in creating awareness among the customer about the
existence, price, and availability of product.
2. Increases the utility of existing products.
3. It educates customer about new product and their diverse uses.
QUESTION 6

FINANCIAL ANALYSIS

• REVENUE GROWTH

FY16 FY17

DMart $1.78 Billion $1.86 Billion


Big Bazar $9.31 Billion $10.3 Billion

With lesser number of shops in hand, Big bazar is performing very well to add on to the
growth of its revenue. With only 33 outlets in hands Big bazar has increased its revenue from
$9.31 to $10.3.Whereas DMart is having 121 outlets and more and the total revenue stands to
$1.86 Billion, which indicates that each EASYDAY outlet is only having a sales of 84 lakhs.

QUESTION 7

SWOT ANALYSIS OF DMart

STRENGTHS
Focus on long-term: Damani, the founder of D Mart is an investor and thus the company has
been focused entirely on long-term gains. This has made the company maximise its returns
through a value is driven pricing strategy.

Slow scaling up: D Mart started off on a very low-key note and slowly took its time to move
up the ladder. This gave the company a better control and deeper understanding of its supply
chain and also helped them manage the bottom line better.

People-centric management style: D Mart has a very good employee policy in place and is
very transparent in its employee relations. They also have a good relationship with vendors
and suppliers and the stakeholders are happy.

Discount Policy: One factor that delineates D Mart from its competitor is its huge discount
policy. The retailer sells essential goods at a flat discount price which most competitors
cannot match and this helped them penetrate the market.

Clear price-based differentiation: D Mart never followed the trends set by other competing
retail brands but believed in setting their own trends. They captured the market through a
clear price-based differentiation and priced their goods at significantly lower prices than
competitors.

WEAKNESS

Focus on certain places: Quite unlike their competitors, who are present everywhere, D
Mart has focused more on the Western States and has a very low presence in the South. This
has restricted them from gaining market prominence.
Slow growth: D Mart has established almost 16 years ago much before the retail boom set a
fire in India. However, it has not been able to capture the market even as much as many of
the later entrants primarily because of its long-term focus.

Sustainability of low pricing: The company has a zero-credit policy and thus vendors and
suppliers give them a much better price which is how the company is able to afford the low
prices that the competitors cannot imagine.

No frills: D Mart follows a no-frills approach where the focus in to cut costs wherever
possible. Their facilities are basic and lack the frills of most upmarket retailers. The
customers who come here essentially look at the low prices of products on offer. So thus, the
sustainability of this differentiator is questionable.

OPPORTUNITIES

Technology: Technology has a lot to offer to retailers in terms of in-store experiences and
retailer can use IoT, artificial intelligence etc to create value-adding services to their
customers for which a premium can be charged.

Personalization of services: Customers are looking for personalized services for which they
are willing to pay extra. Retailers should capitalize on this propensity to pay more and
increase the quality of their services.

THREATS

Online retailers: People in cities especially are highly lethargic about leaving their homes
and prefer to shop online today. Companies like Amazon and Flipkart thus become major
threats to most retailers.

Online Start-ups: The hottest trend in India is online start-ups. Many of them are
aggregators who bring together the supplier and the customer cost-effectively. These
companies are the emerging threats more so because many new brands are cropping up in the
aggregation market primarily because of lower barriers to entry.

QUESTION 8

If I get an opportunity to work as the CEO of easyday, I would like to implement the
following strategies,

• D-mart should include more of branded products its product category as compare to
stores. So as to attract the brand choosy people to come in to D-Mart.

• D-Mart should keep offers to attract customers in regular intervals so that there should
not be long term gap, because offer is the most influencing factor which is responsible
for customer purchase decision.

• They also concentrate on hoardings advertisements they should show ads and
promotional offers in a regular interval in languages like Hindi & English.
• The infrastructure is needed to be changed to a bit during weekends as heavy crowd
comes in to D-Mart during those days.

CONCLUSION

D-Mart is a hypermarket as it provides various kinds of goods like apparels, grocery,


stationary, food items, electronic items, leather items, watches, jewellery, crockery,
decorative items, sport items, chocolates and many more. It competes with all the specialty
stores of different products which provide goods at a discounted rate all throughout the year.
It holds a large customer base and it seemed from the study that the customers are quite
satisfied with D-Mart. As of now there are 110 stores of D-Mart in different cities of India, It
seems that there is a vast growth of D-Mart lying as customers demand, increasing for D-
Mart. It has emerged as a hub of shopping specially for middle class people.

BIBLIOGRAPHY
https://www.marketing91.com/swot-analysis-d-mart/
http://www.dmartindia.com/
https://en.wikipedia.org/wiki/DMart
https://economictimes.indiatimes.com/avenue-supermarts-ltd/stocks/companyid-45987.cms
https://www.livemint.com/Companies/9HDFMS4Oqxl1KIQa9aOzZM/DMart-parent-
Avenue-Supermarts-Q3-profit-rises-6577-at-Rs.html
https://www.moneycontrol.com/india/stockpricequote/retail/avenuesupermarts/AS19
http://www.dmartindia.com/files/investor_relationship/annual_report_2016_-
17/Annual%20Report%202016%20-1710_08_2017_12_38_13.pdf
https://www.scribd.com/doc/39330755/DMART

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