Page 48 - DMGT551_RETAIL_BUSINESS_ENVIRONMENT

Unit 2: Structural Change in Retail Environment

Large retailers such as Shoppers’ Stop, the RPG group, Pantaloon Retail and Trent have stabilised Notes
their retail models, and are rolling out more stores to grow in size. Some, like Shoppers’ Stop
and Trent, which had incurred losses in retail in some years, have started making profits now. In
2003, the second half was reported to have been much better than the first half due to an
improvement in consumer spending.
Private labels are becoming a key component in retailers product mix. Private label is a label
unique to a specific retailer, account for about 20 percent of sales, and expected to rise further.
Case studies of Indian retailers such as Shoppers’ Stop, Trent and Pantaloon show that they have
invested in back-end processes to offer the best to the shoppers. Supply chain management and
merchandising practices are increasingly converging into one function and apparel retailers are
stepping up collaborative efforts with vendors.

!
Caution In merchandising, the top priority is to yield customer satisfaction and improve
profitability. Merchandising, however, has yet to see systematized merchandise planning
systems and tools in active use.

Organised Retail Players in India

1. Hyper Market: Big Bazaar, Spencers, Vishal Retail, Magnet, Star India Bazaar, Shop Rite.

2. Department Stores: Shoppers’ Stop, Pantaloons, Pyramid Mega Store, Lifestyle, Globus,
Westside, Central Mall.
3. Convenience Stores: Trumart, Nilgiris, Food World, Subhishka, Tirtenthra, Spencers Daily,
Spinach.
4. Speciality Stores: M.A.C, Titan, Bata, Tanishq,
5. Speciality Formats: Archies, Depot, Landmark, Crossword, Planet M

6. Food Retailers: McDonald’s, Pizza Hut, Pizza Cornier, Bombay Blues, KFC, Dominos, Smokin
Joes.
7. Furniture Retailing: Concept, Living Room, Style Spa, Tangent

8. Consumer Durable Chains: Viveks, Croma, Vijay Sales, Sumaria, Sony Mony.
Self Assessment

Fill in the blanks:
11. ……………………. label is a label unique to a specific retailer, account for about 20 percent
of sales.

12. Food retail is a rapidly growing sector in India’s …………………….. retail.
13. With the arrival of ……………………… retailers, wealthy Indians will become increasingly
aware of the value of designer brands.

14. Home furnishing is emerging as the next hot destination for ………………….. players.
15. The …………………….............. sector dominates the Indian market in the home décor
segment.

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