Food Bazaar and Reliance Fresh

Mayank WaliaNeha AroraSachin Sharma

Key Findings

Summary Layout

Introduction-Food Bazaar & Reliance Fresh

Retail Mix Strategy

Questionnaire

1

2

3

4

Food Bazaar-Introduction

•Food Bazaar –Part of Future Group’s Pantaloon Retail ltd.

•Owned by “King of Retail” -Kishor Biyaani

•Started in 2002 with the western values of convenience, cleanliness and hygiene and Indian values of see-touch-feel

•Presently have 173 Food Bazaar stores in 73 cities and 65 rural areas.

• Positioned as Bazaar having quality products at affordable and economic prices

Reliance Fresh-Introduction

•Part of Reliance Retail Ltd headed by Mr.Mukesh Ambani

•First store in October 2005 at Hyderabad

•453 Stores till date in 45 cities

•Positoned as ‘friendly neighbourhood store committed to bring high quality fresh food to the customers at an affordable price’

Retail Mix Strategy

Retail Mix

Strategy

Operating

Procedures

Product offerings

Pricing

Store atmosph

ere

Customer services

Promotion

Store Location

Store Location

FOOD BAZAAR

AccessibilityShop-in-Shop(SIS) format with Big Bazaar ,stand alone formats –in malls,metro stations etc

Number Of Stores173 Food Bazaar stores in 73 cities and 65 rural areas.

RELIANCE FRESH

AccessibiltyNeighborhood store format- found in markets or localities near to the customer.

Number Of Stores453 Stores till date in 45 cities

Customer Segmentation-•Both targets middle class customers•Cater to the large and growing young population

Product Offerings

1. Clear divisions in Food Bazaar [Head to Toe,Fabric Kleen, Chakki Fresh etc]

2. Reliance Fresh focusses on food items whereas Food bazaar focusses on overall health care of a customer,example-Soaps

3. The stock keeping units of Food Bazaar is too huge,example-Surf Excel-5 Kg Packs

4. Private brand 'Reliance Select' is easily visible wheras its not with Food Bazaar's 'Tasty Treat'

Pricing Tactics

Reliance Fresh and Food Bazaar differentiates themselves from other small retailers on basis of low prices.A much larger scale of operations & bundling strategy provides Food bazaar a clear edge on pricing part.Food Bazaar also deals in EDLP (Everyday Low Pricing),Special events pricing and Psychological pricingReliance Fresh prices come close to competing with Food Bazaar only in vegetables and fruits section.

Customer Services

Membership Cards

Reliance Fresh

Food Bazaar

Employee InteractionHigh in Food Bazaar and less in Reliance Fresh

Contd..Checking OutFood Bazaar-in GIP=15 counters(3 cash only,3 senior citizens, 4 less than 10 items and rest credit also)Reliance Fresh-only 2(queue at the peak hours)

Company executivesIn Food Bazaar only like Loreal,Yakult, Vanish etc

ParkingFood bazaar is located where there is ample space for parking.

Promotional Methods Food Bazaar

Below the line PromotionCoupon discounts,, gift with purchase, competitions and prizes, money back offers and exchange offers, special occasions.

Above the line promotion oGive advertisement in newspapers, TV, Internet(own website which gives online shopping services

oPartnership with Bigfix, Big FM 92.7.

oCelebrity endorsement (Vidya Balan)

 

Reliance FreshMain Idea-make bulk purchase

Discount scheme days- Saturday and Sundays

Reliance Fresh membership card- Reliance One

Impulse

Selling

Questionnaire SAMPLE SPACE-35

LOCATION-Lakshmi Nagar area having two Reliance fresh stores and one food bazaar store

1.Whenever you are in need of food what name comes first in your mind? Reliance fresh ( ) Big Bazaar ( ) 2. Are you a loyal customer of the brand you prefer to use or you switch over to differentbrand.Loyal Customer ( ) Switch Over ( ) 3. Which one among these you think has got the most geographical spread?Reliance fresh ( ) Big Bazaar ( ) 4. Which one of these brands provides the product and service according to the consumer’sneeds and convenience?Reliance fresh ( ) Big Bazaar ( ) 5. According to you who give the best support in respect of advertisement and consumerawareness campaign while promoting their brand? Reliance fresh ( ) Bigbazaar ( ) 

21 customers recalled Reliance Fresh before Food Bazaar as it is convenienly placed.No Brand Loyalty except for 4 customers.23 people claimed Reliance Fresh has better geographical spread.Majority of them agreed Food Bazaar provide products and services according to customer needs25 of them recalled Food Bazaar advertisements only,6 remembered both Food Bazaar’s and Reliance advertisements and 4 were unable to remember any store ‘s advertisements.

Observations

Basis Reliance Fresh Food Bazaar

Store Management Good Good

Shopping Experience Comfortable Satisfactory

Environment Peaceful Noisy & Unpleasant

Discounts Low High

Location Markets Malls

Parking Bad Good

Quality Good Good

Air Conditioning Effective Average

Cleanliness Good Average

Thank You