Marketing Research Ppt

Research On:

Identifying the influence of Retail Visual Merchandising on

Consumer Buying Behaviour.

Presented By:

Rajesh Radhakrishnan Batch 15 KH08OCTMBA58

Current Status of Retail Industry

• India’s retail industry accounts for 10 percent of its GDP.

• According to the Study undertaken by ASSOCHAM:

i. The Indian retail market is estimated at US$ 350

billion. But organized retail is estimated at only

US$ 8 billion.

ii. The opportunity is huge-by 2010, organised retail

is expected to grow at 6% by 2010 and touch a

retail business of $ 17 billion against its current

growth level of 3%.

• India is currently the ninth largest retail market in the

world.

CurrentStatus

Modern Retail Formats

Modern retailing has entered India in form of

Sprawling Malls and huge complexes offering

shopping, entertainment, leisure to the consumer

as the retailers experiment with a variety of

formats, from discount stores to supermarkets to

hypermarkets to specialty chains.

RetailFormats

Retail formats available in India

Mono/exclusiveBranded retail shops

ExclusiveShowrooms either

owned or franchised out by a

manufacturer

Complete range available for a given

brand, certified product quality

Multi-branded retail shops

Focus on particular product categories and carry most of

the brands available

Customers get to have more choices as many brands are

on display

Convergence retail Outlets

Usually have on display most of the convergence as well as consumer/electronic

products including communication & IT goods

One stop shop for customers, many product lines of different brands

on display






manufacturer







on display





on display






manufacturer







on display





on display






manufacturer







on display





on display


• Hypermarket route will emerge as the most preferred format for

international retailers stepping into the country.

• There are 50 hypermarkets operated by four to five large

retailers spread across 67 cities catering to a population of half-

a-million or more.

• Big players like Reliance and K Rahejas has announced its plans

to become the country's largest modern retainers by establishing

a chain of stores across all major cities.

• Small towns in Maharashtra are emerging as retail hubs for large

chain stores like Pantaloon Retail because many small cities like

Nagpur have a student population retailers need

• To adjust their product mix for smaller cities, as they tend to be

more conservative than the metros.

Hype

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rke

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DIE

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Retail design is a creative and commercial

discipline that combines several different areas of

expertise together in the design and construction

of retail space.

Retail Design - Introduction

• Retail design first began to grow in the middle of the

19th century, with stores such as Bon Marche and

Printemps in Paris.

• The first chain store was opened in the early 20th

century by Frank Winfield Woolworth.

• After WWII, a new type of retail design building known

as the shopping centre came into being.

Retail Design - History

WOOLWORTH

STORE

(1927)

• The next evolution of retail design was the creation of the

boutique in the 1960's.

• Many retail design stores redesigned themselves over the

period to keep up with changing consumer tastes.

• The rise of the internet and internet retailing in the latter

part of the 20th century and into the 21st century saw

another change in retail design to compensate.

19

64

Retail Design - History

BIBA

20

08

STORE

• In INDIA Brands across categories have started

realizing the strategic importance of retail design in

building brand equity and creating differentiation.

• Findings show that consumers spend more time and

money at a store if they are offered a complete retail

experience.

• This can be done by paying more attention to the

store’s design and visual merchandising.

Overview to Retail Visual Merchandising in INDIA

Visual Merchandising is the art of displaying merchandise in

a manner that is appealing to the eyes of the customer.

Visual merchandising includes

window displays, signs, interior

displays, cosmetic promotions

and any other special sales

promotions taking place.

1. Signage:

Signage is a critical part of interior display & POP

promotion. A good sign provides the most information in

the fewest possible words.

2. Store Interior

Store interior is an important element of a store concept

were the industry, product selection, price

segment, customer group & vision form the foundation of

the concept.

3. Marquees

A special type of sign is used to display the name of the

store as it must stand out from the other businesses to

attract customers.

Components of Visual Merchandising

4. Banners

These are used increasingly as an inexpensive but colorful ,

eye-catching means of promotion, which can be hung from

flagpoles , projected from the building or hung flat against

the exteriors.

5. Store Exterior

Good Exterior Visual Merchandising attracts attention,

creates interest, and invites the customer into the business.

6. Displays

A display is an arrangement of merchandise designed to get

attention and thus promote sales.

Components of Visual Merchandising

• Educating the customers about the product/service in an effective and creative way.

• Drawing the attention of the customer to enable him to take purchase decision

within shortest possible time.

• Visual merchandising also helps to increase the Sales.

• Visual merchandising is a silent seller & it gives an appeal to the customer for buying.

• It helps create positive customer image.

• It encourages impulse buying.

Visual Merchandising helps in…

• Research Objective:-

Identifying the influence of Retail Visual Merchandising on

consumer buying behavior.

• Sample Size:-

50

• Questionnaire Design:-

The questionnaire was based mostly on multiple-choice

questions

• Data Collection:-

Data collected through questionnaire

The Research Contents

The Research Contents

THE QUESTIONNAIRE(PLEASE CLICK HERE)

2. Age Group:

The Questionnaire & The Findings:-

6%

21%

33%

24%

16%

18-25

25-35

35-45

45-55

55 & Above

4. Annual Family Income:


8%

21%

33%

35%

3%

1-2 Lac

2-3 Lac

3-4 Lac

4 Lac & Above

Don’t want to reveal

5. Which retail outlet you mostly prefer to buy personal care products?

This was a multiple choice question so most of the samples opted for Big

Bazaar, Reliance Fresh, Hyper City, Shoppers Stop & D-Mart.

6. What are the reasons for going to that retail store?

The reasons of the Samples who choose…..

• Big Bazaar has Price Discounts & Convenient Location.

• Reliance Fresh has Quality, Convenient Location & Good Ambience.

• Hyper City has Availability of Products, Good Service, Quality & Good Ambience.

• Shopper Stop has Price Discounts, Good Service & Good Ambience.

• D-Mart has Price Discounts & Convenient Location.


7. How do you rate the retail store with respect to the following:

(1–Poor, 2-Average, 3-Above Average, 4-Good, 5-Excellent)


0

1

2

3

4

5

6

Ambience Sales Personel

After Sales Service

Display Of Products

Big Bazaar

Reliance Fresh

Hyper City

Shopper Stop

D-Mart


8. Do you find any difficulty in locating the products inside the store?

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Yes No

According to my observations most of the retail outlets has the direction display hanging from the

top, so it is not mush visible due to which the consumers gets confused in locating the products.


9. Do you ever look for product offers & discount information tag provided below or

above the shelf panel?

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Yes No

7% of the sample said

No, because they believed

they wont be cheated while

billing & some samples said

they are in such hurry that

they forget to look at the

discount tags.


10. Do these factors influence your purchase decision of a substitute product if your

preferred brand is not available?

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Colour Quality Feature & Price

Display

Yes

No

Almost every sample said

quality, feature & price matters if

they are using a substitute

product.


11. How do you feel that the following factors influence your purchase behaviour in a

store? Rate the following from 1-5 (1 being lower, 5 being higher)

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

LightingFinding the products through Signs, Graphics, etc.Music Fragrance Colour


12. How well do you know your preferred Retail Outlet? (The samples actually tried

recognizing the logo colours of the retail outlets listed in Q.5)

LOGO COLOUR:-

• More - 12%

• Big Bazaar - 85%

• Reliance Fresh - 6%

• Spencer’s - 0%

• D-mart - 35%

• Hyper city - 10%

• Shopper Stop - 55%

• Lifestyle - 0%

• Pantaloons - 23%

The percentage conveys the amount of sample who recognized the Retail Brand Logo colour.


12. How well do you know your preferred Retail Outlet?

Identify the Retail Brand:-

Big Bazaar

Hyper City

Shoppers Stop

Pantaloons

Lifestyle

D-Mart

0% 20% 40% 60% 80% 100%

Big Bazaar was the only brand which was identified by all the samples.


13. Have you ever noticed anything unique display or promotions in any of the retail

stores?

Many samples tried to miss this question as they could not remember any kind of any

unique display. Most of the samples said they have noticed many promotional events in

the stores, such as the BRU brand Cappuccino coffee promotions in Big Bazaar, the

Bornville Chocolate promotions in Hyper City where the consumers were taught the

actual way of eating a Bornville chocolate.

14. Any ideas or suggestions for the retail stores to make your shopping experience more

exciting?

Many samples were happy with the current shopping experience, while many

suggested that the retail outlets must improve on the billing counters as during the

peak hours they have to stand & wait for long in the billing queue.

Conclusion – My personal Observation on the consumers / shoppers.

While doing this research, I came across a very unique observation in a store “THE BODY SHOP”- Inorbit- Vashi. There was an Indian customer who was checking out the products in the shop….the shop offered the try me products were you can feel the product features, fragrance & the effects it has on the skin. All the products in the shop are very costly. The sales person was requesting the customer to try the product but he was hesitant to use it. A while later a Japanese couple entered the shop….u won’t believe they actually started trying the entire try me products in the shop and the Indian customer was shocked to see the behaviour of the Japanese couple. The bottom line here is the outlet provided the try me products to actually try the product features, fragrance & the effects it has on the skin but Indian consumers are hesitant just because they feel the product is too costly. Before he was entering the shop he was thinking twice whether to enter or not as it displayed a very rich outlook of the shop.

The research shows that the Indian consumers are very intelligent shoppers.Lights, colours & displays play a major role in influencing the consumer buying behavior. Retail outlets fight it hard to survive in the competitive market while offering the consumers the best shopping experience.

It was a very wonderful experience observing the consumers in the Inorbit mall-Vashi and the Hypercity retail outlet- Malad, as I came across different types of shoppers and their buying behaviour.

THANK YOU

Date post:	27-Nov-2014
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