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TOPIC: - Research on Big Bazaar online sales issues

RESEARCH REPORT
SUBMITTED BY: - NAV JYOTI KUMARI
VINOD
ANURAG PAREEK
VISHAL GAURAV
FROM MAM 5TH SEMESTER (2019-24)
UNDER THE GUIDANCE OF
PROF. HARPREET GREHWAL
IN PARTIAL FULFILLMENT FOR THE AWARD OF
‘MASTER’S IN APPLIED MANAGEMENT’
DOON BUSINESS SCHOOL
AFFILIATED TO UTTARAKHAND TECHNICAL UNIVERSITY
DEHRADUN, UTTRAKHAND
ACKNOWLEDGMENT

I am grateful for my support system, my team members:


___________________thank you for believing in me. Thank you, Dr.
Harpreet Singh Grewal, for your feedback, guidance, and motivation
throughout this process, for your insight and marketing expertise, and
for your contributions and feedback on my study. I would like to
thank Mr.__________________ for supporting us with their
feedback, management team and business data.
I am also grateful to all my faculty members for their valuable
guidance and suggestions for my entire study.
I would like to thank the Big Bazar team for their valuable time and
cooperation.

Nav jyoti Kumari (0191mam051)


Vinod (0191mam037)
Anurag Pareek (0191mam039)
Vishal Gaurav (0191mam063)
Certificate
This is to certify that ___________________ student of class MBA
INTEGRATED of Doon Business School affiliated to
Uttarakhand Technical University has done their semester
project on Simulated Consultancy Project from_______
to____________ under the guidance of DR. HARPREET SINGH
GREWAL.

Date:
Certificate
This is to certify that Nav jyoti Kumari, Vinod, Anurag Pareek,
Vishal Gaurav pursuing MBA-INTEGRATED from Doon
Business school, Dehradun have successfully completed the
Consultancy Project in our organization on the topic titled,
“______________________________________________________”
from ________ to ____________. During this project tenure in the
company/ organization, we found them hardworking, sincere and
diligent people and their behavior and conduct was very good. We
wish them all the very best for their future endeavors.

signature

Name & Designation


INDEX
CONTENTS
1. Company Profile
2. Mission and vision statement of Big Bazaar
3. About Big Bazaar
4. Business model of Big Bazaar
5. Revenue model of Big Bazaar
6. Growth and competitors of Big Bazaar
7. Problem Statement of Big Bazaar
8. Research methodology
9. Conclusion
ABSTRACT

Online shopping has changed the way of business for their customers.
The beginning of the online shopping trend creates challenges for
traditional methods of shopping which cause a decline in sales. After
the covid pandemic people tends to buy online which also affected
the sales of traditional methods of shopping and give strength to
online shopping. Nowadays every company is focusing on online
sales and Big Bazaar is one of them. The purpose of this case study
was to identify the strategies which can be useful to increase the
online sales of Big Bazaar in Dehradun city and nearby areas. Data
collection included semi-structured interviews, customer surveys, and
questionnaires. The themes that emerged were promotion on online &
offline platforms, awareness in the public about the online Big Bazaar
and challenges in implementing the strategies for increasing the
awareness of online Big Bazaar in Dehradun city and nearby areas.
Big Bazaar has a huge customer base in offline mode and they can be
successful in the online business also if they develop and implement
some promotional strategies for their online business, encourage
customer feedback and awareness about online business. These
findings can contribute to positive increase in the online sales of Big
Bazaar.
COMPANY PROFILE

COMPANY NAME BIG BAZAR


TYPE PRIVATE
BUSINESS MODEL RETAIL CHAIN OF
HYPERMARKETS,
GROCERY STORES AND
DISCOUNT DEPARTMENT
STORES
FOUNDED 2021
HEADQUATER MAHARASHTRA, INDIA
NUMBER OF LOCATIONS 300+ STORES IN 150+
CITIES
KEY PEOPLE
● KISHORE BIYANI
(FOUNDER)

OWNER FUTURE RETAIL


PRODUCTS
● ELECTRONICS

● MOVIES AND
MUSIC

● HOME AND
FURNITURE

● HOME
IMPROVEMENT

● CLOTHING

● FOOTWEAR

● JEWELLERY

● TOYS

● HEALTH AND
BEAUTY

● PET SUPPLIES

● SPORTING GOODS
AND FITNESS

● AUTO

● PHOTO FINISHING

● CRAFT SUPPLIES

● PARTY SUPPLIES

● GROCERY

WEBSITE Bigbazar.com

LOCATION CHOSEN FOR KAPOOR TOWER, RAJPUR


PROJECT ROAD, DEHRADUN
mission and vision statement of Big Bazaar

mission statement
The mission statement of Big Bazaar “we share the vision and belief
that our customers and stakeholders shall be served only by creating
and executing future scenarios in the consumption space leading to
economic development.
vision statement
The vision statement of Big Bazaar “To Deliver everything,
everywhere, every time, to every Indian customer in the most
profitable manner.

WELCOME TO
THE BIG BAZAR
DEHRADUN
Big bazar is a chain of hypermarkets in India with more than 250
stores in operation. It is a subsidiary of Future Group venture Ltd. and
formed in 2001 by Mr. Kishor Biryani founder and CEO of Future
group.
The slogan of Big Bazar “Isse sasta aur accha kahi nahi” means that
they claim that you will not get better and cheaper products anywhere
else.
It worked on the principle of ‘low margin; high turnover’.
Big Bazar is the parent chain of many sub-chains like Food Bazar,
Ezone and Fashion. Also, it has Sister Chains like Brand Factory,
Central and Home town.
Big Bazaar is a company that operates a chain of departmental and
grocery stores offering vegetables, fruits, dairy, personal products,
garments, etc. It is one of the largest and oldest chains of
departmental stores in India.
Big Bazaar - Tagline, Slogan and Logo

Big Bazaar has got several taglines -

● Naye India Ka Bazaar (current)


● Is se sasta aur accha kahin nahi! (This particular tagline claimed
that consumers won't find such goods at affordable rates
anywhere else)
● Making India Beautiful

business model of big bazar

Big Bazaar operates on a B2C business model.

It offers numerous products at a single platform to its consumers. It is


considered to be one of the largest departmental stores in India. The
company provides awesome discounts and offers to the customers.
This is the only factor that attracts all sorts of people to Big Bazaar.

Products like home and furniture, electronics, jewelry, toys, sporting


and fitness, grocery, clothing, movie and music, footwear, craft and
party supplies, stationery, kitchen appliances, etc. can be found
under one roof. This is the specialty. The principle of the company is
- low margin and high turnover. This is the only reason behind finding
offers every time in the stores.

revenue model of big bazar

Founded in 2001 with a single store and now available with more than
250 stores in over 120 towns and cities across India, Big Bazaar came
a long way. Today, there are around 12 million outlets in the
country. Out of this 12 million, only 5 million stores sell food
products and eatables. Rest sell utility products like household
items, clothes, etc.
The revenue model of Big Bazaar is very clear - just selling more
products at their price by using the following tactics:

● Bulk Purchase: Big Bazaar purchases all the items in bulk from
the manufacturer at a low price, then sells them to the consumer
after adding its margin price.

● Product Bundling: Big Bazaar bundles the slow-moving


products with high-moving products to clear its stock and
provide them to customers at a discounted rate. This helps them
in stock clearance. Also, the product bundling can be witnessed
from the manufacturer's side as well. Sometimes, the
manufacturers anticipate the wrong demand and produce the
product in large quantities. In order to maintain the inventory,
the manufacturer sells them at discount. And eventually, the
companies like Big Bazaar purchase those products at discount
rates and sell them at profit.

● Leveraging the products: The companies like Big Bazaar


leverage the particular brand's product in order to increase its
visibility in the store. The customer may find the product of any
brand in a particular section of the store.

big bazar- growth


According to the reports, there is a chance of the growth rate to
increase by 9% in the year 2021. There was also a decrease of 13%
in the year 2018 in the growth sector.

big bazar- competitors


The top competitors of Big Bazaar are:
D Mart: D Mart is the top competitor of Big Bazaar. D Mart is the
counterpart of Big Bazaar.
Big Basket: Big Basket is one of the top rivals of Big Bazaar. Big
Basket operates in the Poultry, Meat and Fish field.
Grofers: Grofers is perceived as one of the top competitors of Big
Bazaar. It operates in the grocery sector.
Jio Mart: Jio Mart is one of the new competitors of Big Bazaar in the
Grocery segment.

Introduction
India is witnessing a surge in online Grocery as the E Grocery market
has grown by 60 percent from the calendar year 2020 and it is
expected to grow at 41 to 49 in the first half of 2022.
After the digital revolution there is drastic change in the demand of
online shopping. After the covid pandemic every business is focusing
on online presence and Big Bazaar is one of them.
In this Covid pandemic people tends to shop online rather than going
to market. Big Bazaar is the market leader in the offline market and
now they are focusing on online sales. There are at least a dozen other
online retailers that are tapping into India’s e-grocery potential.
Amazon in February integrated its Pantry within its Fresh store,
giving its customers the convenience of two-hour deliveries.
Online sales of groceries are expected to grow 8 times in the next 5
years. It will be the battleground for every company as it is expected
that the online grocery market in India is expected to touch $24
billion by 2025, accounting for just 3% of the total grocery market.

Objective of the case study

1. To find out the customers' response towards the online presence


of Big Bazaar.
2. To find out the buying behavior of the customers coming into
Big Bazaar.
3. To find out the current scenario of online shopping and its
effect on Big Bazaar.
4. To find out some ways to boost online sales of Big Bazaar.

5. To find out the real problem behind low sales in online stores.

Geographical scope
This study only focuses on boosting the online sales of Big Bazaar in
the Dehradun and nearby areas. This study focused on why Big
Bazaar is lacking behind Jio Mart & others and how to beat them in
terms of online sales.
LIMITATIONS OF RESEARCH
Certain limitations do creep in a research study due to constraints of
the time, money and human efforts, the present study is
also, not free from certain limitations, which were unavoidable.
Although all effort were taken to make the result of the work as
accurate as possible as survey but the survey has following
constraints:
● Some customers were not willing to give appointments due to
their busy schedule.
● Due to the very large size of the population, only a selected
sample of customers could be contacted.
● Due to time constraint and other imperative work load during
the t period it could not be made possible to explore more areas
of concern pertaining to study.
● Also impossible for companies to prove information is
confidential.
● Due to the fast pace of life, some customers were not able to
justify the questionnaire.
● Personal biases might have come while answering the
questionnaire.
● As per company rule many information was not disclosed as the
managers are busy in their daily schedule. It is not possible for
us to spend more time interacting with them.

Statement of Problem
After consulting with the branch manager of the Dehradun branch we
found that Big Bazaar is lacking in online sales. We found out that
online sales are contributing only 10% of their sales and they are
focusing on increasing it by 25%. The reason behind this is after the
covid pandemic people are shifting to online shopping. Another
problem we found out that people are not aware of the presence of the
Big Bazaar app.

Research Design
We used a qualitative research methodology for this study.
Employing qualitative research helps with understanding the meaning
of the real experience of others in online shopping with Big Bazaar.
The goal of researchers in the study is to answer the research
question. Researchers use qualitative methods to determine a plan of
action and identify a method to accomplish objectives, whereas most
quantitative methods involve hypotheses. For this reason, the
quantitative method is not suitable for this study. We collected Data
by using a combination of interviews, analysis of collected documents
and the review of business in online mode to identify the problem in
depth. The study is related to the Issue in online Shopping of Big
Bazaar and how we can boost the online sales. The study made us
aware the issues relating to online sales. The data related to study is
collected through meetings with the branch manager of the Big
Bazaar, co-workers and structured questionnaires from customers
who were visiting Big Bazaar. The study includes a 3 months period
and the data will be collected from approximately 250 respondents.

Data Collection Technique


The data is collected through structured questionnaires from
customers who are visiting organized retail by using the multistage-
convenience method. This is like cluster sampling, but with several
stages of sampling and subsampling. This method is usually used in
large-scale population surveys. For research work primary as well as
secondary data were used for collection of information.
The data is broadly classified into two sections.
Primary data
The primary data is collected by direct interaction with individuals on
a one-to-one basis. The benefits of these approaches include richness
of data and deeper insight into the phenomena under study. Primary
data collection has been through interviewing and questionnaires to
the customers and staff of Big Bazaar. The main methods of
collecting data thus are a combination of questionnaire and personal
interview.
Secondary data
Secondary data has been collected through downloads from
companies’ websites, newspaper reports, technical and trade journals,
books and magazines.

data analysis & Interpretation:


What is your age?

Age Group No. Of Respondents


15-25 43
26-35 118
36-45 79
45 & 21
above

We found out that 54 % of people belong to the age group of 26-35.

Are you aware of the Big Bazaar app?

According to our research 66.7% of people don't even know that Big
Bazaar has an app which means there is a lack of awareness.

Which app do you use to buy Groceries online?


Most of the people prefer jio mart for online purchase.

Do you prefer buying groceries online?

Most of the people prefer buying online means there is a big


opportunity in this.
Conclusion
The purpose of this qualitative multi- case study was to determine the
strategies to boost the online sales of Big Bazaar or to bring
awareness of the Big Bazaar. We found out that Big Bazaar provides
better service than Jio Mart and Amazon in terms of delivery time and
product line. But the main reason behind low sales is lack of
awareness. Even People visiting Big Bazaar don't know that Big
Bazaar has an app or Big Bazaar is present online. Till now 1 million
plus people have downloaded the Big Bazaar app on the other hand "
Jio Mart" which is launched in 2019 have 10 million plus downloads
which shows how big bazaar is behind in terms of promotion of their
app. The reason behind is positioning and lack of advertisement for
the Big Bazaar app.
Big Bazaar advertisement campaigns are more focused on Big Bazaar
deals rather than promotion of apps.
Suggestions

● Launch a promotion campaign specially for Big Bazaar app to


increase the awareness about the app
● Ask customers to download their app

● Give special offers to those who are purchasing online

● Launch a refer and earn scheme to boost the app launch


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Articles and Reports:


Allred, R. C., Smith M. S. and Swinyard, R. W(2006), 'E-shopping
loversand fearful conservatives: segmentation analysis', International
Journalof Retail & Distribution Management34: 4/5, 308-333.

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R. W. (2005), 'Segmenting Internet shoppers based in their Web-
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behavior: theWeb experience', Internet Research14: 2, 111-126.

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