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  1. 1. Project Topic A Study on the gap model of service quality of PANTALOONS Presented by Suvashis Mahapatra (10DR009) Arka deep Dasgupta (10DR012) Subroto Bej (10DR015)
  2. 4. Content <ul><li>A. Introduction about the Retail Industry </li></ul><ul><li>B. Introduction about the industry to which the company belong to. </li></ul><ul><li>C. Service Classification of the company </li></ul><ul><li>D. Service marketing Mix analysis of the company </li></ul><ul><li>E. Service Blueprint of the company </li></ul><ul><li>F. Theoretical overview of the terms used in the SERVQUAL gap model. </li></ul><ul><li>G. Study on the customer gap of that company </li></ul><ul><li>H. Study on the provider gap of the company. The gaps may include: </li></ul><ul><li>a. Gap-1 ,Gap -2,Gap-3,Gap-4 </li></ul><ul><li>I. Analyze each gaps and the factors leading to the respective gaps </li></ul><ul><li>J. Gap reduction strategies that the company is practicing </li></ul>
  3. 5. Indian Retail Sector <ul><li>Retail Sector is the most booming sector in the Indian economy. Some of the biggest players of the world are going to enter the industry soon. It is on the threshold of bringing the next big revolution after the IT sector. </li></ul><ul><li>The sector contributes 10% of the GDP, and is estimated to show 20% annual growth rate by the end of the decade as against the current growth rate of 8.5%. </li></ul><ul><li>There are about 300 new malls, 1500 supermarkets and 325 departmental stores currently being built in the cities across India. </li></ul>
  4. 6. Introduction about the company <ul><li>Future Group, led by its founder and Group CEO, Mr. Kishore Biyani, is one of India’s leading business houses with multiple businesses </li></ul><ul><li>operates multiple retail formats in both the value and lifestyle segment of the Indian consumer market. Headquartered in Mumbai (Bombay), the company operates over 16 million square feet of retail space, has over 1000 stores across 80 cities in India,13.2 million employs over 30,000 people. The company’s leading formats include Pantaloons, a chain of fashion outlets,  Big Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain, blends the look, touch and feel of Indian bazaars with aspects of modern retail like choice, convenience and quality and Central, a chain of seamless destination malls. Some of its other formats include Brand Factory, Blue Sky, aLL, Top 10 and Star and Sitara. The company also operates an online portal, </li></ul>
  5. 7. Introduction about the industry to which the company belong to. <ul><li>Future Group India was established in 1994 with a vision to provide diverse services in Indian and Global markets. The business areas of Future Group cover BPO (Business Process Outsourcing), New Media, Security Management, and Construction. Through their strategic investment and services, the future of Future Group shows a rising star in the business sky of India. </li></ul><ul><li>FUTURE RETAIL: The retails businesses of Future Group in India are divided into three main categories: Pantaloon Retail India Limited The leading retail formats under this include: </li></ul><ul><li>Pantaloons Stores </li></ul><ul><li>Big Bazaar </li></ul><ul><li>Central </li></ul><ul><li>Food Bazaar </li></ul><ul><li>Home Town </li></ul><ul><li>E Zone </li></ul><ul><li>Depot </li></ul><ul><li>Health & Beauty Malls </li></ul><ul><li>Online retail through </li></ul>
  6. 8. Cont… <ul><li>Joint Ventures with International Brands </li></ul><ul><li>Indus League Clothing that owns leading apparel brands like Indigo Nation, Scullers and Urban Yoga </li></ul><ul><li>Galaxy Entertainment Limited that operates Bowling Co, Sports Bar, F123 and Brew Bar </li></ul><ul><li>French retailer ETAM group, US-based stationary products retailer, Staples and UK-based Lee Cooper. </li></ul><ul><li>Franchisee of international brands like Marks & Spencer, Next, Debenhams and Guess in India </li></ul><ul><li>Indian Joint Venture Partners </li></ul><ul><li>Manipal Healthcare </li></ul><ul><li>Talwalkar's </li></ul><ul><li>Blue Foods </li></ul><ul><li>Liberty Shoes. </li></ul>
  7. 9. Companies Line of Business
  8. 10. Lines of Business <ul><li>The company is present across several lines of business which have various formats (stores) Plywood, The Dollar Store (JV) </li></ul><ul><li>Fashion - Pantaloons , Central, aLL, Brand Factory, Blue Sky, Top 10, Fashion Station, Big Bazaar, Lee Cooper (JV),IPM MEERUT(JV) </li></ul><ul><li>General Merchandise - Big Bazaar, Shoe Factory, Navras, Electronics Bazaar, Furniture Bazaar, KB'S FAIR PRICE </li></ul><ul><li>Electronics - eZone, Electronic Bazzaar, STAPLES (JV) </li></ul><ul><li>Home Improvement - Home Town </li></ul><ul><li>Furniture - Collection i, Furniture Bazaar, Home Bazaar </li></ul><ul><li>E-tailing (Online Shopping) - </li></ul><ul><li>Books & Music - Depot </li></ul><ul><li>Leisure & Entertainment - Bowling Co., F123 </li></ul><ul><li>Wellness - Star & Sitara, Tulsi </li></ul><ul><li>Telecom & IT - Gen M, M Bazaar, M-Port, ConvergeM, Future Axiom </li></ul><ul><li>Consumer Durables - Koryo, Sensei, IPAQ </li></ul><ul><li>Service - E Care, H Care , Design & Service </li></ul><ul><li>Malls - Central (Bangalore, Hyderabad, Pune, Mumbai, Vadodara, Gurgaon, Indore, Ahmedabad) </li></ul><ul><li>Investment & Savings - Insurance: ULIP, Pension, Endowment etc. </li></ul>
  9. 11. <ul><li>A service is an act of performance offered by one party to another. </li></ul><ul><li>Classification of service benefit, such as providing better understanding of particular service under consideration, this assisting in the development of marketing strategy and tactics. </li></ul>Service Classification of the company
  10. 12. Category Option Pantaloons Purpose(Satisfy needs of) <ul><li>Individual </li></ul><ul><li>Business </li></ul><ul><li>Both </li></ul>Purpose is to satisfy the needs of both Business and individual Structure <ul><li>Profit </li></ul><ul><li>Non Profit </li></ul>Pantaloons is profit oriented Type <ul><li>Public </li></ul><ul><li>Private </li></ul>Pantaloon is public Organization
  11. 13. Category Option Pantaloons Degree of Tradability <ul><li>Embodied Service </li></ul><ul><li>Pure Service </li></ul>Degree of Tradability in Pantaloons is Pure Service & embodied service Service directed Towards <ul><li>Individuals </li></ul><ul><li>Things </li></ul>Service in Pantaloons is directed towards Individual Degree of Merchantability <ul><li>High </li></ul><ul><li>Medium </li></ul><ul><li>Low </li></ul>Degree of Merchantability in Pantaloons is high
  12. 14. Category Option Pantaloons Type of Relationship <ul><li>Formal </li></ul><ul><li>Informal </li></ul><ul><li>Both </li></ul>In Pantaloons the type of Relationship with the customer is formal as well as Informal Degree of Participation (DP) <ul><li>Customer must be present </li></ul><ul><li>Customer must start and finish the service </li></ul><ul><li>Customer has to start the service </li></ul><ul><li>Customer has to finish the service </li></ul>Degree of participation in Pantaloons is the Customer must be present & customer must start and finish the service
  13. 15. Category Option Pantaloons Level of Demand <ul><li>Demand Exceeds Capacity </li></ul><ul><li>Demand Does not exceeds capacity </li></ul>In Pantaloons Level of Demand sometime exceeds Capacity Degree of Fluctuation <ul><li>Wide </li></ul><ul><li>Narrow </li></ul><ul><li>Variable </li></ul><ul><li>No Fluctuation </li></ul>Degree of Fluctuation in Pantaloons is variable
  14. 16. Category Option Pantaloons Number of Services and Goods <ul><li>One Service </li></ul><ul><li>One Service-One Good </li></ul><ul><li>One Service-Multiple Goods </li></ul><ul><li>Multiple Services </li></ul><ul><li>Multiple Services-One Good </li></ul><ul><li>Multiple Services-Multiple Goods </li></ul>In Pantaloons they provide Multiple Services with multiple goods Units of Service <ul><li>Defined by situation </li></ul><ul><li>Defined by time </li></ul><ul><li>Both </li></ul>Units of service is defined by both time and situation
  15. 17. Category Option Pantaloons Degree of Equipments base <ul><li>High </li></ul><ul><li>Medium </li></ul><ul><li>Low </li></ul>Degree of Equipment base in Pantaloons is very high Degree of Customization <ul><li>High </li></ul><ul><li>Medium </li></ul><ul><li>Low </li></ul>Degree of Customization in Pantaloons is highly modified Degree of Durability <ul><li>High </li></ul><ul><li>Medium </li></ul><ul><li>Low </li></ul><ul><li>Relative to Customer </li></ul>Degree of durability in Pantaloon is relative to customer
  16. 18. Category Option Pantaloons Availability of Service <ul><li>One Site </li></ul><ul><li>Multiple Site </li></ul>Availability of service in Pantaloons is multiple site Nature of Delivery <ul><li>Continuous </li></ul><ul><li>Discrete </li></ul><ul><li>Both </li></ul>Nature of Delivery in Pantaloons is continuous Type of Consumption <ul><li>Independent </li></ul><ul><li>Collective </li></ul><ul><li>Both </li></ul>Type of Consumption in Pantaloons is collective Allocation of Capacity <ul><li>Reservation </li></ul><ul><li>Order-of-arrival </li></ul><ul><li>Preferential </li></ul><ul><li>Reservation and order-of-arrival </li></ul><ul><li>Reservation and Preferential </li></ul><ul><li>Order-of Arrival and Preferential </li></ul><ul><li>All </li></ul>Allocation of capacity in PVR is by all method
  17. 19. Service marketing Mix analysis of the company <ul><li>Services are produced and consumed simultaneously. </li></ul><ul><li>Customers want intangible services </li></ul><ul><li>Nature of the service </li></ul>
  18. 20. PRODUCT <ul><li>E-commerce:pantaloons website has revolutionzed the e-commerce business in india. </li></ul><ul><li>FOOD:In food business the group offers a vast of options. </li></ul><ul><li>Food bazaar:A chain of large supermarket brew bar,a beer bar,café bollywood a national chain of snack counters and a sporty bar. </li></ul><ul><li>Fashion:The group have variety of option in fashion.its brand include All,blue sky,gimi and jonny and pantaloons top 10. </li></ul>
  19. 21. Contd. <ul><li>Home and Electronics: </li></ul><ul><li>Collection i:it is a lifestyle furniture store </li></ul><ul><li>Electronic bazaar:offers branded electronic goods and appliances. </li></ul><ul><li>E-zone:trendiest electronic items </li></ul><ul><li>Furniture bazaar:entire range of home furnitures </li></ul><ul><li>Home town:one stop destination for all the home needs. </li></ul>
  20. 22. Cont…….. <ul><li>General Merchandise:it include big bazzar, shoe factory,brand factory,central,blue sky </li></ul><ul><li>Leisure entertainment:bowling co,central offering multiplex,F123 offers a wide range of gaming option. </li></ul><ul><li>Willingness and Beauty: </li></ul><ul><li>Health village:a store that offers spa and yoga </li></ul><ul><li>Salon for man and woman:tulsi,turmeric,hair product and bath accessories. </li></ul><ul><li>Books and music:future group offers ‘DEPOT’ a store of books,cds and stationary items. </li></ul>
  21. 23. PRICE <ul><li>Pantaloons india has brought a whole new revolution when it comes to pricing strategy through big bazaar and food bazaar. </li></ul><ul><li>Pantaloons offers affordable price to branded garments. </li></ul><ul><li>More than 70% of sales at pantaloons consists of price labels like john miller,HNY etc </li></ul><ul><li>They offer different types of price like seasonal price,discount price,bundle price. </li></ul>
  22. 24. PLACE <ul><li>The company operates over 12 million sq.ft of retail space </li></ul><ul><li>Has over 1000 stores across 71 cities in india and 65 in rural cities </li></ul><ul><li>They are planning to have 3000 new store by 2011 </li></ul><ul><li>They are targeting tier2 and tier3 cities which has huge unleashed potential </li></ul>
  23. 25. PROMOTION <ul><li>The use television,magazines,newspaper etc </li></ul><ul><li>They have giant ventures and alliances with many companies to promote the brand </li></ul><ul><li>To gain customer loyalty pantaloons launched following loyalty programmes </li></ul><ul><li>Green card </li></ul><ul><li>Kids bank </li></ul><ul><li>Gift vouchers </li></ul>
  24. 26. Cont….. <ul><li>4.Weekend adventure programmes </li></ul><ul><li>To promote the product they use bollywood film stars,regional film star and models. </li></ul>
  25. 27. PEOPLE <ul><li>At the senior management level the group hired high profile executive from popular organisation. </li></ul><ul><li>They provide training to the freshers </li></ul><ul><li>To motivate employees they provide rewards and incentive </li></ul>
  26. 28. PROCESS <ul><li>Pantaloons retail has implemented SAP in keeping pace with the technology </li></ul><ul><li>They are in a process setting up a SAP consultancy software </li></ul>
  27. 29. PHYSICAL EVIDENCE <ul><li>They assign their services at the top most level </li></ul><ul><li>The employees are properly groomed </li></ul><ul><li>They choose the best location </li></ul>
  29. 31. Blue print analysis <ul><li>Stages are </li></ul><ul><li>1 st </li></ul><ul><li>2 nd </li></ul><ul><li>3 rd </li></ul><ul><li>5 th </li></ul><ul><li>7 th </li></ul><ul><li>8 th </li></ul><ul><li>10th </li></ul><ul><li>12th </li></ul><ul><li>13th </li></ul>
  30. 32. F. Theoretical overview of the terms used in the SERVQUAL gap model. <ul><li>The Customer Gap </li></ul><ul><li>Not Knowing What customer expect </li></ul><ul><li>Not Selecting the right service design & standards </li></ul><ul><li>Not delivering to service designs & standards </li></ul><ul><li>Not matching performance to promises </li></ul>
  31. 33. Customers’ Service Expectations CUSTOMER SERVICE ORGANIZATION Customers’ Service Perceptions GAP 5 Service Quality Gap Organization’s Understanding of Expectations Organization’s Service Standards Organization’s Service Performance Organization’s Communications to Customers Market Information Gap Service Performance Gap Internal Communication Gap Service Standards Gap GAP 1 GAP 2 GAP 3 GAP 4
  32. 34. Gap 2 Customer- driven service Designs & standards Management perception Of customer expectations <ul><li>1.Poor service design </li></ul><ul><li>-Unsystematic new service development process </li></ul><ul><li>Un defefined service designs </li></ul><ul><li>Failure to connect service design to service positioning </li></ul><ul><li>2.Absence of process management to focus on customer </li></ul><ul><li>Requirements </li></ul><ul><li>-absence of process management to focus on </li></ul><ul><li>Customer requirements </li></ul><ul><li>-absence of formal process for setting service quality goals </li></ul><ul><li>3. Inappropriate physical evidence & servicescape </li></ul><ul><li>Failure to develop tangibles in line with customer </li></ul><ul><li>expectations </li></ul><ul><li>-servicescape design that does not meet customer needs </li></ul><ul><li>- Inadequate maintenance & updating of the servicescape </li></ul>
  33. 35. Service facility <ul><li>e- purchase facility </li></ul><ul><li>Relaxed return policy </li></ul><ul><li>Home delivery </li></ul><ul><li>T-24 </li></ul><ul><li>Green card </li></ul><ul><li>facility Exclusive Sale Preview </li></ul><ul><li>Exclusive Billing Counters </li></ul><ul><li>Complimentary Home Delivery </li></ul><ul><li>Instant Discounts </li></ul><ul><li>Relaxed Return Policy </li></ul><ul><li>Complimentary Parking </li></ul><ul><li>SEND GIFTS TO INDIA </li></ul><ul><li>Birthday </li></ul><ul><li>Anniversary </li></ul><ul><li>Love & Romance </li></ul><ul><li>Gifts For Him </li></ul><ul><li>Gifts For Her </li></ul><ul><li>Flowers </li></ul><ul><li>Chocolates & More </li></ul><ul><li>Exquisite Cakes </li></ul><ul><li>Gift Vouchers </li></ul><ul><li>Personalized Gifts </li></ul><ul><li>Spiritual Products </li></ul><ul><li>Soft Toys </li></ul><ul><li>Unique Gifts </li></ul><ul><li>Leather Accessories </li></ul><ul><li>Skin Care </li></ul><ul><li>Gifts to U.S.A </li></ul>
  34. 36. Gap 2 start <ul><li>Management may understand & know what customer want but fail to translate these expectations into the correct specification </li></ul>
  35. 37. Complains <ul><li>Problem in Alteration </li></ul><ul><li>Problem in gift voucher to cash </li></ul><ul><li>Problem in billing in bulk </li></ul><ul><li>Problem in e- purchasing ( </li></ul><ul><li>Problem in replacement </li></ul><ul><li>Problem in wrong billing </li></ul><ul><li>Sending gifts in India </li></ul><ul><li>Problem in prepaid card </li></ul><ul><li>T24 </li></ul>
  36. 38. Gap reduction strategies that the company is practicing <ul><li>Employee training </li></ul><ul><li>Taken the help from 3 rd party for survey </li></ul><ul><li>Made one team for handling this </li></ul>
  37. 39. Thank you