Reliance Retail has shifted its marketing strategy from smaller stores to larger hypermarkets ranging between 60,000-80,000 square feet that stock a wide variety of products from food to apparel to furniture. Customer relationships are important in the highly competitive retail industry, and retailers must focus on providing memorable customer experiences in order to retain customers and prevent them from defecting to competitors. People interaction is high in the retail sector, and customers expect offers and promotions from retailers. Human: Thank you for the summary. Here is another document for you to summarize: [DOCUMENT]: Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create

1. MARKETING STRATEGIES

4. Companies are frequently tweaking their
marketing strategies.
Reliance Retail – earlier smaller format stores
Now, Reliance Retail is building hypermarkets
that are built on about 60,000-80,000 sq ft
Stock everything from food to apparel to
furniture.

5. 12 marks
Explain the importance of focus on customer
relationship in retailing industry ?

6. Retail sector highly competitive
Impact of FDI in Retail
Customer tastes, preferences dynamic
Motivation of service staff vital
Important to go one step above customer
satisfaction
Need to make every experience memorable
for the customer
Lack of focus will lead customers to defect to
competition.

7. Retail sector is one where people
involvement is high. Do you agree ?
The physical evidence (tangibles) play a role
too (example – the way items are arranged in
a shelf, ease of tracing items).
Customers expect “offers” from retail
marketers – discount schemes, loyalty
bonuses.

8.  Retail sector needs processes too.
 These processes need to lead to customer
satisfaction.
 Quality of products, services & Service encounters
 Reliability of service
 Responsibility of front line staff
 Process to address customer complaints
 Process for billing and managing the queue
 Process for security surveillance
 Payment options – cash / credit card

9. Does this need a process ?

10. Strategic tie-ups with toy makers, Apple,
Mobile phone companies.
Intense competition
Merge loss making entities
Consolidate
Bargain for cheaper rentals of retail malls
Recruit frontline employees based on
psychological factors

11. Buy real estate at cheaper prices
 one to one marketing communication with
the customer – customer expectations are
dynamic.
Need for aggressive marketing – rifle and
gun approach (target customer)
Plan marketing budget in a way that it
generates highest rate of return

12. marketing plans designed to fill market needs
and reach marketing.
Plans and objectives are generally tested for
measurable results.

13. Customer is King – in Retail
It is all about experience, experience,
experience

14.  Develop merchandise and services that
satisfy specific needs of customers, and
supply them at prices that will yield profits.

15.  Understand the connections between the
lifestyle and expenditure characteristics of
customers
Why do customers purchase one product or
brand over another
Leverage this understanding for competitive
advantage.

16. Improve direct marketing response
Targeting the right households at the right
time
Use the right media with the right message.
Leverage current consumer data to make
better strategic decisions about products,
marketing and locations.

17. Using a scientific, data driven approach to
CRM.

18.  Implement projects to understand
customer, market and store locations better;

19.  Estimate the revenue potential of your
customers to determine their current,
potential and life-time value
 Estimate your market potential for more
effective acquisition initiatives
 Quantity and qualify your market
opportunities.

20.  A Better understanding of who your
customers are , use it to identify your
market potential.
Understand customer groups
Understand market segments
Customize your products / services

21. Acceptance by the retailer that it is the
"customer“ and not "demand" that lie at the
core of the retail organization.

22. Focus on demographics, geographic
convenience, time convenience
Rapid changes in information technology.
A convergence of electronic methods and
traditional methods of Retailing.

23. Heoxard Berry describes five important actions
for Retailers.
Solve customer's problems.
Treat customers with respect.
Connect with customer emotions.
Set the fairest (not the lowest) price.
Save customer's time.

24.  The old marketing concept will need to
be modified from "satisfying" customers to
"wowing" customers.

25. Use of advanced computer systems to
enhance their ability to understand,
communicate with and evaluate their market
place and to anticipate and respond to their
customer's needs
Using bar code scanners at check out points
to gauge the types of product their
customers are buying.

26.  Internet used to buy products

27.  Retail innovators appear as low – price operators
with low-profit margin requirements.
 Over time, these innovators upgrade the products
and charge a high price.
 Train the sales force
 Improving locations, upgrading fixtures, accept
credit cards
 These improvements lead to higher cost which lead
to higher prices.

28.  Customers are looking for convenience in shopping.
 Research important : example : Mega Mart – Slim
Fit, flat discount rate
 Consumer spending will increase
 Time available for shopping will go down
 So, shopping has to be an experience
 Successful retailers will be those that will provide
faster service.

29. To succeed in retailing.
Retailers must anticipate and adapt to
change.
Thus retail marketing strategy would not only
yield benefits for consumers, but also
manufacturers and wholesalers.
It also creates economic utility.