This document provides an overview of retail marketing in India. It begins with definitions of retailing and consumer behavior. It then discusses the history and growth of retail in India from 1997 onwards and the controversy surrounding foreign investment. Consumer trends are outlined along with models of consumer behavior. Organized and unorganized retail sectors are defined. Key players in Indian retail are listed along with future strategies, opportunities, and challenges in the retail market. The presentation concludes by emphasizing the future potential of retail in India.

1. WELCOME

2.  Guide by Mrs : T . Ponnarasi
: Asst. prof.-Agricultural Economic
 Presented by Mr.Malcomestar L. Mawnai
1st year M.B.A ( Agri-Business)
Roll. No-B1302

4. Retail mean “ to cut the piece off or to break bulk” comes from French
word.
One of the old method of marketing.
Activities to market a products
Start of India retail reforms during the 1997’s

5.  Retailing “ is define as a market activities where a
large quantity of products are bought from whole
seller or directly from manufacturer and selling the
goods/services to consumer for personal
consumption”.
 Consumer behaviour “ the dynamic interaction of
effect and cognition , behaviour and environment into
which human beings conduct in exchange of goods”

6.  To perceive the level of satisfaction on consumers.
 Behaviour towards organized( supermarkets, malls ,
hypermarkets ,stores )
 Impact of consumers behaviours on retail market .
 Advantages and disadvantages of retail market.
 Future strategies of retail marketing in India.
 Challenges on retail marketing.

7.  Comes from old French word ( tailler)
 Terms of tailoring start in 1365
 Recorded as a noun with the meaning of a (sale in small quantities) in
1433
 The term retail in both Dutch and German also refers to sale in small
quantities of items.
 In India its start comes into sense from the year of 1997 onward.
 Retail market exist before the biblical centuries.

9.  Sparked intense activism both support and opposition
group.
 Happens in November 2011
 Massive losses of job
 Controversy allowing foreign Retailers
- E.g. Wal-Mart employs very few people in US. And
allowed to expand there business in India.

10.  Enter of political backlash
 BJP threated,(Set a fire on Wal-Mart store whenever is
opens by Banded are introduced)in 1 December 2011.
 Lots of controversy happens in each and every state in
the retail reforms
 Against on 2 December 2011 the government force to
re-think on the retail reform.

11.  On 3rd December 2011
 Overwhelming majority of famers and consumers
support in and around the cities support retail reform.
 78% of the famers supported
 Support by the famers group such as Bharat Krishak
samaj , Indian farmers association ,etc.
 Also support came from the Economist and
Entrepreneurs

12.  Organized Retailing
- undertaking by licensed retailer, such as those who are
registered for incomes tax,sales tax , etc.
* divided into 1. Single brand ( Nike , Addidas, )
2. Multi brand (Wal-Mart, Reliance,
Hindustan,)
-Eg. Supermarket,stores,etc
 Unorganized Retailing
-refers to traditional formats of low cost retailing.
Eg. Local kirana shop, pan shops , etc.

15.  Food products- typically required cold storage
 Hard goods or durable goods- electronics ,appliances
,furniture , sporting goods , etc.
 Soft goods/ Consumables- clothing's ,apparel ,fabrics ,
etc.

16.  Convenience – frequent purchase, low involvement.
 Shopping – comparisons are made. Medium
involvement
 Specialty – High involvement
 Food products – susceptible to peer and reference
group influence. High involvement.

17.  CLASSIFIED INTO TWO
 1. Growth over 1997-2010
-allowed foreign direct investment (1997)
- required government approval
- attracted over $1.8 billion in 2000-2001
-attracted of single brand over 94 proposal in
2006-2010
-until 2010, there are 60+ margins for middle man
and traditional retail shops.

18.  2. Growth after 2011
-before 2010 ,India prevented innovation and
organized competition on retailing.
- suffer a malnutrition of food waste in retail
- 30% wastage for foods and perishable goods in
agriculture
- In 2011, generate sales about $450 billion in year.
-25% market share expected by 2020
- $440 billion by 2020
- food retail accommodate 70%

20.  Revolution in Indian consumer behaviour
 Higher buying power
 lifestyle
 Power seeking variety of quality and price
 Increase indulgence in entertainment and products
 Brand consciousness
 Technology Savvy
 Convenience seeker
 Increases competition

21.  Future group
 Mahindra group
 Reliance industry
 Aditya Birla group
 Bharati Enterprises
 Fabindia -fabric, textiles, handloom, jewellery.
 The Bombay store- Indian Artefacts, Home
Furnishings.
 Spencer’s, food world super markets

22.  Foreign retailers in India
 Carrefour - France
 Costco - US
 Tesco – UK
 Wal-Mart – US
 Kroger - US

23. 1. Need arousal
2. Recognition of the need
3. Level of involvement
4. Search for information or identification of
alternatives
5. Evaluation of alternatives
6. Decision
7. Purchase action
8. Post-purchase feeling

24.  Initiator – first individual
 Influencer- provides views and advice
 Decider – individual who will take decision
 Buyer – actually makes the purchase
 User – who consumes or uses the product

25.  Demographic Changes
 Multichannel
 Personalized marketing
 Distribution revolution
 Emerging of retail business models

26.  Existent before the biblical times
 Deeply importance to people daily life
 Easy transactions
 Sell products and service to world wide market
 Easier in marketing
 Great ways to boosting sales and returning
 Friendly and highly accommodations
 Attractive , comfortable and convenient
 Provide service, an goods to the consumers
 Available of new shipping process

27. Consumer behavior on retail operations

28.  According to Kelly & Stephenson ( 1967 )
1. General store characteristics – reputation
2. Physical characteristics of store – cleanliness,
checkout services etc.
3. Convenience of reaching the store
4. Products offered – variety, dependability, quality
5. Prices charged by the store – value, special sales
6. Store personnel
7. Advertising by the store
8. Friend’s perception of the store.

29. > Engel-Kollat-Blackwell ( EKB ) model ( 1968 )
Three major changes:-
- High involvement
- Element of risk is higher ( consumer unsure about he
outcome of purchase decision )
- The central process can be seen in five stages :-
1 – problem recognition/ arousal
2 – internal search
3 – external search
4 – choice/purchase
5 – outcome of satisfaction.

30.  > Sheth’s family model of behavior
- decision process is investigated in terms of
individual

31.  Needs – Basic human requirements
 Wants – Potential purchase occurs as the individual
feels a drive to satisfy those needs.
 Demands – Those wants for which the customer is able
to pay.

32.  Functional ( time efficient ) – focused, predetermined
routine habitual action.
 Complex ( time required ) – Pre-planned/ researched,
higher risk.
 Leisure ( time rich activity ) – Emphasis on browsing
and serendipity.

33.  Under gone remarkable transformation
 Increased of income
 Changes from traditional shopping to new retailing
shopping.
 Undergoes for branded products
 Consumer undergone shopping from local vendor ,
streets vendor, stores ,malls and supermarket , etc.
 Undergoes for quality and quantity products

34.  Economic risk
 Physical risk
 Psychological risk – status can be lost through
patronizing the wrong store.
 Performance risk

35.  Role playing – learned or expected behavior
 Diversion – escape from daily routine
 Self gratification
 Learning about new trends
 Physical activity – mall, stores size , etc
 Sensory stimulation – sound, light, color, taste, etc.

36.  Social experiences outside the home
 Communication with others having similar interest
 Peer group attraction
 Status and authority
 Pleasure of bargaining

37.  Convenience
 Reputation
 Service encounter
 Expectations of merchandise
 Expectations of value

38.  Demographic
 Psychological
 Environmental or related to lifestyle of customer.

39.  Slowing birth rate
 Average life expectancy
 Social structure – rich becoming richer, poor
becoming poorer
 Delay of Marriage
 Value of education – high education, loans to pay off
hence white collar jobs and formal wear.
 Working women
 Population mobility
 Ethnic groups

40.  Psychographics
 Role of children in consumer behavior process.
 Thinking , preferable, likes,etc
 Based on psychology analysis

41.  Lifestyle
 Fashion
 Standard of living
 Developments of people life
 Character changes

42.  Boost economic life
 Increase level of competition
 Maximum opportunities
 Advanced technology
 Create jobs opportunities

43.  Affect the small retailers, farmers and consumer
 Give rise to monopolies pricing
 Entry of large global retailers such as Wal-Mart
 Retail chains would go up
 Limited Employment Generation
 Small retailers and other ‘Kirana Stores’ may close
down.

44.  The income of an average Indian is increasing and thus
there is a proportional increase in the purchasing power.
 The infrastructure is improving greatly in all regions is
benefiting the market.
 Indian economy and its policies are also becoming more
and more liberal making way for a wide range of companies
to enter Indian market.
 Indian population has learnt to become a good consumer
and all national and international brands are benefiting
with this new awareness.
 Another great factor is the internet revolution.

46.  Foreign direct investment is not allowed in retail
sector , which can be a concern for many brands.
 Regulations and local laws and real estate purchase
restrictions bring up challenges.
 Lack of integrated supply chain and management and
lack of trained workforce .
 Any brand can go far ahead in the Indian Retail
Revolution.
 Unorganized retail still lead when compare to
organized retail market.

47.  Good Planning, Timely Implementation and a media
campaign that touches Indian consumers.
 Still India retailer are not in a proper status when compare
to other countries.
 Retailing in India still hold the future Ma till date
 Retail market still play a major role in Indian economy.
 Analyses and efforts should be put on all parameters.
 New innovative retail marketing techniques need to
implement in unorganized retailing( infrastructure,
products design , packaging , etc.
 Implementation of new reform retail marketing are
needed.

48. THANK YOU