Metro Mart plans to launch a new retail chain in India starting with flagship stores in Mumbai to test operations and learn local markets. It estimates the market size in Mumbai could support at least 1 million initial customers, about 10% of the city's population. After an initial trial period, it plans to expand to other major cities and increase investments scaled to growing sales volumes. Market research found strong interest from customers seeking a "one-stop" shopping experience. Face-to-face interviews confirmed demand for Metro Mart's value proposition and informed modifications to better meet customer needs.

1. Metro Mart

2. • Introduction
• Market Research
• Market Size Estimation
• Customer Feedbacks
• Metro Mart Website

3. Introduction
• The retail sector in India is growing at a phenomenal pace.
According to the Global Retail Development Index 2012,
India ranks fifth among the top 30 emerging markets of the
retail.
• Factors influencing the boom: Increased consumerism,
increased spending power especially in luxury items.
Marriages here add a big dimension to the retails spends.
• The current size of Indian retail sector is estimated at around
$450 billion and organized retail accounts for around 5% of
the total market share. It is estimated that retail sectors growth
would be 10-12% per annum in future years.
• Metro Mart a retail chain planned with initial contributions
through following sectors Food, Apparels, Households and
Pharmacy, to the consumer segments of Indian market.

4. Market Size Estimation
• In Phase One, We set up a test case/pilot project in Mumbai (largest metropolitan city of
India). This can be done through a few flagship stores that serve as brand broadcasters. The
chains employ this initial-phase entry strategy to learn lessons about the local markets. They
assess demand, test merchandizing strategies and set up operational capabilities. In this phase,
they bring in some investment to cover their set-up costs and for establishing their sourcing
(supply) footprint. This usually takes 12-to-14 months.
• In the second phase, our firm expand its demand footprint; we can open more stores and
increase both the scale of operations (volume of products sourced) and scope of products that
they feature. That may be in these cities Ahmedabad, Bangalore,
Chennai, Cochin, Coimbatore, Delhi, and Hyderabad. There is considerable investment in this
phase in the form of real estate acquisition, putting in operational infrastructure, establishing
sourcing relationships, establishing supply chains and massive logistics capabilities. This is
volume-independent investment -- that is, investment meant to gear up for volumes of
business to come, but not calibrated to the current volume of business.
• In the third phase, the investment keeps pace with the rate of expansion. As volumes grow and
urban and semi-urban retail locations get saturated, welook for new locations and bring in
investment that is calibrated to growth in volumes. It is in the second phase and the third phase
-- which come after the initial 12-to-14 months -- that large investments manifest themselves.
• Metro Mart wants to test its operations in Mumbai initially, our initial customer segment target
will be atleast one million, i.e. 10% of total city’s population.

5. Market Research
• Strength • Weakness
• Customer demographics • Policy related issues
• Increased spending -licenses, permits &
potential registrations etc.
• Lifestyle • Inadequate trained
• Luxury mindedness personnel (labor laws
• Peoples interest towards stringment)
modernizations • Lack of adequate utilities
• Availability of labor at low at all states (ex:
electricity), and
salary.
transportation.

6. Market Research
• Opportunity • Threats
• Potential for investment • Political issues
• Real estate availabilities • Cultural Issues
• Lack of retail chains • Inflation
• Minimal Competitors • Lack of differentiation
• Huge man power among Malls and
advantage supermarket
• E-commerce business • Low cost competitors
• Governments policy in
FDI

7. Face to Face Interviews
• After having discussion with hundreds of people in malls,
restaurants, shopping centers, small retail shops and apparel marts
around 5 major cities across India, Our team Metro Mart received a
huge rate of interest and positive response from customers. Most of
the people are ready to experience a real shopping, which is the
major motto of our retail brand. In simple words “all products under
one roof”.
• It become clear after interviews with customers with spending
interest that, Our business model has a high demand among them,
It shows our value propositions are really suitable for the customer
needs and absolutely new experience for individuals.
• After receiving feed back from good hearts, our team planned
modify its value proposition simply by adding its effective e-
commerce service with minimal cash back facilities with door
delivery service and our team have decided to offer 30 days return
for apparel division.

8. Questions at Face to Face interviews
• How frequently do you shop for groceries?
• How much time you get to spend for shopping?
• How much time you wish to spend for external
entertainments?
• Do you often have problems at Big Grocery
Stores? If yes, what are they?
• What are you expecting from supermarket?
Quality, Price or any other things?
• Are you ready to experience anew retail model,
i.e Metro Mart?
• How is our value proposition, do you like it?

9. Conclusion
• Metro Mart sells each and every products in its own
brand as well with existing brands at low price,
exclusively for middle class family shoppers. Our
customers here can purchase products by one of these
methods: Billing on counters, Self checkouts, and Online
orders. Along with shopping, your entire family can
spend your leisure time at Metro Mart, we have different
entertainment zones here with excellent cafateria at
every retail store. Our entertainment zones are built with
Cinemas, Playing centres, and Kids game zone etc.
For more info: http://metromart.webnode.com/