3. Objectives
• What people buy? quality
• For how much do they buy? quantity
• Do they come regularly/Frequently/rare?
• Pricing strategy? Are they price conscious or
Snobbish?
• Segmenting
• Recommendations
4. WHAT THEY BUY- THE PRODUCT VARIETY
SARAVANA STORES
•Saravana Stores offers wide range of products that ranges from
Apparels, Accessories, Food, Furniture, Groceries, Utensils,
Textiles, Toys, Electricals & Electronics, Stationary items,
Jewellery etc.
•Apparels - Casuals, Formals, Jeans, T shirts, Party wear, Under
garments, Night wear, Sarees, Silk Sarees, Ladies wear, etc.
•Home & Personal Care products - Utensils, Shampoos,
Detergents, Soaps, Creams, Plastics, Cookery, etc.
•Electrical & Electronics - Mobile phones, TV, Radio, Speakers,
Computers, Peripherals, Watches, Hair trimmers, shavers, etc
5. WHAT THEY BUY- THE PRODUCT VARIETY
SHOPPERS STOP
Identified the need for upper class sophisticated people and created a suite
of brands that reflect Styles, International Class and Fashion
Private Brands have been introduced and developed after a careful analysis
of Customer Requirement.
6. FREQUENCY
• Saravana Stores
• Youth who work in corporate prefer
to shop most of the time whenever
they get off.
• A typical family shopping is being
found only during the festival days.
• Saravana Stores offers more deals
and discounts in the textiles
segment to family shoppers during
festive days whereas it raises its
prices marginally during other days
when the young people shop. This
affects the frequency.
• Shoppers Stop
• Customers come visit the
store at regular intervals
because the products are of
good quality
• Also SS retains its customers
because of the brand loyalty
and the quality of service
• Since this is an Up-scale store
there is no bulk buying
7. HOW MUCH- QUANTITY OF THE
PRODUCT
SARAVANA STORES
• DOWN-SCALE
• LESSER QUALITY
• LESSER PRICE
• BULK
QUANTITIES
• FESTIVAL
SHOPPING
• WHOLE YEAR
SHOPPING
SHOPPERS STOP
• UP-SCALE
• HIGHER
QUALITY
• HIGHERPRICE
• SMALL
QUANTITY
• PERIODIC
BUYING
BEHAVIOUR
8. Pricing strategy
Saravana Stores
• Low Profit Margin - High
Turn Over
• The pricing strategy lies
balanced between
penetration pricing and
economy pricing but it is
more inclined towards
penetration pricing
• Value pricing, promotional
pricing and Bundling
Shoppers’ Stop
• Premium Pricing Strategy
• High Profit Margin – Low
turnover
• The Upper Middle class will
want to pay a higher value
for higher quality product
• A sign of luxury status
9. STP
Saravana Stores
• A typical family shopping
destination
• The youth prefer shopping
here whenever they are off
• Lower Middle class
Customers’ perception is
that they are satisfied with
products that have
reasonable quality at low
prices
The Shoppers’ Stop
• Segmenting based on
Income patterns
• Aims to build a strong
reputation through services
for customers
• A family store with an
ultimate shopping
experience
10. SWOT
• Strength
– SS– First of its kind, Variety of products at a discounted price
– TSS - Loyal Customer base
• Weakness
– SS - Lack in quality in both product and service, prices have gone up
– TSS - Price. Lower Middle class people can ill afford to buy them
• Opportunity
– SS – Market Expansion into other cities and towns
– TSS – Preferred Partner for Foreign Players
• Threats
– SS – The competitors know the SS weakness very well
– TSS – Economic Slowdown
11. RECOMMENDATIONS for SS
• CRM needs to be improved
• It needs to build customer loyalty and increase its base for more profit.
• Suitable training should be provided to the sales personnel. Lack of proper training and
guidance leaves the employees of Saravana Stores de-motivated.
• It needs to boost the morale of the employees.
• It needs to concentrate on the branded products also.
• The offers should be well explained to the customers to avoid misinterpretation.
• Since there is a huge rush in the stores, more waiting chairs and seats can be provided to
comfort the customers. Lack of this leads to many customers desperately sitting on the floor
and ease themselves.
• Long waiting queue for billing the products purchased should be minimised. Many customers
feel that selecting a product is more easier than billing them. This should be avoided and
more billing counters can be added to handle the inflow of the customers.
• Saravana Stores should recognise the needs of the customer rather than offering the
available products in store. Proper inventory management is needed.
• It can still concentrate on the quality of the products. Many customers feel that the quality is
poor.
• Saravana Stores can enter in other major cities including Salem, Coimbatore, Madurai to gain
more profit and market share as it has a strong reputation.
12. Recommendations for TSS
• Concentrate on the middle class also
• There is a threat of losing your customer base.
So Keep in mind of it.
• Luxury product width should be increased
