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survey organized& unorganized retailing in jaipur
1. [A COMPARATIVE STUDY OF ORGANISED &
UNORGANISED RETAILING IN JAIPUR] 2015-16
PREFACE
Indian retail which is composed of organized and unorganized retail contributes
10 per cent to Indian GDP. It also highlights segment analysis, growth factors,
retail formats, SWOT analysis, FDI policy, and green retailing and ICT tools used
by Indian retailers. Service quality which covers different perspectives on quality,
total perceived quality, determinants of service quality, service quality
measurements is also very crucial. The retail service quality scale (RSQS) which
is regarded as an alternative to SERVQUAL for measuring retail service quality is
defined here. Customer Loyalty- different phases of loyalty, different behavioral
intentions, factors affecting customer loyalty and obstacles to loyalty are
discussed which also the impact of service quality on customer loyalty in a retail
environment.
The objectives of this research Specifies the problem, need for the study,
significance of the study and structural content of the research. Research is
designed to investigate the relationship among service quality, demographic
Characteristics, customer loyalty and repurchase intentions in organized retail.
This research complements and adds to previous research by expanding the study
of service quality on customer behavioral intentions in apparel retail, a sector that
has been under-researched. The present work will unearth that superior
performance on the most important retail service quality dimension will add to
favorable behavioral intentions and bring down unfavorable intentions.
2. [A COMPARATIVE STUDY OF ORGANISED &
UNORGANISED RETAILING IN JAIPUR] 2015-16
ACKNOWLEDGEMENT
First of all I would like to thank the almighty God the most beneficent and most
merciful, who has provided me the courage and health to complete our work.
Secondly, to our Director, Prof. D.S. BHATIA sir of SBM SIILAS Campus,
Jaipur National University for giving kind permission for conducting survey for
understanding of actual research work.
With my deepest gratitude to my supervisor Ms. Khushboo Solanki for here
encouragement, motivation and help throughout the dissertation work, without his
support it would be difficult to complete the work in limited time period. My
special thanks to all faculty members of SBM SIILAS Campus, JAIPUR
NATIONAL UNIVERSITY who helped me a lot in data analysis.
I would like to acknowledge my family back home that have supported me and
encouraged me for my work. I full heartily appreciate to our little family of
friends in Jaipur.
Last but not least I would like to thank all the respondents (Consumers) who
participated in my survey and JNU, Jaipur fellow students and to those who have
directly and indirectly supported me.
Surjit Jha
3. [A COMPARATIVE STUDY OF ORGANISED &
UNORGANISED RETAILING IN JAIPUR] 2015-16
Declaration by the Student
I hereby declare that the survey report was conducted with requirements of the
Organized and unorganized retailers in Jaipur and finished by me. I assure that
this report is unique and has not been copied or reproduce from any other
resources.
Date:- April(2016) Surjit Jha
Place:- Jaipur BBA IVth Sem
5. [A COMPARATIVE STUDY OF ORGANISED &
UNORGANISED RETAILING IN JAIPUR] 2015-16
TABLE OF CONTENT
S.No TITLE Pg.No
1. Executive Summary 1-2
2. Industry Profile 3
Organised Retail Stores 4
Unorganised Retail stores 5
3. Research Methodology 6
1. Objective of the study 7
2. Type of Research 7
3. Method of Data Collection 7
4. Universe & Sample size 7
5. Sample Design 7
6. Data Collection Techniques 8
7. Tools for Data Analysis 8
8. Scope of the Study 8
9. Limitations of the Study 8
4. Analysis & Interpretation 9
5. Conclusions & Findings 28
Conclusions 29
Findings 29
6. Bibliography 30
7. Questionnaires 31
7. [A COMPARATIVE STUDY OF ORGANISED &
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2
SUMMARY:-
The Indian Retail Industry is divided into organized and unorganized retail. The
Indian retail sector is highly fragmented with 95 percentage of its business being
dominated by unorganized retailers like traditional family run stores. The
unorganized retail sector has continued to grow at about 10 percent per annum
with sales rising from $ 309 billion in the year 2006-07 to $ 496 billion in the year
2011-12. The unorganized retail sector employs about 33 million people in India.
The penetration of organized retail is only 5 percent.
But according to McKiensey & Company Report titled “The Great Indian Bazaar:
Organized Retail Comes of Age in India”, organized retail in India is expected to
increase from 5 percent of total market in the year 2008 to 14 to 15 percent and
reach US $ 450 billion by the year 2015. The major contributors to move from
traditional outlet to organized retail were higher disposable income, increasing
number of malls, change in consumption pattern, and increase in usage of credit
card.
The major formats available in Indian retail industry are hypermarket,
supermarket, malls, discount stores and e-retailing. The major players in Indian
organized retail industry are future group, K.Raheja group, Tata, Bharti group and
so on. High attrition rate, retail theft, poor supply chain networks are some of the
challenges faced by Indian retail industry.
9. [A COMPARATIVE STUDY OF ORGANISED &
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ORGANIZED RETAIL STORES
The organized retailing is one of the growing selling based patterns in the market.
Organized retail store are those stores where an individual can fulfill his entire
requirement under one shed. This type of retailing is taking growth in the
economy because consumer does not wish to buy the commodity from a scattered
place. These can be illustrated as under:-
Big Baazar→ It is the largest hypermarket chain in India, founded in 2001. It
provide no. of schemes like Wednesday bazaar, maha-bachat, etc,
Reliance Mart→ It is the subsidiary co. of Reliance Industry founded in
2006. The company’s outlet provides vegetables, fruits, flowers, clothing,
electronic, etc.
Vishal Mega Mart→ It has a strong presence in retailing of readymade
garment and a large variety of FMCG products. Founded in 2001 in Kolkata.
ShopperStop→ It is an Indian retailing co. founded in 1991 in Andheri
Mumbai. It retails in clothing, accessories, cosmetics, health and beauty
products, home furnishing, etc
Fab-India→ It is India’s largest private platform for products that are made
from traditional tech., skill and hand based based processes. Founded in 1976
in New Delhi.
10. [A COMPARATIVE STUDY OF ORGANISED &
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RETAIL STORES
The unorganized retail stores are one of biggest source of employment in
India. Unorganized retail stores are those types of stores in which only a
particular type of product or same categories of products are available. These
are seen at everywhere when go in the city, town or village. These are
generally owned and by a single individual. In today’s scenario it is the
backbone in the supply chain through which consumer gets their products.
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3.1 OBJECTIVES
3.2 TYPE OF RESEARCH
It is a DESCRIPTIVE RESEARCH because this type of research comprises of
surveys and facts findings. The main purpose of this research does description of
state of affairs (Organized & Unorganized retailing in Jaipur) already exists.
3.3 METHODS OF DATA COLLECTION
3.4 UNIVERSE & SAMPLE SIZE
Universe→ The universe consists of all the organized and unorganized retailers
situated in the Jaipur city
Sample→ For the study a sample of 40 retail stores has been selected on the basis
of random sampling for the purpose of the research.
3.5 SAMPLE DESIGN
For the study RANDOM SAMPLING technique method has been applied on the
basis of suitability for the availability of information and which has a substantial
share in the market so as to give more accurate picture of the organized and
unorganized retailing in Jaipur.
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3.6 DATA COLLECTION TECHNIQUES
The data for the study has been collected through applying the following
techniques: “Questionnaires” and “Internet”.
3.7 TOOLS FOR DATA ANALYSIS
Tools used by me for complete analysis of data includes:-
Pie-Charts
Bar-graphs
3.8 SCOPE OF STUDY
Organized retailing will:
(i) Promote quality employment;
(ii) Improve business process practices;
(iii) Spur investments in support industries; and
(v) Enable the modernization of the fragmented traditional retail industry.
3.9 LIMITATIONS OF THE STUDY
In spite of all sincere efforts, the study is not foolproof in nature. It suffers from
variety of limitations due to the following reasons:
The study is limited to Jaipur city only.
Besides that, the detailed study has been conducted taking on 40 retail stores
based upon random sampling.
Data pertaining to the study has been collected for a period of only 3years.
Time is also a limiting factor as the study is conducted in a very short span of
time.
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Questions to the respondent to know about consumer behavior towards
organized & unorganized retailing in Jaipur:-
1) Which type of place do you visit frequently shopping needs?
A .super market B. Wholesale Market C. Local market
Particulars Super
Market
Wholesale
Market
Local
Market
Total
Respondents 18 9 13 40
Percentage 45% 22% 33% 100%
Interpretation:- From the above pie chart we can see that 45% of customer select
option super market, 22% of customer select option wholesale market and
rest 33% selected option local market.
45%
22%
33%
Respondents
super market
wholesale market
local market
16. [A COMPARATIVE STUDY OF ORGANISED &
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2) Form where would you prefer to buy product. ?
A. single market B. Multiband store
C. local market D. Local big retail store.
Particulars Single
Market
Multiband
Market
Local
Market
Local big
Retail
stores
Total
Respondents 8 23 6 3 40
Percentage 20% 57% 15% 8% 100%
Interaction:- From the above pie chart we can see that 20% of respondent went
for single market 57% of respondent went for multiband market, 15% went
for local market and rest 8% said local big retail stores for buying preference.
20%
57%
15%
8%
Respondents
single market multiband market local market local big retail stores
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3) Which one from malls/ local stores is more convenience for all your
shopping needs?
A. malls B. big market
C. kirana stores D. others
Particulars Malls Big
Market
Kirana
Stores
Others Total
Respondents 16 19 4 1 40
Percentage 40% 47% 10% 3% 100%
Interpretation:- From the above pie chart we can understand that 40% of
respondent said malls, 47% of respondent said big market, 10% of respondent
said kirana stores and remaining 3% said Others for the more convenience in
buying products from the above option.
40%
47%
10%
3%
Respondents
malls big market kirana stores others
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4) What influence your buying selection?
A. Availability of range B. Customer service.
C. Reasonable price D. Other
Particulars Availability
of range
Customer
Service
Reasonable
Price
Others Total
Respondents 11 9 15 5 40
Percentage 32% 19% 45% 4% 100%
Interpretation:- From the above pie chart we can see that 32% of the respondent
said Availability of range 19% of the respondent said Customer service,
45% of the respondent said Resasonable price and rest of the 4% said Others
for the options that influence their buying preferences.
25%
15%
35%
25%
Respondents
Availability of range customer service resasonable price others
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5). When do you prefer to shop most in organized retailing center ?
A During sales B. During fresh season stock
C. During discount D. When required
Particulars During
Sales
During
Fresh
season
stocks
During
discount
When
Required
Total
Respondents 10 14 6 10 40
Percentage 25% 35% 15% 25% 100%
Interpretation:-From the above pie chart we can conclude that 25% of the
respondent said During sales,35% of the respondent said During fresh
season stock,15% of the respondent said During discount and rest of the 25%
of the respondent said When required for their reason for visiting the organized
retailing.
25%
35%
15%
25%
Respondents
during sales during fresh season stock during discount when required
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6) How frequently do you visit organised retailing stores?
A. less than 3month B. 1-3 month
C. 1-6 month D. 1year
Particulars Less than
3 Months
1-3
Months
1-6
Months
1 Year Total
Respondents 19 16 4 1 40
Percentage 47% 40% 10% 3% 100%
Interpretation:- From the above pie chart we can understand that 47% of
respondent said Less than 3 months, 40% of respondent said 1-3 months,
10% of respondent said 1-6 months and rest of 3% go for the option 1 year for
their frequency of visiting the org. retailing store.
47%
40%
10%
3%
Respondents
less then 3 months
1-3 months
1-6 months
1 year
21. [A COMPARATIVE STUDY OF ORGANISED &
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7) What more fascinates you to shop at organised retailing centres ?
A. Membership card B. Discount mailers.
C. parking facility D. Lucky draw offer.
Particulars Membership
Card
Discount
Mailers
Parking
Facility
Lucky
draw
Offer
Total
Respondents 8 28 3 1 40
Percentage 20% 70% 7% 3% 100%
Interpretation:- From the above pie chart we can understand that 20% of the
respondent said Membership card, 70% of the respondent said Discount
mailers, 7% of the respondent said Parking facility and rest 3% said Lucky
draw offer for the reason that fascinate them more for shopping in organized
retailing centers.
20%
70%
7%
3%
Respondents
membership card
discount mailers
parking facility
lucky draw offer
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8). Where would you like to buy the following products from?
Particulars clothes grocery FMCG Cosmetics
&personal
care
Electronic
organised 34 9 28 37
unorganised 6 31 12 3
Interpretation:-From the above bar graph we can see that comparison level of
different product purchased from unorganized retailing average is less than
organized retailing.
34
6
org unorganised
23. [A COMPARATIVE STUDY OF ORGANISED &
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9) Do you agree that organised retailing stores provide more guarantied and
better quality products?
A. Strongly agree B. Agree
C. disagree D. Strongly disagree
Particulars Strongly
Agree
Agree Disagree Strongly
Disagree
Total
Respondents 8 21 8 3 40
Percentage 20% 52% 20% 8% 100%
Interpretation:- From the above pie chat we can integrate that 20% of the
respondent said Strongly agree, 52% of the respondent said Agree,20% of the
respondent said Disagree and the remaining 8% said strongly disagree for
their comparison for more guarantied product in organised. retailing stores.
20%
52%
20%
8%
Respondents
strongly agree agree disagree strongly disagree
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10) What do you think is the season behind the market shift from unorganised to
organised retailing?
A. Wide ranges of product under one roof.
B. Easy accessibility.
C. Status symbol.
D. Fixed prices
E. Ambience while shopping
Particulars Wide
range of
products
under
one roof
Easy
accessibility
Status
Symbol
Fixed
prices
Ambience
while
shopping
Total
Respondents 9 6 17 7 1 40
Percentage 22% 15% 42% 18% 3% 100%
Interpretation:-From the above pie chart we can understand that 22% of the
respondent said Wide range of products under one roof, 15% 0f the
respondent said Easy accessibility,42% of the respondent said Status symbol
22%
15%
42%
18%
3%
Respondents
wide range of products
under on roof
easy accessibility
status symbol
fixed prices
ambience while shopping
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11) What according to you are the drawbacks of organised retailing ?
A. high price B. Excessive service charges
C. increased tax rates D. Unwanted shopping
Particulars High
Price
Excessive
service
charges
Increased
tax rates
Unwanted
Shopping
Total
Respondents 6 16 13 5 40
Percentage 15% 40% 32% 13% 100%
Interpretation:-From the above pie chart we can conclude that 15% of the
respondent said High price ,40% of the respondent said Excessive service
charges,32% of the respondent said Increased tax rates and rest 13% of the
respondent said unwanted shopping for the drawback of organized retailing
market.
15%
40%
32%
13%
Respondents
high price excessive service charges increased tax rates unwanted shopping
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12). Rank the following factors while shopping in organized & unorganized
centers?
Particulars Organised Unorganised
Ease of shopping 37 3
Service of staff 32 8
Customer facilities 40 00
Availability-of products 32 00
Discount &offers 33 7
Interpretation:- From the above bar-graph, we can see that many respondents
had voted a maximum ranks to organized retailing in following parameters as
compared to unorganized retail stores.
37
32
40
32
33
organised
ease of shopping
service of staff
customer facilities
availability of product
discount & offers
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5.1 CONCLUSION:-
The mall culture specifically is all set for impressive growth in future in India.
Entertainment appeal of the malls is more powerful in urban markets which
observe the proliferation of nuclear family system. The expected entry of
multinationals in retail would bring wider choice to the Indian customers and
improved technology along with best glow
The study on consumer preferences and choice of store highlight that organized
retail is preferred due to convenience and variety. There is a difference in the
choice of store as well as product choice on the basis of age, income, residential
area of the consumer. Where income is low the small saving schemes like
coupons or loyalty discounts matter a lot, while for the rich, the store ambiance,
the entertainment facilities, the food joints are the dominating attractions and they
are ready to pay more for these facilities.
5.2 FINDINGS:-
India is one of the countries with the world’s youngest population with age of 24
years as against 35 years in U.S, 41 in Japan and 30 years in China. More than
half of the population has grown in the era of globalization and is exposed to
western lifestyle thus demanding a unique shopping experience.
Indian retail sector offers total 8 percent of employment in the country, thus
offering solid base to the employment of India. Our total workforce organized
sector offers almost 37 percent of employment. Therefore retail sector acts as a
safety valve that allows people and provides an opportunity to them to survive in
the competitive business world.
30. [A COMPARATIVE STUDY OF ORGANISED &
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Referred:-
1. . ITC to take retail biz to doorsteps of customers. May 26
Websites Referred:-
www.google.co.in
www.regoverningmarkets.org
http://economictimes.indiatimes.com/Opinion/Guest_Writer/Com
petition_amo ng_retail_giants_good/articleshow/2251975.cms
http://www.mom.gov.sg/publish/momportal/en/press_room/mom_
speeches/20 07/20070320-speech_by0.html.