SWAYAM SIDDHI COLLEGE OF MANAGEMENT & RESEARCH A PROJECT REPORT ON STUDY ON CONSUMER SALES PROMOTIONS OF APPAREL RETAIL STORES SUBMITTED BY: PARINAY SHASHIKANT MATKAR MMS BATCH 2008-2010 (MARKETING) UNDER THE GUIDANCE OF PROF. TUSHAR CHAKRAVARTY IN THE PARTIAL FULFILLMENT OF MASTERS OF MANAGEMENT STUDIES (MMS) OF

UNIVERSITY OF MUMBAI [Approved by AICTE, Affiliated to University of Mumbai & Govt. of Maharashtra DT E Code MB 336] (An ISO 9001-2000 Certified Institute) Sonadevi Weight Bridge, Near Octroi Naka, Kalyan Road, Temghar, Bhiwandi, Dist. Thane 421 302 CERTIFICATE This is to certify that Mr. PARINAY SHASHIKANT MATKAR (Roll No.1328) student of Second Year Master of Management Studies (MMS/MBA) of SWAYAM SIDDHI COLLEGE OF M ANAGEMENT & RESEARCH has successfully completed the winter project work titled ST UDY ON CONSUMER SALES PROMOTIONS OF APPAREL RETAIL STORES in partial fulfilment f or the degree of Master of Management Studies of University of Mumbai. Date: / /2010 Signature of the project guide Director Prof. Tushar Chakravarty Dr. Nilesh Chatterjee

Declaration I, Mr. Parinay Shashikant Matkar, hereby declare that the project report titled S tudy on consumer sales promotions of apparel retail stores is the record of authe ntic work carried out by me during the academic year 2008 2010 and has not submi tted to any other university or institution towards the award of any degree. Date: / /2010 ______________________ Signature (Parinay S. Mtakar)

Acknowledgement I, Mr. Parinay Shashikant Matkar (Swayam Siddhi College of Management and Resear ch, Bhiwandi), would like to thank my project guide, Prof. Tushar Chakravarty fo r his valuable guidance and support which has helped me immensely in completing this project. I also want to thank the college director Mr. Nilesh Chatterjee an d other professors, my friends and colleagues, who have directly or indirectly h elped me out in the completion of my project. Lastly, I would like to thank the entire staff of all the stores for their cooperation during my project work.

INDEX Title Introduction to retailing Apparel Retail Industry Major players in Apparel Retai l Sales Promotion Objectives Research Methodology Analysis Findings Conclusion B ibliography Page no. 1 3 6 8 11 12 15 41 43 44

Executive Summary In a market like India, there is a constant clash between challenges and opportu nities but chances favour those companies that are trying to establish themselve s. To sustain in such a volatile market, companies have to bring innovative solu tions. With the advent of modern format retailers and the growth of plastic card s, affluent urban Indians are shopping like never before. As apparel retail is l ed by fashion, a retailer needs to keep a close watch on fashion amongst teenage rs, as they are the trend setters. Seasonal variations on stocking pattern and n eed to clear inventory at the end of season should be understood by apparel reta iler. This highlights the importance of sales promotions- short term activities which induces trade or consumer to buy now, rather than in future, as the value of apparel after the season goes down substantially and inventory carrying burde n turns out to be very high. Apparel retailer needs to understand critical role of sales promotions. The topic of the project is to perform a study on consumer sales promotion activities of the apparel retail stores in Mumbai. To accomplish the above, three apparel retail stores of different well known business groups, located in Mulund (W) area of Mumbai were surveyed and interviewed. The respons es were analyzed and results were obtained. The core purpose of the survey was t o study the sales promotion activities performed by apparel retail outlets which results in stimulating product interest, trial, purchase and stock clearance. Introduction to retailing

The revolution in retailing industry has brought many changes and also opened do or for many Indian as well as foreign players. In a market like India, there is a constant clash between challenges and opportunities but chances favour those c ompanies that are trying to establish themselves. Thus, to sustain in a market l ike India, companies have to bring innovative solutions. Indian market has poten tial to accommodate many retail players, because still a small proportion of the pie is organized. Retailing is still in its infancy in India. In the name of re tailing, the unorganised retailing has dominated the Indian landscape so far. Ac cording to an estimate, the unorganized retail sector has 97% presence whereas t he organized accounts for merely 3%. Industry has already predicted a trillion d ollar market in retail sector in India by 2010. However, the retail industry in India is undergoing a major shake-up as the country is witnessing a retail revol ution. The old traditional formats are slowly changing into more complex and big ger formats. Malls and mega malls are coming up in almost all the places, be it metros or the smaller cities, across the length and breadth of the country. A Mc Kinsey report on India (2004) says organized retailing would increase the effici ency and productivity of entire gamut of economic activities, and would help in achieving higher GDP growth. At 6%, the share of employment of retail in India i s low, even when compared to Brazil (14%), and Poland (12%). Govt of Indias plan of changing the FDI guidelines in this sector speaks of the importance attached to retailing. Recent moves by big corporate houses like Reliance Industries has further fuelled the major investments in retail sector. A strategic alliance, la nd acquisitions in prime areas give the essence of the mood in this sector. Both MNCs and Indian firms want to get their share of this burgeoning pie. Notable i n Indian firms are Pantaloons Retail & Big Bazaar, Trents Westside, Shoppers stop, Reliance, Subhiskha, Wills Lifestyle stores, Cafe Coffee Day, which are present in India in different retail formats. Wal-Mart stores have just started operati ons in India. Some leading retail coffee chains of the world like Starbucks, Bar nies are planning to expand in a major way in India. The Indian retail sector

India is the country having the most unorganized retail market. Traditionally it was a familys livelihood, with their shop in the front and house at the back, wh ile they run the retail business. More than 99% retailers function in less than 5 00 square feet of shopping space. The Indian retail sector is estimated at aroun d Rs 900,000 crore, of which the organized sector accounts for a mere 3 per cent indicating a huge potential market opportunity that is lying in the waiting for the consumer-savvy organized retailer. Purchasing power of Indian urban consume r is growing and branded merchandise in categories like Apparels, Cosmetics, Sho es, Watches, Beverages, Food and even Jewellery, are slowly becoming lifestyle p roducts that are widely accepted by the urban Indian consumer. Indian retailers need to take advantage of this growth and aiming to grow, diversify and introduc e new formats has to pay more attention to the brand building process. The empha sis here is on retail as a brand rather than retailers selling brands. The focus should be on branding the retail business itself. There is no doubt that the In dian retail scene is booming. A number of large corporate houses Tatas, Rahejas, Pi ramalss, Goenkas have already made their foray into this arena, with beauty and he alth stores, supermarkets, selfservice music stores, new age book stores, everyday-low-price stores, computers and peripherals stores, office equipment stores and home/building construction stores. Today the organized players have attacked every retail category. Apparel retail industry

In India, clothing retail accounts for 36% of organised retail business. It is t he largest sector. Ready-made apparel accounted for an estimated 20% of domestic clothing sales in 2005. With growing working women wearing western wear to work , and pressed for time, market for good readymade clothes is likely to grow. Ind ia is a filmcrazy nation, and the largest producer of films, with more than 1,00 0 every year. They provide entertainment and an escape from reality for Indias ma sses, and set the popular fashion trend. Bollywood fashions have become pan Indi an. They affect various sectors of the market including clothing, footwear, wedd ings and fashion accessories. With the advent of modern format retailers and the growth of plastic cards, affluent urban Indian women are shopping like never be fore. They spend mornings browsing in stores looking for deals or latest styles. Upper income urban women are adopting ethnic wears. These are designer clothes that incorporate Indian motifs, ethnic fabrics and are a fusion of western and I ndian styles. In the large urban centres, apparel retailers, like Shoppers Stop, Westside and Pantaloon have popularised their private labels, which have attrac ted urban shoppers. Westside carries only its own private labels, while for the other stores, 20-30% of their apparel turnover is from private labels. Customers have loyalty to a store rather than any particular garment brand. This has led to a thriving unbranded or local brand market for ready-to-wear clothes leading to severe competition. Hence organized retailers like Lifestyle, for instance, h as a loyalty programme called `The Inner Circle , while Pantaloons offers a `Gre en Card Rewards programmes, Westside has `Club West to woo the customers. Cust omers look to design and fit of the clothes, and use the shops name as a quality standard. Characteristics of Apparel retail sector As apparel retail is led by f ashion, a player needs to keep a close watch on fashion amongst teenagers as the y are the trend setters. Role of Bollywood in spreading fashion needs to be unde rstood. Seasonal variations on stocking pattern and need to clear inventory at t he end of season should be understood by apparel retailer. Typically once an ite m is sold from the outlet, retailer ensures that there is no repetition of same. It gets replaced by different design, style and colour. Importance of store lay out, dcor is very critical. A person visiting the store frequently likes to see

changes in the layout otherwise he may carry the impression that stocks are not moving out of the store. Category management becomes very crucial function as tr ansformation of design into production and delivery has to be completed before f ashion or fad changes in the market. This highlights the importance of sales pro motions- short term activities which induces trade or consumer to buy now rather than in future as the value of apparel after the season goes down substantially and inventory carrying burden turns out to be very high. Apparel retailer needs to understand critical role of sales promotions. Attractive promotions induces purchase acceleration, stock piling and brand switching on the part of a consume r which substantially reduces retailers financial and inventory risk and consumer s financial risk and psychological risk. Seasons of Retailing

Summer Season It is usually from May to July. Low sales are recorded during this period. This season is good for promotions an d launching new advertisement campaigns. Fall Season August and September are im portant months. Retailers are provided a good opportunity to increase their shar e. Holiday Season It begins usually at the end of October and carries through th e fourth quarter ending in January. Festivals like Dusherra, Diwali, Christmas a nd New Year Eve bring more customers. Usually it is the best time for retailers. Spring Season It lasts from February to May Fewer footfalls are recorded in mal ls. Customers Men While men tend to prioritize fashion to a lesser degree than women, rightlook and the descent image is still important to them. Men tend to spend more money on electronic gadgets, food, sports goods and music. Women Teen girls represent a lucrative opportunity for retailers. They are going to become the future buyers. Teen girls are more trend savvy. It is not just the clothes and accessories, but the whole look that the teen girls aspire to define. Women spend more on jewellery and household items and thus they contribute a lot more in terms of revenue. Major Players in apparel retail

Shoppers Stop K. Raheja group of companies founded Shoppers Stop on October 27, 1991.The organization had already made its presence felt in the hospitality and real estate sector, and now it has created a landmark in the Retail sector with Shoppers Stop. Shoppers Stop is famous for the expertise and acumen relating t o the current practices of the industry. It provides quality services, products and the right kind of shopping environment. It has developed itself as a househo ld name and has set high standards for itself with the mission statement: Nothing but the best". In 2005, the company had 25 stores with a turnover of Rs. 1000 c rores and 7 lakh sq. feet retail space in the year 2005. The average age of the employees in the organization is 25 years. Pantaloon Retail (I) Ltd. Pantaloon R etail is the flagship enterprise of the Future Group. Pantaloon Retail (India) L imited has spread across various businesses and cities in India. Pantaloon owns multiple retail formats and is able to cater to a large section of the society. The company has over 140 stores across 32 cities in India and 14000 employees. T he organization made an incursion into the modern retail (fashion) in 1997. Big Bazaar, a hypermarket chain, was introduced in the year 2001, with an Indian tou ch of convenience and hygiene. Food Bazaar, food and grocery chain, and Central Mall located at various Metros are other important parts of the group. Westside Tata Group founded Trent Ltd. (Westside) in 1998. The acquisition of a Londonbas ed retail chain Littlewoods by the Tatas was followed by the establishment of Tr ent Ltd, which was later renamed as Westside. It is one of the largest and faste st growing chains serving the customers in various categories, including men s w ear, women s wear, kid s wear, footwear, cosmetics, perfumes and handbags, house hold accessories, lingerie and gifts. The company offers products with a balance between style and price. There are 25 Westside departmental stores operating in various cities like Mumbai, Hyderabad, Pune, Delhi, Banglore, Noida, Gurgaon, N agpur, Kolkata and many others. Lifestyle International Pvt. Ltd.

Lifestyle is an international fashion store of the Landmark Group, a Dubai-based company. Lifestyle created a revolution in the Indian Retail Industry by bringi ng a truly international shopping experience. It was launched in Chennai, and no w it is one of the largest professional retailers spread across 3,25,000 sq. ft. in various cities such as Chennai, Gurgaon, Mumbai, Hyderabad and Banglore. It is a heaven for shoppers with a vibrant and spicy lifestyle. It provides a wide choice of products at affordable prices with a convenient world-class environmen t and a friendly layout. Being one of the best shopping destinations, it has won the Most Respected Company in the Indian Retail Sector and the Most Admired Large Format Retail Company awards in India. Globus Globus was launched in 199 8 as a part of the Rajan Raheja Group. The company opened its first outlet in In dore followed by two more in Chennai. The flagship store was opened on 1st Novem ber 2001 in Mumbai, followed by a vibrant store in New Delhi. Subsequently, its stores were launched in Bangalore, Ghaziabad, Kanpur, Ahmedabad, Noida, Lucknow, Varanasi and Hyderabad. The organization has an innovative and adaptive environ ment. Globus has achieved customer delight by presenting value products and serv ices through continuous improvement. Wills Lifestyle ITC has made a presence in the Retail sector through its exclusive specialty store Wills Lifestyle . It ha s developed itself as a fashion destination offering a range of apparels and acc essories. Top designers of the industry design these clothes. The store offers W ills Classic work wear, Wills Sport relaxed wear, fashion accessories and bath & body care products. Wills Lifestyle has also developed John Players as a brand that offers a fine collection of clothes for dynamic and vibrant people. ITC bel ieves in the philosophy of enjoying the changing environment. This season Wills Lifestyle has brought a complete array of products for very aspect and mood of l ife be it work, relaxation or party. The store offers a truly International Sho pping Experience through world-class environment and a robust portfolio of offe rings. Sales Promotion

Sales promotions are short-term incentives to encourage the purchase or sale of a product or service. Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, re tailers, or other organizational customers to stimulate immediate sales. These e fforts can attempt to stimulate product interest, trial, or purchase. Examples o f devices used in sales promotion include coupons, samples, premiums, point-of-p urchase (POP) displays, contests, rebates, and sweepstakes Sales Promotion Strat egies There are three types of sales promotion strategies: Push, Pull, or a comb ination of the two. A push strategy involves convincing trade intermediary chann el members to "push" the product through the distribution channels to the ultima te consumer via promotions and personal selling efforts. The company promotes th e product through a reseller who in turn promotes it to yet another reseller or the final consumer. Trade-promotion objectives are to persuade retailers or whol esalers to carry a brand, give a brand shelf space, promote a brand in advertisi ng, and/or push a brand to final consumers. Typical tactics employed in push str ategy are: allowances, buy-back guarantees, free trials, contests, specialty adv ertising items, discounts, displays, and premiums. A pull strategy attempts to get consumers to "pull" the product from the manufac turer through the marketing channel. The company focuses its marketing communica tions efforts on consumers in the hope that it stimulates interest and demand fo r the product at the end-user level. This strategy is often employed if distribu tors are reluctant to

carry a product because it gets as many consumers as possible to go to retail ou tlets and request the product, thus pulling it through the channel. Consumer-pro motion objectives are to entice consumers to try a new product, attract customer s away from competitors products, get consumers to "load up" on a mature product, hold & reward loyal customers, and build consumer relationships. Typical tactic s employed in pull strategy are: samples, coupons, cash refunds and rebates, pre miums, advertising specialties, loyalty programs/patronage rewards, contests, sw eepstakes, games, and point-of-purchase (POP) displays. Reasons for Sales Promot ions This could be a way of monitoring the performance of product management. Since sales promotion can possibly provide immediate impact on consumer sales, i t is not unusual to use these strategies to attain their sales objectives. Companies have to cope with pressure on sales margins which they can achieve through paying closer attention to cost-effective sales volume. Since th e results of using sales promotional techniques can be determined accurately, sa les volumes can be easily predicted. More importantly, sales promotions are not only effective in attaining shortcomm unications tools such as advertising. The progressive term sales; they are also more cost-effective compared to other integrated marke ting fragmentation of audiences and the increase in media costs have tipped the balance in favor of sales promotion techniques which are more likely to deliver demonstrable results. Popularity of Sales Promotions The reason sales promotions are gaining popularity is due to the fact that product and sales management are very confident in their ability to handle the techniques of sales promotion. Ot her forms of integrated marketing communication tools need to go through a lot o f thought and internal debates before funds are allocated or decisions are arriv ed at.

Product managers also are more in control of the determination and implementatio n of sales promotional activities. They have a freehand when it comes to what sa les strategies to use. The importance of sales promotions as an integrated marke ting communications tool could be attributed to the increase in number of specia list sales promotions agencies operating in certain places. In the past, sales p romotion was viewed as part of other marketing communications techniques. Today, it is one of the stand-alone effective marketing tools. Disadvantages of Sales Promotions On the downside, the sales promotions, unlike other integrated marketing Unlike advertising or public relations, for instance, sales promotions strategies communication tools, work often on a short-term basis only. may have no lasting impact on the brand. .. .

Objectives of the project To study the sales promotion activities conducted by the selected three modern a pparel retail outlets in Mumbai, namely Pantaloon Retail (I) Ltd., Westside and Shoppers stop. Sub-Objectives To study the current scenario of the retail industry in India To study the curre nt scenario of the apparel industry in India To understand the importance of sal es promotion activities To study and analyse the sales promotion activities cond ucted by the selected three apparel retail outlets in Mumbai

Research Methodology 1. Type of Research Research is an original contribution to the existing stock of knowledge making f or its advancement. This research is an amalgamation of both formularize as well as descriptive research. 2. Research approaches There are two basic approached to research, quantitative approach and the qualit ative approach. The former involves the generation of data in quantitative form, which can be subjected to rigorous quantitative analysis in a formal and rigid manner. This approach is further sub-divided into inferential approach is to for m a database from which to infer characteristics or relationship of a population . This usually means survey research where a sample of population is studied usi ng questionnaire to determine its characteristics and it is then inferred that t he population has the same characteristics. Qualitative approach to research is concerned with subjective assessment of attitudes, opinions and behaviour. Resea rch in such a situation is a function of researchers insight and impressions. Suc h an approach to research generates results either in nonquantitative form or in the form, which are no subjected to rigorous quantitative analysis. Qualitative approach was been adopted in this study where data was collected by personally interviewing the staff of the selected stores.

3. Sources of Data The first part of the project was to study the current trends and the future of retail and apparel industry in India and also to gain some basic knowledge on sa les promotion. This consisted of doing a secondary research about the industry w ith the help of some text books and also through the internet. Once the secondar y research was done, a personal visit was conducted to the three well known appa rel retail outlets in Mumbai namely, Pantaloon Retail (I) Ltd., Westside and Sho ppers stop all of which are located in Mulund (W). The sales promotion activities conducted in the stores were minutely observed. Personal interviews with few of the staffs of each store were conducted to gain the in-depth knowledge about th e seasonal and non-seasonal sales promotion activities conducted by the stores.

4. Sampling Plan: (1) Population and Sampling unit The sample unit is the individual unit of the s elected sample. Here the sample unit were the apparel retail outlets in Mumbai. (2) Sample Size This refers to the number of items selected from the universe to constitute the sample. For the purpose of this study, a sample size of three ap parel retail outlets were selected, all of which are owned by the three differen t well known business groups. (3) Sampling Procedure There are various sampling procedures for selecting the sample procedures. The sampling procedure followed here is Simple random sampling.

ANALYSIS

Pantaloon Retail (India) Limited, is Indias leading retailer that operates multip le retail formats in both the value and lifestyle segment of the Indian consumer market. Headquartered in Mumbai (Bombay), the company operates over 12 million square feet of retail space, has over 1000 stores across 71 cities in India and employs over 30,000 people. The companys leading formats include Pantaloons, a ch ain of fashion outlets, Big Bazaar, a uniquely Indian hypermarket chain, Food Ba zaar, a supermarket chain, blends the look, touch and feel of Indian bazaars wit h aspects of modern retail like choice, convenience and quality and Central, a c hain of seamless destination malls. Some of its other formats include Brand Fact ory, Blue Sky, aLL, Top 10 and Star and Sitara. The company also operates an onl ine portal, futurebazaar.com- a subsidiary company, Home Solutions Retail (India ) Limited, operates Home Town, a large-format home solutions store, Collection i , selling home furniture products and eZone, focused on catering to the consumer electronics segment. Pantaloon Retail was recently awarded the International Re tailer of the Year 2007 by the US-based National Retail Federation (NRF) and the Emerging Market Retailer of the Year 2007 at the World Retail Congress held in Barcelona. Pantaloon Retail is the flagship company of Future Group, a business group catering to the entire Indian consumption space. Future Group manifesto Fut ure the word which signifies optimism, growth, achievement, strength, beauty, rew ards and perfection. Future encourages group to explore areas yet unexplored, wr ite rules yet unwritten; create new opportunities and new successes. To strive f or a glorious future brings groups strength, ability to learn, unlearn and re-lea rn ability to evolve. The Future Group will not wait for the Future to unfold it self but create future scenarios in the consumer space and facilitate consumptio n because consumption is development. Thereby, the future groups will effect soc io-economic development for the customers, employees, shareholders, associates a nd partners. The customers will

not just get what they need, but also get them where, how and when they need. Fu ture Group will not just post satisfactory results, but will write success stori es. Future Group will not just operate efficiently in the Indian economy, will e volve it. Future Group will not just spot trends, group will set trends by marry ing their understanding of the Indian consumer to their needs of tomorrow. It is this understanding that has helped Future Group succeeds. This will help group succeed in the Future. The group shall keep relearning and in this process, do j ust one thing. Rewrite Rules. Retain Values Group Vision Future Group shall delive r Everything, Everywhere, Every time for Every Indian Consumer in the most profi table manner. Group Mission To share the vision and belief that the customers an d stakeholders shall be served only by creating and executing future scenarios i n the consumption space leading to economic development. To be the trendsetters in evolving delivery formats, creating retail realty, making consumption afforda ble for all customer segments for classes and for masses. To infuse Indian brand s with confidence and renewed ambition. To be efficient, cost- conscious and com mitted to quality in whatever we do. To ensure that positive attitude, sincerity , humility and united determination shall be the driving forces to make the organization successful.

Formats, Group Companies & JV of Pantaloon Retail India Ltd

Men Section

Women Section SWOT Analysis of Pantaloon Retail (India) Ltd. Strength Industry leader First Mover Advantage Higher Bargaining Power to higher number of store and good coverage Highest number of formats of stores Easy to a ttract talent Highest market share in Organized retail Strong Good Will in marke t which helps them in raising money for expansion, forming JV, entering new mark et or new format Diversified business Stronger private label brands Weakness Gov ernment rules and regulations are not favorable FDI policy not so favorable for tieups Cannibalization within the formats Recession and global melt-down affecte d the performance of the book Shrinking margins due higher input costs Opportunities Luxury brand segments untapped by pantaloon Tie-up with foreign pl ayer to bring in technical expertise and funds to expands aggressively Smaller f ormats should expand more aggressively in tier II and tier III cities Scope of P rivate labels Integrating supply chain with other retailers License agreement wi th foreign brands Restaurant and fast food chain included in the current formats Threats Rapid expansion by current players like Trent, Shoppers Stop, Reliance, More, Bharti and Spencers Tie-up of competitors with foreign retail giants. For example Bharti & Walmart Market conditions highly volatile last year due to melt down

Real estate price & Rentals lowering Sales Promotion techniques at Pantaloon Retail (I) Ltd. 1. Price-off offer: Under this offer, products are sold at a price lower than th e original price. This type of scheme is designed to boost up sales in off-seaso n and sometimes while introducing a new product in the market. Example: Buy 2 me n T-shirts at Rs. 599/- and 1 T-shirt at Rs. 399/- (MRP: Rs.399/Tshirt). Buy 2 m en T-shirts at Rs. 749/- and 1 T-shirt at Rs. 499/- (MRP: Rs.499/Tshirt). Buy 3 men round neck T-shirts for Rs. 399/- (MRP: Rs.199/Tshirt). Buy 2 men V neck T-s hirts at Rs. 499/- and 1 T-shirt for Rs. 299/- (MRP: Rs.299/Tshirt). Buy 3 women T-shirts at Rs. 399/- (MRP: Rs.199/Tshirt). Buy 1 woman top and get Rs. 100/- o ff on the bottoms. 2. Discounts: Under this, the products are sold at a discounted price with perce ntage discounts on the original price. This type of scheme is designed to boost up sales in off-season. Example: 30% off on all the men formal shirts and trouse rs. 30 % off on all the women formals and casual outfits.

3. End of season sale: End of Season sale or stock Clearance sale is been conduc ted at Pantaloon Factory Outlets. They are offering surprising discounts as if y ou buy 2 any items of garments and you will get 3 more with your choice absolute ly free. These offers are given as celebration of New Year. 4. Seasonal offers: Pantaloon provides the customers with various discounts and price-off offers at the stores and factory outlets on the seasons like winter an d monsoon. This type of scheme is designed to boost up sales in these seasons. 5. Festive offers:

Pantaloons have come up with festive offer during Diwali and Christmas by giving away gifts for purchases that are made at the store for cheaper price. If you s hop for Rs. 4500 you get a Strolley bag worth Rs. 1299 for Rs. 149 only. If you shop for Rs. 2400 and above you get a lemon set, which is said to be imported, w orth Rs. 649 for Rs. 99 only. 6. New Year offers: Pantaloons offers gifts for pu rchases that are make at the store during the New Year for cheaper price. If you shop for Rs. 3500 you get a Imported Designer Glass Set for Rs. 249 only. If yo u shop for Rs. 2500, you get a 3 nights and 4 days holiday package for a couple on an International cruise. 7. Discount Coupons: Pantaloon offers 25% discount on its large range of apparel s. The coupon is valid for limited period. This coupon is valid for 25% off on a ny product purchased from www.pantaloon.futurebazaar.com.

8. Gift Vouchers: Pantaloons Fresh Fashion offers many Pantaloons vouchers rangi ng different denominations like Rs100, Rs.250, Rs.1000 and Rs.2000. These Pantal oons vouchers are exchangeable with the products by the customers at all the Pan taloons Showrooms in India. The vouchers are a better option rather than gifts f or the employees and customers as they are not bound for a particular thing to a ccept. They are given free choice for choosing better gifts for themselves by us ing vouchers. Pantaloons vouchers offer a wide range of products and services fo r shopping. It has got coverage in 15 cities including 22 outlets. It thus offer s good gift vouchers to its customers, clients and sales force also to keep good relationships amongst each other. The most famous Gift Vouchers by Pantaloons F resh Fashion are Trendsetters and Connoisseurs Choice. Trendsetters Gift Voucher : This Pantaloons voucher to the customers for the products of value of Rs.500 a t all showrooms of Pantaloons all over India. This voucher is valid for all appa rels only. The amount of the products bought have to be within the face value of the voucher, if it exceeds the actual amount the customer has to pay the exceed ed amount after the shopping. This gift voucher is valid till 1 year from the is sue date. It can not be exchanged to part or full cash. Connoisseurs Choice: This Pantaloons voucher is available for the products value d at Rs.500 at all Pantaloons showrooms. This is known to be as good as the cash under Pantaloons. This is valid for one year after issuance. The voucher can no t be

exchanged neither it can be encashed. The voucher can be converted for once. Any balance on voucher will not be exchanged as cash or any product. The pantaloons all over India have got this facility so that the customers can avail it any ti me any where. 9. Pantaloon loyalty program (Green card): Green Card is a passport to a whole new world of exclusive benefits and privileg es to the customers. Instant discounts for every time you shop at Pantaloons. Ex clusive shopping days to get hold of latest merchandise. Regular updates on coll ections and promos via catalogues, sms and email. Special invites to the most ha ppening events. Extended exchange periods and complimentary drops for alteration s. Exclusive billing counters and much more.

Shoppers Stop Ltd., has redefined retail in India, taking it to the next level. F rom being just the sale of goods to consumers, the company has created a unique aura around retail and turned it into an experience, an indulgence. The pioneer of organized retail in India, Shoppers Stop Ltd., has been instrumental in bringi ng about a retail revolution in the country and has become the highest benchmark for the industry. With its growth plans firmly in place and undeniable leadersh ip in the field, Shoppers Stop Ltd., is well on its way to raise the bar of perfo rmance even higher. Shoppers Stop Ltd. has made this purchase of goods extremely pleasurable. The stores have redefined shopping by making it more than just a tr ansaction. The entire shopping process is the coming together of an amazing arra y of offerings, warm but unobtrusive service and special privileges and benefits that translate every visit into customer delight.

Since its inception in 1991, Shoppers Stop Ltd., which was founded by the K Rahej a Corp. Group (Chandru L Raheja Group), one of the leading players in the countr y in the business of real estate development and hotels, has been offering premi um and luxury value for the entire family. Shoppers Stop Ltd. has metamorphosed f rom being a chain of retail stores to emerging as a Fashion & Lifestyle destinat ion, which now includes retail concepts such as bookstores, cafs and high-end lif estyle merchandise for the growing affluent middle class in India. Today, its na me is synonymous with superior quality product, services and above all, an inter national shopping experience. In order to enhance the level of customer service and gain insight into new and emerging practices followed internationally, Shopp ers Stop Ltd. is a member of the Inter Continental Group of Department Stores (IG DS). It is the only Indian member along with 29 other experienced retailers from all over the world. Leveraging expertise, excellence and experience, Shoppers St op Ltd. has become a benchmark for the Indian retail industry to follow. A pione er of organized retail in India, Shoppers Stop today, is the countrys biggest Depa rtment Store Chain. It offers customers an international shopping environment an d a world-class shopping experience through its 20 stores in 11 cities. It house s a host of international and domestic brands across categories such as apparel, accessories, cosmetics, home & kitchenware as also its own private brands. Shop pers Stop offers a wide range of brands (more than 400 brands) for the entire fam ily to choose from. Exclusive and

established brands share shelf space to offer an array of choices customers acro ss all ages, tastes and occasions. Shoppers Stop is the single largest retailer f or Levis Strauss, Pepe, Lee, Arrow, Zodiac, Ray-Ban, Swatch, among others. Private Labels Shoppers Stop has a range of Private Labels across Men s casual wear to formals to Women s wear. Private Labels contribute a mere 20% to its Total Sales. Here a re the Private Labels Sold in Shoppers Stop outlet, Kashish - Mens s Ethnic Wear Stop - Western Wear - Men & Women Life - Mens Casua l Wear , Jeans Wear Mario Zegnoti - Men s Formal Wear Acropolis - Men s Formal W ear Push and Shove - Eye Wear Vettorio Fratini - Premium Men s Wear Men Section

Women Section

SWOT ANALYSIS OF SHOPPERS STOP: Strengths Variety Range Different Brands Pioneer Loyal customer Low risk Go nancial position Presence across various segments Parikrama the festival Weaknes s Very high prices Less Schemes Less Discounts Competition from standalone store s Late entry into value retailing Store makeover expenditure

Threats Government Policies Entrance of New Players High attrition Lesser consu er spending Entry of foreign players Unorganized sector Independent stores

Opportunities Awareness about the brands Quality Youngsters Higher disposable come Collaborate Private levels Tier 2 & tier 3 cities Enter new consumer goods segments Sales Promotion techniques at Shoppers stop 1. Price-off offer: Under this offer, products are sold at a price lower than th e original price. This type of scheme is designed to boost up sales in off-seaso n and sometimes while introducing a new product in the market. Example: Buy 2 me n T-shirts at Rs. 799/- and 1 T-shirt at Rs. 499/- (MRP: Rs.499/Tshirt). Buy 3 w omen T-shirts at Rs. 999/- (MRP: Rs.499/Tshirt). 2. Discounts: Under this, the p roducts are sold at a discounted price with percentage discounts on the original price. This type of scheme is designed to boost up sales in off-season. Example : 20% off on all the men formal shirts and trousers.

20 % off on all the women formals and casual outfits. 3. End of season sale: End of Season sale or stock Clearance sale is been conducted at Shoppers stop. Th ey are offering surprising discounts upto 50% on all the men and women apparels. These offers were given last year for limited period in the month of September. 4. Seasonal offers: Shoppers stop provides the customers with various discounts a nd price-off offers at the stores on the seasons like winter and monsoon. This t ype of scheme is designed to boost up sales in these seasons. Different offers a re provided by the stores during these periods from June to January.

5. Festive offers: Shoppers stop have come up with festive offer during Diwali an d Christmas by giving away gifts for purchases that are made at the store for ch eaper price or free. If you purchase men apparel worth Rs. 6000/-, the you are e ntitled to get a Polo bag worth Rs. 2000/- absolutely free.

6. Gift Vouchers: Shoppers Stop offer Gift Vouchers of denomination ranging from Rs. 250 to Rs. 5000. 7. Republic Day offer: Shoppers stop conducted 3 Day Surprise offer on the occasi on of Republic Day, giving flat 20 percent discount coupons on purchase of goods worth Rs. 3000/-, which can be redeemed on the next purchase.

8. Contests: Shoppers Stop has announced a 101-day Shopping Bonanza to pull in c ustomers into the stores. Lucky draw winners of the contest will get to see one of the seven wonders of the world and two lucky couples who get the grand prize will be treated to a roundtrip which will cover all the seven wonders of the wor ld. 9. Shoppers stop loyalty program (First Citizen Citibank credit card) As s Fi rst Citizen Credit card member, you get the benefits of the Shoppers Stop loyalty program, First Citizen. The First Citizen membership entitles you to exclusive privileges such as product previews, priority billing and other special benefits . Add to this, the fabulous experience of shopping at the premier Shoppers stop o utlets across the country.

10. Exchange offer: Under this offer, you have to bring in you old salwar kameez and take away a new one with discounted price.

Style, affordable prices, quality these are the factors that have shaped Westsid e s success story in the retail fashion stores business. Launched in 1998 in Ban galore, the Westside chain has, ever since, been setting the standards for other fashion retailers to follow. Established in 1998 as part of the Tata Group, Trent Ltd. operates Westside, one of India s largest and fastest growing chains of retail stores. The Westside st ores have

numerous departments to meet the varied shopping needs of customers. These inclu de Menswear, Womens wear, Kids wear, Footwear, Cosmetics, Perfumes and Handbags, H ousehold Accessories, lingerie, and Gifts. The company has already established 3 6 Westside departmental stores (measuring 15,000-30,000 square feet each) in Ahm edabad, Bangalore, Chennai, Delhi, Gurgaon, Ghaziabad & Noida (to be considered as 1 city), Hyderabad, Indore, Jaipur, Kolkata, Ludhiana, Lucknow, Mumbai, Mysor e, Nagpur, Pune, Rajkot, Surat, Vadodara and Jammu. The company hopes to expand rapidly with similar format stores that offer a fine balance between style and p rice retailing. Trent ventured into the hypermarket business in 2004 with Star B azaar, providing an ample assortment of products made available at the lowest pr ices, aptly exemplifying its Chota Budget, Lambi Shopping motto. At present Star B azaar has 4 stores in 3 cities located in Ahmedabad, Mumbai and Bangalore. This store offers customers an eclectic array of products that include staple foods, beverages, health and beauty products, vegetables, fruits, dairy products, consu mer electronics and household items at the most affordable prices. This story be gan circa 1998 when The Tatas acquired Littlewoods a London based retail chain. This acquisition was followed by the establishment of Trent Ltd (a Tata enterpri se that presently operates Westside). Littlewoods was subsequently renamed Wests ide. In a rapidly evolving retail scenario, Westside has carved a niche for its brand of merchandise creating a loyal following. Currently, the company has 36 W estside stores measuring 15,000-30,000 square feet each across 20 cities. With a variety of designs and styles, everything at Westside is exclusively designed a nd the merchandise ranges from stylized clothes, footwear and accessories for me n, women and children to well-co-coordinated table linens, artifacts, home acces sories and furnishings. Well-designed interiors, sprawling space, prime location s and coffee shops enhance the customers shopping experience. SWOT ANALYSIS OF WESTSIDE:

Strengths Growing at the faster pace Brand name of TATAs. Good customer base. arels are cheaper Attractive promotional schemes and heavy discounts Quality and branded stuff only Location advantage Weakness Not much product range for middle class Facing problems due to politica l environment Need help in taking over properties and real estate Need some conc essions from labor laws Lack of differentiation Poor inventory turns and stock a vailability Opportunities Huge untapped market Rising disposable income Urbanization Threats Competition from organized retail players Competition from local retaile rs. Ladies Section

Men Section Kids Section PRIVATE LABELS Private label products or services are typically tho se manufactured or provided by one company for offer under another company s bra nd. Private label goods and services are available in a wide range of industries from food to cosmetics to web hosting. They are often positioned as lower cost alternatives to regional, national or international brand. Westside has many pri vate labels in its merchandise portfolio. Private labels in Westside include 2F4U SRC Gia

Urban angel Intima David Jones Ascot All these brands are produced for Westside only and can be found in Westside onl y. These apparel brands are given separate space for displaying their merchandis e and more promotional offers are there on them to increase their sales. At some places, these private brands are mixed with branded clothes so in that case the se private labels are put in lower shelves. At eyesight level, branded clothes a re put. Sales Promotion techniques at Westside 1. Festive offers: With this Diwali Delight offer from Westside if you shop from their store for Rs. 5000 and above you get a gift voucher from them for Rs. 100 0 for free. And if you shop for Rs. 2500 and above you get a free gift voucher w orth Rs. 400. This is valid only if you purchase their in-house merchandise or b rands only and not valid if you chose to buy other brands available at their sto re. 2. End of season sale:

End of Season sale or stock Clearance sale is been conducted at Westside. They a re offering surprising discounts upto 50% on all the men and women apparels. The se offers were given last year for limited period in the month of January and Ju ly. 3. Gift Vouchers: Westside offers Gift Vouchers of denomination ranging from Rs. 100 to Rs. 10000.

4. Westside loyalty program (Club west card program): An assured return-and-exchange policy reinforces customer confidence in the chai n. Another winning Westside idea is Club West, a customer loyalty program launch ed in May 2001. The 30,000-plus members of this club get rebates at restaurants and on holiday packages from the Taj Group of Hotels, home delivery of alteratio ns, and best of all, special shopping hours on the first day of any discount sal es event organized by the chain. 5. Contests:

Shop for Rs 1,000 at Westside, participate in the lucky draw and win the grand p rize a complete holiday packages for two to Macau. You could also win holiday pa ckages to breathtaking beach destinations in India including Goa, Kovalam, Puri and Pondicherry. 6. Discounts: Under this, the products are sold at a discounted price with percentage discounts on the original price. This type of scheme is d esigned to boost up sales in off-season. Example: 20 - 50% off on all the men fo rmal shirts and trousers. 20 50 % off on all the women formals and casual outfit s. Findings

Sales Promotion 1.End of season 2.Festive Promotions (Diwali, Christmas etc) Loyalty card Progra mme Special Promotion (event) Joint promotion Media used Pantaloon Yes Yes Westside Yes Yes Shoppers Stop Yes Yes Yes Yes Yes Yes (Exchange offer) No Yes (Exchange offer) No Print, electronic, hoardings, In-store media Discounts, gift vouchers, free gifts, exchange offer, End of season sale, Loyalty program No Hoardings, print, electronic (SMS, E-mail), POP In-store media Price off, fre e gifts, exchange offer, Festive offers, End of season sale, Loyalty program No Print, electronic, hoardings, In-store media Gift vouchers, discount, contest , End of season Promotion type From the above table, it is clear that all three stores engage in end of season sale. This reinforces the fact that seasonality affects apparel sector and hence it becomes critical for a retailer to clear off the stocks at the end of season , otherwise, he may have to incur substantial inventory carrying costs, allocate scarce shelf space and out of fashion apparels maybe worthless. Thus stock clea rance seems to be very important objective for apparel retailer in using end of season sale wherein discount given is upto 50% of the MRP (Maximum retail price) .

All the three stores use loyalty cards to reward loyal users and encourage them to visit the store often and buy more by offering wide range for men, women and children. Some store also offer home furnishings, accessories and footwear, ther eby providing convenience for one stop shopping. Joint sales promotion involves tieing up with other brands like, MacDonald, Havm ore, Golds (local) Gym and Kaya skin clinic, etc. None of the three stores has ye t explored avenue of joint sales promotion. Such joint promotions have advantage s in terms of sharing costs of promotions, cross selling opportunities to each o thers customers, higher visibility etc. In terms of type of consumer sales promotions, almost everyone used discount, co upon programmes and lucky draws, contests, gift, buy one get one free type of pr omotions. Pantaloon and Shoppers Stop uses exchange offer.

Conclusion Usage of sales promotion activities has a direct impact on consumer behaviour as it motivates a consumer to buy now rather than in future, enhances value of an offer temporarily till the promotion period, encourages switching, reinforce or reward loyalty etc. Broadly, objectives set for these activities are; To generat e store traffic, To move excess inventory, To enhance store image and To create a price image (high or low). Traffic building is achieved by special event promo tions like Diwali, Rakshabandhan promotions; inventory reduction through end of season sale; creation and building store image through feature advertising and d isplays and joint promotions and price image by highlighting the discounts. It h elps consumer reduce not only financial risk but also psychological and social r isk by making consumer confident of his/her purchase, conformation to group norm s by shopping at famous stores/brands and possibility of acquiring well known br anded apparel during promotions. Promotions may induce non buyers to walk in to the store and loyalty programmes may encourage them to buy more, more often or u pgrade to better quality. Exciting promotions also have tendency to generate pos itive word of mouth and help consumer feel a smart shopper. Thus, not only provi de utilitarian benefits like, saving of money, time or quality up gradation but hedonic benefits like feeling confident, feeling of excitement and entertainment etc. Execution of the sales promotion activities also require proper coordination of selling effort and availability of promoted merchandise. Apparel sector is likel y to grow with growing Indian economy. Many multinational players either have al ready plunged into Indian market or plan to do so in apparel sector. They will b ring many promotional practices which they have been following in developed mark ets which will increase the use of sales promotion activities even further. Indi an brands will have to withstand turbulent conditions and learn to survive. If t he role of such promotional activities is understood well, it may help any playe r a long way to survive and grow.

Bibliography www.google.com www.pantaloon.com www.mywestside.com www.shoppersstop.com http://besteoffers.blogspot.com/2009/12/free-discountcoupon-of-25-of.html www.futurebazaar.com