Institute Of Professional Education and Research BHOPAL

Summer internship

Project report

(Batch 2012-2014)

SUBMITTED TO: SUBMITTED BY:

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A REPORT ON

CUSTOMER RELATIONSHIP MANAGEMENT IN HYPERCITY

A REPORT ON

CUSTOMER RELATIONSHIP MANAGEMENT IN HYPERCITY

COLLEGE PROJECT GUIDE:

PROF.

COMPANY PROJECT GUIDE:

MR.

ACKNOWLEDGEMENT

It is with a sage sense of gratitude, I acknowledge the efforts of whole hosts of well-

wishers who have in some way or other contributed in their own special ways to the

success and completion of this summer internship project.

First of all, I express my sage sense of gratitude and indebtedness to my Director, DR.

AMARJEET SINGH KHALSA of “IPER,” BHOPAL, from the bottom of my heart, for

his unprecedented support and faith that I do the best and his valuable recommendation

and for accepting this project.

Further I express my sage sense of gratitude to “Prof. who helped me at every stage and

constantly supported me during my project. I also express my sage of gratitude to Mr.

ROHAN PAHALWAN, Marketing Manager HYPERCITY BHOPAL” who were kind

enough to give an opportunity to work under their immense expertise. I sincerely thank to

both of them for their valuable suggestions, motivation and encouragement. I express my

thanks to the Max supporting Team, for their support and encouragement in bringing out

this project report.

I would be failing in my duty if I don’t express my profound gratitude to the entire

respondent who has spent their valuable time to answer the questionnaire.

Last but not the least; I would also like to expand my thanks to all faculty members of

IPER, Bhopal, who have helped a lot during the course of my project.

Finally, I sincerely express my thanks to all my friends, family members.

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DECLARATION

I am ...................... hereby declare that the project titled (CUSTOMER

RELATIONSHIP MANAGEMENT IN HYPERCITY Bhopal) is an original work

carried out under the guidance of Prof. The report submitted is a work of my own efforts

and has not been submitted to any institute or published before.

Signature of the student

(.............................)

Date:

Place: BHOPAL

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PREFACE

I want to express my gratitude for the experience and practical knowledge that I gained

during the summer internship project at HYPERCITY .It was my first experience when I

went to the market not to buy anything but to do the branding activity with reference to

HYPERCITY BHOPAL.

For accomplishment of the project report I think about the conditions and views and then

I used to compose the whole thing on computer. In making the project report theoretical

knowledge was needed more than the practical which was given to us by my professors in

my institutes. In the market the experience relating to the practical knowledge was very

good which realized me about the real conditions of the marketing.

The project Flows data collection method and questionnaire. It hoped that the findings

and recommendation will help the company, confidently to formulate its strategy in

comparison to its competitors. I have enjoyed my summer internship at HYPERCITY and

have learnt lots of new things, which will be helpful to me in near future. I thank

HYPERCITY for giving this opportunity at their office and being good to me all the time.

I am pleased to work in this esteemed organization. I have tried my best to make this

report a reader friendly & also did my level best to fulfill the objective of the summer

training. Lastly I am giving thanks to “IPER” family who gave me their precious time to

make project successful.

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Table of Content

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Chapter 1 Conceptual Overview 6-14

Chapter 2 Research Methodology

Objective of StudyScope and Rationale of StudyMethodology Limitation of Study

15-19

Chapter 3 Data collection 20-21

Chapter 4 Theoretical Background 22-28

Chapter 5 Case Study Introduction of Company profile and Product

About the work in company done by students

29-41

Chapter 6 Data Analysis 42-60

Chapter 7 Findings

Suggetions

61-63

Chapter 8 Bibliography

Annexure

Quetionnaire

64-70

CHAPTER - 1

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Chapter 1:- Conceptual Overview

Customer relationship management (CRM) consists of the processes a company uses

to track and organize its contacts with its current and prospective customers. CRM is used

to support these processes; information about customers and customer interactions can be

entered, stored and accessed by employees in different company departments. Typical

CRM goals are to improve services provided to customers, and to use customer contact

information for targeted marketing.

While the term CRM generally refers to a software-based approach to handling customer

relationships, most CRM software vendors stress that a successful CRM effort requires a

holistic approach. CRM initiatives often fail because implementation was limited to

software installation, without providing the context, support and understanding for

employees to learn, and take full advantage of the information systems. CRM tools

should be implemented "only after a well-devised strategy and operational plan are put in

place". CRM can be implemented without major investments in software, but software is

often necessary to explore the full benefits of a CRM strategy.

Other problems occur] when failing to think of sales as the output of a process that itself

needs to be studied and taken into account when planning automationFrom the outside,

customers interacting with a company perceive the business as a single entity, despite

often interacting with a number of employees in different roles and departments. CRM is

a combination of policies, processes, and strategies implemented by an organization to

unify its customer interactions and provide a means to track customer information. It

involves the use of technology in attracting new and profitable customers, while forming

tighter bonds with existing ones.

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CRM includes many aspects which relate directly to one another:

a) Front office operations — Direct interaction with customers, e.g. face to face

meetings, phone calls, e-mail, online services etc.

b) Back office operations — Operations that ultimately affect the activities of the front

office (e.g., billing, maintenance, planning, marketing, advertising, finance,

manufacturing, etc.)

c) Business relationships — Interaction with other companies and partners, such as

suppliers/vendors and retail outlets/distributors, industry networks (lobbying groups, trade

associations). This external network supports front and back office activities.

d) Analysis — Key CRM data can be analyzed in order to plan target-marketing

campaigns, conceive business strategies, and judge the success of CRM activities (e.g.,

market share, number and types of customers, revenue, profitability).

Perhaps it is important to note that while most consumers of CRM view it as a software

"solution", there is a growing realization in the corporate world that CRM is really a

customer-centric strategy for doing business; supported by software. Along these lines,

CRM thought leaders like Dick Lee of High Yield Methods define CRM as "CRM adds

value to customers in ways that add value back to the company"

Several commercial CRM packages are available which vary in their approach to CRM.

How ever, as mentioned above, CRM is not just a technology, but rather a comprehensive

customer-centric approach to an organization’s philosophy in dealing with its customers.

This includes policies and process, front-of-house customer service, employee training,

marketing systems and information management. Hence it is important that any CRM

implementation considerations stretch beyond technology, towards the broader

organizational requirements.

The objective of a CRM strategy most consider a company’s specific situation and its

customers needs and expectations. Information gained through CRM initiatives can

support the development of marketing strategy by developing the organization’s

knowledge in areas such as identifying customer segments, improving customer retention,

improving product offerings(by better understanding customer needs),and by identifying

the organization’s most profitable customers.8

CRM strategies can vary in size, complexity and scope. some companies consider a CRM

strategy to only focus on the management of a team of sales people. How ever, other

CRM strategy can cover customer interaction across the entire organization .many

commercial CRM insurance packages that are available provide features that serve sales,

marketing event management, and project management and finance.

Successful CUSTOMER RELATIONSHIP MANAGEMENT requires marketing, sales

and service agility of a star company to enable today’s business to out pace their

competitors in the race for customers.

Managing the customer experience, maintaining a more reliable data base, improving

service operations. fostering customer loyalty, embracing the characteristics of high

performance marketing and other related subjects.

Making such a pivot in CRM to create customer interactions that produce optimal

experiences and LONG TERM relationships must be the top mission. Above all, those

experiences must be consistent with a company’s brand promise.

CRM DEFINITION :

CRM defines the process of the company are fully occupied with acquiring

customers ,selling the product to the customers, and maintaining a LONG TERM

RELATIONSHIP to a customer.

CRM is actually a tremendous step forward in creating a system that can provide a means

for retaining individual loyalty in a world of nearly seven billion souls. CRM helps in

order to understand changing nature of the customer because customer are not what they

used to be.

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RETAIL INDUSTRY

Retail is the sale of goods and services from individuals or businesses to the end-user.

Retailers are part of an integrated system called the supply chain. A retailer purchases

goods or products in large quantities from manufacturers directly or through a wholesaler,

and then sells smaller quantities to the consumer for a profit. Retailing can be done in

either fixed locations or online. Retailing includes subordinated services, such as delivery.

The term "retailer" is also applied where a service provider services the needs of a large

number of individuals, such as a public utility, like electric power.

Shops may be on residential streets, streets with few or no houses or in a shopping mall.

Shopping streets may be for pedestrians only. Sometimes a shopping street has a partial

or full roof to protect customers from precipitation. Online retailing, a type of electronic

commerce used for business-to-consumer (B2C) transactions and mail order, are forms of

non-shop retailing.

Shopping generally refers to the act of buying products. Sometimes this is done to obtain

necessities such as food and clothing; sometimes it is done as a recreational activity.

Recreational shopping often involves window shopping (just looking, not buying) and

browsing and does not always result in a purchase.

Types of retail outlet

A marketplace is a location where goods and services are exchanged. The traditional

market square is a city square where traders set up stalls and buyers browse the

merchandise. This kind of market is very old, and countless such markets are still in

operation around the whole world.

In some parts of the world, the retail business is still dominated by small family-run

stores, but this market is increasingly being taken over by large retail chain

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Retail is usually classified by type of products as follows:

a) Food products

b) Hard goods or durable goods ("hard line retailers") - appliances, electronics,

furniture, sporting goods, etc. Goods that do not quickly wear out and provide utility

over time.

c) Soft goods or consumables - clothing, apparel, and other fabrics. Goods that are

consumed after one use or have a limited period (typically under three years) in which

you may use them.

There are the following types of retailers by marketing strategy:

1. Department stores - very large stores offering a huge assortment of "soft" and "hard

goods; often bear a resemblance to a collection of specialty stores. A retailer of such store

carries variety of categories and has broad assortment at average price. They offer

considerable customer service.

2. Discount stores - tend to offer a wide array of products and services, but they

compete mainly on price offers extensive assortment of merchandise at affordable and

cut-rate prices. Normally retailers sell less fashion-oriented brands.

3. Warehouse stores - warehouses that offer low-cost, often high-quantity goods piled

on pallets or steel shelves; warehouse clubs charge a membership fee;

4. Variety stores - these offer extremely low-cost goods, with limited selection;

5. Demographic - retailers that aim at one particular segment (e.g., high-end retailers

focusing on wealthy individuals).

6. Mom-And-Pop: is a retail outlet that is owned and operated by individuals. The range

of products are very selective and few in numbers. These stores are seen in local

community often are family-run businesses. The square feet area of the store depends on

the store holder.

7. Specialty stores: A typical specialty store gives attention to a particular category and

provides high level of service to the customers. A pet store that specializes in selling dog

food would be regarded as a specialty store. However, branded stores also come under

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this format. For example if a customer visits a Reebok or Gap store then they find just

Reebok and Gap products in the respective stores.

8. General store - a rural store that supplies the main needs for the local community;

9. Convenience stores: is essentially found in residential areas. They provide limited

amount of merchandise at more than average prices with a speedy checkout. This store is

ideal for emergency and immediate purchases.

10. Hypermarkets: provides variety and huge volumes of exclusive merchandise at low

margins. The operating cost is comparatively less than other retail formats.

11. Supermarkets: is a self service store consisting mainly of grocery and limited

products on non food items. They may adopt a Hi-Lo or an EDLP strategy for pricing.

The supermarkets can be anywhere between 20,000 and 40,000 square feet (3,700 m2).

Example: SPAR supermarket.

12. Malls: has a range of retail shops at a single outlet. They endow with products, food

and entertainment under a roof.

13. Category killers or Category Specialist: By supplying wide assortment in a single

category for lower prices a retailer can "kill" that category for other retailers. For few

categories, such as electronics, the products are displayed at the centre of the store and

sales person will be available to address customer queries and give suggestions when

required. Other retail format stores are forced to reduce the prices if a category specialist

retail store is present in the vicinity.

14. E-tailers: The customer can shop and order through internet and the merchandise are

dropped at the customer's doorstep. Here the retailers use drop shipping technique. They

accept the payment for the product but the customer receives the product directly from the

manufacturer or a wholesaler. This format is ideal for customers who do not want to

travel to retail stores and are interested in home shopping. However it is important for the

customer to be wary about defective products and non secure credit card transaction.

Example: Amazon, Pennyful and eBay.

15. Vending Machines: This is an automated piece of equipment wherein customers can

drop the money in the machine and acquire the products.

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Some stores take a no frills approach, while others are "mid-range" or "high end",

depending on what income level they target.

1. Automated Retail stores are self service, robotic kiosks located in airports, malls and

grocery stores. The stores accept credit cards and are usually open 24/7. Examples

include Zoom Shops and Red box.

2. Big-box stores encompass larger department, discount, general merchandise, and

warehouse stores.

3. Convenience store - a small store often with extended hours, stocking everyday or

roadside items;

4. General store - a store which sells most goods needed, typically in a rural area;

Retailers can opt for a format as each provides different retail mix to its customers based

on their customer demographics, lifestyle and purchase behaviour. A good format will

lend a hand to display products well and entice the target customers to spawn sales

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Worldwide Top Five Retailers[2]

Retail

Sales

Rank

CompanyCountry of

Origin

2010 group revenue (US

$mil)

1 Wal-Mart US $421,849

2 Carrefour France $121,519

3 Tesco UK $94,244

4 Metro AG Germany $89,311

5 Kroger US $82,189

CHAPTER - 2

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Chapter 2:- Research Methodology

Objective of Study1. To analyze the attitude of customers towards Hypercity.

2. To know the Marketing activities of the HyperCITY.

3. To give clear concept of in store activities in a retail store

4. To know the various promotional activities of HYpercity

5. To seek consumer attitude towards HyperCity

Scope and Rationale of Study1. The study has a great significance and provides benefits to various parties whom

directly or indirectly interact with the company.

2. It is beneficial to management of the company by providing clear crystal picture

regarding important aspects like Stock Keeping Unit, Basket Comparison, and

catalogue preparation.

3. The study also beneficial to employees and offer motivation by showing how actively

they are contributing in company growth.

4. To know the position of the company with respect to other retailers in the market.

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RESEARCH DESIGN

Research design is considered as a "blueprint" for research, dealing with at least four

problems: which questions to study, which data are relevant, what data to collect, and

how to analyze the results. The best design depends on the research question as well as

the orientation of the researcher. Every design has its positive and negative sides. The

present study is being conducted followed by Descriptive Research Design.

DESCRIPTIVE RESEARCH

To conduct the research work accurately, we conducted descriptive research. It includes

surveys and fact-finding inquiries of different kinds.

It is done to know following facts:

The HyperCITY profits are more influenced more by advertisement.

Retaining the old customer.

Liking in respect of quality

Quality Service

METHODOLOGY

Research methodology is considered as the nerve of the project. Without a proper well-

organized research plan, it is impossible to complete the project and reach to any

conclusion. The project was based on the survey plan. The main objective of survey was

to collect appropriate data, which work as a base for drawing conclusion and getting

result.

Therefore, research methodology is the way to systematically solve the research problem.

Research methodology not only talks of the methods but also logic behind the methods

used in the context of a research study and it explains why a particular method has been

used in the preference of the other methods

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SAMPLING METHOD

Sampling is necessary because it is also impossible to examine the entire population (i.e.

the entire universe) various factors such as time available cost, purpose of study etc. make

it necessary for the researchers to choose a sample. It should neither be too small nor too

big. It should be manageable. The sample size has been from the feedback from

customer’s.i.e through questionnaire method taken for present study due to time

limitation. In this we have taken a feedback from 100 Customers within HyperCITY

Store. These customers have revealed some facts on the basis of which we have done a

specific research. So the sample size is 100.

SAMPLING AREA : Bhopal

TOOLS USED : Questionnaire

AREA COVERED : Bhopal

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LIMITATION OF THE STUDY

In spites of best efforts of the investigator the study was subjected to following limitation: -

The time period given to me for the completion of the project was short In such a

short span of time it is difficult to complete any project in detail.

The staff members of the company were too much busy in their work. I could have

gained a lot if he could have spared more time for me.

Manager some time denied disclosing some important Marketing matters, which can

be helpful in this study.

Some information related to the study, which had been collected from the company

was rounded off because of some influence.

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CHAPTER – 3

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DATA COLLECTION

The project includes both primary & secondary sources of data. The data collected

through these sources has been organized, analyzed and interpreted so as to draw

conclusion and arrive at appropriate recommendations.

Primary source of data includes feedback of Questionnaires taken from the customers.

The secondary source of data includes website of HyperCITY Retail India and Wikipedia

which contains details which is helpful for making my project report

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CHAPTER - 4

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Chapter 4:- Theoretical Background

EVOLUTION OF INDIAN RETAIL:

Informal retailing Sector 

•Typically large retailers

•Greater enforcement of taxation mechanisms

•High level of labor usage monitoring Formal Retailing Sector 

•Typically small retailers.

•Evasion of taxes

•Difficulty in enforcing tax collection mechanisms

•No monitoring of labor laws.

WHY CRM?

1. A satisfied customer in 10 years will bring 100 more customers to the company.

2. It costs 7 time more to attract a new customer than to serve an old one.

3. 20% of the company’s loyal customers account for 80% of its revenues. (Pareto’s

principle).

4. The chances of selling to an existing customer are 1 in 2, the chances of selling to a

new customer are 1 in 16.

ABOUT CRM

The biggest management challenge in the new millennium of liberalization and

globalization for a business is to serve and maintain good relationship with the king – the

customer. In the past producers took their customers for granted, because at that time the

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customers were not demanding nor had alternative source of supply or suppliers. But

today there is a radical transformation. The changing business environment is

characterized by economic liberalization, increasing competition, high consumer choice,

demanding customer, more emphasis on quality and value of purchase etc.

All these changes have made today’s producer shift from traditional marketing to modern

marketing. Modern marketing calls for more than developing a product, pricing it,

promoting it and making it accessible to target customer. It demands building trust, a

binding force and value added relationship with the customers.

The process of developing a cooperative and collaborative relationship between the buyer

and seller is called customer relationship management shortly called CRM. According to

Ashoka dutt head of Citi Bank “the idea of CRM is to know the individual customer

intimately, so that the company has a customized product ready for him even before he

asks for it.”

A CRM is a collection of people, processes, software, and internet capabilities that helps

an enterprise manage customer relationship effectively and systematically. The goal of

CRM is to understand and anticipate the needs of current and potential customer to

increase customer retention and loyalty while optimizing the way product and services are

sold.CRM stands for Customer Relationship Management. It is a strategy used to learn

more about customers' needs and behaviors in order to develop stronger relationships

with them. After all, good customer relationships are at the heart of business success.

There are many technological components to CRM, but thinking about CRM in primarily

technological terms is a mistake. The more useful way to think about CRM is as a process

that will help bring together lots of pieces of information about customers, sales,

marketing effectiveness, responsiveness and market trends The objective is to capture

data about every contact a company a company has with a customer through every

channel and store it in the CRM system to enable the company to truly understand

customer action. CRM software helps an organization build a database about its customer

that management, sales people, customer service provider and even customer can access

information to access customer needs with product and offering.

Marketing Automation

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It is the most comprehensive campaign management solution available. It provides

everything needed to turn raw, disparate customer data into profitable marketing

campaigns  –all the way through inception, execution and measurement.

Marketing Optimization It applies sophisticated mathematical approaches to optimize

marketing campaign ROI given limited budgets, channel capacities and other

organizational constraints.

The idea of CRM is that it helps businesses use technology and human resources to gain

insight into the behavior of customers and the value of those customers. If it works as

hoped, a business can:

1. Provide better customer service

2. Make call centers more efficient

3. Cross sell products more effectively

4. Help sales staff close deals faster

5. Simplify marketing and sales processes

6. Discover new customers

7. Increase customer revenues

ARCHITECTURE OF CRM

There are three parts of application architecture of CRM:

Operational - automation to the basic business processes (marketing, sales, service)

Analytical - support to analyze customer behavior, implements business intelligence

alike technology

Collaborative - ensures the contact with customers (phone, email, fax, web, sms, post,

in person)

Operational CRM

Operational CRM means supporting the so-called "front office" business processes,

which include customer contact (sales, marketing and service). Tasks resulting from these

processes are forwarded to employees responsible for them, as well as the information

necessary for carrying out the tasks and interfaces to back-end applications are being

provided and activities with customers are being documented for further reference.

According to Gartner Group, the operational part of CRM typically involves three general

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areas of business:

CRM: Sales Force Automation

Sales Force Automation (SFA):

SFA automates some of the company's critical sales and sales force management

functions, for example, lead/account management, contact management, quote

management, forecasting, sales administration, keeping track of customer preferences,

buying habits, and demographics, as well as sales staff performance. SFA tools are

designed to improve field sales productivity. Key infrastructure requirements of SFA are

mobile synchronization and integrated product configuration.

Customer Service and Support (CSS):

CSS automates some service requests, complaints, product returns, and information

requests. Traditional internal help desk and traditional inbound call-center support for

customer inquiries are now evolved in to the "customer interaction center" (CIC), using

multiple channels (Web, phone/fax, face-to-face, kiosk, etc). Key infrastructure

requirements of CSS include computer telephon yintegration (CTI) which provides high

volume processing capability, and reliability.

Enterprise Marketing Automation (EMA)EMA provides information about the business environment, including competitors, industry trends, and macro environmental variables. It is the execution side of campaign and lead management. The intent of EMA applications is to improve marketing campaign efficiencies. Functions include demographic analysis, variable segmentation, and predictive modeling occur on the analytical (Business Intelligence) side.

Analytical CRM

In analytical CRM, data gathered within operational CRM and/or other sources are

analyzed to segment customers or to identify potential to enhance client relationship.

Analysis of Customer data may relate to one or more of the following analyses:

1.Contact channel optimization

2.Contact Optimization

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3.Customer Segmentation

4.Customer Satisfaction Measurement / Increase

5.Sales Coverage Optimization

There is a significant rural population in both countries, which has much lower

purchasing power compared to the urban population. Both countries are geographically

very large and unevenly developed, adding a significant distribution and logistics

dimension to the retail trade.

Consumers in both countries are highly value conscious.

 Between 1996 and 2003, the organized retail market in China more than doubled. We

e s t ima t e t ha t the Indian retail market is today at the same inflection point as China

was in the mid-1990s. Consequently, considering a similar per capita GDP and roughly

similar rates of economic growth, the Indian organized retail market has the potential for

exponential growth over the next decade.

CONSUMERISM: THE NEW WAVE

Growing consumerism would be a key driver for organized retail in India.

Several demographic indicators show favorable trends for the growth

of organized trade:

Rapid income growth:

consumers have a greater ability to spend. Increasing urbanization: larger urban

populations that value convenience, coupled with the higher propensity of the urban

consumer to spend

Two years ago, no one took Kishore Biyani seriously. His company, Pantaloon

Retail, was seen as a one-man show. Biyani himself was regarded as unpredictable, and

not a long-term bet. Today, he is the biggest retailer in India. In two years, Kishore Biyani

has bounced back to become India's largest retailer.

Aims of CRM

The CRM is a new technique in marketing where the marketer tries to develop long term

relationship with the customers to develop them as life time customers. CRM aims to

make the customer climb up the ladder of loyalty.

The company first tries to determine who are likely prospects i.e. the people who have a

strong potential interest in the product and ability to pay for it. The company hopes to

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convert many of its qualified prospect into first time customers and then to convert those

first time customers into repeat customers. Then the company tries to convert these repeat

customers into clients – they are those people who buy only from the company in the

relevant product categories. The next challenge for the company is to convert these client

into advocates. Advocates are those clients who praise the company and encourage others

to buy from it.

The ultimate challenge is to convert these advocates into partners where the customers

and the clients work actively together to discover ways of getting mutual benefit.

Thus in CRM the key performance figure is not just current market share but share of life

time value by converting customers into partners.

In CRM the company tries to identify that small percentage (20%) of key account holders

who’s contribution to the company revenues is high (80%). So from this point of view,

CRM is also known as KEY ACCOUNT MANAGEMENT.

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CHAPTER - 5

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Chapter 5:- Case Study –

Introduction of Company profile and Product

HyperCITY Retail India Ltd.

HyperCITY Retail (India) Ltd. is part of the K. Raheja Corp. Group, a leader in the

Indian retail sector. K Raheja Corp helped create retail boom in India with Shopper's

Stop, Inorbit Mall and Crossword apart from their successes in realty and hospitality.

HyperCITY also offers other value added services like consumer finance, ATM facility,

telecom services, pharmacy, Bakery and Restaurants etc. under one roof. HyperCITY

launched its first store in Malad, Mumbai, which is spread over 1,200,000 sq ft. Today,

HyperCITY has accomplished a total of 13 stores since inception and have marked its

presence in cities like Mumbai, Hyderabad, Bhopal, Bhopal, Amritsar, Delhi, Ludhiana

and Jaipur, Pune & Ahmedabad. It offers over 44,000 products sourced from both local &

global markets.

HyperCITY has 12 stores operational across 9 cities viz. Mumbai (Malad, Thane &

Vashi), Pune, Amritsar, Jaipur, Bhopal, Bhopal, Ludhiana, Ahmedabad & Hyderabad. It

offers a wide range of product in categories like Fresh produce, Foods and Grocery,

Home, Bakery, electronics, Furniture, Sports, Toys.

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HyperCITY Team

Mark Ashman (CEO)

KEY PEOPLE OF HYPERCITY RETAIL INDIA LTD.

Mr. Mark Ashman Chief Executive Officer

Ashutosh Chakradeo Head - Buying & Merchandising

Veneeth Purushotaman Business Head – Technology

Aparna Ranadive Business Head – HR

Darshana Business Head – Marketing&Visual

Merchandising

Simon Hooper Chief of Operations

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HyperCITY Bhopal Layout

It is located in Whitefield area one of the main commercial centers of Bhopal

White field is an IT hub so it caters to the basic needs of the IT professionals who have

migrated into the city from various parts of the country

It consists of a total space of 1, 50,000 sq ft

It is based on international standards

It has a vast shopping space and well maintained visual merchandising

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SWOT analysis of HyperCITY

STRENGTH:

• Good infrastructure

• Location of store

• Foreign customers

• National and international brands

• Private labels

• Vast shopping space on international standards

• Well maintained customer service desk

• It caters IT and ITES segment who migrated into the city

Weakness:

• Billing system is not fully automated

• Service associates are not well trained

• No centralized database system

• Many billing counters but only few are active

• Display price do not match with the tag on the product

• Non availability of some products

• No more discount in electronic section

• Non Retention of Customers.

Opportunities:

• Potential for investment

• Location advantage

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• Sectors with high growth potential

• E Retailing

• Retail franchising

• Wholesale trading

• Rural retailing

Threat:

• Closest in radius- Reliance fresh, City super market

• Inflation

• Poor inventory turns and stock availability measures

• Differentiation among the malls that are coming

• Shopping culture is not yet developed in India

• No home delivery

• No online sales

Visual merchandising in HyperCITY retail

Visual merchandising is the activity and profession of developing the floor plans and

three-dimensional displays in order to maximize sales. Both goods and services can be

displayed to highlight their features and benefits. The purpose of such visual

merchandising is to attract, engage and motivate the customer towards making a

purchase.

Visual merchandising commonly occurs in retail spaces such as retail stores and trade

shows.

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Retail event Management

•Event management means to organize events in a retail store as a part of sales promotion

like Fashion shows, Drawing competition, school kids activity, singing competition and

many more. Event Management is designed to facilitate a retail specific business activity

to increase sales, for example a promotion.

•Retailers face increasing competition and eroding margins; customers have become more

and more price sensitive and will wait for promotional deals. Many retailers have resorted

to spending more money on promotions and have increased their frequency. 

•Hypercity has been regularly organizing events as a part of their sales promotion. Event

management requires capital and proper planning to execute

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Event management at HyperCITY

HyperCITY organizes various events as a part of their sales promotion. It spends huge

capital on various events. One of the events can be seen in the picture.

Catalogue preparation

•A catalogue is a book or a pamphlet which is used to describe sale or discount on some

items. It is one of the best forms of sales promotion. A catalogue is generally prepared by

a marketing manager. A catalogue is generally used to increase the sales or to attract the

customers. a catalogue is of different types:

•Fashion catalogue

•Food catalogue

•Electronics catalogue

•Home catalogue

•Generally catalogue are also prepared during festivity season

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Preparation requirement:

• Size of catalogue

• Name of items to described

• Discounts have to be taken into consideration

Distribution of catalogue

• Through newspapers

• Delivering the catalogue to the customers at the entrance of the retail store

• Putting up catalogues at the notice boards of various apartments and societies

• Putting up hoardings of catalogues in the main restaurants and malls

• Internet ads

• Through television ads

• Delivering through SMS and mails

HyperCITY catalogue

A hyper sale catalogue of HyperCity describes 70% off on apparel and footwear, 50%off

on home and furniture, 40%on electronics etc. it is a part of sales promotion.

Customer Attitude

Customer attitude is the study of how individuals, groups and organizations select,

buy ,use and dispose of the goods ,services, ideas or experiences to satisfy their need and

wants . Marketers fully understand both the theory and reality of consumer attitude.

A consumer’s buying behavior is influenced by cultural, social and personal factors.

Cultural factors exert the broadest and deepest influence.

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Cultural factors

Culture, subculture and social class are particularly important influences on consumer

buying behavior. Culture is the fundamental determinant of a person’s wants and

behavior. The growing child acquires a set of values, perceptions, preferences and

behavior’s through his or her family and other key institutions. A child growing up

United States is exposed to following values:

Achievement

Success

Activity

Efficiency

Progress

Material comfort

Freedom

Social factors

In addition to cultural factors, social factors such as reference groups, family, and social

roles and statuses affect our buying behavior.

Reference groups A persons reference groups are all the groups that have a direct or

indirect influence on their attitudes or behavior. Groups having a direct influence are

called membership groups. Some of these are primary groups with whom the person

interacts fairly continuously and informally, such as family, friends, neighbors and

coworkers.

Family The family is the most important consumer buying organization in the society,

and family members constitute the most influential primary reference group. The family

of orientation consists of parents and siblings. From parents a person acquires an

orientation toward religion, politics, economics, and a sense of personal ambition, self

worth and love.

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Roles and Status people choose products that reflect and communicate their role and

actual or desired status in society. Marketers must be aware of the status symbol potential

of products and brands.

Personal Factors

Age and stage in the life cycle

Taste in food, clothes, furniture, and recreation is often age related. Consumption is

shaped by family life cycle. Marketers should consider critical life events or transitions

marriage, childbirth, illness, relocation, divorce, change, widowhood as giving rise to new

needs.

Occupation and economic circumstances

Occupation also influences consumption patterns. A blue collar worker will buy work

clothes, work shoes, and lunchboxes. A company president will buy dress suits, air travel,

and country club memberships. Marketers try to identify the occupational groups that

have above average interest in their products and even tailor products for certain

occupational

Personality and self concept

Each person has personality characteristics that influence his or her buying behavior. By

personality we mean a set of distinguishing human psychological traits like sincerity

excitement, competence, sophistication, and ruggedness.

Lifestyle and values

A lifestyle is a person’s pattern of living as expressed in activities, interest and opinions.

It portrays the whole person interacting with his environment. Marketers search for

relationship between their products and their lifestyles.

Customer Attitude -HyperCity Retail India Ltd

1. FMCG Behavior on goods like soap, detergent, shampoo. Women tend to search for

their products in the shelves and pick their products.eg. Women were seen searching for

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Surf Excel powder (Ariel and Tide detergent powders were on the top shelves) Most of

the men from both categories were seen picking up goods which were on the top shelf

itself. Very few men tried searching for a typical product in the store.

2. FMCG Behavior on products like soap and shampoo Women were seen having a

close look at all the products and then selecting their products Younger women picked

more of sun silk and dove shampoo. Men opted for shampoo and soaps after checking the

free-bies. Also, many of them opted to buy shampoo sachets instead of the big bottles.

3. Medical Section/ Chemist Very few people going to this section. Less than 10 people

went to the medical/ chemist section even during peak hours. (Observed duration –

30mins)The people who did come to the medical section bought not more than 2-3 tablet

strips. This could mean that people still prefer going to the general chemist stores and not

the ones tied with the retail chains.

4. Liquor No women seen in this section. Two types of consumers found in this section

First: Men who were there to buy their brands and quickly made their billing. Second:

Men who were along with their wife/girl friend. While the better half shopped for the

daily grocery, these men entered the liquor section. Assumption: Impulsive purchases

seen in this category.

5. Billing Counter Varied products like chocolates, pencil cells, soft drinks, sweets,

chips, chewing gums, toys (Hot Wheels Car models) were placed in shelves right next to

the billing counters.1 out of 4 customers picked up one of the products from the shelves.

Parents were the customers and the kids along with them were the consumers. Note: All

the above mentioned products had their own sections in the store.

6. On weekends there was a rush in the store as compared to the normal days,so the sale

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rises during the weekends.

7. Fruits and vegetables are the most sold products in a retail store because they

constitute our daily needs.

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CHAPTER - 6

42

Chapter 6:- Data Analysis

1. What do you think HyperCITY is for?

Options Percentage

Higher class 50%

upper middle class 30%

Lower middle class 15%

Lower class 5%

Interpretation: During a feedback taken from customers, It was observed that 50% of

people voted HyperCITY for Higher class, 30% for upper middle class, 15% for lower

middle class,5% for lower class.

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2. Are you happy with the service that HyperCity is providing you?

Options Percentage

Yes 95%

No 5%

Interpretation: Almost 95% 0f the people are satisfied with the service that HyperCITY

is providing while 5% say that the services are not satisfactory, they are criticizing the

work of associates.

3. What factors affect you to come for shopping in HyperCITY?

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OPTIONS PERCENTAGE

Nearness 20%

Quality of the product 15%

Availability of the product 60%

Service 5%

Interpretation: The basic driving force that motivates people to come to HyperCITY is

Availability of Product; nearly each and every product is available ranging from local to

international brands. Other factors include nearness 20%, quality 15% and service 5%.

4. Do Hyper CITY customers take part in promotional activities?45

OPTIONS PERCENTAGE

YES 80%

NO 20%

Interpretation: 80% of the people would like us to contact in case of HyperCITY

Promotional schemes while 20% won’t like to be a part of that.

5. Do you think HyperCITY offers you products at affordable prices?

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OPTIONS PERCENTAGE

YES 55%

NO 40%

CAN’T SAY 5%

Interpretation: Based on the feedback taken from customers 55% of the people say that

Hypercity offers products at affordable prices, while 40% people say that HyperCITY is

Costly and mostly costly in products like electronics, meat and fish. While 5% are not

sure whether prices are affordable or not.

6. Which retailer comes in your mind when you go for Wednesday shopping?

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OPTIONS PERCENTAGE

HyperCITY 20%

BIG BAZAAR 40%

MORE 15%

RELIANCE AND OTHERS 25%

Interpretation: when the concept comes for Wednesday shopping on which more

discounts are offered the Big Bazaar comes into the mind of the customers with 40%,

while HyperCITY accounts’ for 20%, more for 15%, and 25% any other.

7. DO you think that you are provided Proper discounts In HyperCITY?

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OPTIONS PERCENTAGE

YES 40%

NO 60%

Intrepretation:40% of the people say that they are provided proper discounts on all

items in HyperCITY while 60% people say that they are not always provided proper

discounts on some essential items like electronics.

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8. Do you get Wednesday Win TO Win Offer catalogue along with your newspaper

OPTIONS PERCENTAGE

YES 37%

NO 63%

Interpretation: 63% of the people didn’t get Wednesday win to win catalogue along

their newspaper while 37% of the people accept that they did get.

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9. Do you get fresh staples and fruits from Hypercity?

OPTIONS PERCENTAGE

ALWAYS 65%

NOT ALWAYS 35%

Interpretation: from the feedback taken from costumers it was found that 65% of people

say that they always get fresh fruits and vegetables while 35%say that they do not always

get fresh fruits and vegetables

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10. Shopping in HyperCity means:

OPTIONS PERCENTAGE

VALUE FOR MONEY 5%

QUALITY SERVICE 20%

SUPERIOR QUALITY 30%

ALL OF THE ABOVE 45%

Interpretation: shopping at HyperCITY is a great experience 45%of the people say that

they get all of the options While 5% for value of money,20% Quality Service,30% say

that they get superior Quality.

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11. Would you ever like to shift from HyperCITY to any other retail store if you get a chance?

OPTIONS PERCENTAGE

YES 80%

NO 20%

Interpretation: 80% people say they will shift from HyperCITY to other retail store if

they get better discounts and services while 20% people are loyal to HyperCITY and will

never shift..

12. Where else do you go for shopping besides HyperCITY?

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OPTIONS PERCENTAGE

BIG BAZAAR 40

MORE 20

ANY OTHER 40

Interpretation: Besides HyperCITY 40% of people go to big bazaar for shopping, 20%

more and 40% prefer other retail brands like total, spar, Nilgiri, Bhopal Horticulture etc.

13. Please share your experience regarding staff service:

54

Options Percentage

Excellent 10

Good 30

Moderate 40

Not up to mark 10

Very Poor 10

Interpretation: 10% people say that HyperCITY has excellent services,30 say that they

are good,40 moderate,10 say that it is not upto mark,10% say that it is very poor.

14. Rate the speediness at billing Counter:

Options Percentage

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Excellent 5

Good 10

Moderate 20

Not upto mark 50

Very poor 15

Interpretation: 5% people say that billing is excellent in Hypercity,10% good,20%

moderate,50% say very not upto mark and it is serious problem in HyperCity 15% rate it

poor.

15. Does hyper sale offers or discounts encourage you to come for shopping in

HyperCITY?

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Options Percentage

YES 90%

NO 10%

Interpretation: 90% of the people say that discounts and offers increases the footfalls in

a retail store, while 10% say that they remain unaffected by any discount or offer.

16. Upto what extent the Hypercity staff is cooperative with the customers?

Options Percentage

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Excellent 10%

Good 50%

Moderate 20%

Not upto mark 15%

Poor 5%

Interpretation: cooperation with the customers in a retail store is must; only 10% say that staff cooperation is excellent while 50% rate it average and 40% poor.

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17. Are you a member of Discovery club card (DCC) of HyperCITY?

Options Percentage

Yes 30

No 70

Interpretation: 30% of the people coming to HyperCITY are the members of discovery

club card of HyperCITY, it means that they are permanent customers in HyperCITY and

70% say that they are not the members of discovery club card.

18. What suggestions would you like to give for improvement?

Interpretation:

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1. improve billing System make it fast

2. bring regular discounts on items like electronics and home ware

3. meat and fish is costly In HyperCITY

4. Bring more north Indian food items in the store.

5. Language barrier in Hypercity Bhopal as the packers and some associates could not

Understand Hindi Properly creating a problem for the North Indian customers

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CHAPTER - 7

61

Chapter 7:- Findings

1. Hypercity mostly belongs to Higher and Upper middle class people. It is what

most of the People think in Bhopal.

2. Hypercity is providing better service to customers. It has a well maintained customer

service desk

3. Avalability of each and every product is the major driving force behind its customer

retention.

4. Hypercity offers prices at affordable prices it is what majority of people think, but

there are some customers who think it is costly in electronics, meat and fish.

5. The major competitors of Hypercity in Bhopal are Big Bazaar etc.

6. shopping in Hypercity mean value for money, superior quality, avalibility of product,

better services

7. 30% of the people coming to HyperCity are its permanent members through

discovery club card and it is an indication of retaing old customer.

8. The staff service is moderate in Hypercity. It is not upto mark

SUGGESTIONS AND CONCLUSION

By concluding the study about the “Brand Positioning of HyperCity” it is found that

Positioning of Hypercity retail among the people is too good. It is one of the most

preferred retail brands in Bhopal. The marketing activities of HyperCITY are very strong.

The marketing management of HyperCITY Bhopal is very efficient in creating a very

strong brand image among the customers. It has a very area of 1, 50,000 sqft, making it

one of the largest Supermarkets in India. It takes time to time feedback from customers

and upgrades it policies depending upon customer needs and preferences. It caters the

needs of all segments of people in the society especially youths from IT segment.

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SUGGESTIONS

I prepared a study upon HyperCity Bhopal on the basis of which I suggest following

things:

1. Most of the people think that HyperCITY is for higher class people but it has items

affordable by all sections of society. Hence it must remove the misconceptions regarding

HyperCITY.

2. One serious problem concerning Hypercity is that it’s billing problem which it must

try to solve.

3. Associates in HyperCITY should be Trained and motivated

4. It should bring changes according to consumer behavior.

5. Language Barrier should be properly dealt with in HYPERCITY

6. It must try to increase the membership of its discovery club card so as to retain its

customer loyalty.

7. Add some more items in store to fulfill needs of all sections of society.

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CHAPTER-8

64

BIBLIOGRAPHY AND REFERENCES

Magazines

Out look

Business week

Business India

Books referred:

• Marketing management(Philip Kotler)

• Marketing management (Ramaswamy)

• Research Methodology (Kothari)

Articles:

• Business worlds

• Indian FMCG

• India today

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Annexure

QUESTIONNAIRE

1. What do you think HyperCITY is for?

a) Higher class

b) Upper middle class

c) Lower middle class

d) Lower class

2. Are you happy with the service that HyperCity is providing you?

a) Yes

b) No

c) Can’t say

3. What factors affect you to come for shopping in HyperCITY?

a) Nearness

b) Quality of product

b) Availability of product

c) Service

4. Would you like us to contact in case of promotional schemes?

a) YES

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b) NO

5. Do u think HyperCITY offers you products at affordable prices?

a) Yes

b) No

c) Can’t say

6. Which retailer comes in your mind when you go for Wednesday shopping?

a) Big bazaar

b) HyperCITY

c) Total

d) More

e) Any other

7. Do you think that proper discounts are provided to you in HyperCITY?

a) Yes

b) No

8. Do you get Wednesday Win TO Win Offer catalogue along with your newspaper?

a) Yes

b) No

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9. Do you get fresh staples and fruits from Hypercity?

a) Always

b) Not always

10. Shopping in HyperCity means:

a) Value for money

b) Quality service

c) Superior Quality

d) All of the above

11. Would you ever like to shift from HyperCITY to any other retail store if you get a

chance?

a) Yes

b) No

12. Where else do you go for shopping besides HyperCITY?

a) Big bazaar

b) More

c) Total

d) Any other

13. Please share your experience regarding product knowledge of staff?

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a) Excellent

b) Average

c) Poor

14. Rate the speediness at billing counter?

a) Excellent

b) Average

c) Poor

15. Does hyper sale offers or discounts encourage you to come for shopping in

HyperCITY?

a) Yes

b) No

16. Do u think that staff of HyperCity is cooperative in dealing with customers?

a) Excellent

b) Average

c) Poor

17. Are you a member of Discovery club card (DCC) of HyperCITY?

a) Yes

b) No

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18. What suggestions would you like to give for improvement?

…………………………………………………………………......

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