Diversification of Tata's Into Retail

8/8/2019 Diversification of Tata's Into Retail

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Presented By :-

Shilpi Baranwal (2009 mb 18)

Vertika Rai (2009 mb 21)


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Table Of Contents

Retailing Current Scenario

Major Players

Introduction: Trent

Genesis

Retail Format

Westside

Star Bazaar

Landmark Fashion Yatra

Analysis

Conclusion


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What is retailing?

Retailing is the set of activities that marketsproducts or services to final consumers for theirown personal or household use.

Retailer is a Person or Agent or Agency orCompany or Organization who is instrumental inreaching the Goods or Merchandise or Services tothe End User or Ultimate Consumer.


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Indian Retail Scenario Most attractive and fast growing sector. Unorganized market: Rs. 583,000 crores

Organized market: Rs.5, 000 crores

5X growth in organized retailing between 2000-2005

Over 4,000 new modern Outlets in the last 3 years Over 5,000,000 sq. ft. of mall space under

development.

Growth in organized retailing on par with expectationsand projections of the last 5 Years: on course to touch

Rs. 35,000 crores (US$ 7 Billion) or more by 2005-06


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Major Players In TheSector Food world Shoppers' Stop

Vivek's

Subhiksha Westside

Planet M

Nilgris

Music World

Adani- Rajiv's

Pyramid

Crossword

Nirma-Radhey Globus

Life spring

Lifestyle


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Trent : Introduction

632 cr , retail foray established in 1998.

4 formats.

Westsides- 36 lifestyle dept, 17 cities.

Start bazaar- hypermarket (3).

Landmark books and music(10).

Fashion Yatra- 1 store.

Target Mass to Middle class.

Run by Noel Tata.


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Trent : Genesis

Brain child of Simone Tata.

Foundation laid in 1996 with sales of 50% stake of

LAKME to HLL.

Acquisition of Littlewoods, a London based retail

chain in 1998 which was renamed as Westside.


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Trent : Retail Format

Multi Format Retailer.

Operates in Department Store, Hypermarket and

Specialty Store. Based on long-term sustainability and

uncompromising quality.

Methodical and discerning approach.


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Trent : Westside Story

Flagship brand of Trent . Private label fashion and apparel brand

Targeted youth in metros.

36 stores in 20 cities.

Focused on enhanced shopping experience.

Excelled into Small format to reach

Tier 2 and Tier 3 cities.

Special privileges offer and cause- related

marketing.


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Trent : Westside Story


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Trent : Star Bazaar Way

Established in 2004. Hypermarket retailing format.

Cash upon the One stop shopping concept. High dependence on local suppliers.

Backward integration with UK based TESCO to

achieve economies of scale.

Further plan of investing Rs.2000 crores for setting 50

such hypermarkets.


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Trent : LandmarkEvent Established in August 2005.

Acquisition of 76% stake in Chennai based India

largest book store Landmark.

Book and music store chain.

USP is wide assortment with large range of stock.


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Trent : LandmarkEvent 23 stores operational. Majorly located at airport and hotel stores.

Achieved growth rate of 9% (Rs.196 cr from Rs.179 cr)

Further planning of opening 4 big-box store in current year

at metro locations.

Planned to introduce Gaming Zone in few selected stores.


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Trent : Fashion Yatra

Specialty apparel store in value chain segment.

Currently 1 store is operational at Kalyan, Mumbai.

Aim at providing value for money.

Upward stretching by means of tie-ups with known

apparel brands of world.


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Analysis

Silent but strong entry into the industry. Registered turnover of Rs.74 cr for the past year and profit of

Rs.547 cr for FY08-09.

Competition from existing dominant players like Future Group,

Reliance, Pantaloons etc.

Strategic expansion of its retail portfolio.

Focus on customer centricity and building on scale able model.

Capitalizing upon growing mall culture.


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Contd

Related product assortment.

Two way line stretching Downwards stretching

and Upwards stretching.

Aiming at wider mass and creating value

positioning.


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To Sum Up

High competitive potential.

Immense financial backup and unmatched

guidance.

Opportunities to explore new channels and new

formats.


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References

http://www.indianmba.com http://www.franciseindia.com

http://www.tata.com

http://www.mywestside.com
http://www.indianmba.com/http://www.franciseindia.com/http://www.tata.com/http://www.mywestside.com/http://www.mywestside.com/http://www.tata.com/http://www.franciseindia.com/http://www.indianmba.com/


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Diversification of Tata's Into Retail

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