Effective Promotional Activities of Megamart With Special Reference To Banashankari in Bangalore
Effective Promotional Activities of Megamart With Special Reference To Banashankari in Bangalore
Submitted in partial fulfilment of the requirements for the award of the Degree of
of
BANGALORE UNIVERSITY
Submitted By
KARTHIK M
(Roll No.17OTCMD016)
Dr. K. C. PRAKASH
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CERTIFICTE OF ORIGINALITY
DATE: (KARTHIK M)
PLACE: BANGALORE 17OTCMT016
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GUIDE CERTIFICATE
The report has not been submitted earlier either to this University or to any institution for the
fulfillment of the requirement of a course of study. Mr. KARTHIK M is guided by
Dr. K. C. PRAKASH, who is the faculty guide has per the regulation of the Bangalore
University.
( Dr. V. G. Dhanakumar )
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ACKNOWLEDGEMENT
The perfect way to document this project would be to start with acknowledging all those people
who directly encouraged, supported me with their value added inputs without them this project
would not have been this better,
I would like to thanks Dr. V.G. Dhanakumar, Director of MBA Indian Institute of Plantation
Management for their support
I would also like to acknowledge Dr. K.C Prakash (Assistant professor) of Indian Institute of
Plantation Management (IIPM) for continuous guidance without which this this report would
have been incomplete.
DATE: (KARTHIK M)
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TABLE OF CONTENTS
2.5 Objectives 11
2.6 Methodology 11
2.8 Limitations 12
5.2 Conclusion 47
Bibliography 49
Questionnaire 50
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LIST OF FIGURES
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4.18 Impact of offers on loyalty factor of the customer 43
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LIST OF TABLES
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ABSTRACT
The Indian retail industry is the largest among all the industries, 10 percent of country’s GDP
from Retail sector and 8 percent of employment are from retail sectors. In India there are many
retail industries was failed because it requires huge initial investment and more break even
compared to competitors who compete with them. But this sector is eventually going towards
success and it will become next sector.
This study is not only focus on the entire retail procegers, but also studies the promotional
activities which are followed by retail stores. In this sector there is huge competition, so to get
more competitive advantage promotional activities are necessary. This study stated that
promotional activities are very necessary to the every organization especially at the retail sectors
like Megamart.
It is clear that there is a huge requirement of promotional activities in the store to promote their
products, maximize the profits and revenues and also sustain in the market for longer period.
Key words: Promotional Activities, Retail Sector, Megamart, Arvind Ltd, Promotional strategies.
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chapter – 01
introduction
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1.1 Introduction to Retail industry
The Indian retail manufacturing is the foremost among all the diligences, 10 percent of
country’s GDP from Retail sector and 8 percent of employment are from retail sectors. Currently
in In India there are so many retail industries was failed because it requires huge initial
investment and more break even compared to competitors who compete with them. But this
sector is eventually going towards success and it will become next boom sector.
In India, the knowledge of shopping has varying time to time according to the attitude of
customers and their income level and standard of living. Single store markets are converted into
multi store shopping center. It has undergone many changes affording to the demographic
changes and consumers preference.
The main consumers for retail sectors in India are the large working people who aged 24
years, nuclear families along with the working women’s. The middle category population in
Asian nation area unit serving to retail sector to grow quicker, Indian retail sector is predicted to
grow twenty fifth annually. By the top of 2016 Indian fashionable retail market are going to be
price U.S. $ 175-200 billions. The future of Indian retail market is looking promising with the
growing market, and also the rules and regulation of government becoming more favorable and
emerging technologies help to grow in the operation.
In India there are number of unorganized retail sectors exist. More than 99 % retailers
operate in lesser than 500 square feet space. Purchasing power of the Indian consumers are
growing day by day in categories like Apparels, Cosmetics, Shoes, Watch’s, Beverages, Food
and even Jewelers. These are slowly becoming lifestyle products of
Indian urban consumers. Consumer’s mindset now changed into branded retail business
and products than the small shops.
There is no doubt on Indian retail sector is booming, number of large retailers started
their business and going very well in the market. In that list Tata’s, Goenka’setc and many are
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there. Indian retail sector has witnessed the many players in very short span of time, and still it’s
going up in the market.
Real estate and retailing are the two-booming sector in India at current scenario. The
prospects of the two sectors are interdependent. Currently in India, retailing has the emerging
very quickly and many players are entering into the market.
• The arrival of the community ―Kirana‖ stores providing to the handiness of the
consumers.
• By the support of the government, Original license model of store chains run by Khadi &
Village Industries Commission.
• Bombay Dyeing, Raymond’s, S Kumar’s and Grasim Textiles are in Indian retail sectors.
• Titan creates the own retail concept and started with the showrooms for their watches.
• The next half the Nineties saw a contemporary wave of competitors with a move from
Manufactures to Pure Retailers.
• Food World, Subhiksha and Nilgiris in food and FMCG; Planet M and Music World in
music; problem and Fountainhead in books square measure the examples for the world
wise retail industries.
• Increasing target customer division: The Sachet revolution - sample of getting to the
bottom of the pyramid.
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1.1.5 Recent trends
Retailing sector in India is moving toward next boom industry. The whole concept of
modern retail in India has become sprawling shopping centers, multi storied malls and big
complex. Huge increase in the Indian population leads to big change in the demographics. Large
number of working peoples with young age, nuclear families in urban areas and the working
women population is the main demographic to retail sector in India and they are the key people
to the retail sector in India.
Promotions seek advice from the complete set of accomplishments that connect the
merchandise, whole or service to the patron. Basically, there are three basic objectives of
promotion. These are:
• To increase demand.
• To differentiate a product.
Promotional Activities
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Figure 1.1 important types of promotional activities
a. Discounted products
Discounted products are the products, here selling the products at discounted rates or
lesser than MRP. This helps to attract the consumers and also to increase the sales during the
specified time or period. It is happening at the time of clearing the stocks and during the less sale
period.
Free shipping is another type of promotional activities, here the shipment of purchased
product is free. When amazon giving the free shipment on their purchasers, everyone will buy
the amazon products. It helps to the consumers to buy more and also reduce the Burdon of
transportation cost.
c. Flash Sale
It is fundamentally a proposal that only survives for a restricted time and it’s a great way
to create an intellect of resolution for the consumer to buy. Many merchants are now
implementing this tactic as a method to sell more merchandise and get rid of extra stock.
The extra fruitful flash sales are ones that don’t last very long and 50% of acquisitions
happen throughout the first hour of a flash sale.
This is the type of the promotional activities, which most of the retail outlets are using
these strategies to generate more profits and sales. Here the purchaser gets more benefit if they
purchase more. For example, Mr. A purchases one T-shirt at Rs.500/- and Mr.B purchases the
two T-shirt of same brand at Rs.800/-. So, it will help to consumers when they buy more
products.
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Everybody loves a giveaway, so this surely is an abundant campaign. Not only does it
give probable consumers the chance to trial out your merchandise, but also it attracts individuals
to purchase your stuff! If your merchandise isn’t approximately that you can introductory, then
think about constructing some useful exclusive gifts that you can offer with all consumption.
f. Loyalty Points
Loyalty points are the points given by the retailers to their consumers for every purchase
made by the consumers. It helps to generate loyalty from the consumers as well as build trust on
purchase among the consumers. It will add some points to the consumers according to their
purchases; it will help to their next purchase. They can redeem their points in their next
purchase.
g. Coupon Giveaway
This is the different way of promotional activities. Here retailer will give certain amount
of coupon to their customers. That coupon is the worth of money. People will buy more products
when they are having the coupon with them. Sometimes coupons will be having some time
period, during those period customers are supposed to redeem their coupons.
h. Competitions
The great issue regarding running a contest is that you just solely have to be compelled to
divulge one issue; however, you gain such a lot – creating it a well-liked form of promotion! It’ll
not solely facilitate raise your profile, however every one that enters, can then become AN email
contact that you just will attempt to convert into a procurement.
Price match promise has quick become one among the foremost standard ways that to
market your whole, significantly if you've got plenty of competitors out there. It permits your
customers to buy with you and can be safe within the information that if they will cotton on
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cheaper elsewhere, you’ll refund the distinction. There’s nothing to lose for them and it implies
that you continue to get to stay a solid client base.
j. Holiday Promotions
There is a reason that vacation promotions area unit thus productive. Customers
continually prefer to pay additional round the holidays, creating it the proper chance for you to
induce your complete out there and sell additional product. You don’t out to go too crazy on
your offers, however engaging customers with slight discounts can continually add your favor.
It’s additionally the proper time to induce inventive together with your promotion and use the
theme of the vacation, to sell your product.
Sales promotions will be one amongst the most effective tools for holding customers and
increasing your share of their notecase. The promotions will encourage customers to do your
product or company, increase their frequency or amount of purchases, they will assist you build
your info, cross-sell and extend and reinforce your complete. Loyalty programs will be a good
publicity tool and permit you to trace and live your results.
The issue of advertisement has been receiving increasing attention from each advertising
and selling professionals and academicians. This increase of attention may be explained by 2
major reticulate factors: initial, the character of advertisements – it brings sure measurable
impact on sales, which attract several selling managers; it additionally has been well-tried by
time to be the effective assortment of techniques to extend sales.
Promotional activities are the key element of marketing mix. The retailer has to take
effective steps to meet consumer’s expectation. It is the necessities of the retailer to know about
their buyers.
As the objectivity between manufacturers and customers rises and as the numbers of
latent customers develop the promotional activities are essential. Many promotional activities are
necessary to encourage the consumers to purchase more and more products and thus demand for
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the product is created. A basic purpose of promotion is to let potential customers realize the
merchandise.
(a) To interconnect
(b) To induce
(c) To compete
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chapter – 2
REVIEW OF LITERATURE
AND RESEARCH DESIGN
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2.1 Review of literature
Jones, (October 1990), in this study Sales promotion is the one of the very important
tools for promotional activity of retailers for durable non-durable consumer goods. In many
countries’ sales promotion expenses are more than the expenses invested in advertisement.
Managers now believe in promotional activities than advertisement. For buyers’ price promotion
helps to save some amount of money and non-price promotion helps to create value to the
consumers.
Kingsley, (09/1987), in this study consumers sales promotion techniques are also known
as Pull Strategy, here it is pulling the consumers to the store to buy the product or services. With
the help of Pull strategy attracting the consumers to store is very easy. The promotion pulls
strategies help to focus on long term goals and also to achieve the goals. So, it is the very need
full to study. Most of the researcher are taking the promotion to do their research and studies. So,
the need of promotional strategy is necessary for consumers to know about the product and
services.
Das, (2011), Here promotional activities stimulate to customers buying behaviours, such
as by one get one free and store communication. This study tells that promotion in price helpful
to increase the consumers buying behaviors. This paper focused on the Discount price, buy one
get one free, for one purchase get another product, publicities in store are having more impact on
consumers buying behaviour. Promotional activities are creating more demand for new products
as well as new demand for existing products. Reduce in price automatically helps to create high
demand for the products as well as the brands. Very important tool in promotional activities are
the coupons, discounts and the percentage reduce in MRP.
These are the reviews of some literature which included the article, journals and papers etc.
The above reviews of literatures are concluding the overall results of the promotional
activities. There will be a huge gap in the effectiveness of promotional activities in other sector
and retail sector. So it is clear that the impacts of promotional activities are different in case of
Retail industry. Promotional activities are not only help to creating awareness about the product
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but also it is necessary to get more competitive advantage in the market, fixing of prices and
discounts and also consumer buying behavior. So this study reviles that there will be a huge
impact of promotional activities to Megamart and its smooth flow in the market.
Promotional activities play a very important role in the retail sector in order to attract the
customers towards products. The effective promotional activities is very important activity, it
have a different impact on both consumers and organization as well. This study aimed at finding`
the effective of promotional activities at Megamart. This study helps in designing a framework
for futuristic promotional activities from both customers’ and organizational Perspective. This
research is a challenge to understand the impact of promotional activities.
Marketing plays an awfully necessary role in promoting the product and services. While
not selling any company will get revenue. In enterprise selling usually acts as a support for the
sales team by propagating the message and knowledge to the specified audience. In Megamart
Promotion refers to raising customer awareness of a product or brand, generating sales, and
creating brand loyalty. While introducing the new product it is a challenge to promote the
product. Lack of promotion will directly effect on the sales and profit of the company. So this
study is focused on the promotional practices followed by the Megamart.
2.5 Objectives:
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2.6 Methodology:
Methodology means the data collected by primary sources and secondary source for the
purpose of the study.
Data are collected straight from the respondents and also experts in the field of
promotional activities and advertisement. Here data are collects by two ways. Those 2 ways are
as follows.
Primary data means the data which are directly collected from the field,
Secondary data means the data which are already collected and are readily available data
or data which are collected by somebody other than user. Here secondary data are collected from
Official website of mega mart and also many sources, those are as follows:-
Survey method will be used for the study. The research design opted for this study is
Descriptive in nature. The purpose of this study is to observe, describe and document aspects of
a situation as it naturally occurs.
2.6.2.1 Sampling:
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2.6.2.2 Convenience random sampling:
Analysis of data will be done by using bar diagram, Pie chart and other graphical
representation. Percentage method and tables would be used.
2.8 Limitations:
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CHAPTER – 3
PROFILE OF THE
ORGANIZATION
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3.1 Company profile of Megamart:
In 1930, the whole world was suffered from the great depression. Many companies
across the globe were closing down during that period. In countries like India and UK was
faced the problems particularly in textile industry. At this period Mahatma Gandhi started
the Swadeshi Movement and because of this people from across the India started boycotting
fine and superfine fabrics, which are imported from England. During this situation one
family found an opportunity, The Lalbhais saw this opportunity and requirement of fine and
superfine fabrics. The three brothers Kasturbhai, Narottambhai and Chimanbhai planned to
start a mill to produce superfine fabric. After that they found machinery that could make
high quality fabric. That best technology of that time required at beat attractive cost, and a
company named Arvind Limited was born at that period.
Arvind Limited started with the capital of Rs 2525000 in the year 1931. Their aim
was manufacturing the high-end superfine fabrics with very good technology. Arvind Ltd
took its place amongst the highest most textile units in India.
At the year of 1987-88 Arvind come into the export market for two sections -Denim for
leisure & fashion wear and extraordinary feature fabric for cotton shirting and trousers. By
1991 Arvind extended 1600 million meters of Denim per year and it was the third leading
manufacturer of Denim in the world.
In 1997, Arvind got wind of a progressive textile, gabardine and knits facility, the most
important of its kind in Republic of India, at Santej. With Arvind‟s concern for atmosphere
hottest discharge management ability with zero effluent discharge competenci es was started.
Year 2005 was a crisis year for textiles. With the muliti-fiber settlement accomplishment
phased out and the scattering of proportions, worldwide textile trade was self -possessed for
a substantial leap. In the domestic market too, the justifying of the canvas chain and the
growth of the prearranged retail industry was likely to make textiles and apparels see a
quick tempered development.
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Arvind has impressed out a violent strategy to virtualize its present processes by setting up
world scale garmenting conveniences and contribution a one-stop shop service, by
contributing garment packages to their global and domestic customers. With Lee, Wrangler,
Arrow and Tommy Hilfiger and its own national brands of Flying Machine, Newport,
Excalibur and Ruf&Tuf, Arvind set its vision of flattering the major apparel brands
enterpriseinIndia.
3.1.2 Journey of Megamart:
1931 The beginning of Arvind Mills ltd at the hands of three brothers Kasturbhai,
narottambhai and chimanbhaiLaibhai.
1980 Arvind archives maximum levels of profitability. The innovative strategy – „Reno
vision‟, points at exchanging the business focus from resident to international, towards a
high-quality finest niche market. 1987-88 Arvind achieves the export market for Denims with a
dual focus - Denim for leisure and Denim for tradition wear. 1991 Arvind begins as the third
major manufacturer of denim in the world. 1997 India’s major state-of-the-art competence for
shirting, gabardine and knits is set up at Santej. 2005 Arvind produces a unique one-stop shop
facility on a worldwide scale, offering clothing packages to believed domestic and global
customers. 2007 Arvind enlarges its existence in the brands and retail division by inaugurating
Megamart – One of India’s biggest value retail chains. 2010 Arvind introductions The Arvind
Store, an idea placing the company‟s finest fabrics, brands and modified designing and fitting
resolutions under one roof. Arvind introduced its first major Real Estate schemes. Arvind befits
one of India‟s major manufacturers of fire safeguard fabrics.
Mega mart is a retail value clothing store based in 150 places of India and having around 400
plus divisions. This is one of the largest clothing stores in the country and has also received
attention from media because of its rising popularity.
It was established in 1996 by the Arvind Ltd. Establishment and has grown to a very great
extent. Megamart, a innovator in the clothing value-retail fragment, is today the major value-
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retail chain in India. By contribution consumers widespread value-for-money concluded best of
deals through the year with particular of the highest worldwide and domestic clothing varieties
all at wonderful arrangements. The chain is feast over 150 cities with about 380 stores across the
nation giving you a assurance of mega brands and mega savings.
Megamart function in 2 arrangement, that is Megamart stores that conquer around 2000 – 4000
square feet. and BIG Megamart stores conquer 30000 – 60000 sq. Fit.
BIG Megamart stores have on offer more than 200 of top worldwide & domestic brands with
excellent offers throughout the year. Enlarge to this some of the best contracts everywhere and
you have a shopping experience that is truly supreme.
Megamart store network is increasing at a rapid stride by adding 5000 Sq. Ft. every week.
“Enriching Lifestyles”
By the end of financial year 2016, Our Company aims at a turnover of Rs.1000 crores with 10%
growth profit.
3.2.3 Values:
• Customer satisfaction
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Table 3.1 Product profile
1. Luggage
1. Ladies wear
2. Ladies accessories
2. Formal Wear
3. Footwear
3. Semi-Formal wear
4. Lifestyle accessories
4. Denims
5. Men’s accessories
5. Kids wear
Smart One Customer: this is the unique kind of practices followed by the Megamart.
Here Megamart records the customer data base. They collect the customer. Details and
date of birth during the billing of the purchased products. With that data base Megamart
send their offers and information to the customers by sending SMS and the phone calls.
Group of customers: They also record the customers according the purchasing power of
the customers. They dividing as Platinum, Silver and Gold customers. According to the
division customers will get the points on their purchases. After that they will redeem
these points whereas buying the merchandise as cash. Megamart also provides
Promotional cards and gift voucher to the customers for their minimum purchase.
Drawing competition: Megamart also conduct the drawing competition to the
children‟s. It will help children‟s to show their talent as well as help to Megamart to
increase the sales by giving gift cards to the participants.
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3.2.6 SWOT analysis of Megamart:
3.2.6.1 Strengths:
The merchandise is designed uniquely to fill the market gap in middle to lower middle
income group level.
Merchandise is fashion oriented & is targeted towards the family households and youth
attracts all customers.
Contributes to a very large market size. The store signed in youth icons and with
operating professionals in ads with models.
Mega mart has a huge loyal customer base & customers are highly satisfied with the
store.
Mega mart enjoys the good will and reputation earned by the Arvind mills over the years.
Megamart has a huge product mix to cater every segment of the market.
Brand Loyalist- Megamart has huge number of brand loyal people. It has been already
proved, as the Arvind products are the best seller in the Apparel segment all over the
world.
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3.2.6.2 Weakness:
Lack of differentiation
Visual merchandising of the store demands a great amount effort.
The product are displayed in a very geometrical pattern creating a huge but brush effect
and sending across a message that the merchandise is comparable to FMCG products.
Small stores don't seem to be ready to attract customers because the brands offered
square measure less
3.2.6.3 Opportunity:
Arvind has been hugely successful with its Megamart format of value retailing.
Company's strategy is different from other players in the segment as it does not have to
rely on other companies for its merchandise.
India was ranked as the most attractive market for global retailers, as per the
AT Kearney„s Global Retail Development Index in 2009.
Only 5% of the sector is tapped, implying a huge opportunity for growth.
Retail sector in rural India is almost untouched, presenting tremendous opportunity,
The reform-oriented Central government may eventually garner support to change FDI
laws.
More marketing activities can be done.
New market share: the younger and hip crowd - following up on the point on expanding
their range of clothes beyond just the basics.
Expansion in other countries.
3.2.6.4 Threats:
Negligible awareness about the presence of store in cities where the store is not present.
The company is started in a time when retailing is booming attracting lot of competition
from various other players
It has positioned itself for premium, middle income consumers it should also concentrate
on lower middle income people.
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Mega mart faces cut throat competition from stores like lifestyle, Pantaloons, and
Shoppers Stop, reliance trends respectively.
These are well established in the market and grabbed a good market share.
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CHAPTER – 4
DATA ANALYSIS AND
Interpretation
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1). Gender of the respondents:
Male 79 79%
Female 21 21%
Analysis:
The overhead table is showing the gender summary of the respondents, and there were 79%
respondents were male and remaining 21% were female respondents.
Percentage of Gender
21%
79%
Male Female
Interpretation:
The above chart interpreted that greatest of the respondents were male and not so many were
females. This implied that there were more males are cooperated with the investigators through
the study was accompanied on Promotional activities at Megamart, Bangalore.
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2. Age of the respondents:
11-25 33 33%
25-40 58 58%
40-60 9 9%
60 & above 0 0%
Analysis:
The above table shows that the age segmentation of the respondents. According to the collected
data, out of 100 respondents 33% members are having the age between 11-25, 58% respondents
are in between 25 -40, and 9% respondents are between 40-60 years.
9% Nov-25
33%
25-40
40-60
58% 60 & above
Interpretation:
According to the above chart it is clear that maximum of the respondents are young aged
customers who were having less than 60 years old. It is clear that the people who are having the
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young age and the capacity of purchase will definitely come to the Megamart to fulfill their
requirement.
Graduate 41 41%
Others 14 14%
Analysis:
The above table shows that the educational qualification of the respondents. Out of 100
respondents 32 were the post graduates and 41 respondents are the graduates, 13 respondents are
the below graduates and remaining 14 respondents are having the qualification other than above
qualification.
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Interpretation:
From the above chart it can be stated that educational qualification of the respondents. According
to the study the customers who visit the Megamart, most of them were graduates than the highly
educated peoples. It is stated that people can easily judge the promotional activities given by the
Megamart and they will really help to increase the word of mouth about the Megamart.
25000-40000 25 25%
40000-60000 20 20%
Analysis:
Above the table is showing the income level of the respondents. Out of 100 respondents 49 are
having the income of less than 25000 Rs, 25 respondents are having the income of 25000- 40000
Rs, 20 respondents are having the income of 40000-60000 Rs and 16 respondents are having the
highest income of above Rs. 60000
Below 25000
14%
25000-40000
18% 45%
40000-60000
23% 60000 & above
From the overhead diagram it is understood that people are having the income of less than 25000
people are the high percentage customers. These customers are the middle class people who
always look into offers and the discounts on their purchases. 51% of the people are the real
consumers and their percentage also high compared to total customers.
Table: 4.5 showing the respondents awareness about the promotional activities at Megamart.
Yes 87 87%
No 13 13%
Analysis:
From the above table is stated that the awareness of the respondents about the promotional
activities conducted by the Megamart. Out of 100 respondents 87 respondents are familiar with
the promotional activities and 13 respondents are not known about the promotional activities
followed by the Megamart.
100 Yes No
Figure: 4.5 diagram showing the respondents awareness about the promotional activities at
Megamart.
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Interpretation:
The above graph understood that the 87% of the people are having awareness about the
promotional activities. Remaining 13% people are not known about the promotional activities of
Megamart.
TV 12 12%
Boarding’s 56 56%
Other 15 15%
Analysis:
From the above analysis it is interpreted that the mode of communication of promotional
activities followed by the Megamart. Out of 100 respondents 17 respondents are from the
newspaper and 56 respondents are from the boarding’s and 15 respondents were the other than
these mode of communication.
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Percentage of mode of communication
15% 12%
TV
17% News paper
Boarding’s
Other
56%
Figure: 4.6 Chart showing the mode of communication of the promotional activities.
Interpretation:
From the overhead diagram it is understood that the result out of 100 respondents 56 were from
boarding’s and it is clear that Megamart are strong in the mode of TV based advertisements than
the television advertisements and other modes.
Table: 4.7 showing the impact of promotional activities through social networking websites.
Yes 84 84%
No 16 16%
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Analysis:
The above table is showing the result of promotional activities, through social networking
websites. It is the opinion of the 100 respondents, out of 100 respondents, 84 respondents says
that the promotional activities through social networking will help to us.
16%
Yes
No
84%
Figure: 4.7 Chart showing the impact of promotional activities through social networking
websites.
Interpretation:
From the above pie chart it can be understood that promotional activities through the social
networking is having the more impact on Megamart products. And it helps to know the
promotional activities of Megamart very quickly.
Table: 4.8 showing the unique feature of the Megamart to meet customer needs.
Quality 40 40%
Offers 30 30%
Price 15 15%
Discounts 15 15%
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Analysis:
The above table is presenting the unique feature of the customers to meet their needs. Out of 100
respondents saying their opinion about Megamart promotional activities. Among those opinions
Quality has a unique feature of the Megamart.
100
80
60 40
30
40 15 15
20
0
Quality Offers Price Discounts
Unique features
Figure: 4.8 chart showing the unique feature of the Megamart to meet customer needs
Interpretation:
The overhead table is presenting the result, Quality is unique feature of the Megamart.
According to the respondents, The Megamart is having more uniqueness in their Quality and
offers than any other promotional activities.
Yes 56 56%
No 44 44%
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Analysis:
The above table is showing outcome of awareness about the daily offers at Megamart. Daily they
are announcing the offers in Mike. Out of 100 respondents 56 were having the awareness about
the daily offer announcement and remaining 44 respondents are not having the awareness about
the daily offers.
Yes
44%
56% No
Figure: 4.9 Chart showing the awareness about the daily offers.
Interpretation:
From the overhead Pie chart understands the effectiveness of the daily offers announcement.
More number of the people are having the knowledge of daily offer announcement and
remaining 44% of the people are not having.
Table: 4.10 showing the effectiveness of the strategies used by the Megamart.
Strategies Total number of respondents Percentage
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Analysis:
The overhead table is showing the effectiveness of the strategies used by the Megamart. 29
respondents are saying that the close relationship between the customers and the Megamart is
good, out of 100 respondents 25 were saying that the quick service given by the Megamart is
having more effectiveness, and 21 respondents says that flexibility in opening hours are the best,
12 respondents says that the additional values given by the Megamart, make them to retain as
Megamart customer and 13 respondents says that added services is having more impact on them.
Strategies of Megamart
Number of respondents
29
25
21
12 13
Figure: 4.10 Chart showing the effectiveness of the strategies used by the Megamart.
Interpretation:
The above chart it is interpreted that impact of strategies used by the Megamart to retain their
customers. 29% of the people are regular to Megamart because of their close relationship with
customers, people are more satisfied with this service than any other strategies.
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11. Measurement of loyalty from the customers:
Occasionally 29 29%
Daily 4 4%
Analysis:
The overhead table is displaying the regularities of the customers to the Megamart. Out of 100
respondents 29 respondents are visiting Megamart occasionally, 21 respondents were visit once
in a month, 13 respondents were visit once in a week, 4 respondents were visit daily and the
remaining 33 respondents were visit Megamart as and when required.
Chart Title
35
Number of respondents
30
25
20
15
10
5
0
Megamart Occasionally
Once in a month Once in a week
Daily As and when required
Figure: 4.11 Chart showing the frequent visit by the customers to Megamart.
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Interpretation:
The above diagram presenting the result of the customer’s regularity to the Megamart. 33% of
the customers are visit Megamart as and when actually required, 29% of the customers visit
Megamart occasionally. It is clearing showing that the customers of Megamart are visit the outlet
when actually required.
Agree 54 54%
Disagree 10 10%
Strongly disagree 3 3%
Analysis:
The overhead is table showing the opinion of the customers on promotional offers at Megamart.
13 respondents are saying that promotional offers strongly induce them to make purchase, 54
respondents agrees that Promotional offers influence them to make purchase, 20 respondents
neutral in their opinion, 10 were disagree and 3 respondent strongly disagree about the
promotional offers did not help them to make purchase.
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Percentage of impact of offer on constomer
Number of respondents
54
13 20 10 3
Interpretation:
From the above diagram it is understood that 54 % of the customers are having the impression of
promotional activities to make the purchase at Megamart. Very low rates, i.e. 10% of the people
are not influence by the promotional offers given by the Megamart.
Men’s clothing 30 34 16 20
Jewelry 20 30 30 24
Women clothing 30 12 26 32
Analysis:
The overhead table is screening the result of customer’s expectation on promotional offers on
particular products and brands. 30% of respondents are expecting more offers on Men’s and
women’s clothing, 20% respondents were expecting Jewelry and remaining 12% respondents
were on Bags and home décor products.
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EXPECTATION OF OFFERS ON PRODUCTS
NUMBER OF RESPONDENTS Men’s clothing Jewelry Bags and home products Women clothing
36
34
32
30
30
30
30
28
26
24
20
20
20
16
12
12
1 2 3 4
EXPECTATION FROM CUSTOMER
Interpretation:
From the above diagram it is understood that the expectation of offers by consumers on
particular brands and products. Here it is clear that required more offers on the varieties of the
product. Customers says the base of the ranking scale. Here clearly know more offer required for
men and women clothing Because of more number of male and female populations, this study is
showing the 30% for both of the expectation on Men’s and women’s clothing than any other
products.
Table: 4.14 showing the offers availed by the customers during their recent visit.
Yes 55 55%
No 45 45%
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Analysis:
The overhead table is displaying the benefits taken by the customers during their recent visit. Out
of 100 respondents, 55 respondents are availed offers and 45 Respondents are not availed any
offers during their recent visit.
Figure: 4.14 Chart showing the offers availed by the customers during their recent visit.
Interpretation:
From the above diagram it can be understood that the result of offers availed by the customers
during their recent visits. From this chart it is clear that most the time promotional offers exist all
the time, because the 55% of the people are benefited from the offers during their recent visit.
Table: 4.15 showing the most likely promotional practices by the Megamart to their customers.
Discount 29 29%
Offer 41 41%
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Analysis:
The overhead table is presenting the best promotional practices according to the consumers given
by the Megamart. 28 respondents were saying that discount offer is better for them, 29
respondents says that Free offers or gifts given by the Megamart is best and remaining 43
respondents says that other than gifts and offers are the best promotional practices followed by
the Megamart.
Offer
41%
Figure: 4.15 Chart showing the most likely promotional practices by the Megamart to their
customers.
Interpretation:
From the overhead Pie chart it is understood that most of the customers are feels that offer are
best than discount offers and other offer. Over 41% of the respondents are having this kind of
opinion than free gifts and discount offers.
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16. Word of mouth by the customers:
Yes 69 69%
No 31 31%
Analysis:
The overhead table is presenting the opinion of the customers on creation of word of mouth. Out
of 100 respondents 69 respondents are saying that they will definitely communicate the offers to
their friends and relatives and remaining 31 respondents will not communicate any information
to their friends and relatives about promotional activities at Megamart.
31
Yes No
69
Figure: 4.16 Chart showing the result of word of mouth by the customers.
Interpretation:
From the above pie chart it is clearly 69% of the respondents are willing to communicate the
promotional offers given by the Megamart to their relatives and friends. It will helps to create
very good word of mouth to the company.
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17. Comparison between the Megamart and other Retail stores:
Table: 4.17 showing the comparison between the Megamart and other retail stores.
Price 65 35
Quality 58 42
Product range 61 39
Promotional offers 68 32
Analysis:
The above table is giving the comparison between the Megamart and other retail stores. 65
respondents are saying that price at the Megamart is better than price at any other retail stores.
When it comes to quality Megamart is having 58 respondents opinion far and 42 respondents are
against the Megamart quality. 68 respondents are saying that promotional offers at the Megamart
are better than any other retail stores.
70
60 68
65
50 58 61
40
30 42 39
35 32
20
10
0
Price Quality Product range Promotional offers
Comparision
Figure: 4.17 Chart showing the comparison between the Megamart and other retail stores.
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Interpretation:
From the above scrutiny it can be understood that, According to the respondents, Megamart is
having high competitive advantage than other Retail stores. Except the product range, Megamart
is having more competitive advantage than other retail stores. It is clearly says that Megamart is
having more and very loyal customers than other retail store in clothing.
Table: 4.18 showing the impact of offers on loyalty factor of the customers.
Yes 82 82%
No 18 18%
Analysis:
The overhead table is displaying the impact of promotional activities on consumer’s loyalty. 82%
respondents are influenced by the promotional offers and they says that they will come regularly
and remaining 18 % are not satisfied with promotional offers given by Megamart.
18%
Yes
No
82%
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Figure: 4.18 Chart showing the impact of offers on loyalty factor of the customers.
Interpretation:
The overhead chart displaying the result of the customer’s regularity to the Megamart. 78% of
the customers visit Megamart again and again for promotional offers. They are really influenced
by the offers given by the Megamart. It will helps to increase the sales as well as profits by
increasing of the loyalty customers.
To rise the sale and maximize the earnings, Promotional activities are necessary.
To build the trust among the consumers, Promotional activities are required.
To develop the loyalty and good customer relationship from the consumers.
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CHAPTER – 5
FINDINGS, CONCLUSIONS
AND SUGGESTIONS
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5.1 Findings:
Most of the respondents were male and not so many were females. This understood that
there were more males are cooperated with the researcher during the study, which was
conducted on Promotional activities at Megamart.
This study is showing the young aged people and those who have ability to purchase will
definitely come to the Megamart and the shop at the Megamart.
This study says that most of the customers who visit Megamart are graduates than the
uneducated or highly educated.
People, who are having the salary of less than Rs. 25000 people are the loyal customers
to the Megamart. These customers are from the middle class people who always look into
offers and the discounts on their purchases.
Only 87 % of the people are having awareness about the promotional activities followed
by the Megamart.
Megamart is strong in the mode of Boarding’s based advertisements than the television
advertisements and modes.
Promotional activities are having more impact by social network, because today’s
generation are more based on social networking, so it will help to convey the messages
easily.
The Megamart is having more exclusivity in their offers than any other promotional
activities. 56% of the people are having the knowledge of daily offer announcements at
the Megamart.
29% of the people are regular to Megamart because of their customer close relationship;
customers are more satisfied with the service than any other strategies used by the
Megamart.
33% of the customers visit Megamart as and when actually required.
54 % of the customers are having the impact of promotional activities to make the
purchase at Megamart.
This study says that Men’s clothing is required more offers than any other products.
According to this study, majority of the people are benefited from the offers during their
recent visit.
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This study finds that 41% of the customers are feels that other offers are best than
discount offers and free gift offer.
Majority of the customers are willing to communicate the promotional offers given by the
Megamart.
Megamart is having high competitive advantage than any other Retail stores, except the
product range.
More than half of the customers visit Megamart again and again for promotional offers.
They are really influenced by the offers given by the Megamart.
Special day offers are the best amongst all other practices. In this method customer will
have more offers and gifts in special days like festival day offer, Season sale etc.
To increase the sale and maximize the profits, Promotional activities are necessary.
To build the trust among the consumers, Promotional activities are required.
To develop the loyalty from the consumers, it is very necessary.
Promotional activities are required to develop good customer relationship.
To build fruitful flow in the market it is required.
It will help to get competitive advantages from the competitors.
5.2 Conclusion:
People have trusted in Megamart products & they have recognized it as one of their
beloved shopping destination. Megamart is one of the best clothing value retailer in India
and also frontrunner in the market & as their vision they are prospered in enriching the
Lifestyle of customers by providing 200 national and international brands with all new
fashion.
The promotional activities of the store are a very significant component in Megamart and
it impacts customers in buying decision. A consumer is extremely influenced by the look
and feel of the store and also offers and promotions at the store. The feasible offers and
promotional activities will give the more loyal customers and helps in making more
profits with high sales.
Most of the consumers feel that buying with certain values are having little weight than
buy on MRP, automatically consumers look for more offers, discounts and free gifts etc.
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Megamart agreed all the above aspects clearly and prosperous in executing these thoughts
and by this they are able to make respectable income.
In this study it is clear that Promotional activities are now a blockbuster part of the
marketing mix, for most Apparel retailers like Megamart.
Give more offers to senior citizens to get more revenues out of them.
Megamart should have better tool to create awareness about the promotional activities.
So it should be have Television as its promotional tool to reach all the people.
Price of the products should be reducing to reach all level of customers.
28% of the people are not aware about the daily offers. So it should be clear and reach to
all the customers when announcing the offers.
Megamart must give more offers and discounts on Men’s and women customers to
generate high revenues.
Most of the customers are looking for promotional practices other than Discount and
gifts, So Megamart must look at these aspects to satisfy the customers.
There should be an extension in the birthday customer time period. Actually it is 14 days
now, so it should be extended to 20 days.
Utilization of technology to make modernization in the store.
Conduct many competitions for youths to get more sales and word of mouth promotion.
Creation of online market for Megamart products.
Expand to rural area to provide best services to rural customers.
Creating mobile application and give more discount to customers who are having mobile
application.
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BIBLIOGRAPHY:
Books:
MacKenzie, Scott B., Richard J. Lutz, and George E. Belch. "The role of attitude toward
the ad as a mediator of advertising effectiveness: A test of competing
explanations." Journal of marketing research (1986): 130-143.
Kotler, Philip. Kotler on marketing. Simon and Schuster, 2012.
Jones, Judson P., and Larry A. Palmer. "An evaluation of the two-dimensional Gabor
filter model of simple receptive fields in cat striate cortex." Journal of
neurophysiology 58.6 (1987): 1233-1258.
Kingsley, B. (1987). Push and Pull Strategie: Applications for marketing. Strategic
Management.
das, G. (2011). Effect of retail sales promotion on buying behavior of customers: an
empirical study. Marketing Media.
Websites referred:
Ghose, S. yourarticlelibrary.com. Retrieved April 28, 2016, from your Article Library :
http://www.yourarticlelibrary.com/marketing/promotionalactivities-in-marketing-an-
overview/50910/
Applied Business. (2014). Retrieved May 12, 2016, from Aqq.org.uk:
http://www.aqa.org.uk/subjects/business-subjects/as-and-a-level/applied-
business8610/subject-content/unit-10
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QUESTIONNAIRE
Dear Sir/Madam
I request you to please co-operate & fill the questionnaire to facilitate our study. Your
information will be kept confidential & will be used only for study purpose.
Name of respondent: -----------------------------
Contact No:
1). Gender:
Male Female
2). Age:
11-25 years 25-40 years
40-60 years 60 and above
3). Educational Qualification:
Post graduate Graduate
Below Graduate Others
4). Income:
Below 25000 25000-40000
40000-60000 60000 and above
5). Are you aware of promotional offers at Megamart?
Yes No
6). If Yes, what was the mode of communication?
TV News Paper Boarding Others
7). Do you think promotion through social networking websites will be helpful for Megamart
product?
Yes No
8). What unique features of Megamart do you to meet customer needs?
Quality Offers Price Discounts
9). Did you hear about the promotional offers Today?
Yes No
10). What are the strategies used by Megamart to attract and retain customers?
Close relationship with customers
Provide quick services
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Flexibility of opening hours
Additional value
Added service to customers
11). How frequently you visit Megamart?
Occasionally Once in a month Once in a week
Daily As and when required
12). The promotional offers at Megamart are attractive and induce me to make a purchase?
Strongly Agree Agree Neither Agree nor Disagree
Disagree Strongly Disagree
13). For which range of products/brands you expect promotional offers? (Please Rank from
scale 1being high to 4 being lowest)
Ranks 1 2 3 4
Men’s Clothing
Jewelry
Bags and home products
Women’s Clothing
14). Have you availed any offers during your recent visits?
Yes No
15). What did you option for?
Discount Offer Free offer Any others…….
16). Do you communicate offers at Megamartto your friends/relatives?
Yes No
17). Where do you find the following better? ( Please mark )
At Megamart At other Retail shops
Price
Quality
Product range
Promotional Offers
18). Do offer make you feel like visiting Megamart again?
Yes No
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19). Do you have any suggestion related to Promotional activities at Megamart?
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THANK YOU
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