Article 1: Croma, MobileStore fight to stay relevant

1. Is it possible for Croma to be "Uber of mobile phone retailing"?

Bringing alive the promise of a ‘Brighter Every Day’ for its customers, Croma offers a world-class
ambience to shop both in-store and online at www.croma.com , giving customers a seamless
‘Omni-Channel’ shopping experience that lets him/ her enjoy the best of both the online & the
offline worlds. Croma is also the first Omni-Channel electronics retailer uniting the varying
customer touch-points: a full-fledged Croma Store and the Online Electronics Shop, i.e. the
website. By availing Croma’s Omni-Channel services, a customer can order their favorite
electronics online and pick it up from the nearest store or with its virtual aisle feature; can place
an order of their dream gadget not available at the store; but available on www.croma.com and
get it delivered to their doorstep. Customers can also opt for the express shipping feature
which enables a customer to get a product delivered to their doorstep within 3 hours. This
feature was launched by Croma in October 2018.

Croma has competition from e-retailers like Amazon and Flipkart. To win the e-commerce
threat Croma brought drastic change in its product display technique and remodeled its existing
stores into experiential theater. It has also devised a multi-pronged strategy to stay strong and
sustain profitable growth in the light of strong competition from e-commerce players. The
move comes after the success of its turnaround plan initiated two in 2017 that included revamp
of stores, revised marketing strategy, and measures for ease of shopping, among others.

Though there is competition from e-retailers, by its revised marketing strategy, ‘Omni-Channel’
marketing and ‘Express Shipping Feature’, it is possible for Croma to be "Uber of mobile phone
retailing".

2. What are the strategic changes Croma did in its marketing strategies in terms of 4Ps?

The strategic changes carried out by Croma in its marketing strategies of 4Ps are as follow:

Product

Croma ensures there is something for everyone with over 6000 multi brand (over 200 brands)
products. Croma has a wide variety in its product category. Retail outlets have a world-class
ambience and its product offerings are growing day by day. It deals with following eight
categories of products:

 Entertainment – Televisions, Media Streaming Devices, Media Players, Headphones

and Earphones, Home Theatre and Audio Systems, Audio Accessories
  Home Appliance: Washing Machines and Dryers, Refrigerators, Air Conditioners, Air
Purifiers, Humidifiers and Dehumidifiers, Air Coolers, Fans, Geysers, Vacuum Cleaners,
Garment Care, Smart Home Devices, Home Safety Security, Lighting Products, Electrical
Equipments, Room Heaters

 Kitchen Appliance: Dishwashers, Microwave and Ovens, Water Purifiers and Dispensers,
Stoves Cooktops, Food Preparation Appliances, Cooking Appliances, Toasters and
Sandwich Makers, Steamers and Cookers, Beverage Makers, Cooking Utensils, Flour Mill
Machines

 Phones and Wearables: Mobile Phones, Telephones, Wearables, Headphones and

Earphones, Mobile Accessories, Power Banks, Screen Protectors

 Computers and Tablets: Laptops, Tablets and E-Readers, Desktops and All-in-Ones,
Computer Audio, Network Components, Printers, Storage Devices, Computer Software,
Office Solutions

 Cameras: Point and Shoot Cameras, Professional Cameras, Sports and Action Cameras,
Camcorders, CCTV Video Security, Camera Accessories

 Grooming and Wellness – Health Care, Hair Care, Personal Grooming, Baby Care, Fitness
Equipments

 Gaming: Gaming Consoles, Gaming Laptops, Gaming Softwares, Gaming Accessories,

Electronic Toys

Some of the best brands in the industry are linked with Croma stores and are able to provide an
exciting experience for shopping what one actually wants. These are Amazon, Apple, Bajaj,
Bosch, Blue Star, Bose, Canon, Dell, Daikin, HP, JBL, Lenovo, LG, Microsoft, Nikon, Nokia,
OnePlus, Panasonic, Phillips, Samsung, Sony, Vivo, Voltas etc.

Croma launched its own label products in 2008. The range is to be a perfect fit, for those who
desire a completely feature-packed and quality product. [1] Croma has shown decent growth in
the past years of its private label. It is planning to expand its private label range and bringing
high quality products to its customers. [12]

Croma has refreshed stores with focus on CDIT products, a reimagined croma.com and a
curated range of products at competitive prices in 2016. [7]

Changing profile of customers like younger generation getting savvy, spending more on gadgets
and woman’s inclination and decision in purchasing power have increased the number of
products in electronics, personal grooming and household appliances under its brand name.
It has been an innovator and a leader in terms of offering new gadgets and has even brought
inspirational and the latest gadgets in the country by tying up with Apple and Amazon creating
a high number of footfalls and hence high end profits for it. Other than these, it has set up
round the clock customer care centre with Tata Business Support Services. The products and
the outlets have been considerably increasing with time. [12]

Price

Croma outlets have been endearing to provide a wide merchandise range that will be able
to meet personal requirements and budget of every individual. The company has kept its
pricing policy reasonable so that it will be able to penetrate consumer markets and to
create a loyal base of its own. It provides discounts and incentives periodically and several
attractive offers on bulk buying as this increases sales. Croma has put its onus on larger
sales volume as it realizes that it will create greater revenues.

Croma follows promotional pricing strategies and offers discounts like 10% to 15% even
on premium products. This helps in increasing the footfall as well as increased sales during
festivals. The trust of TATA group provides customers to be confident about the quality of
the products as well as competitive prices. Croma provides attractive discounts for bulk
buyers which leads to greater revenue. One of its biggest competitors is Reliance Digital
but the customer service and in store experience of Croma helps to differentiate it even
though pricing wise they are pretty close to each other. Discount pricing policy along with
its penetration pricing policy has helped the brand to become one of the most sought-
after retail stores in India.
Place

Bringing alive the promise of a ‘Brighter Every Day’ for its customers, Croma offers a world-class
ambience to shop both in-store and online at www.croma.com, giving customers a seamless
‘Omni-Channel’ shopping experience that lets him/ her enjoy the best of both the online & the
offline worlds.

In 2012, Infiniti launched cromaretail.com as a separate entity to compete with online retailers

like Flipkart. The deals available on cromaretail.com were not offered by the physical stores,
causing the company to lose a lot of walk-ins as consumers expect to be treated similarly across
different channels of sales. So in 2015 Croma applied its strategy to integrate its online
presence with physical stores. In this way Croma has become the first Omni-Channel
electronics retailer uniting the varying customer touch-points: a full-fledged Croma Store and
the Online Electronics Shop, i.e. the website. By availing Croma’s Omni-Channel services, a
customer can order their favorite electronics online and pick it up from the nearest store or
with its virtual aisle feature; can place an order of their dream gadget not available at the store;
but available on www.croma.com and get it delivered to their doorstep. Infiniti Retail’s Omni-
Channel strategy has been built on two levers — giving consumers access to inventory on
Croma.com and second, providing information on product availability at Croma stores. This
Omni-Channel strategy has helped it fight its competitors — the ecommerce players.

The company has also remodeled some of its existing stores to promote online and offline
integration in 2016.

In 2016, Croma has shut down small stores and focused on larger ones of over 10,000 square
feet so it can sell a wider portfolio of products and offer better after-sales service as they knew
that 85% of the consumers do research on the internet, where they see a large range of
products. Before they walk into the store, they have made their selection. So they had to
ensure they have a wider portfolio. They have found that their large format does better in
profitability and range. So in many cases they have either enlarged the same store or have shut
it down to move to bigger stores in the same area.
In 2016 Croma has revamped www.croma.com and has been focusing on Tata Group’s e-
commerce platform TataCliq. [5] Croma also sells its products on online marketplaces such as
amazon.

Customers can now also opt for the express shipping feature which enables a customer to get a
product delivered to their doorstep within 3 hours. This 3 hours delivery feature was launched
in October 2018. [1]

While its store footprint typically runs into over 10,000 sq ft, Croma is now also experimenting
with 2,000 sq ft stores called Gadgets of Desire to “come closer to customers” and “compete
with e-retailers”. These stores can also function as service centers. One such store is in Delhi
and another will soon open in Mumbai. Croma is using such smaller stores to sell personal
devices such as smartphones, laptops, cameras, etc. But small stores come with their
challenges. [7]

The company is also planning a change in the business model under which it seeks to bring in
the franchisee model for stores’ expansion and is doing pilots in two locations. Currently,
existing stores are operated by the company.

Apart from its digital focus, Croma has been on an aggressive store expansion spree. By the end
of this fiscal, the company would have opened 40-50 new stores, unlike earlier when it opened
around 15 stores per year. A large number of these new launches have happened in Tier 2-3
markets (Mandya, Bhuj and Baruch). Currently Croma has 156 stores across 40+ major cities of
India.
Croma was supposed to launch the first of its new-age stores in Mumbai in March 2020. The
launch of the new tech-heavy Croma store would coincide with the launch of the Croma app.
The app which has been created by sister company, TCS, is supposed to offer consumers a new
level of digital experience. The Croma app would come with a product finder that will enable
consumers to locate the product at the store. It will also allow the consumer to complete the
billing process through the app instead of standing at the billing counter to make the payment.

Croma also plans to create digital kiosks at the stores, where the sales person can give 3D
demonstrations of a refrigerator or a washing machine.

Promotion

Croma follow ATL (Above the Line) strategies like newspaper and radio advertisements. The
company has been determined to make Croma a brand name that is associated with trust and
reliability. In order to do so, it has undertaken several schemes that would prove beneficial to
its customers. It has opened a call centre that provides information and help to any customer
24*7. The ads of Croma generally focus on the value for money aspect of the products. They
provide quality products at a discounted price which appeals to the middle class population.
They sometimes do in store promotions like “Croma Loves You” campaign where the store
employees start dancing to the tunes of the song and explain the benefits of shopping with
Croma retail. It’s fun and entertaining while at the same time the catchy tune attracts attention
and promotes store products.
In the year 2014, the month of December Online Shopping Festival was organized and Croma
participated as part of its promotional activity.

Croma also brings Croma Privileges; its Gift Card solution that gives customers the freedom of
choice, with Gift Cards and e-Gift Vouchers of multiple denominations. [1]

To compete with e-tailers, it also tracks prices of products on e-commerce platforms daily and
accordingly offers promotions, cashback, etc. It has also launched the country’s first loyalty
programme in January 2019 that will bring together an entire suite of services such as
service, e-waste management and making the next new gadget affordable. The brand has
chosen to advertise to ‘shoppers’ rather than consumers since it sees itself as a theatre,
where the demand created by the brands gets realized. [8]

It has launched AMC (annual maintenance contract) facilities for air-conditioners and water
filters and also has a service called 'Repair Assist', where it services and repairs any gadget (not
necessarily bought from Croma) for a fee in 2019. This will help them in creating brand
awareness.
While the company had invested more in print advertising in FY19, this year in FY20 TV is where
the buck is going. For this financial year, they plan to invest 65% of their marketing spend on
TV, followed by 20% on digital and 15% in print. On TV they will advertise on English and Hindi
news channels as well as regional general entertainment channels (GEC) [10]

It has also changed its promotion style. With the increase in use of Internet and social media,
the company has laid emphasis on newer platforms. Now they have started social marketing
with Facebook and google ads. Online events are introduced to create passion, exposure and
building fans.

Croma has partnered with ESPN and is looking forward to tie up with the Star and the Zee
Network keeping its footsteps in media sector. [12]

3. What is Omni Channel?

Omni Channel marketing refers to creating your brand's presence across multiple online
(website, app, social media, email, SMS, WhatsApp) and offline (retail store, events, call-center)
channels while ensuring a positive and seamless experience throughout the customer journey.

https://www.moengage.com/blog/omnichannel-marketing/

At its core, Omni Channel is defined as a multi-channel sales approach that provides the
customer with an integrated customer experience. The customer can be shopping online from a
desktop or mobile device, or by telephone, or in a bricks and mortar store and the experience
would be seamless.

It's important here to distinguish an Omni Channel experience from a multi-channel experience.
Essentially, it comes down to the depth of the integration.

All Omni Channel experiences will use Multi Channel, but not all Multi Channel experiences are
Omni Channel.

You can have amazing mobile marketing, engaging social media campaigns, and a well-designed
website. But if they don't work together, it's not Omni Channel.

The Multi Channel experience is what most businesses invest in today. They have a website,
blog, Facebook, and Twitter. They use each of these platforms to engage and connect with
customers. However, in most cases, the customer still lacks a seamless experience and
consistent messaging across each of these channels.

An Omni Channel experience, on the other hand, accounts for each platform and device a
customer will use to interact with the company. That knowledge is then used to deliver them an
integrated experience. Companies using this technique align their messaging, goals, objectives,
and design across each channel and device.

Example: Starbucks

A quick look at the Starbucks rewards app will reveal why many consider it one of the top Omni
Channel experiences out there. 

First, you get a free rewards card that you can use whenever you make a purchase. But unlike
traditional customer loyalty programs, Starbucks has made it possible to check and reload your
card via phone, website, in-store, or on the app. Any change to the card or your profile gets
updated across all channels, in real-time.

Standing in line to get a coffee and realize you don't have enough on your balance? Reload it
and the cashier will know it's been updated by the time you swipe your card.

https://blog.hubspot.com/service/omni-channel-experience

Example: Croma

Bringing alive the promise of a ‘Brighter Every Day’ for its customers, Croma offers a world-class
ambience to shop both in-store and online at www.croma.com , giving customers a seamless
‘Omni-Channel’ shopping experience that lets him/ her enjoy the best of both the online & the
offline worlds. Croma is also the first Omni-Channel electronics retailer uniting the varying
customer touch-points: a full-fledged Croma Store and the Online Electronics Shop, i.e. the
website. By availing Croma’s Omni-Channel services, a customer can order their favorite
electronics online and pick it up from the nearest store or with its virtual aisle feature; can place
an order of their dream gadget not available at the store; but available on www.croma.com and
get it delivered to their doorstep. Customers can also opt for the express shipping feature
which enables a customer to get a product delivered to their doorstep within 3 hours.

https://www.croma.com/

4. What is Curated Model?

As a business model, curation means collecting. In Curated Model, the marketer guides the
customers in selecting the right product by providing the information about the product.

For example by following curated model in Croma they guide customers to the right phone
according to need and not just provide them a selection according to price ranges. Whether
one is using mobile cameras for selfies or want to shoot outdoor videos or need it for night
photography they recommend accordingly. They relied that the customers were looking for
curated assortment, the customer wanted to choose from the products that is better suited to
him rather than exploring thousand of products which are similar to each other, that only
create more confusion than clarity.

5. Croma recently opened its store at Anand VVN road? Is it right decision? What are the
challenges and opportunities in Anand Market for Croma?
The first ever croma store in Anand, just visited the showroom, the ambience is quite nice and the staff also kind and polite enough.

Suburban area

Sanket india

Less population

Location

Reliance digital

Article 2: Bata fights to stay young and relevant

1. What kind of changes has been seen in consumer behavior while buying shoes?
The market for shoes has seen a huge change in the past few years. Customers are more
discerning about design, size and most people are looking for more than just a regular pair of
shoes for all occasions. Purchasing habits and tastes of customers are transforming rapidly.

2. Do SWOT Analysis of Bata Brand in the present scenario.

SWOT Analysis of BATA:

Strength:

1. Global Presence: 
Bata is present in more than 70 countries, with 23 manufacturing facilities in
18 countries around the world. This makes Bata a global player and hence not
dependent on a single market.

2. Market Penetration: 
Bata has penetrated the market really well. Bata is present in large cities to small towns.
This helps in maintaining its customer base and also capturing the new demand created
in the market.

3. Strong Distribution Network:

Bata has a very strong distribution network throughout the world with about 5300 retail
stores worldwide out of which more than 1375 are located in India.

4. Excellent Positioning: 
Bata has positioned itself really well as a fashionable yet affordable footwear brand.

5. Cost Advantage:

It is quite clear that Bata has the cost advantage and is able to manufacture a huge
range of footwears at a very affordable price.

6. Wide Product Portfolio:

Bata has wide range of products including ladies sandals, heels, sports shoes, men
formal shoes, trek shoes, kids footwears, accessories etc. with over 20 brands and
labels.

Bata employs more than 6800 people in India and 40000 people world over and over 30,000
dealers

Weakness:
 1. Limited market share due to competition: 
Intense competition in the footwear segment means limited scope to overhaul market
share. Bata has been subjected to high competition which doesn’t allow Bata to have a
high market share. Bata’s market share has been reduced to 6 per cent.

2. Falling Sales: 
Bata India’s year on year sales has been on a downturn. Although the company’s profits
has been increasing.

3. Low quality image: 

Because of the low pricing of Bata shoes, most consumers think the quality of the shoes
will be low as well. This is a typical price quality approach of positioning.

4. Lack of Competitive Advantage

Relatively poor as compared to rivals like Nike and Adidas in the market place

Opportunities:

1. Footwear as a Fashion statement:

People now look towards buying footwear as a blend of fashion and comfort and hence
sales are bound to increase. This creates an opportunity for Bata to enhance its
revenues.

2. Growing Rural Market:

Bata has a strong presence in the emerging nations. Rural market in the emerging
nations is growing at a high rate. Bata needs to take advantage of the demand created
in the rural market. This will help in improving its bottom-line.

3. Growing demand in the premium footwear category:

There is a growing demand in the premium footwear industry, especially in the
emerging nations where the standard of living is growing.

Threats:

1. Intense competition:
 Bata is facing intense competition from other leading footwear brands in all the
categories and hence enlarging its customer base and market share is becoming
difficult.

2. Duplicity in the market:

The Footwear industry is also subjected to duplicity in the market, which not only
decreases sales but also weakens the brand name.

3. Describe the Competitive Strategy of Bata responding to current state of competition.

4. Watch the recent new advertisements of Bata Brand and write its new positioning.

1. Explain the market dynamics of Tea Market in terms of competition structure

2. What kind of differentiation strategy adopted by Wagh Bakri brand?

3. Discuss the overall business strategy of Wagh Bakri brand in the context of Micheal
Porter's Generic Strategy

4. Do you think that opening a Tea Lounges is good idea to grow in tea market? (Justify your
answer based on facts that you can collect from other sources)