Assignment On Marketing Research.

Submitted To:
Vikar Kumar (Assistant Professor, FMS NIFT-Patna)
1|Page

Submitted By:
Vaibhav Kumar Master of Fashion Management, 2nd Semester, Batch 2012-2014

Certificate
This is to certify that the Project entitled Scope of setting up a training institute for retail sales staff in Patna, Bihar submitted towards the partial fulfilment of the program MASTER OF FASHION MANAGEMENT by VAIBHAV KUMAR, this original work done under my guidance and the results are based on the research done by him. This report is done under the guidance of my mentor, Mr. Vikas Kumar, Assistant Professor.

2|Page

Content
S.No.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18.

Particular
List of table/graph/picture Abstract Statement of the problem Purpose of the study Significance of the study Objective Research methodology Research Design Indian Retail Scenario Retail Training Benefits of retail training Study on Retail training Institute Shopper stop retail mgmt course Future learning Sample size and sample technique Questionnaire Personal Interview Bibliography and References

Page No.
4 5 6 6 6 7 8 8 9,10,11,12 12 13 14 14 17 21 22-25 26 27

3|Page

List of Graph

Graph 1: Pie chart composition of Indian Retail sector Graph 2: Training retention % by training type
Graph 3: Indian Retail Market Forecasts

List of Picture Pic 1: Evolution of Indian Retail Pic 2: Various retail companies in India.

4|Page

Abstract

The research design is exploratory type as it is secondary data based. The purpose of the study is to know the scope of establishing a training institute for retail sales staffs in Patna The research is all about setting up a training institute for retail shop employees in Patna, Bihar. The research will be cover feasibility, requirements and support for opening a training institute. There is not even a single institute which provide training for improvement of sales and work culture among retailing business in Fashion. This training institute will provide a suitable and appropriate education to the employees of various retailers as well as their sales staffs. As we can see there are few numbers of retailers with educated sales staff who have gone through proper selling behaviour and customer service training. In fashion retail store there is a huge requirement of those kinds of employees who can handle their customer in proper manner and can provide correct information about the product and services they are marketing. This research will be carried out to know the possibility of setting up such a kind of training institute in Patna and to know the setting up procedure and formalities.

5|Page

Statement of the Problem

Why this research study needed to be conducted? As the research is about setting up training institute for retail sales staff in Patna, it clearly states the problem which is the non availability of such a kind of institute. This research study is very much needed to be conducted to know the feasibility of setting up such a training institute. There is not even a single training institute in Patna which provides training to the retail sales staffs. After conducting study on this specific topic we will come to know the area of difficulties in establishment procedure. This study will provide a base to understand why this particular study is important and how the study will attempt to answer new, never-before asked questions.

Purpose of the study The purpose of this study is to determine the scope of setting up a training institute for the retail sales staff in Patna, Bihar.

Significance of the study

While talking about importance of the study, it will highlight the problems of setting up training institute for Sales staffs. Another importance of the study will be to know the scope of opening training institute in Patna. This study will provide with information such as what are the formalities involve in establishment process. It will also provide a base for others to know about establishment procedure and format.

6|Page

Objective of the research

Primary Objective
To set up a training institute for retail sales staffs in Patna, Bihar.

Secondary Objective
To educated staffs about handling customers. To educated staffs about their brands and Product Assortment. To help increase retail sales with the help of customer interaction. To promote professional method of selling.

7|Page

Research Methodology Research Design

This type of research will have exploratory research followed by Descriptive. As the research is not causal in nature, it is all about setting up a training institute for the retail sales staffs. We cant come to a conclusion and there is no cause related topic in this research. The research will be secondary and survey data based. The data collected for the study is secondary as well as primary in nature. Secondary data have been collected from computerized database, Full text database. Primary data have been collected from various sources such as questionnaire, interview and observation. Primary data are qualitative in nature

Instruments
The instruments used in this research will be the following: SURVEY Questionnaire Convenience Sampling Technique Sample size : 30 Telephonic Interview Mr. Sharad Priyan (Shopper stop) Mr. Rahul Sharma (Future Group) Observations Unstructured Observation Disguised Observation Natural Observation Personal Observation (Visiting retail store for sales staff study)

8|Page

Literature Review
Introduction
Indian Retail Scenario
Retailing in India is one of the pillars of its economy and accounts for 14 to 15 percent of its GDP. The Indian retail market is estimated to be US$ 450 billion and one of the top five retail markets in the world by economic value. India is one of the fastest growing retail market in the world, with 1.2 billion people. India's retailing industry is essentially owner manned small shops. In 2010, larger format convenience stores and supermarkets accounted for about 4 percent of the industry, and these were present only in large urban centers. India's retail and logistics industry employs about 40 million Indians (3.3% of Indian population). Until 2011, Indian central government denied foreign direct investment (FDI) in multi-brand retail, forbidding foreign groups from any ownership in supermarkets, convenience stores or any retail outlets. Even single-brand retail was limited to 51% ownership and a bureaucratic process. In November 2011, India's central government announced retail reforms for both multibrand stores and single-brand stores. These market reforms paved the way for retail innovation and competition with multi-brand retailers such as Walmart, Carrefour and Tesco, as well single brand majors such as IKEA, Nike, and Apple. The announcement sparked intense activism, both in opposition and in support of the reforms. In December 2011, under pressure from the opposition, Indian government placed the retail reforms on hold till it reaches a consensus. In January 2012, India approved reforms for single-brand stores welcoming anyone in the world to innovate in Indian retail market with 100% ownership, but imposed the requirement that the single brand retailer source 30 percent of its goods from India. Indian government continues the hold on retail reforms for multi-brand stores. In June 2012, IKEA announced it has applied for permission to invest $1.9 billion in India and set up 25 retail stores. Fitch believes that the 30 percent requirement is likely to significantly delay if not prevent most single brand majors from Europe, USA and Japan from opening stores and creating associated jobs in India.

9|Page

On 14 September 2012, the government of India announced the opening of FDI in multibrand retail, subject to approvals by individual states. This decision has been welcomed by economists and the markets, however has caused protests and an upheaval in India's central government's political coalition structure. On 20 September 2012, the Government of India formally notified the FDI reforms for single and multi brand retail, thereby making it effective under Indian law. On 7 December 2012, the Federal Government of India allowed 51% FDI in multi-brand retail in India. The Feds managed to get the approval of multi-brand retail in the parliament despite heavy uproar from the opposition. Some states will allow foreign supermarkets like Walmart, Tesco and Carrefour to open while other states will not.

Pic 1: Evolution of Indian Retail

Graph 1: Pie chart composition of Indian Retail sector

10 | P a g e

Graph 2: Training retention % by training type

Pic 2: Various retail companies in India.

11 | P a g e

Graph 3 : Indian Retail Market Forcasts Retail Training

Retail training supports employee engagement, development and retention and directly links to improved store performance. However, optimizing your return from training has its challenges, not the least:

High staff turnover Varying skill levels of employees Low rate of retention of training skills Equation Research said 84% of knowledge is lost within 3 months if not used and reinforced Retail is often seen as a stepping stone to another career Typical retail training programs have their limitations in that the training is generic rather than linked to store operations and strategy, courses remain static often for a number of years - retail is dynamic, focused on either the job role or the industry and fail to educate on the world of retail and the interdependencies of running a retail store.

12 | P a g e

Benefits of Retail sales training

Retail sales training will not only you survive in the retail market, but retail sales training will give you effective results to beat the competition. Many people think that price is what controls the retail market, however with retail sales training you will learn that price may attract customers, but it may not necessarily keep them. The retail market is slit up of several different divisions. Retail sales training can assist with you running each of these divisions at peak performance, thus creating a immaculate retail centre. The biggest part of the retail market is customer service. Customer service not only includes assisting and handling difficult customers, but it also consists of preventing product loss as well as building customer loyalty. Retail sales training will also help your employees with product knowledge. Having product knowledge is very crucial as it will help you assist the customer in finding solution for their need in a quick and professional manner. Retail sales training will also help your management team develop better employees and establish critical procedures. Retail sales training is not just about how to sell, but also on how to handle certain situations and set forth acceptable policies. Retail sales training can assist you in generating ideas to establish proper training methods that will hold your employees accountable for their actions without having disputes from employees being unable to handle certain situations. Retail training programs help you eliminate future problems, by helping you develop strong policies and guidelines that can be followed to not only bring great customer service, but generate positive experiences from your customers. By establishing set guidelines you will eliminate random decisions and spur-of -the-moment policies which could have a negative effect on your retail center. By establishing a list of set policies, there will be no dispute as to how to handle each situation resulting in less chances for negative outcomes. Retail sales training can also assist in better plans of action and in creating model stores. Model stores are stores that have strong leaders with leadership skills who use their man power wisely. Retail sales training can assist you in creating better time management skills to create your store into a more productive retail center. Overall retail sales training can help your daily operations and help you build a stronger management and sales team. Retail sales training can assist you in all the needs of running a retail market.

13 | P a g e

Study on Retail Training Institute

Following are some of the major training institutes established and operating by some of the major retailing companies of India. After going through the details given about the training program, which are nothing but retail management course provided by these organisations we can get a very clear and appropriate idea about theses training programmes.

Shoppers Stop Fashion Retail Management course

Looking at the increasing requirement of trained front end employees in Retail Operations, Shoppers Stop has recently partnered with IIM (Ahmadabad) to develop suitable & spirited course content on Retail Management and is tying up with various colleges/Institutions of repute pan India to deliver the said course. This is a certificate course where the students passing out will be given a combined certificate from Shoppers Stop, IIM (A) & the college delivering the course. This is a 15 month course - six months in classroom and the other nine months, internship at the store on the shop floor. The certificate would be handed to the students on successfully completing the course, at the end of the fifteen months tenure. Salient features of the course as below:

Course content designed by IIM Ahmadabad Course delivered by the partnering college in the respective region. The details of the colleges would be updated below soon. Course duration is 15 months - 6 months in a classroom the balance on the shop floor as a Trainee Fashion assistant.

14 | P a g e

Process for enrolling/Eligibility:

Minimum 12th (HSC) pass student with at least 50 % (aggregate) marks can apply for the course. He/ she would undergo a written test, Group Discussion & personal interview. On clearing the above, the candidate gets selected for the course The Candidate has to achieve a minimum 50 % score each quarterly test conducted during the first 9 months of the course. If they dont, candidates have to reappear & clear the test Fee for the course would be Rs41000. The candidate would be paid an approximate stipend amount of Rs. 9000/- per month during their nine month stint in Shoppers Stop. Thus, the candidate earns back the course fee during their first five months stint at Shoppers Stop starting from the 10th month onwards. On completion of six months in the classroom & clearing the test with a minimum 50 % score, the candidate would be appointed as trainee Fashion assistant in our stores. Shoppers Stop would extend an appointment letter, with a clearly defined Balance score card (BSC) for the next nine months Candidates have to score a minimum 50 % on the Balance score card during their nine months stint as trainee Fashion Assistants Post nine months with a minimum of 50 % on the BSC, he/she would be extended the certificate of course completion and would also be confirmed as Fashion Assistant. These Fashion Assistants can now opt for a Management position by clearing an assessment. On clearing the assessment, the candidate is groomed for the Management position via a special program called Baby Kangaroo. Candidates on the Baby Kangaroo program would work on varied projects and would be re-assessed after a year. On clearing this assessment, the candidate would qualify for the position of Department Manager. Candidates, who do not clear the Baby Kangaroo assessment, will continue as Fashion Assistant & can reappear for the assessment when it takes place subsequently.

[Reference: http://corporate.shoppersstop.com/careers/FashionReatilMgmtCourse.aspx]

15 | P a g e

Brief:
Above mentioned is the training program offered by Stopper Stop. They have collaborated with IIM Ahmadabad and they provide a certificated program in retail management course. This is a 15 month program with 6 month of classroom course and 9 months of fieldwork. This will lead trainee to gain theoretical as well as practical knowledge about the retail industry. There are also some eligibility criteria such as, the trainee should have completed his senior secondary with minimum of 50% and then they have to face written examination, group discussion and personal interview. Course fee is 41,000 INR and they will be paid with 9,000 INR per month for 9 months internship. There is another program which is known as Baby Kangaroo, this program will help the trainee to groom for senior management for the position like Department Manager.

16 | P a g e

Since the 90s, the India success story has been an exciting one, offering Indias youth myriad opportunities to ride the waves of growth. The retail and service sector in particular, has reshaped the urban landscape, and is making rapid inroads into the once sleepy interiors of the nation. For 15 years, Future Group has been at the forefront of these phenomenal changes, particularly in the retail sector. With this hard-earned experience came understanding of the multiple challenges involved in sustaining and fine-tuning the growth and development of retail. Out of that understanding, Future Learning was born it is the Groups pioneering initiative in education, learning and skills development. Future Learning was set up with the aim of providing quality knowledge and skills to individuals and companies. Future Learning currently offers organisational solutions through Future Lead, higher education through Future Innoversity and skill development through Future Sharp. Future Lead offers a range of customised outstanding learning solutions for both front-end and management in the areas of leadership and management, personal effectiveness, sales maximisation, business processes and customer retention. Future Leads unique learning methodology, in both content and delivery, results in improved skills and enhanced productivity for its clients. Future Lead also provides services in the areas of service quality checks, process audits, SOP writing, training evaluation and other consultancy services that are specific to organisational needs. In the domain of education, Future Learning, under the aegis of Future Innoversity, has entered into a strategic tie-up with the Indira Gandhi National Open University (IGNOU). On offer at our four, state-of-the-art campuses are full-time and distance learning graduate/post graduate programmes in retail and supply chain management . While some of the programmes are certified by IGNOU, Future Innoversity will also be launching autonomous specializations in 2012. To bridge the gap of skilled manpower, Future Learning, in collaboration with the Ministry of Rural Development (MORD) and National Skill Development Corporation (NSDC), has developed skills based training programmes to ensure employment for youth belonging to families of the less empowered. Future Learnings holding company is Future Human Development Limited (FHDL) which is a wholly owned subsidiary of Future Value Retail Limited.

17 | P a g e

Established in 2008 and headquartered in Mumbai, Future Learning has four well-equipped learning centres in Ahmedabad, Bengaluru and Kolkata and a mini-centre in New Delhi.Future Learning has three lines of businesses, offering three distinct value propositions.

Vision:

Values:

18 | P a g e

Future Lead
Future Lead, aims to facilitate organisations in building a competitive advantage through its most valuable assets people. Here we assess your organisations learning needs and develop performance improvement interventions which not only drive business results but are contextual, relevant, adaptable, cost-effective and aligned to the overall strategic direction of the organisation. We partner organisations in achieving their mission critical goals through enhanced effectiveness of their people and processes, using proven methodologies. Besides a range of world-class bouquet of learning programmes, we offer customized learning solutions for top management, middle management and those at supervisory levels in the areas of sales excellence, service excellence, self-excellence, leadership excellence and retail excellence.

Future Innoversity
Future Innoversity is a higher education institute offering specialty management courses tailored to industry needs. The institute, which commenced operations in 2009, is sponsored by Future Learning (a part of the leading Indian retail pioneer, Future Group) as a response to the manpower requirements of organized retail and supply chain a sector that is set to grow into a 260-billion dollar industry with enormous employment opportunities by 2020. Currently, Future Innoversity offers specialized courses in Retail and Supply Chain Management. Higher education in India, while well established, does not render students employable; virtually all undergraduate students need further training to fit into the career of their choice. Future Innoversitys mandate is to close this employability gap with customized education and skills that will benefit both industry as well as young adults entering the job market. The institutes Retail and Supply Chain Management courses equip students with indepth knowledge and practical skills related to retail and supply chain; additionally, students receive a complete grounding in basic principles and practice of general business management. Thus, while students will be readily absorbed into one industry, they have the option of exploring careers in other industries as well. Future Groups 15 years in retail is a rich legacy that the institute draws upon while designing its courses.

19 | P a g e

Programmes

post-graduate programme in retail management M.B.A. retail management M.B.A. supply chain management B.B.A. retail services B.B.A. retail services distance learning programme (DLP)

Future Sharp
Future Sharp Skills Development has entered into a joint venture partnership with the government-backed National Skill Development Corporation (NSDC) to train seven million people in handloom, carpentry and retail services, among other areas, over 10 years. Future Sharp Skills Limited India has a severe deficit of skilled and employable manpower organised retail, housekeeping, transportation and logistics, ITES, handloom & handicrafts are just a few industries facing a severe crunch of skilled manpower.

[Reference: http://www.futurelearning.in/]
Brief:
Above is the program offered by the Future Group. This is yet another retail program for those who seek professional knowledge in the field of retail management. This program is of three types, first one is known as FUTURE LEAD, second one is called FUTURE INNOVERSITY and third one is FUTURE SHARP. All three course are for different segments of trainee. There are various course offered by Future innoversity such as post-graduate programme in retail management, mba retail management, mba supply chain management, bba retail services and bba retail services distance learning programme (DLP).

20 | P a g e

Sample Size:
Sample taken for the questionnaire is retail sales staff of retail store located in Patna. Sample of this questionnaire is taken as per the convenience and they are staff associated with retail stores of Wrangler, Lee and Arrow. Total number of sample for this questionnaire is 30. I have visited 7 stores to get these numbers of sample.

Sampling Technique: The sampling technique used for this particular is Convenience Sampling. Convenience sampling attempts to obtain a sample of convenient elements. Often, respondents are selected because they happen to be in the right place at the right time.

21 | P a g e

Questionnaire:
For Sales Staff:
1. How happy are you with your job overall? [Rate between 1=Unhappy to 10=Happy] Conclusion: 4-6 2. How do you feel about your benefits at your store? [1 = Terrible/10 = Great] Conclusion: 3-5 3. How do you feel about the pay levels at your store as compared to similar employers? [1 = Worse than most/10 = Better than most] Conclusion: 5-7 4. How do you feel about the employee-review system at your store? [1 = Hate it /10 = Love it] Conclusion: 3-4 5. How is the overall morale in your store? [1 = Awful/10 = Wonderful] Conclusion: 4-7 6. How do you feel about the responsibilities of your job? [1 = Too little/10 = Too much] Conclusion: 4-6 7. How effective is your store manager? [1 = Very poor/10 = Very good] Conclusion: 5-8 9. Why do you come to work every day? [1 = Have to/10 = Want to] Conclusion: 5-8 10. How long have you worked for your store? a) b) c) d) More than 4 months More than 8 months More than 12 months More than 16 months Conclusion: 6 month 12 month

22 | P a g e

11. Do you think training program is beneficial for you? a) Yes - 18 b) No - 4 c) No idea- 8 12. Do you think training program will help increasing your capability in terms of sales? a) Yes - 20 b) No - 4 c) No idea - 6 13. Training for retail staff can help improve the store performance and can build up overall brand positioning. Agree----------------#-----------------------------------------------------------------------------Disagree 14. Training program will help understanding the product specifications and their attributes. Agree-----#----------------------------------------------------------------------------------------Disagree 15. How many hours per day can you give for attending training program classes? (a) 1 hr (b) 2hr (c) 3hr (d) 4 hr Conclusion: 2- 3 hrs 16 .What sessions you would be interested in attending the training program? (a) 8am- 10am (b) 12pm-2pm (c) 4pm 6pm (d) 6pm 8pm Conclusion: (a) or (d) 17. Do you want to want to get educated about your own brand in specific? (a) Yes -24 (b) no -0 (c) Doesnt matter- 6 18. Do you want medium of learning to be in which language? (a) English -7 (b) Hindi -23

23 | P a g e

19. Do you need reference books as you course material? (a) Yes-25 (b) no- 5 20. Are you comfortable with advance learning experience like use of technology in learning, for example presentations on projectors? (a) Yes - 22 (b) no - 2 (c) doesnt matter - 6 21. Training program should contain field work and practical approach, which will help us to learn better and understand consumer and their purchasing behaviour. Agree---#---------------------------------------------------------------------------------------Disagree

22. Getting a diploma in retail management course will directly affect the salary of the sales staff. Agree.#.....................................................................................................................Disagree 23. Training program will offers a range of customised outstanding learning solutions in the areas of leadership and management, personal effectiveness, sales maximisation, business processes and customer retention. Agree--------#---------------------------------------------------------------------------------Disagree 24. How do you feel about the idea of setting up a training and orientation program? (a) Excellent - 12 (b) good - 10 (c) neutral - 8 (d) bad - 0 (e) worst -0

24 | P a g e

25. What do you like least about your job? Please explain. 26. What do you like most about the job? Please explain. 27. What would you change if you were the owner? 28. The behaviour of your store manager is? Very good-------good-------normal---------bad----------very bad.

25 | P a g e

Personal Interview:
Mr. Sharad Priyan (Shopper stop) Telephonic Interview conducted with Mr. Sharad Priyan of Shopper Stop lead me to a huge information and true fact about the training institute operated by Shopper Stop. The interview informed me about the current operational scenario of the institute and about the course curriculum. He also provided me with demographic information of the trainees. The first question I asked to Mr Sharad Priyan was about the training institute and its basic operational structure. The information provided was a lot productive. Trainees are from all across the country and from age group of 25 to 35. After they are gone through the program they are provided with the job within the organisation.

Mr. Rahul Sharma (Future Group) The telephonic interview held with the employee of Future Group, Mr. Rahul Sharma provided well descriptive and productive information about the running and initial setup procedure of the training institute. He said that concept of setting up a training institute for retail sales staff is very much in need as retail industry is growing and staffs are to be professional in their field because of the upcoming competition. The Future Group have three different kind of training program for different profile of people. They are for learning, beginner and profession employees.

26 | P a g e

Bibliography & Reference

http://www.futurelearning.in/ http://corporate.shoppersstop.com/careers/FashionReatilMgmtCourse.aspx "The Bird of Gold - The Rise of India's Consumer Market". McKinsey and Company. May 2007. Anand Dikshit (August 12, 2011). "The Uneasy Compromise - Indian Retail". The Wall Street Journal. "Winning the Indian consumer". McKinsey & Company. 2005. Majumder, Sanjoy (25 November 2011). "Changing the way Indians shop". BBC News. "Retailing in India Unshackling the chain stores". The Economist. 29 May 2008. Agarwal, Vibhuti; Bahree, Megha (7 December 2011). "India puts retails reforms on hold". The Wall Street Journal. Sharma, Amol; Sahu, Prasanta (11 January 2012). "India Lifts Some Limits on Foreign Retailers". The Wall Street Journal. Amol Sharma (24 June 2012). "IKEA Knocks on India's Door". The Wall Street Journal. "Ikea shelves Indian retail market move". The Financial Times. 22 January 2012. "Times of India Newsreport". "Department of Industrial Policy & Promotion (FC-I Section), Press Note No.5 (2012 Series) - multi-brand retail". Ministry of Commerce & Industry, Government of India. 20 September 2012. "Department of Industrial Policy & Promotion, Press Note No.4 (2012 Series) - Single brand retail". Ministry of Commerce & Industry, Government of India. 20 September 2012. "FDI in multi-brand retail comes into effect; way clear for Walmart". The Economic Times. 20 September 2012. "SMEs welcome FDI in retail". CIOL. 2012-12-06. Retrieved 2013-02-28.

27 | P a g e