CHAPTER-1

INTRODUCT
ION
 “MARKETING STRATEGY OF V-MART AND VISHAL MEGA MART :- A
COMPARATIVE STUDY”

7.1 BRIEF PROFILE OF COMPANY

V-MART PVT LTD

V-MART
Type Hypermarket

Founded 2002

Maiden Ahmedabad
store
Industry Retail

Products Apparels, Non-Apparels,

Department, Grocery store

Key People LALIT AGARWAL,

Madan Agarwal,
Hemant Agarwal

Punchline ‘Sabse sasta,Sabse Acha’

Retail 8.20 Thousand Sq. Mtr

Space
Advantage tier II & tier III cities

Currently228 outlets
 PART-A
ABOUT INDUSTRY

V-Mart Retail Ltd retails readymade garments accessories etc. and is engaged in the
business of 'Value Retailing' through the chain of stores situated at various cities in India.
The company operates its retail stores under the V-Mart brand.V-Mart is one of the
pioneers in setting up stores across various small Indian towns and cities including
Sultanpur Ujjain Motihari. The company primarily operates in Tier-II and Tier-III cities
with a chain of 'value retail' departmental stores offering apparels general merchandise
and retailer catering to the entire family. The company has established stores in Metro
Tier-I Tier-II and Tier-III cities which are primarily located as standalone stores in high-
street areas and shopping hubs of such cities. The average size of the store is
approximately 8000 Sq. Ft. It follows the concept of value retailing' to target the strata
of the population belonging to the expanding aspiring class and middle class based on
customer's socio-economic conditions purchasing power demographic details and
customer trends .V-Mart Retail Ltd was originally incorporated as Varity Commercial
Private Limited on 24th July 2002 in West Bengal. In October 2003 the company opened
it's first store by the name of 'V-Mart' at Ahmedabad Gujarat and currently own and
operate 62 stores spread across 53 cities and 10 states and union territories with a total
area of 5.06 lac Sq. Ft. Its stores are located in New Delhi Gujarat Uttar Pradesh Bihar
Punjab Chandigarh Haryana Jammu and Kashmir Rajasthan and Madhya Pradesh. The
name of the company was subsequently changed to V-Mart Retail Private Limited on
11th July 2006. Its name was further changed to V-Mart Retail Limited upon conversion
into a public limited company on 11th July 2008.In February 2013; the company
successfully concluded the pubic issue of equity shares aggregating to Rs. 36435 million.
The initial public offer of the company was subscribed 1.19 times. While the qualified
institutional buyers' portion in the offer was subscribed 1.52 times the non-institutional
investors and retail investors segments were subscribed 1.39 and 0.79 times
respectively. During the financial year ended 31 March 2014 the company opened 23
new stores under the brand V-Mart spread over an area of 712256 sq. ft. During the year
3 stores were closed due to lower footfall poor sales and non-profit making. During the
year under review the company implemented a space policy at the stores with an
objective of allocating space to the line of biz which has the higher propensity to
generate better returns on the space allocated. The company continued to strengthen
its back-end and front-end processes during the year by taking various initiatives. The
three core focus areas for the company were supply chain management capability
building and investment in infrastructure.
During the year the company took on lease premises for a new warehouse.
During the year under review the company organised various events so as
to be in constant touch with the customers and get a better understanding
of their needs.During the financial year ended 31 March 2015 the company
opened 19 new stores under the brand V-Mart spread over an area of 1.71
lacs sq. ft. During the year the company also completed the transition to a
new warehouse and corporate office keeping into account the existing and
future growth.During the financial year ended 31 March 2016 the company
opened 17 new stores under the brand V-Mart spread over an area of 1.48
lacs sq. ft. The company closed two stores during the year.During the
financial year ended 31 March 2017 the company continued with its
existing approach to endeavor to establish its growth pattern in the Retail
Industry with a chain of stores under the 'V-Mart' brand in the north and
eastern part of India. During the year the company opened 20 new stores
under the brand V-Mart which were spread over an area of 1.80 lacs sq. ft.
The company closed two stores during the year.During the financial year
ended 31 March 2018 the company opened 31 new stores under the brand
V-Mart which were spread over an area of 2.4 Lac sq. ft. The Company
closed 1 store during the year. During the year under review the company
continued to focus on enhancing the capability of the organisation. During
the year the company ventured into Tier-IV towns for the first time.During
the year 2019 the Company 44 new stores and closed one store. With this
addition the cumulative count of the company's stores increased to 214
spread over an area of 18 Lakhs sq. ft. V-Mart added three new states i.e.
Assam Meghalaya and Himachal Pradesh to expand the footprint to 17
states.
 EXISTING STORES – STATEWISE DISTRIBUTION

STATES STORE COUNT (2021)

DELHI 06
UTTAR PARDESH 156
GUJARAT 35
BIHAR 45
PUNJAB 09
MADHYA PARDESH 09
RAJASTHAN 04
HARYANA 04
CHANDIGARH 03
JAMMU AND KASHMIR 02
UTTARAKHAND 09
JHARKHAND 14
TOTAL 296

V-Mart is a complete family fashion store that provides its

customers true value for their money.

V-MART offer V-MART customers a great shopping experience each

time they visit V- Mart store by offering a vast range of products
under one roof. Maintaining high standards in quality and design,
V-Mart offers fashion garments at down-to-earth prices and over a
period of time has emerged as the destination of choice for bargain
hunters and the fashionable alike.

V-MART primarily operate in tier II & tier III cities with the chain of
“Value Retail” departmental stores. V-MART stores cater to the
needs of the entire family altogether by offering
apparels, general merchandise and kirana goods.
“Price Less Fashion” is the main motto through which we believe
in providing the latest trends to the upwardly mobile Indians at
the best possible price.

“MARKETING STRATEGY OF V-MART AND VISHAL MEGA MART :- A COMPARATIVE STUDY”

V-MART have 296 stores across 91 cities in 12

states and union territories,with a total retail area of 8.63 Lac sq.ft (7.74
Thousand Sq Mtr.).V-MART stores are located in prime states/cities such as
Bihar, Chandigarh, Gujarat, Haryana, Jammu and Kashmir, Madhya Pradesh,
New Delhi, Punjab, Rajasthan, Uttarakhand and Uttar Pradesh. V-MART are
among the pioneers in setting up modern ambiance stores or large retail malls
across various small towns and cities like including Sultanpur, Ujjain, Motihari,
Faizabad and more.

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