SUMMER TRAINING REPORT

ON

“A Study On Omnichannel Platform For

Retailers At U.S. Polo Assn”

In partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION (MBA)

Submitted by
Sonali Bansal
(221060700100)

Submitted to
Dr. Ashwani Kumar Gupta
(Assistant Professor)

School of Management Sciences,

Varanasi
Affiliated to
(Dr. A.P.J. Abdul Kalam Technical University, Lucknow)

0
CERTIFICATE

1
 DECLARATION

I, Sonali Bansal hereby declare that my report entitled “A Study on Omnichannel

platform for retailers at U.S. Polo Assn” is a project work carried out by me
independently. The information presented in the report is correct to the best of my
knowledge and the analysis is as per the norms and guidelines of the report.

I feel extremely exhilarated to have completed this report under the able and inspiring

guidance of Dr. Ashwani Kumar Gupta, Assistant Professor. His guidance and timely

encouragement has infused courage in me to complete the work successfully.

I claim this report to be my indigenous work and have not presented it anywhere else for

any purpose.

Sonali Bansal
MBA III Semester

Roll no.: 221060700100

2
 ACKNOWLEDGEMENT

The work on this report has been an inspiring, often exciting, something challenging, but

always an interesting experience.

Bearing in mind, I am using this opportunity to express my deepest gratitude and special

thanks to the School of Management Sciences, Varanasi. I express my deepest thanks to

Director, Prof. P.N. Jha, Coordinator: Dr. Amitabh Pandey of MBA for providing me the

valuable chance for doing the research purpose.

Last but not the least I apologized for my omission & mistakes, as from my side I prepared

it by my best. I perceive this opportunity as a big milestone in my career development. I will

strive to use gained skills & knowledge in the best possible way, & I will continue to work

on their improvement in order to attain the desired career objectives.

Sonali Bansal
MBA III Semester

Roll no.: 221060700100

3
 PREFACE

e-Commerce is the fastest-growing sales channel, while omni-channel

retailing is becoming the new retailing standard. Omni-channel logistics is
an essential complex aspect of omni-channel retailing, especially
considering the increased consumer demand for seamless shopping
experiences. This systematic literature review aims to synthesize the
contemporary e-commerce logistics literature and to develop a logistics
decision framework. This review shows how the focus of e-commerce
logistics literature has evolved to multi-channel logistics, and lately to
omni-channel logistics. The recent boom in omni-channel logistics
publications highlights the importance of logistics in omni-channel
retailing with increased complexity and a myriad of logistics design
options. An omni-channel logistics decision framework covering 43
decision elements within supply and internal distribution, last mile
consumer steering, last mile back-end fulfilment, last mile delivery, and
reverse logistics is created by synthesizing 373 articles. This review
identifies research opportunities and encourages researchers to
complement existing narrower studies with broader empirical studies
focusing on the elements’ interplay, and configuration studies associated
with firm performance. The framework and future research avenues
support retail executives in designing logistics, in decision-making and in
developing strategies

The India Retail Industry is the largest among all the industries,
accounting for over 10% of the country GDP and around 8 per cent of
the employment. The Retail Industry in India has come forth as one of

4
the most dynamic and fast paced industries with several players entering
the market. But all of them have not yet tasted success because of the
heavy initial investments that are required to break even with other
companies and compete with them.

The India Retail Industry is gradually inching its way towards becoming
the next boom industry. The total concept and idea of shopping has
undergone an attention drawing change in terms of format and consumer
buying behaviour, ushering in a revolution in shopping in India.
Modern retailing has entered into the Retail market in India as is
observed in the form of bustling shopping centres, multi-storied malls
and the huge complexes that offer shopping, entertainment and food all
under one roof. A large young working population with a median age of
24 years, nuclear families in urban areas, along with increasing working
women population and emerging opportunities in the services sector are
going to be the key factors in the growth of the organized Retail
sector in India. The growth pattern in organised retailing and in the
consumption made by the Indian population will follow a rising graph
helping the newer businessmen to enter the India Retail Industry. In
India the vast middle class and its almost untapped retail industry are
the key attractive forces for global retail giants wanting to enter into
newer markets, which in turn will help the India Retail Industry to grow
faster. Indian retail is expected to grow 25 per cent annually.

Modern retail in India could be worth US$ 175-200 billion by

2016. The Food Retail Industry in India dominates the shopping basket.
The Mobile phone Retail Industry in India is already a US$ 16.7 billion
business, growing at over 20 per cent per year. The future of the India

5
Retail Industry looks promising with the growing of the market, with the
government policies becoming more favourable and the emerging
technologies facilitating operations.

6
 Chapter -I
INTRODUCTION
One of the recent trends in omni-channel retailing is ship-from-store which allows a
retailer to fulfill online orders from a brick-and-mortar store. The benefits of this
relatively new fulfillment model includes faster delivery, lower transportation costs,
higher in-stock probability, increased sales and customer service, etc. Despite the
many benefits, the model introduces many new operational challenges to the retailer.
Retailer needs to identify which stores should be integrated as active fulfillment
centers, and from which location to satisfy an online order when it arrives. Best Buy,
Macy’s and Walmart successfully integrate ship-from-store to their fulfillment
strategies. We consider a retailer having both online and store operations and each
channel carrying its own inventory. Store orders are fulfilled from store inventories,
but for an online order the retailer can ship either from the online distribution center
or from any other store location that maximizes the overall profit. Our study
investigates dynamic fulfillment decisions: from which location to fulfill an online
order when it arrives. We incorporate the uncertainty both in demand and in the cost
of shipment to individual customers. We develop a stochastic dynamic framework
and present some results on optimal fulfillment strategies.

Online shopping is growing rapidly in the U.S. and according to a Forrester research
[1] the number of online customers in the U.S. are expected to exceed 220 million by
2018. Not only the number of customers, but also the amount spent by each online
customer is estimated to increase by at least $500 in 2017 in [1]. Therefore, to remain
competitive in the market, retailers must be flexible and be able to meet customers’
demand across different channels more efficiently. Omni-channel retailing is a
multichannel approach that offers customers more flexibility in their shopping
experiences and ship-from-store is one of the trending omni-channel fulfillment
implementations by which retailers can fulfill online orders from a brick-and-mortar
store instead of fulfilling them from a distant online distribution center (DC).
Retailers can benefit from ship-from-store in several ways. First, orders can be
7
shipped faster and often cheaper than shipping from DCs, as local stores are expected
to be closer to the customers. Second, it can positively impact gross margins by
preventing stores from marking down the price of a product since store inventory can
be used to fulfill online full-priced orders. Moreover, retailers can avoid online stock-
outs by fulfilling orders from a brick-and-mortar store which results in an increase in
sales and customers’ satisfaction. It is stated in [2] that several retailers including
Best Buy, Macy’s, Walmart, Toys R Us, Target, Ann Taylor, successfully implement
ship-from-store in their operations and enjoy an additional profit through this
implementation. For example, it is reported in [2] that Best Buy has increased its
profit by $168 million in 2014 through ship-from-store implementation. Ship-from-
store implementation may also support the competitiveness of traditional brick-and-
mortar stores compared to online-only retailers. Despite its several benefits, ship-
from-store has operational challenges as the retailers need to decide from where to
fulfill online orders under the uncertainty of demand and location of the customers.
In our study, we capture the

8
INDUSTRY OVERVIEW
The fashion industry is a dynamic and multifaceted sector that encompasses the design,
production, marketing, and distribution of clothing, accessories, footwear, and related
lifestyle products. It's a global industry that continuously evolves due to changing
consumer preferences, cultural influences, technological advancements, and sustainability
concerns. Here's an overview of the key aspects within the fashion industry:

Design and Creativity: Fashion begins with creative design. Designers

conceptualize and create clothing and accessories, drawing inspiration from various
sources such as art, culture, nature, and current trends. This phase involves sketching,
pattern-making, and prototyping.

Manufacturing and Production: Once designs are finalized,

manufacturers produce clothing and accessories. This stage involves sourcing materials,
fabric cutting, sewing, and quality control. Manufacturing can occur locally or
internationally, with various cost and quality implications.

Supply Chain and Logistics: Fashion products move through complex

supply chains involving suppliers, manufacturers, wholesalers, and retailers. Supply chain
management includes procurement, inventory management, transportation, and logistics
to ensure products reach consumers efficiently.

Marketing and Branding: Fashion brands engage in extensive marketing to

create brand awareness, promote products, and connect with consumers. This includes
advertising, social media campaigns, fashion shows, and collaborations with influencers
and celebrities.

Retail and Sales: Fashion products are sold through various channels, including
brick-and-mortar stores, online retail platforms, department stores, boutiques, and pop-up
shops. Retailers manage inventory, offer customer service, and create engaging shopping
experiences to drive sales.

Trends and Consumer Behavior: Fashion trends are ever-changing,

influenced by factors like social media, celebrities, cultural shifts, and sustainability

9
concerns. Understanding consumer preferences and behavior is crucial for brands to
remain relevant and meet market demands.

Sustainability and Ethical Practices: There's a growing emphasis on

sustainability and ethical practices within the fashion industry. Brands are increasingly
adopting eco-friendly materials, ethical sourcing, fair labor practices, and reducing
environmental impact throughout the supply chain.

Technology and Innovation: Advancements in technology, such as 3D

printing, augmented reality (AR), artificial intelligence (AI), and data analytics, are
revolutionizing various aspects of the fashion industry, from design and production to
marketing and retail.
The fashion industry is highly competitive and continuously evolving, with a blend of
traditional practices and innovative trends. Consumer demand for unique styles,
sustainability, and ethical practices is reshaping the industry, encouraging brands to adapt
and evolve to meet changing expectations.

The popularity of online shopping continues to rise among consumers, due to its
convenience, the greater selection of products being available online, the ability to
obtain more information about products through customer reviews, etc. According to
a recent report from Forrester Research, Inc. (2016), US online retail sales will
exceed $530 billion by 2020, up from $335 billion in 2015, with an average annual
growth rate of 9.3%. The number of online customers in the US is predicted to reach
270 million in 2020, up from 244 million in 2015. Not only will the number of
customers increase, but also the amount spent by each online customer is expected to
reach $2500 by 2020, a 7% annual increase from 2015. On the other hand, physical
store sales – still accounting for the majority of total retail sales – have an estimated
growth rate of just 2.8%, a far slower rate than the average rate of growth for the
overall industry (Business Insider Intelligence, 2017). This implies that while in-
store sales are still important, finding ways to exploit rising online sales, such as by
the addition of new channels or investing in cross-channel strategies by blending
online and offline channels, will be increasingly important.
10
Indeed, this is the recent evolutionary state of the retail industry. Lately, many
retailers (e.g., Bloomingdale’s, Barnes & Noble, Walmart) have transformed quickly
and embraced new strategies for integrating their online and offline channels to be
able to meet customers’ demand across different channels more efficiently. The
omni-channel (meaning “all channels”) approach is such a strategy that encourages
shopping across channels. It is a fully integrated approach that allows customers to
purchase products from anywhere and return them anywhere and allows retailers to
fulfill orders from anywhere, thus offering customers more flexibility and a unified
shopping experience. Currently, 91% of retailers either have or are planning to invest
in omni-channel technologies, while only four years ago, less than half of retailers
were pursuing an omni-channel approach (Carroll, 2018).

Omni-channel retailing unlocks tremendous opportunities for a retailer to leverage its

store network to support its online sales. Ship-from-store, which allows retailers to
fulfill an online order from a nearby store rather than from a fulfillment center (FC),
is one of the omni-channel implementations. Among several omni-channel
initiatives, ship-from-store is rated with the highest priority (18%) according to
retailers (Forrester Research, Inc., 2014), and about one of every three omni-channel
retailers adopted a ship-from-store program in 2016, according to Forrester Research
(Roggio, 2017). Stimulated by these observations, we study the order fulfillment
problem that an omni-channel retailer faces in ship-from-store implementation.
Retailers can benefit from ship-from-store in several ways. First, orders can be
shipped faster and often cheaper than shipping from FCs, as local stores are expected
to be closer to the customers than FCs. Second, it can positively impact gross
margins by preventing stores from marking down the price of a product, since store
inventory can be used to fulfill online full-priced orders. Moreover, retailers can
avoid online stock-outs by fulfilling orders from a store, which results in an increase
in sales and customers’ satisfaction (Pappas, 2014).

Motivated by its several benefits, we consider implementation of ship-from-store by

a retailer that sells seasonal products, such as a single-season fashion good, with long

11
manufacturing lead times relative to the selling season. Customers can buy this
fashion good (e.g., a shirt) through the online and store channels of the retailer, and
customers are expected to buy one unit of the product at their purchase. Due to the
differences in fulfillment processes for online and store customers, the cost of
handling these operations varies across different channels. For example, a store
customer chooses the shirt in the store and then takes it home immediately, while an
online order needs to be picked, packed, and shipped to the individual customer. In
the fashion industry, the orders from the manufacturer are placed several months
ahead of the season, so the initial inventory of the stores and the FC needs to be
determined in advance. With such seasonal fashion products, there is high
uncertainty in demand and only a single ordering opportunity. Having a mismatch in
supply and demand is a frequent problem in the fashion industry, which can
potentially lead to stock-outs and leftover inventory. Furthermore, shipping costs
caused due to uncertainties in locations of customers can have a huge impact on the
retailer’s profit. Thus, it is important for retailers to have an efficient fulfillment
policy to minimize the negative impacts of the uncertainties on profits, leftover
inventory, and stock-outs. The retailer can utilize its established store network to
support its online sales via ship-from-store implementation. However, this flexibility
complicates the fulfillment decisions of the retailer. More specifically, the retailer
now needs to decide from which location to fulfill online orders as they arrive, under
the uncertainty of demand and location of the customers. In this paper, we study this
fulfillment problem that an omni-channel retailer faces. This study aims to address
the following research questions:

1.
Given a fixed amount of initial store and online inventory, what should be the
optimal fulfillment strategy of a retailer that utilizes a ship-from-store
strategy?

2.

12
 What is the value of ship-from-store implementation in terms of total profits?
How does this implementation affect the retailer’s total sales, per unit
shipment costs, total number of stock-outs that the retailer observes, and
leftover inventory at the end of the selling season?

The contribution of our study can be summarized as follows. First, we capture a

stochastic dynamic decision structure faced by an omni-channel retailer by building a
finite horizon dynamic programming model. Second, we present the structural
properties of the optimal profit function and characterize the optimal order
fulfillment policy for the retailer that maximizes the retailer’s total profit gained from
total sales across all channels. We define a cost threshold policy to decide from
which location to fulfill online orders. Third, we present an optimal independent
channel fulfillment policy in which ship-from-store operations are not allowed. We
use this policy to provide insights for retailers on the value of ship-from-store
implementation and also to provide guidance for which circumstances ship-from-
store implementation creates more value to the retailers.

STEPS INVOLVED IN OMNI CHANNELS

• Creating pending list.

• Picker(order pickup).

• Quality check(new QC,i.e checking of size ean number)

• Packing.

• Recording tracking.

• Assign LSP and consignment,downloading of invoice and shipping

bill.

• Product packaging.

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 • Ready for dispatch.

• Making of NRGP(non returnable gate pass).

• Return/Exchange of orders.

• Inwarding orders of returned and exchange products(under RTO

AND RMO)

• Updating of return orders under RTO,RMA pannel

Fourth, since the implementation of the optimal cross-channel fulfillment policy for
large-sized problems is difficult, we present a myopic policy for ship-from-store,
which is currently in use in practice, and also propose an integrative fulfillment
policy that combines the strengths of myopic and independent fulfillment policies.
We perform numerical analyses to compare the performance of the two heuristics
and the optimal fulfillment policy relative to the independent channel policy. Our
computational results indicate that the proposed heuristic outperforms the myopic
and the independent channel fulfillment policies in terms of total profits and obtains
a solution in a reasonable amount of time (i.e., less than 1 minute per scenario) for
the problem instances that we consider.

Our study provides the following insights for the retailers: An optimal
implementation of ship-from-store does not hurt the profits of the retailer and
therefore is desirable, but it is not practical when many stores are included in the
implementation. On the other hand, a myopic implementation of the strategy may
hurt the retailer’s profit. Therefore, a smart and practical implementation of ship-
from-store is required to enjoy the benefits of the strategy. The value of ship-from-
store implementation increases as (i) the inventory level of a store deviates from the
expected demand of that store and (ii) the arrival rate of online customers increases.
Moreover, an optimal implementation of ship-from-store becomes more desirable

14
when the (expected) net profit margin difference between online and ship-from-store
fulfillment options decreases and when the distance of the FC to customers increases.
Operating the channels independently is optimal when inventory in every store is
very low compared to their respective expected demand. In these cases, it is best to
fulfill all online demand from the FC. Myopic policy is optimal when inventory in
every store is plenty. In these cases, it is best to fulfill an online demand from the
closest fulfillment location having positive inventory. As a result of putting the
correct policy into implementation, our proposed heuristic also achieves optimality in
these cases.

The remainder of this paper is structured as follows. In Section 2, we review the

related literature. In Section 3, we describe the omni-channel fulfillment model and
characterize the optimal cross-channel fulfillment policy. Section 4 presents the
independent channel fulfillment policy and discusses the value of ship-from-store.
Section 5 presents myopic policy and our proposed heuristic method, while Section 6
discusses the computational results. Finally, our conclusions are outlined in
Section 7.

OMNI-CHANNEL-SHIP FROM STORE

15
One of the recent trends in omni-channel retailing is ship-from-store which allows a
retailer to fulfill online orders by using inventory from a nearby store. The benefits of
this fulfillment model include faster delivery, lower shipment costs, higher in-stock
probability, increased sales and customer satisfaction, etc. Despite its many benefits,
this fulfillment model introduces many new operational challenges to the retailer,
including the need to identify from which location to fulfill an online order when it
arrives. In this study, we consider a retailer having both online and store operations,
with each channel carrying its own inventory. Store orders are fulfilled from store
inventories, whereas an online order can be shipped either from an online fulfillment
center or from any other store that maximizes the retailer’s overall profit. Our study
investigates dynamic fulfillment decisions: from which location to fulfill an online
order when it arrives. We incorporate the uncertainty both in demand and in the cost
of shipment to individual customers to characterize the optimal cross-channel
fulfillment policy. Due to the optimal policy being computationally intractable for
large-sized problems, we construct an intuitive heuristic policy to guide the retailers
in their fulfillment decisions. We find that the proposed heuristic method is effective
and obtains solutions within a reasonable amount of time for the cross-channel
fulfillment problem.
16
Arvind Fashions , India’s largest retail chain, was established in 1991 by K Raheja
Corp Group. Arvind Fashions started its first modern retail store at Andheri, a
suburb in Mumbai, and sold only men’s wear. 3 Since its inception, it witnessed
immense growth, leading to an increase in the number of outlets as well as its total
workforce. In 2017, Arvind Fashions had 80 stores in 38 cities. 4 Initially, Arvind
Fashions focused on a single format, which contributed to operational metrics and
higher profitability. Later, Arvind Fashions adopted new formats such as
hypermarkets and specialty stores, with each new format planned as a separate
business unit (SBU). The company had gross retail sales value of about ₹40
billion5 in the year 2016–2017 with overall employee cost of about 7 per
cent6 (see Table 3 for detailed financial highlights). However, at the same time, the
company had to compete with several other players in the fashion retailing. Table
4 provides the information about major fashion retailers in India. It can be noted that
there are several fashion retailers with a significantly higher retail presence than
Arvind Fashions .

Arvind Fashions was recognized for its superior quality products, services and for
providing a complete shopping experience. In fact, Arvind Fashions was considered
as a benchmark for the Indian retail industry due to its increased focus on expertise

17
and quality.7 Arvind Fashions was positioned as a premium lifestyle departmental
store and sold a variety of products in both apparel (for men, women and children)
and non-apparel segments (personal accessories, perfumes, cosmetics, watches,
etc.).8 Arvind Fashions ’s vision was: ‘To be an inspirational and trusted brand,
transforming customer’s lives through fashion and delightful shopping experience
every time’.9 The vision statement had a distinct meaning for different stakeholders
such as customers, employees, shareholders, society, etc. ‘For customers, Arvind
Fashions aspired to be the customer’s favorite shopping destination. A brand the
customer can trust’.10 Arvind Fashions designated every employee across the
company as a Customer Care Associate (CCA) to emphasize that every employee
was dedicated to serving customers.11

Use of Social Media in Influencing Consumer Purchase

Empirical research (Mai et al., 2016) shows that social media information’s quantity,
quality and credibility positively influence the perceived usefulness of an information
source and intention to use it in future. Apparel retail companies employ social media

18
platforms, especially Facebook, to communicate and interact with their customers,
and enhance their relationship with them. However, the appropriateness of a
particular social media channel depends on the customer’s age. For example, Rahul
Jain, co-founder of eCraftIndia, says that ‘For our brand we found Facebook to be
more influential but for many brands Instagram has been giving better results. It all
depends on product segment brand is targeting. For young crowd, aged between 14
and 30 years, Instagram has become much popular then Facebook. For our brand
where we are targeting people above 25 years of age, specially married people, we
are getting better results from Facebook’ (Kazi, 2020). Further, social media
communication may have a greater impact on customer satisfaction than other forms
of communications. For example, a recent study found that customers experience a
higher level of satisfaction when communicating via social media versus by phone.12

OMNI CHANNEL-SHIP FROM STORE

The Omni Channel Ship From Store Strategy Refers To The Use Of Physical Store
Inventory To Fulfill Orders Made Through Digital Channels,With The Store Itself
Responsible For Fulfillment,Namely For Picking And Pacakging,And For Sending
The Purchase.It Is A Multichannel Approach To Sale That Seeks To Provide
Customers With A Seemless Shopping Experience,Wheather They Are Shopping
Online From A Desktop Or Mobile Device,By Telephone,Or In A Brick And Mortar
Store

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The Sprout Social Survey data (Barnhart, 2019) reveal the significance of social
media in recommending a brand to customers’ networks. According to the survey, 78
per cent customers discuss a particular brand with friends and family, and the same
percentage of customers recommend that particular brand to friend and family.
Echoing with this, Alisha Malik, VP marketing Metro Shoes says that ‘Instagram has
become the most influential platforms for us. We have grown significantly in the past
2 years. Influencers on Instagram are very popular. This has started to give us good
organic conversions as well’ (Kazi, 2020). Further, nearly 53 per cent customers
engage with brands on social media, as per the Sprout Social Survey data (Barnhart,
2019).

Customer service concerns are one of the major reasons that consumers engage with
retailers on social media and companies can gain significantly by equipping
themselves to handle such concerns. Effective social media strategy for retail means
listening and responding to customer complaints with care, including personalized
replies, in a timely manner. This requires dedicating time for providing customer
service on social media with ‘one-size-fits-one’ approach. For example, 60 per cent
customers expect a personalized response within an hour (Barnhart, 2019).

20
While about 47 per cent and 40 per cent customers reach out to brands on social
media when they have a question related to product or service and when they have a
bad experience, respectively (Barnhart, 2019), customer service goes beyond
addressing questions and complaints and it also includes highlighting customers’
positive experiences on social media. Any customer review less than 5 stars is
undesirable and a well-rounded social media strategy for retail can convert that
negative review into a positive one. Thus, social media for retail can be useful in
both addressing the complaints of existing customers and discovering new
customers. Also, for an effective social media strategy, omnichannel social presence
is recommended.

21
Talent Management Philosophy and Human Resource Initiatives

As on January 2018, Arvind Fashions ’s employee strength was about 14,000 and
more than 80 per cent of its employees were at the front-end roles (Choudhury,
2015). The company’s talent management philosophy was based on the principles of
development and inspiration. This resulted in employees developing a deep sense of
belongingness and loyalty (Choudhury, 2015). Arvind Fashions ’s vision for
employees was: ‘For employees (i.e., ‘Customer Care Associates’), a great place to
work where associates feel respected and inspired to contribute their best’. 13 While
22
Arvind Fashions had no formal employee value proposition (EVP) which explicitly
focused on job seekers, its career page mentioned: ‘Welcome to Arvind Fashions ! A
world full of challenges, learning, excitement and fun’. 14 Arvind Fashions promised
growth and development to its employees and focused on hiring people who were
passionate, adaptable, self-motivated, team players and reflected the Arvind Fashions
’s mission statement—‘Nothing but the best’15 (see Arvind Fashions ’s career page).
Arvind Fashions ’s compensation structure was relatively better than other fashion
retailers operating in India. For instance, at Arvind Fashions , the annual salary for a
department manager was ₹383,49116 while Future Group17 offered an annual salary
of about ₹333,78018 for the same position. Average salary figures at different
employee levels at Arvind Fashions are given in Table 5.

Arvind Fashions had a campus programme called ‘Campus Guru Challenge’, in

which students from leading colleges were invited to compete on relevant and
contemporary business case studies and present their recommendations to a panel of
retail experts.19 Arvind Fashions aimed to be a ‘desired employer’ for students and
thus build a talent pool for the future. In the recruitment process, potential candidates
were assessed on aspects such as their cultural fit, functional capabilities and career
goals.20 Arvind Fashions austerely looked for a right match between the
organization’s mission, vision and values on the one hand and the personality
dimensions, professional orientation and growth expectations of prospective
employees on the other. This was done to avoid employee dissatisfaction and
disengagement and to improve employee retention and achieve superior performance
and higher organizational citizenship behaviour. The company had a very strong
referral policy that formed nearly 60 per cent of its overall hiring. 21 To facilitate
better communication with employees, Arvind Fashions created an in-house intranet
platform named Spandhan22 through which the senior management and HR personnel
regularly interacted with teams across the country. The company’s quarterly
publication titled ‘Re-Tale’ recognized outperformers and highlighted key initiatives
and future plans. Through the BindasBol23 initiative, front-end staff were encouraged

23
to freely share their complaints, concerns, feedback and suggestions on how the
company could improve its processes.24

Productivity Metrics and Employee Satisfaction

Arvind Fashions used three indicators to measure the efficiency of its operations
which focused on space, inventory and labour. First was ‘gross margin on inventory’
(GMROI) that helped in optimizing inventory levels; second was ‘gross margin
returns’ on floor space (GMROF) that helped in maximizing the cash margins; and
third was ‘gross margin returns on labor’ (GMROL) that assisted in increasing labour
productivity25 (Table 6 presents the 5-year trend on these three metrics). Arvind
Fashions monitored associates’ satisfaction level with their job and work through
the associates satisfaction index (ASI) survey which was conducted annually through
the online medium.26 Overall, the index steadily increased from 4.12 in 2012 to 4.21
in 2014 and 4.40 in 2016. Arvind Fashions organized 25,386 hours of training in
2016–2017 for its associates compared to 23,050 training hours in 2015–2016.27

24
Using the company’s presence in ‘best employer’ survey ranks as a measure for its
employer brand strength, Arvind Fashions had a good employer brand. However,
deeper examination revealed that Arvind Fashions Shop had done relatively better on
employees’ perception-based survey ranks than in ranks based on job seekers’
perception; for instance, the company was listed as one of India’s Best Companies to
Work For in 2014 (rank 27th out of 100) and 2015 (rank 42nd out of 100) by the
‘Great Place to Work’ (GPTW) Institute.28 The GPTW Survey (an annual release)
measured companies on two important aspects: trust and culture. The ‘trust’ aspect
covered credibility, respect, fairness, pride and camaraderie, which were measured
through 57 statements. The ‘culture’ aspect covered organizational culture and
people practices.29 The GPTW survey invited companies to participate and
employees of the selected companies participated in the survey. In comparison,
Arvind Fashions was ranked 74th (out of 100) in 2017 and 83rd (out of 100) in
2016 in Universum’s ‘India’s Most Attractive Employers by Business and
Commerce students’.30 Universum Survey31 was based on job seekers’ perception
about their ideal employer. For ranking companies, Universum asked a series of
questions to prospective job applicants following the funnel approach (i.e.,
awareness, consideration, desire and application). Some questions were, ‘Are you
aware of the employers in your interest areas?’ ‘For which of the employers would
you consider working?’ ‘Choose the five employers you most want to work for’ and
‘Have you applied or will you apply to these employers?’32

Further, on Glassdoor,33 employees gave Arvind Fashions lower ratings than

companies with higher ranks in ‘best employer’ surveys. Arvind Fashions ’s overall
rating on Glassdoor was 3.4 with the highest score for culture and values (3.7),
followed by career opportunities (3.5), and relatively low scores for compensation
and benefits (3.0). Only 77 per cent of employees recommended Arvind Fashions to
a friend34 (see Table 7). Arvind Fashions ’s ratings on Glassdoor were based on 126
current and previous employees’ reviews. In contrast, Flipkart (33rd rank in
Universum Survey in 201735) and Hindustan Unilever (37th rank in Universum
Survey 201736) had overall Glassdoor ratings of 4 and 3.9, respectively, and

25
employee recommendation of 84 per cent and 82 per cent, respectively.37, 38 Similarly,
Oberoi Hotels and Resorts, which was ranked 21st in GPTW Survey 2017, 39 had an
overall rating of 4.2, and 77 per cent employees recommended it as a preferred
employer on Glassdoor.40

The India Retail Industry is the largest among all the industries, accounting for
over 10 percent of the country GDP and around 8 per cent of the employment.
The Retail Industry in India has come forth as one of the most dynamic and fast
paced industries with several players entering the market. But all of them have
not yet tasted success because of the heavy initial investments that are required
to break even with other companies and compete with them. The India Retail
Industry is gradually inching its way towards becoming the next boom industry.
The total concept and idea of shopping has undergone an attention drawing
change in terms of format and consumer buying behaviour, ushering in a
revolution in shopping in India. Modern retailing has entered into the Retail
market in India as is observed in the form of bustling shopping centres, multi-
storied malls and the huge complexes that offer shopping, entertainment and
food all under one roof. A large young working population with median age of
24 years, nuclear families in urban areas, along with increasing working women
population and emerging opportunities in the services sector are going to be the
key factors in the growth of the organized Retail sector in India. The growth
pattern in organised retailing and in the consumption made by the Indian
population will follow a rising graph helping the newer businessmen to enter the
India Retail Industry. In India the vast middle class and its almost untapped
retail industry are the key attractive forces for global retail giants wanting to
enter into newer markets, which in turn will help the India Retail Industry to
grow faster. retail is expected to grow 25 per cent annually. Modern retail in
India could be worth US$ 175-200 billion by 2016. The Food Retail Industry
in India dominates the shopping basket. The Mobile phone Retail Industry in
India is already a US$ 16.7 billion business, growing at over 20 per cent per
year. The future of the India Retail Industry looks promising with the growing
26
of the market, with the government policies becoming more favourable and the
emerging technologies facilitating operations.

India's overall retail sector is expected to rise to US$ 833 billion by 2013
and to US$ 1.3 trillion by 2018, at a compound annual growth rate
(CAGR) of 10 per cent. As a democratic country with high growth
rates, consumer spending has risen sharply as the youth population (more
than 33 percent of the country is below the age of 15) has seen a
significant increase in its disposable income. Consumer spending rose
an impressive 75 per cent in the past four years alone. Also,
organised retail, which is pegged at around US$ 8.14 billion, is expected
to grow at a CAGR of 40 per cent to touch US$ 107 billion by 2013. India
is the country having the most unorganized retail market.

27
 Traditionally it is a family livelihood, with their shop in the front and
house at the back, while they run the retail business. More than 99%
retailers function in less than 500 square feet of shopping space. Global
retail consultants KSA Techno-park have estimated that organized
retailing in India is expected to touch Rs 35,000 crore in the year 2005-06.
The Indian retail sector is estimated at around Rs 900,000 crore, of which
the organized sector accounts for a mere 2 per cent indicating a
huge potential market opportunity that is lying in the waiting for the
consumer-savvy organized retailer.

Purchasing power of Indian urban consumer is growing and branded

merchandise in categories like Apparels, Cosmetics, Shoes, Watches,
Beverages, Food and even Jewellery, are slowly becoming lifestyle
products that are widely accepted by the urban Indian consumer.
Indian retailers need to advantage of this growth and aiming to grow,
diversify and introduce new formats have to pay more attention to the
brand building process. The emphasis here is on retail as a brand rather

28
than retailers selling brands. The focus should be on branding the
retail business itself. In their preparation to face fierce competitive
pressure, Indian retailers must come to recognize the value of building
their own stores as brands to reinforce their marketing positioning, to
communicate quality as well as value for money. Sustainable
competitive advantage will be dependent on translating core
values combining products, image and reputation into a coherent
retail brand strategy. There is no doubt that the Indian retail scene is
booming. A number of large corporate houses Tata, Raheja, Piramal
and Goenka have already made their foray into this arena, with beauty
and health stores, supermarkets, self-service music stores, new age book
stores, every-day-low-price stores, computers and peripherals stores,
office equipment stores and home/building construction stores. A
warehouse is a commercial building for storage of goods. Warehouses
are used by manufacturers, importers, exporters, wholesalers, transport
businesses, customs, etc. maintain an automated, small-footprint retail
store. Consumers select products using a touch screen interface, pay for
purchases using a credit or debit card and then the product is dispensed,
sometimes via an internal robotic arm in the machine.

Big-box stores
A big-box store (also supercenter, superstore, or megastore) is a
physically large retail establishment, usually part of a chain. The term
sometimes also refers, by extension, to the company that operates the
store. The store may sell general dry goods in which case it is a
department store, or may be limited to a particular specialty (such
establishments are often called "category killers") or may also sell
groceries, in which case some countries use the term hypermarket.

29
Omnichannel allows retailers to achive more availability,drive sales and traffic,and
integrate digital touchpoints

Convenience store
A convenience store, corner store, corner shop, or bodega (in Spanish-
speaking areas of the United States), is a small store that stocks a
range of everyday items such as groceries, toiletries, alcoholic and
soft drinks, tobacco products, and newspapers. Such stores may also
offer money order and wire transfer services. They differ from

30
31
 Chapter -II
Literature Review
(Asmare and Zewdie 2021; Brynjolfsson, Hu, and Rahman 2013; e-Commerce
Logistics emerged in the 1990ʹs when the Internet was opened for commercial use.
Retailers and online marketplaces such as Amazon started to sell online, directly to
consumers. The trend over the last 10 years has been for store-based retailers to
become multichannel (Zhang et al. 2010) and, lately, omni-channel Hänninen, Kwan,
and Mitronen 2021; Verhoef, Kannan, and Inman 2015). Worldwide, retail e-
commerce sales in 2020 corresponded to 4,280 billion US dollars with an impressive
annual growth of 22 per cent during the last 5 years. The e-commerce share of total
global retail sales was 18 per cent in 2020, doubling from 8.6 per cent in 2016.

Bendoly, Blocher, Bretthauer, and Venkataramanan (2007) discovered : We

first discuss previous studies on online and omni-channel retailing that are
relevant to our study. There exist several papers that study cross-channel
interactions for fulfillment of online sales. Among these papers, investigate
settings where either all or none of the retail stores handle online fulfillment, and
they build models that integrate cross-channel inventories for fulfillment of online
sales. The authors mainly focus on a

An omni-channel fulfillment model

We consider a retailer that sells a seasonal product through both its online and
offline (store) channels. There exist no stock replenishment opportunities during
the selling season, due to the presence of a long lead time. The retailer’s
fulfillment network may consist of multiple stores that support offline sales and
multiple FCs that support online sales. We focus on a special case of the problem
with multiple stores, each serving a different region, and one FC. We build a
discrete-time,

A Benchmark Policy: Optimal Independent Channel Fulfillment Policy

(OICFP)

One of the most common current practices in the retail industry is to operate
multiple (e.g., online and offline) channels separately. In this policy, the retailer
32
dedicates the FC to online demand and store inventories to in-store demand. Thus,
these two channels are managed independently such that there exists no inventory
sharing and no interaction among the channels. In this section, we consider the
independent channel fulfillment policy as a benchmark to evaluate the value of
OCCFP in

Heuristic policies

Dynamic programming models are usually difficult to solve for large instances due
to their curse of dimensionality. In our model, as the number of stores, number of
periods, and inventory levels increase, obtaining the optimal value function and
therefore determining the optimal cross-channel fulfillment policy become
computationally intractable. Based on our analyses in the following section
(Section 6), we find that OICFP obtains a solution in a reasonable amount of time for
large-sized

Computational Study

In this section, we present the results of our computational study. More specifically,
we discuss the performance of the four policies described above and evaluate the
value of ship-from-store implementation in terms of profit, total sales, number of
stock-outs, and leftover inventory levels.

Xiao, Liu, and Zhang (2012) describe e-commerce as a process consisting of

information, capital, business, and logistics flows. e-Commerce logistics can be
briefly described as the physical flow of merchandise from the supply source to the
consumer considering reverse logistics as well. Furthermore, Xiao, Liu, and Zhang
(2012) argue that logistics practices are important since they involve the physical
flow, and Delfmann, Albers, and Gehring (2002) likewise highlight the considerable
importance of e-commerce logistics, calling it the ‘backbone’ of e-commerce
operations. Retailers provide seamless consumer experience in omni-channel
retailing by integrating their physical stores and online channels. The consumer

33
might place an order online, receive the product at home, and return the product in
the store. Omni-channel logistics covers the physical flow of merchandise from the
supply source to the consumer as well as the reverse logistics no matter where the
consumer decides to receive or pick up the product and potentially return the product
(Bernon, Cullen, and Gorst 2016; Hübner, Holzapfel, and Kuhn 2016; Kembro,
Norrman, and Eriksson 2018). Cao’s (2014) case study identifies logistics as one of
the biggest omni-channel challenges. Getting the logistics right is, in other words,
important in e-commerce and omni-channel retailing. Omni-channel logistics is,
according to Hänninen, Kwan, and Mitronen (2021), Hübner, Holzapfel, and Kuhn
(2016) and Kembro and Norrman (2019), a complex and emerging under-researched
area, especially considering the magnitude of e-commerce sales growth and the
increased focus on delivering seamless omni-channel experiences. Cai and Lo (2020)
claim that the main path of omni-channel and e-commerce logistics is complicated
and that the e-commerce logistics literature is scattered.

Systematic literature reviews (SLR’s) have gained popularity within the logistics
literature and play an important role in providing an overview of the field (Durach,
Kembro, and Wieland 2017). However, recent SLR’s within e-commerce logistics
have narrow scopes, such as last mile delivery (LMDe) (Lim, Jin, and Srai 2018),
sustainable last mile delivery (Anosike et al. 2021; de Mello Bandeira et al. 2019),
warehousing (Binos, Adamopoulos, and Bruno 2020; Jaghbeer, Hanson, and
Johansson 2020), returns (de Borba et al. 2021), city logistics (He 2020) and
fulfilment (Taylor et al. 2019). There exist a few e-commerce logistics literature
reviews, worthwhile highlighting are those by Agatz, Fleischmann, and van Nunen
(2008) and Galipoglu et al. (2018), the latter covers articles until mid-2016. Cai and
Lo’s (2020) and Raza and Govindaluri’s (2021) SLR’s, with wider omni-channel
management scopes, are also worth highlighting even though they cover logistics
briefly, as one of the several research domains. It would therefore be beneficial to
perform an SLR on e-commerce logistics to consolidate the fragmented body of
literature.

34
At the same time, retail logistics executives are testing new practices as they face
new phenomena and market dynamics (Grant, Banomyong, and Gibson 2021;
Kembro and Norrman 2020). Ketchen, Kaufmann, and Carter (2021) call for
configuration studies that can improve retail logistics manager decision-making by
increasing our understanding of when and where a certain configuration fits. It is
therefore beneficial to create a decision framework that can serve as a basis for
configuration research. According to Sabri, Micheli, and Nuur (2017), literature
reviews serve best in developing conceptual frameworks for configuration fit.

Given the rapid e-commerce growth with omni-channel retailing as a ‘new normal’
for previously store-based retailers in combination with the importance of logistics in
omni-channel retailing, the increased logistics complexity, no recent e-commerce
logistics SLR and trial-and-error in retail executives lead to the following purpose:
to synthesize the contemporary e-commerce logistics literature and to develop a
logistics decision framework.

Given the lack of recent SLR’s on e-commerce logistics, as well as the accelerated
ecommerce sales growth resulting from the increased interest in contactless shopping
post-pandemic, the following research question (RQ) is proposed:

RQ1 : How has the contemporary e-commerce logistics literature evolved?

The often-experimental retail executive approach to more and more complex e-

commerce and omni-channel logistics highlights the benefits of developing a
logistics decision framework to cover the main e-commerce logistics decision
elements with alternatives. Hence, the second research question is developed as
follows:

RQ2 : What are the main logistics decision elements?

It is obvious that forward distribution flow is not enough to define e-commerce

logistics according to Hübner, Holzapfel, and Kuhn (2016), Hjort et al. (2019) and de
Borba et al. (2021). It is also necessary to consider the backward distribution

35
flow – the reverse logistics (RL) – initiated when a consumer decides to return a
product. Combining forward and reverse logistics themes produces the conceptual e-
commerce logistics model used in this SLR (Figure 1).

AV Birla Group
Currently, there are over 575 supermarkets and 12 hypermarkets. All
the supermarkets are branded 'More.' and the hypermarkets are branded
'More Megastore'. The company has over 11,000 employees and has a
pan-India presence more supermarkets are neighbourhood stores with
the core proposition of offering value, convenience and trust to the
customers and averaging 2,500 square fit areas. The hypermarkets are
self-service superstores offering value and range in food and non-food
products and services at a single location. Hypermarkets are located in
large catchment areas and encourage mass consumption with
discount prices and substantial depth of assortment with an average
store size of
55,000 square fit shopping area. Within a short span of less than three
years, more has more than one million members as part of its loyalty
programme. More has also launched a huge range of private labels in
food and grocery, staples and apparel which
have already obtained a significant share of category as well as salience
with the consumer. It has a strong presence in apparel retail and owns
renowned brands like Allen Solly , Louis Phillipe , Trouser Town,
Van Heusen and Peter England. The company has investment plans to the
tune of Rs 10000 – 12000 crores till 2014.
Trent
It is a subsidiary of the Tata group it operates lifestyle retail chain, book
and music retail chain, consumer electronics chain etc. Trent is a retail
operations company that owns and manages a number of retail chains
36
in India. Established in 1998, Trent runs lifestyle chain Westside, one
of India’s largest and fastest growing chains of lifestyle retail stores, Star
Bazaar, a hypermarket chain, Landmark, books and music chain,
and Fashion Yatra, a complete family fashion store. Westside, the lifestyle
retail chain registered a turnover of Rs 4.58 million in
2014.
Landmark Group
Founded in 1973 in Bahrain, the Landmark Group has successfully
grown into one of the largest and most successful retail organizations in
the Middle East and India. An international, diversified retail and
hospitality conglomerate that encourages entrepreneurship to
consistently deliver exceptional
value, the Group operates over 1300 outlets encompassing over

20 million square feet across the GCC, India, Egypt, Turkey, Jordan,
Lebanon, Yemen, Sudan, Kenya, Libya, Nigeria and Pakistan. The
Group employs over 40,000 people and invested Rs. 400 crores to expand
Arvind Fashions chain, and Rs100 crores on CityArvind Fashions 3
star hotel chain. Lifestyle International is their international brand
business. Landmark Group has successfully grown into one of the largest
and most successful retail organizations in the Middle East and India.

K Raheja Corp Group

The K. Raheja Corp Group is recognized as one of India's biggest
retail houses. The group’s flagship brand Arvind Fashion’s is spread
across the country and has more than 10n branches. Arvind Fashion’s
is the only member of the Intercontinental Group of Departmental
Stores (IGDS). The IGDS is an organisation that consists of 30

37
experienced retailers from all over the world. K Raheja has a turnover of
Rs8.75 billion which is expected to cross US$150 million mark by 2014.
Segments include books, music and gifts, apparel, entertainment etc.
Reliance
Reliance Retail Limited (RRL) is a subsidiary of Reliance Industries
Limited under Mukesh Ambani is Reliance Group’s foray into organized
retail. RRL is based on the growth strategy
of backward integration, and it generates inclusive growth and prosperity
for farmers, vendor partners, small shopkeepers and consumers. RLL is
the second largest retailer in India. Its retail outlets offer foods, groceries,
apparel and footwear, lifestyle and home improvement products,
electronic goods, and farm implements and inputs. The company’s
outlets also provide vegetables, fruits, and flowers. Reliancehas more
than 300
Reliance Fresh stores, they have multiple formats and their sale is
expected to be 120,000 crores.

Pantaloons
Pantaloons Retail has 450 stores across the country and revenue of over
Rs. 20 billion and is expected to touch 30 million by

38
2010. Segments include Food & grocery, e-tailing, home solutions,
consumer electronics, entertainment, shoes, books, music & gifts, health
& beauty care services.

Provogue
Provogue was incorporated on November 1997 as Acme
Clothing. It is engaged in retailing of apparels and accessories in men
and women segment. The company launched its brand ‘Provogue’
in March 1998.The name was changed to present one on March
2005. Company’s brands are retailed through leading national chain
stores such as Arvind Fashion's , Lifestyle, Globus, and Westside etc.
Total Income - Rs. 5842.972 Million (year ending Mar 2011) Net Profit -
Rs. 334.054 Million (year ending Mar 2011).

Raymond Limited
Raymond was incorporated in 1925 and is a leading Indian textile
major. The company is part of global conglomerate Raymond Group.
Raymond was the first in 1959 to introduce a polywool blend in India to
creating the world's finest suiting fabric the Super 240s made from the
superfine 11.6 micron wool. Total Income - Rs. 19590.372 Million
(year ending Mar
2012).

Arvind Limited
Arvind Limited started in the year 1931. With the aim of manufacturing
the high-end superfine fabrics Arvind invested in very sophisticated
technology. With 52,560 ring spindles, 2552 doubling spindles and 1122
looms it was one of the few companies in those days to start along

39
with spinning and weaving facilities in addition to full-fledged
facilities fordyeing, bleaching, finishing. Total Income - Rs. 36724.9
Million
(year ending Mar 2012).

Arrow Textiles
Arrow Textiles was incepted in 1983 as Arrow Webtex. It has been
manufacturing elastic and non-elastic tapes. The company has grown
steadily and gradually, expanding its capabilities as a garment trim
supplier by adding woven labels and printed labels in 1992.
Merchandisers require that suppliers of trims have many qualities. To
witness quick turnaround of samples, perfect colour matching, colour
fastness. Total Income - Rs. 296.647315
Million(year ending Mar 2011) .Net Profit - Rs. 13.745621
Million (year ending Mar 2011).

Subhiksha
Subhiksha is a Chennai based decade old, no frills, food, grocery,
pharma and telecom, discount retail chain. ICICI Venture Capital holds
24% in the equity capital of Subhiksha. It has more than 500 stores
across the country covering a retail space of more than 1 million sq. ft.
with a registered turnover of Rs 3.34 bn in 2006. It has a planned
investment of Rs. 300 Cr. to ramp up its operations to 1200 stores by
2008.

Bharti-Walmart
In Bharti WalMart plans include US$ 7 billion investment in

40
creating retail network in the country including 100 hypermarkets
and several hundred small stores. They have signed a 50:50 percent
joint venture agreement with Wal-Mart. Wal-Mart will do the cash &
carry while Bharti will do the front-end.

RPG group

RPG group is One of the first entrants into organized food & grocery

retail with Food world stores in 1996 and then formed an alliance with

Dairy farm International and launched health & glow (pharmacy &

beauty care) outlets. Now the alliance has dissolved and RPG has

Spencer’s Hyper, Super, Daily and Express formats and Music World

stores across the country. RPG has 6 lakh sq. ft. of retail space and

has registered a turnover of Rs 5.5 billion in 2012. It is planning to

venture into books retail, with the launch of its own bookstores “Books

and Beyond” by the end of 2013. An IPO is also in the offering, with

expansion to 450+ Music World, 50+ Spencer's hyper outlets covering 5

million sq. ft. by 2012.

INDUSTRY VOLUME

The Indian retail industry is valued at $450 billion, with organized retail

cornering 4.5 %. The organized pie is expected to see a growth at a

CAGR of 37 %.

41
Size of the industry

By 2014 the organized Retail Sector in India is expected to triple its size.
The food and grocery retail sector is expected to multiply five times
in the same time frame. The market size of Indian retail industry is about
US $450 billion presently.
Output per annum
With growing market demand, the industry is expected to grow at a
pace of 25-30% annually.
Position in world market

Today India is the fifth largest in the world in terms of Retail

Industry
Market capitalization

In 2010 the retail trade accounts for 12 % of the country's GDP. The

42
present value of the Indian retail market is estimated to be around Rs.
22, 00,000 crore ($450 billion) and the annual growth rate is 5.7%.
CURRENT SCENARIO
The real GDP is expected to grow at 8 to 10 per cent per annum in the
next five years. As a result, the consuming class with annual household
incomes above Rs 90,000 is expected to rise from about 370 million in
2006-07 to 620 million in 2011-12. Consequently, the retail business in
India is estimated to grow at
Table 3. Arvind Fashions ’s Financial Highlights

2016– 2015– 2014– 2013– 2012–

Profitability Statement
2017 2016 2015 2014 2013
Income
Gross retail sales 400,096 371,545 340,613 305,215 256,050
Less: Value added tax 19,073 17,969 16,095 14,582 12,074
Gross retail sales (net of taxes) 381,023 353,577 324,517 290,633 243,977
Other operating and miscellaneous
6,552 7,451 4,501 3,326 3,241
income
387,574 361,028 329,018 293,959 247,218
Expenditures
Cost of goods sold 270,576 231,245 207,806 188,096 159,065
Employee costs 27,350 24,552 22,703 20,445 16,106
Operating and administrative
89,464 83,583 79,351 70,017 58,973
expenses
367,390 339,380 309,860 278,557 234,145
EBIDTA 20,184 21,648 19,158 15,402 13,073
Interest and finance charges 3,820 3,786 3,621 2,886 1,899
Depreciation 11,553 9,856 8,581 6,178 5,075
Profit before tax before exceptional
4,812 8,006 6,956 6,338 6,100
items
Exceptional items 4,780 2,381 — 67 74
Profit before tax after exceptional
32 5,625 6,956 6,271 6,026
items
Profit after tax (–1,994) 2,288 4,074 3,700 3,917

43
Source: Arvind Fashions , Annual Report 2016–2017, 28, https://corporate.Arvind
Fashions .com/uploaded_files/ccad0e2-bdd3.pdf
Notes: Figures have been regrouped for presentation and calculation purpose.
Figures pertaining to current and previous year have been stated as per Indian Accounting
Standard requirement and not comparable with earlier years to that extent.

OPEN IN VIEWER

Table 4. Major Fashion Retailers in India

Retailer Stores Cities Employees Revenue in USD billion

Reliance Retail 3,750 750 88,000 7
Future Group 2,000 400 35,000 3.5
Aditya Birla Fashion and Retail Limiteda 2,714 750 53,00 1.06
The Raymond Group 700 200 7,000 3
Trent 143 82 25,000 2.5
Arvind Fashions 80 38 15,000 0.4

The study also shows that the unorganized retail sector is expected to grow
at about 10 per cent per annum with sales rising from USD 309 billion
in 2006-07 to USD 496 billion in
2011-12.

The turnover for retail trade measured in current prices increased by

1.8 percent from July 2011 to July 2012. Retail trade for consumables
(such as goods sold in department stores and specialized grocery stores)
showed an increase of 2.4 percent while durables (such as clothing stores,
furniture stores, second-hand goods stores and mail order houses) increased
by
1.2 percent.

The retail trade sales volume increased by 0.3 percent from June

44
2012 to July 2012. During the last three-month period (May to July), the
sales volume decreased by 0.1 percent compared to the previous three-
month period (February to April).
FDI in retail

The government has cleared the most awaited reforms allowing up to 51 per
cent in Foreign Direct Investment (FDI) in multi-brand retail, paving way
for the international multi-brand retailers interested to set up shop in India.
ORGNISATION AND PRODUCT PROFILE
Company History
About land mark group
Founded in 1973 with a single store in Bahrain, the Landmark Group has
successfully grown into one of the largest and most successful retail
organisations in the Middle East. An international, diversified retail
conglomerate that encourages entrepreneurship to consistently deliver
exceptional value, the Group operates over 1,200 outlets encompassing
a retail presence of over 18 million square feet across the GCC,
Jordan, India, Egypt, Turkey, Lebanon, Kenya, Sudan, Yemen,
Libya, Nigeria and Pakistan. The Group employs over 40,000 employees.
The Landmark Group provides a value-driven product range for the entire
family through a diverse portfolio of core retail brands. Centrepoint (a
destination bringing together the Group’s core retail brands), Babyshop (one-
destination for kids between 0-16 years) Shoe Mart (multi-brand
footwear and

45
accessories store) Splash (multi-brand fashion retailer) Lifestyle (home
décor, fashion accessories, beauty products, gifts and much more)
Beautybay (beauty, health and well-being store); Iconic (fashion, art,
make up, salon, café, and gadgets); Home Centre (a complete home
experience) Q Home Décor, (premium home ware, furniture and home
accessories store), Candelite (snacks and confectionery store) and
EArvind Fashions (large format electronics store). Landmark
International (a division that includes international franchise brands New
Look, Koton, Reiss and Lipsy) Shoe Mart International Footwear
Division (a division that includes franchise footwear brands Kurt
Geiger, Ecco, Pablosky, Dumond, Nose, Radley, Foot Solutions, Steve
Madden and Carpisa). The Group also includes value retail brands such
as Arvind Fashions (value fashion and footwear store) and Shoexpress
(value footwear and accessories store). The offerings have evolved to be
the preferred choice for consumers and positioned as ‘category killers’.
An international retail company that grows with its customers, the
Group continues to capture greater market share in the Middle East.
As it ventures into new markets, the company remains focused on the
needs of its customers. Quality for Landmark is not a question of price.
Across its retail concepts, the company strives to provide value at every
price point, a strategy that has helped the Group achieve a consistent
annual growth rate of 23 per cent. The Group was awarded the Retail
Company of the Year at the Arabian Business Awards in 2010,
Business Excellence award in the Re-export category at the Mohammed
Bin Rashid Al Maktoum Business Awards 2008 & 2010, Retailer of the
Year at the Retail City Awards 2008, the Middle East Retailer of the Year
at the Retail Middle East Awards in 2007 and 2008, the Most Admired
Middle East Retailer of the Year and the Most Admired Retail
46
Company of the Year at the Retail Middle East Awards 2011.
Besides retail, the Group has also diversified into leisure, food and
hotels segments with Fun City (chain of indoor entertainment centres
for children and teens); Foodmark (a division that includes franchise
and joint venture brands such as Mango Tree, Mango Tree Bistro,
Carluccio’s, Chi’ Zen, Max’s, The Meat Company, Tribes, La
Gaufrette, Bazerkhan and Ushna; as well as the home-grown brand Wild
Ginger and Zafran), Spaces (grooming and relaxation centres),
Balance Wellbeing 360 (includes holistic Wellness Club and Balance
Café), CityArvind Fashions Hotels (comfortable budget hotels) and
Fitness First (fitness and wellness centres) and iCare Clinics (Primary
healthcare clinics for the family).The Landmark Group has also
created a comprehensive infrastructure including its own logistics
and distribution division to support its retail operations. Landmark’s
Logistics and Re-distribution Centre is one of the largest privately
owned and operated re-distribution centres in the Jebel Ali Free Zone.
It handles up to 56,000 containers on an annual basis and is spread across
a sprawling 3.1 million square feet, equipped with state-of-the-art
systems.

A company that is founded on sound ethical fundamentals, the Group

also seeks opportunities to contribute to the societies and
communities where it operates Responsibility (CSR) is not merely
about charity, but also about playing a more responsible part in the
society, be it within the organisation or towards its stakeholders,
environment, society and the world at large.

In 2009, the Landmark Group adopted diabetes awareness as part of its

47
long term CSR initiative. An initiative that aims to increase awareness
amongst people regarding the condition, Beat Diabetes was kicked
off in the UAE. Today ‘Beat Diabetes’ has a presence seven
countries namely UAE, Kuwait, Oman, Qatar, Bahrain, KSA and
India In 2011 over
35,000 people walked with the Group for the cause and free blood
glucose tests were conducted for over 40,000 people. In India, the
Group’s Chairman, Micky Jagtiani initiated the LIFE Trust
programme (Landmark International Foundation for Empowerment)
in 2000. LIFE focuses on rehabilitating the less fortunate through
various programmes and initiatives such as delivering non-formal
education in rural areas, setting up health centres in urban slums as
well as training centres for the underprivileged youth and imparting
life skills training.

48
49
Dubai based Landmark Group. The brand was launched in the UAE in
May 2004 with a unique concept of delivering international fashion &
value to the discerning Arvind Fashion.
Arvind Fashions was introduced in India with its 1st store in
Indore in 2006 offering apparel, footwear & accessories for the entire
family; for women, men, children including a fashionable range for
infants. With a great range of western & ethnic wear for the young
Arvind Fashion, it makes a perfect shopping destination for people for
all age groups.

Key Facts about ARVIND FASHIONS India

● Landmark Group (Dubai) launches the first Arvind Fashions
Store at Indore in March 2006
● Contemporary fashion at affordable prices.
● International design & ambience.
● Average Store size 18,000 sq. ft.
● Family store with core Target audience between 18- 35 yrs.
● 22 stores functional

VISION AND MISSION OF THE COMPANY

Vision

To create a truly global brand that provides growth opportunities for the
company and its employees, whilst achieving its goal of becoming the
number one value fashion retailer across the Middle East & India.
Mission
● Be a market leader in the field of value retailing.
● Provide fashionable products at affordable prices.

50
 ● Be innovative, cost effective and globally competitive.
● Exceed our customer’s expectations.
● Provide opportunities of growth for our employees.

Core Values
● Constant focus and development on the product & value offered.
● Continuous improvement of the customer’s shopping
experience.
● Commitment towards staff training & development.
● Encouraging open work culture.

MILE STONES OF COMPANY

IN YEAR 06-07 Arvind Fashions started and in that year the sale was
27 cr and from then to now in YEAR 11-12 the sales are estimated to be
Rs. 650 cr.

● One Million Sq. Ft (Retail Space)

● Rs. 1,057 Cr. Sales
● Sell thru 92% (Post EOSS)
● LFL Target 30%
● Sales Mix 93% from fresh season
● 8 new stores in Andhra –Karnataka Region
● 4 each in Andhra & Karnataka
PRODUCT AND SERVICE PROFILE
Arvind Fashions Retail operation area is Retail in garment product like
Western wear collection, Ethnic collection, Kids Wear collection,
Means Wear collection, Foot Wear collection,
51
 Accessory and Concessionaires items are available in Arvind Fashions
retail store. In Arvind Fashions Retail 4th block Jay Nagar total
products are arrange according to the customer need and according to the
Marketing Department product promotion and strategy.

● WESTERN WEAR DEPERTMENT

● ETHINIC DEPARTMENT
● KIDES WEAR DEPARTMENT
● MEANS WEAR DEPARTMENT
● FOOT WEAR DEPARTMENT
● ACCESSORIES
● CONCESSIONAIRIES

According to these department products are arrange in sub

department. And these categories are also helpful for the customer
selection of the product.

WESTERN WEAR DEPERTMENT

In western Wear department items available are:

● SPORTY (Sports T-shirts and Track pants) these are product of Arvind
Fashions, Jockey, Kappa, FAME and Denizen Company.

52
 ● YOUNG/SLIM (T-shirts/shirts, Trousers & Skirts) for the young
age group from 16 to 26 years. And Company is max.
● CORELINE/COMFORT (T-shirts/shirts, Trousers & Skirts)
● LINGERIE ZONE (Inner Wear) (Bra & Panty)
● NIGHT WEAR (Gowns, Sets, Knit Top, Chemise)
● DENIM ZONE (Denim Bottoms, T-shirts, Shirts)

ETHNIC DEPARTMENT

In Ethnic wear department products are regard to the festival and

tradition. And on the time of festival season product sales are
generally higher then rest of period.
● FUSION(Zone)- Skirts (long and short),Kurti, Short Kurta
● TRADITIONAL (Zone)medium kurta , long kurta , salwar
,chudidar

KID’SWEAR DEPARTMENT
In kids wear department have one of the best collections of garment.
Many times this department has been appreciated by the higher
authority of Arvind Fashions Retail. And kids wear department
always have attraction point for the customer. In kids wear
department products are arranged based on the not on the size but on
base on the age group. Age group is starting to 0 to 3 month infant to 8
to 14 years boys and girls. These products

53
are presented through planogram and in planogram product are based on
story like sporty and angel story. These product are belongs to Arvind
Fashions brand product.
● INFANT BOYS (ZONE) T-shirts, Shirts, Trousers, Denims
● 2-8 BOYS (ZONE) T-shirts, Shirts, Trousers, Denims
● 8-14 BOYS (ZONE) T-shirts, Shirts, Trousers, Denims
● INFANT GIRLS(ZONE) T-shirt, Shirt, Trousers, Skirts,
Denims
● 2-8 GIRLS (ZONE) T-shirt, Shirt, Trousers, Skirts, Denim
● 8-14 GIRLS (ZONE) T-shirt, Shirt, Trousers, Skirts, Denims

MENS WEAR DEPARTMENT

● Formals (zone) shirts & trousers

● Semi formals (zone) shirts and trousers
● Casual non denim (zone) t-shirts/shirts/trousers/cargos
● Denim (zone) denim jeans/t-shirts/shirts, jackets
● Inner wear briefs and vests
● Active wear/sports wear shorts/jackets

FOOT WEAR DEPARTMENT

In foot wear department products are from Arvind Fashions company
product and some of less popular brand like 360 company product.
● MENS Shoes (Formal, Casual, Sports) Sandals, Slippers
LADIES High Heel, Medium Heels & Flats, Sports & Casual Shoe

● KIDS Infants, Girls & Boys Shoes and Sandals

54
 ● HOSIERY Socks / Shoe Polish / Shoe Brush Shoe Horn
ACCESSORIES
Accessories mainly comprise of:
Necklace Bracelet Earring
Anklets Clutches Clips
Caps Gift Items Bags
Albums Photo Frame Ties
Leather

CONCESSIONAIRES
These are brands like Peter England, John Players, Bossini, Levis,
Jockey, Etc., which form part of ARVIND FASHIONS stores offerings.

ARVIND FASHIONS SUB DEPARTMENTS

types of man’s items are available. Formals, Semi Formals, Fashion
Formals, Casual Non Denim, Denim, Active Wear, Inner & Sleep
Wear.

55
56
Kid’s Wear

Kid’s wear department is placed on second floor and all kids and infants
are available on this floor (2 – 8 years (Boys & Girls).

Women’s Wear

Women’s Wear department is placed on ground floor and all types

of women’s items available on this floor. Core, Slim, Denim, Sports,
Night Wear.

Women’s Ethnic Wear

Ethnic Wear department is placed on first floor and all ethnic

garments, Kids, Menes, Ladies, Traditional, and Fusion
available there.

COMPETITORS ANALYSIS

Comparisons among the Retail Stores

(Reliance, big bazaar and life style)
Reliance retail limited

(RRL), a subsidiary of Reliance Industries Limited under Mukesh

Ambani, is Reliance Groups foray into organized retail. RRL is based
on the growth strategy of backward integration, and it generates
inclusive growth and prosperity for farmers, vendor partners, small
shopkeepers and consumers.
57
Subsidiaries & division under Reliance Retail are:

Reliance Fresh - Retail Outlets of fruits, Vegetables & Groceries

Reliance Digital - Consumer Electronics retail Store

Reliance Jewels – Jewellery

Reliance Time Out - Lifestyle store of Books, Music, Movies, Toys,

Gaming, Fragrances, Stationery
Reliance Trends - Apparel and Clothing

During the year 2011, RRL opened 51 new stores pan India, taking the
total to 100 stores across key markets in the country. Across India,
Reliance Retail serves over 2.5 million customers every week. Its
loyalty programme, "Reliance One", has the patronage of more than
6.75 million customers. RLL has employee strength of above

58
 CHAPTER – III
SIGNIFICANCE, OBJECTIVES &
SCOPE OF STUDY

Objectives of the study

❖ To find out consumer behaviour related to search of the product in the

multi brand stores.
❖ To find out consumer’s perception towards different
multi brand stores.
❖ To find out consumers review’s of products of multi brand
stores.
❖ To find out satisfaction level of consumers.

SCOPE OF STUDY

A general store, general merchandise store or village shop is a rural or small

town store that carries a general line of merchandise. It carries a broad
selection of merchandise, sometimes in a small space, where people from the
town and surrounding rural areas come to purchase all their general goods. The
store carries routine stock and obtains special orders from warehouses. It
differs from a convenience store or corner shop in that it will be the main
shop for the community rather than a convenient supplement.

59
COMPANY STRUCTURE / CHART

60
MANAGEMENT OR BOARD OF DIROCTOR

61
Arvind Fashions store location in India

62
Marketing communications
Marketing communications is the process of filling the gap between
customer and organisation. In ARVIND FASHIONS RETAIL such
types of activity is followed for Inner member circle customers. Those
customers are benefited through session offers and awareness of
upcoming offer information, which is provided by the ARVIND
FASHIONS RETAIL.

Retail Planning
Team is responsible for monitoring and executing the retail plans,
budgetary control to ensure the performance of the store is via the
business target and to report performances of products.

Visual Merchandising
Team is responsible for planning, developing, establishing and
maintaining efficient display, signing and merchandise presentation
programs for the retail / service activities within the stores.
Concessionaire team is responsible for handling all brands in
ARVIND FASHIONS stores.

Sales and sales promotion

Sales and sales promotion is also a marketing strategy for which it gives
a positive result. Showing the higher sales report makes brand value in
customer. And customers are also given attention on those types of
retailers.

63
Services marketing
Providing service for customers is also a marketing function
.Which makes customer satisfaction and attracts the customer for next
time coming in the store.

STORE
DEPARTMENT
In any retail sector store department is very important
department to maintained whole entire outlay. Arvind Fashions retail
outlay store department have many importance, total shop is depend on
the support of the store department. Store department control the flow of
the supply.

Functions of Stores Department

(a) Material Planning

This consists of ascertaining the need of the various departments in the
matter of materials and stores and devising such policies that all the
materials which have constant demand and also some critical non-wearing
materials are constantly available so that they are supplied to the user

64
departments without delay. This

65
includes classification / categorization of items, codification,
designing of recoupment policies, taking `make or buy' decision and also
preparation of stores budget.

(b) Procurement of Stores

This includes purchase of materials of required quality and quantity at
reasonable prices. This activity also includes development of sources of
supply with due emphasis to development of ancillary industries, small
scale industries and indigenous sources for imported items (import
substitution). This also includes, maintaining constant touch with the
market to ensure steady flow of materials.

(c) Receipt & Inspection of Stores

This includes taking delivery of materials from carrier, checking of
quantity and quality and their account.

(d) Store Keeping

This includes stocking of materials in the wards, their handling, issuing
on demand by inventors and maintaining proper records.

(e) Distribution of Stores

This includes timely dispatch and distribution of materials to various
users by adopting a quick and right mode of transportation.

66
INFORMATION TECHNOLOGY DEPARTMENT

Information Technology provides the technological support to help meet

the business objectives while taking into account the functional needs. IT
integrates the entire organization and the business activities and also
helps to network all the resources to ensure we keep ahead in the
Industry.
The importance of information technology in retail stems from the
importance of data. Data is nothing but information that aids decision
making. The right data, in the right form to the right setoff people at the
right time, is one of the greatest tools in the hands of the retailer.
Information is always with reference to a particular time frame.
After selecting some goods he proceeds towards the billing counter. Here
the billing clerk scans each product at the POS (Point of sale) terminal
the total number of items and the bill amount is added up. While doing so
he has so checked with the customer if he is a member of the store’s
loyalty program. The customer confirms that he is, gives him the store
card for entry makes the payment by way of credit card and exits the
store with his purchases.
While to the customer it is just a routine purchase, let us look at the
information that the store has gathered from this transaction and how the
information helps the retailer

67
Collection of Data

The use of technology aids data collection. Data can be collected

about consumers, their purchases the frequency of their buying and
the typical basket size. This information helps the retailer distinguish
the customers who shops at his store frequently and also reward them.
For example information gathered about a customer may reveal
preferences for certain brands; this may be used for further
communication with the customer regarding promotional offers etc. The
data on purchase made is also passed on to the credit card organization
for payment to the merchant establishment and also for billing the
customer.

Efficiency in Operations

The items purchased provide information on merchandise sold in the

store; this is the basis of sales analysis and decisions on replenishment re-
ordering and merchandise planning.

Helps Communication

Communication within the organization can be faster with the use of

software like Lotus Notes. Retail stores can also communicate with each
other and with the warehouses. This can be done 24 hours a day and seven
days a week. Electronic Data Interchange (EDI) can also be used for
communication with suppliers and vendors.

68
Efficient Stocking of merchandise

The items purchased provide information on merchandise sold in the

store; this is the basis of sales analysis and decisions on replenishment re-
ordering and merchandise planning. If this information is passed on to the
manufacturer; it can help reduce production time. This is particularly
true in case of fashion items, which have a very short life cycle. For
example data gathered in this manner may indicate youngsters buying
certain styles in Jeans or colours, in the tee shirts from the store. To
service this section of the audience the retailer may need replenishments
faster. The use of technology aids the collection and transmission of
information. The trends in sales can be analyzed. This helps avoid
situations of stock out helps spot merchandise or products timely
markdowns and higher inventory turns.

69
 CHAPTER – IV

RESEARCH METHODOLOGY

Research Objective
This chapter highlights the outline of the research methods that we
utilized in this study. It focused on the research design, target
population data collection strategy, sample design and analytical
approach that were utilized in the study.

Data Collection Method

1. Primary Data
It is original primary data, for specific purpose of research project.
For this project, I have used the following common research
instrument or tools-

Questionnaire-
Questionnaire development is the critical part of the primary data
collection method. For this I have prepared a questionnaire in such a
way that is able to collect all relevant information regarding the
project. The questionnaire was designed using various scaling
techniques. The questionnaire was used mainly to identify the factors
which affect the purchase channel preference. Respondents were
asked a

70
combination of open-ended questions. The data collection was done
over a period of 2 weeks. This was done through Google Docs.

2. Secondary Data
Secondary data collected by newspapers, magazines, journals of
marketing, and articles and books also. Secondary data give more
information on particular studies any research starts with secondary data.

Tools for analysis

For data analysis, percentage analysis, simple charting

and tabulation tools are used to understand the behaviour of
the respondents for online or offline mode of purchase.

SAMPLE
DESIGN

1.Sample Unit
For studying consumer buying behaviour towards Shopers in
Lucknow , samples were selected from Lucknow,
Uttar Pradesh.

71
2 Sample Media

The respondents in the samples are reached through

personal interviews and questionnaires.

3 Sampling Methods
Sampling methods fall under two broadcategories-

a) Probability sampling methods. b)

Probability sampling methods.

4 Sample size-

Sample size is 50.

5 Research place-

The place of research is Lucknow

6 Sample Design

I have prepared this project as descriptive type.

RESEARCH FRAMEWORK –

The basic purpose of the study is to analyse the factors that affects the
buying behaviour of the consumers in the Arvind Fashions Multi
Brand market.

72
 The major variables selected for the study are as follows:
Dependent variable –
Consumer Buying Behaviour.

Independent Variable –
 Demographic Factors: Age, Occupation, Income, Life Style
 Psychological factors: Motivation, Perception, Selectivity,
Expectation, Past experience
 Social Factors: Family, Reference group, Roles and status
 Cultural Factors: Culture, Sub-Culture, Social class
 Economic factors: Personal Income, Family income, Income
expectations, Savings, Liquid assets of the Consumer,
Consumer credit, Other economic factors
 Other Factors: Advertisement, brand name, product
quality, price, design, promotion, service quality, store
environment, Trust, Customer Satisfaction, Newspaper,
Magazines

73
 Chapter-V
DATA ANALYSIS & INTERPRETATION

DEMOGRAPHIC OBSERVATION

GENDER

● Male

● Female

Interpretation
The above diagram depicts that out of the 100 respondents 40.6
% of the respondents were females and 56.4% were men as our
objective was to know the consumer behaviour of both men and
women as to infer from it, it’s necessary to know the response of
both the genders.

74
 Age Group

OPTIONS RESPONDENTS %AGE

16 to 25 years 21 42
26 to 35 years 9 18
36 to 45 years 17 34
46 to 60 years
3 6
Total 50 100

INTERPRETATION:-
42% of peoples of age group is 16 to 25 years are shopping in
Arvind Fashions , 18% of peoples of age group is 26 to 35
years, 34% of peoples of age group is 26 to 35 years and other
hand 6% of peoples shopping in Arvind Fashions .

75
Education

Occupation Frequency Percentage

High school and Intermediate 4 8
Bachelor’s Degree 20 40
Master’s Degree 10 20
Prefer not to say 16 32
TOTAL 50 100

INTERPRETATION:-
40% of peoples they shopping in Arvind Fashions are
Bachelor’s Degree, 20% of peoples having Master’s Degree,
32% of peoples Prefer not to say, and 8% of peoples are High
school and Intermediate.

76
OCCUPATION

OPTIONS RESPONDENTS %AGE

Student 13 27.7
Salaried 13 24.8

House maker 12 23.8

Self employed 12 23.8

Total 50 100

INTERPRETATION:-
27.7 % of people are shopping, they are students, 24.7 % of
salaried peoples choose Arvind Fashion , 23.8% of peoples are
house maker, 23.8 % of peoples are self-employed.

77
Marital Status

OPTIONS RESPONDENTS %AGE

Married 41 82
Unmarried
9 18
Total 50 100

INTERPRETATION:-
82% of peoples shows interest in shopping are Married, on the
other hand, 18% of peoples are unmarried.

78
Are you familiar with the US Polo Brand?

If no, which brand do you prefer or frequently purchase ?

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Reference Frequency Percentage

Arrow 10 10
Calvin Klein 20 20
Tommy Hilfiger 30 30
Nautica 10 10
United colors of Benetton 20 20
Others 10 10
Total 100 100

Arrow: 10% (Frequency: 10)

Calvin Klein: 20% (Frequency: 20)
Tommy Hilfiger: 30% (Frequency: 30)
Nautica: 10% (Frequency: 10)
United Colors of Benetton: 20% (Frequency: 20)
Others: 10% (Frequency: 10)
Total: 100% (Total Frequency: 100, Total Percentage: 100)

79
If yes, where do you usually purchase US Polo products?

Reference Frequency Percentage

Online (e.g., NNNOW, Amazon, Filpkart,etc.) 10 10
Official US Polo stores 50 50
Departmental stores 40 40
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Online (e.g., NNNOW, Amazon, Flipkart, etc.): 10% (Frequency: 10)

Official US Polo stores: 50% (Frequency: 50)
Departmental stores: 40% (Frequency: 40)
Total: 100% (Total Frequency: 100, Total Percentage: 100)

This data likely represents the purchasing preferences of a surveyed or sampled

population concerning where they prefer to buy fashion items. Each source's
frequency indicates how many times it was selected or favored within the total
sample size, while the percentage shows the proportion of the sample that prefers
each purchasing source.

80
How often do you visit U.S. Polo Assn. store?

Reference Frequency Percentage

Once a week 20 20
Once a month 20 20
In a year 30 30
Occasionally 30 30
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

Once a week: 20% (Frequency: 20)

Once a month: 20% (Frequency: 20)
In a year: 30% (Frequency: 30)
Occasionally: 30% (Frequency: 30)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data likely represents the frequency of fashion-related purchases made by a
surveyed or sampled population. Each frequency category indicates the percentage
of individuals within the sample who make purchases at that frequency.

81
Have you visited a US polo store recently?

Reference Frequency Percentage

YES 30 30
NO 70 70
Total 100 100
.

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

YES: 30% (Frequency: 30)

NO: 70% (Frequency: 70)
Total: 100% (Total Frequency: 100, Total Percentage: 100)

This data indicates the percentage of respondents who answered "YES" and "NO"
to a particular question. In this case, "YES" had a frequency of 30 respondents,
accounting for 30% of the surveyed population, while "NO" had a frequency of 70
respondents, making up 70% of the surveyed population.

82
If yes, when you can't find a product in your size at the US Polo store,
what do you usually do?

Reference Frequency Percentage

Ask the store staff for assistance. 10 10
Look for alternative size or product. 30 30
Leave the store without making a purchase. 30 30
Order the product online through the app. 30 30
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Ask the store staff for assistance: 10% (Frequency: 10)

Look for alternative size or product: 30% (Frequency: 30)
Leave the store without making a purchase: 30% (Frequency: 30)
Order the product online through the app: 30% (Frequency: 30)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of customers who responded with
each action when faced with a certain situation while shopping in a
store. Each action represents the behavior or choice made by a portion
of the surveyed population in that scenario.

83
Do store employees assist you when your size is unavailable?

Reference Frequency Percentage

Never 10 10
Almost never 30 30
Sometimes 20 20
Almost every time 10 10
Every time 30 30
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

Never: 10% (Frequency: 10)

Almost never: 30% (Frequency: 30)
Sometimes: 20% (Frequency: 20)
Almost every time: 10% (Frequency: 10)
Every time: 30% (Frequency: 30)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of individuals within the surveyed population
who responded with each frequency category regarding a specific behavior or
action. Each category represents the proportion of respondents based on how
frequently they engage in that behavior, ranging from "Never" to "Every time."

84
Do store employees usually take any specific action when your size is
not in stock?

Reference Frequency Percentage

Yes, they offer to order it online for me. 20 20
Yes, they suggest alternative sizes for products. 30 30
No, they don't offer any assistance. 20 20
No, they advise me to check back later. 30 30
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

Yes, they offer to order it online for me: 20% (Frequency: 20)
Yes, they suggest alternative sizes for products: 30% (Frequency: 30)
No, they don't offer any assistance: 20% (Frequency: 20)
No, they advise me to check back later: 30% (Frequency: 30)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of customers who reported various types of
assistance or lack thereof from store staff in different scenarios. The frequency
represents the number of respondents who encountered each specific situation.
Categories include instances where customers received assistance (such as
ordering online or suggesting alternative sizes) and instances where customers
did not receive assistance (no offer or advised to check back later).

85
Do they use the omuni.one app to place an order for your size?

Reference Frequency Percentage

Never 20 20
Rarely 30 30
Sometimes 20 20
Often 10 10
Always 20 20
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Never: 20% (Frequency: 20)

Rarely: 30% (Frequency: 30)
Sometimes: 20% (Frequency: 20)
Often: 10% (Frequency: 10)
Always: 20% (Frequency: 20)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of individuals within the surveyed population
who responded with each frequency category regarding a specific behavior or
action. Each category represents the proportion of respondents based on how
frequently they engage in that behavior, ranging from "Never" to "Always."

86
If store employees use, omuni.one app to place an order for your size,
where would you prefer to pick up your order?

Reference Frequency Percentage

Store pickup 30 30
Nearby store pickup 50 50
Home Delivery 20 20
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Store pickup: 30% (Frequency: 30)

Nearby store pickup: 50% (Frequency: 50)
Home Delivery: 20% (Frequency: 20)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of respondents or customers who prefer or opt
for each delivery method. Each category represents the proportion of individuals
within the surveyed population who favor a particular method of receiving items
after making a purchase, including store pickup, nearby store pickup, or home
delivery.

87
Did you receive your order within the estimated delivery time frame?

Reference Frequency Percentage

YES 49 49
NO 51 51
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

YES: 49% (Frequency: 49)

NO: 51% (Frequency: 51)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data represents the percentage of respondents who answered "YES" and "NO" to a specific
question or statement. In this case, "YES" had a frequency of 49 respondents, accounting for
49% of the surveyed population, while "NO" had a frequency of 51 respondents, making up
51% of the surveyed population.

88
When store employees place an order for you through the omuni.one
app, which payment method do you use?

Reference Frequency Percentage

Debit/Credit Card 20 20
Mobile Wallet (e.g.,Apple Pay, Google Pay) 60 60
Online Payment (e.g.,Paypal) 20 20
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Debit/Credit Card: 20% (Frequency: 20)

Mobile Wallet (e.g., Apple Pay, Google Pay): 60% (Frequency: 60)
Online Payment (e.g., Paypal): 20% (Frequency: 20)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the percentage of respondents or individuals who favor each
payment method when conducting transactions. Each category represents the
proportion of the surveyed population that prefers using a specific payment mode,
such as debit/credit cards, mobile wallets (like Apple Pay or Google Pay), or
online payment platforms like PayPal.

89
Are you satisfied with the quality of products when ordering online
through omuni.one app?

Reference Frequency Percentage

Very Dissatisfied 10 10
Dissatisfied 25 25
Neutral 20 20
Satisfied 35 35
Very Satisfied 10 10
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

Very Dissatisfied: 10% (Frequency: 10)

Dissatisfied: 25% (Frequency: 25)
Neutral: 20% (Frequency: 20)
Satisfied: 35% (Frequency: 35)
Very Satisfied: 10% (Frequency: 10)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data indicates the distribution or percentage of respondents' levels of
satisfaction based on the options provided, ranging from "Very Dissatisfied" to
"Very Satisfied." Each category represents the proportion of respondents within
the surveyed population who expressed their satisfaction levels accordingly.

90
I am satisfied with my purchase of US Polo products and would
consider buying it again in the future?

Reference Frequency Percentage

Very Dissatisfied 05 05
Dissatisfied 30 30
Neutral 20 20
Satisfied 35 35
Very Satisfied 10 10
Total 100 100

Chart Title
120
100
80
60
40
20
0
YES NO Total

Frequency Percentage

Here's the breakdown of the provided data:

Very Dissatisfied: 5% (Frequency: 5)

Dissatisfied: 30% (Frequency: 30)

Neutral: 20% (Frequency: 20)

Satisfied: 35% (Frequency: 35)

Very Satisfied: 10% (Frequency: 10)

Total: 100% (Total Frequency: 100, Total Percentage: 100)

This data illustrates the distribution of respondents' satisfaction levels based on the
options provided in the survey, ranging from "Very Dissatisfied" to "Very
Satisfied." Each category represents the percentage of respondents within the
surveyed population who expressed their satisfaction levels accordingly.

91
Overall, how would you rate you experience with US Polo as a brand
when ordering through omuni.one app?

Reference Frequency Percentage

Very Dissatisfied 5 5
Dissatisfied 9 9
Neutral 11 11
Satisfied 49 49
Very Satisfied 26 26
Total 100 100

Chart Title
120

100

80

60

40

20

0
YES NO Total

Frequency Percentage

Here's the breakdown of the data:

Very Dissatisfied: 5% (Frequency: 5)
Dissatisfied: 9% (Frequency: 9)
Neutral: 11% (Frequency: 11)
Satisfied: 49% (Frequency: 49)
Very Satisfied: 26% (Frequency: 26)
Total: 100% (Total Frequency: 100, Total Percentage: 100)
This data reflects the percentage of respondents within the surveyed population
who expressed varying levels of satisfaction. The categories range from "Very
Dissatisfied" to "Very Satisfied," with each representing the proportion of
respondents who indicated their satisfaction level accordingly.

92
 CHAPTER -VI
FINDINGS & SUGGESTION

● Arvind Fashions appeals not only customer from higher income group
but also customer with lower income. Different products line starts with the
base prices of 200, 250 and so on.
● Arvind Fashions strictly follows the planogram which helps them to plan
how store is going to look.
● Arvind Fashions has a unique product line for kids. In the product line
different sizes clothing line is available from 1 month to 12years.
● Arvind Fashions does not have proper inventory
management, due to which many times stock are not placed in adequate
numbers.
● In foot-ware section product are not from well-known brands.
● Arvind Fashions does not have its own cafeteria for employees
working there.
● Arvind Fashions does not have adequate office space for conducting
meetings.
● Customer profiling has shown that there is a significant relationship
between itself and the marketing strategies adopted by the retailers in the
retail stores as the strategies are formulated according to the needs and
preferences of the customers.
● ARVIND FASHIONS is considered as one of the best brand in by the
customers.

93
 Suggestion

● Omni needs to spend more on advertisement so that

brand becomes popular in minds of customer.

● Omni needs to install efficient ERP tool for inventory

management and control. It would help the company to

have a smooth flow of inventory.

● Omni need to put efforts in foot-ware section. In order to

compete with other retail brands Omni need to have well-

known brands in foot-ware section.

● Proper facilities like cafeteria will help the company to

increase employee motivation and reducing the time taken

during recess.

● The company need to have a separate meeting hall for

conducting various meeting.

● The proper training and development program for sales

executive team will help to build more efficient &

effective sales personal.

94
 Conclusion
Omni-channel initiatives provide retailers numerous
opportunities and allow them to outpace their
competition. One of the most commonly implemented
omni-channel approaches is ship-from-store, which
connects the retailer’s online channel with its stores by
exposing store inventory to online customers and thus
turning the stores of a retailer into mini FCs. Today,
several retailers have successfully implemented ship-
from-store strategies in their operations (e.g., Best Buy,
Macy’s, Walmart) to

The India retail currently stand at USD $450 billion and likely
to go further at 12 % to Increase to triple size by 2014. Retail
sector (including both organised an unorganised) is the second
largest employer after retail sector in India.
Many international retail brand is also putting theirs steps in
Indian market. Arvind Fashions is also one of them. Arvind
Fashions fashion in Lucknow has the higher turnover.
It provides a wide range of product in clothing, accessory,
cessionary and footwear.
Being environment conscious, Arvind Fashions used more
of paper back and other bio-degradable materials.
Arvind Fashions lack in adequate work force as per the present
requirement.
95
In this growing market Arvind Fashions is trying to expend its
product line coming further.

96
 Questionnaire

Case On Arvind Fashion in Lucknow

Disclaimer- The information collected herein shall not be revealed to

anyone without the prior information of the respondent. The
information collected herein shall be used only for academics and
professional purposes.

PART 1-

DEMOGRAPHIC PROFILE OF THE RESPONDENT -

1.Name of the respondent-

2.Gender

3.Age group

4.Education- High School and Intermediate; Bachelor’s

Degree; Master’s Degree; Prefer Not To Say

5.Occcupation- Employed; Self-Employed; Student; House Wife.

PART 2-

DEAR SIR/MADAM

How frequently do you visit Arvind Fashion’s ?

97
Weekly
Monthly Half-
Yearly
Annualy

Does price and brand of the products justify your utility ?

Very often
Very much
Sometimes
To some extent

Products mostly purchased by customers in Arvind Fashion’s ?

Clothes
Gift Items
Accessoires, Cosmetics
Home furnishings and Decor items

What do you first look for when you buy anything from
Arvind Fashion’s ( Multi-Brand Stores )
Style of product Nature of
product Need of product
Packaging of product

Do packaging of the products really influences you ?

Very often
98
Very much
Sometimes
Never

Factors which encourages customers to come in

Multi-Brand Stores ?
Price
Services
Ambiene
Product & Variety

Do discounts and offers in the store really influences you ?

Very often
Sometimes
Every time
Never

Where do you get information about offers & discounts in

stores are available or not ?

99
cer
Bloggers or Social Media Influen s
Magazines
Family & Friends
Media & Internet

Do you find the different brands in the Store satisfactory ?

Yes
No
Prefer not to say

Are the products available in the stores are Trendy &

Fashionable ?
Agree
Disagree
Prefer not to say

What’s your’s satisfaction level after buying any product

from Arvind Fashion’s .
0-5
5-10
10-15
15-20

Expenditure pattern of customers coming to Arvind

Fashion’s
100
Below 1000
1000 to 2000
2000 to 5000
Above 5000

Does advertisement influences you ?*

Very often
Sometimes
Everytime
Never

What is your opinion about Arvind Fashion’s products ?

*
Durability
Comfort
User-friendly
Extremely Satisfied

Do you really think due to ambience of the store product’s

may be costly ?*
Agree
Disagree
Prefer not to say
101
How important is environmental protection for you when
buying any product.
Very important
Fairly important
Not so important
Completely unimportant

Are you satisfied with the Multi-Brand Stores in your city ?*

Strongly Satisfied
Strongly Dissatisfied
Average
Poor

Mode of payment of customers in Arvind Fashion’s ?*

Cards
Net-banking
Cash payment

102
 BIBLIOGRAPHY
Books
Kothari C R- Research Methodology Methods and Techniques
(New Age International Publishers), Kotler Philip-Marketing
Management (Prentice Hall of India)

Edited Volume
Michael Levi M and Weitz BW- Retailing Management (Tata
McGraw Hill)
Luck and Rubin- Marketing Research (Prentice Hall of India).

Journals
Marketing journal “winning in India’s Retail sector”.

Reports and Gazettes

Retail Industry global report 2010

Newspapers and Magazines

Business Line, Economic Times, Business Today, Times of
India, Frontline, Business India, .

Websites
● www.Omnifashionindia.com/Omni.asp
● www.landmarkgroup.com/retail/fashion/Omni/
103
●
www.landmarkgroup.com/downloads/landmark_group_cor
porate_overview.pdf
● www.indianjournals .com
● www.indianjournalsofmarketing.com
● www.landmarkgroupme.com

104