Friday, February 22, 2019
Retail Management Essay
bobcat India Limited revolutionized footgear selling in India. The company arrive at upon the idea of reaching customers through exclusive retail p bentages way buttocks in 1932 and set up its declare outlets, which numbered almost 1,200. it was no compressed task setting up such a large electronic ne dickensrk of retail outlets, especi in ally when 90% of them were owned and operated by the company, the rest organism dealer-owned and operated. This chain hold on initialize identity has been a strong differentiating component part in the Indian retail sector, being the first of its kind. Combined with the high-pitched quality of the footwear, the brand soon had top-of-the-mind recall and stayed there for many years. Until a fewer years ago, the name bobcat Was synonymous with organized retail in India, the only one of its kind.The Chain Store FormatThe bay lynx chain store format had its own credo a touch modality store-design with exclusive signage and windows in or der to facilitate easy association in the minds of the Indian consumers. At present there are only two major categories of store in the Bobcat Chain Store formata) Bobcat Family Storesb) Bobcat bazara) Bobcat Family StoresThese are sub-divided into two formats again, establish on the size of the stores. They are I) Super Stores, generally more than 5,000 sq.ft. cater to customers in the footwear category. II) High-street stores that are anywhere between 500 and 1,500 sq.ft., frame in busy shopping areas.b) Bobcat BazaarBobcat Bazaar stores sell the companys planned economy product lines and market- eat up merchandise round the year. K directn as R-pair stores, their performance depends heavily upon the availability of marked-down merchandise. Such markdowns are make on products that lay down suffered quality accidents, are shop-soiled, lines that are closed-out etc.Recent Format DevelopmentsNew retail formats throw off begun to supersede conventional ones. Independent big-b ox multi-brand department stores throw started selling footwear as a category, especially in metros and cities. Malls are another hot shopping format that is growing rapidly in the metros. Many future footwear retailers are obtaining space inside the malls as mall partners to turn over advantage of the ready footfalls available. For the existing independent Bobcat stores it is expensive outright to run campaigns and promotions to attain the required footfalls and expected conversions.Merchandising in Bobcat Family StoresThe exclusivity of the Bobcat brand to the Bobcat retail stores was the differentiating factor for customers until recently. However, a few years ago the company decided to sell Bobcat brand goods through its enrapture sales wing called Bobcat Wholesale. Hitherto, the wholesale channel had a different brand for itself called BSC. This wholesale channel supplies merchandise to footwear retailers across India through its authorized distributors. The brand Bobcat has now been all-embracing to this wholesale channel too, which means that Bobcat branded goods are available in every other local footwear store. The exclusivity of the brand to its own outlets has come to an end. And, even as the sales of the wholesale division inhabit stagnant, what compelling reasons can a customer have to visit a Bobcat Store now? A peculiar feature of the Bobcat store was its odd price points Rs 149.95, 199.95, etc.Merchandise Presentation and opthalmic MerchandisingBobcat pioneered the concept of show window displays in India with a style that was unique to the company. It was professionally managed, with an exclusive team handling the paper and the design. Every month the direction to decorate the show windows were given by a mailer prepared by special decorators. Sales personnel in each store were trained to be window decorators too. Recently, these windows had to be done away with because the company thought that they should follow the contemporary pr actice of free-access retailing, where all merchandise pairs are displayed in open shelves to enable customers to help themselves. Remember, in India footwear is always tried on a footstool and bought by and by considerable service extended by the salesperson personally. Free-access retailing whitethorn work when there is adequate space inside a store to move around. The effect of such pigeon-hole free access is that they give an icon that they are Bobcats R-Pair outlets. What can now entice the customer into entering a bobcat store?Customer Servicethough Bobcat faces tough manpower challenges (the store sales personnel and managers have separate labour unions), the sales personeel who are on its permanent rolls are trained in selling footwear. However, there is a large similitude of untrained temporary hands. Further, salespersons do not wear any analogous and hence customers can hardly identify them. There is as heretofore no loyalty programme to create customer stickiness to any store or the brand, and most of the stores are not connected by a central information system or ERP (enterprise-wide resource planning) as the governing has its limitations when it comes to investing in such initiatives. Organized retail companies need to have non-negotiable standards of customer service or they will lose customers to its competitors.The company is now losing its market share despite its strong position in categories handle mens footwear, childrens uniform shoes, etc. However, the number of stores it has around the country is around the same, at 1,200. The company now needs to assemble together a plan for both its survival and growth on a war footing. The top Management is revisiting its strategies in every in operation(p) area to turn the company around.