Final Report of Crossword

[RETAIL MANAGEMENT] MANAGEMENT ] CROSSWORD

PROJECT CONTENTS Abstract………………………………………………………… ………………………….3  Methodology…………………………………………………… ……………………….4  Company Overview…………………………………………… ……………………..5 Retail Institution………………………………………………  Retail ……………………….6  Crossword Customers……………………………………… ……………………….7  Store location and Site Evaluation……………………… …………………….9  Crossword - Organization and Management…………… ………………12  Classification from Retailer’s point of view…………… ………………..14  Positioning of the Retail store……………………………… …………………16 ✔ Location ✔ Merchandise Assortment Planning ✔ Merchandise Pricing at Crossword ✔ Communication via promotions  Competitive Objectives & Its Competitors……………… ………………22 

IBS PUNE

Page 1

[RETAIL MANAGEMENT] MANAGEMENT ] CROSSWORD 



What Lies Ahead & Challenges…………………………… ………………….23 References……………………………………………………… ……………………..24

ABSTRACT “Making Crossword Was A Dream, A Belief, and A Passion. The Dream Was To Make A World-class Book Shop, The Belief Was That Books Make A Difference, And The Passion Was In The Magic Of Books And For Delighting Customers.” Customers. ” Mr.R.S Mr .R.Sriram riram (CEO Crossword Crossword))

Retailing in India is a big industry, bigger than the IT industry. It has has a tur turnove noverr of 205 205 bil billion lion ever every y year year in sales ales.. And it is supposed to grow 300% in the next 5 years. The only problem in India is that most of it is unorganized. Crossword's secret of success is not to just offer a wide range of products, products, but to create create an ambience ambience that would get the customer to spend more time, and money, at the store. They were one of IBS PUNE

Page 2


the the firs firstt book bookst stor ores es to have have seat seatiing arra arrang ngem emen ents ts wher where e custom customers ers could could relax relax and read. read. They also also added added servic services es like like dial-a-book, dial-a-book, where customers customers can order a book on the phone and they will deliver it at no extra cost. Free home delivery was also firs firstl tly y intr introd oduc uced ed by them. them. Most Most of their their mark marketi eting ng money money is spent spent on direct direct marketin marketing g to their their book book rewar rewards ds members members,, and those members adding value and experience in their store. The main highlights of the report are:



Coverage of Retail outlets of Crossword in Pune. Site evaluation done by us. Organizational structure. Category of products & its product line. Positioning strategy.



Main competitors.

   

“Not many people have the will to turn their passion into their profession and that is what we learnt from Crossword”

METHODOLOGY This report is based on primary data as well as secondary data .

1)Prima 1) Primary ry data Perso rsonally visit sited few of the sto stores in pune and gathered all the relevant information. –

IBS PUNE

Page 3


–

Interaction with the floor manager in charge of the store.

2)Secon 2) Secondary dary data Company’s website. Internet. Business Magazines. Newsletters. –

–

–

–

Kalyani nagar(Gold Adlabs)-Pune

IBS PUNE

Page 4


Crossword was founded in 1992 by Mr R. Sriram and Ms K. Anita along with a young team from India Book House Limited and the first Crossword store opened on 15th October 1992 at Mahalaxmi, Mumbai and currently the chain has 50 stores across 12 cities in India. Originally promoted by the India Book House, in year 2000 K Raheja and ICICI Ventures had purchased stake from IBH in Cross Crosswor word. d. Later Later Shopper Shopper’’ Stop Stop Ltd had bought bought stake stake of ICICI ICICI Ventures in Crossword. Currently, Crossword Bookstores Ltd. is a wholly wholly owned subsidiary subsidiary Company of Shopper’s Stop Ltd – India’s leading department store chain. The Holding Company inter-alia also acts as a Master Franchisee of the Company. Company. While e we do crossw osswor ord d Why Why the name name Cros Crossw swor ordd---Whil puzzles for fun, they are also a learning experience. The name Crossword was therefore chosen to reflect the dual fun and learning experience of a visit to Crossword. The Cross Crosswor word d ChainChain---Crossword, with fifty stores, across Mumb Mumbai ai,, Bang Bangal alor ore, e, Ahme Ahmeda daba bad, d, New New Delh Delhi, i, Ghaz Ghazia iaba bad, d, Pune, Nagpur, Vadodara, Kolkata, Chennai, Jaipur, Vishak shakha hapa patn tnam am and and Hyder yderab abad ad toda today y is Indi India' a's s fast fastes estt growing chain of bookstores. Cross swor word addr addres esse ses s a wide widerr Prod Produc uctt and and Serv Servic ices es---Cros audienc audience e than than exist existing ing stores stores with its unique unique produc productt mix. mix. There is of course, the widest range of books for the young and and old old alik alike, e, alon along g with with maga magazi zine nes s, CD-R CD-ROM OMs, s, music usic,, stationery and toys. Services like Dial-a-book, Fax-a-book and Email-a-book enable customers to shop from their homes; and when they come to the store, the unobtrusively helpful staffs assist assist them in finding the right book, the right CD or the right IBS PUNE

Page 5


gift for the right occasion. Facilities like the Crossword Gift Vouchers, the friendly 'Return, Exchange & Refunds' policy, the Cafes within the stores and the unique store experience make it eas easy and enjoyab oyablle for customers to shop at Cros Crossw swor ord. d. Over Over 1,00 1,00,0 ,000 00 loya loyall cust custom omers ers are are rewa reward rded ed throug through h the Cros Crossw swor ord d Bo Book ok Re Rewa ward rds s Prog Progra ram m with points, discounts, promotional offers and more. 'eWords', a monthly e-newsletter with reviews of new books, news about in stor store e event events s and bestse bestsell ller er lists lists,, is curr current ently ly mail mailed ed to these members.

“A place and space for people who seek information, knowledge or just the pleasure of reading”

Vi sion of Crossword

RETAIL INSTITUTION Wheel of Retailing

Crossword lies in the Trading up Phase in the wheel of retailing with with expe expect cted ed,, esse essent ntia iall and and exot exotic ic serv servic ices es and and exten xtende ded d product uct offeri erings apart from books like DVDs, Ds, Toys, and Stationery etc. Classification

Crossword is a Chain Store (Ownership, Store Based Retailer), havi having ng a cent centra rali lize zed d buyi buying ng and and merc mercha hand ndis isin ing g syst system em and and selling similar lines of merchandise. IBS PUNE

Page 6


Crossword Franchise

The Holding Company inter-alia acts as a Master Franchisee of the Company. Crossword’s franchisees, Mr. Gaurav Shah and Mrs. Supriya Shah, were appointed in 1995 and the first franchise store opened on 7th October 1995 in Ahmedabad Ahmedabad spread over an area of 4500 sq. ft. ft. With ith thei theirr passi passion on and and comm commitm itmen entt it has has grow grown n over over the years and is currently spread over 15,000 sq. ft. in the same loca locati tion. on. Mr. Mr. Gaura Gaurav v and and Mrs. Mrs. Supri Supriya ya have have also also opene opened d thre three e Cros Crosswo sword rd Corn Corners ers in Ahme Ahmedab dabad ad and and opera operate te a total total of four four stores currently currentl y.

CROSSWORD CROSSWORD CUSTOMERS Crossword’s positioning:-

Crossword, positioned as a lifestyle bookstore, has been able to change this by designing large, spacious, well laid out stores, with brig bright ht chee cheerf rful ul inte interi rior ors s that that enco encour urag age e peop people le to stay stay and and brows browse. e. Simple Simple innova innovation tions s such such as method methodica icall classi classific ficati ations, ons, clear signage, a dedicated enquiry /orders desk, electronic POS and and inve invento ntory ry contr control ol syst system ems s and and attrac attracti tive ve disp displa lays ys mak make looki ooking ng for for book books s a much uch mor more plea pleasu sura rabl ble e exper xperiienc ence. A welcoming café, reading tables and chairs and toilets within the store, (some of the innovations pioneered by Crossword in India) help to ensure that customers are able to browse in comfort for several hours without having to leave. IBS PUNE

Page 7


Crossword as a center for the community:-

Crossword aims to be a point of cultural and social interaction where authors and poets hold court, where children are regaled, where people gravitate to be informed, to be entertained, even enlightened. Among the numerous numerous writers who have visited visited the store are Sir V S Naipaul, Arundhati Roy, Vikram Chandra, Vikram Seth, Kiran Naga Nagark rkar ar,, Andr Andrew ew Moti Motion on,, Mich Michel ele e Rober oberts ts,, Shas Shashi hi Thar Tharoo oor, r, Shobhaa De, Charles Handy, Ricardo Semler and Jack Canfield. Promo Promotion tional al events events include include pictio pictionary nary contest contests, s, quizze quizzes, s, slide slide shows hows and and the the annu annual al affa affair ir with with Sant Santa a and and his his elve elves. s. Ian Ian Anderson of Jethro Tull came for a signing, so did Macho Man Randy Savage, the WWF champion. Range of Merchandise:-

Crossword addresses a wider audience than existing stores with its unique product mix. There is of course, the widest range of books for the young and old alike, along with magazines, CDROMs, music, stationery and toys. With its large children's section and its focus on making the store a friendly, safe, fun-filled place, Cross Crosswor word d attracts attracts many many famili families es who normal normally ly don't don't think think of visiting bookstores.

Convenience of Shopping:-

IBS PUNE

Page 8


Service Services s like like Dial-a Dial-a-boo -book, k, Fax-a-bo ax-a-book ok and Email-a-book enable customers to shop from their homes; and when they come come to the the stor store, e, the the unobtr unobtrus usiv ivel ely y helpful staffs assist assist them in finding the right book, the right CD or the right gift for the right occasion. Facilities like the Cross Crosswor word d Gift Gift Vouchers ouchers,, the friendl friendly y 'Retur 'Return, n, Exchan Exchange ge & Refunds' efunds' policy policy,, the the Cafe Cafes s with within in the the stor stores es and and the the unique store experience make it easy and enjoyable for customers to shop at Crossword. Time to Travel:-

All the Crossword Bookstores are located in convenient locations like multiplexes; shopping malls etc. and are easily accessible to customers. Socio-economic Background and Culture:-

Crossword aims to be a point of cultural and social interaction where authors and poets hold court, where children are regale, where people gravitate to be informed, to be entertained, even enlightened. There are regular readings, discussions and debates on varied subjects from literature and art to child sexual abuse, war and peace, business business and management, travel, parenting parenting and health.

IBS PUNE

Page 9


STORE LOCATION & SITE EVALUATION

1. Head office: Railway station 3.Shivaji nagar

IBS PUNE

2.Senapati 2.Senapa ti Bapat Road

Page 10


4. E-Square Mall-Pune Aundh-Pune

5. Kothrud-Pune

6.

7. Chinchwad-Pune Hinjewadi-Pune

8. Kalyani nagar-Pune

9.

10. Pune Sohlapur Road

11. ISHANYA ISHANYA MALL-Pune

Crossword Bookstores in Pune

IBS PUNE

Page 11

[RETAIL MANAGEMENT] MANAGEMENT ] CROSSWORD 1.

ohrab b Ha Hall ll,, 1st 1st Floo Floor, r, Junc Juncti tion on of RBMBMHead Head of offi fice ce:: Sohra Canna Cannaugh ughtt Road, oad, (Beh (Behin ind d Pune Pune Railw ailway ay Stati Station) on),, Pune 411001.

2.

ICC Trade Towers, Senapati Bapat Road, Pune - 411 016

3.

At Shoppers' Stop, Godrej Eternia, B Wing, 1st floor, BombayPune Rd, Shivaji Nagar, Pune – 411016

4.

E - Square University Road, Ganesh Khind, Pune - 411007.

5.

Surv Survey ey no 20/1 20/1/2 /2,, City City prid pride e mult multip iple lex, x, Near Near Swap Swapna nash shil il society, Kothrud, Pune – 411029.

6.

Supr Suprem eme e Cent Centre re,, Grou Ground nd Floo Floor, r, ITI ITI Road, oad, Next Next to Bons Bonsai ai,, Aundh, Pune - 411001.

7.

Premier Plaza, next to Mc Donald, Chinchwad – Pune- 411016.

8.

Gold Adlabs Multiplex, Kalyani Nagar, Pune – 411014.

9.

S.No 29, 1/2/3, Plot No1 HPCL Petrol Petrol Pump, Next to Madhuban Hotel, Hinjewadi, Pune – 4110027. Krome Mall, 1001/1002, 1st Floor, Krome mall, Pune Sholapur Road, Pune – 411013. ISHANYA, ISHANYA, Nr Golf course, cour se, off Airport Road, Pune - 411006

10. 11.

EVALUATION DONE BY US AT MAJOR CENTERS 1. 2. 3. 4. 5. 6.

Head offic Head officee-Ra Rail ilwa way y statio station n Sena Senapa pati ti Bap Bapat at Roa Road d E-Sq E-Squa uarre Mall Mall Chinchwad Aundh Kalyan lyanii nag nagar ar

IBS PUNE

Page 12


Comparison of the Crossword’s visited by us: Location

Target Customer

Families and Head office: Sohrab Hall, 1st Students, Floor, Junction of RBMForei oreigne gners rs visi visiti ting ng Pune Pune from from Cannaught Road, (Behind outside cities, since station is Pune Railway Station), Pune - nearby 411001. ICC Trade Trade Towers, owers , Senapat Sen apatii Company Company Employees Employees of Trade Bapat Road, Pune - 411 016 Towe Tower, r, Students Students (Maxim (Maximum) um),, Families. E - Square University Road, Multiplex Crowd. Ganesh Khind, Pune 411007. Premier Plaza, next to Mc Students, Families & McDonald Donald, Chinchwad - Pune Crowd. 411016. Gold Adlabs Multiplex, Kalyani Students, Families and Nagar, Pune – 411014. Foreigners staying in Koregaon oregaon Park, Park, Kalyani Kalyani Nagar and nearby area Supreme Centre, Ground IT prof profes essi sion onal als, s, Famil amilie ies s & Floor, ITI Road, Next to Management students. Bons Bonsai ai,, Aundh undh,, Pune 411001.

IBS PUNE

Page 13


CROSSWORD - ORGANIZATION AND MANAGEMENT

IBS PUNE

Page 14


Group Corporate Structure

IBS PUNE

Page 15


IBS PUNE

Page 16


Source: Annual Reports Organization Structure

Crossword Bookstores Ltd. is a wholly owned subsidiary Company of Shopper's Stop Ltd - India's leading department store chain. The Holding Company inter-alia also acts as a Master Franchisee of the Company. Cross Crosswor word d Bookst Bookstore ore has vertical vertical organizati organizational onal structure structure where where managem management ent follow follows s top-down They have have top-down approach approach. They For designing their cen centrali ralize zed d cont contro roll llin ing g sys system tem. orga organi niza zati tion onal al struc structur ture e base based d on resp respons onsib ibil ilit itie ies s and and task tasks, s, Crossword Book Store used Geographica this Geographicall Approach Approach. In this appr approa oach ch,, work work is allo alloca cated ted on the the basis basis of the geogra geographi phica call location of the organization.

CLASSIFICATION FROM RETAILERS POINT OF VIEW Crossword is a store based retail outlet, in that also it falls in to ownership ownership store and if we go for further classification classification it can stand as a Chain store. Crossword has many retail outlets that are commonly owned and contro controlle lled. d. They They have have a central centralize ized d buying buying and mercha merchandi ndisin sing g system and similar lines of merchandise. Defining the market: IBS PUNE

Page 17


“A group of consumers or organizations that is interested in part partic icul ular ar produ product ct,, has has reco recour urse ses s to purc purcha hase ses s the the prod roduct ucts, and is permi ermittted ted by law law to acq acquire uire thes hese products.”

We will analyze the concept of market especially for Pune based Crossword outlets.

Total Populatio opulation n

Potential market Available market Qualified market Target market

Penetrated market

1. Total population

The total number of people residing in Pune and there are in total of 11 Crossword outlets in Pune. IBS PUNE

Page 18


2. Potential Potential Mark Market et

The resident resident of of nearby areas areas lik like e university university road road, Deccan, Model Model Colo Colony, ny, Eran Erandaw dawan ane, e, Kothru othrud, d, Aundh Aundh,, Bane Baner, r, F C road, J M road, Shivaji nagar, Bhosale nagar and Hinjewadi area as well as having the potential to pay fall in to potential market. 3. Available Available mark market et

Individuals having high disposable income especially from IT and other growing industries fall in to available market. 4. Qualified Qualified available available market market

The individual who are legally permitted to buy the products comes in to qualified available market. 5. Target market market

Identify the individual in the qualified available market that the firm wants to serve is called the target market. Target market for Crossword is basically youth and the old. 6. Penetrat Penetrated ed market market

From target market the individuals who purchases comes in to Penetrated market.

IBS PUNE

Page 19


POSITIONING OF THE RETAIL RETAIL STORE Crossword's Positioning

Crossword, positioned as a lifestyle bookstore, has been able to change this by designing large, spacious, well laid out stores, with brig bright ht chee cheerf rful ul inte interi rior ors s that that enco encour urag age e peop people le to stay stay and and brows browse. e. Simple Simple innova innovation tions s such such as method methodica icall classi classific ficati ations, ons, clear signage, a dedicated enquiry /orders desk, electronic POS and and inve invento ntory ry contr control ol syst system ems s and and attrac attracti tive ve disp displa lays ys mak make looki ooking ng for for book books s a much uch mor more plea pleasu sura rabl ble e exper xperiienc ence. A welcoming café, reading tables and chairs and toilets within the store, (some of the innovations pioneered by Crossword in India) help to ensure that customers are able to browse in comfort for several hours without having to leave. “We were clear that we wanted Crossword to be positioned as a lifestyle bookstore, a place where everyone in the family would find something that interests him,” says Mr R Sriram, CEO and Managing Director, Crossword Bookstores Limited.

IBS PUNE

Page 20


Location

CoreDimensions Merchandise Price

Service

Communication

Improved Quality Quality & Customer Satisfaction atisfaction

Operation tion

Logistics

Finance

Purchasing

Technology

Market Research

Store Functions Functions

Core Dimensions 1. Locatio Location n Location strategy for a store is very important. It is location which determines the customer traffic in a particular mall. In case of Crossword, it has very successfully opened 11 stores in Pune; hence attractive position has been done in these areas. These locations fulfill the objective of targeting various segments from students to earning individuals and families with kids.

2. Merchandise Assortment Planning

IBS PUNE

Page 21


Category Management

A category is retailer’s fundamental unit of analysis for making decisions pertaining to merchandising. A category is a distinct, manageable group of products or services, which are perceived by customers to be inter terrela elated ted and/o d/or substitutab utablle. In crossword, the various categories are- Books, Magazines, Music, CD-ROMs, Movies, Toys, Stationery. The category Management is the process of managing all stock keeping units (SKUs) within a product category. It involves the simultaneously management of price, shelf-space, merchandise strategy, promotional efforts and other elements of the retail mix with within in the categ category ory,, based based on the firm firm’s ’s goals goals,, the the chan changi ging ng environment and the consumer behavior. In crossword, category manager has two main objectives ➢ ➢

Satisfying the customer. Increasing sales in each category.

The responsibilities of the category manager in Crossword book store are: ➢ ➢ ➢ ➢

Interacting with the vendors. Merchandise selection. Merchandise pricing. Worki orking ng with with the adver adverti tisi sing ng depart departme ment nt for devel develop opin ing g various promotion schemes.

IBS PUNE

Page 22


Assortment Plan & Product line in Crossword

An assortment plan depicts what should be carried in a specific categ ategor ory y of merch erchan andi dise se.. An asso assort rtm ment ent plan plan tend tends s to be amal amalga gam mati ation plan planni ning ng of the the GMR GMROI plan plan,, the inven nvento tory ry turnov turnover er plan, plan, sales sales foreca forecasti sting ng and assortm assortment ent planni planning. ng. The assortment plan provides the merchandise planner with a view of what what the the comp compos osit itio ion n of a spec specif ific ic cate catego gory ry of mer merchan chandi dise se should be. The assortment plan of Crossword book store is: 

Books 1. Fiction -- Gener enera al Fiction tion,, India dian Fiction, Classics, Contemporary Classic, Crime and Mystery, Science Fiction & Fantasy, Thrillers, Thr illers, Fables Fables and parables 2. Non Fiction 3. Business and Management 4. Food and Drink 5. India 6. Travel 7. Children 8. New Arrivals 9. Prize Winners



Magazines



CD-ROMs – Audio and Video



Movies – Indian and International

IBS PUNE

Page 23

[RETAIL MANAGEMENT] MANAGEMENT ] CROSSWORD 

Music – Indian and International

 Toys 

Stationery

Cross Crosswor word d obtains obtains books books through through publish publisher, er, manufac manufactur turer, er, or distributor of books and magazines. List of publishers – CATEGORY •

•

•

•

•

•

•

•

•

PUBLISHING HOUSE

ABHINAV PUBLISHINGS DREAMLAND PUBLISHERS BUSINESS-------- GLOBAL VISION PUBLISHING HOUSE THE BOOK SYNDICATE COMPUTER----- LAXMI PUBLICATION PVT LTD. VIKAS PUBLISHING HOUSE PVT LTD. CAMBRIDGE UNIVERSITY PRESS INDIA PVT LTD. EDUCATION----FRANK BROTHERS AND CO. ORIENT PAPERBACKS HEALTH--------SPECTRUM PUBLICATIONS GYAN BOOKS HISTORY-------SHIBHI PUBLICATIONS OSIAN’S THE LITERARY AGENCY TRAVEL--------ANANDA PUBLISHERS GIRI TRADING AGENCY MUSIC---------GYAN BOOKS NATIONAL BOOK TRUST FICTION-------SNAB PUBLISHERS ART---------------

List of ManufacturersIBS PUNE

Page 24


CATEGORY •

•

•

MANUFACTURER

STATIONERY-------------------------- NEELGAGAN, ITC TOY KRAFT INDIA -- T-SERIES, ULTRA, ULTRA, MOSERBAER MOSER BAER TOYS----------------------------------- T-SERIES, ---CD/VCD/DVD---------------------------

Once crossword decides on a suitable determines its optimum brand mix.

strategy

it

3. Pricing Pricing Strategi Strategies es High-Low Pricing

Crossword follows high-low pricing as they reduce the price of their products very occasionally. occasionally. To To attract more customers, these retailers advertise a dvertise frequently. frequently. Coupons Coupons are documents that entitle the holder to a percentage price reduction from the actual price of a product or service at stores stores like like cross crosswor word. d. Crossw Crossword ord also also issues issues these these coupons coupons in lead leadin ing g news newspa pape pers rs to brin bring g in new new cust custom omer ers s and and gene genera rate te positive sales in the short run. Multiple-Unit Pricing

Mult Multip iple le-u -uni nitt pric pricin ing g occu occurs rs when when the the pric price e of each each unit unit in a multiple-unit package is less than the price of each unit if it were sold individually. For example, Crossword offers three books as a bundle for certain price (Rs 1000), which would be less than three books bought separately (399*3 i.e. Rs 1197). Another example could be offering three DVDs for Rs 85 where as if one purchases them separately it would cost much more. IBS PUNE

Page 25


Odd Pricing

Odd pricing refers to the practice of setting retail prices that end in an odd number or just under an even rupee value. For example cros crossw swor ord d book book stor store e sets sets pric prices es lik like Rs. Rs. 299, 299, Rs 395, 395, etc. etc. Through odd pricing, crossword tries to make customers feel that they are paying less for the products offered by the store. Pricing plays an important role in retailing and especially at stores like crossword where in this is one of the important attracting elements to increase the sales and revenue. Pricing also needs to be effec effecti tive ve as it expl explai ains ns the inte interr rrel elati ations onshi hip p betwe between en the the objectives of the retail store and the components of the retail mix. A pricing strategy should help retailers earn a profit and, at the same time, benefit the customers. Crossword thus follows effe effect ctiive pric pricin ing g strat trateg egy y whi which brin brings gs in more ore numb number er of customers and thereby increasing sales and revenue.

4. Communication via Promotion mix at Crossword Crossword

Promotion in the context of a retail store basically means creating awar awaren enes ess s abou aboutt the the retai etaile ler’ r’s s stor tore, its its merc erchand handiise and and services it offers and influencing the perceptions, attitude and behavior of the consumers toward the retailer. Promotion involves four major activities – advertising, maintaining public relations, personal selling and sales promotion. Advertising- print & electronic media are used very extensively. Advertisements on the latest discounts, Book Launches are given in leading newspapers. Customers are given the convenience of placing orders on net.

IBS PUNE

Page 26


The cust custom omer ers s of the the stor store e are are offe offere red d a Public Public relations relations- The membership based on the points which are calculated on the basi basis s of purc purcha hase ses s made made by the the cust custom omer er.. The memb members ers are are offered Free Home Delivery which is referred to as “Dial a book” service. Once you you ente enterr the the stor store, e, you you find find sale sales s Personal Personal SellingSelling- Once pers ersonnel nnel who who assist custo ustom mers ers in making purchases by prov provid iding ing info inform rmati ation on to cust custom omers ers about about the avai availa labi bili lity ty of books, prices etc. The personnel takes into account the customer feedback form. promot ote e its its sale sales s cros crossw swor ord d launc launched hed a Sales PromotionPromotion-to prom number number of events. events. In 1998 Cross Crosswor word d launched launched the Crossw Crossword ord Book Award to recognize & reward the best Indian writing. There was one cash prize of Rs 300,000 for each category. In 1999, a new category was added: Indian Language Fiction translation into Engl Englis ish h & the the cash ash priz prize e was was incr ncrease eased. d. Late Laterr Vodaf odafon one e Crossword Book Award was also started. It also started a weekly reading program for children. Various Book Launches were also organized by Crossword to promote sales. Further once in every year usually post Diwali Crossword has its yearly sale. In addition to this it also gives discounts to Corporates & institutions. Apart from the above factors, the Store atmosphere of a retail store is also a paid form of impersonal communication. It involves all the attributes like architecture, design, displays, color scheme, lighting, music, fragrance etc.. If we analyze the store atmosphere atmosphere of Crossword Crossword we can say that it scores pretty high in this area.

Competitive Objectives & Its Competitors IBS PUNE

Page 27


A retailer of a book store would pursue various competitive price obje object ctiv ives es lik like meet meetin ing g comp compet etit itor or’s ’s pric prices es,, prev preven enti ting ng an increase in competitors, or working towards non price competition. Looking at the competition we compared crossword book store with oxford oxford book store and analyzed that the prices of the products at both the stores were within the same range and there was not any huge difference. difference. However a deeper look at the pric pricin ing g stra strate tegi gies es show shows s that that Oxfo Oxford rd has has mor more comp compet etit itiv ive e advantage over crossword as the same ‘best-seller’ is offered at a lower price in Oxford. For Example: ‘Greatness Guide 2’ written by Robin Sharma is offered at a price of Rs195 at crossword but at oxford it is issued at 10% discount and is priced at Rs 170. Another example could be of ‘The Alchemist’ written by Paulo Coelho which is priced at Rs 470 in crossword but in oxford there are conditions like if delivery of the product is done within 48 hours the price charged would be Rs 195 and if done within two weeks the price would be Rs 150.

Main Competitors of Crossword: From Bangalore – Landmark, Axis Books, Gangaram’s, Blossoms From Mumbai – Odyssey, Oxford Bookstore From Madras – Landmark, Moore Market, Oxford Bookstore From Delhi – First & Second Bookshop, Midland Bookshop From Pune – Landmark

WHAT LIES AHEAD & CHALLENGES In the next three years, Crossword plans to open 100 stores, which would be a mix of franchised and company-owned stores. Crossword has IBS PUNE

Page 28


also tied up with Hindustan Petroleum Corporation Ltd to launch bookstores in HPCL outlets, four of which are already operational in Mumbai. RPG retail is also set to enter this sector with its books beyond outlets. The bookstores will follow the Music World strategy for its expansion. The first standalone outlet will be opened in Kolkata before launching a pan- India presence. The outlets are to occupy spaces between 15,000 – 18,000 square feet & will also include the concept of a Music World & a café. The world’s largest bookseller, Barnes & Noble is planning an India dia retai tail chap hapter ter too too. It is bel believe eved tha that the US-based bookseller bookseller is in talks with the future group for a possible tie-up to laun launch ch its its book bookst stor ores es in Indi India. a. Apar Apartt from books the US bestseller also sells music, DVDs, newspapers and magazi magazines. nes. Barnes Barnes & Nobel Nobel curren currently tly operates 801 bookstores in the US; & it sells around 445 million books per year through its online & offline operations. It is als also the the seco econd-l nd-lar arge ges st coff coffee ee house in the US. Amazon.com which offers online shop shoppi ping ng for for book books, s, CDs, CDs, DVDs DVDs etc. etc. can can be bigg bigges estt threa threatt to Crossword and other bookstores. Maybe it’s time for Crossword to retail books online where consumers have a wider choice of reading reviews before making purchase decisions.

IBS PUNE

Page 29


REFERENCES Books / Publications: •

Retail Management by b y Bajaj, Tuli, Srivastava

•

Retail Management by Swapna Pradhan

•

Retail Management - ICMR

•

India Retail Report 2007

Websites: •

http://www.thehindubusinessline.com/2006/11/29/stories/20 06112901300500.htm

•

http://retailindustry.about.com/?once=true&

•

http://www.crosswordbookstores.com/H http://www.crosswordbookstores.com/Html/AboutCW tml/AboutCW.htm .htm

•

•

•

http://www.crosswordbookstores.com/Html/vendorshomepage.asp http://www.crosswordbookstores.com/Html/franchisehomepage1.asp http://www.crosswordbookstores.com/Html/gift%20vouchershomepage.asp

•

http://crosswordbookstores.com/html/brp-homepage.asp

•

http://crosswordbookstores.com/html/BestSellersDetails.asp

•

http://crosswordbookstores.com/html/sriram%20recohomepage.asp

•

http://crosswordbookstores.com/html/events-homepage.htm

•

www.oxfordbookstore.com

IBS PUNE

Page 30

[RETAIL MANAGEMENT] MANAGEMENT ] CROSSWORD •

www.amazon.com

IBS PUNE

Page 31

Final Report of Crossword

Recommend Documents