Marketing Strategies of Retail Sector A Comparative Study of Reliance Limited and Future Retail Limited

Abstract

Across the world, organized retail industry is as old as a century, where its evolution can be traced back to 1900s. The format was highly confined to mom-and-pop stores only that too in selected developed nations. Besides, that was not the actual retail format; but the comparable version of retail sector. newlineTill 1940s: The early 1900s saw mostly local stores with special mention of mom- and-pop stores, which is still the oldest form and prevalent in many nations. This was usually a small family managed outlet having business operations at single place only. The shopping experience was on the discretion of shopkeeper decisions. Whatever shopkeeper showed, was purchased by the customers. Gradually, the products were seen on display and customer could choose. Later, self-service model was established where customers could select the product of their own and pay accordingly. This was the nascent wave of organized retail. Now, the customer had more power. The concept of touch-and-feel was realized. The dependence on shopkeeper got reduced and it was basically a good deal for all. In late 1930s, shopkeepers tried to ensure that customers spend more time in stores; facilities like drinking water and washrooms were opened for the customers. This worked well and the response was positive. All these concepts were largely confined to western nations only. newline1940s to 1970s: In America, the 1950s witnessed shopping mall movement in early phase. Though these malls were meant for the elite class customers, this marked the beginning in the USA. Due to more facilities and choices like air conditioning in the store, the footfall gradually increased. The brands were limited, prices were high, but it created sales for the target customers. newline1970s to 2000s newlineIt was the time when the moment of shopping mall was gradually moving to the developing countries like Brazil and India. During this period, the target was metropolitan cities of country so that maximum sales could be brought from the limited stores. In India this was mar