1. Sinhagad Institue Of Business
Management
RETAIL MANAGEMENT
Case Study –
RELIANCE

3. Vision
GROWTH
THROUGH
VALUE
CREATION

4. Company Profile :
 Industry: Retail
 Type: Convenience Store
 100% Subsidiary Of
Relaince Industries Ltd
 Chairman & Managing
Director: Mukesh Ambani
 Founded: 30th October
2006
 Headquarter: Mumbai
 453 Stores pan India
 Average Area: 1100-7500
sqft

5. Business Model
Store Size – Small & Medium Store
Merchndise – Food & FMCG Products
Investment Per Store – Rs 5 To 6 Million
Catchment Area – 2 To 3 Sq Km Radius
Market Positioning – Convinence Store

6. Inefficient Agriculture Supply Chain in India
6

7. Reliance Fresh : Supply Chain Model
Model 1: First Reliance Fresh Model
7

8. Reliance Fresh : Supply Chain Model
Model 2: Wholesale Trading Model (WTS)
8

9.  Supply Chain Model

10. Operational Startegy
Branded
Direct Approach To Manufacturer
Private Lable
Backward Integration Strtegy
Local Vendor Developement With Focus On “GOOD
QUALITY AT CHEAP PRICE”
Example : Buying Bakery Prodcuts From Tihar Jail

11. Retail Mix – Reliance Fresh

12. Product Range:ONLY VEGETERIAN
 Fresh Vegetables & Fruits
 Staple
 Processed Food
 Beverages
 Personal & Home Care
 Dairy Products

13. MERCHANDISE DETAILS
Product width:
Fruits, Vegetables, Juices and other FMCG
Products.
Product length:
Fruits and vegetables both Indian and imported are
available.
FMCG Product length:
Personnel & Home care

14. Place:
 Located in small commercial complexes close to Residential
areas
 Observation: Close to cross roads
 Metro & Tier I Cities

15. Pricing:
 Low prized private labels
 Perishable merchandise are put on discount of 20% after 4 pm every day
 Discount on bulk buying
 Revises the rate list sent by the head office.

16. Promotion:
 Main idea – Make bulk purchase
 Discount scheme days – Saturday and Sunday
 Promotions In Local Print Media
 Reliance fresh membership card – Reliance One

17. SWOT Analysis

18. Strength:
 Strong Financial s Of Holding Company & Brand
 Private Label Sale – Reliance Select
 Contract Farming
 Network – 1600 channels in villages
 Backward Integration Strategy

19. Weakness:
 Poor inventory control
 Less Innovative Promotional Scheme
 Lack Of Use Of Advance Of Information Technology
 Lack Of Facilities To Customers like Parking,Compact
Layout etc

20. Opportunities:

Increase In Net Margin

Untapped Rural Market Potential

Sale of Reliance Select products In Open Market

Expansion In Metro & Tier Cities

21. Threats:
 Domestic Competitors like Big Bazar
 Brand Cautious Customers
 Opposition From Unorganized Retailers
 Employee Attrition Rate
 Change In FDI Norms in Retail Sectors

22.  Eg: Banjara hill outlets-sourced directly- vantimamdi, chevella, and
nearby mandals in ranga reddy district.
 Recruiting People – Underprivileged Community
 Biometric Cards – Farmers – Loans upto Rs. 15000
 Training the farmer
 Information centre:
 Increase productivity
 Market rates of different Corps
 Technical Help
 Quality of seeds and fertilizers

23. Future Plans of Reliance Retail Ltd.

24. Future plans:
 Plans to invest Rs 25000 Crore in next 4 year in their retail division
 Train Students and Housewives – Customer care & Quality service
– Part time job
 Every Indian Consumer _ Reliance Consumer
Expansion To 800 cities Pan India
 Focus on Research & Development In Agriculture Sector
 Building Of Financial Institution For Agriculture Sector