Published on March 13, 2014
Lulu Fashion Store GROUP-2 AMIT MISHRA, ANJU S NAIR, BHAVYA M, DHEERAJ E.D, LAVANYA AB RETAIL MANAGEMENT AMRITA SCHOOL OF BUSINESS
Agenda About the organization Lulu Fashion store features Store design Store operations Supply chain Major brands Purchasing behavior Promotions Recommendations 2
Established in 1990 at Abu Dhabi. Founder- M K Abdulla Managing Director- Mr. M A Yousaf Ali. Well-known business group based in Abu-Dhabi Have established over110 hypermarkets About the Organization 3
Locations- UAE, Oman, Qatar, Kuwait, KSA, Bahrain, Indonesia, Thailand, Hong Kong, China, Kenya, Tanzania, Benin, Egypt Annual turnover- 5.1 billion US $ Providing employment over 30,000 people across the globe. Forbes ranks LuLu 3rd most impactful company in the Arab world 4About the Organization
Business ventures Retail outlets( Hypermarkets, fashion stores, department stores, electronics and digital stores, etc. ) Shopping malls Travel and Tourism Hotels and Convention centers 5
IT firm Flight kitchens Commodities trading Hospital Food processing Education 6Business ventures
Lulu Mall First retail venture of the group in India. One of the Asia’s largest shopping mall. Largest hypermarket in Kerala. Also established four verticals. • LuLu Hypermarket • LuLu Fashion store • LuLu Connect • LuLu Celebrate 7
Hierarchy of the Organization 8
Fashion Store 9
Lulu Fashion Store Department store • Apparel & foot wear • Travel accessories • Toys and gifts • Jewellery • Fashion Accessories • Cosmetics • Sports and fitness equipments 10
1000 ways to make you smarter More than 300 brands – 98 International brands Shop in Shop Target customers – Mass Audience Positioning – Premium fashion and life style store Impulse buying Lulu Fashion Store 11
Store features • 60,000 sq.ft • Average footfall – 9,000 to 10,000 per day • Peak sales time – 5PM to 10PM(week days), 10AM to 10 PM (weekend days) • Conversion rate- 45% - 60% • 11 billing counters • Destination store Lulu Fashion Store 12
Manpower • More than 200 employees • Headed by business head retail ( MA Nishad) • Operations manager • Marketing manager • Store manager • Buyers • Visual merchandisers • Sales staff • Promoters Lulu Fashion Store 13
Store Design Layout • Free form 14
Store Design Interior design • Store atmospherics • Ambience • Seasonal themes • Trial of cosmetics products • Make-up demo • Proper stacking of products • Soft music and lighting • Window display and mannequins • New arrival section for each category • Clean and tidy environment 16
Store timing- 10: AM to 11: PM Arrangement of SKU – before 9:30 AM Stock checking daily Daily sales report Shrinkage - < .5%, < .8% ( cosmetics) Packing and unpacking Pricing – LRP ( 2% - 7% of MRP) Main store Stock Keeping Back End Office Store Operations 17
Departments Buying and merchandising Finance and accounts HR IT Public relations Operations Marketing 18
Supply Chain Suppliers • Madura garments • Aravind mills • Future group • Intercraft • SR international • Sahyog International • Indigo creations 19
Supplier locations • China • Thailand • Abu Dhabi • India o Mumbai o Tirupur o Delhi o Surat Supply Chain 20
Warehouse • At Paravoor • Mode of transport – Store’s own vehicles • Unpacking, sorting and segregation • Final assortment and price labeling at store back end area • All documentations are computerized • Buyers are responsible for product selection and order placement Supply Chain 21
Major Brands at the Store Unisex Fashion John Louis Ala made Turtle Flying machine Satya Diya Bloom Sizz La fille Lee cooper Classic polo Adidas Nike Wildcraft Puma UCB Gini & Jhony Jockey Vardhaman Peter England Louis Philippe V-star Samsonite VIP Allen Solly Black berry Biba Timex Rado Posche Blue Fastrack Titan American Tourister 22
Purchasing Behavior Conversion ratio • Planned -10% • Impulse buying -90% • Weekend footfall- 30,000 to 40,000 • Most sold category- Women's and Kids wear • An average time spent by customer 40minutes to 80 minutes • Trolley system 24
Promotions Multipack Discounts Combo offers Cross-promotions Leaflets Banners Newspaper Ads Hoardings 25
Promotions Radio Ads Social media Shelf-Talkers Banners Pillar-Branding Glass-Branding Ad agencies involved — Takashi Walter — Jelitta Publicity — Dots — Print express 27
Current Promotional Activities Gift vouchers Coupons X’ Mas season sale Forward magazine make over Sponsoring programs in FM radios 29
Competitors Reliance trends Fashion at big bazaar Westside 31
Recommendations LuLu Fashion Store should adopt customer loyalty program Create an emotional connect through simple useful services Go beyond product satisfaction to overall brand experience Should launch private brands Location map for at the store entrance Sponsorship for fashion related events and media programs 32
Customer feed back • More depth and breadth required in woman's apparel • Should do more promotions for offers and schemes • Sales staff involvement should improve • Should start exclusive website 33Recommendations
Thank You 34
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