E.T.7.Feb.2011. Investor’s Guide.
SHOPPERS’ DELIGHT
Shoppers’ Stop’s expansion plans are likely to fuel its future growth. There is a positive sign for long term investors, this leading fashion and lifestyle retailer has performed well in the quarter ended December 2010 even though it not able to perform well on FY-08,FY-09.Now they are going for expension.Their subsisary company is HYPERCITY apart from shoppers’ stop they have another 5 retail formats - Home stop(home furnishing),Mother care(baby care),Crosswords(Books and music),Estee lauder (cosmetics),Mac (cosmetics).
Now how they became successful again what all are their strategies?????????What is their store sale formula???????
Shoppers’ Stop applies Flexible-Multi Brand Approach that allows easy replacement of less popular brands(If you are not entirely satisfied with your purchase, you may exchange or return within 14 days).This strategy is not applied by other retail players like provogue,kutons etc,So here shopper stop is gaining delighting their customers.
Shoppers’ Stop’s Customer loyalty program “first citizen membership” increases their customer till 1.9 billion. They believe that this program will help them in future price hikes.
there are many benefits of becoming a First Citizen, such as,
a) Reward Points for every time you shop at Shoppers Stop stores or shoppersstop.com
b) Exclusive benefits & privileges
c) Exclusive offers ever so often
d) Updates on what you can look forward to shop for at Shoppers Stop
e) Exclusive cash counters at Shoppers Stop so you can spend more time shopping than
waiting in a line
Rs. 200 enrolment fee is only payable the first time you enroll into the First Citizen program, whether in our stores
or on our website.
It has plan to add 24 stores in tier I and tier II cities in next 3 years .After various experiments they believe that they will be successful if they go for expansion. IT will give an excellent return to the investors.
1. because of their brand values.
2. Steady economic growth
3. rising income level.
4. Increasing consumer’s confidence.