Monday, December 18, 2006
15th Asian Games - The Games of Your Life
The 15th Asian Games have finally come to an end with a spectacular display of fireworks and some of the best standards in the opening and closing ceremonies ever seen in the region or perhaps the world. I am sure the next venue, China must be nervous in putting up an equally good show.
It was appx. 3 years ago I had landed in Qatar. Since then I have closely watched the progress in preparation of the games, be it roads, airport, stadiums and general ambience of the city. It must have been a Herculean task for DAGOC and the Qatari Government to achieve. As is usually the case, everybody in the country was asking only question “Can Qatar do it”.
I am fortunate to witness to 2 Asian Games, the 9th Asian Games in 1982 held in New Delhi and now the 15th Asian Games in Qatar. A lot has changed in these 24 years. I still remember, the Jawahar Lal Nehru Stadium & Indira Gandhi Indoor Stadium were acclaimed to be an architectural achievement. Today I can for sure say that the Khalifa stadium and ASPIRE stadium would easily be amongst the best in the world. Qatar put on the best Asian Games ever, the biggest Asian Games ever, the highest standard of Asian Games in terms of both sporting achievement and planning ever.
Qatar even won some medals too. Qatar’s success on the field amazed everyone and leaves a legacy for the whole country and the wider Middle East.
Never before had a Middle Eastern country and region staged anything on this scale. Now Qatar has done it.
As retailers, we made the best use of the time and had the pleasure of receiving atheletes in our mall.
It was appx. 3 years ago I had landed in Qatar. Since then I have closely watched the progress in preparation of the games, be it roads, airport, stadiums and general ambience of the city. It must have been a Herculean task for DAGOC and the Qatari Government to achieve. As is usually the case, everybody in the country was asking only question “Can Qatar do it”.
I am fortunate to witness to 2 Asian Games, the 9th Asian Games in 1982 held in New Delhi and now the 15th Asian Games in Qatar. A lot has changed in these 24 years. I still remember, the Jawahar Lal Nehru Stadium & Indira Gandhi Indoor Stadium were acclaimed to be an architectural achievement. Today I can for sure say that the Khalifa stadium and ASPIRE stadium would easily be amongst the best in the world. Qatar put on the best Asian Games ever, the biggest Asian Games ever, the highest standard of Asian Games in terms of both sporting achievement and planning ever.
Qatar even won some medals too. Qatar’s success on the field amazed everyone and leaves a legacy for the whole country and the wider Middle East.
Never before had a Middle Eastern country and region staged anything on this scale. Now Qatar has done it.
As retailers, we made the best use of the time and had the pleasure of receiving atheletes in our mall.
Sportspersons Honoured at Centrepoint
It was a great occassion at Centrepoint when sportspersons visited the mall on 14th December. Amongst the known personalities was PT Usha, a veteren olympian & flying queen of the 80s & 90s. As a token of appreciation, gift vouchers were handed over to the visiting sports personalities. Surprisingly, there were many non-Indians in the crowd who instantly recognised PT Usha.
Thursday, December 07, 2006
Vibrant Strocks
A fashion show was held recently at Centrepoint that showcased the new winter collection. Young models in a splash of vibrant hues displayed fine cuts and a blend of fabrics.
Splash created its new autumn/ winter collection drawing heavily from styles of the 1950s and 1920s.
Thursday, September 28, 2006
Ramadan Kareem
As the month of Ramadan begins, Centrepoint is all geared up to usher in the festive season. The shopping mall is all set to reflect the culture and tradition of Arabs in a unique way. Right from the decoration of the mall to shopping at the various outlets there is plenty to look forward to.
Special attention has been paid to the decoration of the mall. A Majlis tent has been set up with customary low seats and hookahs. An Oasis a replica of a typical desert oasis complete with date palms, water fall and a camel has also been set up. The mall has been delightfully lit-up
Special attention has been paid to the decoration of the mall. A Majlis tent has been set up with customary low seats and hookahs. An Oasis a replica of a typical desert oasis complete with date palms, water fall and a camel has also been set up. The mall has been delightfully lit-up
Sunday, August 13, 2006
Back to School
It's school time again! Children are probably feeling excited and maybe a little sad and parents relieved that summer is over . Some kids feel nervous or a little scared on the first day of school because of all the new things: new teachers, new friends, and maybe even a new school. Luckily, these "new" worries only stick around for a little while. On the other front it is also shopping time for the kids to buy their new stuff with the latest characters on their school bags and accessories. World over most of the shopping centres do events to lure the young customers. Now-a-days some of the items such as lap-tops, MP3, I-Pods etc. are marketed as Back-to-school stuff. In our times these did not even exist. Times have really changed.We at Centrepoint have also did our bit to promote this event. The Centrepoint “Back to School” celebration is an event with a difference. The 20 day long event started on an impressive note on the 7th of August. It is first of its kind, when it comes to the unique presentation, significance and activities it offers to children and families.
Centrepoint welcomes the visitors right at the entrances with attractive display of thematic cutouts of a boy and a girl getting ready for school, and larger-than-life models of a “pencil” and “sharpener,” which look right out of a fairytale.
Starting from 6 to 10 in the evening on weekdays and 4 to 10 on weekends, an array of festive activities have been lined up. The activities have been uniquely branded as “Henna Point,” “Art Point,” “Fashionail Point,” and “Photo Point.” And within couple of days into the event, these activities have already gained in popularity among the nationals and expatriates alike. The “Photo Point” for instance is a must-not-miss activity that has caught the attention of one and all. This is where you will come across “Stand-in” life-size cutouts of celebrated cartoon characters, in which children can get themselves photographed. The photographs are processed on the spot through a computer and pictures are handed-over instantly.
Tuesday, August 08, 2006
Success - Can it be taken for granted
During my recent US trip, I happened to read an article on Wal-Marts performance outside the US. Wal-Mart raised the white flag in Germany. What would have gone wrong with the giant where millions of Americans go shopping?.
The article revealed the following main reasons for its not so successful venture in Germany.
Food is cheaper at German discount chains. Germans do not visit the store often, because it is on the edge of town. This explains that perhaps out of town centers may not be popular in Europe.
Wal-Mart’s problems are not limited to Germany alone. The retail giant has struggled in countries like South Korea and Japan as it discovered that its formula for success — low prices, zealous inventory control and a large array of merchandise — did not translate to markets with their own discount chains and shoppers with different habits.
In Germany, Wal-Mart stopped requiring sales clerks to smile at customers — a practice that some male shoppers interpreted as flirting — and scrapped the morning Wal-Mart chant by staff members.
People found these things strange; Germans don’t behave that way.
Wal-Mart’s changes came too late for Germany, but they could help it crack other markets, like China, where it already has 60 stores and 30,000 employees. Far from being chastened by its setbacks, Wal-Mart is forging ahead with an aggressive program of foreign acquisitions.
Starting from scratch 14 years ago, Wal-Mart International has grown into a $63 billion business.
Wal-Mart Germany, with 85 stores and $2.5 billion in sales, is almost a footnote for a company focused on Asia and Latin America. But the problems it encountered here have echoes elsewhere. For example, it never established comfortable relations with its German labor unions.
Compounding the problem, Wal-Mart shut down the headquarters of one of the chains, infuriating employees who opted to quit rather than move. Such a decision would have been routine in the United States
In South Korea, Wal-Mart had only 16 stores — a small presence that contributed to its decision in May to sell out to a Korean discount chain. Many Koreans have never heard of Wal-Mart. In Seoul, a sprawling area of 10 million, there is only a single store.
Wal-Mart’s German experience also taught it to use local management. The company initially installed American executives, who had little feel for what German consumers wanted.
Human habits vary from region to region and what will make one succesful is the ease with which one can adapt to the situation be it an individual or an organisation.
The article revealed the following main reasons for its not so successful venture in Germany.
Food is cheaper at German discount chains. Germans do not visit the store often, because it is on the edge of town. This explains that perhaps out of town centers may not be popular in Europe.
Wal-Mart’s problems are not limited to Germany alone. The retail giant has struggled in countries like South Korea and Japan as it discovered that its formula for success — low prices, zealous inventory control and a large array of merchandise — did not translate to markets with their own discount chains and shoppers with different habits.
In Germany, Wal-Mart stopped requiring sales clerks to smile at customers — a practice that some male shoppers interpreted as flirting — and scrapped the morning Wal-Mart chant by staff members.
People found these things strange; Germans don’t behave that way.
Wal-Mart’s changes came too late for Germany, but they could help it crack other markets, like China, where it already has 60 stores and 30,000 employees. Far from being chastened by its setbacks, Wal-Mart is forging ahead with an aggressive program of foreign acquisitions.
Starting from scratch 14 years ago, Wal-Mart International has grown into a $63 billion business.
Wal-Mart Germany, with 85 stores and $2.5 billion in sales, is almost a footnote for a company focused on Asia and Latin America. But the problems it encountered here have echoes elsewhere. For example, it never established comfortable relations with its German labor unions.
Compounding the problem, Wal-Mart shut down the headquarters of one of the chains, infuriating employees who opted to quit rather than move. Such a decision would have been routine in the United States
In South Korea, Wal-Mart had only 16 stores — a small presence that contributed to its decision in May to sell out to a Korean discount chain. Many Koreans have never heard of Wal-Mart. In Seoul, a sprawling area of 10 million, there is only a single store.
Wal-Mart’s German experience also taught it to use local management. The company initially installed American executives, who had little feel for what German consumers wanted.
Human habits vary from region to region and what will make one succesful is the ease with which one can adapt to the situation be it an individual or an organisation.
Sunday, July 02, 2006
Football Fever at Centre Point
While Football fever gripped the world, we at Al Asmak Mall joined in the celebrations with many interesting events and promotions to keep the customers entertained and to ensure that they didn't miss out on the main action while they shopped. To keep up with mood and excitment, a month long campaign was launched .The mall interiros were a riot of colors when flags of 32 participating countries were put up all over, bringing in a vibrant look and festive atmosphere. Two large plasma screens were also put up for the live action. Framed autographed T-Shirts that had belonged to world cups 'Living Legends' Pele and Maradona attracted both young and old alike.
Mini flags were distributed and face painting became a major hit with children. Parents shopped in peace while children got their faces painted the colours of their favorite teams. The human statue and freestyle soccer "magician" became a rage with the locals. Jaison Maverick, the famous human statue artist from London thrilled the shoppers with different stone like forms, making many mistake him for a real statue.
Wednesday, June 28, 2006
Size does matter for some
Reliance Retail subsidiary of RIL that is to spearhead the retail foray, will have an equity of Rs. 10000 crores.
Ambani outlined a 3 pronged strategy for the company. This called for focus on urban infrastructure and special economic zones, new economy business in life sciences and health care and cross border acquisitions in existing and new businesses.
Reliance Retail would have a foot print in 1500 cities and towns through convenience stores, supermarkets, speciality stores and hypermarkets; and will create one million jobs.
The objective was to cater to both mass markets as well as the luxury segment through an array of international and Indian brands. The company would partner farmers, logistics operators, small shopkeepers and traders.
Ambani outlined a 3 pronged strategy for the company. This called for focus on urban infrastructure and special economic zones, new economy business in life sciences and health care and cross border acquisitions in existing and new businesses.
Reliance Retail would have a foot print in 1500 cities and towns through convenience stores, supermarkets, speciality stores and hypermarkets; and will create one million jobs.
The objective was to cater to both mass markets as well as the luxury segment through an array of international and Indian brands. The company would partner farmers, logistics operators, small shopkeepers and traders.
Monday, June 05, 2006
E-Max opens in Qatar
E-Max, the new entrant in the Landmark Group basket, has recently opened in Qatar. It is a 12000 Sft. electronics shop. It offers all the latest ranges in consumer electronics, photography products, telecom, home appliances and health & beauty products.
With this we hope to take electronics retailing in Qatar to the next level. It will be the first multi brand electronics showroom here.
Let us wish them happy retailing without shocks.
Thursday, March 30, 2006
A decade in the Gulf
It was exactly 10 years ago I left the Indian shores looking for greener pastures abroad. It has been a long way since then. I would term my decision to leave, a plum finance job in HCL Hewlett-Packard, a mixed bag rather than an outright correct decision.
IT in the early 90’s was a vibrant industry in India and on top of that when you are working for the blue chip co in the industry, taking the decision to leave is really a hard one. However, the craze of working abroad prevailed over me. While you are in India, you think everything is wonderful in the foreign land. When I left HCL, I was the Senior Finance Manager in the corporate finance division and had the opportunity to closely work with some of the stalwart in finance Mr.Subroto Bhattacharya, Director Finance and Mr.Anil Chanana, Vice President Finance. I learned a lot under their able leadership.
28th March 1996 was my last day in HCL. On 31st March 1996, I landed in Dubai. I had taken up a job of Finance Manager with an up-coming retail group. They had moved from Bahrain to Dubai as a first step of their expansion into the GCC. The profile of a finance person is very different in the gulf compared to that in India. By India standards it was nothing but basic accounting function. Fortunately for me, my job profile was more on the operations side. Further more, I was working for a fast paced and dynamic organization which has kept me going and kept me away from the mundane jobs.
Today, I am doing reasonably well with this organization as a Chief Operating Officer. However, when I analyze what I would have been if I had stayed on in India, the scenario does not seem to be very different. I would have been in a very similar position in any organization. Financially also I would have been well off as packages in India are now very attractive along with stock-options etc. One clear advantage that I see in my decision was that I happened to land in a retail organization and this industry is going to rule for many more years to come. Further more, it has given me the opportunity to travel the world and see almost 16 countries and work in 4.
Despite working in the Gulf for a decade, I cannot say for sure how many more years I would stay here as certain things cannot be taken for granted. This is what Gulf is all about.
IT in the early 90’s was a vibrant industry in India and on top of that when you are working for the blue chip co in the industry, taking the decision to leave is really a hard one. However, the craze of working abroad prevailed over me. While you are in India, you think everything is wonderful in the foreign land. When I left HCL, I was the Senior Finance Manager in the corporate finance division and had the opportunity to closely work with some of the stalwart in finance Mr.Subroto Bhattacharya, Director Finance and Mr.Anil Chanana, Vice President Finance. I learned a lot under their able leadership.
28th March 1996 was my last day in HCL. On 31st March 1996, I landed in Dubai. I had taken up a job of Finance Manager with an up-coming retail group. They had moved from Bahrain to Dubai as a first step of their expansion into the GCC. The profile of a finance person is very different in the gulf compared to that in India. By India standards it was nothing but basic accounting function. Fortunately for me, my job profile was more on the operations side. Further more, I was working for a fast paced and dynamic organization which has kept me going and kept me away from the mundane jobs.
Today, I am doing reasonably well with this organization as a Chief Operating Officer. However, when I analyze what I would have been if I had stayed on in India, the scenario does not seem to be very different. I would have been in a very similar position in any organization. Financially also I would have been well off as packages in India are now very attractive along with stock-options etc. One clear advantage that I see in my decision was that I happened to land in a retail organization and this industry is going to rule for many more years to come. Further more, it has given me the opportunity to travel the world and see almost 16 countries and work in 4.
Despite working in the Gulf for a decade, I cannot say for sure how many more years I would stay here as certain things cannot be taken for granted. This is what Gulf is all about.
Saturday, March 25, 2006
Retail Excellence
Recently RetailME awards function was held in
GCC, in the recent times have seen an immense up-gradation in the retailing standards. If we go back a decade ago and compare those standards with that of present times, the difference is very apparent. No doubt
The main reasons for this fast paced development can be attributed to the following:-
- A very structured vision of the rulers and people in high positions.
- Surplus oil income. This has enabled the local investors to pump in money to build state-of-the-art shopping centers/ malls. Most of the new developments are based on exquisite themes which take you back to the yesteryears in terms of cultures from around the world coupled with modern entertainment facilities such as the Ski Dome in MOE.
- Development of freehold projects which gives rights to non-residents to acquire properties and the right to stay in the country on long term basis. This has led to increase in influx of people. Above all, it has led to immense confidence to the non-local business community to commit themselves with long term perspective.
- Development of free-zones and project based on specific themes such as education city, internet city, film city, sports city etc. have prompted many international leaders in these fields to set up offices in this region. Just to mention here that despite UAE being a non- cricket playing country, ICC has shifted its headquarters from
All in all the above factors have led to spurt in economic activity. With funds being not a constraint has led to supporting the economy adequately and timely. On the other hand, international players from
One major thing these international players have brought with them is the sense of quality & standards. This has also made the regional and local players to wake up and push themselves up.
I think, the next decade or so is a good time for the retail industry in the region which will speak for itself and should be at par internationally.
A beginning has been made in this direction which is reflected in the fact that some of the awards were directly focused on the retailing standards such as Business Excellence of the year, Customer service initiative of the year, Store design of the year and Loyalty programme of the year.
Monday, March 06, 2006
I was in the news
Saturday, December 31, 2005
Centrepoint opens In Qatar
It is a dream come true for me. This was one of my first assignments when I took charge of Doha operations of Landmark Group.
Finally the Mall has been completed and is all set to trade and receive the customers. All the shops have come out well. Hopefully this will take the retailing in Qatar to new heights.
The five leading retail concepts – Babyshop, Shoe Mart, Splash, Home Centre and City Lifestyle – have unified into a single destination-store.
Called Centrepoint, this new destination will be a one stop shop for the entire family as it is spread around 215,000 square feet. Enter Centrepoint and you will find separate zones within – popular brands of fashion apparel and stylish footwear. A huge variety of home décor and furnishings will compliment the wide range of accessories, object d’art and beauty products and everything for babies and children.
Besides this, the Centre will also have an E-Max, electronics store and a children edutainment concept. For the discerning women there is a jewellery store, a watch retail concept. And once all the shopping is done, stop by the food court to enjoy a meal at the food court which will house international names. Centrepoint will be positioned as a leading international fashion shopping destination that gives a unique experience and provides something for the entire family.
Wish you all a HAPPY SHOPPING AT CENTERPOINT and a "VERY HAPPY NEW YEAR 2006"
Monday, November 14, 2005
IKEA opens In Festival City, Dubai
IKEA the world’s largest home furniture and furnishings store is all set to open a massive store in Dubai Festival City on 16th November. This Swedish chain started operations in UAE in 1991, with the first showroom located in Zaabeel Road. In the year 1995 they moved to the Deira City Centre. In March 2001, it opened a new store in Marina Mall, Abu Dhabi.
All eyes will be on this store that day.
All eyes will be on this store that day.
Tuesday, November 01, 2005
Prosperity and Population Boom
During my recent recruitment trip to India, I had the chance of visiting all the five major metros i.e Mumbai, Bangalore, Chennai, Hyderabad and Delhi.
The common features that I observed in these cities were
a) huge amount of disorganized traffic. I think the number of vehicles on the Indian roads has gone up many folds in the last few years. The infrastructure in unable to cope up with this growth. For example, in Bangalore a short distance of 1 km can take about 30-45 minutes. Same was the situation in Hyderabad and Chennai. Delhi was comparatively better organized.
b) Shopping malls sprucing up all over the city. Bangalore and Hyderabad were more apparent though it is happening in all the major metros and in the second grade cities as well.
c) In all the places people talked only about the real estate boom.
d) With the retail and IT (call center) boom in India, the general salary levels have seen a massive increase and therefore salary expectations for overseas jobs has gone up and the craze to go abroad has gone down.
e) With retail coming up in a big way, sourcing of trained manpower has become easier even though it is at a higher cost.
I guess everything is going well for India except in the field of population which is exploding. This one single factor keeps undoing the benefits of prosperity that every Indian deserves. This cannot happen unless measures are taken to control the population growth.
The common features that I observed in these cities were
a) huge amount of disorganized traffic. I think the number of vehicles on the Indian roads has gone up many folds in the last few years. The infrastructure in unable to cope up with this growth. For example, in Bangalore a short distance of 1 km can take about 30-45 minutes. Same was the situation in Hyderabad and Chennai. Delhi was comparatively better organized.
b) Shopping malls sprucing up all over the city. Bangalore and Hyderabad were more apparent though it is happening in all the major metros and in the second grade cities as well.
c) In all the places people talked only about the real estate boom.
d) With the retail and IT (call center) boom in India, the general salary levels have seen a massive increase and therefore salary expectations for overseas jobs has gone up and the craze to go abroad has gone down.
e) With retail coming up in a big way, sourcing of trained manpower has become easier even though it is at a higher cost.
I guess everything is going well for India except in the field of population which is exploding. This one single factor keeps undoing the benefits of prosperity that every Indian deserves. This cannot happen unless measures are taken to control the population growth.
Thursday, October 27, 2005
Ramadan Kareem and Eid Mubarak
The holy month had begun in early October and I would like to wish every one a belated Ramadan Kareem and Eid Mubarak in advance. We as retailers look forward to this holy month as the business is very good during these days. The first 15 days are some what lackluster. With the Eid approaching the last 15 days witness a very hectic buying.
This month, at least in the GCC, is the best month for turnover as is December in the west and Diwali in October/ November in most of India.
Keeping this in mind the retailers working on the new projects plan their new shop openings during this month. We were also hoping to complete our new 20000 Sqm mall this month. But unfortunately the project has got delayed for one reason or the other. Now we hope to do the grand opening sometime in November.
This month, at least in the GCC, is the best month for turnover as is December in the west and Diwali in October/ November in most of India.
Keeping this in mind the retailers working on the new projects plan their new shop openings during this month. We were also hoping to complete our new 20000 Sqm mall this month. But unfortunately the project has got delayed for one reason or the other. Now we hope to do the grand opening sometime in November.
Sunday, September 18, 2005
Mall of the Emirates
Have you ever heard of snow ski in the middle of the desert?. Yes it is going to come true this month in Dubai.
Dubai shoppers are keenly awaiting launch of Mall of the Emirates. The last week of September is now the target date. The stunning new mall on the Sheikh Zayed Road includes the region's first indoor ski slope with real snow, and will be the biggest mall in the Middle East.
Mall of the Emirates will also feature a range of family entertainment venues. A 14 screen Cinestar complex and a new two-level Magic Planet family entertainment centre including indoor roller coasters and simulators.
Dubai shoppers are keenly awaiting launch of Mall of the Emirates. The last week of September is now the target date. The stunning new mall on the Sheikh Zayed Road includes the region's first indoor ski slope with real snow, and will be the biggest mall in the Middle East.
Mall of the Emirates will also feature a range of family entertainment venues. A 14 screen Cinestar complex and a new two-level Magic Planet family entertainment centre including indoor roller coasters and simulators.
Tuesday, September 13, 2005
Oasis Centre Gutted
It is sad that a major fire set ablaze the Oasis Centre off Shaikh Zayed Road in Dubai early on Friday, 9th September.
Oasis Centre which housed names like Home Centre, Splash, Shoemart, Baby Shop, Life Style belonged to the Landmark Group and was one of the prominent malls of Dubai.
In the late 90's on a drive from Bur Dubai to Jebel Ali, this was one of the few buildings that could not be missed on Shk Zayed Road. Shk Zayed Road will never be the same until the mall is re-built. We look forward to having our favorite mall up again soon.
Oasis Centre which housed names like Home Centre, Splash, Shoemart, Baby Shop, Life Style belonged to the Landmark Group and was one of the prominent malls of Dubai.
In the late 90's on a drive from Bur Dubai to Jebel Ali, this was one of the few buildings that could not be missed on Shk Zayed Road. Shk Zayed Road will never be the same until the mall is re-built. We look forward to having our favorite mall up again soon.
Monday, September 05, 2005
Back 2 School
It is once again B2S time. In the middle east, the new academic session begins in September. This has traditionally been a very busy period for retail business as parents and children rush to make school purchases.
This years main character story line has been the Incredible, Hot Wheels, Bay Blade, Fulla, Spiderman, Power Ranger, Bob Sponge and as usual the Barbie. I see school kids going mad after their favorite characters. This is, year after year wisely exploited by the manufacturers and the retailers alike.
Apart from the B2S products, a festival kind of feeling is developed by various events that are organized by authorities, shopping malls and big retailers. Every one tries innovative methods of luring customers to their outlets/ malls. The most common method used is the use of fliers. Every day one gets numerous fliers with the morning newspaper.
The activities are usually tailored along the lines of edutainment for children. These include events with numerous fun activities and competitions for children around the shopping malls.
In Dubai, with shows, competitions, and several other activities lined up, the Deira City Centre, Ibn Battuta Mall, Al Ghurair City, Reef Mall, Mercato Mall and Modhesh Fun City came alive with the events.
Numerous competitions have been organised throughout the shopping malls this week like the Modhesh Bag Competition at Reef Mall, Back to Books Competition at the Deira City Centre and Yes 'n' No Competition at Mercato Mall.
With the B2S season ending, the next big event will be Ramadaan in October.
This years main character story line has been the Incredible, Hot Wheels, Bay Blade, Fulla, Spiderman, Power Ranger, Bob Sponge and as usual the Barbie. I see school kids going mad after their favorite characters. This is, year after year wisely exploited by the manufacturers and the retailers alike.
Apart from the B2S products, a festival kind of feeling is developed by various events that are organized by authorities, shopping malls and big retailers. Every one tries innovative methods of luring customers to their outlets/ malls. The most common method used is the use of fliers. Every day one gets numerous fliers with the morning newspaper.
The activities are usually tailored along the lines of edutainment for children. These include events with numerous fun activities and competitions for children around the shopping malls.
In Dubai, with shows, competitions, and several other activities lined up, the Deira City Centre, Ibn Battuta Mall, Al Ghurair City, Reef Mall, Mercato Mall and Modhesh Fun City came alive with the events.
Numerous competitions have been organised throughout the shopping malls this week like the Modhesh Bag Competition at Reef Mall, Back to Books Competition at the Deira City Centre and Yes 'n' No Competition at Mercato Mall.
With the B2S season ending, the next big event will be Ramadaan in October.
Tuesday, August 09, 2005
Its Festival Time Again
First I would like to apologise for the a long gap between my last post and this one. I was away to Australia for my summer vacation. In the Gulf July/ August is the time when probably 50% of the resident take off to cooler places in the world to escape the heat. Australia was wonderfull at this time of the year with tempratures hovering around max 15 and min. 5 in Melbourne and Sydney. My visit to Australia also gave me an opportunity to look at the retail business in this country. With globalisation, the mantras of retailing are more or less the same world over. However, geographical positioning poses some problems such as different seasons. The shops in Australia were conducting end-season sales of winter products. Whereas in other parts of the world its peak summer. I am sure this must be posing some problems for retailers to plan and source their merchandise. Perhaps this explains the absence of some international players in this country.
Now lets be back to the Gulf. It is summer time once again and its also the time for the festivals in the region.
Dubai is credited with two festivals in a year. The month long Dubai Shopping Festival (DSF) held in January/ February and Dubai Summer Surprises (DSS) held in June/ July/ August.
Sharjah, Dubai’s neighbour conducts Spring promotion and Summer promotion – which coincides with DSF and DSS.
Similarly, in line with the regional acitivities, Saudi has the Jeddah Summer Festival and Abha Festival. Qatar has the Qatar Summer Wonders (QSW) and Muharraq Summer Festival in Bahrain.
What is the purpose of these festivals ?
Well the objectives are to attract visitors from the neighbouring GCC countries during the hot summer months. To provide entertainment to families who decide to stay back in the country during the holidays. To provide business to retailers during the traditionally lean summer months. The Festivals are designed as a consumer spending-spree.
Have all the festivals been successful? Well the answer is no. One reason could be that each country has started to have its own festival which prevents people to travel to the neighbouring countries. This defies the main objective of attracting visitors.
Now lets be back to the Gulf. It is summer time once again and its also the time for the festivals in the region.
Dubai is credited with two festivals in a year. The month long Dubai Shopping Festival (DSF) held in January/ February and Dubai Summer Surprises (DSS) held in June/ July/ August.
Sharjah, Dubai’s neighbour conducts Spring promotion and Summer promotion – which coincides with DSF and DSS.
Similarly, in line with the regional acitivities, Saudi has the Jeddah Summer Festival and Abha Festival. Qatar has the Qatar Summer Wonders (QSW) and Muharraq Summer Festival in Bahrain.
What is the purpose of these festivals ?
Well the objectives are to attract visitors from the neighbouring GCC countries during the hot summer months. To provide entertainment to families who decide to stay back in the country during the holidays. To provide business to retailers during the traditionally lean summer months. The Festivals are designed as a consumer spending-spree.
Have all the festivals been successful? Well the answer is no. One reason could be that each country has started to have its own festival which prevents people to travel to the neighbouring countries. This defies the main objective of attracting visitors.
Friday, June 24, 2005
The 7 Habits
I have just returned from Bahrain after attending a course on " 7 Habits of Highly Effective People". This is a course designed by Stephen R Covey.Truly I found this course to be very effective. It talks about developing habits which are aimed at achieving what is called the private victory and the public victory. The 7 habits they talk about are:-
1. Be Proactive
2. Begin with the end in mind
3. Put first things first
4. Think Win-Win
5. Seek first to understand, then to be understood
6. Synergise
7. Sharpen the saw
The course mainly focuses on personality and character development. The relationship between charater and personality can be illustrated with an ice berg. The visible portion of the ice berg (tip) is the outer personality of the human being that the people see first. The character of the human being is that portion of the ice berg that remains hidden under and cannot be seen. The first 3 habits help us to achieve the Private Victory part and the rest the Public Victory part.
It talks about Paradigm Shift. If we want to make significant changes, first we must learn to change our paradigms.A point made was that almost every significant breakthrough in science is first a break with tradition, old ways of thinking, or old paradigms.
I strongly suggest if any one of us gets a chance to do this 4 day training programme, it is worth doing it.
1. Be Proactive
2. Begin with the end in mind
3. Put first things first
4. Think Win-Win
5. Seek first to understand, then to be understood
6. Synergise
7. Sharpen the saw
The course mainly focuses on personality and character development. The relationship between charater and personality can be illustrated with an ice berg. The visible portion of the ice berg (tip) is the outer personality of the human being that the people see first. The character of the human being is that portion of the ice berg that remains hidden under and cannot be seen. The first 3 habits help us to achieve the Private Victory part and the rest the Public Victory part.
It talks about Paradigm Shift. If we want to make significant changes, first we must learn to change our paradigms.A point made was that almost every significant breakthrough in science is first a break with tradition, old ways of thinking, or old paradigms.
I strongly suggest if any one of us gets a chance to do this 4 day training programme, it is worth doing it.
Monday, June 13, 2005
News in Brief from the GCC
Here are some of the important developments from the GCC
Geant Opened its 2nd Hypermarket in Saudi located in Dhahran. It is a 17500 SMT store.
Carrefour plans to open its 3rd Hypermarket in Dubai at Century Mall.
Ikea's first Destination store will soon open in DFC in November'05
Lulu has planned 7 new outlets in the region in the next couple of years.
Jumbo opened its 26th store in Ibn Batuta Mall recently
Geant Opened its 2nd Hypermarket in Saudi located in Dhahran. It is a 17500 SMT store.
Carrefour plans to open its 3rd Hypermarket in Dubai at Century Mall.
Ikea's first Destination store will soon open in DFC in November'05
Lulu has planned 7 new outlets in the region in the next couple of years.
Jumbo opened its 26th store in Ibn Batuta Mall recently
Wednesday, June 08, 2005
India Retail Report – Boom Time Ahead
On my flight back to Doha from New Delhi, I happened to read an article "India in retail sector". Here are some of the highlights :-
- 4th largest economy in PPP terms after USA, China and Japan
- To be the 3rd largest economy in terms of GDP in the next 5 years
- 2nd fastest growing economy in the world
- The economy grew 8.2% in the year 03-04
- Among top ten FDI destinations
- Stable Government with 2nd phase reforms in place
- Growing corporate ethics
- Major tax reforms with VAT implementation
- 5th among 30 emerging markets for new retailers to enter
Looking ahead, many strong national and international players are now geared to expand rapidly. As a measure, a decade back India did not have any Mall; a year ago less than a dozen and today it has over 40 malls. Two years from now 300 such malls will be in place.
Apart from the high population of India, it is the age composition that is working and going to work in future for the market. The 0-14 age group in India comprises of 33% of the total population. In the 15-64 group this is 62%. The driving force behind the retail boom is the younger population. This is what India has today along with the numbers.
- 4th largest economy in PPP terms after USA, China and Japan
- To be the 3rd largest economy in terms of GDP in the next 5 years
- 2nd fastest growing economy in the world
- The economy grew 8.2% in the year 03-04
- Among top ten FDI destinations
- Stable Government with 2nd phase reforms in place
- Growing corporate ethics
- Major tax reforms with VAT implementation
- 5th among 30 emerging markets for new retailers to enter
Looking ahead, many strong national and international players are now geared to expand rapidly. As a measure, a decade back India did not have any Mall; a year ago less than a dozen and today it has over 40 malls. Two years from now 300 such malls will be in place.
Apart from the high population of India, it is the age composition that is working and going to work in future for the market. The 0-14 age group in India comprises of 33% of the total population. In the 15-64 group this is 62%. The driving force behind the retail boom is the younger population. This is what India has today along with the numbers.
Saturday, May 28, 2005
Changing Habits, Changing Times
I remember when I was a young kid, when ever the family had plans for shopping it used to be either Chandni Chowk or Sarojini Nagar or the likes of Lajpat Nagar. Today the things have changed. No longer do we have to go to these places. Everything is available next door or in immediate vicinity. There are various reasons for this change in buying habits which are
- markets have developed all over,
- travelling has become a problem therefore no body wants to travel long distances,
- comfortable shopping malls have developed,
- everything is available in the malls eventhough it may be little expensive,
- thinking has changed over the generations. Customer does not mind paying extra in return for
comfort and status. They want to be seen in the right places.
- destination stores have opened which offer solutions for the whole family under one roof.
This is evident from the survey conducted in India which suggests a definite shift towards the malls
Where would I like to Shop?
Malls - 58%
High Street - 22%
Neighbourhood Market - 6%
Traditional Markets - 4%
Haats' -5%
Exhibitions - 3%
Misc. - 2%
The above is natural transformation for develping into a mature market. This is happening in India as it has happened elsewhere.
But one thing is sure, the fun we had taking a bus to Chandni Chowk in those days was full of fun and enjoyment and nothing can replace that.
- markets have developed all over,
- travelling has become a problem therefore no body wants to travel long distances,
- comfortable shopping malls have developed,
- everything is available in the malls eventhough it may be little expensive,
- thinking has changed over the generations. Customer does not mind paying extra in return for
comfort and status. They want to be seen in the right places.
- destination stores have opened which offer solutions for the whole family under one roof.
This is evident from the survey conducted in India which suggests a definite shift towards the malls
Where would I like to Shop?
Malls - 58%
High Street - 22%
Neighbourhood Market - 6%
Traditional Markets - 4%
Haats' -5%
Exhibitions - 3%
Misc. - 2%
The above is natural transformation for develping into a mature market. This is happening in India as it has happened elsewhere.
But one thing is sure, the fun we had taking a bus to Chandni Chowk in those days was full of fun and enjoyment and nothing can replace that.
Thursday, May 19, 2005
Reliance Ventures into Retail Biz
Its heartening to know that Reliance has finally planned to venture into retail biz.Ahmedabad will be the first among 18 cities where Reliance Industries Ltd will set up state-of-art shopping malls, to be named after its founder Dhirubhai Ambani.
This focus on Gujarat in its foray into retailing is in step with Reliance's tradition of investing heavily in the state.
These malls will be modelled on those in Dubai and the Far East. The investment in each mall can be in the range of Rs 30- 50 crore.
The gameplan
Reliance has identified 18 cities to set up malls
First mall to come up in Ahmedabad
Rs 30-50 crore to be spent on each mall
Reliance to showcase its textile products at the malls
This focus on Gujarat in its foray into retailing is in step with Reliance's tradition of investing heavily in the state.
These malls will be modelled on those in Dubai and the Far East. The investment in each mall can be in the range of Rs 30- 50 crore.
The gameplan
Reliance has identified 18 cities to set up malls
First mall to come up in Ahmedabad
Rs 30-50 crore to be spent on each mall
Reliance to showcase its textile products at the malls
Monday, April 04, 2005
Retail definations
Here are some of the terms often used in the retail sector. There is an endless list but I picked up only the ones that are most frequently used.
B2B - B2B environment, a business enterprise usually deals with another business enterprise. Examples of this are manufacturers, wholesalers etc.
B2C - In B2C situation the business enterprise usually deals with the consumer. Retailers fit into this category.
Mall - A collection of many stores designed to serve a large geographic area under one roof.
Hypermarket - A Hypermarket is a very large self-service retail outlet with a warehouse appearance. Eg. Such as Carrefour, Walmart, Metro etc.
Barcode - A Barcode is a machine readable encoded set of lines and spaces of different widths.
Competition - Competition is said to happen when two or more retailers target the same or similar market segment. All the retailers try and take away the market share from each other.
Customer - A customer is a person that purchases merchandise or a service. Till such time he is a prospective customer.
Retailer - An individual or firm that sells goods and services directly to the consumer.
Cash Discount - This is a discount usually given on the original retail price when settled in cash instead of a credit sale. This is used as an incentive for the buyer to pay cash down.
Cash Refund - A cash refund is money given back to the customer for a returned item which is usually due to the manufacturing defect. In other situations instead of returning the money, credit note is issued.
Gross Margin - Gross margin is the difference between the original retail price and the cost of goods. This could be measured in absolute value as well as in % to sales.
Markdown - A reduction in original selling price.
Markup- The difference between the selling price and the cost of an item.
Retail price - Retail price is the price at which an item can be bought by the consumer.
Inventory - Stock that the retailer carries for selling is called trading stock and the stock that he carries for self consumption is called non-trading stock.Both forms of stock is called inventory.
Stock turnover - It is a way of measuring the scale of success of a retailer. Generally, higher the stock turnover the better for the retailer.
Visual Merchandising - Visual Merchandising is the manner of arranging items for display.
B2B - B2B environment, a business enterprise usually deals with another business enterprise. Examples of this are manufacturers, wholesalers etc.
B2C - In B2C situation the business enterprise usually deals with the consumer. Retailers fit into this category.
Mall - A collection of many stores designed to serve a large geographic area under one roof.
Hypermarket - A Hypermarket is a very large self-service retail outlet with a warehouse appearance. Eg. Such as Carrefour, Walmart, Metro etc.
Barcode - A Barcode is a machine readable encoded set of lines and spaces of different widths.
Competition - Competition is said to happen when two or more retailers target the same or similar market segment. All the retailers try and take away the market share from each other.
Customer - A customer is a person that purchases merchandise or a service. Till such time he is a prospective customer.
Retailer - An individual or firm that sells goods and services directly to the consumer.
Cash Discount - This is a discount usually given on the original retail price when settled in cash instead of a credit sale. This is used as an incentive for the buyer to pay cash down.
Cash Refund - A cash refund is money given back to the customer for a returned item which is usually due to the manufacturing defect. In other situations instead of returning the money, credit note is issued.
Gross Margin - Gross margin is the difference between the original retail price and the cost of goods. This could be measured in absolute value as well as in % to sales.
Markdown - A reduction in original selling price.
Markup- The difference between the selling price and the cost of an item.
Retail price - Retail price is the price at which an item can be bought by the consumer.
Inventory - Stock that the retailer carries for selling is called trading stock and the stock that he carries for self consumption is called non-trading stock.Both forms of stock is called inventory.
Stock turnover - It is a way of measuring the scale of success of a retailer. Generally, higher the stock turnover the better for the retailer.
Visual Merchandising - Visual Merchandising is the manner of arranging items for display.
Wednesday, March 16, 2005
Retail Detail
Careers in retail, a few years ago or perhaps a decade or two ago was looked upon as a last option for a child to pursue. In fact when the child was poor in academics, a career in retail was the thought that went in the minds of the family. But today organized retail has become the order of the day with large business houses entering the field. This has called for specialists in various areas of retail management.
In the present day, retail provides diverse career paths such as in:
1. Sales
2. Buying
3. Marketing
4. Merchandising
5. Human Resources
6. Information Technology
7. Store Management
8. Logistics
1.Sales
This is the front end of Retail.
Ensuring customer service is the major duty.
You will need to believe in your Customer, be helpful and have a thorough knowledge of your product.
Must have a CAN DO attitude.
Must have the right aptitude of Meet & Greet, Start a conversation and ability to close the sale.
If you love meeting people and enjoy excellent communication in local language and English then sales is for YOU!
2.Buying
This Is one of the most sought after roles in the industry.
Buyers need a combination of analytical skills and vision to select the right balance of stock for retailers to sell.
This directly influences the success or failure of a retail business.
In your role as a Buyer you have opportunities to travel extensively sourcing the best quality products and prices for your business and your customers.
As a buyer, personal likes and dislikes should not come in the way of decision making.
3.Marketing
Marketing is another key role in retail. Their main acitivities are :-
Planning promotional activities
They are the communication link with the customers.
Decide on the channels of communication. They should know what
works and what doesn’t work.
Must have creative thinking and should not shy away from trying new things.
4.Merchandising
This is a crucial function in any retail organization. A good team of visual merchandisers can influence the operations in a very positive manner. As marketing role is the link with the customers to bring them into the store, visual merchandisers act as a link with the customers to buy the products.
5.Human Resources
Like any organization success depends on the human resources. Therefore training and development becomes very important in the present times when poaching by competitors is very rampant.
The key role of an HR person would be something like :-
Staff Recruitment and training
Establish job specification guidelines and monitor staff
Plan and organise staff events and amenities
Assist in developing career paths for each employee
6.Information Technology
Strong IT backing is the key to the success in retailing. Online availability and accuracy of information is very essential in this industry.
An IT professional in retail would be expected to perform the following:-
· Developing systems to meet business needs
· Working with changing technology and new developments
· Ensuring PoS Equipment is operating satisfactorily
· Working with the technological infrastructure that ensures
uninterrupted retail operations.
7.Store Management
As a Store Manager you would ensure
- and assume the overall responsibility of the store.
- quality customer service.
- smooth running of the store.
- strategies of the management are implemented.
- Proper staff administration work such as rostering and checking
invoices.
8.Logistics Management
It is often taken for granted that the products would be available to buy in the shops. However we tend to forget how the goods reached the shops. Inefficient logistics can prove to be costly. A good logistics management would ensure right quantity at the right time and at the right cost.
In the present day, retail provides diverse career paths such as in:
1. Sales
2. Buying
3. Marketing
4. Merchandising
5. Human Resources
6. Information Technology
7. Store Management
8. Logistics
1.Sales
This is the front end of Retail.
Ensuring customer service is the major duty.
You will need to believe in your Customer, be helpful and have a thorough knowledge of your product.
Must have a CAN DO attitude.
Must have the right aptitude of Meet & Greet, Start a conversation and ability to close the sale.
If you love meeting people and enjoy excellent communication in local language and English then sales is for YOU!
2.Buying
This Is one of the most sought after roles in the industry.
Buyers need a combination of analytical skills and vision to select the right balance of stock for retailers to sell.
This directly influences the success or failure of a retail business.
In your role as a Buyer you have opportunities to travel extensively sourcing the best quality products and prices for your business and your customers.
As a buyer, personal likes and dislikes should not come in the way of decision making.
3.Marketing
Marketing is another key role in retail. Their main acitivities are :-
Planning promotional activities
They are the communication link with the customers.
Decide on the channels of communication. They should know what
works and what doesn’t work.
Must have creative thinking and should not shy away from trying new things.
4.Merchandising
This is a crucial function in any retail organization. A good team of visual merchandisers can influence the operations in a very positive manner. As marketing role is the link with the customers to bring them into the store, visual merchandisers act as a link with the customers to buy the products.
5.Human Resources
Like any organization success depends on the human resources. Therefore training and development becomes very important in the present times when poaching by competitors is very rampant.
The key role of an HR person would be something like :-
Staff Recruitment and training
Establish job specification guidelines and monitor staff
Plan and organise staff events and amenities
Assist in developing career paths for each employee
6.Information Technology
Strong IT backing is the key to the success in retailing. Online availability and accuracy of information is very essential in this industry.
An IT professional in retail would be expected to perform the following:-
· Developing systems to meet business needs
· Working with changing technology and new developments
· Ensuring PoS Equipment is operating satisfactorily
· Working with the technological infrastructure that ensures
uninterrupted retail operations.
7.Store Management
As a Store Manager you would ensure
- and assume the overall responsibility of the store.
- quality customer service.
- smooth running of the store.
- strategies of the management are implemented.
- Proper staff administration work such as rostering and checking
invoices.
8.Logistics Management
It is often taken for granted that the products would be available to buy in the shops. However we tend to forget how the goods reached the shops. Inefficient logistics can prove to be costly. A good logistics management would ensure right quantity at the right time and at the right cost.
Monday, March 07, 2005
Important Mantras in Retailing
I am just back from a recruitment trip to Manila, Philipines. We must admit that this country offers an outstanding human resource in retailing. In the middle east, people from this single country constitute a significant portion of the total work force. One single reason for this is the command over english, presentability and easy adaptability to local conditions. They give you a break from otherwise a majority society from India, Nepal and Sri Lanka. Amongst the far eastern countries, Philipines is the only country where english language is spoken widespread. Be it Thailand, Indonesia, Malaysia and the china region where knowledge of english is very limited.
Recently I was reading an article on the subject of Retailing which referred to 12 mantras for store retailing
1. Know Yourself
2. Plan Ahead
3. Know the trade
4. Understand your customers
5. Keep good financial records
6. Manage cash flows
7. Use sound management practices
8. Develop a distint image
9. Manage your inventory
10.Procure products with the customer in mind
11.Learn from mistakes
12.Ask for help when needed
Well!! much of it is simple common sense, if applied in daily life would make things so easy and uncomplicated.
Recently I was reading an article on the subject of Retailing which referred to 12 mantras for store retailing
1. Know Yourself
2. Plan Ahead
3. Know the trade
4. Understand your customers
5. Keep good financial records
6. Manage cash flows
7. Use sound management practices
8. Develop a distint image
9. Manage your inventory
10.Procure products with the customer in mind
11.Learn from mistakes
12.Ask for help when needed
Well!! much of it is simple common sense, if applied in daily life would make things so easy and uncomplicated.
Monday, February 21, 2005
Own label vs brands
In the modern times when competition is severe, retailers look for strategies that can out smart competition. One such strategy is developing its own label.
Advantages of own label are:-
An edge over the competitors
Though the products on offer in most stores is more or less similar, what makes the difference is the uniqueness. Own label gives that edge over the competitors. You have no competition for the brand that you carry. No one can trade on your name legally. This is a strong motivational plus for your salespeople.Further, you have control over your pivotal product, and that means over your business.
Customer perception
This helps to build customer loyalty for the brand and thus brings back the customer again and again.
Higher margins
Since the retailer has the exclusivity, he is in a position to markup the products higher and thus command better profitability.
However, it is easier said than done. Own label development has its own pitfalls. Some of the disadvantages of own label are:-
Minimum Volumes
To do your Own label, retailer must be of a minimum size in order to satisfy manufacturers minimum quantity requirements. These are usually very high.
Recognition
Marketing own brands is a long process and often costly.
Quality control
Branded products generally represent consistent quality control. Whereas own labels may encounter difficulty in ensuring consistency in product quality.
Advantages of own label are:-
An edge over the competitors
Though the products on offer in most stores is more or less similar, what makes the difference is the uniqueness. Own label gives that edge over the competitors. You have no competition for the brand that you carry. No one can trade on your name legally. This is a strong motivational plus for your salespeople.Further, you have control over your pivotal product, and that means over your business.
Customer perception
This helps to build customer loyalty for the brand and thus brings back the customer again and again.
Higher margins
Since the retailer has the exclusivity, he is in a position to markup the products higher and thus command better profitability.
However, it is easier said than done. Own label development has its own pitfalls. Some of the disadvantages of own label are:-
Minimum Volumes
To do your Own label, retailer must be of a minimum size in order to satisfy manufacturers minimum quantity requirements. These are usually very high.
Recognition
Marketing own brands is a long process and often costly.
Quality control
Branded products generally represent consistent quality control. Whereas own labels may encounter difficulty in ensuring consistency in product quality.
Saturday, February 19, 2005
Marks & Spencer expanding in India
Here is the latest on M&S in India. This retailer has been my favourite for the last many years.
M&S, UK's retail chain, plans to expand its India operations this year. India features high on M&S' global plans and with last year proving positive for the retail giant, M&S is now looking forward to expand its operations by opening new stores in Delhi and Mumbai this year. Plans are also afoot to start operations in other metros like Kolkata, Bangalore, Hyderabad and Chennai. M&S began operations in India in December 2001, through its exclusive franchise Planet Sports.
M&S, UK's retail chain, plans to expand its India operations this year. India features high on M&S' global plans and with last year proving positive for the retail giant, M&S is now looking forward to expand its operations by opening new stores in Delhi and Mumbai this year. Plans are also afoot to start operations in other metros like Kolkata, Bangalore, Hyderabad and Chennai. M&S began operations in India in December 2001, through its exclusive franchise Planet Sports.
Wednesday, February 09, 2005
Lighter moments
While I am working on my next post, here are some interesting Quotes that will inspire you in your work environment.Our CEO has a practice of sending them, weekly to all the employees thru internal mail.
Top Management must know how good or bad employees’ working conditions are. They must eat in the employees’ restaurants, see whether the food is well cooked, visit the washroom and lavatories. If they are not good enough for those in charge they are not good enough for anyone
Formula for success is to be found in 3 words Work, Work and Work!
You see things; and you say ‘Why?’ But some dream things that never were and say ‘Why not?’
Many people dream of success. To some success can only be achieved through repeated failure and introspection. In fact, success represents 1% of your work which results from 99% that is called failure
An enterprise culture is one in which every individual understands that the world does not owe him or her a living.
The quality of a persons life Is in direct proportion to their commitment to excellence regardless of their chosen field of endeavour.
Its not the employer who pays wages. He only handles the money. It is the product that pays wages.
The worst mistake a boss can make is not to say ‘well done.’
Top Management must know how good or bad employees’ working conditions are. They must eat in the employees’ restaurants, see whether the food is well cooked, visit the washroom and lavatories. If they are not good enough for those in charge they are not good enough for anyone
Formula for success is to be found in 3 words Work, Work and Work!
You see things; and you say ‘Why?’ But some dream things that never were and say ‘Why not?’
Many people dream of success. To some success can only be achieved through repeated failure and introspection. In fact, success represents 1% of your work which results from 99% that is called failure
An enterprise culture is one in which every individual understands that the world does not owe him or her a living.
The quality of a persons life Is in direct proportion to their commitment to excellence regardless of their chosen field of endeavour.
Its not the employer who pays wages. He only handles the money. It is the product that pays wages.
The worst mistake a boss can make is not to say ‘well done.’
Retail Success in India – Are we there?
In the recent past, a lot has been spoken about the boom taking place in the retail sector. A closer look will reveal that this phenomena is happening only in the large cities such as Mumbai, Delhi, Bangalore, Hyderabad and satellite towns such as Noida and Gurgaon. With the number of malls under development in these cities, it appears that very soon the market will reach an over supply situation. On the other hand smaller towns and cities are being ignored, which otherwise offer a vast potential.
Is this the right way to go?
If we look at the size and population of the country, it can be broadly broken down into 3 categories:-
A category : major state capitals with population above 50 lacs.
B category : smaller state capitals and commercial cities with population > 20 lacs
such as Jaipur, Lucknow , Chandigarh and Kanpur
C category : cities with population below 20 lacs.
Today much of the organized retail development is happening only in the first category. Is the mall culture restricted to the main cities only?
There are advantages of focusing on the other two categories such as cheaper real estate and cheaper work force. With MRP being fixed, key to success is in keeping the operational costs low. This can be better achieved in smaller towns and cities. On the other hand, despite higher sales potential in the metros, retailers are finding difficult to achieve break-even figures.
Only when we reach out to all the towns and cities in India can we say that the retail revolution has taken place. Today it is only the beginning of the revolution, which is restricted to few pockets of the country.
Look out for the next topic – Mall culture – what makes them successful?
Is this the right way to go?
If we look at the size and population of the country, it can be broadly broken down into 3 categories:-
A category : major state capitals with population above 50 lacs.
B category : smaller state capitals and commercial cities with population > 20 lacs
such as Jaipur, Lucknow , Chandigarh and Kanpur
C category : cities with population below 20 lacs.
Today much of the organized retail development is happening only in the first category. Is the mall culture restricted to the main cities only?
There are advantages of focusing on the other two categories such as cheaper real estate and cheaper work force. With MRP being fixed, key to success is in keeping the operational costs low. This can be better achieved in smaller towns and cities. On the other hand, despite higher sales potential in the metros, retailers are finding difficult to achieve break-even figures.
Only when we reach out to all the towns and cities in India can we say that the retail revolution has taken place. Today it is only the beginning of the revolution, which is restricted to few pockets of the country.
Look out for the next topic – Mall culture – what makes them successful?
Sunday, February 06, 2005
Retailing set to change
It is predicted that by 2010, the retail market would be substantially different than it is today, reports Retail Forward, a management consulting and market research firm, in its recently released report, ‘Twenty Trends for 2010: Retailing in an Age of Uncertainty’.
Tom Rubel, President of Retail Forward and contributing author of the report, was quoted as saying, “Consumer targets, retail categories, channels of distribution, and retailers and suppliers alike will undergo radical transformation through the end of the decade.”
Among the trends discernible, the report says that a handful of retailers will come to control the global market. It also predicts that companies, and even entire formats and segments, will die out. There is likely to be more crossovers too – retailers will become suppliers and suppliers will become retailers.
The report predicts that the largest retailer in the world, Wal-Mart, will be even more successful by 2010 as it would extend its reach into a variety of new businesses, products and services. In what may come as a shock for the burgeoning malls of Asia, the report presages that as department store market shares decline, so will consumer preference for mall shopping. There will not be enough demand to support all of the malls already built.
Sounds like a tsunami for small and medium sized business houses.
Tom Rubel, President of Retail Forward and contributing author of the report, was quoted as saying, “Consumer targets, retail categories, channels of distribution, and retailers and suppliers alike will undergo radical transformation through the end of the decade.”
Among the trends discernible, the report says that a handful of retailers will come to control the global market. It also predicts that companies, and even entire formats and segments, will die out. There is likely to be more crossovers too – retailers will become suppliers and suppliers will become retailers.
The report predicts that the largest retailer in the world, Wal-Mart, will be even more successful by 2010 as it would extend its reach into a variety of new businesses, products and services. In what may come as a shock for the burgeoning malls of Asia, the report presages that as department store market shares decline, so will consumer preference for mall shopping. There will not be enough demand to support all of the malls already built.
Sounds like a tsunami for small and medium sized business houses.
Saturday, February 05, 2005
Retail in the region
Much has been written and covered by the media on retailing in the so called "developed" world i.e the States and the west. However, very little is written of the retail world in the middle east and India. Hence, the thought of coming up with the blog that will devote much of the time highlighting the local developments in this region.
The catchphrase of this market seems to be expansion. The supermarkets are getting bigger, malls are getting huge. Even the groccer around the corner is finding ways of storing more than just the veggies.
What has really brought about this sudden spurt of growth?. I remember when I first landed in Dubai in 1996, on my first assignment in the Gulf, there was only Deira City Centre and Burjuman to speak about. Lamcy was the next one to come up in 1996/97. Oasis Centre on the Shk Zayed Road came up in 1999. Everyone at that time raised doubts on its success based on the fact that it was far away from the city limits. But today, the city has expanded right up to J.Ali. We hear of many more projects in the pipeline.
The same phenomena is being experienced in rest of the GCC. In Doha too, the retail revolution has just begun. With population just about 800000 the organised retail sector offers more than .5 mn SQM of space.
My opinion is that this is a bubble which will burst one day. The correction is bound to take place. Retailers are fortunate that there is high disposable income in the region. However, with over supply, competition is bound to be tough and retailers cannot afford to be complacent.
The catchphrase of this market seems to be expansion. The supermarkets are getting bigger, malls are getting huge. Even the groccer around the corner is finding ways of storing more than just the veggies.
What has really brought about this sudden spurt of growth?. I remember when I first landed in Dubai in 1996, on my first assignment in the Gulf, there was only Deira City Centre and Burjuman to speak about. Lamcy was the next one to come up in 1996/97. Oasis Centre on the Shk Zayed Road came up in 1999. Everyone at that time raised doubts on its success based on the fact that it was far away from the city limits. But today, the city has expanded right up to J.Ali. We hear of many more projects in the pipeline.
The same phenomena is being experienced in rest of the GCC. In Doha too, the retail revolution has just begun. With population just about 800000 the organised retail sector offers more than .5 mn SQM of space.
My opinion is that this is a bubble which will burst one day. The correction is bound to take place. Retailers are fortunate that there is high disposable income in the region. However, with over supply, competition is bound to be tough and retailers cannot afford to be complacent.
