Group Members : Kishor Singh(070) Parul Ranjan(102) Pooja Mishra(105) Poorva(107) Pragya Pandey(108)

CRM Practices of Boutiques

Customer relationship management (CRM) is a broadly recognized, widely-implemented strategy for managing a company’s interactions with customers, clients and sales prospects.

The overall goals are to find, attract, and win new clients, nurture and retain those the company already has and reduce the costs of marketing and client service.

Introduction

Satya Paul Fab India

Selected Boutiques

Mission: The Satya Paul label’s mission is to serve its muse, the Satya Paul customer.

She is the global woman of today; intelligent, responsive, fulfilling many roles – nurturer, corporate hi-flier, world citizen and ecological guardian-secure in her own skin.

The label answers her sartorial needs with the Satya Paul product line - sarees, fusion and western clothing; scarves, stoles, bags, accessories and fabric.

SATYA PAUL

Satya Paul Design Studio’s growth springs from a proactive responsiveness to the customer, the environment, the rich Indian culture and heritage.

The studio operates from the strength of being a brand that originated the vertically integrated, concept-to-customer process, a process that begins with the yarn and extends to the stand-alone or franchisee store.

Great works of art inspire design and fabric; live music orchestrates a catwalk presentation, making it a memorable visual experience, aiding top-of-the mind brand recall.

BRAND STRATEGY

Distributes the product through a chain of exclusive salons, stand-alone and franchisee shops, premier fashion stores and boutiques throughout India and in several foreign cities.

The organisation is in the process of expanding and identifying more premier locations both within India and abroad.

BRAND PRESENCE

The brand is lead by Sanjay Kapoor, who oversees Finance and Marketing, Jyoti Narula, who is hands onto Operations and Logistics and Puneet Nanda, who is the Design head for Satya Paul.

AWARDS: Kingfisher Award for the Fashion Brand of the Year, 2003 Designer of the Year Award by Indian Academy of Art,

Culture & Industries, 2004.

TEAM:

The nature of Satya Paul’s luxury brand makes a strong case for pampering customers and providing them with the little extra.

The motivation of staying ahead and gaining competitive advantages made them embark on this CRM initiative.

The sales staff tracked customer requirements in an informal manner—nothing was recorded. It was all part of the interaction that the staff had with the customers while in the store.

CRM Practices

A need was felt to make customer interaction a formal process in which the staff would record the interaction they had with the customers.

The co. realized if the customers could be patronized, referrals from them could become a source of new customers and growth.

Contd…

The label’s growth has been extremely gratifying, especially through the period till the early 90’s during which time Satya Paul was an undoubted market leader.

The label’s growth continued to be strong especially in the domestic sector, even as new directions were discovered, new goals defined and re-prioritized to meet what was becoming a challengingly different market for the entire industry.

Characteristically Satya Paul command of colour and print.

The Way Ahead:

Colour and print aside, what sets apart a brand is its innovativeness and customer service.

An example of innovativeness is the introduction of the trouser saree, a synergistic and stylistic triumph.

This, one in a series of innovations, could also symbolize what

Satya Paul does: to always move forward while never ignoring the heritage that has brought them as a people to where they are now.

Contd…

“Our Endeavour is to provide customers with hand crafted products which help support & encourage good craftsmanship.”

– William Bissell (MD Fabindia)

Fabindia is a chain of retail stores in India producing ethnic products carried out by the craftsmen of rural India.

FABINDIA

Fabindia does not have a co. based production unit. Their mission has always been to work with village-based artisans across India employing their regional textile skills & specialties. They try to maximize the handmade process, using hand woven, handblock- printed fabrics & vegetable dyes as far as possible.

Vision: Fabindia’s vision is to expand to 200 stores & grow its

revenue to Rs. 8.6

Mission:

Garments

Home

Furniture

Organic Foods

Jewellery

Area of Operations:

Strengths:- 1. Strong Pan-India presence

and awareness. 2. Man-power expertise . 3. Competitive Pricing. 4. Robust supply chains and

short product development life cycles.

5. High marketing communications spend.

Quality consciousness and adherence to standards

Weaknesses:- 1. Product diversity lacking 2. Stock as per running trends

and serve to fads- inconsistencytowards churning out qualityofferings in hand crafts 3.Authenticity of handcrafts- No craftsmark present to validate the crafts as against the Fabindia offerings which have the same imprinted on them.

COMPETITOR ANALYSIS Retail Stores (Shopper’s Stop, Pantaloons, Globus, etc)

Strengths:-

1. Product customization facilities-extremely high

2. Highest level ofcustomer intimacy-Relationship marketing

Weaknesses:-

1. Exorbitant prices-not meant for masses 2. Not a robust supply chain- not meant to be a pan- India operation

COMPETITOR ANALYSIS Designer Boutiques(Satya Paul, Ritu Kumar)

Capturing attention and engaging customers is critical.

Fabindia can safely outclass many established brands in the same retail space.

We propose franchise model and selling in other stores - Higher brand awareness and attracts consumers towards handcrafted apparel. - Reduces investment in Tier 1 and metros where real estate prices are high. - Consumers can directly compare brands in same segment. Build partnerships with matrimonial sites to promote traditional design as

wedding wear.

The Way Ahead:

Though Fabindia is becoming popular day by day, it is not able to outshine the designer boutique Satya Paul for following reasons:

Quality and prestigious brands are causing customers to drift. Consumers now identify with western brands which are high

priced and are influential in making choices. Tilt of Indian consumers towards foreign brands: -Foreign brands alter lifestyle choices of the target market -Imported or designer home furnishings have greater flaunt

value vis-à-vis Fabindia.

Comparison Between Satya Paul & Fabindia:-

Conclusion: The Zone Of tolerance in case of boutiques is

on a lower side.

Therefore all the touch points should be catered with great care because any negligence by the stores may cause the customers to switch to other stores.

Customer loyalty is extremely important in a service form like this.

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