The Marketing mix of Future Group analyses the 7Ps of Future Group, which includes the Product, Price, Place, Promotion, People, Physical Evidence, and Process of Future Group. Future Group is a private company of Indian origins. It is a cost-conscious group associated with the lifestyle and retail market dealing in diversified product portfolios like media, Retail, logistics services, and insurance. Future Group offers a shopping experience for an entire family as its products are for every age group. It has targeted society’s middle and upper-middle class as its potential customers. Brand faces stiff competition from following rival companies-
About Future Group
- Type: Conglomerate
- Industry: Retail, fashion, and FMCG
- Founded: 1987 by Kishore Biyani
- Headquarters: Mumbai, India
- Area served: India
- Current CEO: Kishore Biyani
- Number of employees: Over 200,000
- Major products: Supermarket chains (Big Bazaar, Food Bazaar), lifestyle stores (Brand Factory, Central), integrated foods and FMCG manufacturing
Table of Contents
Future Group Product Strategy
Future Group is a conglomerate offering efficient and quality service to attract a top market share and a vast consumer base of existing customers who believe in this future group. The company is an enabled and fully integrated service provider and supply chain in the Indian market to industries like
- FMCG and Food include accessories, footwear, and apparel
- Hi-Tech and consumer electronics
- Light engineering and Pharma sector
It is a corporate group whose business is managed with the help of numerous operating companies, and this is based on distribution strategies and specified target areas. Hypermarket and supermarket chains like Food Bazaar and Big Bazaar are managed through Future Retail Ltd. In contrast, Future Lifestyle Fashions manages fashion outlet retail chains like Central and Brand Factory. Financial services businesses are operated by Future Ventures, Future General Life Insurance, and Future Capital Holdings for internal services related to finance.
Product brands under the Lifestyle and Fashion segment include John Miller, Indigo Nation, and Rig, and under the Food and FMCG sector, and Food, they include Mera Swad, Ektaa, Fresh & Pure, Tasty Treat, and Sach. Future Group has invested in computer technology, digital media infrastructure, and backend services for multimedia productions, designing, creative communication, publishing, and broadcasting. It is also a security service provider, providing CCTV, time attendance, alarm management, and access control systems.
- Retail: Future Group is primarily known for its extensive retail operations. It includes Big Bazaar, A hypermarket chain offering groceries, household items, clothing, and more; FBB (Fashion at Big Bazaar), which Specializes in fashion apparel and accessories; Easyday Club, A network of neighborhood convenience stores; Foodhall, A premium food superstore format offering a wide range of global and specialty foods; eZone: Focused on electronics and home appliances.
- Fashion and Lifestyle: Through its subsidiary, Future Lifestyle Fashions, the group has a significant presence in the fashion sector, with brands like Central, A chain of fashion department stores; Brand Factory, A chain of discount stores offering a variety of fashion brands; Lee Cooper: A global brand offering casual wear.
- Consumer Goods: Future Consumer Ltd., another subsidiary, produces and sells a range of fast-moving consumer goods (FMCG) such as Food Products, including packaged foods, staples, and ready-to-eat meals; Home Care: Cleaning products, detergents, etc; Personal Care and Beauty Products: Including skincare, haircare, and cosmetics.
- Integrated Food Parks: Future Group also invests in food parks that integrate various aspects of the food processing value chain.
- Insurance: The group has ventured into the insurance sector through joint ventures and offers life and general insurance products.
- Logistics and Supply Chain: It provides logistics and warehousing solutions through Future Supply Chain Solutions Ltd.
- Digital and Technology: Future Group has also made forays into digital and tech-based sectors, with initiatives like Future Pay, a digital wallet, and Tathastu, their AI and data sciences wing.
Future Group Pricing Strategy
Future Group has positioned itself as a company delivering everything needed to everyone, regardless of age or class. Diversified products are available under a single umbrella, and that helps increase the volume of the retail chain’s marketing mix of products sold. Low and reasonable prices every day attract the mid-income future group to sell regularly and help increase margins for the future group supermarket business.
The company has adopted an advertising strategy with a reasonable pricing policy and marketing mix, making its products attractive and affordable to its customers. Is Se Sasta Aur Accra Kahin Nahin is its famous tagline and aptly defines its pricing policy as it offers quality products at the lowest possible price ranges.
Future Group’s pricing, marketing plan, and distribution strategy is a sophisticated blend of competitive, value proposition-based, and psychological pricing to maximize market penetration and customer loyalty among existing customers. Here’s an expert analysis:
- Competitive Pricing: An essential aspect of Future Group’s pricing strategy involves setting prices in line with or slightly below their competitors. This approach is particularly evident in their Big Bazaar and FBB stores, where they aim to offer value for money to their customers, thus attracting a broad customer base.
- Value-Based Pricing: The group employs value-based pricing, especially in premium segments like Foodhall, where prices are set based on the product’s perceived value to the consumer.
- Promotional and Discount Pricing: Future Group is known for its aggressive promotional strategies, including frequent sales, discounts, and offers, particularly in retail outlets like Brand Factory.
- Psychological Pricing: They often use psychological pricing strategies, such as pricing products just below a round number (e.g., ?999 instead of ?1000) to make the price appear significantly lower. This strategy, commonly seen in Big Bazaar, enhances the attractiveness of the price point to consumers.
- Dynamic Pricing: In their e-commerce and digital platforms, Future Group utilizes dynamic pricing strategies where prices vary based on demand, competition, and customer behavior. This flexible pricing approach allows them to remain competitive in online Retail.
Future Group Place Strategy
Future Group has spread its network in most of India’s towns and cities. Its headquarters base is in Mumbai, India. It is helped in its endeavor through a capable network of approximately thirty-five thousand employees that efficiently serve customers. Future Group’s retail business also provides online services for bookings and delivery options. The future retail group serves its customers through its varied interests. Future Retail is in nearly two hundred and forty Indian cities with more than 11 million square feet of retail space.
The retail format is operated through multiple formats like a hypermarket chain in Big Bazaar, a convenience store in Easyday, a supermarket chain in Food Bazaar, a premium destination like Foodhall, and a single-stop roof like Hometown. FSCS, or Future Supply Chain Solutions, is a vital subsidiary. It provides consolidated, focused, and strategic guidance and approach to meet the supply chain demands of its various companies through a widespread network, including warehousing, multi-model transportation, distribution, and container freight stations.
The place strategy of Future Group is as follows:
- Wide Network of Retail Outlets: Future Group has established a vast network of stores across India, ensuring accessibility in urban and rural areas. This includes flagship stores like Big Bazaar and smaller formats like Easyday, catering to different market segments.
- Strategic Location Selection: The group selects prime locations for its stores, often in high-traffic areas like malls, city centers, and busy marketplaces, to maximize visibility and consumer footfall.
- Omnichannel Presence: Future Group has developed an omnichannel strategy, integrating offline and online shopping experiences. This includes their e-commerce platforms, which complement their physical stores.
- Supply Chain Efficiency: The group emphasizes efficient supply chain management, with strategically located warehouses and distribution centers to ensure timely delivery of products to its retail outlets.
- Partnerships and Collaborations: Future Group has partnered with local and international brands and retailers to enhance their presence and offer a broader range of products. These collaborations help in expanding their market reach and consumer base.
Future Group Promotion Strategy
In this evolving market, Future Group has high-brand equity. It believes in high-end promotional advertising and marketing strategy and activities, and to create positive brand awareness, it has taken the help of every available promotional advertising and marketing strategy and tool at its disposal.
Future Group’s promotion and marketing strategy is multifaceted, focusing on aggressive advertising across multiple media platforms, including television, print, and digital channels. They heavily emphasize sales promotions through regular discounts, festive sales, and loyalty programs to incentivize repeat purchases. Additionally, the company leverages its distribution channel through strategic brand partnerships and sponsorships to enhance the marketing mix of future group outlets’ brand visibility and reach diverse customer segments.
Its ad campaigns are advertised through various advertisement campaigns in print media through newspapers, magazines, and hoardings, in electronic media through radio and major television channels, and in social media through several portals and its official website. All its outlets are heavily crowded during specific periods like festivals because the brand offers high discounts and incentives to attract more customers. This helps in marketing efforts by increasing its brand equity and visibility and maintaining its customer base.
Some Recent Video ads and Print ads of Future Group are:
Future Group People Strategy
When discussing the “People” aspect of the Service Marketing Mix, especially in the context of financial services businesses called a conglomerate like Future Group, it’s essential to consider various dimensions that contribute to how the company delivers its services. The “People” element refers to all human actors who play a part in service delivery and influence the buyers’ perceptions, including the organization’s staff, management, and culture. Here are key points about the “People” of Future Group’s products:
- Employee Training and Development: Future Group invests in comprehensive training programs for its employees to ensure they possess the necessary skills and knowledge. This includes customer service excellence, product knowledge, and operational efficiencies, aiming to enhance the shopping experience for customers.
- Customer-Centric Staff: The staff at Future Group’s retail outlets and other customer interaction points are selected and trained to be customer-centric. This means they are attentive, helpful, and equipped to handle inquiries and provide solutions, fostering a positive customer environment.
- Diverse Workforce: Embracing diversity, Future Group’s workforce includes individuals from various backgrounds and cultures. This diversity enriches the company’s understanding of customer needs across different segments, enabling it to serve a broader customer base effectively.
- Leadership and Management Style: The leadership at Future Group, led by its founder, Mr. Kishore Biyani, is known for its visionary and innovative approach. The management style promotes agility, entrepreneurship, and a willingness to take calculated risks, shaping the company’s strategic decisions and service offerings.
- Employee Empowerment: Employees at Future Group are encouraged to take initiative and make decisions that improve customer satisfaction. This empowerment contributes to a motivated workforce committed to the company’s success and more responsive to customer needs.
- Internal Communication: Effective internal communication within Future Group ensures that all team members are aligned with the company’s goals, values, and customer service standards. This facilitates a cohesive service delivery process where everyone understands their role in enhancing customer experiences.
- Performance and Reward System: Future Group has a performance evaluation and reward system that acknowledges and rewards employees for outstanding service and contributions to the company’s objectives. This incentivizes performance that goes above and beyond, increasing employee satisfaction and retention.
- Corporate Culture and Values: The corporate culture at Future Group is characterized by innovation, customer focus, and adaptability. The company’s values are integrated into its day-to-day operations, influencing how staff interact with customers and each other, ultimately impacting the overall service quality.
- Engagement with Stakeholders: Future Group engages with all its stakeholders, including employees, customers, suppliers, and the community. This holistic approach to stakeholder engagement helps understand and meet different groups’ expectations, contributing to a more sustainable and inclusive growth model.
Future Group Process Strategy
The “Process” element of the Service Marketing Mix refers to the methods, procedures, and routines used to deliver a service, emphasizing efficiency, quality, and customer satisfaction. For Future Group, a leading Indian retail and fashion conglomerate, understanding its service delivery process is crucial for customer retention and ensuring a seamless customer experience across various business segments. Here are key points about the Process of Future Group:
- Streamlined Supply Chain Management: Future Group has developed a highly efficient supply chain management process that ensures products are available at the right places and times. This involves sophisticated logistics, inventory management, and distribution systems to minimize delays and reduce costs.
- Technology Integration: The company leverages advanced technology, including inventory management systems, customer relationship management (CRM) software, and point of sale (POS) systems. These technologies streamline operations, enhance the customer shopping experience, and provide valuable data for decision-making.
- Customer Service Procedures: Future Group has standardized customer service procedures across its stores to ensure consistent and high-quality customer interactions. This includes handling inquiries, returns, exchanges, and complaints to resolve customer issues quickly and satisfactorily.
- Omni-channel Retailing: Recognizing the importance of an integrated shopping experience, Future Group has developed an omni-channel strategy that allows customers to interact with the brand through multiple channels—physical stores, online platforms, and mobile apps. This process ensures customers a cohesive and flexible shopping experience, regardless of how they shop.
- Quality Control Measures: To maintain high service and product quality standards, Future Group implements rigorous quality control measures at various stages of its supply chain. This includes vendor selection, product sourcing, in-store handling, and post-purchase support, ensuring customers receive reliable, high-quality products.
- Employee Roles and Responsibilities: A clear definition of roles and responsibilities for employees across different levels ensures that each team member knows their part in the service delivery process. This clarity facilitates efficiency and effectiveness in operations, improving customer service experience.
- Feedback and Continuous Improvement: Future Group has established processes for collecting and analyzing customer feedback through surveys, social media, and direct interactions. This feedback is crucial for identifying areas for improvement and innovating service delivery processes to meet changing customer expectations.
- Training and Development: Regular training programs for employees ensure they are updated with the latest operational procedures, technologies, and best customer service practices. This continuous learning environment helps improve the efficiency and quality of service delivery.
- Health and Safety Protocols: Especially relevant in the context of recent global events, Future Group has implemented comprehensive health and safety protocols across its operations to ensure the well-being of both customers and employees. This includes sanitation measures, social distancing guidelines, and contactless transactions wherever possible.
- Environmental and Sustainability Practices: Future Group’s process includes adopting environmentally friendly practices and sustainability. This encompasses waste reduction, energy efficiency measures, and sustainable sourcing, reflecting the company’s commitment to corporate social responsibility.
Future Group Physical Evidence Strategy
The “Physical Evidence” component of the Service Marketing Mix refers to the tangible and intangible elements that customers use to evaluate the service quality before, during, and after the service delivery. For a retail conglomerate like Future Group, the selling concept of physical evidence plays a crucial role in shaping customer perceptions and experiences in future enterprises. Here are key points regarding the Physical Evidence and marketing mix of Future- Group:
- Store Layout and Design: Future Group’s retail outlets, such as Big Bazaar, FBB, and others, feature a strategic store layout and design that enhances the shopping experience. The aesthetic appeal, signage, and easy navigation within stores help create a positive and inviting atmosphere for customers.
- Branding Elements: The company’s branding elements, including logos, color schemes, uniforms, and promotional materials, are consistently applied across all touchpoints. These visual cues help reinforce brand identity and instill trust among customers.
- Technology and Infrastructure: The use of modern technology and infrastructure, such as digital kiosks, LED displays, and well-designed checkout counters, contributes to a seamless and efficient shopping experience. These elements also signify the brand’s commitment to innovation and customer convenience.
- Online Presence and Website: Future Group’s online platforms, including websites and mobile applications, serve as crucial physical evidence. These platforms’ ease of navigation, design, and functionality reflect the brand’s quality and reliability.
- Quality of Products: The physical quality of products offered by Future Group’s retail outlets directly indicates service quality. High-quality, well-packaged products enhance customer satisfaction and contribute to the brand’s overall perception.
- In-store Ambiance: The ambiance within Future Group’s stores, including lighting, music, and cleanliness, plays a significant role in creating an enjoyable shopping environment. These elements influence customers’ sensory experience, influencing their perceptions and behaviors.
- Customer Service Touchpoints: Physical evidence includes interaction with staff and customer service touchpoints. Employees’ professionalism, attire, and behavior reflect the brand’s image and service standards.
- Receipts and Billing Statements: The clarity, accuracy, and design of receipts and billing statements are tangible proof of the transaction. They also serve as a reminder of the experience with the brand, impacting customer loyalty and repeat business.
- Marketing and Promotional Materials: Physical evidence extends to brochures, catalogs, and in-store displays. These materials provide information and contribute to the brand image and customer experience.
- Social and Environmental Initiatives: Future Group’s commitment to social responsibility and environmental sustainability can also be considered part of physical evidence. Initiatives like eco-friendly packaging, community engagement programs, and sustainability reports reinforce the brand’s values and appeal to socially conscious consumers.
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