The Marketing mix of a Hypercity analyses the 4Ps of a Hypercity, which include the Product, Price, Place, and Promotion of the Hypercity. Hypercity is a retail chain owned by its parent company, K Raheja Corporation Group. It is a hypermarket associated with the lifestyle and food retail industry. The first Hypercity outlet opened in 2006 and was spread across 125,000 square feet.
It offers its shoppers an international experience by providing comfortable and highly spacious settings to shop for a diversified product range. The company faces competition from several rival companies, and some of its competitors are as follows-
- Tesco
- Megamart
- Carrefour
About Hypercity
- Type: Supermarket chain
- Industry: Retail
- Founded: 2006
- Founder: K Raheja Corp
- Headquarters: Mumbai, India
- Area served: India
- Key people: Umashankar Shukla (President) and Sadashiv Nayak (CEO)
- Number of employees: 10,000
Table of Contents
Hypercity Product Strategy
HyperCity, a chain of hypermarkets in India, offers its consumers a wide range of products, with brands encompassing everything from groceries to electronics.
The new Product Mix of Hypercity in 2023 is as follows (Source).
- Groceries and Food Items: This category includes a wide variety of perishable goods such as fruits, vegetables, dairy products, and meats, as well as non-perishable items like snacks, cereals, spices, and packaged foods.
- Beverages: HyperCity offers an extensive selection of beverages, ranging from bottled water, juices, and soft drinks to tea, coffee, and alcoholic beverages in specific locations.
- Personal Care and Beauty Products: This segment includes skincare, haircare, cosmetics, and personal hygiene products from various brands.
- Home and Kitchen Appliances: HyperCity offers a variety of small and large home appliances, such as mixers, blenders, microwaves, refrigerators, and more.
- Electronics and Gadgets: This includes a range of electronic goods like mobile phones, laptops, cameras, and accessories.
- Home Furnishings and Decor: This category covers a wide range of products for home decoration and furnishing, including bed linens, curtains, tableware, and decorative items.
- Apparel and Footwear: HyperCity provides clothing and footwear for men, women, and children, encompassing casual and formal wear from various brands.
- Toys and Games: This section includes toys and games for children of different age groups, ranging from educational toys to electronic games.
- Sports and Fitness Equipment: HyperCity offers a range of sports goods and fitness equipment catering to the needs of sports enthusiasts and fitness-conscious consumers.
- Stationery and Office Supplies: This includes various stationery items, office supplies, and school essentials.
HyperCity’s product mix is designed to offer its customers a one-stop shop and shopping experience, providing a wide range of top brands and products under one roof. This extensive and diverse range caters to the everyday needs of a wide customer base, making it a convenient shopping destination.
Hypercity Place Strategy
Hypercity is of Indian origin, and the company has spread its network to twenty stores in India. Its first outlet was opened in Malad at Mumbai; since then the company has extended its reach to places like Vadodara, Baroda, and Ahmedabad in Gujarat, Thane, Mumbai, Panvel, Navi Mumbai, and Pune in Maharashtra, Jaipur in Rajasthan, Bhopal in Madhya Pradesh, Amritsar in Punjab, Hyderabad in Andhra Pradesh, Bangalore in Karnataka and Janakpuri and Noida in Delhi-NCR region. All its outlets are incredibly spacious, and parking is available for its customers.
Moving with time, it joined the e-commerce sector in September 2016. It is a shopping app and website that guarantees delivery within three hours. Hypercity store has a well-trained staff to deal with customers efficiently. Every Hypercity store has a separate and robust management system that ensures the stocking and selling of items from the same store, as it is not cost-efficient to transfer products from one store to another.
Here’s the place strategy of Hypercity.
- Strategic Store Locations: HyperCity stores are typically located in high-traffic areas within major cities and suburbs, often in shopping malls or standalone stores, making them accessible to a large customer base and enhancing footfall.
- Comprehensive Online Presence: HyperCity offers an online shopping platform, providing customers the convenience of shopping from home. This online presence is essential for reaching tech-savvy consumers and catering to the growing trend of online shopping.
- Wide Geographic Coverage: HyperCity aims to have a presence across various regions in India, ensuring coverage in both metropolitan cities and emerging urban centers to tap into diverse market segments.
- Convenient Store Layout and Design: The stores are designed for easy shopping with clear signage, well-organized aisles, and a layout that facilitates smooth customer flow. This ensures a pleasant and efficient shopping experience for customers.
- Partnerships and Collaborations: HyperCity often collaborates with shopping centers, real estate developers, and local businesses to enhance accessibility and visibility, attracting customers and creating synergistic benefits.
Hypercity Pricing Strategy
Hypercity caters to million-plus consumers with the help of differentiated price points. The expansive nature of its business activities makes the formation of pricing policy a challenging task. The company has adopted a reasonable pricing plan for most of its products so that the prices of the items seem affordable to its customers. It has an exclusive agreement with several companies like Waitrose, which is UK-based, so it can drop product prices by 50% to attract consumers and increase its sales volume. Hypercity considers private labels as one of its primary revenue earners because they are purchased directly from vendors, and thus, the cost is meager.
For various products, the company has also adopted a bundling pricing strategy under which it offers one product free at the cost of another. This helps in selling more than one item at one price at a time. For price-sensitive individuals, the company offers several schemes and discounts like Happy Hours, Buy One Get One Free, and Percentile Discounts.
HyperCity’s pricing and marketing strategy is meticulously crafted to establish its position in the highly competitive Indian retail market. This strategy blends market-based pricing and value-driven marketing approaches to attract a diverse customer base. Here’s an overview:
- Competitive Pricing: HyperCity adopts a competitive pricing strategy to match or undercut prices offered by other retail players in the market. This approach is particularly evident in essential categories like groceries and household items, where price sensitivity is high.
- Value-Based Pricing: For categories like electronics, home appliances, and apparel, HyperCity employs a value-based pricing model. Prices are set based on the perceived value of these products, including quality, brand, and features, catering to middle and upper-middle-class consumers.
- Promotional and Discount Pricing: HyperCity frequently runs promotional campaigns, offering discounts, sales, and special offers. This strategy drives traffic, clears inventory, and encourages impulse buying, especially during festive seasons and holidays.
- Dynamic Pricing in Online Retail: In its online store, HyperCity utilizes dynamic pricing strategies, adjusting prices based on demand, competition, and customer behavior analytics. This approach helps to stay competitive in the fast-paced e-commerce space.
- Psychological Pricing: HyperCity often employs psychological pricing tactics, like pricing products slightly below a round number (e.g., ?499 instead of ?500). This standard retail strategy is to make prices appear more attractive to customers.
- Price Differentiation Based on Location: Understanding the diverse Indian market, HyperCity adapts its pricing strategy based on the store’s location. Prices may vary between urban and suburban stores to cater to the different spending capacities and competition in these areas.
- Membership and Loyalty Programs: Introducing loyalty programs where customers earn points and receive discounts on future purchases encourages repeat business and helps build a loyal customer base.
HyperCity successfully balances its cost-price competitiveness with profitability through this multifaceted pricing strategy. It caters to a wide spectrum of customers, from those seeking everyday low prices to those looking for high-value products, thereby solidifying its position in the Indian retail landscape.
Hypercity Promotion Strategy
Hypercity is one of India’s leading hypermarket chains, and the company follows indoor and outdoor promotional strategies to market its products. Catalogs are printed and distributed so customers can know the companies’ recent discounts, promotions, and schemes.
The company has used print media promotion through newspaper ads, leaflets, and billboards. Hypercity runs dissimilar promotions for its different stores depending on local conditions. Every promotion’s start and ending date is specified to avoid confusion. Hypercity has received several awards, which have helped the company positively impact the consumer mindset.
Retail Week, an essential magazine from the United Kingdom has been voted the top retail outlet in India. Hypercity Pune grabbed the Best Store Dethe Sign award in 2012 in the Hypermarket category. Hypercity has a descriptive website and slogan: Big Store, Big Savings.
Some Recent Video ads and Print ads of Hypercity are:
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