Knowledge Zone - Operations



Revamped Distribution & Logistics of Retailers
A Case Study on Pantaloon

by Manasi Panigrahi *

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Store Process & Operations

Pantaloon Stores are managed by professionals and state-of-the-art technology is used to run the operations across the country. Baan ERP Systems and Category Management are all functional and the entire operations are on line with the head office located at Mumbai.

The footfalls are 5000 on weekdays & 15000 on weekends.

Visual Merchandising

Pantaloon Retail is ensuring it stays on top: it recently launched Springboard, a designer prêt gallery for established and upcoming designers, in its well-located stores. It has invested about Rs. 40-50 lakh in the merchandise, provides space, and creates advertising, and is open to a manufacturing alliance, or providing access to its production facilities.

The Rs. 400-crore company has taken a `fashion forward' stance, which is enhanced by designers such as Rohit Bal, Priyadarshini Rao and Anita Dongre - who also makes an exclusive line, AND, for the commercial floor. Pantaloon works on a 50 per cent margin, and provides feedback on price points, sizes and styles, and hopes designers will develop exclusive lines.

This way, they also provide a value-add to the customers, take them a couple of notches above the levels they are used to, and make it an aspirational experience for them.

Distribution & Logistics

They are doing quite well considering that, despite the drastic pruning of its franchisee network over the last three years; the company has stopped appointing new franchisees. Further, the company took a recent decision to stop the supply of its ready-made garments to other outlets.

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* Contributed by -
Manasi Panigrahi,
Pursuing MBA, Batch of 2006,
ICFAI Business School, Hyderabad.