Understanding and Implementing Consumer Preferences are Vital for Sustainable Unorganized Sector

The changing retail scenario is bound to look beyond traditional retailers. This change is because of the further change in factors like consumer taste, increasing disposable income and propensity to spend more. Due to these factors becoming more prominent, unorganized sectors growth has been expected to grow only at 10 percent annually. Despite this, a greater chunk of retailers’ are from unorganized sectors. Unorganized retailers should take a note of this and generates their marketing tactics on the basis of changing preferences of consumers. This sector is still predominating in smaller towns and urban areas. It gives different kind of benefit like credit facility in lean phases, proximity with the customer house and so on. Generally these kirana shops are the family business of these small retailers which they are running for more than one generation.

In this paper it explores how preferences and choices for a retail outlet are not mere necessity for unorganized retailers but even more than that to react on. Real estate, location and labor costs are the favorable factors with unorganized sectors. Factors that draw consumer to stores are space, ambience, convenience for parking and an array of choices under one roof. Decision making is more complex for them. The data has been collected with the help of structured questionnaire containing close and open ended questions. The primary data was gathered from 100 customers selected purposely from Pune city. SPSS has been used extensively for analyzing the data collected.