Composition Of Consumer Co Operative Societies Marketing Essay

Consumers are unorganised and hence exploited by bargainers in monetary value, quality and weight. Consumer co-operatives protects the involvements of consumers against unreal scarceness, over charging of monetary values, supply of sub standard goods and the unjust trade patterns distorted by private bargainers.


Maharashtra Co-operative Societies Act, 1960, defines consumer co-operative society as a society, the object of which is:

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The procurance, production or processing and the distribution of goods to or, the public presentation of other services for its members as besides other consumers,

The distribution among its members and clients, of the net income happening from such procurance, production, processing and distribution are in proportion as prescribed by regulations or bye-laws of the society.

A consumer co-operative society is fundamentally formed for the publicity of the involvements of the consumers.

Composition of consumer co-operative societies:

National Co-operative Consumers ‘ Federation ( 1 )

State Co-operative Consumers ‘ Federation ( 28 )

Departmental Stores ( Apna Bazaar )

Sweeping / Central Stores ( 681 )

Primary Consumer Co-operative Stores ( 26469 )

University & A ; College Consumers ‘ Shops

Consumers ‘ Shops of Industrial Workers

Consumers ‘ Shops for Rural Population

Aims of consumer co-operatives:

To educate the consumers to maintain their demands within the income bound.

Stabilization of market rates.

To provide the goods and services on a regular basis at sensible costs.

To protect the consumers from black selling, addition in market rates, scarceness, rip offing and debasement.

To provide proper unadulterated goods and to utilize proper measuring ( weighing graduated tables ) .

To instill the wont of nest eggs and economic system among the consumers.

To command the profit-making inclination

Need and importance of consumer co-operatives:

Supply of things and services as per needs-

The consumer co-operative societies are formed to fulfill the demands goods and services as demanded by the consumers. There are straight contracts with manufacturers and makers of things and required goods are purchased straight from them, thereby the consumers can be supplied with the goods as demanded.

Eradication of malpractices of traders-

It is found that there are many malpractices in trading like black selling, unreal scarceness, rip offing in measurings, stashing, etc. proper measurings are non used whereby the consumer becomes ultimate victim of all these malpractices by the bargainers. There is no topographic point for all these things in co-operative consumer societies and so the consumers are attracted towards them.

Necessity of clip:

India has adopted fiscal planning and there is importance for public distribution of essentialnesss of life. The consumer co-operative societies help the authorities in administering these essentialnesss to rural and urban countries of our state. These societies have become really of import twenty-four hours by twenty-four hours. Since these societies have been entrusted the occupation distribution, the consumers are saved from fiscal development and adversity.

Constitution of proper trading system:

The consumer co-operative societies supply good quality of things at sensible cost by utilizing right measuring and pure things. Hence from the point of view of clients these societies are really of import.

Eradication of bargainer ‘s concatenation:

There is long concatenation in between the manufacturers and consumers. The things are sold at higher cost to consumers because the jobbers add their ain net income and disbursals. The consumer co-operative societies straight purchase the goods from the manufacturers and concatenation of jobber can be avoided.

Apna Bazaar

Apna Bazaar is likely the oldest and largest consumer co-operative multi-state society with a client base of over 12 hundred thousand. The Rs 140-crore retail concatenation, that, for over 55 old ages remained mostly “ middle-class ” , Apna Bazaar has 80 mercantile establishments in Mumbai, Thane and the neighbouring Konkan part. It has late opened its first store outside the province in Goa. It recorded a turnover of Rs 127 crore for the twelvemonth 2003-04.

Apna Bazar, the equivalent word for the basic demands,

Brand name of

Mumbai Kamgar Madhyavarti Grahak Sahakari Mandal Ltd

Date of Incorporation

9th May 1948

Fundamental law

Multi State Co-operative Society





Registered Office

106-A, Govingi Keni Road, Naigaon, Dadar [ East ] , Mumbai 400014

Role of Apna Bazaar:

Apna bazar plays a critical function by market intercession during the deficits of indispensable trade goods. The distribution of these points is taken up by the Apna Bazaar at a loss to carry through its societal committednesss. At times of demand, Apna Bazaar has diverted its work force and resources, even at the cost of its ain commercial involvement, for the public good.

Aims of Apna Bazaar:

To set about sweeping and retail distribution of consumer goods and indispensable trade goods ; and to set up section shops ;

To further the growing merchandises and new fabricating units through market support and direction advice

To take down distribution costs and to present just and better trading patterns such as fixed monetary values etc ; and

Eradication of malpractices of bargainers black selling, unreal scarceness, rip offing in measurings, debasement, etc.

Necessity of clip – public distribution of indispensable trade goods in rural and urban countries.

Elimination of jobbers.

Management and Organization:

Apna Bazaar is headed by a direction squad consisting a president, frailty president and Hon secretaries. The squad mostly provides way to the organisation and is non involved in the daily personal businesss. The daily personal businesss are managed by an executive squad, which consists of a general director, extra general director and office carriers of the organisation.

Mercantile establishment

Apna Bazaar has a client base of over 12 hundred thousands. Apna Bazaar has 80 mercantile establishments in Mumbai, Thane and the neighbouring Konkan part. It has late opened its first store outside the province in Goa.The interruption up of the shops is:

Departmental shops


Medical shops




Franchisee shops


Food shops


Items Sold By Apna Bazaar

Apna Bazaar has the undermentioned three chief classs of points:

Agro merchandises

Branded merchandises

Rural merchandises

Apna Bazaar sells an huge assortment of points through its assorted departments/retail mercantile establishments. These are described below: –


All type of wooden furniture, steel furniture library furniture, hospital furniture, go arounding chairs, computing machine furniture, mattresses, pillows, sofa shock absorber.


Steel utensils, aluminium utensils, non stock, gas ranges, locks, mixer-grinder, juice-cum-mixer bomber, hot-cases, room warmer, room convector, geysers, all type of fans, electrical goods, rinsing machine, air-conditioners, H2O ice chest, electromotive force stabilizer, generator set, dishware, flasks, fictile points, electrical bulb/tubes and tubing adjustments, table lamp, exigency visible radiation, cell, torch, electric wire, desert ice chest, exhaust fans.


Places, sandals, ladies purse, belt, umbrella, school, bag, suit instances, brief instances, file box, file bag, baggage bag.


Woolen suiting, tericot suiting and shirting, cover, sport jacket, bed-sheets, pillow screen, dress stuff, all types of saris, markein fabrics, long fabric, voil, mulmul khadi etc.


Towels, dust storms, drape fabric, bed-covers, rugs, comforter, durries, jute matting, covers, pillow screens, door-mats, PVC flooring.

Ready Made Garments:

Bloomerss, shirts, unmentionables, socks, jumpers, leather jackets, ladies suits, half-slips, kids garments, rain coats, over-coats, mosquito mat, drape tapes, machine oil, raxine.


All types of duplicating, typing, photocopies paper, publishing paper, all types of regulations registries in different sizes peon books, dhak tablets, pens, pencils, pen bases, eraser, markers, mark pens, gum-bottles graduated tables, colorss, art stuff, sealing wax, white fluid, sutle, stencil and C paper, all type of computing machine letter paper, butter paper, crepe paper, glaze paper, graph paper, file screens, log books, all type of printed signifiers ( Govt. offices ) , PVC sheet for adhering intents, transparence sheets, legers, hard currency books reckoners, computing machine floppy, fax axial rotation, typewriting thread, ammonia paper axial rotations.


Watchs of reputed companies like Titan.

Grocery & A ; Toiletries:

Pulsations, spices, atta, rice, oils, tea foliages, and assorted other comestible points, insect powders, germicides, phenyle, detergents, soaps, cosmetics, tissue axial rotations and serviettes etc.

Medical & A ; Surgical Equipment:

All types of medical specialties, medical & A ; surgical equipment etc.

Members Benefits:

Dividend on portions at 12 % to persons, society and authorities.

Purchase discount on portion sum 10 % each twelvemonth.

Attractive rate of involvement up to 9 % on fixed sedimentation by the members.

Facilities Offered By Apna Bazaar to Consumers:

Apna Bazaar provides the following installations to consumers: –

Quality merchandises at sensible monetary values.

Assortment of points under one roof.

24 hours drugs mercantile establishments.

Self-service counters

Items of high quality tested by its quality- testing research lab.

Display boards and monetary value lists at assorted counters to enable the client to do his/her pick.

Home bringing, but this installation is merely available for purchase from subdivisions.

Discount gross revenues sporadically on assorted points


The location for the shop is selected taking in consideration the residential population in the country, the criterion of life of the people, the sum of concern the other stores are making and besides future development that are likely to take topographic point in that country in future.

Area covered:

Apna Bazaar has 80 mercantile establishments in Mumbai, Thane and the neighbouring Konkan part. It has late opened its first store outside the province in Goa. However the denseness of Apna Bazaar is high in Naigoan and Chembur

Space required:

The minimal demand of country for puting up Apna Bazaar is1000 sq.feet. The biggest shop is at Vashi, which is dispersed across 27000 sq.feet.

Target sections:

The shop was started maintaining in head the lower in-between category subdivision of the society. But bit by bit it has moved up the consumer ladder with the inclusion of the in-between category as its mark consumer. Now slowly it is pulling the upper category towards it. It now caters to about all the sections of the society depending on the location. In order to pull the upper category & A ; to battle turning competition in the retail industry it is doing alterations in its product-mix.


Change in merchandise Mix:


Tones ( 2002-03 )

Tones ( 2003-04 )















The above tabular array indicates diminution in the gross revenues of Rice, Wheat, Pulses etc which shows the alteration in the nutrient culture/consumption form of the consumer. It indicates that the consumer’sA disposition towards ready-to-eat nutrient is increasing. Taking this into consideration Apna Bazaar had made has made appropriate alterations in its Product Mix. Slowly the Percentage of nutrient grains, pulsations has declined and that of FMCG merchandises has increased. In a twosome of old ages the per centum of domestic fowl merchandises in the merchandise mix would increase whereas that of nutrient grains pluses etc. would worsen. This would farther alter the merchandise -mix of Apna Bazaar.

Shop Layout:

Layout of store Apna Bazaar does non hold any specific layout of store. But in most of mercantile establishment the 1st division you would come out is Vegetable, Fruit, Medical merchandise, nutrient grains, and FMCG merchandise. The lone think that is kept under consideration that Heavy Product like 5kg. Sugar, 10kg. Wheat, 5 ltr. Oil is near hard currency counter for convenience of client. In instance of show they see to it that show at entryway is really colourful & A ; attractive. Hence they display cosmetics & A ; FMCG merchandise. Besides merchandise, which is new to the market, are besides displayed to catch attending of consumer

Merchandise Display:

The trade names are displayed in a really attractive mode.The determination to put a Brand on a peculiar shall depends upon the Market portion enjoyed by the company /Brand. Normally there are 5 Shelfs. Out of which 2nd, 3rd & A ; 4th shelves are most of import 1s on which the trade name with high market portion or high trade name equity are placed. These merchandises are ever in demand by the clients.


In large shops, like the departmental shop at Andheri, there are 2000 to 3000 footsteps in a twenty-four hours ( on weekdays ) & A ; on weekends there are around 3000 to 3500 footsteps. In little mercantile establishments there are around 100 footsteps on regular twenty-four hours ‘s.On weekends there are 200 to 250 footsteps. The footsteps are more particularly on Sunday.

The footsteps are more in flushing between 6.30pm. & A ; 8.30pm.WhereasA the footsteps are relatively low during the afternoon slot of 1.30-3.30 autopsy. Keeping this in head shops are closed down during this clip. In this clip the staff are rearrange the ware in the store.A

Beginnings of Income:

Retailing is their core activity and a major portion of their income come from the assorted retail mercantile establishments.

They supply trade goods like Dal, Pulses, Food grains, Cereals to Govt. Institutions, Hospitals for their Canteens. A 30 Days recognition is given to them.

They besides earn income from the company racks that they display in their mercantile establishments. These racks contain the merchandises of the peculiar company and the in bend wages Apna Bazaar for exposing these racks. E.g. Maggie, Colgate, Pepsodent, Vicks, Nescafe etc.

They provide infinite to companies e.g. MEPL ( Electronic goods ) in order to expose and sell their goods by bear downing rent for infinite provided.

They have 37 Franchise mercantile establishments, which act as a beginning of income for Apna Bazaar as Apna Bazaar supplies 70 % of goods.

Supply topographic point to Bankss for opening ATM centre by bear downing rent since about all the mercantile establishments are owned by Apna bazar.

MetLife India signed an understanding with Apna Bazaar Co-operative for selling life insurance policies. Based on the understanding, Apna Bazaar Co-operative shall go corporate agents for MetLife India and offer MetLife India merchandises to its immense client base. Henceforth Apna Bazaar will enable its clients to construct fiscal freedom through MetLife India merchandises based on demand analysis. Apna Bazaar will have a committee of 35 % on Premium sum.


‘Apna Bazaar ‘ is a 55 twelvemonth old co-operative organisation with US $ 37 million one-year turnover through 07 departmental shops, 06 super markets & A ; 65 retail mercantile establishments.

Apna bazar usedA to export trade goods like fish and grapes to Europe. In malice of good net incomes on exportsA they have discontinuedA the exports from this twelvemonth.Thus the grounds for the discontinuance were due to:

The goods were seasonal in nature.

In instance of grapes the Jalgoan part in which grapes where cultivated was hit by drouth, thereby by impacting the production of grapes.

BesidesA the grapes were sprayed with certain chemicals which were banned in the EuropeanA states, thereby further impacting the exports.

Besides exports is non Apna Bazaar ‘s nucleus activity thereforeA the determination to stop exports was taken.



SWOT Analysis:



Apna Bazaar has built its image over the old ages as a value for money shop, which supplies good quality goods at economical monetary value.

Number of Outlets-

Apna Bazaar has 80 mercantile establishments spread all over Mumbai, Navi Mumbai, Thane and the neighbouring Konkan part, Lanza ( Bombay-Goa route ) , among other topographic points in Maharashtra. All these countries are easy accessible as public transit is available. Hence supplying easy handiness to the clients.

Team work-

Although there is no preparation imparted to the employees at the mercantile establishments, there is co-ordination and apprehension between them due to which the work goes on swimmingly making a win-win state of affairs for both, the direction and the employees.


Apna Bazaar makes usage of modern engineering to keep right provider measures and giving accurate measures to clients giving inside informations of each purchase and most significantly demoing him the nest eggs he has made while buying from Apna Bazaar. They besides possess entire inside informations of their gross revenues and the per centum of gross revenues in each class so they know where the gross revenues are high and where they are dawdling behind.

Genuine Products-

The merchandises of Apna Bazaar are echt as they purchase it straight from the companies. Tonss of imitations of consumables such as honey, oil, etc. are available in many shops. Peoples get cheated, as it is non easy to place them.


Apna Bazaar organizes a client meet for their regular clients called MELAVDA at their day of remembrance to construct stronger dealingss with their clients. On this twenty-four hours, the clients are offered purchase price reductions which show that they have taken disciplinary stairss towards client satisfaction.



Raising capital for enlargement and betterment is besides a restraint. Apna Bazaar is bounded by the Torahs of consumer co-operatives due to which they can non raise financess from unfastened market. There is besides limit prescribed by the consumer co-operatives for figure of portions issued by Apna Bazaar. This is a major drawback for Apna Bazaar.

Aging society-

Apna Bazar started after World War 2 when there was demand of indispensable trade goods at lower monetary values. But, after liberalisation many ace markets and hypermarkets have opened up due to which there is detonation of picks. Furthermore, people today have the money to travel for convenience shopping, and therefore, the intent for opening the co-operative is defeated.

Obstacles in enlisting: –

Apna Bazar does non hold the budget to enroll skilled staff. The employees are non good educated and therefore, they are non cognizant of the direction patterns. A qualified employee demands higher wage, which can non be given by Apna Bazaar due to their restraints. Hence they can non name a MBA a managerial occupation.

No on-line retailing: –

Apna Bazar does non hold information about its merchandises online. They should hold their ain web site as it is really of import in today ‘s universe. They could even larn about client grudges by the feedback.

Monetary value fluctuation: –

Price Fluctuation is a major menace to Apna Bazar. If the merchandise is bought at a higher monetary value is has to be sold at that monetary value merely so as non to incur losingss. For illustration, the monetary value of oil fluctuates a batch. So if the monetary value for oil is Rs. 820 for a can when it is purchased, it will be sold at Rs 820 per can even if the monetary value falls to Rs. 800 per can. In this instance the oil available from other stores will be cheaper.


Brand edifice: –

Apna Bazaar can take attempts to construct its ‘ trade name image. For this intent, a selling house can he engage. This will pull more and more people to its mercantile establishments. Besides, they have upgraded their mercantile establishments. This can be the base for pulling more clients as they will shortly hold all air conditioned shops.

Expansion: –

Apna Bazaar can spread out its mercantile establishments to other provinces. At present, they have discovered involvements from Madhya Pradesh and Delhi. The induction is on the anvil.

Development in suburbs: –

Peoples are now traveling in the suburbs ; substructure is developing due to which there is immense potency to pull more clients.

Retailing roar:

Retailing today is non merely about selling at the store, but besides about appraising the market, offering pick and experience to consumers, competitory monetary values and retaining consumers every bit good. The constitution of supermarkets and convenience shops has been a great attempt to pass on the advantages of organized retailing to clients.



There are a big figure of promenades that offer discounts the price reductions offered by them are every bit good as those offered by Apna Bazaar because the promenades purchase in majority and can hence afford to give heavy price reductions to the clients. The client has an detonation of picks and will prefer shopping at these large promenades because of the atmosphere. They get the complete shopping experience at promenades. Hence, promenades are a major menace for Apna Bazaar.

Competition from other shops in footings of-

Customer Centric Approach:

Most other shops take feedback from the clients in signifier of grudges, sentiments and suggestions. They can happen out client demands and ways to fulfill them.


Image of a private retail merchant is more modern and advanced compared to that of Apna Bazaar. The show is besides more attractive in other ace markets and hypermarkets compared to Apna Bazaar.

Future Plans:

Apna Bazaar plans to open mercantile establishments in the new lodging settlements coming up in the interior suburbs like Kandivli and Thane.

Increasing the distribution range is a scheme to counter competition the co-operative programs to increase its mercantile establishments from 80 at present to about 100 by following twelvemonth. This would consist section shops, super markets, franchisee mercantile establishments and medical shops, both in Maharashtra every bit good as remainder of the state.

Apart from that, it has money transportation installation under an agreement with Western Union money transportation.

On the affiliation with HPCL for holding Apna Bazaar mercantile establishments at the gasoline pumps, so far three HPCL pumps have Apna Bazaar mercantile establishments and the consequences are still being analyzed.

Apna Bazaar Co-operative has embarked on a restructuring exercising and has appointed Darashaw and Company as strategic advisers. The reconstituting involves go outing certain concern while adding more services, to be provided under its umbrella. The restructuring program involves go outing out of concerns like export of fish and grapes, milk processing, fabricating bakeshop merchandises like biscuits and besides pickles papads and spices.

Online engagement for commissariats through the Net and a centralised system to command stock list are besides on the anvil. To get down with the co-operative programs to hold a dedicated call centre for clients to phone in their demands, which would so be delivered from the nearest Apna Bazaar mercantile establishment. An on-line presence, on the lines of Sangam Direct-the on-line enterprise of HLL-is under consideration.

To guarantee minimal stock list and maximal rotary motion, the co-operative is be aftering to centralise its supply concatenation direction. It is speaking to FMCG big leagues like Tata, Nestle, HLL and P & A ; G to guarantee rotary motion without constructing up much stock list. While the super markets would be serviced straight by the companies, the demands of franchisee mercantile establishments would be met by Apna Bazaar to guarantee better co-ordination.

Apna Bazaar operates the Akshay Labh Yojana strategy wherein the clients can lodge Rs. 10,000 at any point of clip in the twelvemonth and acquire points deserving Rs. 100 per month free. They besides have term sedimentation strategies.

Apna Bazaar has besides entered into an eCRM affiliation with Venture Infotek, the e-infrastructure solutions supplier, whereby Venture Infotek provides the incorporate end-to-end solutions, with the shared substructure and payment-as-you-use payment mechanism, without investing in substructure.

The first thing on Apna Bazaar ‘s programs is to work on all 365 yearss like other large participants.

Upgrading the accomplishments of their work force and create vehicle parking installation are besides in their docket. They plan to hold a tie-up with Citibank on co-branding. Sing recognition card, they are on the brink of subscribing a MoU with SBI. As ocular selling, a new manner for showing the merchandises will be introduced.

The National Consumers Co-Operative Federation has approached Apna Bazaar and enquired about the possibility of running section shops under the trade name name Apna Bazaar in Delhi and Madhya Pradesh.

Apna Bazaar is be aftering to open another mercantile establishment in Goa as they have got a good response from the supermarket.


Government intervention has had a major consequence on the democratic apparatus of Apna Bazaar. Therefore, lesser dependance on authorities should be opted for.

Government should assist shops like Apna Bazaar with recognition at cheaper involvement rates.

Apna Bazaar should better their capital assets by inscribing more members and besides present more merchandise assortments.

In the coming old ages, the economic system will be dominated by the retailing sector. Timess are altering, organisations are altering. Changing harmonizing to times is inevitable. Apna Bazaar has to alter its traditional point of views. It should follow new techniques and accept alteration wholeheartedly. Bringing qualitative alterations in their accomplishment and particularly mindset will assist it to last competition.

Apna Bazaar can open one mercantile establishment offering all the merchandises it sells in the 80 mercantile establishments so that people get all merchandises offered by Apna Bazaar under one roof.

Other activities:

Healthy kid competition for member kids.

Ayurvedic cantonment conducted by apna bazar every twelvemonth in November.

Consumer bulletins are printed and distributed to consumers, which gives them information about assorted merchandises stored by them.

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