Blog: Reliance Retail : a Guess comes Good

Saturday, 31 July 2021

Reliance Retail : a Guess comes Good

How will the game plan of Reliance Retail unfold over the years ?

3 years ago, I made a few guesses re following aspects of that game plan :

# Sales

# Supply

# Inventory

# Delivery

# Finance

# Marketing

In relation to matters of SUPPLY and INVENTORY , in my blog MA = DA x 4,000,000 ? ( 17 July 2018 ), I made following guess :

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SUPPLY :

We will deliver to your store , all merchandize on " Consignment " basis

This means , you do NOT need to pay us for what we deliver to you store !

Till sold , all goods in your store will be our " stock "

This way , you do NOT need any " Working Capital " as far as your stocks are concerned

We will also tie-up with the manufacturers

You don't need to have any interaction / dealing with the manufacturers

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INVENTORY :

On a continuous basis , our web server will keep a track of each and every item of merchandize sold from your stores

Our Server will calculate , your " Stock Movement "

Based on this data , our Server will compute / set for each item :

# Minimum Stock Level

# Alarm Stock Level

# Stock Re-Order Level

# Re-Order Quantity ( Minimum Batch Size )

Based on this logic , our Server will instruct the relevant " Merchandize Manufacturers " ( or their dealers / stockists ) , to deliver the stipulated " Re-Order Quantities " to your stores

A " Re-Order Instruction intimation " , will get delivered to your computer

Upon arrival , you will need to update the data

From time to time , our Software will also figure out your current stocks of " Extremely Slow Moving " and " Obsolete / Expired " items , and arrange for " Return Delivery " , which you will need to enter in your database

3 years down the line, how accurate was that GUESS ? Here is the GOOD news :

Rel Retail Brands may soon come to kiranas / Eco Times / 27 July 2021

Extract :

Ø The country’s largest retailer plans to start supplying products such as soaps, sanitizers, and home disinfectants under Puric InstaSafe brand to other retailers and and kiranas nationwide in the coming months

Ø With its JioMart ecommerce platform looking to supply everything from FMCG products to general merchandise to kiranas DIRECTLY, Reliance Retail with around 13,000 brick-and-mortar stores, is planning to push its own brands of FMCG, fashion and lifestyle, and electronics to the stores OUTSIDE of Reliance stable as part of of a larger CONSUMER PLAY

Ø So far, kiranas purchased Reliance Retail’s private brands from its cash-and-carry stores but the company had seldom PRO-ACTIVELY marketed them to the GENERAL TRADE

Ø Now there is a marketing team to sell PRIVATE BRANDS to the general trade

Ø Reliance has also created a CONSUMER BRAND GROUP that is tasked with developing FMCG products to be sold in the GENERAL MARKET and not just in Reliance Retail’s own outlets and e-commerce channels