Malls and large-format stores are surely a shoppers' paradise but when it comes to picking up essentials like food articles, government-run store 'Kendriya Bhandar' is the choice of the middle class, an Assocham survey has found.
The middle and lower middle segments in the National Capital Region (NCR) prefer 'Kendriya Bhandars' to large retail shops for buying essential commodities and food articles since the prices they offer are cheaper by 28-30 per cent compared to large-format retail stores, the report said.
"Though Big bazaars, large retail and food chains offer good discounts and handsome schemes, they can no long retain and capture consumers as they (consumers) find a price differential of 28-30 per cent on their monthly food and beverages budget," Assocham Secretary General D S Rawat said.
The survey, which studied about 90 Kendriya Bhandars in the NCR, simultaneously chasing trends of consumer visits at large retail shops in the last 30 days, found that while sale in the former jumped 35-40 per cent, profit margins of privately managed retailers have come down by around a quarter percentage points.
Moreover, what also enhances Kendriya Bhandar's appeal is that apart from concentrating on business activities like sales of grocery, consumer products, stationery, office equipment and medicines the stores provide unique services like credit facility to its regular customers, it said.
