Shoppers Stop Analysis

Contents Shopper’s Stop Analysis and Future Expected Returns (Investors Stop???) 4 Shopper’s Stop 6 Investors Returns in Shopper’s Stop in last 7 years since IPO- 7 Madness of Investors and Liquidity Sloshing Around makes investors pay 70+ P/E for Shoppers Stop 8 Shopper’s Stop Future Returns over Next Decade-Prediction 8 Organized Retail Industry in India 10 India Retail Landscape-Predictions and Reality 11 How Much Cash Investment needed for Organized Retail to Become 20% of total Retail 14 Investors and Shopper’s Stop 16 Indian Household Monthly Per Capita Expenditure (2009-10) 17 Basic Analysis of Retail Buying and Limits of its Growth 18 People living in Homes 18 Average Size of a House in USA, UK, India & Per Square Feet per person comparison 18 The top spending youngest of the crowds do not live in their own homes 20 Size of Fridge India 20 Money with the People 21 Ignore the nearby Local/Mom-n-Pop/Kirana Shops in favor of Shoppers Stop 21 Advantage of Kirana/Mom-n-Pop Stores over Organized Retail/Shoppers Stop 21 Basic Disadvantage/Advantage of Any retail remains same for Organized or Kiranas 22 People travel to Retail Shop/Shoppers Stop or Buy Online 23 Going to Mall 24 Number of Cars per Person & Relation to Organized Retail 24 Buying Online 26 CD/DVD 26 Books Retailing Online and Shoppers Stop Failure 27 Electronics Sales Online 29 People Choose the Stuff/Goods they Buy 30 Food Expenditure comprises 50% of total spending by Indians 30 Cereals and Pulses- 22% of total Expenditure 31 Milk and Products – 10.88 % of total Expenditure 32 Vegetables - 7.3% 32 Sugar and Salt – 5.52% 33 Beverages – 7.5% 33 Egg, fish & meat and edible oil – 8.6% 34 Fruits and Nuts – 2.29 % . 35 Summary of Food Market Capturing Possibility 35 Shoppers Stop low Food Sales as a % of Total Revenues 36 Non-Food Expenses 37 Durable goods- 7.03% 37 On Electronics Category Mr. Biyani’s