DMart is an Indian company with a commercial chain of hypermarkets and supermarkets .The categories offered by D-Mart are Market goods, personal care products, groceries, home care solutions, kitchenware, furniture, utensils, and home appliances , etc . people often confuse the business model , marketing strategy and share prices of Dmart by checking websites such as money control and other finance sites which make them unable to understand .
In this blog we have done a swot analysis of dmart that focuses on Strengths, Weakness, Opportunities, and Threats. By the end of this blog you will understand the business model , swot analysis , Share price forecast of Dmart for next five years explained in simple words with examples and reports snapshots from our analysis in Excel.
Contents
- 1 About Dmart
- 2 Quick information of Dmart
- 3 Dmart Share price forecast
- 4 Products of Dmart
- 5 Competitors of Dmart
- 6 Swot analysis of Dmart
- 7 Swot analysis of Dmart – Strengths
- 8 Swot analysis of Dmart – Weaknesses
- 9 Swot analysis of Dmart – Opportunities
- 10 Swot analysis of Dmart – Threats
- 11 Conclusions
- 12 FAQs
About Dmart
Company Background
The company was started by a person named Radhakishan Damani on May 15, 2002. It is a public company which means shares are listed in stock exchanges and bought and sold by anyone . In the Financial year 2024 the company made a revenue of ₹50,025 crores (US $6.1billions) . The company’s assets like buildings and equipment worth ₹20,500 crores (US $2.5 billion)every year. It earns a profit of ₹2,500 crores (US $300 million) every year. Dmart established its branches in different states , districts of India . At present there are 263 stores all over India .
Employees and employment type :
Permanent employees: There are 12,108 people who work for the company all the time.
Contractual employees: There are 48,793 people who work for the company for a short period or on specific projects.
Quick information of Dmart
| Founders | Radhakishan Damani |
| Year of Establishment | May 15, 2002 |
| Annual Revenue (as of FY24) | US$6.1 billion |
| Total assets (as of FY24) | US$2.5 billion |
| Net income (as of FY24) | US$300 million |
| Origin | Powai, Mumbai, Maharashtra, India |
| Total no. of employees | 12,108 – Permanent 48,793 – Contractual |
| Year | Share Price |
| 2024 | 5,065 |
| 2025 | 6,050 |
| 2030 | 8,890 |
| 2035 | 7,828 |
| 2040 | 15,510 |
Products of Dmart
D mart provides a wide range of products to its customers , covering customers from different categories . General categories are :
- Food – Includes packed foods and snacks
- Grocery – includes daily cereals , rice and dry fruits
- Clothing – includes men and women ware , kidsware
- Electronics – All types of home appliances and personal appliances
- Milk products – Milk , curd , Beverages , Ice creams
Competitors of Dmart
Dmart works in a competitive market where Value mart , Reliance mart , Big bazaar , Amazon , etc are the peer competitors who provide retail products to consumers . Important Competitors including online are :
Table
Swot analysis of Dmart
Swot analysis of Dmart provides a complete overview of its business model , strengths , marketing strategies , weaknesses , Opportunities , and threats to the company . Strengths and weaknesses are internal parts of the company which helps them to improve if analyzed . Opportunities and threats are external parts of the company which can down them if it is utilized by the competitors . This blog provides complete details of swot analysis of dmart in simple words .
Swot analysis of Dmart – Strengths
- Long term focus :
Dmart’s founder Radhakishan Damani , is an investor who is interested in long term profits . Hence , The company focused on long term gains and made strategies accordingly which helped business to make profits even in pandemic times .
- EDLP (Everyday Low Price)
EDLP means Everyday Low price , This strategy helped Dmart to attract middle class families by providing low price to daily needs consistently . This provides value to customers and in return goodwill to the company . This Strategy played an important role in the fast development of Dmart .
- Cluster – based Expansion
Dmart expanded its branches in the nearby places where already one successful branch was established . By this unique strategy it attracted all the customers from its competitors . Compared to its competitors Dmart always focused on building a spacious mart which helps customers to move freely and spend most of their time in buying .
- Gradual growth
Dmart always focused on gradual growth and long term profits by making strategies and doing market research . Its gradual growth strategies helped the company attract more customers and build 263 stores in the span 20 years .
- Variety of products
D Mart offers many different products , including food and non-food items , at prices lower than usual by its unique pricing policy . This provides customers multiple options to choose from.
- Customer centric management
Company always cared for their customers and made good relationships with them which helped them to hold their customers to their markets rather than losing them to competitors .
Swot analysis of Dmart – Weaknesses
Weaknesses are used to refer areas where improvements are needed :
- Untapped Market Places
Dmart always focused on cluster based expansion and established most of its stores in the western states and few in the south . There are many places to be explored before the competitors to establish its presence .
- Slow Growth
Dmart was established on May 15, 2002 ( 20 years ago ) but still unable to capture the majority of places in India . Only 263 stores were established in these 20 years covering western and southern part of India .
- No frills strategy
Dmart follows No frills strategy which means cutting down costs whenever possible . It may affect the quality of products and transportation packaging .
- Quantity over Quality
EDLP strategy helped to attract middle class families but at a certain point company had to compromise the quality of their products to make customers happy by providing more quantity at low prices . As there is a possibility that customers may focus quality over quantity at one point .
Swot analysis of Dmart – Opportunities
- Technological Upgradation
Tech upgradation like robotic billing counters , vending machines outside stores , etc decreases the cost of humans and attracts customers to experience tech marts .
- Ecommerce
Dmart has not established its presence online as its competitors have already established . There is a huge opportunity for dmart to create its ecommerce platform and provide home delivery to customers which also opens gates for new sources of income as ads can be placed in sites or in web applications .
- Untapped markets
As discussed earlier , Dmart has many untapped locations such as the eastern and northern part of India . This is an opportunity for the company to establish its presence in these locations . Dmart can make its franchise to establish its brand .
- Royalty based System
Many supermarkets and hypermarkets provide royalties to their customers when they buy products from their stores . These royalties were further used to buy other products or redeemed to cash . Dmart rather than giving products at lower prices it can provide royalties to their customers which make them want to visit again and again .
Swot analysis of Dmart – Threats
- Huge competition
Dmart is already facing much competition in offline markets but it has already established its presence offline . But many companies have already taken ecommerce markets . Dmart has to consider online presence , if not it could take their sales down . As most of the customers prefer online nowadays .
- Government policies
Government policies and regulations are changing from time to time . It is important to keep an eye on government policies to check any opportunity or threat before one becomes a victim to it .
- Changing Trends
2002 – 2024 many new trends took place , such as home delivery of grocery to online booking of grocery . There is a chance of losing customers to online markets of competitors . As discussed earlier Dmart should start focusing on its online presence .
- Foreign Direct Investment
Foreign Direct Investment , or FDI , is when companies from one country invest money into businesses in another country. This often means that a foreign company starts or buys a business in a new country . If international companies like Walmart , etc establish their stores in India , there is a possibility of losing markets to these international companies .
Conclusions
Dmart became a big successful retail market in India because of its low pricing policy , cluster based expansion , Customer centric management and products of different categories available to customers . Dmart made profits and stabled its share prices even in pandemic times . It is an Indian company also known as “Walmart of India ”. Besides its positives there are many threats to the Dmart and missing Opportunities which need to be improved . Overall the Dmart’s success inspires many newcomers in the retail market sector .
FAQs
1. Who is the founder of Dmart ?
The company was started by a person named Radhakishan Damani on May 15, 2002.
2. What is the growth strategy of DMart?
The following are the growth strategy of Dmart
- Long Term focus
- Cluster based Expansion
- EDLP (Everyday Low Price)
- Gradual growth
- Customer centric management
3. What are the strengths of Dmart ?
The following are the Strengths of Dmart
- Long Term focus
- Cluster based Expansion
- EDLP (Everyday Low Price)
- Gradual growth
- Customer centric management
4. What are the Threats to Dmart ?
The following are the Threats to Dmart
- Heavy competition
- Changing Trends
- Foreign Direct Investment
- Government policies over Retail market
5. Who is the CEO of DMart?
Ignatius Navil Noronha is the CEO of Dmart .
6. What is the Current Share Price of Dmart ?
DMART share price: ₹ 5,010.70 – Avenue Supermarts Ltd (Parent company of Dmart ) Stock Updates .
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