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Start-up Success Story: A youth living in Saharanpur, Uttar Pradesh, left a good salary job of multinational company and started a startup for grocery stores. Now with this startup, he has about 5 annually …Read more
The 31 -year -old Vaibhav has helped to increase their earnings by rejuvenating more than 100 grocery stores in about a dozen cities.
New Delhi. It is said that time keeps changing and over time, many changes have to be brought in itself. Sanjay Aggarwal, who lives in Saharanpur in Uttar Pradesh, and his son has fully followed this. About 14 years ago, in 2006, Sanjay Aggarwal decided to enlarge his 10×20 square feet grocery store to 1,500 square feet. But, even after this upgrade, there was no significant boom in his business. Sanjay’s son Vaibhav Aggarwal saw that his father could neither earn adequate profits even after so much hard work nor could they further the business. Losses, lack of capital and low investment continuously weakened their business. Seeing this struggle of his father, 31 -year -old Vaibhav helped him. Apart from this, Vaibhav has rejuvenated more than 100 grocery stores in a dozen cities today. Thus he started his startup – the grocery store company -. In the last two years, he has made a revenue of about 5 crore rupees from this startup.
Vaibhav says that his father was the only person to earn at home and he used to run a grocery store in Saharanpur under the name ‘Kamla Store’. After completing engineering in 2013, Vaibhav worked with his father at the store for a few months and then started working in a multinational company in Mysore through campus platesment. The experience of Mysore’s retail market proved to be completely new to him. Vaibhav, who lives here in connection with the work, found that there are smart stores here. The product mix and chain system is very different for these stores.
Leaving multinational company and 10 thousand rupees salary job
After shopping at these stores itself, he got the idea of how he can do his father’s store better. Vaibhav quit his job after knowing about these stores for about a year and after some thought. In 2014, he became a sales manager at a salary of Rs 10,000 in a retail company in Saharanpur itself. Vaibhav says that during this time he understood from the logistics of the retail market to how his product mixes change with space and distance. They found that the product mix changes every 1 km away. Even there is a difference between the presentation and packaging. After seeing all this, many business ideas started coming in Vaibhav’s blank, but he was not in the mood to quit the job once again.
Retail stores learned from studies and work experience
In the era of 2014-15, there was a boom in the startup industry, but they did not have much information about it. To understand the concept, he decided to do a masters in business management in Delhi. Here with the help of academics and faculty, it helped them shape their idea. He could know about many other cases due to the grocery retail market and unorganized sector. After completing the Masters degree, in 2017, he started work in an FMCG company in Delhi. From this job, he got information about the retail market in 6 states including Punjab, Haryana, Uttar Pradesh. He understood every small thing of product flow closely and prepared reports.
First rejuvenation of father’s store
Vaibhav decided to leave this job within a year and bring changes in his father’s grocery store itself. By 2018, he made many changes in this store. He also prepared a software to gather information about the products of the products, the sale of the product and their inventory management in this store. From the store, he removed the products that were causing losses due to low sales and kept all the products in the store so that the customers are noticed. Thus, they increased the number of customers and their spending ability.
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Fast of 100 stores in small cities
Through Word-to-Mouth, this change in his store reached the people. In this way, a person requested to change his store in a similar way after seeing his store. After putting a little more emphasis through digital marketing, some more people demanded them to change their store. Thus Vaibhav launched his startup. Vaibhav says that till January 2021, he has changed the picture of more than 100 stores in about 12 cities. Most of these are from Tier-II and Tier-III cities. Regarding his experience, it is said that people are ready to make changes in grocery business, but they do not get such services through which they can get guidance. Most of the grocery store is going on from Dada or father. They have not changed with time and changing markets.
This startup works to erect a new store too
Vaibhav’s startup only works to bring changes to the old store, but also helps to stand a new store from the beginning. With the help of this startup, customers also have the facility to take some products. Apart from fees, they charge Rs 1,000 per month from every store for software and analytics. The analytics report is released every 15 days so that the shopkeeper can make necessary changes in his shop. This helps in boosting business besides managing inventory.
What is the biggest challenge of this startup
In FY 2019-20, this startup has created a revenue of Rs 1 crore. It is estimated to increase to Rs 5 crore by March 2020-21. Vaibhav further shows that the most difficult task of his business is how to prepare customers to make changes in their store. They have to give information about profits by making this change. Apart from this, customers also have to explain about the expenditure on it. This startup has changed many stores between Rs 7 lakh to Rs 30 lakh. In this, it takes them from 6 months to 1 year.
February 10, 2021, 09:54 IST