13 December, 2018

Staff Empathy - Wake up India!

Like many of you, I too saw the viral video of the Zomato delivery guy consuming the food meant for Guests on his scooter. As a benefit of doubt, I initially thought he was eating the food he had ordered for himself or his family. I never shared the video and the ensuing Memes even to my close family or friends. Something stopped me from doing it. It takes me back to 1997 when I joined my first job as a part-time employee in erstwhile Madras. Being a humid city and blessed with four seasons of Summer through 12 months, the city was eponymous to a hot weather all through the year and about 20 days of winter. So Ice-Cream as a product category was a 12-month business opportunity and no wonder, “Baskin Robbins” set-up their second store in India here after debuting in Mumbai. I would study Computing at NIIT from 7am - 9pm and pursued B. Com from 4pm - 8pm at RKM Vivekananda College. A chance glance on the local tabloid and I saw there was a job opportunity at this shop and I headed. 

I got selected but the Franchisee wanted me to work all day which I couldn’t since I had classes in the morning and evening. So, I suggested I can work part time from 11am - 3pm which he agreed to for a monthly remuneration of Rs. 300. We were a crew of 6 and had to run all errands - from receiving stocks to cleaning tables to serving scoops. Around the same time, local brand “Arun” would sell their stick Ice-Cream for Rs. 5 while a scoop of Baskin would cost Rs. 33. We had to not just convince Customers to try and buy our offering but also justify why they should pay so much for the product.
The Franchisee was a shrewd businessman in his 30s and had an idea which took us all by surprise. He suggested that each of us can take any one scoop of ice-cream daily. There was a register we maintained and we tried as many flavours. Over a few days, we requested if we could take them home instead and make the family happy which he obliged. Over the weeks, we got tired of eating daily and said we wouldn’t do it anymore. The Franchisee had hit two mangoes with this move - he ensured we never pilfered the food; he ensured the staff knew what we were suggesting to Customers and so could sell them easily.
This was my first lesson in Retail, my first job as well. Frontend Retail Staff in India, most of them find it difficult to make ends meet. Salaries of CXOs have grown multi-fold in decades, but not that of these guys. So there is always a sense of remorse (at least for some of them) that they are unable to afford the products or services. I am not taking this as an excuse for living poor, after all that’s a choice too but they do really cannot afford even basic needs at times. I feel really bad for this Zomato delivery guy for all the negative publicity the society gave him. Imagine the humiliation his Mother, Wife and Children would face from their neighbourhood? Will anyone employ him again? With our excessive media trials, we have killed a family's reputation Sigh.
We have failed as a society, yet again thanks to our "one-upmanship" and self-styled righteousness in the garb of exposing someone who was at fault. Oh, btw that guys doesn't need our sympathy. The world needs more of our empathy. Am sure you agree. 


The Retail Staff (including the delivery staff) deserve better. Better Salary, better empathy and better social acceptance. When we give them something beyond what they deserve, they will not only display integrity but also build a better society that we live in. Remember, no one was born a thief. We just become one, thanks to circumstances.

27 November, 2018

Coming soon - 60,000 Retail Centres in India…

The Central Government announced on Sunday that it is planning to issue application forms for 60,000 Fuel stations across the Country to be operated through Dealers using the trade name of the Three Oil Marketing Companies (OMCs) Indian Oil, Bharat Petroleum and Hindustan Petroleum. There are already 62,000 (and counting) fuel stations across India which retail Petrol, Diesel and allied products while a bunch of them also retail CNG for commercial vehicles. About 10% of these stations are operated by private players such as Shell, Essar, etc. It is a remarkable feat that the world’s highest fuel retail station is in India at the Ladakh region of Jammu & Kashmir in the Himalayas which is a favourite among auto-enthusiasts. 



As in the past, prospective applicants need to apply online and pay an Ernest deposit to the OMCs which would be followed by a lucky draw. And those who win would be awarded the contracts and assistance provided by the respective agencies in setting up the outlets while those who didn’t qualify would be refunded their deposits. While this generous move by the BJP Government is seen as a positive measure since no such new contracts have been issued in the past four years, critics have dubbed this as a meaningless move with spiralling fuel costs and dwindling vehicle sales over the past two quarters this financial year and a mere public-pleasing stunt ahead of the upcoming National Elections in May 2019. So, the verdict is split. 

It costs a whopping Rs. 1.5 – Rs. 2 Crore to set up a Fuel Station spread over 5,000 sq. ft in the name and style of the OMCs while the cost is more than double for private players like Shell who have stricter norms towards the setting up of the outlets. The biggest challenge for setting up a Fuel Station has been land acquisition, especially on National & State Highways which have seen a 10-fold increase in vehicle traffic over the past decade, thanks to better roads, lower cost of acquiring personal vehicles and a generally heightened mood for vacations and road trips. 


Being an avid traveller and a terrific lover of road trips myself, starting with my beloved Hyundai Santro in 2005 till the new age Mahindra XUV500 (I upgraded to an Automatic from the previous Manual this March), I have personally seen how the entire ecosystem has evolved over the past 15 years or so. In fact, I plan my trips now, whether short or long depending on the wayside amenities that I could use, from rest rooms to coffee shops, meals to speciality snacks and of course the need for service centres, local vehicle mechanics and Authorised Service Centres, etc. The need for such pitstops vary when I travel solo or with family and of course based on the number of hours we travel at a stretch. 

My pet peeve on highway travel has been the lack of good quality toilets (well, good is a relative term, so!) and clean and hygienic food outlets which have somewhat been fulfilled at least across Tamil Nadu Highways which I frequent the most by road. While only a handful International and National Retailers such as CafĂ© Coffee Day, KFC, Mc Donalds and A2B have scratched the surface of the opportunity of Highway Travel Retail, there seems to be an enormous opportunity that lays ahead of us. I see these upcoming 60,000 new Fuel stations (many say only 1/3rd of all locations proposed actually turn up in reality) as nothing other than Retail Centres, where apart from filling Fuel, one can have various other retail offering from food outlets like cafes to speciality restaurants, shops selling snacks, fruits and condiments for the journey ahead and of course, wayside motels for a quick overnight stay for tired drivers and their families. 


Reliance Retail with their Fuel stations did come up with some of these models way back in 2006-07 but the whole effort slowly dwindled due to decentralisation of Fuel prices and today, they remain large parcels of land ready for an explosive growth. These fuel stations (and Retail Centres) could be beneficial not only for travellers but also for the nearby towns and villages, generating sustainable employment and entrepreneurial opportunities. 
I am writing this sitting in the back seat of a Bolero travelling on work and just stopped at a highway shack where I had a glass of Coffee. I see a new Retail Centre coming up closely (when I close my eyes).

03 October, 2018

My i Vs. Mi Experiences

I purchased my Mobile SIM card for the first time in the year 2002 in Chennai from Aircel and that number is still active. My my first handset was an Ericsson followed by Samsung R220, the first mobile phone launched in India with a multi-colour display. This was followed by a few Nokia models over a decade and a Sony Ericsson P1i before I finally moved to Blackberry. A few models and 4 years later, I moved on to the Apple Ecosystem with iPhone 4S in 2011. I upgraded to 5S, 6 and 7 over the years as well as including other i-Devices such as 3 generations of iPod, 2 variants of iPads, a MacBook, Apple Tv and finally an iWatch. With a paid plan for Apple Music and a huge storage on iCloud, I don’t have to worry about my stuff on the hard disk anymore, for its all safe and secure, “Up in the Air”. Hopefully. With a seamless integration within the iOS, it is almost impossible for me to move out of the Apple Ecosystem anymore and I guess I will remain clued in here. however, when the announcements for new models of iPhone XS & XS Max were announced last month, I had less interest than last year for the iPhone 8 & X. Somehow I felt that Apple has stopped making mobile phones for common users and is perhaps focusing on a niche segment who can use most of their offering.


Notwithstanding my self-prejudice for a coveted Brand and its products that I love so much, I decided to visit a Retail Store to physically touch and see the new launches. On a sunny Chennai afternoon last weekend, visited an upmarket Mall in the City, which for some strange reason has four retail stores next to & opposite to each other who sell multi-brands of Mobile phones and accessories apart from an Apple Premium Reseller (APR) and a Mi Experience Store. Even before I could visit the APR I happened to see the new iPhones at one of Tamil Nadu’s leading multi-brand Retail Store. The Staff were as uninterested as I were and they hardly explained why the new damn thing costs a lakh and fifty thousand bucks, with which one can but at least three new laptops or 15 mediocre mobile phones or perhaps even 5 top-end new mobile phone models. I didn’t bother to even ask queries and quickly moved on to the next chore with the family. Was having a sad grin on my face that the same “me” had waited at the same Mall five years back in a queue for four hours on a sunny November afternoon along with my better half to buy my Apple iPhone 5S on the launch day. How things change, huh!

My wife has been asking me to buy her a wearable device to measure footsteps, which we have been exploring for the past few days. Surprisingly, Croma and Reliance didn’t have a wide range while the Mi Experience Store at Express Avenue Mall didn’t have the widely popular Mi Watch 2. The staff at the Mi Store was unapologetic that it wasn’t available at their flagship store in South Chennai and instead advised us to visit a few days later when it would arrive at the Store. Really? Do Brand staff think Customers will Queue up anymore for their once coveted products? We ended up buying at another store whose Sales staff surprised us and matched the same price as the Mi Experience store where the device’s price is Rs. 200 lower than outside. At the Mi Experience store, I saw a wide range of products including LED TVs but another flagship Mi A5 model of Mobile Phone wasn’t available, once again. 


Recently, I was reading how Best Buy has embraced omni-channel in the US by ensuring a wide variety of models across Brands were made available at the Store and the Retailer also offered multiple models of delivery such as in-store, same day delivery, Day +1 delivery, at home delivery, etc. This was the only way they could counter the intense competition from Amazon in the US. Back in India, things remain unchanged. Croma has a namesake omni-channel model but the staff are disinterested in taking the effort. The bigger surprise was Mi Experience Store, where the staff could have immediately engaged with us, potential buyers of a Watch to browse the range on a device kept right at the store where one could browse and buy with a deliver in a day or two, Lost opportunity. 


This is just my personal experience and am damn sure there are millions of such experiences across the world where Customers are walking away without purchasing, thanks to disinterested staff and their respective Managements. A report in the Economic Times suggests that of the 1 lakh units kept ready for the opening weekend in India, not more than 50% were sold, thanks to low interest of Customers for various reasons, from new innovations to pricing. This is a first for Apple, what with already sagging Sales and the same trend could continue if they keep making iPhones which people stop buying for snob-value. And a younger brand like Mi which boasts of giving a run for money with its devices could do better with Merchandise Planning some Staff training. hope that’s not asking for too much from a Brand which has apparently carved a niche for itself.  

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