Video ID: RsXjTf8UVEc
YouTube URL: https://www.youtube.com/watch?v=RsXjTf8UVEc
Added At: 13-06-25 21:15:48
Processed: No
Sentiment: Positive
Categories: Finance, Business
Tags: entrepreneurship, marketing, small business, store management, retail strategies, success story
Summary
The speaker's grandfather had a strategy to bring in more customers by selling samosas at a loss. This tactic led to people buying other products with higher profit margins, making the store successful. The speaker also mentions the importance of strategy as one of the values passed down from their grandfather.
Transcript
Talk to me about what are those values that your grandfather has passed down the generation which makes you guys such incredible entrepreneurs. I think the first thing is strategy and this is a story my dad tells me about one of the early strategies that my granddad deployed to bring in more customers into the store. So what he would do is he would sell samosas in the morning at a huge loss. If the samosa costed him let's say one rupee he would sell it for 50 pesa. What that would do is that would bring the customers inside the store and mitai. If people get inside the store and they look at the mitai and they smell the aroma automatically and because of that people would come in to buy the samosa but they would buy maybe three four other products which probably were at a 50 60 70% gross margin. Wow. So on the cart level he made a profit right? So he deployed that without having an MBA and that really became the reason that that first store became successful. It always would have a line outside.