JULY 2019 l ENTREPRENEUR l 45>> Royal Taste
(cookies and biscuits)
>> It has over 200
products in its
portfolio, including
jams, ketchup,
pickles, noodles,
instant mixes and
custards, etc.
>> It ranks as the
third-largest
processed food
company in the
country.
>> It sells its products
through omni
channels, comprising
traditional retail,modern retail format
and e-commerce.
>> It is pushing the
hotels, restaurants
and caterers
(HORECA) route with
new product ranges
and packaging.
>> In 2014, the
company entered
into a pact with
Punjab farmers
for tomato paste
processing.
>> Set its new unit
in Punjab in 2015
to produce tomato
paste.>> In 2018, it
announced an
investment of
Rs 450 million in its
new and existing
manufacturing
plants.
>> In 2018, the
company expanded
its coarse cereals
portfolio to cater to
health-conscious
consumers. "We have
introduced a range
of food items made
from maize, oats,
soyabeans etc., as
there is a growing
demand for highprotein and healthier
products," Seth said.
>> UP is the firm's
largest market. It
procures 80 per cent
mangoes and flours
from here.
>> The firm generates
80 per cent of sales
through its network
of superstockists,
and is present in
18 states, mainly
in Northern India.
The rest of sales
is carried out
through institutional
customers and
e-retail platforms.per cent of the revenues come from India while
the rest from exports and ecommerce sales. It has
a widespread menu: from breakfast to every meal
for kids and adults, Tops caters to every palate.
Currently, it is exporting to 44 countries across six
continents.
Sharing his early memories in the business,
Seth says that he entered the family business just
after finishing his class 10 exams as his father
was the only one working for the newly set up
entity. He continued his studies through open
learning system and completed his graduation from
Symbiosis University.
A keen learner, Seth makes it a habit to devour
as many books as possible in the limited time
available to him to make sure his learning never
ceases. It is a different matter that Seth’s learnings
also largely came from working in the business.
After joining the family business in 1996,
Seth rose through the ranks and became the Vice
Chairman of GD Foods. The same spirit is evident
in the company’s plans to grow even in a somewhat
stalled economy. It was a hard earned growth
for the company, especially in the eastern India
market.
The company’s big jump came in 2003 when
it launched different sauces. Australia is the top
performing market for the company, which is all
set to spread wings to Dubai and the UAE utilizing
the capacity of its existing plants.
In modern trade it has been selling
internationally at chains such as Walmart.
Talking about the business, which saw a slower
growth in the last two years post demonetization
and GST, Seth says, “We are all set to take the
vision of being among the top three food and
beverages companies in India. The aim is to take
the company from Rs 300 crore to Rs 1,000 crore
turnover.” Going forward, the brand is all set to
make larger announcements for new products.
Over the years the company made sure that
it did not just remain founder-driven and put
professionals in place to execute its growth plans.
The culture that was assiduously built in three
decades has paid off in various ways. It has got the
right mix of experienced people at strategy level
and millennials at execution level.
The interesting story behind every launch has
been the timing and focus which goes behind each
product. Jams are always launched in winters,
whose demand actually grows in summers, and
sauces are always launched in summers, whose
demand scales up in winters. Explaining the
rationale behind such a strategy, Seth states, “We
are always able to see the response for the product
in the opposite season and work accordingly when
the peak season arrives.” Even till date a group
of 400 families are sent monthly supplies to see
which flavours and products work well and if they
need any changes before they are introduced in the
market.
Talking about how the work was divided
between his father and him, Seth says, “He was the
one executing it all and I was more into planning
always.” But over the years, this equation has
changed and Seth now has to execute the idea.
Sharing the secret sauce of success behind
the brand, Seth reveals, “Whatever idea we have
on paper, we make sure it is executed well.” The
results are there for everyone to cherish.GD FOODS: GROWTH STORY