Friday, October 2, 2009

Lesson from distribution of PANWALA

One day i was waiting for my friend at the Sarai Kale Khan bus stop in Delhi, I was feeing thirsty. Looking around , I noticed two panwalas who had displayed a single layer of bottles of water called Hi-Life, manufactured by a delhi based co.

I asked the panwalas why he only this brand of water. Good co., he replied, excellent water, i probe further - why not other cos.?? Bisleri? Aquafina? Kinley? Don't their vans come here? That got him talking and strngely enough, he took it upon himself to explain situation to me, even ignoring the few customers.

Sarai Kale Khan is a major bus terminus and in winter, even this panwala sells a couple of bottles each day, others who are located closer to the terminus must be selling many more - at least ten bottles a day each. Expect that number to quadruple in the summer.

The summer is that while companies loke Cca Cola , Pepsico and Bisleri send vans weekly and deposit bottles on credit, it is upto the panwala to take care of the bottles for a week,If the bottle gets dity or scratched while packing up, people don't buy. The two panwalas i saw displayed ten bottles ech . Where Hi-Life beats the big cos. is that they have a man stationed at the terminus, on a bike, who distributes these bottles on credit every morning and takes them back every night. All the shopkeepers know he is there, so they just deposit the cash and carry. At night, they return the bottles for cash. They don't need to worry about packing the bottles and taking care of them for rest of the week. Consequently, all the shopkeepers keep only Hi-Life.

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