H. Vasanthakumar’s entrepreneurial journey is a remarkable story of determination, innovation, and market insight. Started with just Rs 22, now Vasanth & Co is a leading retail chain with a turnover of approximately Rs 1700 crore in Fiscal 2023.
Humble Beginnings
Vasanthakumar, the founder of Vasanth & Co, embarked on his entrepreneurial journey with humble beginnings. He started his career as a salesman at VGP, a renowned retail chain in India. His experience there taught him valuable lessons in customer relations and business management. With no significant financial backing, Vasanthakumar decided to start his own business in 1978. He began with a small provision shop in Chennai, which a friend had offered him on a rental basis.
To make the shop functional, Vasanthakumar had to be resourceful. He made a signboard from a packaging box to save costs and started implementing a unique installment payment scheme that he had observed at VGP. Customers could pay half the product’s price upfront and the remaining amount in installments. This approach allowed him to build a loyal customer base quickly.
Growth and Expansion
Vasanthakumar’s keen understanding of the market and his focus on customer satisfaction fueled the growth of his business. He expanded his product range to include household appliances and electronics, catering to the growing middle class in Tamil Nadu. Over the years, Vasanth & Co became synonymous with affordable, reliable products and excellent customer service.
A key factor in Vasanth & Co’s success was its focus on rural markets. While most competitors were concentrated in urban areas, Vasanthakumar saw potential in rural regions, where consumers had fewer options. By offering installment payment options, he made it easier for rural customers to purchase quality products, thus expanding his customer base significantly.
Current Market Position
Today, Vasanth & Co is one of South India’s largest retail chains, with over 95 showrooms across Tamil Nadu, Karnataka, Andhra Pradesh, and Kerala. The company has established itself as a leader in the consumer electronics and home appliances sector, with a product portfolio that includes televisions, refrigerators, washing machines, air conditioners, and more.
The firm’s success is also reflected in its financial performance. Vasanth & Co’s turnover reached approximately ₹1,700 crore in fiscal 2023, up from ₹1,272 crore in the previous year (CRISIL). This growth is a testament to the company’s ability to adapt to market changes and maintain strong relationships with over 40 leading brands.
Business Strategy and Future Outlook
Vasanth & Co’s business model has always been centered around customer satisfaction. The company offers competitive pricing, flexible payment options, and robust after-sales service, making it a preferred choice for consumers in South India. Vasanthakumar’s emphasis on detail-oriented planning and his ability to navigate challenges have been crucial to the company’s enduring success.
Looking ahead, Vasanth & Co plans to continue its expansion across South India, enhancing its product offerings and strengthening relationships with global brands. The company is also focusing on digital transformation, leveraging e-commerce to reach a wider audience.
Conclusion
Vasanthakumar’s entrepreneurial journey from a small shop in Chennai to establishing one of South India’s largest retail chains, Vasanth & Co, is a remarkable story of vision, resilience, and dedication. Even after his passing in 2020, his legacy continues to influence the retail industry in South India. Vasanthakumar not only built a successful business but also left behind a model of customer-centric retailing that focuses on accessibility, affordability, and after-sales service.
His approach to business, particularly his focus on rural markets and installment payment schemes, has inspired many in the industry. Vasanth & Co remains a testament to his innovative strategies and commitment to customer satisfaction. His vision lives on as the company continues to thrive and expand, carrying forward the principles he championed.
Vasanthakumar’s story is a powerful reminder that with determination, innovation, and a deep understanding of customer needs, it is possible to turn even the smallest venture into a lasting legacy.
