Saturday, August 2, 2008

Kisan Seva Kendra : Rural Retail Initiative of IOC -II

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

5 comments:

Kunal said...

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

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Anonymous said...

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

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aadi kuckar said...

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

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Mallanna Desai said...

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

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Mallanna Desai said...

Continuing with the earlier post, the idea behind KSK outlets by IOC was to provide a one stop shop for the villagers , where along with his fuel he could buy products of his daily needs too.

Tie-Ups

The combination of the pump and the retail outlet is what drives this model. IOC has gone ahead and tied-up with many FMCG and farm implements companies for an exclusive access to these rural outlets. One of the first FMCG companies to tie-up with KSK was Dabur, now they have recently tied-up with AIRTEL for mobile. The other tie-ups include National Seed Corporation and Indo Gulf Fertilizers. There many similar tie-ups in the pipeline and the company is working on the modalities of the deal.

Ground Realities

After listening about the initiative i decided to visit some of the KSK outlets in UP. The photos below are from one of the KSK outlets which I had visited recently...













At the ground level there are many operational difficulties with managing the retail outlet. The fuel sells on its own and the villagers are happy that they are able to buy diesel and petrol at their doorsteps. Earlier they had to travel atleast 10 kms to the nearest petrol pump to buy fuel.... But the dealers feel that they don't have the expertise of dealing with the wide range of products that they are expected to sell, ( from Fertilizer to note books) and because they don't have the whole range which a typical grocery shop would have they find it difficult to attract customers, and with the limited sales they are unwilling to put in a separate person for the retail shop , which is essential. Then there are issues related to credit and the market visits one has to make to keep maintain the stocks...

So one needs to keep a watch to see how the model evolves ...........

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