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In the summer of 2010, the firm introduced Chillicks, a semi-frozen popsicle sold in thermal ice-boxes in compact $80 pushcarts.

Chillicks' unique model helps it cut through the clutter on shelves and reach out to a niche group. The company set up dealers and micro-dealers across the city, gave them assets such as pushcarts, ice-boxes and the merchandise. On a Rs 10 product, 40 per cent of the cost goes on packaging, while 38 per cent is the margin for the distributor and the salesman collectively. That leaves a tight 22 per cent for the product and profit margin

eKOCool,

a solar-powered refrigerator priced at Rs 45,000, supplied by CocaCola. The company has set up 20 eKOCool's in villages in and around Agra. The company is looking at a high volume sale that will help it break even the cost.

Godrej is subverting in-shop retail. In late 2009, it launched chotuKool, a refrigerator priced at Rs 3,450, in rural Maharashtra. Godrej sells chotuKool, a refrigerator priced at about Rs 4,000, through India Post and an NGO, Swayam Shikshan Over the past 18 months, Godrej gathered feedback from consumers, tweaked the product and introduced a new variant in February with a price of Rs 3,750-4,000. The company will look at similar tieups in the north by the end of this year.

In 1963, the Japanese company came up with a system to distribute pro-biotic milk to the masses. Targeting mothers and children, the Japanese company appointed door-to-door saleswomen, Yakult Ladies, as their sales mascot. In 2006, when Yakult entered India through a jointventure with Danone, it started with 30 Yakult Ladies. The number has reached 180 now. The company's scooter-based woman workforce functions as a business model separate from retail. This accounts for 40 per cent of its sales. The rest is through a 2,100-strong Yakult retail channel.

SSP in the past sold products for D'Lite (solar lamps) and HUL Pureit, too. Even though the Yakult lady system is more expensive than traditional retail, we will continue to invest more into this. Globally, it is a successful model and a more focused way of creating awareness and sales. Chillicks wants to stick to its current model. Its popsicles are not to be sold at retail outlets. "We are focused on this channel and are not looking to sell through the regular retail route. The unique selling proposition of the brand is the pushcart. When consumers see our uniformed sellers with their carts, it creates its own brand identity. Godrej is focusing on bulk-sales and anticipating a period of two years to reach an operational break even. For Godrej, regular urban retail is a big no for now. "We are not eyeing the urban markets, but are looking at north India through NGO associations and India Post.

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