Here are a few points in Raghunandan Kamath’s talk which I found really interesting.
Question: The price per scoop of Natural ice creams has remained broadly stagnant for the last decade. Why is that?
1- My customer base ranges from the BMW car driver to the BMW car owner. So I have to ensure the pricing and quality are equally taken care of.
(My note: How many discretionary, fun products do you know that travels so well across the economic class?)
2- We do not do any advertisements. Our marketing is entirely through word-of-mouth. So we save on that cost, which allows me to price my products at a lower level.
And when I price my product that low, my competitors are forced to follow me. But their cost structures are not as efficient. So this helps the company.
(My note: Which companies do this barrier to entry remind you of?)
Question: In a Naturals Ice Cream Parlour, the vessels from which ice creams are scooped out to be served to the customer do not have the ice cream names written on them. Why is that?
That is deliberate.
1 - It is to encourage the customer to interact with the store. We want the customer to taste and experiment the various flavors we provide. We also want them to interact with the servers. It is part of the Naturals experience.
2 - Also, some of our flavors like musk melon, jackfruit, etcetera are not fancy sounding. And we worry if we put their names out there, people might not try it out.