Life is about opportunities and how you take the big leap. And today’s success story is on Bipin Hadvani, who started from nothing and amassed a multi-crore business empire.
Together with his wife, Bipin Hadvani founded Gopal Snacks Limited with just Rs 2.5 lakh. What started in 1994 with Rs 2.5 lakh grew to a Rs 1,306 crore business in FY22. Hadvani turned the Gopal brand into the fourth largest ethnic savory brand in India.
During the initial years of their business, the duo –Hadvani and his wife Daxa-- used to prepare the snacks in their home. Hadvani used to fan out across Rajkot on his cycle, interacting with shopkeepers to gauge the tempo of the market. He was the son of the soil who understood the nerves of the customers which made him the quintessential producer of Indian ethnic snacks.
Bipin Hadvani Sets Up A Business Where He Incurs Losses
The namkeen business that his father used to operate out of a small shop in his village had always captivated Hadvani. His father would make the traditional Gujarati snacks at home, load them onto his bicycle, and pedal through the villages to sell them. Hadvani used to help his father after his school times. He always wanted to launch his own business. In 1990, he used the Rs 4,500 that his father had given him to co-find a snack business. However, after four years he separated with his partner and using his Rs 2.5 lakh stake in the joint venture he to start a solo business.
With His Wife Daxa, Hadvani Starts Gopal Snacks Limited
In 1994, after the business split up, Hadvani bought a home and launched Gopal Snacks. Daxa, his wife, joined him in business this time. Hadvani's father used to tell him that whatever you eat is what you must sell. These words from his father were forever ingrained in his memory. With that in mind, he started making snacks that would be relatable to consumers. The husband wife duo started making snacks in their home in the traditional way. However, the business journey was very challenging. Hadvani used to ride his cycle around Rajkot and interact with dealers, retailers, and shopkeepers to get a sense of the local market.
The Ideology That Serves As The Catalyst For Hadvani's Business Plan
Hadvani's business model was built on the invaluable words of his father who would ask him to grow the business instead of raising prices if he wanted to make more money. Thus, Hadvani ensured that the product prices were as reasonable as possible and kept on growing his business.
Sales began to rise as a result of Hadvani's efforts. Encouraged by a consistent increase in demand, he purchased land outside of the city and established a factory. But because the plant was located in a remote area, it had to be closed. Then he took more loans and opened a small unit inside the city. This new plant was productive and Hadvani benefitted greatly from it.
As the self-proclaimed "son of the soil," Hadvani had an advantage over his competitors because he was aware of the subtle differences in regional or state-specific tastes. He attended to the customers' needs based on their ethnicity. He began serving his customers authentically flavored Indian snacks. And that paid off! His earnings began to double, reaching Rs 1,306 crore in FY22.
How Hadvani Was Greeted With Success And Became A Multimillionaire
Today, the Gopal Snacks Limited is well-established in the market and offers a broad range of savory products thanks to Hadvani's innovative business strategy. Hadvani turned the Gopal brand into India's largest producer of snack pellets and gathiya. The life of this billionaire businessman gives us a lesson that all it takes to succeed is a strong will and determination rather than financial resources.
