Sunday, October 14, 2012

MBA ENTREPRENEURS (1)...Pankaj Guglani



MBA ENTREPRENEURS

On Paths Less Travelled

Not all B-school graduates are interested in running other peoples’ businesses; some prefer to build their own

B-schools turn ordinary graduates into well-rounded managers who go on to make their employers a pile of money. This fetches them (some of them, at least) fat salaries, ESOPs, club memberships, etc. But that is only half the picture. There are some who emerge from B-school as risk takers, with an appetite for trying their hand at businesses that are out of the ordinary. 
They shun the routine, the mundane... in short, the safe option. They are the ones who go out on a limb and do what they really want to. Entrepreneurs who have leaned heavily on B-schools to be able to walk down their unique business paths are here. While their businesses are very different, they have one thing in common: the will to succeed. One has turned to retail services, another to making wind energy cost-effective. A third has looked up to God, literally, for answers, while another set of entrepreneurs has used technology to find answers for local advertisers. Here are a few of the extraordinary enterprisers... 

 Shopping, With A Purpose
A leading salon chain in Bangalore was struggling with customer retention. They approached Pankaj Guglani’s RedQuanta for help. Guglani, through his network of mystery shoppers, figured out that the problem was with the employees focusing more on sales than service. RedQuanta then proposed that employee incentives be tied to service rather than sales. “Ever since, the salon has seen a huge jump in its loyalty metrics,” says Guglani.

A mystery shopper is someone who is sent to a shop or outlet to buy a product or try a service and present her views on it. The assignment can vary from watching a movie at a theatre to trying food at an eating joint. She gets paid once she submits a report on the assignment.

Guglani, 32, started RedQuanta in August 2009 with a bootstrap capital of Rs 10 lakh after quitting as business head at Zapak Digital Entertainment. A portfolio company of Morpheus venture partners, it has currently raised about $1 million from India Quotient, Blume Ventures, India Venture Partners and a group of angel investors in Mumbai. The company does a business of a couple of crores every year.

RedQuanta, as a mystery shopping specialist outfit, works closely with managements of retail and hospitality companies to design programmes to help companies improve their services. “This technique is about 30 years old in developed markets, where nearly 60 per cent of all retailers use it,” says Guglani, who passed out of the Management Development Institute, Gurgaon, in 2007.

Mystery shopping is used extensively to enforce compliance. In the UK, the finance department carries out mystery shopping checks on banks. This technique is also used to keep a check on channel partners or franchisees, revenue leakages, employee integrity, process implementation or acceptance, and service level benchmarking.

RedQuanta currently has about 20,000 mystery shoppers in India, a number it plans to increase to 100,000 in the next 12-18 months. The company is growing at 50-75 per cent year on year. Some of its clients include M&M, Mocha, Bajaj Capital and Fun Cinemas.

The company rates its shoppers depending on their reports and their adherence to time lines. “This way we are able to churn out the bad ones and keep only the good ones,” explains Guglani. RedQuanta currently works with 50 clients, mostly in the beauty and fitness, food anwind beneath their wings d beverage and auto sectors. 


Shrutika Verma and Vishal Krishna BW 120903
 

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