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Introduction:
In the bustling town near Sivakasi, known for its firecrackers, a young man named RG Chandramogan embarked on a journey that would transform a modest investment of Rs 13,000 into an 8000 CR ice cream brand. Let's unravel the inspiring story of the Ice Cream Man of South India.
The Humble Beginning:
Born in the shadow of Sivakasi's matchbox industry, Chandramogan faced early challenges. His father's small provision store struggled, and he even grappled with Mathematics in school. Determined to change his circumstances, he took a bold step.
The Ice Candy Vision:
At 21, Chandramogan sold ancestral property for Rs 13,000, dropping out of school to pursue his dream of starting an ice candy business. Naming it Arun, after the Tamil word for sun rays, he rented a 250 sq ft space in Chennai's Royapuram. Arun was born in 1970.
College Campuses and Pushcarts:
Arun's initial concept was simple yet ingenious—sell stick and cup ice candies through pushcarts to college students. With three employees, six tricycles, and 15 pushcarts, Arun quickly became a hit, generating 1.5 Lakhs in revenue in its first year.
Expanding Horizons:
As the business thrived, Chandramogan expanded to ship chandlers, supplying food items to vessels. By 1974, 95% of college canteens and ship chandlers in Chennai embraced Arun.
Diversification into Ice Cream:
Recognizing the seasonal nature of ice candy sales, Chandramogan decided to diversify into ice creams and dairy in 1981, marking the beginning of Arun Ice Creams.
Innovative Strategies:
Facing competition from established brands, Chandramogan employed unconventional tactics. He packed ice cream with rice and distributed it via trains, saving costs in cold storage. By 1985, Arun Ice Cream became Tamil Nadu's largest ice cream seller by volume.
Strategic Expansion:
Arun Ice Creams expanded to Kerala and Andhra Pradesh by 1995, making it the largest in South India with 700 outlets. Chandramogan also ventured into liquid milk marketing with "Arokya."
Ibaco and Strategic Marketing:
In 2014, Arun Ice Creams became a 2000 CR business, thanks to premium ice cream parlours under "Ibaco" and innovative marketing, such as billboards for ice cream bookings in advance.
Hatsun - A 5000 CR Triumph:
By April 2020, Hatsun, encompassing Arun Ice Creams and the dairy business, crossed 5000 CR in revenues. Chandramogan's empire includes 2800 ice cream parlours, offering traditional Indian flavours and becoming the largest private-sector dairy company in India.
Conclusion:
RG Chandramogan's journey from a small town near Sivakasi to building an 8000 CR ice cream and dairy empire is a testament to determination, innovation, and strategic vision. Today, Hatsun stands tall as a symbol of success, with a network of 10,500 milk banks, 50,000 employees, and 14 plants across 12,000 villages, making 60,000 litres worth of ice cream daily. The Ice Cream Man of South India has left an indelible mark on the business landscape, inspiring aspiring entrepreneurs across the nation.
