Founded in 1998 by the visionary Mr. Mukesh R Gupta, Rajchandra Agencies has emerged as a prominent Mumbai-based distribution powerhouse, specializing in a diverse range of products, including FMCG, Telecom, Smartphones, Mobile Accessories, In an exclusive interview with Mobility Magazine, Mr. Mukesh Gupta, Partner at Rajchandra Agencies, shares the brand ideologies, its journey, and future growth prospects.
Kindly brief us about yourself.
Rajchandra Agencies has been a stalwart in the distribution industry for 25 years, with a significant focus on smartphones for the past two decades. With a strategic focus on delivering quality service, the company has established itself as a distributor for Vivo mobile phones in North Mumbai, a super stockist for PAPA brand accessories in Greater Mumbai, and a regional distributor for the innovative Mobile Insurance Brand DG Think Forward.
Rajchandra Agencies acknowledges the fast-paced essence of the smartphone sector and has developed end-to-end supply chain solutions for mobile distribution to satisfy its customers’ demands.
What changes have you observed in 2023 in Business?
In Mumbai, Vivo has maintained its position as the leading brand, although overall numbers have experienced an 8 to 10% dip. Despite challenges, especially in the lower-end market, where Vivo lacked products below 12k, our distribution performed admirably. Competitors like Realme, Techno, and MI aggressively targeted the sub-12k category, presenting unique challenges.
What technological advancements can we anticipate in the upcoming year?
The dominance of 5G is expected to drive industry growth in 2024. Premium products with higher average selling prices (ASPs), notably from Samsung, have marked a substantial shift in consumer preferences. The introduction of 5G-enabled products below 12k could potentially drive further market expansion.
How do you see the distribution business changing?
Mumbai presents a challenging environment for distribution, and the opening of more chain stores in the upcoming year will add to the complexity. Adapting to this changing scenario is crucial for success in Mumbai’s distribution landscape.
What is Rajchandra Agencies’ strategy & plan for 2024?
With intense competition among major players, every brand aims to increase its market share. Success will hinge on distributors aligning with the company’s aggressiveness. Rajchandra, with its extensive industry experience, is well-prepared to adapt to market requirements.
Considering the new generation’s impact on the market, how does Rajchandra plan to keep up with the emerging trends?
In our 25-year celebration, Rajchandra has announced plans for diversification into additional lines of business. We’ve already ventured into retail chain outlets and intend to expand further in the coming year, aligning with market demands for overall business growth.
We’ve initiated two retail chains, and our expansion plans are dynamic, contingent on location priorities and the business’s overall growth strategy. The number of outlets will be determined accordingly.
Over the period of 25 years, the company has always explored new business opportunities & markets as there has been a steady decline in the gross margins over the last few years and a significant increase in the overhead cost. Rajchandra Agencies is a key distributor of ITC’s FMCG products and is the largest distributor of Airtel Mobility in the bustling Mumbai circle. The company’s commitment to excellence and a broad product portfolio marks its position as a leader in the distribution industry.
Covered By: Mobility India / Rajchandra Agencies
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