Business by chance - Decoding Baba Ramdev’s FMCG Empire

Ramdev’s Patanjali Ayurved cashed in a whopping Rs 2,500 Crores+ during 2014-15. That puts it at par with FMCG giants like Emami or Zandu, but we hardly mention them in the same sentence.

The reason is quite simple – the former is looked at more from a ‘non-profit’ lens, a product that is aimed at well-being, and is not out to make moolah. Which is crazy given that it’s minting such money!

Even Baba Ramdev claims he’s not out to make money. "Hamne ye kaam vyapaar ke liye nahin, upkaar ke liye kiya hai” (We’ve done this to help people and not for business), he claims.

"We never had a business plan. We also don't know markets or marketing", Acharya Balkrishna, Managing Director of Patanjali Ayurved adds.

That doesn’t deter us from looking into this accidental business model that runs so successfully that it can give any FMCG giant a run for its money. After all, the Indian population is falling for a 'Materialized Spiritualism' that comes sprinkled with a pinch of Yoga and Ayurveda, and a desi brand tag.

But how do you get your hands dirty when the founder-CEO claims there is no plan in place to make sure they make money! You try and decode its business model.

Business Insider India dissects the mysteries behind the shadowy business machine.

Love him or hate him, you just can’t ignore him.

Image credit: Indiatimes