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Sunday, September 25, 2016

A SIMPLE LOOKING COMPLEX PROBLEM

Well, that seems like a silly question. Sell the same old refrigerator that you
have "in the villages"!
But the problem in  villages is that electricity comes for only 9  hours a day  on average (for the villages that have electricity in the first place) and it doesn't come during the same 9 hours.
Power cuts are sometimes planned, but mostly unplanned or randomized.(Why do Power Cuts happen? )
So how do you run a refrigerator when you don't know when the electricity is going to come ?

Moreover, most people in the villages are most likely to be linked with primary industry(animal husbandry/farming) . As of today in India, their economic status is not strong enough to buy expensive electronics items such as a normal fridge which would also affect their monthly electricity bills.
How to make the those refrigerators cheaper with added constraints of consuming less electricity?

Distribution and Logistics: How do you put up a showroom in a place where there is neither a distribution network nor an aiding infrastructure?
That's the problem that the engineers at Godrej (an indian electrical and electronics company) had to figure out.

MARKET SURVEY::
So, they went to the villages and queried these people on what they used a fridge for?
They learnt that the villagers would primarily want to use a fridge to cook the food in the morning and keep it cool over the day so that they can eat the same food in the evening, making sure it doesn't spoil.(Like many of us they didn't want to cook three meals a day).
They also discovered that these people didn't need ice.They just wanted something that could keep their food cool. So, they didn't care for ice.

INNOVATION::
The observations made were the onset because once you know the refrigerator doesn't need to make ice you known you don't need to cool it below O°C.If you cool it to six or seven degrees centigrade, it keeps the food from spoiling.
Since, you don't need to go below O°C, you really don't need a Compressor. You can do with a fan instead!
The compressor is the most power and money consuming part of the refrigerator.  With that component removed, they had sufficient cost & power constraints to think of making a refrigerator with an in-built inverter!
So, they built fan-cooled refrigerators which don't need constant Mains supply. They have batteries which charge in the presence of electricity and power the refrigerator when electricity goes off.
Hence, with a simple design, you got a refrigerator which:
1)Has a 24/7 working  capacity in regions where electric supply is unreliable.
2)Is more than three times cheaper (  ₹ 3,700  i.e. less than half the price of the normal refrigerator made by the company ) since the compressor is the most expensive component of a refrigerator.
3)Consumes much less electricity than any commercial fridge ever built.
4)Weighs less than 7.8 kg. Therefore, is highly mobile. Cart vendors started started selling chilled drinking water pouches from the refrigerator . They charge the refrigerator through night and tugged it along with the during the day.
5)Is built according to the need to the villager and hence the market has expanded many folds.
Local men and women in villages were roped in as entrepreneurs, who sell the fridge in their villages at a pre-decided commission. This avoided setting up showrooms/looking for local vendors and the customers perceive a trust factor when buying from a fellow villager.
Moreover , a tie-up with India Post helped Godrej sell its products through post offices which helped the company build a fair coverage in villages where there are no retailing alternatives.
Small kirana store owners starting to stock and sell products like chocolates, cold drinks and dairy products, something that earlier remained a challenge due to both shortage of money and space. The low-on-cost, maintenance and portable nature of the refrigerator is helped it find acceptance amongst rural entrepreneurs.
Now, this innovative product is called 'ChotuKool' and its not just for villages anymore!

2 comments:

  1. Be it a bar, restaurant, shop or any other public place, these display fridges aren't common for others who use them. So, how then do we define them and what is the importance of having them in our business space? Check out this site for more details about small display freezer.

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  2. This also means that you do not have to worry about them being a big eyesore in the office or in the kitchen. Many companies are constantly renovating their kitchens and their offices. If you are curious to know more about commercial upright fridges, here you can get more information about it.

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