Meet A.D. Padmasingh Isaac, The Man Who Built A Spicy Masala Business After Godrej Stint

From his father passing away when was just 12 to landing a job at Godrej, to spicing it up with a food business, the journey of A.D. Padmasingh Isaac is filled with inspiration. Nearly thirty years ago, he started his food company 'Aachi Masala' which has now carved a niche for itself. Let's look at his success story.

IT Worth DeskUpdated: Apr 15, 2024, 11:54 IST
1 min read
aachi masala tata wipro 2000 crore
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From his father passing away when he was just 12 to landing a job at Godrej, to building a food spice entuty, the journey of A.D. Padmasingh Isaac is truly one that evokes inspiration. Nearly thirty years ago, A.D. Padmasingh Isaac started his food company 'Aachi Masala' in 1995-96, which has now carved a niche for itself. Let's look at his success story.

Journey Of A.D. Padmasingh Isaac

Why Tata & Wipro Are Racing To Buy This Man's Rs 2000 Crore Food Business? aachi masala A.D. Padmasingh Isaac/theceomagazine

A.D. Padmasingh Isaac was born into a family that had farming interests in the town of Nazareth, Tamil Nadu. His growing up years were filled with challenges. At the age of twelve, his father passed away, leaving him and his four siblings to fend for themselves. Padmasingh put in a lot of effort and was hired by Godrej to sell powdered hair color. Still, something caused him to pause.

He cherished his mother's cooking and the aroma of the spices she used. Padmasingh wanted to make cooking accessible to all women, so she shared these recipes. Ten years later, he quit his work to launch his own business. Aachi Masala was born in 1995.

The concept was straightforward: Sell premixed spice blends that are ready to use. Additionally, the tagline read, "The Mother of Good Taste." His first offering was the curry masala powder (Kuchumbu milagai thool), a sachet powder priced at Rs 2 that was his mother's favorite and was intended for daily wage workers in rural areas.

Also Read: Who Is Virendra Singh Chauhan, The Mystery Man Owns One Share In Tata Group?

When The 'Magic' Occurred

aachi masala foods aachi masala /aachi

No retailer was interested in stocking a new brand. Padmasingh therefore began to hold the product in front of the stores. He offered a free stainless steel tumbler with every purchase. And the plan was successful.

Aachi quickly started offering mutton and chicken masalas. Padmasingh maintained the prices at Rs. 2, 5, and 10. But he was aware that retention would come from quality rather than price. Padmasingh was forced to vacate his kitchen.

He set up a factory that could produce 120 metric tonnes of spice blends a day. He obtained the essential component, "Chilli," straight from Guntur farms. In addition, he added categories for ready-to-eat meals, cumin powder, and chili powder. Magic then occurred.

Aachi's sales reached Rs 500 crore by 2011. The sale of spices brought in about Rs 300 crore, with the remaining revenue coming from other prepared foods like biryani kits. Aachi had defeated formidable competitors such as Sakthi, based in Erode, and Annapoorna, based in Coimbatore, with an astounding 50% of the market. It rose to the top in South India in just 12 years.

By 2015, it had spread to twelve Indian states. Its 200 products are distributed through 4000 sales agents and 700 hawkers in isolated Indian villages, and they are sold in more than 10 lakh stores. Aachi achieved revenues of Rs 1660 crore and a profit of Rs 21.7 crore by 2022. Spice sales, which were valued at Rs 60,000 crore, surged as Aachi emerged as the third-largest spice company, as per a Linkedin post.

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IT Worth Desk

News that matters from the world of business, start-ups & entrepreneurs. We trace the extraordinary tales of ordinary people who are worth it!

21/11/2024 12:18:45
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