You too can make it happen!
What is more important than capital is your energy, passion, and commitment
When you started Air Deccan, did you really believe that you could revolutionize air travel in India? Subsequently the entire business model changed for the industry…
Yes, I think the way it happened was that when you are starting a new business, somewhere the idea strikes you; ayou see things which others do not see. Because you see it and others don’t, there is a problem of carrying out the dream. It is not just about funds, which is the most important thing. It is getting people to follow you. It is getting top talent to join you. It is getting investors to put money in your business; getting the government to agree to give you the clearances and licenses. You might not start out by wanting to revolutionize something, but you see a really great idea, a great dream. It is not enough to have a dream; you need to be possessed by it. Especially, when it is an idea that is totally absurd for others. But for you it is not absurd, because it is staring in your face.
How did you get the idea of a low cost airline?
I was already running a helicopter company. I used to fly from Goa to Bangalore in a helicopter, and each time I came across a village, I saw something reflecting from below. I used to wonder what it was. When we flew down and came close to these mud huts in the small remote areas, we saw that they were large dish antennas! So suddenly for me, it was not a billion hungry people, for me it looked like billion hungry consumers. The government says they have to be fed and have to be given subsidies. For me a billion consumers is different from a billion mouths to be fed. Instead of a liability, it is the biggest asset we have.
But what triggered all this was not that. What triggered the airline was: I said, all these people, even in small villages and small towns are buying TVs, motorcycles, cell phones... But airline tickets were not part of that consumer space. That is what triggered me. In all developed economies middle class people travel by air, that was a part of your lifestyle. That is how all this got triggered, because I saw a new India. An India that was different from the India one can normally see. An India that was vibrant and resurgent and where consumers were buying everything except air tickets! I realized that it is not far off before that happens. Somebody had to trigger it. I knew that it was possible to do it. I knew that this idea was so powerful that I would not let anything come between me and my idea.
 |
I never hired a consultant or did any market research to tell me whether people will fly. I mean, it was staring in my face. If the economy improved, people had to fly. I was looking at it as a retail market of a billion people, rather than a niche market for the rich. I said that I must build the company from scratch in India for Indians, using Indian genius, because the rules and regulations were different, the geography, culture, infrastructure is different. So I ventured into it, and I just did it.
 |
You started with helicopters. How did that happen? Any learnings from that venture?
When I started the helicopter business, and when I saw the airline opportunity – both times, nobody believed that there was a market. But I felt that with the country’s infrastructure being poor, helicopters are not glamour toys, it was great infrastructure. It is a highway in the sky. The country needed this infrastructure. I have an army background, and all my friends were pilots, and I started the helicopter company.
I had absolutely no funds but I had a great dream. I think what is more important than capital is your energy, passion, and commitment. If you have all that, and have a great idea, people will put money in your venture.
I set up the helicopter company and people asked me how many Tatas and Birlas are there who will fly in your helicopters. It took me about 2-3 years before I could get started. But it was a single-minded focus, single minded commitment, belief in yourself, belief in the dream. You put all your assets into the venture, and it’s likely that that won’t get you anything. In my case, it would not even get two blades of the helicopter, forget the helicopter. So it was necessary to first believe in it yourself, which meant putting at stake all that you have. Then it was a relentless pursuit; your ability to not give up is some times more important that the greatest idea. You have to keep focused, and keep your dream alive, and not give up.
It took us three years to get a license. We started with one helicopter, and became the largest helicopter company in the country. India was changing. I was seeing it. I could almost touch it. If you are always cynical and criticizing, you cannot do anything. Cynicism is slow suicide. Of course, you have to take on or criticize the government, but you also have to work with the government. It is important to believe in the country’s future; everything will fall apart if you don’t believe the India story. I knew that in spite of problems, India was going to become a great economy. State governments were competing for investments. There were reforms in progress, started by Rajiv Gandhi, and Narsimha Rao. I felt that these were irreversible. All this was very important in my ability to take a decision.
You will find those who say that in this country, you need money, you need to bribe, you need connections and influence. This is not true. Of course, there is corruption, but it is also possible that if you work hard and you are committed, if you are passionate, if you have a great idea, and if you are willing to take the risk, you too can make it happen like all the people who have done it; like me, or those bigger than me like Narayana Murthy of Infosys, or Kiran Mazumdar-Shaw of Biocon, and more. All have shown that it is possible to build success in this country, in spite of all problems.
From helicopters to commercial airline, how difficult or how easy was the transition?
These are two different businesses, and again I had to start from scratch. I had to put together business idea and plan, and then I had to raise funds for it. One Airbus costs Rs 200 crore! An ATR is about Rs 70 crore. I don’t know what took me on, I never even had the time to think whether this will happen or not happen. I did not waste time in analyzing. India is all opportunities on one hand, and on the other, you need to continue to find alternative ways of doing it. So we introduced call centers for selling tickets and e-ticketing! Once my plan was ready, again I started with one small aircraft. Venture capitalists saw it and they gave us money. It was not easy, but nothing great is achieved so easily, right?
At one time, you went into this rapid expansion mode…
Almost two years ago, we added about two aircraft a month. Because it was necessary to have a certain size. If others had 10 flights on Mumbai-Delhi, and I had only one flight, they would put a flight half-an-hour before mine and price it below mine, so no one would get into my aircraft. So it was important for me to have a size bigger than them. Today our route network and number of flights is bigger than the competition. It is also important to have size and scale, because it is necessary to have growth within the company. Otherwise it will be difficult to retain people. You also cannot sustain a low cost product if you do not have the scale. So that is what I did. I added in two aircraft a month, for about 9 months; 18 aircraft in less than one year!
And in many of the places, you were the first to go…
I believed that there was no point in building a Mumbai-Delhi Airline. I also felt that in the long run, you need to stimulate demand and you need to get the people in other parts of India to fly. You need to penetrate deep into the country, and integrate the unconnected parts with the connected parts. Only then will you have a business which will be robust enough to be scaled up. Otherwise, you will only be taking each others passengers.
You need to make people from Belgaum fly to Bangalore, if at all you want to increase your flights from Bangalore to Delhi.
You are seen as a person who is different from the rest – a maverick so to say; you have roughed it out. How has this image worked for you or has worked against you?
(laughs) I don’t know, I never analyzed which cultivated image should you fit in. You need to have sincerity and dedication; courage and the conviction in whatever you do.
Believe in yourself and your dream. That is what I did. I never looked at myself. So sometimes it probably helps, and some times it may not help you. Some people may shy away from you; some people may also invest with you because they think that this guy is different.
For somebody who is starting off today, given your experience, what advise would you give?
The most important thing is that people need to have the courage to go the whole way. If you do it half-heartedly, you will not succeed. They need to have the courage of their convictions and the ability to pursue odds will be there. You need to dream big, and you need to have the courage to follow the dream. Also, you won’t succeed if you don’t have a passionate involvement, you must enjoy every minute of what you are doing. Because you will face so many diversions; so many people telling you different things. You need to have perseverance, focus, and be relentlessly going after it.
Subscribe to this comment's feed
written by Rathan, June 03, 2011
Thanks for giving chance to the world to tavel in air low cost with quality
kindly start a new airways .i Would like to get in touch with you please let me have your email id.
i want to ask Logistics doubts with you sir .
written by Rathan , June 03, 2011
I gone through simple fly very adventurous businessman it is motivational book , Thaks for
giving chance to travel in air for world .I Would like to get in touch with you and please let me
have your email id. Regarding Logistics and Supply chain .i am from hassan sir
Kindly open New airline sir . i wish all your dreams come to true .
Regards
Rathan
09632491075
written by K.N.Krishna Swamy, January 22, 2011
I had the finest opportunity of associating with beloved & respected Shriman Dhirubhai, personally in late 70’s and enjoyed learning Great entrepreneurial spirit. Dhirubhai was a great visionary and a thinker par excellence to search the ways nd means of contributing in his own way to this great soil of India. Dhirubhai ji, always thought of Poor people, his dream was to make poor people richer in this country…Dhirubhai ji tried all his best to contribute to this country to create wealth for all……His leadership was impeccable & marverick…He could achieve any thing with least resources just by using right talents and through his motivations…Dhirubhai ji always loved to create history in achieving impossible targets simply possible…His words use to be inspiring & magical…Man without any professional qualifications was just above all universities of leadership & talent…A dreamer beyond ocean…A man of total simplicity with least words could create a Global Brand called Reliance…Words can’t be created to express his multi dimensional qualities…all that is possible for me for having associated and worked with him …is to say……Hats off to Our Great Shriman Dhirubhai ji…YOU ARE AN EXTRAPRENEUR OF HIGHEST QUALITY CREATED BY LORD FOR THIS SOIL OF INDIA……….
K.N.Krishna Swamy, Director, Deeksha Foundation, Academy Of Corporate Transformation, Mysore……..deekshafoundation@yahoo.co.in
written by K.N.Krishna Swamy, January 22, 2011
impossibles to create a new bench mark for entrepreneurs in this country. Capt Gopinath
is a blessed gift for Karnataka & India....Given the right support from all corners in the state
of Karnataka, Capt Gopinath can create wonders to this great soil...Let.s support our
Capt Gopinath to make his wild dreams come true, not after many years, but very sooner.
He needs the support of all liked minded people and not money...Let pray lord to bless Capt. Gopinath with showers of strength in all possible manner to transform his wildest dreams
for this great soil ...a great reality soon...Let his lessons be taken by all the entrepreneurs
in the country...To me Capt Gopinath is a selfless personality, a great visionary & a contributor
par excellence....I pray lord for his great success...The soil of karnataka is really blessed
to have him here...With Love & affection.................
K.N.Krishna Swamy, Director, Deeksha Foundation, Academy of Corporate Transformation,
Mysore................deekshafoundation@yahoo.co.in
written by Madan Mohan, August 09, 2010
written by K.Gopal, July 31, 2010
Would like to get in touch with you on the above, and please let me have your email id.
Thanks and regards.
k.gopal.
written by K.Gopal, July 31, 2010
I would like to get in touch with you by mail or phone and would you please be good enough to let me have either so that I could write to you on various topics including logistics a field you have recently entered.
written by Jagadish, April 02, 2010
| < Prev | Next > |
|---|
Would like to get in touch with you on the above, and please let me have your email id.
Thanks and regards