Remembering BD Nathani: My Journey Through Lala Land

BD Nathani, who always dreamt of travelling the world began by selling a cough syrup, and ironically was felled by the dastardly COVID-19. He had recapitualted his journey in his debut book My Journey Through Lala Land.  A texfash.com tribute through extracts from Chapter 7 of the book.

Long Story, Cut Short
  • The book also tells the true tale of how the author built and grew Woodland from a small footwear company based in Karol Bagh to an international brand with the help of a visionary family business owner.
  • The book is an excellent read for not only middle rung managers but also management students who wish to know what makes a brand successful.
Pexels / Pixabay
Memoirs In 'My Journey Through Lala Land', a memoir of a humble salesman and a marketing genius, BD Nathani dispels the myths associated with traditional family-owned businesses. Whether he worked for a Gujju lala or a Baniya lala, the author describes how most traditional family business owners he worked with built successful businesses strategically. Besides, they also enabled him to launch one of the most well-known international footwear and lifestyle brands in India, including Lotto, New Balance and Hi-Tec. The book also tells the true tale of how the author built and grew Woodland from a small footwear company based in Karol Bagh to an international brand with the help of a visionary family business owner. Pexels / Pixabay

He started his career as a salesman and rose to be the CEO through sheer hard work and the perspicacity in understanding people, the consumer and the market. Never one to stay in a dull moment, he was, till his last breath this Friday morning, wearing many a hat as advisor to some footwear and apparel companies, visiting professor at some management institutes and author of the very engaging My Journey Through Lala Land: From Salesman to CEO, a rollicking first-person account of brands he had worked with, nurtured and been instrumental to a large extent in their growth story.

Unfortunately, BD Nathani has passed on to the other world before he could see the release of his second oeuvre — Delivering the Promises, said to be “inspired by successful family run businesses” and holds out “lessons from unsuccessful marketing models”. An extract from My Journey Through Lala Land.

In the early 50s, a man called Jiwand Singh ran a shoe shop the size of an ATM in Ambala. A hard-working refugee, the man was much loved by his customers for his affable spirit. Singh’s shop was the most popular amongst locals. Whether it was a little boy who needed shoes or an elderly woman who needed a pair to soothe her hurting knees, Singh always found the best pair for everyone. The enterprising shopkeeper wanted to become the best in leather shoes and hence, in 1954, the man decided to move to Delhi to start a small manufacturing unit in one of the busiest markets in Karol Bagh.

The man was not only hard-working but also understood business well. Since Eastern Europe and the erstwhile Soviet Union were major markets for Indian leather exporters, getting into exports became priority. His company, the Aero Group, started exporting shoe uppers and leather to Canada and Soviet Union. During the 1980s, the annual exports of the company touched ₹102 crore, almost all the revenue of the company. Singh started to acquire inhouse knowledge and resources to understand different aspects of the shoe business, be it manufacturing the best leather shoes that were waterproof and heat retaining, retail, marketing or design. A decade later, the economy at home started to open up thanks to the reforms led by the PV Narasimha Rao government. At this time, Aero Group was a 40-year-old company which manufactured and exported leather-based goods, garments and knitwear. In 1991, they established themselves in Italy and Germany, forming 20 per cent of their sales, while Soviet Union formed 80 per cent. The brand acquired new life and Italian and German designers stepped in to add value. They had also built a huge infrastructure to meet the demand for its products, and factory equipment was shifted to India. Like most family men, Jiwand Singh had passed down the business to his son, Avtar. An equally hard-working man, everyone in Aero Group starting calling him Bade Sardarji. To expand the business, Bade Sardarji had established a brand called Wings that sold some of the shoes manufactured by the Aero Group.

However, 90s was also the time when the world literally fell apart. The disintegration of the USSR meant that India exports to Russia (then Soviet Union) fell drastically from ₹5,255 crore in the early 90s to about ₹1,700 crore by 92–93. The Aero Group bore a loss up to ₹100 crore. Wings was contributing only 5 per cent to its turnover and things had become unsustainable.

Bade Sardarji was anxious and was looking for something new.

Although these stereotypes hold true for some businesses, it is not true for every family-owned business. In fact, what I observed was that the owners had a strict adherence to the values of hard work, integrity and dedication. And I believe that this remains one of the foremost reasons for their success in spite of the many challenges that they face, including balancing family dynamics with business objectives.

BD Nathani
Author and Mentor
BD Nathani

When I entered the two floored office, I was met with a young sardarji who escorted me and Mr Mathur inside a cabin. The young man left and I felt strangely uncomfortable. Within minutes, a tall and lean sardarji dressed in formals stepped inside and Mr Mathur immediately stood up to shake hands with him and spoke a few words in fluent Punjabi.

The first thing I noticed about him were his hypnotic eyes. I instantly knew he was a man not to be messed with. I could not avoid looking at him and wished the younger man, who was most likely his son, had not left.

‘What’s the costliest shoe that you have sold Mr Nathani?’ the man did not wait too long before beginning the interview in Hindi and Punjabi. Since I had sold one of the costliest shoes in the 90s at Lotto, I began to feel at ease and told him about the trial shoe and the rest of the story.

Bade Sardarji only needed to know if I was confident of selling their premium shoe.

‘Are you ready to sell a four-figure shoe in India?’

At this time, niche shoes accounted for a small percentage in the branded shoe market, dominated primarily by Bata. There were others too such as Liberty but when it came to casual outdoor shoes, there wasn’t any well-known brand. I assured him that pricing is not a problem as quality was assured.

At the back of my mind, I was jittery because I knew that the Indian customers were not used to casual outdoor shoes, forget an outdoor premium shoe.

After a few hard questions, Singh made the interview a candid conversation. When he asked me if I knew Punjabi well, I started to converse in Punjabi. Here, I thought of myself as Ramprasad, the sincere and innocent man feeling the need to impress the traditional patriarch, played by Utpal Dutt in Amol Palekar’s classic film Golmaal. Like Bhawani Singh, the boss in the film was keen to hire a man who was likeminded, Singh also wanted someone who spoke not just his language but also understood his beliefs. That we were both spirited and spoke our minds freely was a match like Bhawani and Ramprasad.

He asked me one more question, this time, his eyes were softer.

The Aero Group had manufactured a premium outdoors shoe and before they launched it officially, Singh told me that they needed a distinct identity to establish it as a brand. What would I prefer as the name of the shoe, he asked me? A leather shoe that was rugged and meant for the outdoors clearly needed a name and one of the options, Woodland, clearly suited the shoe. I was offered the role of General Manager, Sales and Marketing and was made responsible for establishing Woodland as a brand.

‘Fall seven times, stand up eight.’ – Zen proverb.

From The Introduction

In India, the majority of businesses are owned by families. According to a report by Deloitte, “family run businesses account for 85 per cent of all Indian companies.” Besides, they also account for the “majority of national output and employment.”

In my career spanning more than three decades in sales, marketing and brand management, I have worked with many traditional family-owned businesses and saw first-hand the working styles of lalas, including Baniya, Marwari, Gujarati and Punjabi. Although my memoir largely revolves around a documentation of my professional rise from a sales executive to CEO, launching several international and national brands in India, including Woodland, Lotto, Hi-Tec and Crocs, the purpose of the book, My Journey Through Lala Land is more than twofold.

First, what is a lala? In my understanding, a lala is the owner of a business who takes all decisions, big or small. He believes in centralization of power and fears that empower his managers to take independent decisions will sabotage his or her control. Such a place is not considered an ideal place for professional managers primarily because when the power of making decisions is concentrated in the hands of a few owners, employees work to merely impress the lala instead of creating value. Often, a long-term vision is compromised over prioritizing day-to-day survival. Anyone who has worked in one would know, the liking and disliking for employees changes on an hourly basis like the Sensex. Family members are handed the topmost positions irrespective of their experience and accomplishments. An employee is considered a dispensable resource, whose experience and opinion holds no value. Moreover, they never trust their employees, a factor crucial to build long-standing relationships and successful businesses.

Although these stereotypes hold true for some businesses, it is not true for every family-owned business. In fact, what I observed was that the owners had a strict adherence to the values of hard work, integrity and dedication. And I believe that this remains one of the foremost reasons for their success in spite of the many challenges that they face, including balancing family dynamics with business objectives. Besides, it is also well known that India’s topmost industrialists are also family-owned businesses, including the Ambani, Birla, Tata and Adani groups.

In fact, a 2018 survey says that “more than 50 per cent of the top 30 best performing (family-owned business) in Asia, excluding Japan, are from India.”
Besides, their financial performance such as revenue growth, earnings before interest, tax depreciation, among others was far superior in family-owned businesses than the non-family owned.

My aim, hence, is to primarily dispel the myths about the working style and vision of lalas and I hope that readers can also distance themselves from a conventional perception of lala companies as close-minded and instead see them, like I did, for who they really are.

 
 
  • Dated posted: 12 August 2022
  • Last modified: 12 August 2022