China’s Smartphone Disruption, IPL, Virat Kohli & Kapil Sharma – Sunil Raina | FO395 Raj Shamani

15 Aug 2025 · 1 h 35 min

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Podcast Episode Notes: Raj Shamani's Figuring Out - Episode with Sunil Raina

Episode Title China’s Smartphone Disruption, IPL, Virat Kohli & Kapil Sharma – Sunil Raina | FO395 Raj Shamani

Episode Summary In this episode, Raj Shamani interviews Sunil Raina, Managing Director of Lava International Limited. They discuss Lava's journey in the mobile phone market, the challenges faced during intense competition, and the brand's resurgence. Sunil shares insights about Indian entrepreneurship, marketing tactics, and the importance of understanding customer needs in a rapidly changing technological landscape.

Key Topics and Discussions

  1. Introduction
  2. Overview of Lava International and its market position.
  3. Sunil Raina's background and his journey from CMO to MD at Lava.
  1. Childhood and Early Experiences
  2. Sunil discusses his childhood in Kashmir and the impact of political instability on his upbringing.
  3. Personal experiences of resilience shaped his outlook on business.
  1. The Smartphone Market in India
  2. Historical context of the smartphone market in India, particularly around 2014.
  3. The rise of Chinese brands and their impact on local manufacturing.
  1. Lava's Strategy and Adaptation
  2. The decline of multiple Indian phone brands and how Lava survived.
  3. Shift in focus to feature phones when the smartphone market became too competitive.
  4. Importance of understanding consumer preferences, especially in rural India.
  1. Marketing Techniques
  2. Use of celebrity endorsements (e.g., Mahendra Singh Dhoni) to create brand visibility.
  3. Strategies used to penetrate the market and build trust among consumers.
  4. Discussion on the effectiveness of advertising during events like IPL.
  1. R&D and Innovation
  2. Importance of R&D in developing competitive products.
  3. Sunil's insights on the need for Indian brands to innovate and invest in design capabilities.
  1. Brand Building and Customer Focus
  2. Strategies for building a strong brand identity in a crowded marketplace.
  3. Highlighting the importance of customer service and user experience.
  4. Lava's commitment to providing value through high-quality products without bloatware.
  1. Future of Indian Brands
  2. Sunil discusses the potential for Indian brands to compete globally.
  3. The role of government and private sector in fostering innovation and entrepreneurship.
  1. Potential for 6G Technology
  2. Sunil explains what 6G technology entails and its anticipated impact on industries such as healthcare and data management.
  1. Work Culture and Leadership
  2. Comparison of work cultures at Airtel and Reliance.
  3. Discussion on empowerment and decision-making in corporate structures.
  1. Final Thoughts and Takeaways
  2. Emphasis on resilience, integrity, and customer-centric approaches in entrepreneurship.
  3. Encouragement for young entrepreneurs to innovate and adapt to changing market dynamics.

Key Takeaways

  • Resilience is Crucial: Overcoming hardships can lead to greater strength and adaptability in business.
  • Understand Your Market: Knowing customer needs, especially in diverse regions like Bharat, is key to success.
  • R&D and Innovation Matter: Investing in research and development can provide a competitive edge.
  • Effective Marketing is Essential: Leveraging celebrity endorsements and understanding the right platforms can enhance brand visibility.
  • Customer Experience is Paramount: Creating a seamless user experience and addressing customer pain points fosters loyalty.

Conclusion The episode concludes with Raj urging listeners to subscribe for more insightful conversations and encouraging them to share the episode, indicating the transformative power of shared knowledge and experiences. Sunil's journey exemplifies the potential for homegrown brands in a global market and emphasizes the importance of preparation for future opportunities.

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Follow Sunil Raina

  • [Twitter](https://x.com/reachraina)
  • [Instagram](https://www.instagram.com/reachraina)
  • [LinkedIn](https://www.linkedin.com/in/sunilrainalava)

Follow Lava International

  • [Twitter](https://x.com/lavamobile)
  • [Instagram](https://www.instagram.com/lava_mobiles)

Follow Raj Shamani

  • [Instagram](https://www.instagram.com/rajshamani/)
  • [Twitter](https://twitter.com/rajshamani)

Watch More Episodes: [YouTube Playlist](https://youtube.com/playlist?list=PLE0Jo6NF_JYO5-phess8GKafKMtPv3tfZ)

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Transcript

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0:00Lava was one of the biggest companies in the country. What happened in 2014? I didn't want everything in the 2014. In 2008 or 2009, all Indian companies came. And there were only 100-200 companies trading brands. We have 100 % of the money from China. You can take your brand and get your brand. In that case, anyone who was getting numbers, he was getting revenue, profit. Now, the amount of money, he was doing so much marketing. The other thing is OPPO, they played a different game. They painted the whole country blue and green. Now this was so big attack. It was a result of 200 companies in India.

0:37They shut down from 199 companies. It was a point where it felt like it was finished. When we were in CMO, we had a brand called ZOLO. We had a very high-tech brand. Then there came a point where the company had to decide. Two brands means two investments. We don't have so much money. So we had a call to take. Only one can survive. Unfortunately, the code hit after that. The first thing happened, then the code also came. Tell me two or three marketing techniques or tactics you work for. Mahindra Singh Dhoni was our brand ambassador for a very long time. We had a couple of three or four years of leadership for the show.

1:12We gave them for a season. What is 6G? 6G is…

1:20In today's episode, our guest is Sunil Raina, Managing Director of Lava International Limited. India's smartphone brand which is downfall and rise again. Today, we will know what happened in 2014-2017. What happened in Lava and other brands almost crashed in the market? After failing in the phone market, why did they focus on feature phones? How did the sponsorship of the company make them a game changer? And why did they shift to the telecom industry in mobile manufacturing? in the beginning, why did you shift this episode? You should have to watch this episode to end to understand about how to build business and when it comes down, turn around and how it becomes profitable.

2:03And to know more about Lava smartphones, check out the link in the description.

2:13Good to see you. Where are you, sir? Basically, I'm from Kashmir. Is there any extended family here? we were in Kashmir and that problem happened and then we came to Jammu so you were in the Kashmiri Pandit problem tell me how many years you have been? I was in my 11th standard I was in my 11th standard actually I was born in a very small village Anant Nag I am sure It's a lot famous. It was a very famous time for the terrace attacks. There was a small town in there. It was called No Book. No Book. What is it that if you ask someone to ask someone to ask someone to ask someone, then you ask someone to ask someone to ask someone, nobody will tell you.

3:05What is this place? No roads, no electricity. There was nothing there. You can go to the farm. Not that bad. and so there I was born after that and what was that? a school vernacular medium so once I went to our 10th exam so we were writing paper so outside there was stone throwing in our classroom in examination hall and a fire in the compound in college in the compound so we took all the question answer papers and left them there and run then we took the house but we don't know what the exam will happen we have to give it or not we will pass or fail we have no idea 2nd feb 1990 which was a little bit immediately after this incident the things started to get really bad so for 2nd feb 1990 we decided we will leave leave as in for a week in fact when we left then where we were at least 2-3 lanes there was somebody who was shot that day that day we heard on the way when we were going so you had these very close encounters you could see what's happening something is happening so it was scary and we were also small what do you remember about the problem was happening what do you know about your version because it was 11th 11th in a vivid memory there were elections okay and it was said that those elections are rigged and that led to a lot of resentment among some section of people so that was exploited by Pakistan and then they took advantage of that they went there they gave them training sent them back but anyway it was a little simmering it was not so easy it was always something that was happening I remember in 1986 there was also an incident where they went and went there there.

5:40So, we came here too. But luckily, someone stopped. So, those memories were difficult. But if you have had a childhood, where you had to leave your home, some memories, you know, you had to kill a kid or terrorism or gunfire shot in school. A lot of difficult situations and trauma of life right yeah so that carry on until long time that it doesn't affect where you go and you come then nothing affects a trauma it can take any shape after that okay it can transform you don't know right for example in my case I think in my case it converted into resilience that you have seen what you have experienced that it's that that you can't handle anything from this.

6:39Right? That's what it's made, finally. I feel that there's no difficulty that you can't handle. You can't handle it. You can harden it. Absolutely. Now I feel that there's no difficult situation that's the solution. But there's something different. But sometimes it's like that someone's scared or you're not scared or you're not scared or you're not scared or you're not scared maybe it's not going to be remote area because one time the sound is registered to someone that I was giving an exam and boom I heard that I think because I heard that I don't think I'm afraid it's the other way around there are so many things I'm sure you've done a lot of work but I'm afraid but I'm afraid someone's afraid I'm scared I'm scared I'm scared I'm scared I'm scared I'm scared I'm scared I'm scared actually what happened once when I college so graduation what happened in Jammu but this thing was I think it was more of an anger inside why are we with us right so I was very active in student politics in the sense rally rally all that I did rally all that I did because it was that we We were affiliated at Kashmir University.

8:04It was a 3-year graduation course. I did B.A.C. electronics. Now, it was a 5-year stretch. Because if there was a incident, you had a time for exam. If you had a result, you didn't have a time for exam. So, it was a stretch for 5-year students. One thing, you didn't see the difficulty. Plus, your precious time, life, that was waste. Correct? So you took five years in three years. So the overall accumulated anger, resentment, that we have to fight against it. So that for three or four years, I had put a lot of time in politics. What did it do with politics? But it was a lot of fun. Were you those gunda types?

8:55No, not really. Not gunda type. I would stand up against the wrong type. not one of those actually we are more like education therefore these things are very rare from there from there from there from there to today becoming this executive the managing level of one of the largest phone companies in the country. That's some journey. Father must be very very proud now. Yeah he's no more I would have wanted him to be around for this because he's one person who was able to understand my career growth. Tell me what did you learn about selling? Is it a year of selling? You have sold a lot. So the young entrepreneurs or the people who are entering in this world how do you sell one thing I realized when you are in sales you typically tell you you have to be street smart which means you should be able to change your thing on a dime he told you you have to tell you have to do some street smartness there but I realized that it has a short term benefit but long term in this world, there is a lot of disadvantage.

10:30Because it becomes a part of your habit. You should say, tweak and tell something. You should tweak, tell something, or say something that is not a fact. Then I realized that where did I make good relationships? Where I maintained integrity. Integrity means different things to different people. For example, how we define it It's also value for Lava company What you think What you say and what you do Has to be same Right If there is a gap in this Then there is a lack of integrity And why is integrity required Integrity is required Because it helps you build trust And why is trust important Trust is important Because it makes your job easy If you have a friend Who has trust in both there's another guy which you don't have so much trust about you will call at 12 o 'clock phone to each other who has trust without asking what problem is he will come right the other one says I'm busy now something is happening okay I'll come to the rest so the person with whom you have lesser trust that's your work difficulty becomes easy right you have said and it's done it saves you time it saves you stress it saves you stress so that is why finally this is my sum total of experience that I have had so far so many years is that you have to be you have to have very high level of integrity right that is very important and then when did you join Lava?

12:09I joined in 2010 okay June 2010 so I just completed 15 years lovely then how much Lava did you do? we were doing about at that exchange rate we were doing we crossed 1 billion also by about 2015 types when you joined what do you do we are doing about roughly close to 1500 what did you join as I joined as CMO Chief Marketing Officer I want to ask you Lava was one of the biggest companies in the country right and other Indian companies at that time. There was Carbon, there was Micromax, all these were on top. What happened in 2014 that everything was not going to be in 2014? In 2014-2017 there was a like every brand which went crashing.

13:09Look, we started in 2009. I joined in 2010. in 2008-2009 all Indian companies came to enter the business. And I think my my some 200 companies were coming basically trading brands we are available from other countries China or Japan or where you have your stamp and buy most of China most of 100 % China and buy brand and buy that was the philosophy yes absolutely now scenario what was that time that networks were rolling out from operators at a very rapid speed. Nokia was one player who was in the dominant market share. It was 70-80 % market share. And now you have said that China has become an ecosystem.

14:08Cheaper and innovative products. Dual Simaya, Big Battery, this was China's ecosystem. Now you have said that you have gone to China, you have come from there and here is rapid growth. Where you have a tower, people need phones. You have a phone given to anyone, you have to get it. Because you don't know what is quality, what is feature. You need a phone. So in rapid growth, there was a demand and supply gap. The demand was very high. And supply was in your channel. In that case, someone who was coming, he was getting numbers revenue profit so many of them were there it's not just Indian Chinese companies so many Chinese companies were in India and this was the whole world that there were local companies and in those countries Chinese companies so all the people were the pace of growth that was catered right there.

15:16Every phone needed, phone available not done. Dump correct. You gave it in a very good price and you got You got You got paid. You got a lot of marketing and you got money. you have differentiator. Whoever shouts the loudest will get more share. It was very simple. These were the same. They were the same. There was no differentiation. Okay. All companies. All companies. Practically more or less similar was it? Now you have a little gimmick and a little bit. Basically the base was the same. The one who heard the noise, the brand was good. Correct. That's how it was. So you have to play distribution and marketing and something else?

16:01Exactly. So the product was not an idea. The product was a Chinese company. What happened? Basically the ecosystem was built in China. So you said that thousands of small companies who gave us a phone and were in the whole world. Very poor quality. No testing, nothing. Just dump it. What happened? This happened to 2014. In 2014, the actual really product companies started to move out of China and go to other countries. Like BBK. right we have oppo vivo and others and xiaomi i have said do root liya no to attack the indian market and markets everywhere in the world uh... xiaomi karo tha or ek dousra bbk karo tha oppo vivo karo kya root thae do no xiaomi ka kya root tha xiaomi karo tha low cost low price okay Oppo Vivo root was high cost high price okay now the product is the same and Oppo Vivo would charge about say 50 % more than Xiaomi for the same product why because Xiaomi took the online root where the margins have to give you very low at that time Flipkart Amazon they were also chasing GMV right they were also discounting.

17:36If you see their P and L's of that time, they were negative. No P was not. They were very negative. So, there was a contribution from them. You have paid marketing from there and there. You have not paid money. So, you have made the product very attractive in price. Another OPPO, they played a different game. Which is that you advertising. do the whole country blue and green or whatever those colors were blue and green you can see a promoter like an in-shop promoter they put most of the shops which is high cost plus you have done a lot of advertising you have not left any of the start of the world you have not left any cricketer you have not left the Indian team to not left the big brand.

18:36It ran into thousands of crores. You left the TV, you left offline, you left nothing. You left nothing. Right? Now, which has been so big, attack, so, for any company, especially in technology company, how many years ago we were, five, six years old, in this space? Five years, disruption, so, your preparation was so low, was not in deep pockets or not in price competing with you. So that is why nobody was able to compete. Plus your product's weakness was not addressed. They came with superior products. No doubt. Because they came from their 10-15 years old journey. They came from their learning.

19:28They were superior to manufacturers. So finally, after 2014 and 2016, whatever happened, then there are other factors also. Plus government, 100 % in-law allowed to allow India to put into it, and to put it in factory, set up, knowledge, know-how, transfer, multiple things. Correct. So from all those factors, then there's a whole disruption. Now, the result is that, if you think hypothetically, there were 200 companies in India, in India, we have been shut down for 199 companies. And Lawa is the only company left from that time now. There is no other company. Why Micromax? No, they are not phones.

20:11They are going to manufacturing. Manufacturing. Not in the brand. So, you mean all of the branded phones are out? Everybody is out now. So, why did you all fall? What did they miss? What did you miss? When this company was made, it was clear that that if you want to make a brand, there are four different experiences required to make a brand. You have to make sure that all four experiences are done with excellence. The most important experience is the product experience. Especially for mobile phones, you will touch it at least 200 times a day. Every touch is an experience. right if you have 100 months from 2 experiences then you will register your mind no so you have to be impeccable so to say you should be flawless so you should be so you should be product experience right now what do you need for that for that for that for that for that value chain product you should have control right like that in China you had no control supply chain control so what do we have what did we do?

21:23We set up a full-fledged design house in China. Okay. Where our phone designed. Okay. We also set up a manufacturing. In the beginning? In 2000, I think it was about 11-12. Yes, 11-12. Okay. We set up it. And we did manufacturing it. So we tried to control. But it was in a different country. Right? All the employees were Chinese employees. right you didn't control but at least you were able to get hang of things right what happens how it becomes because if you do in India you don't get a engineer to do it because it was not ecosystem ecosystem so if you want you can do it so what did we do we did here 30-40 people hired engineers in India they sent China in our design house for 2 years they are there and they learned how to become how to become then they came back then we shifted the design to India and we also shifted the manufacturing to India so which year it was done?

22:35about 2016-17 about 2016-17 this whole change because like I said what was the route to growth? sales and marketing so we had a little tweak that sales and marketing but focus on product that became one differentiating factor eventually when things came to that point that we had understanding that how the product is but having said that 5 years is not a lot of time right? 5 years ago and when it came we were also almost practically in the same league but until we have the feature phone there are two categories feature phone which you remember which is the button phone and then smartphone so in smartphone we are losing money feature phone we are making money we have a business tweak we decided that we will not focus on smartphone till the time we are ready for it which is the leaking bucket we closed okay smart phones closed we will not take big bet on this we are not we are not focused too much on it but we focused heavily on feature phones so I think we are about 6 % market share today we are about 25 % market share sweet yes and globally we are number 3 now in feature phones who is number 1 and 2 number one a Chinese company in Africa number two Nokia number three we are in global number three now nice in feature phones how extreme focus on that that this we are fixed and it's a good margin business that's a smart move because if very interesting because everyone has thought Nokia which is feature phones which is which is whatever you call it they are closed so it's a declining market share Why do you enter into declining market share?

24:47We go to a cluttered market which is a cluttered market where giants of the world, from Apple to Chinese manufacturers, all operate in different price points. $5 ,000 to$2 ,000 to$5 ,000. You realize that people can't compete with them today. So, you go there and go there, and you can only beat one player in India. to know what is it? Actually, smartphone today is the thing that it's glamour. Okay? And glamour people are running right? In business, you have to remove glamour and think about it. You have to fundamentally think that if you have to survive for me, what do I have to do? There are some sacrifices that you have to make.

25:35Short term you have to sacrifice to make. So, that sacrifice we have to make. Although, we also had very intense debate internally that how can we close the smartphone smartphone is the future but finally we said right now we need to do this it's not that we don't have to do smartphones we have to do smartphones but it's time when we are ready for it so the feature phone technology has increased supply chain everything, design, supply chain supply chain is now being localized you still get components from outside but you could make design could be done. You could have your hardware and software.

26:11I can assemble and manufacturing. Yes, everything. We have done that in India. The components anyway, global trade is like world supply is one. Correct. So, it means from a small fuel to large components, it will come from every place. Correct. So, when you did feature phone, what did you have insights about feature phone that it will grow? Where is the growing trend? Where is the world? Where is the spaces in the world? Why was the decision in 2015? When did you take the decision? 2016-2017 actually towards end of 2017 2017 when the whole world is digital reliance has been given geo has been blown away data consumption what was the insight that the feature won't grow?

26:56we knew it that it would grow this we knew it stagnant and decline this was clear the clear number was that the profit here is way too high but yeah it's clear business point of view that it's going to do it second we had a capability like I said we had design started what happened there are two things two important advantages you have control on innovation the second is quality at one point in time when China came from China I think 15-20 % fault rate because of our design capability that we built today it is less than 1 % for us at that time we kept bringing it down because we are doing it ourselves so we could see that our capability has been closed at that time we knew that our smartphone has not full control so when we increase and increase our control it will come so it will be still but there was a growth in feature phone.

28:06Something was growing globally, maybe Africa or other development countries. India was a very big market. You feel that year on year, 6-7 % will increase. Because it's just pure consumption. You had 2 ,000 crore. You had 6 % and you were assuming that it would be 4X. so if it's a big deal then it's a big deal it's not big because it's a big deal so it's a big deal so it's a big deal that we can see that we can't see it we can make it and we can see it and we can focus on it two routes opened right one thing opened that we what to sell in front end okay and what to build in back end right because you have to go to smartphone we had ample clarity about it okay so until the money comes from the profits and increase the capability exactly because we need a time to build our smartphone capability where we get the time from a company will be and profit will be coming, you will be able to do that.

29:26Because in smartphone it needs investment. Where will the investment come from? It has to come from somewhere. So we were clear. But it happened that because our capability was already and the rest of the brands were going, there was an opportunity and our expertise has become better. And confidence has become more. We have survived. Correct. Absolutely. This clarity will come from here. We will use it in making a smartphone. So this was clear. Was there any point where you felt like you were finished? Not yet. Many times. Many times. Tell me one way you felt like this is over. You have to go back and go back and find another job.

30:15do you know? Do you know? What happened? Actually, before we were CMO, we made a brand called Zulo XOLO. We made a very good high-tech brand. Like, we were among the first in the world to make an Intel inside phone. When we came to Intel processor for mobile phone, we were the first ones to do that. Nice. We also made the first NVIDIA based phone. NVIDIA mobile processor based phone. That's right. Basically, after the CMO, I was told to build that business. That brand. Then there came a point where the company had to decide. Because deception was. Two brands, two investments. We don't have so much money.

31:09So we had to take a call. That we only can survive. Right? so everybody agreed that mother brand will survive okay because Zolo was a completely smartphone brand right because here is a feature phone so everybody agreed that this is the right way to move forward Lawai will run so what happened then I was told now you take charge of this business Zolo because Zolo we have wind up now you handle Lawa business I had not too much idea about how bad the situation is. And I jumped into it. I said okay. We did it. But I was warned. When you have a colleague, you say, do you know what you're getting into?

32:01Right? So finally, it's not going to survive and it'll be on your head. What did you do? I said, I have no fear of failure. But I think just for the purpose I will give it the best shot. Right? It's okay. We'll go down with it. It's okay. We'll see what's going on. I remember one meeting that we had in the boardroom meeting. So one of the founders got up and when we looked at the numbers and this is around the same time when we were not able to pay the salaries. So he got up and he said I think I'm December meeting I think by March we are winding up it was so bad okay it was finished and it looked very obvious that what is and everyone is going right so there is no way that we can survive this but then we figured this out I think actually in this period we focused on three things people product and partners so we built trust a lot of them came forward to help partners meaning the distributors our suppliers suppliers and distributors both they helped say okay you can't pay right now it's okay we'll wait for you to get better which you get a little breather because we had such systems and processes that trust has been built very strong in our business if you look at our distribution chain it's completely automated and we're the only company which is the retailer we have 1 lakh so upar in their bank account direct bank account we are the only company who does that fifth of the month whatever their incentive is in their bank account direct that direct transfer scheme we have done before we have done so via distributor via P no no direct and it has been like this for about seven years now consistently and there's not even a single month when we have directly paid and 5th is 100 % before 5th including COVID unfortunately COVID hit after that you have to manage so many difficulties you have to manage so many difficulties offline based brand primarily so now we have primarily sales now our online contribution has increased we were about 95-5 ratio now we are about 20 80 20 online heavy 20 online which is good number but industry is about 35 65 okay so from that standpoint we're still an offline centric a brand a lot of like biggest online when i was researching about you you guys are offline centric retail centric because things are changing so i think one more thing that we did like i said which is the internal factors like you have worked on your product you have worked on your people you have worked on your partners I think one big shift because we had to build a smartphone was our consumer focus consumer focus became the big thing for us because we realized that what we have mistakenly in past we have not done so much work we were basically building that the value chain has different elements are.

36:06Like supply chain and manufacturing we were doing good work. In fact, distribution was doing good work. But when our customer was there, we did a lot of research. Basically, what did we do? We have a feature phone. We have to build a big deal. Now, we have to build a smartphone. Now, how will you do a smartphone? Because you are the competitors and they are very strong. Now, how do you share with them? In today's situation, the market will be consolidated. rate हो गई है ठीक है और market flat भी हो गई है which means roughly पंदरा करोड smartphone हर साल बिकते हैं और इप इसले 3-4 से इसी range में 140-150 के range में चल रही है तो इसमें growth वह उस जज़्यादा कुछ हो नहीं रही है तो flat है ASP बढ़ रही है which means the revenue is growing but market flat.

36:57Now this situation is where everyone has their own position. Now you have to take a share or market share. It can't be like you have brought a product and it will go. So you have to do something different. We did extensive research. If you ask me, I personally, which everybody else did, we have a great team actually. I've told you that people are working 10 years great team we have one common purpose we are dedicated to this cause India is a global brand nobody has any doubt about what we want to do all of us spend tons of amount of time in figuring out who is the customer what are the problems where is the space personally on YouTube every day 4-5 hours of time to see what product launched below people are giving comments then on Twitter people are giving comments so you get a sense then you go to the market then you get a real customer then you get a real retailer then you get a sense that what do you have to do so we have 3-4 things clearly understood this is very interesting because you have to find something which you can't do and you can do it and it's required for the customer this is a big critical sweet spot this is what you need so when we researched we said 3-4 things which are the problem and we researched actually 15 to 24 year olds we asked them what are you using you have to obviously figure out so one thing I've told you like if I had a phone okay now a phone design is very cheap okay when we went back we figured out why because that brand 15 ,000 phone 10 ,000 phone better to see and 20 ,000 phone 15 ,000 phone better to see true okay now my choices are the lowest the lowest is completely plastic it's very cheap it's not a big deal because I'm taking a device so you'll get this right but is that what consumers like the answer is no okay they want premium if I can get a premium device at this price then I would want it right so we have first principle that look the customer can get the customer and can get it.

39:45We need to get it. Without really bothering about what the upper and lower is going to think about it. Why do you think about it? Because it's 10 ,000 and the other person's 1 ,000 ,000 of the value which he spends on the phone is going to get it. It's not going to get it. Because it's hard work to get it. It's going to get it. It's going to get it. If we can get it, it's going to get it. so then there is no problem but you can give it and you can give it and you can give it it used to be think that when glass bag is premium glass bag is considered to be premium premium build quality so we have to get it from the lower-down glass bag so when we see the phone we can say it's 10 ,000 20 ,000 phone that was one key inside that we figured out that people want aesthetically beautiful looking phones and good build quality.

40:48Even at that price? Even at any price point. So we started with one insight. One insight. The other thing was

40:59software experience. Software experience is like you have a bloatware comes in phones. Extra applications brands are given to you. They get money behind. correct now a application of 20-30-40 which is like some brand 50-60-70 applications pre-installed applications right and what do you do when you take it and use it plus those applications have access to your phone so you give notifications and you give you okay security risk because access has access to your phone so this is a young population they understand that this is a problem but this is that everyone is doing so I have no choice now what do I do now these companies which have done this now you can see their cash identity situation I will not take the name of the company maybe you can search for it there is a company whose software which is the part of the application its contribution is 11 % total revenue okay but its contribution is 35 % now when you have taken this you have taken a business case to your investor and you have made your business case right when the customer has trouble they say I don't want it remove it which means that 35 % is over risk so you can't remove it If you are listed in the market, then you will crash the share price.

42:46Or if you have bought money from PE, he is going to ask a question. You have made a whole business plan. What do you do now? This is a cash 22 situation. That's one part. The second part is that you have a layer. Software has a layer. What is its core purpose? Its core purpose is monetization. Of course, there are features. features and UI. But the core purpose is monetization. That you will get money. Because you can create opportunities and make money out of it. What happened to you? You have to give security or you have to give Android or version upgrade. You have to do all the work. You have to

43:41Now what happened? What happened? The price of 20 ,000 people used to get deprioritized. They don't do it. The price of the customer is on the top. They give it to the customer. Leave it to the customer. If there are resources available, they give it. If there are no resources available, they don't give it. Bloatware is given to the customer. Because it becomes a way of getting it. you said that the young customer is very irritated but he has no way out no other option we came up with a policy we will put zero bloatware in the phone our every phone without bloatware pure android which is basic that comes in the phone only the app that needs android exactly Basically it's like your device you decide.

44:35Okay, you have a phone. What have you paid for? You have paid for hardware. And you have given us money. Now, because you have created an Android, I know what to download. What is a dumb phone and a smartphone? Smartphone has this difference. You can customize your phone as per your liking. There is a 50 ,000 ,000 play store. 50 ,000 ,000 applications. Whatever the applications are. you have to make the money you have to make the phone customized. You will be smart. Because it works as per your liking. That's why it's smart. Now, you have decided, I will tell you, how do you make smart? I will give you your application.

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45:19So, this is not in sync with what the core purpose is of the devices. So, we changed that. Plus, because we have kept UI light, So, whatever you need to do, it's easier for us. True. You don't have to spend so much energy on it. Yeah. Now, there is a third important factor. Customer service. Basically, if you see all these points, customer is the center of everything. Because in my personal experience, if you see many brands in my experience, I'm telling you a number, but just to tell you what its impact. impact typically regular companies spend 80 % of their time and resources on customer acquisition marketing and marketing and sales which is customer acquired and limited amount of time spent is spent on that what will happen now look at our category because like I said you will probably touch on your phone right now your activity 80 % when it's finished the end point is the customer for starting point because now it's the device now it's 2-3 years to use now it's the life it's start now it's the focus of that therefore this opportunity we said what we will do is 80 % time will go in customer experience what happens to be buying what happens to be buying what happens to be okay so basically eventually customer should leave the device but not leave the brand when they upgrade time is 24 months then they should come back to the same exactly that is not in Android ecosystem actually Android ecosystem it is mostly about features features or price and marketing that's all the game right experience as such say that someone's experience led brand right experience led brand you have to do something new and sacrifice like we have we have sacrificed the bloatware we can't get the money right so that's hitting your profits exactly that's hitting our profits but it is getting us customers right so we have customers that you see today we have young children for anything all online now tell you you have to eat you have to take clothes before that like every company gives a warranty period with the device in our industry there is a standard If you understand the spirit, warranty, it means that if there was a problem in one year, then it's my fault as a company.

48:37So it's the admission of the fault. But it doesn't treat it like this. As a customer comes to phone, that there's a problem, then you think that it's a cost in my life. You'll pay the money on it. What do you say to that? okay, work, our service center is and we go to the service center. Our service center is 10 km far. Right? Go to the device and leave it there. Then we will do it and then we will go back. Then we collect it. So, this is a big cumbersome. This means the spirit of the customer is the fault of the customer. That it is the fault of the customer. That it is the fault of the company.

49:19That it is the fault of the company. so we have seen the feature phone and said that India roughly 6 ,5 million villages are and the feature phone is almost all villages are going to and any company service center how much maximum highest number which is 2 ,000 now 6 ,5 million and you have to 2000 service which means somebody has to travel a lot a lot of people have to travel and the customer is a feature phone and his phone is how many rupees his phone is 900 rupees which is the cost of the phone and he lives and there is organized sector and unorganized sector so he goes to work in a day he gets 900 rupees or 1000 rupees now his phone poor day.

50:21Now, one day is poor. For a 900 rupees for a phone for a 1000 rupees of money, it was a 1000 rupees. But, brands don't think like that. You don't think you're wrong. You go to the center. I don't know how you're going. But you're going to Let's see what we're going to do. So we changed this. How did we do? What did we do? Because we have a retailer. We have a lot of retailer. We have a stock. A fresh stock. we said if the customer will come then what do you do we have an application two-three checks that the phone should be out of warranty so the retailer has an application he checks fresh phone new phone replacement immediate now 6 ,000 ,000 villages are now served through 1 ,000 ,000 retailers every 6 village of a service center so what do you do when the phone comes back we do refurbish we sell them as a second hand that's how we do it so we realized the cost of doing it because it's a logistics cost you keep the spare parts then it's obsolete it's our cost so we realized that the cost is the same so it's better replace replace and customer got an immediate solution and you have reduced his pain and he is also happy he is getting a new phone as a brand you reached one level up in his head exactly that's what you did because see how you look at it like we said if there is a fault in the phone it is my fault as you say your response gets when you say that it is not my fault is not.

52:15Then, your response is different. Agreed. Then, what did our smartphone? It is not because smartphone is a bit complex. In the sense that the feature phone and technology doesn't change in the technology. It is similar if you have given the other and the other it will go. It is more or less the same thing. Smartphone is different. The model is changing. You can't use this formula there. What did we do? Again, the spirit is same. It is my fault. So what are we doing in the past 2 years? We have started service at home You can phone and phone and phone 10 ,000, 7 ,000, 20 ,000, doesn't matter You have sent us WhatsApp and send us all the channels Through that you can come to the home You can come to the home There is software Usually software related to you, 50-60 % of the software is correct.

53:15If there is a small or small fault, you will immediately do it. Because you will understand what problems are you going to do. You will take a big fault and then you will give it back. But home to home is only home to home. You don't have to go to the service center. You don't have to step out. When I talk about this, that we have a global Indian brand. People say, what are you saying? How can it happen? There are so many companies. And finally, what is it? Every big thing at some point in time was small. Okay? And you have a vision. You have a vision. You have a vision on it. You have a vision on it.

53:57You have a vision on it. You have a vision on it. But if you are resilient and you have a clarity of thought, strategy clear you have to keep doing it it's a boring work actually it's not glamour it's a lot boring work you keep doing the same thing over and over again again again every day every day and with the same enthusiasm you can't go down but when you start enjoying it it's fun now you start enjoying your misery also I was like this is it what was it in our situation what was it in the world? Now we say, do what you love. There was no option to do what you love. Whatever you are doing, love it.

54:41Wherever you are reaching, you are just that. That's the love. That's the love. What was it in that? But one thing is very clear. You have to love what you are doing. No compromise in that. If you have done it, then it will happen. It will happen like you own what you do. if you have owned it, you will love it. you have not owned it you have said that there are many discussions that you should have work-life balance and acts it is important but the point is these discussions you are trying to say that this is a work but when you enjoy working when you love it because you own it what happens that you don't know you don't know you do your work you're doing it.

55:32I mean, work is also life. Life is also work. So, it's okay. You can do it at home. You can do it at home. It's not, it becomes a enjoyable thing. I also believe this very very firmly I believe this that the work-life balance conversation is very interesting to me. And in our company you'll meet people who are like me who are like hardcore, disciplined, in army kind of life they wake up at the same time then they develop they do it they work like machines and in the same time right at the same table there'll be somebody who has a great work life balance they'll come at a certain time they'll go at a certain time they'll have fun they'll party they'll like they'll travel all around the world their work-life balance is very nice right and to me what what what what's beautiful about this is we all can coexist and together like I don't have to be forced that oh I have to have a life apart from work and they don't have to be forced that oh they need to give up on their life and they need to have work I think my problem comes in when the action doesn't match the ambition which people speak out of their mouth some people are like I am so ambitious and I want to change the world and I want to become number one and then you're sleeping for like 16 hours a day and you're lazy and unit five days off.

56:59So, that was not the end. Here you do it. And then there are people who are like from morning till night they're working and then they say I hate my work, I hate my job, all I want to travel, all I want to do this. Then you change and be somewhere where you can manage that life, right? True. there's no problem. Some people enjoy family time, travel, partying, drinking, smoking, eating out. they should do that and there are some people who enjoy just working both are good and both can't understand actually there are different grades of this there are three three grades okay first one is motivation okay there are people who need motivation either you incentivize or you praise or reward so it gets motivated okay the other one is drive why is it it doesn't need motivation not need it.

57:57It's driven. Okay? If you achieve something, it will get hurt. The highest grade is obsession. Or life is my only one. Okay? Now you can't think anything else. For example, I'm sure it's true for you also. 24-7 is running in the brain. Yeah. Correct? There's nothing. It doesn't come to mind. It doesn't come. Exactly. I feel so lost in some of the conversations with some relatives and all that. I don't know what to do. I feel you. I seriously feel so lost. I can't participate in the conversation. So therefore, in my personal life, I'm a very different person. I'm very introverted. Same. But when I'm at work, I don't have to say more than anything.

58:51I understand you. I feel you. Same level. and the other thing I've been trying to understand what is that success coordinate right so when I see success with people like you and others if I make 4 coordinates ambition and purpose okay high low okay what is ambition? ambition is what you want for yourself right you need money you need fame whatever you need it is what you want for yourself right purpose is what you want for others what difference you want to make in others lives if you have high ambition and high purpose then you sit in success court true because either you have low ambition low purpose then you are dead okay you are not four no matter what no matter what you have high ambition low purpose then what is you will have a lot of struggles in life you will be driven but burnout is a lot of exactly because you are not a non-star you are going but every day is a struggle but the success quadrant is here you need ambition but also purpose then you are in the right place so when I analyze such people and I see that everybody is their eyes lit up when you say that world number one world number one and I feel that because I know I know where you stand I know what's in the quadrant that's how I look at people people say that you're making money you're making money if you're making money then you'll struggle you'll have a lot of money life.

1:00:48And you won't enjoy it. That's where the difference is. Actually a very good explanation. I think it's a good quarter. High ambition, high purpose, low ambition, low purpose, high ambition, low purpose, high purpose, low ambition. Like in Lava, have you considered any IPL branding and all of that? Yes, but it's very expensive. We were doing it first. We have done some branding with some teams. Last year. but what a big brand is where you take full sponsorship that runs into hundreds of quads that's not possible but do you think it has impact brand building of course IPL is perhaps in today's rate and you really need to make a brand so it's the best platform but it depends on the nature of brand also mass brand is to you for the work.

1:01:45Like Apple wouldn't Mass brand use Apple will be mass in the market share. It's 6-7 % market share and market share is not possible. Because I'll tell you industry break up. 10 ,000 to below market is about 18-19 % of the total. 10-15 % is about 25%. 15-20 % is about 19-20 % is on the same page. So, the market we operate is roughly 80 % of the total market. It is not a mass brand. Mass means what is the beauty of IPL? Crow of the people watch it. If you do a lot of advertising, you are paying for 80 % of the population who are not even relevant for your brand. so why are you paying it? you don't need to do that but for us it's very relevant for a mass brand it makes sense it's important IPL shouldn't be the case IPL is obviously the father of all it's the biggest what do you get?

1:03:06because credibility I don't think if you put it on a t-shirt it's just visibility yes yes right credibility I think that until you do it like MRF and Sachin became that and that credibility came in so that was a different kind of mindset different kind of advertising so if IPL gave a team to see some time for a few months for a few months for a few months and a lot of places and the team went well so it's a great deal and it's a great deal but that's it correct that's not going to happen no what we did for example I'll tell you I'll tell you you have to identify brand problem identify that what is your problem right give a solution somebody who is already very highly visible maybe may not be required so our three are the brand visibility which rightly said credibility again very rightly third is pride okay so pride and visibility both solve IPL so when you say I know this brand I know credibility is like people say for example we give our phones to the tech bloggers because we know that we make good products we give it to them we ask them to review it organically and they give good feedback they tell us if the phone has become a good phone then our credibility becomes a good phone visibility you need some platform which people can see and in pride you have to make an emotional connect it is a communication but how do you communicate what do you talk about that makes your emotional connect just like we have an advantage which no other brand has today which is that we are an Indian brand are you truly Indian?

1:04:53we are an Indian company we are an Indian we are an Indian we are in manufacturing India we are in design India business India business of globally but look, global is not so big business but mostly we are in India and over time like I said we want to be a global brand look, what is global brand? what is it? Many people have a global brand. You have a little launch of a company that you will be global. I mean, if you come to the top 5, you are global. What is in India? You have big companies. But we don't have global brands. We don't have any levers here. We don't have Coke or Pepsi. We don't have Cadbury.

1:05:35Why not? because in our country every country has a culture. And the culture over time builds. And there is a government role in the role. And there is a entrepreneurs role in the role. Let's say Japan to talk about it. When war was there was a lot of destruction that after that after that they went to electronics and they were making very cheap and poor quality products so after that the government decided we have to come out of this and Sony particularly they decided to shift this whole perception globally by making the good quality products which can become global right Now, there was a way man, trading do okay?

1:06:35And, you can get your margin and get your work. Electronic revolution in China and Japan came from Japan. Correct. Exactly. So, China from Korea, Taiwan from Taiwan from Taiwan. This is the moment that's been left. And, which country has been manufacturing that's the country's GDP is above. And, that's the shift is the shift. So, when it's the culture becomes like Like in our work in India, you are talking about manufacturing. It was not before manufacturing. Now, the conversation is going to be changed. We are talking about good quality. I will share some statistics with you. Since we are on this topic, how is a culture?

1:07:20A country. today 10 years ago US used to get about 4 lakh patents granted every year 4 lakhs applied 4 lakhs China used to get about 1 lakh plus now US 4 lakhs 6 lakhs China was 10 ,000 ,000. In China, it was 10 ,000 ,000. It was 10 ,000 ,000. In 2024, they applied 1.6 million patent applications. And where are we today? Where are we today? India is less than 1 ,000 ,000. Patents. That's one part. Second part is, patents how come patents from R &D because future wars are not going to be about land grab land grab will not be going to be going to be now how much control data and technology can happen through patents and IP that is the way you are the way you are the way the way you are the way the way how come patents come from R &D right now I will compare R &D spends as percentage of GDP okay US spends about 3.4 % of the GDP on R &D okay because it's spend China is about 2.6 % Israel is a lot 5-6 % right Korea is also I think 4 % range we are at 0.7 % why next step in all the developed countries the percentage of patents investment it is from private sector it's about 70 to 80 percent in India it is 37 percent now very valid question why right if you So, you set up a vision saying that I need 10 ,000 ,000 patents in 20 years.

1:09:51It's not possible tomorrow. It's a process. What do I have to do today? That's how nations are built. Nations cannot be 5 years of election. You have a vision of 20-25-30 years. Now, let's analyze. How is my education system? Is it tuned? to delivering that level of talent at that point in time, so that will you have to work today. Maybe you have to change curriculum. Maybe you have to do institutions that will do that type of work. Research institutions will do that.

1:10:31Because you have to do immediate result in R &D. They go in the gestation period. You have to do something in research. Then after that, you commercialize it. Then you have something that finally comes to mind. There are three things important for R &D ecosystem. One is an inventor or an innovator. Who makes something that researches. After that, you need an entrepreneur who takes a bet on the technology. and third is the banks and financial institutions and venture capitalists investors right when three are working in tandem then you will be working so that's where we are lacking we are lacking so talking I want to come back to lava for a while because I think we missed some paths and that was about marketing yeah so okay marketing tell me two or three marketing techniques or tactics when you work with such a big brand initially when we started we started very good for our celebrity endorsement like Mahindra Singh Dhoni was our brand ambassador for a very long time we had a couple sharmash show 3-4 years continuously lead sponsorship how much is there to sponsor a couple sharmash show I think it's a lot of time before I think that's the story.

1:11:58If I remember correctly, we had a Sony season.

1:12:03I think we had 40-50 crores. How big is one season? It's been a week every weekend. I'm about to go over one year. I have 52 episodes per crore per episode. It's of that time. How many viewership comes? like 8-9 years that was very massive because the TRPs were very high 8-9 8-9 but it was impact very much because that was massive so you did you did Mahindra Singh as a brand ambassador Kapil Sharma you did IPL for a while IPL we did then you did cricket world cup then you did cricket world cup FIFA world cup FIFA world cup yes for Zolo and Kartik Aryan 2 years back so what was the most expensive in all of them world covers of course because advertising is a revenue you're right and what impact is the most important thing in advertising I would say it was a combination of Dhoni and world cup it was a big impact of course because Dhoni's appeal is very grand.

1:13:25And some of the shows that it was a fun show and it was a little memory but Dhoni was a different skill for us. And that time I remember a ranking that most trustable celebrities in the country and Dhoni used to rank number one in that. So if my brother people used to believe and they used to buy it way more than other things. True, true. Absolutely. So Karthik and you guys match right now? Have we matched? Yeah, I mean it was good because we were re-jiging we were trying to make it more youthful that the younger population has to address them, reach out as I have told you, I haven't done the research young population, so this also fit that the youth star is who is today's rate, Karthik Aryan he fit it very well in the whole scheme of things So, did you think that you would take the cricketers?

1:14:18The cricketers actually... What did you block the phone? Now, what is cricket? If you don't get the top three, then there is no benefit. That's a fact. Right? That's a fact. Virat Kohli has become bigger. Then there is bigger. After that... Who will be the top three today? You would say that you won't get it. It's purely brand ambassador point of view. Not playing point of view. brand celebrity value point is Virat Kohli is the most value Virat Kohli 100 % and Hatik Pandey is very good of course Rohit Sharma Rohit Sharma is also good but Bumrah see they are all they are all good people they are very highly talented people the celebrity value Virat Kohli has a huge gap in everyone from a brand perspective that is true from a brand perspective who would beat top 3 celebrities today who can beat Virat Kohli's fandom so let's say one side you have Virat Kohli as a brand ambassador and if they do another brand or phone brand you can't get them who will be stardom or fandom at that level today I think Pushpa who is a hero Alu Arjun he's got a mass appeal India?

1:15:42Pan India? you feel Virat Kohli one-on-one that kind of appeal it's not one-on-one but if you have to choose Virat is definitely a different league I think Salman Khan still has a very huge appeal in the market that you are yes well I'm across south if I don't do it and what do you think about let's say someone like Sameh Raina would you be associated with him ever no actually I would you would because he has a mass appeal right Sameh and Sameh would get you visibility in numbers which will probably be giving up. I think we were having this conversation the other day. The team, I asked him why don't you check with Samai if we can do something together with him.

1:16:26One is brand ambassador. You use a celebrity in some way. You use momentum to keep building. Correct. Of course, different ways they use. It's not a celebrity celebrity in the sense ambassador, brand ambassador. but we do that do you think any creator can become a brand ambassador let's say Bhuvan Bum or Zaker or Samay like these guys are big in mass markets as well see I would say in that typical definition of a brand ambassador I don't think they will fit in why? because a brand ambassador has a mass appeal everybody knows from child to the old person most people know him know him or her right they are not that mass guys they have a very typical type of audience which they obviously design the content for which is the right way to do it so if I really do that mass thing then maybe I have to take more of them I mean obviously you have your view but I think I disagree with this and I'll tell you why because I'm a big numbers and I don't care who's a big number I enjoy seeing numbers if you actually look numbers conversions, visibility credibility I think today Asamehra Aynna, Hovindbam, Zakir Khan these are the big names I'm not talking about the rest of them I'm talking about 0 ,1, 1 % I'm talking about 0 ,1 % their numbers just purely point of view from visibility I think good celebrities like I think top 10 celebrities will be higher than 90 % celebrities are higher we have done that by the way like in terms of just numbers I don't know visibility, credibility and pride will come from the three basics I don't know that will be your feature and you know better I can give only outside view I was talking about visibility point of view because I I didn't check pride, credibility like I said visibility point of view like you said numbers I totally agree with you Bhuvan Bam or this type of celebrities of course they will give a lot of visibility see actually it's very tough to finally attribute numbers final output to anybody that's very tough because our advertising when we were doing it.

1:19:07So, you know your TRPs, your ratings, you know your views. And you can see whatever changes you can see. When we had done the World Cup, we saw that our customer is increasing. As the campaign picks up, you know your numbers are increasing. In some cases, you don't know. Because you have a metric is a very different way to test them. Because I think this metric is wrong. Because you should compare this creator versus a celebrity you signed both as brand ambassadors and then after that, how much you paid for distribution? And how much you paid for distribution? Then if you compare it to I2I, it makes sense.

1:19:53The problem is, they pay celebrities for their money. They pay for creators for content. and they have to make it and push it to themselves to give celebrity fees you have to pay the amount of money you have to pay 100 % more money to pay it to pay it that is true that is not the attribution until until I do high attribution maybe in few cases celebrity will win maybe in few cases creator will win but apple to apple until they are equal people are wrong what is it? these are two different things one is like you said the creator is he integrate something I'm going to talk face-wise let's say let's leave the content one has made a face you have made a celebrity and one has made a face and one has made a face and one has made a face and two has made an ad you have made a TV posted a poster everything that way then it's a six month window you should compare we have not done that you are right this people have not done it so we don't know.

1:20:57Right. In the US, there are a lot of people who know a difference. Oh, why? A lot of people are moving away from Hollywood actors to now before they were musicians. And musicians obviously is very expensive. So Hollywood actors are going to be creators. And creators are giving more money than Hollywood actors. Interesting. It's been in the US, UK. It's been a lot of gamers. Now, I don't know. Interesting. Maybe it's not. Nobody knows. Worth getting a short term. celebrity value zero you know this no I don't know about it oh so China which is creator commerce it's so big that the celebrity value will be zero so China like creator is God because he gives so many sales so he spends there whereas if you look at the UK then today actors are relevant creators are not so much in the US creators and actors are together in India there hasn't been tests in India so I tweet you and I we don't have numbers you're right so therefore we only you know we make scenario we figure out our own imagination attribution correct what is work marketing is a crazy tactic which is now for you in the past when you are coming back what is the most the most of us is tech influencers see they are a lot but not as celebrities but as content creators because we have not tested that like you said we have tested so what was happening actually we came from a very peculiar thing we were also fighting a perception that these are Indian brands they don't make good product they don't have capability now they have a representative to a company now the most bad things they stick on us.

1:22:56We may be different. We may have done much better. But the perception of the back is stuck. Now, what I had to do with the credibility that you talked about is how we build credibility. So, we launched a model Agni 2. okay so we decided we will only and only talk to tech enthusiasts and we will use these tech celebrities for giving them this thing product and they are evaluating and telling talking about it and it did so well before we launched Agni 1 I will not tell the numbers but But, the only one we sold in the first half of the year, the only one we sold in the first half of the year, the only two, its 50 % of the year, we sold in the first half of the year, and we went out of stock.

1:24:05And why? The product was differentiated. And the build-up was the entire tech community. Everything was about tech community. So basically it was an intersection between tech and Indianness. The pride of India and cutting edge tech. Nice. At that price point, at that price point, we had launched it at 20 ,000 rupees. At that price point, there was no tech product available for anyone. So it was beat. It was beat. It was the latest processor that had come at that point in time. The curved display was never before. never came before. So, product and price combination. Product, price and the whole influencer worked.

1:24:48Plus, we also put a flavor of Indianness saying that this is built by Indians etc. That whole combination worked well. Got it. And then you said that you were in Airtel and then Reliance. Tell me, these two companies are also on top. But you were in the Anilambani Reliance or Mokesh Amani Reliance? I was in Anilambani Reliance. okay so they were leaders at one time right and then atel was atel what is the difference between both of them the way of working culture actually it was a very different okay okay uh atel was very rapid growth. And the culture of that was like you would feel that you can achieve anything, you can do anything.

1:25:40You have the powerful feeling that you have the power to do whatever you want. And speed was working at a very high speed. on the way he worked. Realize was actually a lot more out. But what to me fascinating especially in Etel's story Etel, Sunil and Mithil are the most relevant when the other telecom players have become dinosaurs. They don't exist. And today he is competing and he is in the top two. He is in the top two. He has competed with Tata compete with Birla, one Ambani brother facet compete with international brands compete with them, South giant's hair cell and people compete with them and he just kept on growing growing growing, no touch on them, in fact there was this time when Jio got launched and everyone thought now telecom is finished, like it's just gonna be monopoly one sided, it was clear cut this was the sentiment business sentiment in fact talk market sentiment everything was going on there he is neck to neck even today and I think the core reason I will tell you that he is very empowering in his approach that his top leadership was highly empowered the circles were so empowered that you could take any decision as long as you are delivering on your plan you have a choice to do whatever you want but other companies don't know how to close in India in Indian companies this is one big drawback that you don't trust professionals authority you have best human capital hired high cost then you are giving it to use it basically it is a waste of money you should actually then hire a few managers and you ask them to do what you have to do.

1:27:49There's a quote which says one of the worst mistake entrepreneurs and CEOs make is they hire people smarter than them and then tell them what to do. Absolutely. That's right. That's right. You're so true actually. You're so true. But in Airtel it's very different. That's why they grow so much. There's another reason apart from this which you feel that Anilambani is Reliance to work and Airtel worked for it. Actually, one thing is very important. When you build this culture, you have clarity about what you have to achieve. For example, Airtel was very clear from day one. That profits have to come.

1:28:39Without profit, there is nothing. can't keep it. It's not that I just to acquire customers I will go crazy. And then see figure out later on how to do it, how to get profit. That was the focus from day one. That's what sailed them through. So for example the conversation was that you will see whatever cost you will see you will get 10 % opportunity. will get the same in it. It will give you a profit. It's a continuous process. Inefficiency will always be. And it will be weed out. Right? Revenue will remain the same. But when you work on the cost, it will give you profitability. So that focus on making sure that you will make a profitable enterprise.

1:29:29They will make a brand from profit. Brand is what? Your ability to charge premium is brand. The higher your ability to charge premium, better the brand. as simple as that so that is how they worked they worked on premium building the premium and also reducing the cost therefore they could sustain it for so long that I think is a key differentiator and I haven't seen this reliance what was there conversation because I'm assuming if you were from Airtel and joined and joined another company then you went to a senior position and it will be better conversations so what is a conversation what would they tell you Actually, to be honest, we were not so much freedom.

1:30:14I said, considerate what you did. No, it was like corporate decided that you have to do it. This is the price. And you have to sell it in the market.

1:30:28That's it. I mean, very simple. What happens from the thought? Empowerment. Empowerment in my the way I look at empowerment is there are three types of empowerment right number one is when you are the decision maker yourself okay you are empowered if you can take any decision you can take it you feel highly there is the highest level of empowerment second is that you can influence the decision directly I am the boss I have to take the decision but if you are in my team you can influence me and I change my decision because you put a good point so you are also empowered third is you are in the same room where the decision is being taken that is also empowerment because you get the context how did the decision lead what was the debate therefore the decision was what was the reason in that system you were neither decision maker nor were you influencer nor were you in the same room where the decision was being taken you could do a little bit in your own circle but that was very limited right so but in Airtel it's completely different you could be in any of these three situations at every point of time so you and this was not there in Reliant at all very limited at least comparatively very low comparatively low got it I've had almost all my questions answered thank you so much for doing this but one thing when I asked what is 6G 6G is a higher version of 5G what will happen at 6G actually 5G we will be able to change dramatically when will 6G come when will your bandwidth requirements will go up 5G was also meant for the same thing but I think because what does it do to you?

1:32:35It gives you higher speeds. Bandwidth you get to get speed you get faster. Which means you can do real time work. For example, you have to do a surgery. Remote surgery. If you have any latency, you can't do anything. So, the use cases are I have to do remote surgery. I have to sit at home and do surgery. Then you have to fly here and go there. If it's a half second lag, then something else will go there. so these are latency issues will go away completely plus like you in AI you have a lot of work your data sizes are become massive because the data generated from machine learning it is massive now you have to fetch it you need faster speeds higher bandwidth to do that therefore 6G, 7G these will all try to cater to these requirements and 6G came here no 6G is not available now it will come thank you so much thank you so much without a point so it's okay what do you want in life the limited requirements are full but it's access true what do you want to buy a little jet what do you want to buy a jet I'm sure you might you are young and you might want to do that at some point in time I have vanity dreams that's why you're successful no doubt vanity dreams kuch biniya kama padega agar if our business become very global if there's a need one day we'll have a jet if not coissants nek sabo it doesn't it doesn't make any difference thank you so much for watching this episode until the end now you have to do three things first of all subscribe to this channel because as much as you subscribe we will get better and valuable guests for you Number two, tell me in the comments what you liked in this episode so that we can repeat those mistakes and which guests you want to see in our podcast so that we can take them and give you more value.

1:34:42And number three, you must have to share this episode with someone else because one conversation can change someone's life. I'll see you next time. Until then, keep figuring out.

1:34:59Thank you.

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Timestamps:


(00:00) – Introduction
(02:14) – Childhood in Kashmir
(09:18) – The Importance of Integrity
(12:08) – The Fall of Mobile Brands in 2014
(20:21) – How Lava Survived
(26:26) – Why They Focused on Feature Phones
(30:02) – The Lowest Point
(40:55) – Bloatware in Phones
(53:32) – The Success Quadrant
(1:01:01) – IPL Branding
(1:07:19) – Key Factors in the R&D Ecosystem
(1:11:19) – Celebrity Endorsements
(1:14:40) – Celebrities Who Can Match Virat’s Brand Value
(1:16:01) – Content Creators as Brand Ambassadors
(1:24:56) – Work Culture at Reliance & Airtel
(1:28:10) – What Worked for Airtel
(1:31:56) – What 6G Is
(1:33:39) – BTS
(1:34:16) – Outro



In today’s episode, we have Sunil Raina, Managing Director of Lava International Limited, one of India’s most successful homegrown mobile brands. Lava was one of the fastest-growing brands under ₹10,000, with 156% YoY growth and ranked #2 fastest overall in India, with 96% YoY growth, in Q2 2025, as per Counterpoint Research. We discuss the cutthroat competition, global market pressure, and rapid technological changes. In the previous segment, he also explains how India can build world-class products, the role of customer trust, and why understanding Bharat is key to success. We discuss the future of Indian brands, the traits that keep leaders ahead, and what young entrepreneurs should focus on if they want to compete globally.

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Check this report to know more- https://www.counterpointresearch.com/insight/india-smartphone-market-q2-2025

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About Raj Shamani


Raj Shamani is an Entrepreneur at heart that explains his expertise in Business Content Creation & Public Speaking. He has delivered 200+ speeches in 26+ countries. Besides that, Raj is also an Angel Investor interested in crazy minds who are creating a sensation in the Fintech, FMCG, & passion economy space.



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