VSS Mani, Just Dial

Starting with just Rs 50k, VSS Mani has built a business with an annual turnover of Rs 100 crore and a valuation in excess of Rs 500 crore Just Dial is a case of getting it right the second time around. Not giving up after having to wind up Ask Me, VSS has taken his phone-based business model to print, online and SMS He is now busy executing an international rollout
In 1989, he started a company called Ask Me. But it failed in 1992 Then in 1996 he set up Just Dial with only 50k capital in hand From 4 at the start, Just Dial had 2,850 employees by 2007 Nearly 26,000 people visited Just Dial website everyday (2007)

Quotes
It was 99% hard work and 1% could have been luck that too because you stay put, you continue. They say that every dog has his day. So if it is one of those days that you make big money with big opportunities coming your way, otherwise 99% is hard work. I feel you got to be passionate about what you do. You got to keep thinking. You have to take action and not just think. Many people just think and dont take action. If they take action, they dont analyse it, and they dont change their path. I am definite about the field. If one particular strategy does not work, I switch over. I am not like I have thought about it, how will it not work.

#Take 1 : The man who dialed numbers

Idea ( Blessing in Disguise)
Mr. VSS Mani is a Tamil Brahmin and a first generation entrepreneur.
42-year-old VSS Mani, has a very unlikely role model Shah Rukh Khan and lives by the stars credo of enjoying work. Mani started his career in 1985 in Delhi at the age of 20 as a salesman with United Database, a directory service of businesses and services listings. While selling the printed directory, Mani realized the potential of starting a similar service, but one that used the telephone as the medium. In 1989, he got some like-minded people to join him and started a company called Ask Me.
I look up to actor Shah Rukh Khan for inspiration,

Like Shah Rukh, I too moved to Mumbai from Delhi with a vision to make it big,

Started career as salesman at the age of 20 with United Database

#Take 2 : Never give up even if you fail

Mani was a part of the trio that started the now all-but-defunct Delhi-based 'Ask Me' Service. with an investment of Rs 25 lakh (the money provided by his partners). ). However, by 1991, the Indian economy was going through a downturn and having spread too thin, the companys growth took a beating Mani eventually walked out in 1992 He took to a Weeding Planner business which generated a turnover of Rs. 25 lacs in 1995-96, but he discontinued it after two years He always held onto his dream of starting a service where people could receive information 24X7 using telephone One of the invaluable lessons he was taught during his experience at Ask Me was that the phone number for this service would simply have to be easiest one to remember. Enter 8888888 Today the number is no longer seven eights, but 39999999 and here's the best part - irrespective of which city in the country you are calling from, the number remains the same

"We were much ahead of the times. Those were the days when people had to wait years to get phone connections. The idea was good and well-appreciated, but we didn't see any financial gains from it"

Learned from the mistakes of AskMe and tried not to make the same ones at JustDial so JustDial was started in a humble way

#Take 3 : Where there is a Will there is a Way

Mani came from a middle class family, where if there is no (other) family income, one could set back to zero and sometimes even minus He needed more capital. From 1992 to 1996, he worked on different ideas to survive, and to save some money to start Just Dial. This included a concept called Wedding Planner, which was in tie-up with The Times of India He just used to dream of numbers and millions of people using his services In 1996, Mani landed in Mumbai with a princely sum of Rs 50,000 to find a home and an office space. Both weren't easy to find Mani soon after succeeded in renting a 25-square feet office in Mumbai's financial district, Nariman Point, for Rs 5000 a month In those days, a phone line used to cost Rs 15,000 under OYT or else one had to wait for a few years. He did not have Rs 15,000 for a phone. He applied by paying Rs 3k, and actually came a year later! Spreading too fast was our undoing at Askme. I did not want to repeat it here Finally, he started Just Dial, with number 8888 8888, some borrowed furniture, rented Pieces and with a capital of Rs 50,000!

#Take 4 :Making the Idea Work & Growing Locally

One of its kind IDEA
He dreamt of starting a service where people could receive information 24X7 using the telephone. He also realized the importance of an easy to recall/vanity number. finally managed to get his dream number 8888888. There were other hurdles: getting an easy-to-use software for the telephone operators so that the required information could be delivered in the shortest possible time Training the operators was the next difficult task. We asked our advertisers to give the key words and that made the task simpler, says Mani, who started by charging Rs 900 a year from advertisers. It found favor with consumers from day one

Efforts to push Local Growth

Making the service efficient was his focus. His conservative approach helped the company stay afloat during the tech meltdown in 2000 Mani focused on creating unique packages for advertisers. Under each category, we auctioned first to be read out numbers. This gave advertisers an edge and we could charge a premium.

Putting back the money in the business, he slowly began to expand to other cities such as Delhi, Bangalore, Ahmedabad, Chennai and Hyderabad.

In 2001, Mani did the unthinkable. He asked his brothers to look after the business and took a sabbatical. I had worked non-stop for years. I needed a break; to spend time with my wife and daughter; to catch up on my reading

#Take 5 : The Sweet Success

Beware of Naysayers End Result Just Dial today
Boasting a turnover of Rs 100 crore, a database of 2 million business records and 10 million regular users, along with 2700 employees across 12 Indian cities, Just Dial has come a long way The tele-information provider, receives on an average more than three million enquiries per month nationwide Throughout the journey, there have been naysayers. The second time Mr. Mani re-started JustDial, everyone told him that it was a bad idea to re-start a failed business. When JustDial launched the web-based version, people told them that they were not a tech company, and would fail in this segment. Recently, Just Dial took an online avatar. But Mani say's he's already getting page views of 220,000 per day, which he expects to take up to 1 million by the year end. (2009)

FUNDA FOR SUCCESS

A business requires continuous small innovations and an evolving strategy to yield big returns

#Take 6 : Taking it to the Global Level

In 2004, a print version of the service was launched. With the Internet proving its viability, Mani started work on building an online phone number search site. I adopted Googles model of sponsored advertisements, he says. There were many takers. A text message service was launched in 2007. For a company that never sought loans, venture funding too came on its own.

In October 2006, Hong Kongbased private equity firm, SAIF Partners, invested Rs 50 crore in the business. They tried our service, loved the idea and walked into our office to invest, says Mani with pride. In March 2007, Tiger Global, a US hedge fund, invested Rs 77 crore in Just Dial. I will be using it for setting up business in the US. With a presence in 42 cities, Mani thinks it is time to go global. No one can provide our kind of service, he says confidently

#Take 7 : The Journey so Far & the Future

No Cakewalk
He encountered challenges at every step. But he had evolved a game plan to overcome these challenges

Future Aim

So far it has been wonderful; I loved

every bit of challenge the market threw from time to time. This exciting journey had no dearth of tests and trials, problems and solutions

The major issues were raising capital and convincing the advertisers about the feasibility of our idea. We surmounted them through intelligent pricing strategies and innovative ideas,

His ambition is to take the company to new heights in the next five years. Leaving a global footprint, and becoming a world leader in local search services, is his ultimate aim

His advice to Entrepreneurs

First ask yourself why you want to become an entrepreneur? If you have the fire in your belly, and a bright new idea, please go ahead, or else revisit your decision. Being an entrepreneur is all about belief, passion, perseverance and hard work. There is no substitute to passionate desire, will-power and sustained hard work

It was 99% hard work and 1% could have been luck that too because you stay put, you continue. They say that every dog has his day. So if it is one of those days that you make big money with big opportunities coming your way, otherwise 99% is hard work.

I feel you got to be passionate about what you do. You got to keep thinking. You have to take action and not just think. Many people just think and dont take action. If they take action, they dont analyze it, and they dont change their path.