Mr. Sandeep Ahuja

“A thing of beauty is a joy forever” is that one belief which has brings VLCC to such fame, that it requires no introduction. VLCC, India’s largest wellness brand was founded by Ms. Vandana Luthra in 1989 and since then they have evolved from initial slimming and beauty player to pioneers in health, beauty, fitness and wellness. VLCC vision itself “to become and seen as the leading India MNC providing advance effective slimming and beauty solutions that transforms the physical and emotional well- being of the urban consumer. VLCC has set an outstanding example of innovations, enterprise and retailing expertise that is fast developing into operations. It stores can now be found in various part in India, and to carpet in Pan India they have decided to make it via- franchising, for which it has partnered with Franchise Mart.

In a Q A session with Franchise Today, MD, VLCC Health Care ltd and CEO, VLCC International, Mr. Sandeep Ahuja. Mr. Ahuja has a wide and varied experience of over two decades spans marketing, communication strategy development, media relations and brand communications

Q. Shed some light on the origin, growth and success of “VLCC”?

VLCC is a culmination of the vision of its Founder Mentor Mrs. Vandana Luthra who wanted to make health and beauty accessible to all segments of society. Today the VLCC Group is the dominant player in three related businesses in the ‘wellness’ domain: slimming, skin hair services; education training institutes and manufacturing retailing of personal care products. VLCC is widely recognized for its scientific weight loss solutions and its therapeutic approach to beauty treatments. Starting with one center in Safdarganj, New Delhi in 1989. Having served over 10 million customers since its inception, VLCC today has an employee base of nearly 7,000 majority of whom are experienced professionals including doctors, nutritionists, physiotherapists, cosmetologists, psychologists and the like.

VLCC, a ‘Super brand’, serves as an umbrella brand for all its affiliated businesses including:

VLCC Personal Care,
VLCC Day Spa,
VLCC Institute of Beauty and Nutrition
VLCC Pritikin Longevity Center Day Spa.

Q. Which are the development phases VLCC has passed from its origin to its growth?

When we opened the first VLC Transformation Centre in Safdaurjung Enclave, New Delhi, in 1989, the health and beauty market was very nascent, and the concept of combining fitness and beauty as an approach to holistic wellness, was a completely new paradigm. VLCC was conceptualized in an age when customers had only two options -one, the mom-and-pop neighborhoods parlors that provided the usual services and the other, the five star saloons. Today VLCC has evolved as a reference point for the wellness industry in India, our RD is the best in the industry and all our weight loss and beauty treatments are research-based, combining scientific excellence with traditional therapeutic approach. This has contributed significantly to VLCC’s rise to the position of market leader across the various categories it operates in. The group has been instrumental in ‘corporatizing’ the hitherto unorganized slimming and beauty industry. Having served over 10 million customers since inception, VLCC today has brand recall that is gratifyingly high. And then to have taken VLCC beyond the shores of India and made it a dominant player in countries as diverse as UAE, Bangladesh is also a high point. In 2001 VLCC ventured into the products business, to leverage the group’s strong research capability to manufacture over 100 solution-oriented skin-cares, hair-care and body care products. VLCC high end skin and hair care products are available at the entire modern Retail mart and all retail outlets of VLCC in more than 9 countries.

Q. How did you come up with the idea of wellness and beauty brand? What was your inspiration?

As I mentioned earlier VLCC is the culmination of vision of its Founder Mentor, Mrs Vandana Luthra After her education in nutrition and cosmetology from Germany, she was keen to translate her learning into something worthwhile. Greatly influenced by her ideas and inspired her dream and vision for the business of beauty and wellness. VLCC is a manifestation of her vision to make health and beauty accessible to all segments of society, and even today

Q. What inspired “VLCC” to take franchise route to expand its business?

VLCC was started with a vision to make health and beauty accessible to everyone. We adopted the Franchise model in 2007 and in keeping with our mission of making Health and wellness accessible to all, Franchising has helped us reach the tier 2 and tier 3 cities in relatively shorter period of time. Through our franchisees we have be able to provide our services now to the remote parts of India.

Q. Which franchise module works along with your brand and how does it work?

We have well defined franchise models. Where we have different investment options as well as various business format options available to suit the varied profile of investors and differing business potentials across different cities and towns of India. The franchise is granted for a 5 year period and it can thereafter be renewed .
Q. How many outlets do you have presently? What’s your approach for market presence in India?

We have 241 outlets in 105 cities across 8 countries. There is growing demand of Beauty and wellness across the globe, realizing the need we will continue to expand geographically to reach to the people, our presence in the market can be through the company owned outlets or the franchise route. In India though we plan to grow and capture the market share chiefly through the franchise route, and plan to add another 40 to 50 franchisee outlets this fiscal.

Q. What kind of training and support a franchisee would get when partnering with you?

Our franchisee centers are our business partners. They are the people who carry forward the vision of VLCC. And as such, therefore, all parameters of service delivery standards at a franchisee operated center are exactly the same as at a company operated outlet. To this end we help our business partners set up the business from buying equipment to hiring of professionals to training, followed up by close monitoring to ensure efficient delivery of services. Our franchise model is based on the hub and spoke concept. This helps us to control and standardize service delivery. VLCC has set up stringent quality benchmarks for franchisees to maintain high quality standards, which are the same as those followed in our company-managed centers. Regular audit and training also helps the franchise in delivering the promised services.

Q. Why have you partnered with Franchise Mart for penetrating your business through franchising?

We want our Brand to be handled by the right kind of people; people who understand the sensitivities and sensibilities involved in a franchisor – franchisee
relationship, which is instrumental in forming right expectations on part of both parties and is so crucial for the future of the Brand per se. Moreover we wanted to be visible at the right place and Franchise Today, we truly believe is read by right kind of people who are looking at acquiring a good business opportunity, hence we have partnered with Franchise Mart to reach to prospective business

Q. What are the future plans of your brand “VLCC”?

VLCC currently has a presence of 241 locations across over 105 cities in India, UAE, Oman, Bahrain, Qatar, Nepal, Srilanka and Bangladesh. Over the next two years we expect to be present in all the GCC countries, including Kuwait and the Kingdom of Saudi Arabia, as also some other countries in the MENA region, including Egypt. On the domestic front we will continue our geographic penetration, largely through the franchisee route (currently over 90% of our VLCC Centers are company-owned and managed). We plan to add another 40 to 50 outlets through franchise route in this fiscal, across two formats – ie VLCC Slimming, Beauty and Fitness Centers or VLCC Beauty Salons. For the latter, we shall go the conversion route as well and we are inviting the existing salon owners also to partner with us. We will also be expanding our chain of day spas and will also be moving very soon into the Medi-Spa space.

The VLCC Personal Care Line consists of over 100 skin-care, hair-care and body-care products retailed from nearly 25,000 outlets through over 300 distributors, ranging from anti-acne and fairness creams, moisturizers, face packs, massage oils to face washes, shampoos and conditioners. Our personal care products are available in more than 9 countries of the world. We have recently launched Henna based hair colour and very soon mass range of skin and hair care products will be launched. Similarly VLCC institute of Beauty Nutrition is Asia’s largest network of academies providing vocational training in the Nutrition and Beauty segment.VLCC Institutes have spread across 51 campuses in 39 cities of the country, through which over 40,000 students have passed out till date. Very soon we will be opening VLCC institute in Srilanka UAE. The Institute plays a vital role in providing trained resource to the beauty wellness industry which faces perennial resource crunch.