Dynamic and passionate, Sanjay Kothari marks the entrepreneurial enthusiasm of the family’s fourth generation in taking the venture to attain newer milestones.
Under his patronage, the company has taken the leap of faith from mining to manufacturing and from marketing to distribution as well as retail in the domain of gemstones, diamonds and jewellery.
In an exclusive interview with PeakLife, Sanjay Kothari shares insights on how the pandemic affected the diamond industry and how did he overcome the challenges.
KGK Group is one of the oldest businesses in India. Could you please elaborate on the journey and what all changes has the group incorporated in its functioning?
KGK Group has grown multifold from mining to manufacturing and from marketing to distribution. The company was founded in 1905, with a humble task of trading gemstones between Indian and Burma. With a global spread across 16 countries today, the group has evolved as one of the leaders in the Gems & Jewellery industry.
More than a century-old legacy & definite vision of KGK has resulted in its vertical standing of mines to brands covering the entire spectrum of mining, sourcing, manufacturing, and distributing coloured stones, diamonds and jewellery.
In 1962, Hong Kong became the global headquarter for KGK to boost the group’s diamond sales and marketing operations in the Far East, mainly in Hong Kong, Taiwan, Japan, China, Korea, and Thailand. Following our principle of steady growth, KGK further spread its wings into Shanghai, Shenzhen, Guangzhou, Beijing, Taipei in Greater China, Antwerp, Middle East and South Africa in EMEA regions and South East Asia.
After successful forays in Gemstone, Diamonds and Jewellery, KGK ventured into retail. The fine jewellery flagship brand Entice by KGK was launched by the group in Hong Kong. With boutiques in Hong Kong (1) and India (2), the luxury brand was developed entirely in-house.
Exploring the B2B2C concept, KGK has also collaborated with established online platforms like Amazon, Alibaba, Taobao, Live.com, James Allen, etc. to enhance its online sales. The in-house online trading platform KGK.cc is certainly a value add.
Having set a strong foothold across countries and some notable international acquisition over a decade has truly made KGK a global player.
Over the past decade, what kind of trend are you observing in terms of jewellery and other precious stones?
The preferences of consumers for Jewellery have changed immensely. One can see that designer or luxury jewellery is in great demand in the country. These days’ consumers prefer lightweight and affordable jewellery.
Also, with increasing global trends, jewellery has become a fashion accessory, something which simply would not sit locked up in single deposit boxes. To cater for these changes in preferences of customers, KGK is uniquely positioned and possesses a robust manufacturing and distribution system.
Our cutting-edge manufacturing technology enables us to supply efficaciously and offer customized products for our patrons. Some of our celebrated collections are Memoirs, Hues and Mirage.
2020 has been a year full of challenges, who/what was your motivation factor that kept you going?
The wave of COVID-19 hit the world leaving businesses in a vulnerable state. Like any other industry, the diamond sector was not an exception as it also witnessed an adverse fall in trade, stress on supply chains and reduced customer activity. In addition, there has been a notable change in the purchasing behaviour of the customers as expensive items are replaced by cost-effective & pocket-friendly items.
Besides, as the digital world has taken a lead in the recent past, we witness a sudden shift where customers are open to spending more time with their digital purchases. At KGK, we are working proactively towards increasing resilience and safeguarding productivity with a holistic approach. We have successfully created online platforms to break the streak.
For us, success is derived from the ability to lead, inspire, delegate, and empower, at a more fundamental level. Under the insightful guidance of my great grandfather and my father Mr Navrattan Kothari, we have evolved consistently.
Our legacy is known to conduct business following the highest principles of faith, respect, and integrity.
What are your expectations from 2021?
Post epidemic, businesses across the globe are poised to take action for the losses incurred. Each industry will endorse a unique approach to address its crisis scenario. We feel that self-isolation has allowed businesses to reflect back on management decisions, rethink and reshape the fundamentals.
We expect large scale businesses to adopt a similar strategy as ours which is to bear inevitable losses but keep the infrastructure intact and work aggressively towards resurrecting back to life with a fresh outlook.
KGK is focusing on diversifications and dimensions related to efficient online business models as emerging and maturing digital technologies. We are working proactively towards increasing resilience and safeguarding productivity with a holistic approach.
We have successfully created a platform where we showcase our products and sell profitably.
We are looking forward to the first leg of 2021 as a ray of hope.
When not working, what are the other passions you like to follow?
I am very fond of Indian Classical music and I listen to a lot of Indian musicians and vocalists. I also enjoy spending time ensconced in my music studio that I have set up at home.
Also, we are enriched with a family legacy of dealing with these extravagant materials which incessantly inspires me to create and craft magnificent miniatures absolutely as originals.
How would you define the word ‘Style’?
I think styling is all about your individuality. My style is largely about choosing wisely and dress appropriately prioritising comfort.
If you had to recommend 5 books that one must read what would they be?
I do not have any one particular favourite author or book as such, since I believe that every book has something different to offer. However, one of my favourite books is “The People’s Tycoon” by Steven Watts. This book taught me many lessons of leadership and inspired me to look into innovations through a new prism.
The book is based on the life of Sir Henry Ford, the founder of the Ford Motor Company. The story of a Michigan farm boy to the richest man in America is very inspiring and seems almost a myth.
Covering both his attributes as well as his faults, it is extremely interesting to view consumerism, a concept we today look at with distaste, through the eyes of those who saw it as a promise of good life and a levelling between the classes.
What advice would you like to give to budding entrepreneurs?
Nothing succeeds like success and in order to be successful one has to really work very hard. I truly believe that hard work fuelled by passion & aspiration has no substitute.
If you remain focused and work the hardest towards your goal, nothing can defeat you. Alongside it is essential to keep your fundamentals intact. Nothing comes easy but one has to make it happen by subscribing to self-acquisition.
