Innovation

"Innovation is the key. Only those who have the agility to change the market and innovate quickly and differently will survive."- Robert T. Kiyosaki

Craft Aqueduct is a business owned by two partners, working on making the world a better place for culture-rich artisans and their customers. They provide them the opportunity to make craft products sustainably, using environmentally friendly raw materials locally available from the comfort of their hometowns.

Craft Aqueduct worked with zero employees and innovated a channel for artisans to work on craft products that can be sold directly to urban customers through the Omnichannel, multiple channels trying to maintain customer experience. Some of the media used by them are online selling, retail, and corporate selling. They also want to provide their customers with new and unique designs.

With the help of freelance employees who work on different designs and craft products, they train the artisans for better quality management and supervision of the products sold in the market. Besides these, they have excellent transportation facilities to provide raw materials timely to the artisans in the country's remote locations.

The company's primary focus is making the artisans independent by making their technology friendly. The first step of training includes making them use technologies like WhatsApp, Facebook, and Zoom to make the process of training and communicating with artisans easier and make them aware of the market situations.

This innovation not only bought a change in the lives of artisans by helping them work from the comfort of their hometown with training and development but also helped urban customers fetch good quality products at better pricing.

Inspiration

Mr. Amit Malhotra and Mr. Anurag Rana found their inspiration in the struggle of the artisans to produce products according to the market demand and the quality required by the urban household.

"Additionally, due to an increase in middlemen, artisans could not receive full payment for their labor because the middlemen took most of the money during the selling process. Due to middlemen, there was a significant level of product price inflation that impacted the consumers", shared Mr. Malhotra. They not only wanted to work for the art and culture of the country but also for the customers and artists of the craft. They aimed to stop the intermediaries cycle, give artisans the amount they deserve, and help customers recognize the culture and the prominent makers of that art.

Other than working for the financial gaps, market demand gaps were the significant factors that motivated the owners to start this business.

Overall impact

Crafts Aqueduct LLP has impacted the lives of artisans throughout the country. They identify artisans from different corners of the country and assist them in selling their products. They follow the D2C channel, wherein the artisan sells the product directly to the customer without any middleman. It also follows omnichannel, which allows customers to have high-quality experiences between the contact channels. They also ensure that the price remains constant for the customers despite the medium used.

Previously, they used to help artisans by providing market linkages. Still, later they realized that the middle layers absorbed a considerable portion of profits, and the artisans should have been paid more. So, they cut down the intermediaries, which increased earnings for the artisans and reduced the customers' costs. They helped artisans to sell their products to customers through fairs set up by them.

It was observed that the artisans around the country made traditional products that may need to be more lucrative to urban customers. To solve this issue, they hire freelancers on contracts to teach these artisans new forms of their products and more contemporary designs. The team contacts the artisans and helps them to understand the functioning of social media platforms such as Facebook, WhatsApp, and Zoom, which they use to teach the artisans about the advancement of their products through locally available materials. This allows the artisans to explore new markets for their products.

Overall, Crafts Aqueduct LLP has impacted artisans' lives by selling their products at the price they deserve for their hard work, improving their livelihood, and helping them progress. They also allow the customers to get better quality products that are safe to use and cheaper and assist in buying them.

Business benefit

Having a business model that consists of hiring a team on a contractual basis, Crafts Aqueduct LLP saves the costs of having full-time employees. With their operating model, they do not have extra expenses due to intermediaries and multiple layers between the artisans and their customers.

The company believes in Ethical Profits in which the artisans, who are the most critical stakeholders, get up to 65-70% of the revenue earned, 10% of it is absorbed by Transportation Costs, and the rest 25% is the profits made by the company.

They also train the artisans to use locally available raw materials that are pure and cheaper. This also allows the artisans to procure raw materials for their products easily. It indirectly helps the raw materials industry grow.

The company’s primary focus is finding artisans and their products, assisting them in finding customers and ensuring they get adequately paid for their products. They are also focused on creating a sustainable ecosystem that will improve the quality of life for all its stakeholders.

Social and environmental benefit

Their foundation – Mon Ami Foundation is one of the few partners of Craft mark, which provides authentication of Handmade products in India through its sector-wide standards and norms.

The company ensures that artisans are paid ethical money for their hard work. It also tests all the artisan products and proceeds with only those that have passed the quality check. For example, if cotton is used for a product, they ensure it is 100% cotton. They also follow chemical-free dying as per European Standards, and the materials and products produced are safe to use and do not carry any side effects. Raw materials, such as grass and cotton, are mostly procured locally that are fully degradable, causing no harm to the environment.

They support society by enhancing the skills and livelihood of artisans they work with and guiding them towards making their crafts more sustainable for the environment. They work on bridging the gap between producers and consumers, thus creating a socially responsible ecosystem.

Interview

Amit Malhotra, Founder