Frontier Biscuit Factory: Satisfying The Taste Buds For 102 Years

Set up in 1921 in Hoti Mardan (now in West Pakistan) whose legacy was carried forward in 1974 by Munshi Ram Sethji in Delhi’s Kasab Pura, Frontier Biscuit Factory has been making delicious biscuits and other confectionary items which attracts a lot of people. Speaking to Opportunity India, Rajan Sethi, Director, Frontier Biscuit Factory Pvt Ltd. said that in the early days, the store had a bakery in the back and a retail counter up in the front. We baked our products and customers’ who used to bring their wheat flour, sugar and ghee. We would bake it for them in bulk. Customers would generally store those biscuits in big tin containers, and they were usually called ‘Peepaywaley biscuits.’ Here are some excerpts from the conversation:

What challenges did you face in running this business?

Sethi: Leaving everything behind and setting up a bakery again in Sadar Bazaar after partition took a lot of work. The Government’s decision to move bakeries away from residential colonies in the early '70s and then to set up a factory in the Lawrence Road Industrial area was a daunting task but a milestone in our journey and growth.

Another critical step was establishing systems and procedures, replicating a small bakery process in an industrial format, and running the unit from 9 am to 6 pm. It was very uncommon and unheard of in the bakery trade.

Maida (wheat flour) quota or rationing of maida in the 80s, when a very limited or fixed quantity of maida used to be made available for production, was another challenge faced.

How does this business model work?

Sethi: My grandfather Munshi Ram SethiJi was a quick learner and of a curious nature. Whenever he had time, he visited markets of old Delhi like Chawri Bazaar, Nai Sarak, Khari Baoli and observed people setting up their shops and displays. He would often chat with them and try to learn a bit about their trade and business.

He considered Bata as his role model. He would say everyone requires shoes, in the same way everyone consumes biscuits, so like Bata, Frontier should also have its exclusive stores everywhere. So, when our first factory started in Lawrence Road, we had excess production, and he then decided to open Frontier's second outlet in Rajouri Garden in the 70s. Then, he opened more Frontier outlets at various places in Delhi one by one.

Then, gradually, we started receiving customer offers for the Frontier franchise. Due to their positive response and high demand, we opened the first authorized dealer of Frontier Outlet in the 90s. All Frontier outlets are exclusive, and only Frontier products are sold at those outlets.

This is a very easy business model for us and our dealers. Frontier outlet gets set up at very little cost, investment is also less, there is no expense like franchise fee, brand fee, marketing fee. We offer healthy margins and commission on sales. Operational costs are very low and operational timings are also very convenient. They have to concentrate only on sales. All other things like marketing support, POS software support, staff training, FOR delivery, stationery, packaging material, uniform is all provided by the company free of cost.

What is the lesson learnt so far in this journey?

Sethi: Chase quality and success follows, the customer is king and finally, you must have broad vision and positive thinking.

I would like to know about the new plans you are working on.

Sethi: At present the company has about 80 outlets, and our target is to increase it to 100 outlets in this financial year. In the last 6 months we've also diversified and along with biscuits introduce various allied products like Indian Savory, Gourmet Tea and Coffee, Mouth freshner and Digestives, Snacking like Makahan, Ragi Chips, Beet Root chips. We are targeting markets of Delhi-NCR, Punjab, Haryana, Tri City, Rajasthan, Gujrat, Uttar Pradesh.

This year we have also launched a new brand and business model called 'Fronbis', Biscuits & More, by Frontier Biscuit, in Punjabi Bagh, Delhi. This store caters to the young through this store along with the regular Frontier products. We also provide fresh bakery and snacking products like fresh breads, cakes, pastries, sandwiches, pizzas along with hot and cold beverages like coffee, tea, frape, and ice-tea to our esteemed customers. This is our first store of this kind and the company is planning to open more such stores across India in the future.

Recently, we've also been awarded "The Most Credible Biscuit Brand" during August, 2022 in Singapore. 

Anything you would like to advise to young entrepreneurs.

Sethi: Success cannot be achieved overnight, there are no shortcuts. Every successful entrepreneur has had their struggles and faced many challenge. One must have patience, eagerness to learn, should not shy away from working hard. But most importantly don’t lose hope or be discouraged if you don't get immediate success, keep trying until you achieve your goal.

How do you complete with other brands in this sector?

Sethi:  Our mission statement says we're committed to always deliver quality products and services to our customers at the right place, time and price by a motivated, disciplined and trained Team. We never compromise on the quality of the product and offer our high-quality products to the customer at a very competitive price.

Despite being a handcrafted product, our recipes and making process have been the same for over 100 years. Thanks to technology, we have also modernised and upgraded our manufacturing units, but even today, biscuits are cut or shaped by hands. For us, every single piece of biscuit is like a precious jewel. This is our strength, and it differentiates us from others.