The first discount grocery store in Christchurch, BargainMe offers a variety of short-dated or end-of-line products at an affordable price, reducing food waste by giving these products a second life.
A venture by Shawn Thomas, a well-known face in the Indian community, BargainMe was launched seven months ago and has been rising in popularity after a slow start due to the Omicron variant.
His father, Thomas Shaji Kurian, is also well-known in Christchurch's Indian diaspora and a successful businessman with multiple ventures, including the ever-popular Bikanerwala.
While there are similar discount stores in the North Island, what made Thomas come up with the idea for the first such store in South Island?
"The idea came when I saw a few suppliers chucking away items that were either close to date or had minor damage. These goods were going to landfills. So, we thought these products could have a second life somewhere, especially with the current economic climate and rising inflation when families find it difficult to put food on the table.
"Initially, we started with a focus on bulk foods like big, large cans of baked beans and canned fruit. We were targeting larger families, church groups, and community groups. We also had many schools coming in to buy our products. Over the months, we have diversified with a wider range of products. When we started, we focused more on getting good deals for people. But now we're thinking of customer experience. Creating a model where people feel that they should visit us every week. At the moment, a place like this maybe once a month, but we want to create a weekly experience."
Thomas is also an accomplished dancer, having taught Bollywood dance and led a performing dance group that has participated in many events all over New Zealand. When asked what made him jump to hardcore business, he shares, "I always wanted to do something through which I could reach everyone. This business offered me an opportunity to reach the general public, where I could use all my marketing and social media skills. Because of my design and creative background, I repackage and make these products look good. We also advertise it nicely. So, it helps me create a good experience for customers."
BargainMe is not just about clearance but about convenience as well. The store stocks regular daily essential items like milk, bread, eggs, etc. which are not necessarily short-dated products.
The immediate focus for Thomas is to consolidate the business, evolve the customer experience and eventually expand by franchising.
"By franchising, we can help other people also have their own and feel comfortable running the business. It might be a bit riskier than a dairy business, but it is a safer model with higher turnover."
With no prior experience in business, Thomas had to go through a learning curve. "I had to learn so much very quickly. I did not know any of the terms that suppliers and manufacturers use. I learned how to order, receive and shelf it. And regarding cash flow and financial aspects, it was a challenge for me despite all the systems in place. So, though I had a vision, all the practical stuff had to be learnt at the job. It was a blessing to have dad and family support, who were always encouraging and helped me out when needed.
"It has been heartening to see the change we have been able to make. According to our estimate, we have saved around five tons of waste that would have gone to landfill. But we have repackaged and given a second life to these products."
Thomas wants to be a role model for the young entrepreneurs. I want to create a model that is dynamic and creates win-win situation for all the stakeholders in the chain.
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