How Adani Total Gas Makes Money? | Business Model Of Adani Total Gas
🔍InsightsBeing a business person has become somewhat of a trend. Newer businesses are emerging fast. And this growth in the chessboard of business only leads to more competition. In this arena of business tycoons, if a company rises and flourishes, it's only because of its sound marketing strategies and the heads of the companies and the employees giving their best shot each day. Not every industry starts big. Not every person starts rich. It is the sheer will and perseverance that let's business rise.
In this very competitive world, Adani Total Gas is a part of the Adani Group of companies that has set a spot for itself. With an intricate system of gas distribution, this company is quickly rising.
About Adani Total Gas
Business Model Of Adani Total Gas
What is unique in the business model of Adani Total Gas?
How does Adani Total Gas make money?
Conclusion
FAQs
About Adani Total Gas
Adani Total Gas is an subsidiary of the Adani Group of companies, with Gautam Adani as its owner. It dates back its foundation to 2004. Its function is to supply Natural Gas. It supplies natural gas in various forms such-like Compressed Natural Gas (CNG) and also as Piped Natural Gas (PNG). It is a non-polluting alternative energy source and is for the great benefit of our country.
Areas of operation
At first, it started operating in Ahmedabad, the chief location of its headquarters. At present, it supplies natural gas to four different places. These places include Ahmedabad along with Faridabad, Baroda, and Khurja. Along with Indian Oil Corporation Ltd, it functions at several other locations too. Currently, Adani Total Gas has about 84 CNG stations stretched across 7800+ km. They have stretched their business across 71 districts wherein they serve about 8% of the population.
Key products and services
Adani Total Gas deals in fuels that do not have any harmful impact on the environment. A quick view of its chief products and services are:
1. City Gas Distribution: CGD is the primary goal of Adani total Gas. It is the network in which CNG and PNG Â distribution carry out within the cities where Adani Total Gas functions. At present, due to high pollution grades, changing our fuel is necessary.
2. Compressed Natural Gas: CNG Â distribution is functioning in various locations. At present, the number of vehicles is increasing at striking rates. Fossil fuels are not only creating pollution but also depleting rapidly. CNG can be an environmentally friendly and non-depleting alternative to this.
3. Piped Natural Gas: PNG is Natural gas in piped form. Its distribution is to both industries as well as households. PNG is necessary for air conditioning, refrigeration, heating, boiling of water, and cooking, etc. This gas is also utilized in industries for its various operations to take place. In the commercial sector, the transfer of PNG is also done to various hospitals, hotels, fast food joints, offices, etc.
4. Online billing operations: to catch up with the present day, simple billing operations for gas are now available. Self-billing, billing on WhatsApp, UPI, online transfer all are a part of this.
Target Audience
The target people include those who own factories, industries, malls, restaurants, offices, and also the common Indian household which at present use PNG. PNG, which is much safer than LPG, is now gaining popularity. It is essential to perform many functions. Hence people have started preferring it. Also, the target is people engaged in the transport sector.
Business Model Of Adani Total Gas
The business model of Adani total gas is a part of the business model of the Adani Groups. It's a strategic and well-crafted business model. It focuses on expanding the business as well as for the reduction of usage of fossil fuels and the less safe fuels. This business model may serve as an inspiration to other industries which have just started or are planning to start.
At present, Adani Total Gas holds the authorization of 38 GAs. Hence, we can break down its business structures into two parts:
- AGL Licenses
- Association with IOC
While AGL Licenses constitute about 100% of its business units, IOC and Adani Total Gas hold their association with 50% share each.
With its customer-centric approach, Adani Total Gas has also stepped ahead in the field of automation and digitization. Some of its various initiatives in this field include POS payment methods, payment of gas bills through WhatsApp, cashback, and others. All these initiatives have helped Adani Total Gas broaden its approach.
With every new setback, Adani Total Gas Limited raises the bar of becoming an exemplary business model for others. Unlike others, it mainly focuses on customer satisfaction and providing the best service to the customers. It also subtly focuses on the business development and expansion of the territory of business to different demanding sectors.
What is unique in the business model of Adani Total Gas?
Their business model is unique as Adani Total Gas has set out to be the country's largest producer and supplier of CNG (compressed natural gas) and Piped Natural Gas. To achieve this goal, the company's sound strategy and an expansion policy find their applications. People are getting to know about the perks of using Natural gas instead of other fossil fuels. It leads to more profit-making of Adani Total Gas.
In its business model, the key features can are the following points, which have led to the rise of Adani Total Gas :
1. Focus on Quality of Service: Adani Total Gas always keeps a strict glance on the topmost quality of the product and keeps it a record, that the quality must not degrade.
2. Expanding Business Territories: The brand never settles down with just one business in hand but takes prior steps to expand the business in whichever markets it is necessary for.
3. Buying shares: The company invests a lot in buying shares from the same group of companies. It further helps them make money. The real perks of being a conglomerate become visible here. It is because all the investment takes place within the group. Also, the profit of any other group company may find its utilization to get rid of debt possessed by Adani Total Gas.
3. Eco-friendly approach: As Adani Total Gas deals in Natural Gas, it's an eco-friendly approach and lets people know how fossil fuels are depleting.
Adani Total Gas has stated itself as one of the most effective and efficient establishments in planning strategies to conquer new business markets and provide the best service regardless of any complexities.
How does Adani Total Gas make money?
As we can easily see, the business model of Adani Total Gas is a well-crafted strategy for the extraction of profit. It makes its money by the distribution of natural gas, both in compressed and piped forms to various industrial, domestic, and corporate sectors. It further wisely used its profit to invest within its group of companies. This strategy makes the business model of Adani Total Gas stand out and inspires others.
Adani Total Gas has established proper customer support through the B2C business model, by which it gets its revenue from the customers directly. It also ensures one of the best business models by which it guarantees the best service at an affordable price. Adani Total Gas has also gained a lot through the speeding of the oil-based service and providing them door to door, without any hesitance. This has resulted in fastening the number of consumers within a limited time.
The company started with a scratch. Only because of its sound business model, it is now planning to become the largest producer and distributor of Natural Gas in our country. Its partnerships and help from its sister companies help Adani Total Gas to expand and to gain.
Conclusion
In the monopolistic world of business, Adani Total Gas has already established itself. With strategic planning and the judicious use of techniques, the company is not only expanding. It is also soon to become the number one producer and distributor of natural gas in our country.
We should remember that nothing starts easy, but only with the power of will and intelligent planning, a company strives and grows. The distribution network, the helping sister group of companies, and the founders are the pillars who made Adani Total Gas what it is now.
FAQs
What Adani Total Gas do?
Adani Total Gas Limited is Natural gas distribution company that monitors pipeline systems to ensure safe and reliable delivery of natural gas.
Who is the owner of Adani Total Gas?
Gautam Adani is the owner of Adani Total Gas.
What is the revenue of Adani Total Gas?
The revenue of Adani Total Gas is 584.5 crore INR.
Who is the CEO of Adani Total Gas?
Suresh Mangalani is the CEO of Adani Total Gas.
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