Why Indians love Old Monk? Read this inspiring success story

As the dark bottle is opened you are hit by a strong aroma that takes you to your ‘happy’ zone. Whether you are at your home or a bar, enjoying one or two glasses of this liquid is an extremely satisfying experience. Even those Indians who are abroad feeling nostalgic about the stocky but beautiful bottle with the logo of a jolly old mendicant. Yes, we are talking about the one and only Old Monk!

India has seen several successful businesses that have made their presence felt, not only in India but also globally. Their success stories serve as an inspiration to those who want to be an entrepreneur. Many times we hear about a small business closing down for one reason or the other. But what is the key to business success for a small business?

Many people think that there is a magic shortcut to entrepreneurial success when the secret is right in front of their faces-hard work. This is evident if we study the careers of all great businessmen-from JRD Tata to Jeff Bezos.

We like to read a ‘success story of business’ since they bring hope and upliftment to our lives. In this article, we will tell you the business success story of how Old Monk became the undisputed king of liquor brands in India. We hope that this story will help you in your start-up journey and keep you motivated.

India drinks a massive amount of dark rum-around 400 million litres, which is more than any country in the world. A survey has revealed that a vast number of consumers prefer Old Monk over other brands.

Do you want to know a bit about Old Monk’s history?

In 1885, Scottish entrepreneur Edward Abraham Dyer established India’s first brewery in Kasauli, Himachal Pradesh. It produced cheap beer for the British Indian army. Two years after independence, an Indian firm Mohan Meakin acquired it.

Old Monk is an iconic dark rum that was launched in India in 1954 by Ved Rattan Mohan, a former Managing Director of Mohun Meakin. The story goes that Ved Rattan once went to Europe, where he greatly admired the serene lifestyle of the Benedictine monks and the liqueurs they produced. The name Old Monk was his tribute to these monks. The jolly face of the fat man that you see on the bottle is believed to be that of HG Meakin, who ran the original brewery and distillery.

Even if you are a teetotaller, you couldn’t have missed the passing away of the Chairman of Mohan Meakin Limited, Brigadier K. Mohan. He led the company for several decades and developed three distilleries, two breweries, and a host of franchises. His demise was mourned by thousands of his fans on social media. Under his leadership, in the 1970s, the sales of Old Monk thrived, and it started emerging as a powerful brand.

For nearly half a century, Old Monk remained the most popular and highest-selling rum in India. It was also the largest selling Indian Made Foreign Liquor (I.M.F.L.) brand for many years. At Impacts International’s 2008 list of “Top 100 Brands at Retail Value”, the brand retained the enviable 5th position. Its retail value was $ 240 million. Outside India also, it was considered as one of the best dark rums available. Old Monk has been exported to many countries and has won gold medals at Monde World Selections. So, it is a good example of business for success!

It offered an attractive combination of quality, taste, and price. Its unique taste develops as a result of 7 years of ageing. It was rationed to India’s armed forces, probably helped by the fact that the founder, Ved Rattan Mohan, was a Colonel in the army.

Characteristics of Old Monk

Millions of college students found the dark colour very appealing since they could slyly mix it with Coke or Thums Up, without anyone getting a clue! And, it does not give a hangover. It is a bit of a pop culture icon in colleges. When you open it, the smell of alcohol is quite strong, which can be a little off-putting for new drinkers.

Old Monk rum is made traditionally after blending and ageing for seven long years, which accounts for its strong dark brown colour. It has a high alcohol content of 42.8% due to which it is considered a man’s drink. It is sold in six sizes-90 ml, 180 ml, 375 ml, 500 ml, 750 ml, and 1-litre bottles.
When you pour the rum down your throat, the exquisite aroma of distilled cane sugar stirs up the age-old legend. When you sip it, you get a nice rich vanilla taste and a little flavour of caramel, with a dry ending. The taste has remained almost the same since its inception and is considered much better than other dark rums in the market.
Many aficionados consider Old Monk Rum as a form of the legendary ‘Som Ras’, mentioned in India’s centuries-old scriptures-The drink of Gods and Lords of India!
The design of the bottle is very interesting and the label is old school. If it is sitting on a wine shop counter, it will immediately catch your attention. It will look good in your liquor cabinet.
It has a very good price point when compared to similar international rums. At its peak, Old Monk was selling 8 million bottles a year. It was a 400 crore empire, and also the largest selling rum in the world.

Varieties

The most popular is the XXX variety, the one aged for 7 years. Other well-known brands are Gold Reserve and Supreme, which are aged for 12 years, and mixed with mature spirits.

Also Read: Whisky Brands in India

Revival Plan of Old Monk

Its closest competitor was McDowell’s Celebration Rum. In 2014, Old Monk posted a loss of almost Rs 20 crores. Three years later, it had to fend off rumours of an imminent shutdown. To arrest this slide it launched a ready-to-drink range in 2018. These rums were available in different flavours like cranberry, cola, mojito, and orange.

Yet the company did not spend a single dime on promoting itself. You must be wondering how business success came to this brand. There is no advertising, its popularity depends on its legendary word of mouth acclaim and loyalty of its patrons.

How Old Monk has become a legend? Reasons for its cult following

The Old Monk brand is one of the many business success stories in India. There are many reasons for this. Firstly, it was a favourite single-brand of the armed forces, particularly the Army. Many a jawan has found respite from the bitter chill of Ladakh and Siachen from the dark liquid that warms your heart. This has helped in building up its image and also its distribution network. Many international liquor brands which had come to India, had tried to emulate its success, but with little effect.

Secondly, its affordable price tag has made it within the reach of the vast majority of college students, who cannot buy the more expensive fare.

Thirdly, its manufacturing process has not compromised on quality, and many ingredients which are more than 50 years old, are used.

Fourthly, though it did not spend on advertising, there was great brand loyalty. Word of mouth took the form of Facebook pages built by fans. Fan clubs with exotic names like OMAXI (Old Monks Association of XLRI), and COMRADE (The Council of Old Monk Rum Addicted Drinkers and Eccentrics) formed in several parts of the country. With such diehard fans, who need marketers?

There is a saying, “Old Monk is to Liquor, as Bullet is to Motorcycles”. We hope that the business success story of Old Monk will inspire you on your entrepreneurial journey.

Also read:

1) Best Tips for Customer Retention for a Small Business
2) Tips to Understand Your Market while Starting a Small Business
3) Tips for Businesses to Overcome the Covid Blues - Revival Tips for Businesses
4) What are the keys to success when operating a small scale business?

Stay updated with new business ideas & business tips with OkCredit blogs in English, Hindi, Malayalam, Marathi & more!
Download OkCredit now & get rid of your bookkeeping hassles.
OkCredit is 100% Made in India.

FAQs

Q. What is special about the Supreme bottle?

Ans. Supreme is sold in a special bottle whose shape is like that of a standing monk.

Q. The original distillery was owned by Edward Abraham Dyer. He had an (in)famous son? Who was he?

Ans. The son was none other than the hated Colonel Reginald Dyer, who was responsible for the Jallianwala Bagh massacre.

Q. Where is Old Monk now produced?

Ans. It is now produced in Ghaziabad in Uttar Pradesh.

Q. Till what year was Old Monk the undisputed leader in the entire branded liquor segment in India?

Ans. It was the leader in the single-brand category till 2002.