Naji Patel wanted to become a pilot. Instead, he became an entrepreneur, toying with the big birds, designing, manufacturing and exporting radio-controlled airplanes for hobbyists and sports enthusiasts.
An aeronautical engineer from the Imperial College, UK, Patel, returned home after his graduation to set up Conceptual Aerospace in Pune.
"I was not interested in the entry level jobs offered during my college placements, as they would not give me the satisfaction of making any real contribution towards building aircraft." So Patel decided to take the road less travelled.
He decided to service the niche market of hobbyists and sports enthusiasts in the UK - people who participate in radio-controlled aircraft competitions, with stronger and lighter aircraft. Patel has been manufacturing and supplying through wholesalers and manufacturing for OEMs in the UK.
"For the aircraft, we import material from the US and China. These aircraft are made of composites and fibre glass, and are of a better quality than the balsa wood models that are available in the low-end markets," says Patel.
"We have been growing at about 20 per cent per annum. This is a niche market with a huge potential. Being a small set up, we get about 5-7 orders a year with an average order size of 300 units."
Trying to give a sense of the worldwide market for model planes, Patel explains that the industry itself is not organised and it is extremely difficult to put a number on the total market size.
"Besides, the players are scattered and the production in number of units changes according to what the flavour of the month is. If for example, if there's a techie movie in which some aircraft has played a major role, there is a surge in the production of that model and the numbers swell. The practice of copying what has been made by others also distorts the statistics," he said.
Patel's company, Conceptual Aerospace, is now ready to take off under its own brand, Dragon Fly. Plans for the year include promoting its own designs and tap markets other than the UK. Also on the cards is a foray into the Dubai and Indian markets.
"In September, we will launch two designs under our own brand, Dragon Fly, a basic model for beginners and one more which we have yet to finalise," says Patel.Do you want to discuss stock tips? Do you know a hot one? Join the Stock Market Investments Discussion Group