Ideas that are unique—in concept or execution—can create or add to your income. Bengaluru-based Umesh Malhotra set up Hippocampus to lure children away from TV and computer games to a world of books and outdoors.
What is Hippocampus?
It is all about books, and children having access to them. It is not just a library but a club for children, full of activities along with 12,000 books.
How did you get the idea?
In 2002, I sold my IT infrastructure management company for a profit. I wanted to stay off IT for a while. My wife and I had been inspired by the child-friendly libraries in the US and decided to set up one in Bengaluru.
What was the initial investment?
We owned a plot and an architectfriend planned the structure. It cost us Rs 15 lakh to set up Hippocampus in 2003. I used my IT skills to have it fully automated.
And the response?
We launched with a big carnival and over 800 people walked in but the signups were only 10. But a month later, when summer holidays commenced, 200 people signed in. Every month we get 25-30 new members.
How long did it take to break even?
We never had a cash flow problem. We have a flat fee structure of Rs 280 per month for books and we take six months fee in advance. In 2004 we opened a second centre in Bengaluru and in Chennai in 2005. One centre paid for the other. In Bengaluru we have 2,100 members while in Chennai around 700.
How has Hippocampus evolved?
We have several clubs and activities such as story-telling and camping. The objective is to keep the children motivated. We want people to replicate this model in their cities on their own. In Mysore and Jaipur such centres have come up.
