The initiative has been rolled out from September 1, 1999, with the introduction of Amway's Satinique 2-in-1 shampoo and conditioner in 4-ml sachets priced at Rs 5, originally launched in 250-ml bottles and priced at Rs 314. To introduce the new packaging to the consumers and distributors, the company is currently sampling the sachet by packing it alongwiththe 250 ml shampoo bottle. The sachet initiative, claims Bannerjee is already driving consumption for Amway products. ``The pick-up price has gone up dramatically, '' he claims.

Amway is simultaneously considering similar or `appropriate' packaging options for its entire product range--consisting of 18 products--after evaluating the cost factor. For instance, for its car wash concentrate called Amway Car Wash, it plans to launch sachets priced at Rs 2 which give one wash. Originally, it was priced at Rs 200 for a 500-ml bottle which gives 100 washes. ``Indian consumers have small budgets, and they want value at low cost,'' says Bannerjee.

The initiative has come about as a result of the consumer/distribution research which indicated that consumers were demanding convenience and found Amway prices too expensive. As an answer to these concerns, Amway decided to launch small packaging to provide `convenience' and `value for money'. ``The aim is to reduce the fear of usage of Amway products,'' says Bannerjee.The move is significant in that it breaks the traditional route of direct selling where sales are conducted on the USP of bulk-size products. It also marks the company's efforts at adapting to the local demands of its customers. Its first customisation initiative -- Project Ghar launched in February this year -- aimed at decentralising the distribution strategy. Under the Project Ghar operation, Amway has added 18 offices taking it to a total of 23 offices, covering 223 cities. To be completed in two phases, under the project, Amway is supposed to spread to 174 cities by the year 2000.

Amway, which started its operations in May 1998, claims to have posted a turnover of close to Rs 100-crore in the first year of its operations: September 1998 to August 1999. In the second year, it expects to cross the Rs 200-crore mark and by the year 2004, it aims to reach Rs 1,000 crore. By September 2000, it hopes to be profitable. Currently it claims to record sales of Rs 12-15 crore per month. According to the company,it currently has 1,20,000 active distributors with about 15-20 more enrolling per day.