SHIJO K. THOMAS & OXYGEN: BREATHING LIFE INTO DIGITAL INNOVATION

As the digital revolution swept across Kerala, Oxygen: The Digital Expert has journeyed alongside this transformation, bringing the latest leading digital brands to consumers and fully meeting post-sale customer expectations and aspirations. Over the past 25 years, the company has earned the unwavering trust of over 7 million customers. In an exclusive conversation with Unique Times, CEO Shijo K. Thomas shares insights into the brand’s remarkable journey and its vision for the future.

Tell us about your plunge into the world of business?

After completing my diploma in computer engineering, I worked for two years at a private firm in Ernakulam. However, due to my mother’s medical treatment, I had to resign from my job and return to my hometown, Kanjirappally in Kottayam district in 1999.

At that time, I needed an alternative to my job, and so I started a small business in a 50-square-foot space in Kanjirappally called Ozone Systems, which assembled and sold computers. Since my education and work experience were related to computers, I turned to self-employment in response to my circumstances. In the early days, it was just one staff and I. That was the period when the computer revolution was just beginning. Back then, computers were primarily found in large institutions, and systems for personal use were quite rare.

We imported spare parts for personal computers and assembled them ourselves before delivering them to customers. Assembling a computer was a time-consuming process, often taking several days. The transition from DOS to Windows had just begun, with Windows 3.1 being the operating system in vogue. Installing an operating system required 31 floppy disks, and loading each disk took several days. If even one floppy disk had fungus, the entire process would get stuck. Assembling a computer was a challenging task back then.

Nowadays, computers come pre-installed with operating systems, making the process much easier. What started as a small venture in Kanjirappally eventually expanded to Kottayam.

What was the inspiration behind the name ‘Oxygen’? 

One of the key ideas was to bring in a unique name that had no direct connection with technology and then market and brand it effectively. Additionally, since our first venture was named Ozone Systems, the rebranding naturally led us to Oxygen. We also considered the chemical transformation from ozone (O₃) to oxygen (O₂). Moreover, in today’s world, digital products have become as essential as oxygen for people, making the name even more relevant.

“Trust is our hot ticket to success” – How has this philosophy helped shape the growth of the Oxygen Group? 

From the very beginning, trust has been our top priority. We place great emphasis on after-sales service. The relationship with a customer starts when they purchase a product, especially electronic goods, and it continues beyond the sale. When computers were not as common in the early days, customers had many doubts about their functionality. It was also the time when the internet was just starting to gain traction. We used to receive constant service calls, even at night, and we always attended them.

To gain customer trust, selling only high-quality products is crucial. In our early days, the grey market was very active in this sector. However, from the beginning until now, we have only provided company-authorised spare parts, ensuring customers receive the warranty they deserve. We have never compromised on the quality.

By holding firmly to our principle that “Trust is our hot ticket to success”, we have retained customers who have been with us since 1999. Ever since we rebranded from Ozone to Oxygen, every showroom has had an Oxygen Care service center. These units are our own, set up purely to support customers without focusing on profit.

By maintaining product quality and providing excellent after-sales service, we have continued our journey alongside our customers. This is why, even in our 25th year, we continue to thrive successfully. Hence, “Trust is our hot ticket to success.”

Can you explain the phenomenal growth from a 50-square-foot shop to 44 showrooms across Kerala?

As I mentioned earlier, that era marked the beginning of digitalisation. It was a time when computers started becoming a necessity. Recognising this demand and establishing a firm presence in the market was the key to our growth.

At one point, I met with a major accident and was bedridden for six months. During that period, I realised an important truth—no individual can build and sustain a large enterprise alone. However, if there is a trustworthy and energetic team alongside, success can be achieved. Understanding this, I gradually built a strong team. Instead of focusing solely on highly educated individuals, I prioritised hiring those who were deeply committed and willing to lead our venture selflessly.

Another crucial factor was effectively marketing our products and services. From the beginning, we have paid significant attention to continuously informing both customers and potential customers about our offerings. As we scaled up, we computerised and implemented automation. Today, all aspects of our business operate through systematic automation, which has greatly contributed to our growth. Our ability to recognise and adapt to changing times has been a major factor in our business expansion.

Can you elaborate on ‘Adapting to Change’?

Adapting to change is one of the most critical aspects of running a successful and sustainable business. If a business fails to embrace evolving trends, its very survival can be at risk. For instance, take Nokia, which was once a leader in mobile phones. Its reluctance to adopt the Android operating system led to its decline. Similarly, Kodak was once the number-one company in the camera industry, but when digital cameras emerged, the company collapsed because it failed to adapt.

In our case, we started by assembling personal computers. When laptops became popular, we shifted our focus accordingly. We were the first in Kerala to introduce stores where customers could experience computers and laptops firsthand with a “touch-and-feel” experience. That store became a benchmark, and many others followed the same model.

Similarly, when the smartphone revolution arrived in 2010, we incorporated smartphones into our product category. This brought a massive transformation to our business. Today, nearly 45% of our revenue comes from smartphone sales. If we had not included smartphones in our product line-up back then, our growth would not have been as significant.

We also adapted to changes in the home appliances industry, embracing digitalisation and AI-driven products. Our goal has been to bring all kinds of electronic products under one roof. Now, we are eagerly preparing for the changes the future will bring.

How do you balance innovation and core values?

When a business scales up from `10 crore to `100 crore and then to `1,000 crore, having the right system, processes, and a technology-driven backend is crucial. Beyond individuals, if technology is effectively implemented, it can elevate a business to any level.

Secondly, everyone in leadership must have a growth mindset. The moment one starts thinking, “This much is enough,” the growth curve begins to decline. Setting up a growth engine, analysing data, and making necessary adjustments ensures that both innovation and expansion are balanced effectively.

What was the reason behind launching your own TV brand, ‘Oxyview’? 

Our deep engagement with customers across our stores helped us realise the market potential for a private-label product. There was a demand for a high-quality television with all essential features at an affordable price.

Since it is our own brand, we can provide direct service and warranty. Oxyview was created with the vision of making smart technology accessible to the common man. The response and feedback have been overwhelmingly positive, to the extent that demand often exceeds supply.

The success of this product has paved the way for expansion into other home appliances. In the upcoming season, Oxyview air conditioners (ACs) will be launched, followed by small appliances. Additionally, large-scale manufacturing operations are happening in India. The Indian government’s “Make in India” initiative has been highly supportive in this regard.

Are there plans to expand Oxygen at the national or international level? 

Yes, national expansion efforts are already in progress, and they will be realised soon. However, there are currently no immediate plans for international expansion.

What are the essential qualities of an entrepreneur?

In any business, the most important aspect is to execute innovative ideas creatively. This ability is the first and foremost requirement for an entrepreneur. They must be strong enough to face challenges and crises, take the initiative in every situation, and have the adaptability to adjust to changing circumstances. They should also be capable of creating the necessary resources for the business.

Above all, an entrepreneur must be patient. Success does not come overnight—it requires consistent efforts and perseverance. Many young entrepreneurs and start-ups enter this field thinking, “I can’t work under someone else, so I’ll start my own business.” However, their rise and fall often happen as quickly as fireflies flashing in the dark. Some keep shifting from one venture to another because they lack the patience to endure losses.

In my case, for the first five years, I had no profits—I faced multiple financial setbacks. However, patience and persistence helped me reach where I am today.

Every business typically goes through five stages, known as the “5 S’s”:

1. Struggle – The initial phase involves battling various challenges.
2. Survival – This is when a business begins to manage its expenses.
3. Stability – At this stage, profits start coming in.
4. Success – This phase involves establishing a strong second-line leadership team that manages systems and processes.
5. Scale-up – The final stage, where the business grows beyond the entrepreneur’s direct involvement.

What challenges do you face in running a large retail chain?

With the rise of e-commerce, the retail sector faces an unhealthy level of competition. The market has shifted toward price-based competition, often ignoring customer value.

Previously, factors like after-sales service and customer satisfaction were given priority. However, many consumers are now solely focused on finding the lowest price, neglecting long-term benefits. This trend is problematic because companies that rely only on price cuts will struggle to sustain in the long run, ultimately leading to customer dissatisfaction.

The right approach to competition should involve offering fair pricing while also prioritising after-sales service and overall customer experience.

If Oxygen were to start a new business beyond retail, which industry would you choose? 

If we were to launch a new business apart from retail, we would venture into digital product manufacturing. The reason is that digital products have limitless potential in today’s world. Technologies based on Artificial Intelligence (AI) and Robotics are rapidly emerging and transforming daily life. AI is already integrated into various products—smartphones, laptops, and even household appliances.

To keep up with these advancements, we would focus on developing AI-driven and robotics-based digital products that align with evolving consumer needs.

How would you sum up Oxygen’s success in three words?

Our success is built on three fundamental principles:

1. Democracy – Every decision is made through discussions with the team, valuing everyone’s input.
2. Socialism – There is no hierarchy in importance; from the CEO to the sweeper, every team member is treated equally.
3. Secularism – We uphold internal organizational pillars that promote fairness and transparency.

Additionally, we prioritise transparency with customers, ensuring high-quality products. From assembling computers in our early days to embracing cutting-edge technologies, we have remained dedicated to keeping the public informed and updated.

Lastly, we believe that wealth is earned from society, so it should be reinvested for the greater good in various ways.

Pic Courtesy: Pegasus Photography