Ancient – that’s what India’s spice legacy is to the world!  

Producing 75 of the 109 spice varieties listed by the International Organization for Standardization (ISO), India is the world’s largest producer, consumer, and exporter of spices with exports hitting an all-time high of INR 36,000 Cr in FY24. 

Despite this, the domestic spice market largely remained unorganized and ripe for innovation.

Siblings Akash and Ashish Agrawal tapped into this massive opportunity in 2018, launching Zoff Foods.

Unlike legacy brands that manufacture, package & distribute using conventional methods, Zoff employed new-age technologies such as cold grinding and advanced zip-locking!

The result? A swift rise to prominence in India’s INR 1,80,760 Cr spice market, that’s growing at CAGR of 11.2%

Zoff’s growth trajectory has been nothing short of phenomenal! 

💧 INR 93 Cr revenue in FY24, a 4x increase from FY21

💧 INR 1 Cr net profit in FY24, from INR 11.86 Cr losses in FY21

💧 100+ SKUs across categories

💧 65:35 revenue split (online:offline) 

💧 60–70% repeat purchase rate (projected) by FY25

Secret Sauce: Technology That Preserves The Flavor Profile

The company’s state-of-the-art manufacturing facility in Raipur is fully automated, almost eliminating human intervention and ensuring stringent quality control. Key features include:

🔺In-House Lab Testing: Every batch undergoes rigorous testing for purity and safety

🔺Temperature-Controlled Warehousing: A 10,000 sq. ft. facility ensures freshness and long shelf life

🔺FSSAI Standards: Adherence to the highest food safety guidelines

These initiatives have built consumer trust, allowing Zoff to scale effectively even in a market dominated by legacy brands.

Zoff has another major ace up its sleeve, a big advantage! 

Cool Grinding Technology. Unlike traditional hammer mills that overheat and strip spices of their oils and nutrients, cold grinding ensures consistency, a superior texture, high nutritional value, and optimal taste, aroma, and nutrition.

With air-tight ziplock packaging, Zoff’s products boast top-notch quality.

General Trade Left Zoff Hanging, E-Commerce Picked Up The Tab

Zoff’s pivot to e-commerce from general trade marked a defining moment in its growth story. After two years of battling high costs and complexities in GT, the pandemic forced the startup to rethink its approach. 

With an INR 60 Cr investment in infrastructure, and losses piling up from an INR 30 Cr general trade push, Zoff had to let go of its 350-member sales team in 2020.

E-commerce offered the agility and scalability Zoff desperately needed, helping Zoff break even with just four core team members.

When general trade didn’t pan out, Zoff pivoted to e-commerce—and never looked back.

▶️ E-Commerce Power Play: Today, 65% of Zoff’s revenue comes from online platforms like Amazon, Flipkart, and BigBasket.

▶️ Quick Commerce Wins: Partnerships with Blinkit and Zepto have made their products accessible in under 20 minutes in urban markets.

▶️ Website-Exclusive Products: Exclusive products are sold directly on Zoff’s site, boosting brand loyalty.

Their strategy? Combine the convenience of marketplaces with the exclusivity of direct sales to hit the sweet spot.

In FY22, e-commerce sales alone brought in an INR 2.5 Cr turnover, helping the brand recover from initial challenges in general trade.

Bites From Sharks, Bucks From Investors: A Spicy Follow-Up 

February 2023 saw Zoff take the spotlight on Shark Tank India, securing INR 1 Cr from boAt’s Aman Gupta. 

The impact? A massive uptick in brand recognition and sales. Monthly turnover hit INR 5-6 Cr right away, fueled further by marketing on platforms like CRED and innovative paid sampling campaigns.

In 2024, Zoff secured INR 40 Cr in Series A funding, led by JM Financial Private Equity. This financial backing will be pivotal in:

❇️ Launching ready-to-cook meals, condiments, and seasoning kits

❇️ Moving into neighboring states like Maharashtra, Odisha, Telangana, and Jharkhand

❇️ Establishing a robust presence in general trade and modern retail outlets

What’s Next For Zoff?

With increasing demand for clean-label food products, Zoff is well-positioned to capture a significant market share. But it will be interesting to see how Zoff does that, considering 90% of the spice trade in India is attributed to general trade. 

Meanwhile, these should be some takeaways from the Zoff story 👇 

➡️ Tech integration is key to giving you a distinct competitive edge 

➡️ Make your value proposition clear to the consumer

➡️ Diversify channels to reach broader audiences

Zoff isn’t just grinding spices—it’s grinding out the competition.

Until the next one!