Vikas D Nahar kicked off his entrepreneurial journey in 2011 with Satvikk Specialty Foods, a health-focused retail venture that quickly expanded to 15 stores by 2015. With four years in the F&B industry under his belt, Vikas had sharpened his skills in market research and key account management. But he wasn’t stopping there.
While exploring ways to grow Satvikk, he spotted a golden opportunity:
🔹 The buzz around ‘healthy snacking’ was growing louder.
🔹 Healthy food products in India lacked standardisation.
🔹 Global brands hadn’t yet claimed their territory in this space.
Seeing the gap, Vikas jumped on the chance to create an organised ‘healthy snacking’ brand. And so, in late 2016, with just INR 10,000 and a tiny 2-member team, Happilo was born!
INR 10K – that’s less than the brokerage for a rented flat these days!
The first year was all about finding the Product-Market Fit (PMF).
Just when things were getting tight, Vikas stumbled upon the CGTMSE scheme by the Government of India. This was a game-changer! He secured an INR 80L loan from a private bank, giving Happilo the boost it desperately needed.
Cut to FY24 – Happilo clocked a whopping INR 500 Cr!
Wait, are we jumping ships too fast? Buckle up for a quick flashback – how did Happilo go from zero to hero in the healthy snacking world!
Once capital crunch was out of the way, Vikas went all in! First, he standardised the packaging—sleek, consistent, and premium, making the brand unforgettable from the get-go. Then, he nailed ‘taste’ and boosted the shelf-life of all SKUs to 9-12 months.
Their first product – ‘Trail Mix’ was an instant hit. There wasn’t a product like this before – standardised, well-packaged, and with a ziplock, what?
Customers went nuts for them!
Then, it was time to shift focus from creating a fundamental base for Happilo to the next phase of growth – Distribution, Fundraising, and Marketing!
Vikas leveraged his reputation in the F&B industry to strike a deal with BigBasket. At the time, BigBasket was struggling to source top-quality dry fruits and healthy snacks.
Boom! Happilo swooped in, signing a one-month exclusivity deal. In return, BigBasket launched Happilo in 8 major metros. A win-win! Happilo got a crucial sales channel, while BigBasket became the first online platform to offer standardised dry fruits and healthy snacks.
This savvy move earned Happilo its first customers. Without missing a beat, they landed a deal with HyperCity in Mumbai, becoming a best-seller in no time.
And, by 2022, Happilo was everywhere, expanding to 10,000 modern trade stores across India and partnering with over 200 distribution channels, including all major quick-commerce and e-commerce platforms. Talk about a domino effect!
Until 2021, Happilo had been bootstrapped, but when they raised funds, they made waves. Can you think of any other Indian healthy-snacking company that raised INR 200 Cr in a single round?
This infusion of capital allowed them to double down on marketing, taking Happilo to the next level.
Happilo’s marketing strategy deserves its own case study!
Whether it’s print ads, social media buzz, or even cheering on IPL teams like Rajasthan Royals and RCB, they’ve made sure their brand is front and centre. It’s not just marketing; it’s an all-out blitz. They’ve been so bullish, you’d think they’re selling gold, not just dry fruits!
PS – When Virat Kohli’s rooting for a healthy snacking brand, you just know it’s healthy!
These marketing campaigns have not only increased the visibility of Happilo but also boosted credibility. And, the impact can be clearly depicted from their YoY growth!
Reportedly, the global healthy snacks market is projected to skyrocket to a whopping INR 1500K Cr by 2030, and Happilo is already carving out its share. With a strategic move into international markets through Amazon US and Amazon MiddleEast, it’s clear that Happilo isn’t just playing the game—they’re aiming to win it.
And let’s be honest, if their past is any indication, we’re in for one wild ride! With their relentless marketing strategy, expanding footprint, and unstoppable momentum, Happilo is definitely a brand to follow!
In the mood for a brain-teaser?
Imagine this – you’ve launched a D2C brand in a category where your primary competitors have been household names since the last 5 decades.
Not just that –
🔹 You grew up watching and vibing on their TV ads
🔹 They sell almost across EVERY pincode in India
🔹 They’d cracked distribution, logistics, and supply chain even before you were born
Seems difficult, no?
Now tell us – will you think of building a D2C brand in such a scenario?
No, right?
Well, Jatan Bawa had a different opinion – an opinion which led to the birth of Perfora!
When Jatan launched Perfora in 2021, he didn’t pack and run. Rather, with grit and resilience, he took a stand to face behemoths like Colgate, Dabur, Vicco, and …. you tell us – which brand do you use for your oral care?
And, in just 4 years, his brand is clocking an impressive INR 70 Cr.
Without any more shenanigans, let’s dive straight into how Jatan scaled Perfora!
From the very onset of Perfora, Jatan was an informed founder – he knew the journey wouldn’t be easy without capital.
Therefore, he reached out to Manu Chandra, Managing Partner of Sauce.vc – a consumer VC fund that, over the years, has built a reputation for writing cheques in pre-launch phase and early-stage FMCG startups.
Surprisingly, Manu responded to the email in less than an hour, and summoned a meeting with Jatan the following week.
Jatan, of course, nailed the pitch and secured an INR 2 Cr pre-seed cheque. A miraculous advent, we must say!
Now, Jatan had funds, much needed ones. But, his humble background did not let him shoot up his marketing spend just for the sake of flamboyance.
In a session at D2CX by Inc42, he gleamed, “I was against the idea of onboarding a big-shot celebrity for the launch campaign of Perfora. My reservation was simple – if the campaign didn’t perform as well as planned, my runway would be at near-end!”
What Jatan did instead was build organic traction – a ballsy move, but effective! They made INR 1.5 Cr in the first year of sales, but somewhat broke the monotony of legacy brands!
How?
In the pre-launch phase, Jatan reached out to 4-5 potential customers from his TG every day, and figured out purchase patterns. These conversations revealed:
🔹 Building trust is paramount to crack oral-care
🔹 New-age consumers are more than willing to try out a new brand, only if they resonate with the brand story, and believe in the product and vision of founders
As a new-age and small brand, Perfora could ‘build the brand in public’ – something its competitors could not. Through blogs, a Sunday newsletter, and marketing on social media, Jatan disclosed the manufacturing process, steps followed in quality checks – basically, why consumers should pick Perfora over other brands!
As initial traction picked momentum, there was an innate need for personalised electric toothbrushes and tooth-whitening solutions. So, they quickly launched these products, focusing on personalisation, design, and product experience.
As Jatan puts it, “We are here for the long haul. I want to ensure Perfora lasts for decades and for that the fundamentals, brand ethos, and brand sentiment simply can’t go wrong!”
And when you look at Perfora’s growth playbook, this mindset is pretty evident!
Not feedback calls but conversations, as Jatan puts it! Every day, the team schedules calls with consumers to mine consumption patterns, and ask the following questions:
🔹 How did they discover Perfora?
🔹 What was the core thought behind purchasing a product from Perfora?
🔹 What was the product experience on a scale of 1 to 10?
Insights from these conversations help them get fresh perspectives and discover what’s lacking.
Although not very bullish on keeping track of retention rates, Jatan kept a track of the following to scale Perfora:
🔹 NPS score – to understand how customers are perceiving the brand
🔹 Share of absolute organic revenue – to channelise performance marketing efforts
🔹 Brand searches – to evaluate if the brand has established presence
🔹 CAC – to optimise overall marketing strategy
Perfora got listed in quick-commerce marketplaces in early 2023. But, Jatan shares a strategy that today’s emerging D2C brands can follow to avoid queues for quick-commerce listings.
🔹 Create a strong organic brand pull
🔹 Be known as a brand that innovates products, time and again
🔹 Generate latent demand for the brand
It’s amazing how frugality simply got embedded into the DNA of Perfora. While they can afford to go all out, the brand still prefers to market the brand than its products.
Whenever they collaborate with influencers or affiliate marketers, they focus on the brand story and quality of content that goes out. And, customers simply love this.
Remember when we mentioned the importance of making customers associate with the brand – it all comes down to this!
One of the craziest initiatives by Perfora was to drive organic pull through UGC on e-commerce marketplaces. This is again where understanding consumer mindset came in handy for the brand.
Customers would get a gift hamper with miniature Perfora products for every review! Most Perfora products are rated 4 and above out of 5 on Amazon, and this subtle initiative is contributing to 35% of their overall revenue!
With this growth playbook, Perfora is all set to close FY25 hitting the INR 70 Cr mark. Now, that’s close to 50X growth, compared to their first year of sales!
It’ll be interesting to see how Perfora scales in the years to come. Will it outpace brands like Colgate and Peposdent? Fingers crossed!
For every successful startup founder, an aspiration is to scale, find an exit, and most importantly, ensure their brand draws love forever!
When Sreejith Moolayil and Puru Gupta started True Elements in 2013, they had similar ambitions. And, the brand hit their biggest milestone when Marico offered to acquire 53.7% of their stocks in 2022.
Sreejith and Puru pounced on the opportunity and hit a trifecta:
And, here’s the kicker: Sreejith and Puru are still in the driver’s seat, and with Marico’s backing, they are steering the company into an even faster growth trajectory.
Just like that, the second innings of True Elements unfolded!
At the time, Marico was already a heavyweight in India’s FMCG scene but wanted to break into the booming healthy snacking segment, and what better way to do that than acquire the leader of the pack; ergo, True Elements!
Afterall, True Elements had a stunning track record – 100% YoY growth for the last 5 fiscals – beat that!
On top of that, True Elements had carved a niche of trust in the healthy snacking segment, and earned a cult following of loyal customers. Cherry on the top, in its truest sense!
With that note, let’s delve into the real story—the secret sauce – how they dominated the healthy snacking category?
Well, it was through an incredible NPD (New Product Development) framework – a framework that not only made True Elements come out as a fearless brand but also took it to the zenith of the segment!
Evaluating Market Gaps
At True Elements, the strategy isn’t about drowning in data; it’s about trusting the gut and daring to innovate. Sreejith even shared during a session at D2CX by Inc42 –
“If evaluating market gaps was purely based on data, Apple would have never introduced touch-screen iPhones.”
That’s boldness, no?
Up until Series A, the company played the product launch game with some serious urgency. They’d launch a product, watch how it performed over a set timeframe, and then decide—keep it or shelve it.
A Healthy Fact: Their very first SKU—green tea bags that they launched and shelved within 2 years.
In one scenario, True Elements went from ideation to market in as little as 7 days—only after ensuring guardrails for health or legal red flags. This isn’t just about speed or efficiency; it’s a move that keeps the competition guessing.
Someone rightly said – make them guess, and then make them sweat!
For True Elements, what matters is maintaining price parity across online and offline channels. How do they do it? By setting the selling price at 5X their cost of goods sold (COGS).
Simple, right?
Sreejith and Puru are firm believers that the idea of a “hero SKU” is one of the biggest myths in FMCG. Sure, if a product in the portfolio stood out, that’s fantastic—but they never got hung up on that from the start.
Many FMCG brands still fall into this trap in their early days!
At True Elements, these market size metrics are just that—metrics. They’re there to validate that the brand is on the right track, but they don’t dictate product launches.
You aren’t alone – even we were shocked to hear this!
When you think about it, launching products is never enough. You really, really need to ace the acquisition and retention game to dominate a highly competitive segment like healthy snacking!
And, this is where the boldness and fearlessness of Sreejith and Puru comes to limelight!
From its early days, True Elements never missed a chance to grab low-hanging fruits – they zeroed in on mid-sized general trade stores—those in-between spots that offered more than a grocery store but less than a supermarket.
Imagine a healthy snacking brand allowing customers to trace exactly where ingredients came from and just how healthy—or not—they were.
What would you call this – bold or outright crazy?
But, what matters is this fearless move amplified credibility!
True Elements hit a major milestone in 2021, earning the ‘Clean Label’ and ‘100% Whole Grain’ badges from top US-based organisations. These seals of approval didn’t just boost their credibility—they supercharged their ‘Clean Brand’ story, winning over even more consumer trust.
Seamless, right?
By launching products across categories, the company ensured they always have something fresh and exciting for consumers to explore.
Today, True Elements is present across 13 categories, over 70 products and more than 200 SKUs including western breakfast (Oats, Muesli, Granola, Flakes), Indian breakfast (Poha, Upma, Dosa), and snacks (roasted seeds, seed mixes, raw seeds), etc.
How many of these products have you tried?
In a recent twist, the team has teamed up with cricketer Rohit Sharma to launch RS by True Elements, set to debut by the end of August ‘24.
This collaboration is all about delivering healthy breakfast and snack options that resonate with today’s health-conscious consumers who value transparency in what they eat.
Exciting times ahead!
It all started around 10 years ago when a sore eye met a desi jugaad!
Someone suggested Tarun Sharma putting a brewed lukewarm green tea bag on the sore eye can reduce puffiness.
Voila, it worked!
Curious Tarun dug deeper and realised 3 important things:
✔️ Caffeine was a dominant ingredient for skin care in the Middle Ages, as mentioned in certain books from the 10th century
✔️ There was no personal care brand in India that was infusing caffeine into their products
✔️ The millennial demographic accepts caffeine-based products with open arms
The market opportunity was huge and mCaffeine was born!
The objective was clear – carve a caffeinated niche in personal care!
Team mCaffeine realised the median screen time of millennials is close to 10 hours, which led to dark circles. And, no personal care brand in India was solving this particular problem.
Eureka!
mCaffeine built a caffeine-infused under-eye cream. The product started seeing a crazy reception from youngsters and turned out to be an instant hit.
Seems easy-peasy, right? Well, not really!
This initial traction faded away fast!
They saw a drastic dip in both acquisition metrics and retention rates.
Tarun realised they can’t be disruptors unless they continue to develop products that appeal to youngsters!
Little did Tarun know a random conversation will help him deliver the next masterstroke.
While talking to a 22-year old customer, Tarun realised the experience of body scrubs was terrible – time-consuming, and hard to apply and then take-off.
The lightbulb sparked again and a massive opportunity afloat!
mCaffeine took a bold step this time. They changed the form factor of body scrubs! What used to be slimy was now packaged as a powder.
This masterstroke led mCaffeine to 57% market share in the category, and till date, it remains one of their best-selling products!
Customer Feedback – Take a note, we will talk about this again!
The quick success of these two products led to Tarun and his co-founders to their second big realisation.
While the products should appeal to youngsters, they should be super convenient to use and deliver an unparalleled product experience.
Listening to and incorporating consumer feedback had worked for them in the past. So, they doubled down on this practice and standardised internal processes where customer feedback is taken very seriously. Till date!
From there on, mCaffeine has gone on to launch caffeine-based body shimmers, hair care products, and several other SKUs – most of which are hits!
NPD at mCaffeine hinges on answers to these 3 questions:
🔹 Will it solve core consumer problems?
🔹 Will it deliver a unique experience?
🔹 Will consumers resonate with the USP?
Green light to these 3 questions means green light to manufacturing!
mCaffeine cracked the code to respond to changing market demands – Consumer Feedback! They rely on consumer feedback for signals on what to improve and what to build next.
mCaffeine gauges 3 metrics to track USP of a product
🔹 Sales through NPI (New Product Interruption)
🔹 Revenue share of disruptors (Innovations)
🔹 Repeat rate
Build the best product in terms of quality, put faith in word of mouth, and wait for the Hallelujah moment – the moment when customers become brand ambassadors.
Having clocked INR ₹210.1 Cr in FY24, mCaffeine reported 51% YoY growth. What’s interesting is their offline sales have grown by 300% in the last 6 months.
To keep the momentum going, what’s better than omnichannel expansion?
In the next 15 months, mCaffeine aims to:
💯 Crack 24 micro markets in metros and Tier 1 cities
💯 Establish presence in 30,000 offline stores across pin codes
💯 Take offline sales to 34%
💯 Extend its footprint in Middle East, USA, and Australia
Doing so, mCaffeine will take a larger share in the global coffee beauty products market that will touch INR 6704 Cr by 2031.
Imagine leading a category that has the trifecta of startup success stories – minicorns, soonicorns, and unicorns!
Exactly what mCaffeine is doing – it’s leading a category where the likes of The Body Shop, Bliss, MamaEarth, Plum, Wow Skin Science, The Moms Co., Nat Habit, and The Ayurveda Experience are vying for the top spot.
Although, collectively, these brands have raised over $960 Mn, mCaffeine leads in product proposition, formulation, packaging, promotions, and customer experience.
mCaffeine recently partnered with GoKwik to drive 25% revenue growth, improve shopper satisfaction, and reduce cash burn in CRO efforts. If done right, this partnership can give a distinct edge to mCaffeine!
We will be keeping a close watch on mCaffeine. Will you?
Tell us if you liked this brew!
Imagine bootstrapping a D2C brand from a place where the startup ecosystem is underdeveloped and resources are limited.
But there is a fast-fashion D2C brand from Guwahati that is navigating all these challenges and making it to national headlines. Of course, we are talking about LittleBox.
But before we dive into how and why LittleBox has become the talk of the town within just 2 years of inception, meet Rimjim, the face of LittleBox!
Rimjim Deka, your typical girl-next-door, was born and raised in a small town in Arunachal Pradesh. Her dad’s central government job could only provide for a middle-class lifestyle, but she had big aspirations.
After graduating, Rimjim moved to Delhi to work at a PR agency, but her day job left her feeling unfulfilled. Fashion had always been her passion, so she started a side hustle—blogging about the latest trends. Little did she know, blogging would spark her entrepreneurial journey. A mentor nudged her to take it further by selling fashion products online.
She took the plunge, ordered 50 items from Alibaba, snapped some photos, and listed them on her self-built website. To her surprise, they sold out in no time. That success led her to quit her job and spend the next few years honing her entrepreneurial skills.
In 2017, Rimjim married Partha Kakati, who later became her co-founder at LittleBox. While she was navigating the fast-fashion world, Partha was set on moving to the US for a Data Science career. But when the pandemic hit, their plans shifted and, in 2022, they launched LittleBox!
Rimjim and Partha bootstrapped LittleBox by investing INR 30 Lakhs with a simple aim – bring latest fashion trends to GenZ and millennials at affordable prices.
Call it luck or sheer business sense, LittleBox clocked INR 9 Cr in its first year of sales. They draw inspiration from luxury fashion brands and replicate the same making minute changes to avoid copyright claims – something exactly what Nancy Tyagi is doing these days.
Neatly positioned as an affordable fast-fashion brand, LittleBox listed products on its website ranging between INR 999 and INR 1599. Yes, they had cracked a desirable price point for the masses but what actually worked for them was quality.
What’s more striking than the revenue of LittleBox is the strategic decisions Rimjim and Partha have taken.
Strategic Centres Of Operation
Logistics was the biggest constraint, but the workforce was relatively cheaper in Guwahati.
So, they set up two bases in two different cities-
📍 Guwahati – to handle backend operations (content, support, marketing, IT)
📍 Delhi NCR – to handle manufacturing, logistics, warehousing
Doing so, LittleBox was able to keep fixed costs low.
In Sep’ 23 they had just 1 factory and were fulfilling orders through third-party manufacturing. But as soon as they generated revenue, they eventually moved manufacturing in-house. Today, all manufacturing is done through company-owned factories.
LittleBox always aspired to be a brand that was made in Guwahati but for India. But marketing costs to fulfil this aspiration could have been extremely high. So, they leveraged Shark Tank India.
Not only did they bag an all-shark deal by shelling 2.5% equity for INR 75 Lakhs, but also got what they wanted – media attention and wide coverage. This feature on Shark Tank India boosted their net revenue by 1.75 times within a week.
LittleBox has offline stores in Delhi, Guwahati, and Shillong, but 98% of sales comes from their D2C website. All thanks to the media coverage they got.
Today, LittleBox is making around INR 6 Cr every month with 8% EBITDA. But the founders are reinvesting their profits into the company to accommodate headcount and expand product lines.
What was once a 6-member team is today 100 strong and growing aggressively across functions.
Rimjim says she is not fearful of competition. The fast-fashion industry in India is huge and there is more than enough room for multiple players to take market share. But what actually works for LittleBox is the fact that they are almost always the first company to bring any new fashion trend to market – affordable and extremely trending products that can’t be found in competitor websites.
They launch new design batches every 15 days. And this design-to-market speed is what helps them engage customers.
No startup is built without challenges and struggles.
Logistics cost accounts for 13% of net revenue, which for the founders of LittleBox is high. They are still figuring out ways to bring this down to 10%. If they fail to do so, they won’t be able to keep costs affordable, meaning they will lose one of their major competitive edges.
Second issue is hiring. As per the founders, it’s formidable to attract good talent and convince them about the long-term vision of the company. Fast-fashion isn’t as attractive for job seekers as Data Analytics or Product Management.
The long-term goals of Rimjim & Partha are pretty straight-forward.
✔️ Clock INR 400 Cr ARR in the next 5 years.
✔️ Building an inclusive and highly-engaging community of consumers.
✔️ Break stereotypes and set the notion that it’s possible for people from any walk of life to build a profitable business.
✔️ Create employment opportunities for people from the North East.
Will There Be A BigBox?
Psychodermatology – sounds complex? We pulled our hair too.
But little did we know that the global psychodermatology skincare market is poised to reach a whooping $30 Bn?
It’s actually fascinating to see consumer interests shift toward such niche segments. To exactly tap into this massive market opportunity, global giants like Estée Lauder, Puig, and L’Oréal are making inroads. At the same time, an Indian brand – Sereko is turning heads!
We discovered Sereko when Malvika Jain applied to join the founding cohort of D2CX and said she is the founder of a D2C skincare brand that’s based on the principles of psychodermatology. We went bonkers – what was this term?
As a concept, psychodermatology has been around for decades. It’s a field of science dedicated to the connection between mind and skin.
Increased and continuous stress leads to ageing, dullness, dark circles, and acne.
And, who wants these things on their faces? Well, nobody!
This is exactly what Sereko is solving for
Malvika’s cousin was experiencing extreme acne flare ups and severe anxiety issues. A psychologist put her on anxiety treatment and voila, her skin cleared up.
This is how Malvika stumbled upon psychodermatology and realised:
And, no D2C skincare startup in India was solving for skincare problems via the psychodermatology route.
The lightbulb sparked – Malvika launched Sereko in June ‘23!
With Dr. Jafferany of Central Michigan University, Malvika developed NeuroCalm™ – a clinically-tested formula whose ingredients reverse the effects of mental stress on skin.
Taking it orally, as well as applying it topically provides lasting results. The levels of cortisol, a stress hormone that negatively affects the skin, decrease by 70% within 2 hours of application – claims the brand!
Better mood and amazing skin, a killer combo! Who doesn’t want this?
Till date, Sereko has launched around 20 SKUs including cleansers, face moisturisers, serums, toners and calming candy tablets.
Exemplary for a year-old brand, right?
Sereko’s not just clearing skin; it has chartered a path to success. It’s fascinating to see a year-old brand operating in a niche segment overcoming industry hurdles with such efficiency.
1. An Incredible Website Experience: When we first opened the Sereko website, we were spellbound – such clarity, transparency, and attention to detail. Right from the choice of colours to content and illustrations, it is a wonderful example of the experience that D2C websites should deliver.
2. Marketplaces For The Win: Sereko is clocking close to INR 20 Lakhs per month by selling on their website and marketplaces including Nykaa, Amazon, Flipkart, Purpll, Myntra, etc. Although the contribution of marketplaces is marginal compared to the website, the idea behind going omnichannel early on will surely boost sales.
3.Offline Playbook: To further its omnichannel play, Sereko is now planning to tap into quick commerce and physical retail spaces. Malvika is in active pursuit of offline opportunities to make Sereko available for physical buyers and broaden the brand’s customer base.
Unlike its competitors, Sereko doesn’t take a scattershot approach. All products of the brand have a mood enhancing impact, essential for addressing critical skin issues.
We will, for sure, keep a keen eye on the growth trajectory of Sereko. Will you?
The success of any D2C business hinges on one key pillar – cut the middleman. This is exactly what Siddharth Dungarwal did at Snitch.
And Siddharth cut the middleman so well that Snitch:
It all started with a chance encounter in 2012 – Siddharth was left with excess fabric and no one to sell it to. He transformed the fabric into shirts, sold them to a retailer, and pocketed a handsome profit. This experience exposed a gap in the market – no brand was offering trendy, fast-fashion options for men.
Siddharth started with a B2B model, supplying clothes to retailers. And right when the B2B arm was creating magic for the brand, the unplanned happened. The pandemic hit.
Again, Siddharth was back to where it all began. He was left with excess inventory.
This is when Siddharth and his team of 4 people pivoted to a D2C strategy, leading to the birth of Snitch.
Focused on quality, affordability, and trendy designs, Snitch was an instant hit – who does not like premium-like products at affordable price points?
It was exactly at this moment that Snitch featured on Shark Tank India. And who doesn’t remember that pitch? That deal? That All Shark Deal?
Not only was Siddharth able to bag an all-shark deal but also build an instant rapport with both sharks and viewers, grabbing national media attention.
“A satisfied customer brings in 5 more, but a dissatisfied one could drive away 100,” quoted Siddharth in an interview.
Snitch launched its mobile app and it was a game-changer. Within 3 months, downloads skyrocketed to 3.5 lakhs, leading to solid customer engagement and trimmed acquisition costs.
Adding an extra thread to its customer engagement playbook, Snitch continued to focus on:
2. Staying Relevant: Snitch gauges customer response before scaling up production of any particular design, ensuring constantly updated collections.
3. Product Reselling Initiatives: Snitch allows customers to seamlessly resell their existing Snitch apparel for new ones. This way, Snitch has been able to offer discounts to existing customers and scaled its retention rates to about 50%
4. Affiliate Partnership With Customers: Customers could get reasonable discounts on Snitch products by simply posting a picture on their instagram stories and tagging the Snitch handle. This way Snitch has been able to turn customers into its brand ambassadors.
Instagram For The Win: Snitch has definitely cracked the Instagram game and drives massive traction there. They post viral content on the platform and have close to a million followers.
Snitch’s recent Series A funding of INR 110 Cr and expansion to over 8000 SKUs signal its aggressive growth plans.
After building a strong online presence, Snitch recognized the importance of physical touchpoints. With a target of achieving a ₹600 Cr GMV in FY24, it has strategically opened 13 offline stores across pincodes and focuses on scaling their offline presence to 40 new stores, creating a seamless omnichannel experience for their customers!
After all, the new age consumer wants it all and wants it now!
Let’s travel back in time to 2013!
Where? To the PG room of Natwar Agrawal and Anuj Nevatia in Delhi. To the time when these friends from high school were planning to invest INR 50,000 in a show business as a side hustle!
FYI – This INR 50,000 was Natwar’s first salary as a CA.
Little did they know this side hustle would become one of India’s fastest growing footwear D2C brands!
From cash crunches, fundraising disappointments, and overstocking failures to a public rejection on Shark Tank India, the story of Bacca Bucci is nothing short of sensational!
Despite all odds, the brand stands strong, thriving with:
🔷 INR 66 Cr revenue in FY24
🔷 4,000+ daily orders
🔷 8 Mn+ lifetime customers
Although still bootstrapped, rather not able to raise funds, Bacca Bucci is not slowing down, and this is the result of incredible grit and resilience of Natwar and Anuj!
Let’s dive into the growth playbook?
“When we started out in 2013, we wanted to sell fast. Although the e-commerce setup was nascent in India, it showed promise. So, we started with listing products on Ebay, Snapdeal, and Indiatimes Shopping, And later on Amazon, Myntra, and Flipkart,” said Natwar in an interview.
And, this e-commerce-first approach proved to be instrumental in Bacca Bucci’s growth journey!
As per Natwar, 90% of their sales come from online channels, with 60% generated from e-commerce platforms like Amazon, Myntra, and Flipkart.
What worked for Bacca Bucci is their ability to optimise listings and offer competitive pricing.
Remember those high and mighty tops that dominated marketplaces back in 2015-16?
That’s typical Bacca Bucci for you!
And these high and mid-top sneakers still continue to be the brand’s bestsellers!
But not having a D2C website did have its limitations—although the brand was scaling fast in marketplaces, there was an acute lack of direct access to consumer data.
“The lack of consumer data slowed our growth! We could have done so much more if we had a more direct way to understand our consumer cohort better and interact with them!”
Recognising the need for a better understanding of their customer base, Bacca Bucci launched its own website in 2019. This allowed them to interact directly with customers, gather data on preferences, and personalise offerings.
The launch of their own website and app enabled Bacca Bucci to capture 30% of online sales directly, allowing them to run personalised shopping experiences.
Analysing reviews on marketplaces kept Natwar and Anuj busy when they did not have a D2C website for Bacca Bucci.
They realised good footwear was expensive – a hurdle for price-sensitive Indian consumers, especially in the footwear category.
With an average selling price (ASP) between INR 1,500 and INR 2,500, Bacca Bucci positioned itself as an affordable alternative to giants like Nike, Adidas, and Puma, whose products often sell for INR 4,000 and INR 6,000.
This pricing strategy has allowed Bacca Bucci to capture a significant share of India’s mid-market footwear segment, appealing especially to millennials and Gen Z consumers looking for value without sacrificing quality.
Sneakers are the star of Bacca Bucci’s portfolio, accounting for about 50% of their revenue, followed by athleisure footwear at 30% and boots at 15%
Bacca Bucci has consistently invested in digital marketing to drive traffic to both their e-commerce platforms and their D2C website.
Running ads on Instagram has allowed the company to engage their core audience—primarily consumers aged 18 to 35.
Also, Bacca Bucci partners with micro-influencers to promote their products and reach niche communities.
In 2024, Natwar and Anuj appeared on Shark Tank India, seeking INR 2.5 Cr for 1% equity. Despite a strong pitch, they were turned down by the sharks, who questioned their scalability. Yet, this public rejection turned out to be a turning point.
Following the episode, Bacca Bucci witnessed a 50x increase in website traffic as viewers, intrigued by the brand’s story, flocked to check out their products online.
Natwar said, “The Shark Tank experience helped us attract valuable partnerships who reached out to us after the episode aired. This (un)intentional marketing push provided the much-needed visibility and credibility that helped Bacca Bucci scale faster.”
To meet the growing demand after Shark Tank, Bacca Bucci operates a 25,000 sq. ft. warehouse in East Delhi, with additional fulfilment centres spread across India. This has allowed them to cut delivery times and ensure smoother logistics, even as their daily sales hit 4,000 units.
Bacca Bucci has recently entered the Dubai market, eyeing international expansion as the next frontier for growth. The brand’s entry into brick-and-mortar stores is aimed at building trust with consumers who prefer to try footwear in person.
Will Bacca Bucci finally be able to secure funds? What’s your take?
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