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Opportunity 14 Apr 2016

Juicing up ‘Raw’ opportunities

Growing at an annual pace of 11 per cent, beverages market today sits at $15 billion-a-year market in the country.

By Nusra Sub Editor

Unpasteurized, natural, packed with nutrients, enzymes and flavour, the Cold Press Juice is seen to grow market to 100 crore in the next 5 years. Basis similar facts its safe to say that the cold pressed juices would dominate the juice category over any concentrate juice in the next 3 to 5 years. Healthy, tasty and fresh, the cold pressed beverage market promises definitive opportunities of growth.

As this segment gives the investors and customers both a more fresh, reliable business to ride in, the segment is really picking high in cities like Delhi, Bengaluru, Mumbai, Kolkata and Pune. Delhi being the capital city hosts around 20 of such start-ups who are juicing the raw juice business in the city.

How ‘Juicy’ is the biz?

Like any other segment, Cold Pressed juice is a health and customer driven model. With people becoming more conscious about what they eat and from where it comes, the segment has boosted the growth of fresh juice segment in India.

Talking about the brands like Raw Pressery, Juice Up and Inspirit, they are already on a ride to fresh and a healthy India. Started in 2013 by former marketer Anuj Rakyan, Mumbai based Raw Pressery has soaked in around $6 million from investors like Sequoia Capital, Saama Capital Management Ltd and DSG Consumer Partners.

“Since its inception, Raw Pressery has grown from strength to strength. Registering revenues of Rs 3.5 crores in FY14-15, we plan to mature revenues up to Rs 7 crores in FY15-16 and 35 Crores in FY16-17,” said Rakyan.

Similarly, Noida based Juice Up which started late 2014 is serving around six variants of juices delivered to the households and corporate in Delhi-NCR.

“We are doing 16000 bottles in Delhi-NCR and are growing 20% month on month,” shared Riju Gupta, Director, Juice Up who is a serial entrepreneur.

Expansion is the key

With quick returns and better margins the segment is catching up in the fast growing Indian juice segment, and in years to come it may eat out the packaged juice market in India. Compared to the US and UK where the trend has become a part of the healthy life that they follows.

“Our distribution footprint will scale rapidly to 12 cities and cover modern trade, institutions, and HORECA and direct-to-home channels. The continuous involvement and support of our investors reinforces our vision to be India’s leading clean-label beverage brand in a rapidly growing global market,” shared Rakyan who started this business from being a mere concern to a necessity.

Juice Up which has opened its first kiosk at the Mall of India seeing the great potential the business offers. “At first we will open 5-6 kiosks, see the kind of model we can create, we can sell and can we get a brand recall, if it all works we will expand the model,” shared Gupta.

Unfolding new opportunities

Born out of the need in Kolkata, Inspirit started by Abhishek Jhunjhunwala is another Cold Pressed juice player that is creating awareness in the region.

“We are growing at 15-20 per cent month on month. We are getting good response and we are on a ride to create awareness to the masses,” shared Jhujhunwla who relies on word of mouth and digital marketing to grow the brand.

Cooking on the same lines, there are many other players like Zoe Cold Press, RawKing, My Greens, Antidote who are creating a healthy lifestyle. Not only this, fresh juice bars and cafes are another such segment which is becoming one of the disruptor in the fast accelerating juice market. Started in 2011, Joost Juice which holds the franchisee for Boost Juice in India is getting 800 enquiries for franchisees in a month on an average.

“We started franchising starting 2016, and this year itself sold 4 regions already in the first quarter, 16 stores in total. And yes, expansion is important, but our franchises have to be equally passionate people,” said Rivoli Sinha, Founder & MD, Joost Juice.

Growing at an annual pace of 11 per cent, beverages market today sits at $15 billion-a-year market in the country. According to a 2015 report by BCG and CII, beverages and fruit juices is one of the fastest growing categories within packaged consumer goods market.  And, this opportunity may give new entrepreneurs to sail on healthy business ground.

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