[music playing]
'In the last six weeks on Shark Tank India,'
'we saw numerous innovative businesses.'
- '- What the hell! - Hey!'
'The excitement remains intact even after many sensational deals.'
'Stay tuned.'
'MeduLance, with its helpline'
'and the technology support from back end,'
'provides an ambulance on an average of 8 minutes.'
'We have saved the lives of 8 lakh people'
'and also helped 2 lakh covid patients.'
'What a noble cause you're pursuing at such a young age.'
'My name is Pabiben Rabari.'
'I hail from Bhadroi, a small town in Kutch, Gujarat.'
'This bag you see'
- '- is known globally by my name. - Wow!'
'I feel this story is powerful.'
'India might produce a Louis Vuitton too!'
'We have the highest efficacy worldwide'
'and are the most-advanced vision therapy software.'
'We want to be associated with people with a vision.'
[Sharks laugh]
'That was great.'
'I quit studies after the tenth grade.'
- '- Huh! - I turned my woodworking skill'
'and innovation skills into a business.'
'I made Tipayi at the age of 17.'
'It is the job of people to gossip.'
'You went with your instinct. So, congratulations.'
'Thank you so much.'
'We present Perfora.'
'Colgate 2.0 will be made in India and we will make it.'
'Wow! What a lovely vision.'
'We're taking a bet on you.'
'I will give you Rs. 1 crore.'
'I'll take 25% of the company.'
'I don't think you should offload 25% at this time.'
'You're saying anything.'
'That's sour grapes for you!'
'I will offer you a dream deal at the valuation you asked for.'
'Rs. 5 crore for 5% equity.'
'Wow! Huge!'
'Biggest offer on Shark Tank ever.'
'You're the first company to take such an enormous valuation.'
'I hope you realise that.'
[theme music playing]
[theme music fades]
Sharks, our first cycle
was not a toy, it was an emotion.
Our first step towards independence.
Kids fall off bicycles.
- Hmm. - They get hurt and they get up.
But they eventually learn to balance.
Parents make children dependent by affixing side wheels.
- Owing to this they take time to learn how to balance. - Hmm.
But I am saying
that you can teach your children to balance a cycle from day one.
Okay.
Here to solve this problem is Tipayi.
[music playing]
I was very fond of engineering gadgets since childhood.
I turned my woodworking skill
and innovation skills into a business.
And I made Tipayi at the age of 17.
[music playing]
Tipayi is a wooden balance bicycle
which intentionally does not have pedals and brakes.
Second, children outgrow their cycles very easily.
But Tipayi's speciality is
that kids between the ages 1 to 5 years
and core muscle strength, and boosts confidence.
Kids can carry their bicycles on their own.
[music fades]
Currently, we deliver pan-India via online and offline channels.
to ask for Rs. 50 lakhs in exchange for 10% equity.
Lovely!
[music playing]
Are you 29?
I am 22 years old.
- Oh! - I made my first bike at 17.
Wow!
Let me explain the product.
This is stage one, tri-bike.
It is for kids between 1 to 2.5 years.
It helps them gain the confidence of balancing the bike.
Then comes stage two.
The tyre goes in.
And it makes for a low rider balance bike as you can see.
Sharks, this is stage three.
It is for kids between 3.5 to 5 years.
The frame of Tipayi flips
and can be adjusted according to the height of the child.
[whimsical song plays]
How cute!
She's like...
- Look... - [Sharks laugh]
Like her...
Wow! Great! Amazing.
Sharks, this is Tipayi.
- You saw how easily the kids rode the bike. - Oi!
Super cute.
How old are they?
These three are 3 years old and she's 4 years old.
Oi.
He has been riding it
and has learned how to ride a bike.
Yes, sir.
- Kids, let's say bye to the Sharks. - Bye.
- Bye.
- Bye, Sharks. - Bye, baby Sharks.
- Come on, let's go. - Whoa!
Look at that!
At 17 years,
people want to have fun and study computer engineering.
Did you complete your 12th? You complete it at 18 years.
I quit my studies after the tenth grade.
Huh!
I was really nervous when I decided to tell my parents my decision.
To be honest, the news was very shocking to me.
I tried to force him,
but he remained firm on his decision.
So, then I told her
- let's give him 6 months. - Yes.
Let's see 6 months down the line.
I'm sure he'll come up with something.
[machine whirs]
I did quit school but never stopped learning.
[inspirational song playing]
I took many short courses
and developed woodworking skills.
[machine whirs]
I made many sketches for Tipayi during the research phase.
During the course of my research,
I stumbled upon the concept of balance bikes.
My parents were elated after seeing the cycle.
[inspirational song playing]
I was very happy that he had made something
and that too at such a young age.
He has made it to Shark Tank today.
This at 22 years is a big achievement in itself.
[inspirational music playing]
Wow!
Okay, you did this.
I think I respect your decision.
Thank you.
What you didn't learn in school, you learnt outside.
So, no problem.
No doubt your logo and product are very unique.
[euphoric music playing]
- Thank you. - One can really say that
you put a lot of love into designing.
It's quite a cool bike.
[euphoric music playing]
- Thank you. - I would want my son to have this bike.
Tell me how many years it has been and at what stage the business is.
How does this compare to the bike your son already owns?
I would say this is cooler than Strider.
Alright.
We started in May 2019.
around September and October 2020.
In the first year of business, our sales were Rs. 50,000.
The majority of our business comes from B2B.
Ah!
Because in B2C, Tipayi has not reached its potential.
Does B2B mean you sell to Montessori schools?
We made a major export to the US recently.
Our main margin came through that.
Why would they buy from you when there are loads of companies there?
I, too, ordered a balance bike from the US.
They do have loads of companies,
but the prices of their bikes are very high.
How much does your bike cost?
- One bike costs Rs. 5000. - Not bad.
The bike costs just Rs. 5000.
Then what is the reason for sales being so low?
The awareness of this concept in India is very low.
- You sold only 10 bikes last month. - Yes.
How did you sell those?
Through Amazon and our natural traffic.
All our sales to date are organic.
How big a company is Strider?
They've sold 3 million bikes.
The average value is ¤100.
- Strider is a big company now, right? - Yes.
Why are you not able to grow the business?
How do you make them now?
We currently outsource.
We assemble the bikes in-house.
What's the manufacturing cost per bike?
[intense music playing]
He didn't do anything. He just established the business
and now he's waiting. He doesn't know what to do next.
[intense music playing]
How's your Insta game?
How many followers do you have on Instagram?
- We've not been very active. We have 300 followers. - Why?
- Oh, my! - Why?
We have not done any marketing to date.
We failed to get it booming.
- Right, they're available. - Oh, they are!
In the range of Rs. 2500 to 6000.
- So, they're available. - But it's metal.
- They don't offer the three stages we do. - Oh!
You said you owned a patent.
But this bicycle is available around the globe.
- Then... - I have a design patent for this product.
For stages one to three.
Yes.
There's a saying, 'It is the job of people to gossip.'
You went with your instinct. So, congratulations.
Thank you so much.
- The balancing is the thing. It's concept selling. - Correct.
Moms wouldn't be so comfortable
trying something this new with toddlers.
And you're pretty much pre-revenue.
For that reason, I am out.
There's a popular saying, 'The indulgences of the rich.'
In our country, most people struggle to buy a cycle.
And those who can afford it will buy a global brand.
But when they are imported into India, their price shoots up.
It is more than Rs. 10,000.
But didn't you say the same thing is available on Amazon for Rs. 3000?
But that is imported from China and is made of metal.
Because we use high-quality components,
the price obviously increases.
I believe building this business is very difficult.
It might do well abroad.
As in?
It might do better in exports.
But selling it in India seems impossible
at least for the next 3 to 4 years.
So, I am out. Good luck.
My son has been riding without training wheels
since he was 5.5 years.
We bought the balance bike for him before that.
- This is a stepping stone of sorts. - Correct.
I don't think the three stages offer much value-add.
This is a very small market
where you have to create awareness of a balancing bike.
So, building the brand and the business
seems difficult at this stage.
- For that reason, I am out. - Okay.
- Good luck. - Thank you so much.
Okay, three Sharks are out.
Let me tell you what I feel.
It is such a cool bike.
- It can sell. - Right.
You haven't marketed it.
You said yourself that Strider has sold 3 million bikes, right?
Do you know what else Strider does?
They conduct events.
They conduct events and races for kids that are 2 and 3 years old.
They have developed a community.
The business has gone beyond the bike.
Have you partnered with Hamleys?
We have contacted Hamleys and First Cry.
But due to a networking issue,
things don't seem to pick pace.
Why not?
They ask us to send the bikes to the headquarters.
But when we ask them for the address they don't provide it to us.
I don't think you can do it alone now.
- You need to be flexible. - Okay.
I don't understand the valuation you've arrived at though.
I have an investment from season 1.
- Ariro Toys, yes. - Me too.
I think they can sell this product for you.
When we invested, their sales were Rs. 10-12 lakhs.
Now, it is Rs. 50 lakhs a month.
And somewhere I want to help you work with them.
Aman, we invested in Ariro together.
I am okay to partner up on this one with him.
Let me make you a very simple offer.
[intense music playing]
It's not a rich valuation.
I will give you Rs. 5 lakhs in equity.
For 10%.
Rs. 26 lakhs were last year's sales.
Twice the revenue makes the valuation Rs. 50 lakhs.
And Rs. 45 lakhs is debt at 12% credit.
[intense music playing]
Marketing is your weakest point.
That's right.
You have the passion and the design, but no marketing.
Accept whatever offer they make to you.
Prem, we're purely in to support you and nothing else.
We don't wish to get into a business model or run it.
- We want you to tie up with Ariro. - Okay.
So that they can help you.
And they will surely sell it and help you.
They are on Hamleys as well as First Cry.
- You're in dire need of help. - Correct.
The deal is the same.
So, my counteroffer is Rs. 50 lakhs for 15% equity.
Don't get into the valuation bit.
You're barely 22.
People want to play the valuation game, you shouldn't.
I would like to do a deal without the debt.
Look, that's the offer.
- That's the offer. - Either counter it or reject it.
[intense music playing]
- Sharks, I don't think I can do this deal. - I understand.
I'm glad you didn't accept my deal.
You ought to see the world.
There's a world out there
where people are ready to give equity without money,
and we say no to doing the deal.
- Do you know of it? - Yes, sir.
No, how would you know?
- If you did, you... - I know now.
- Yes... If you... - [Sharks laugh]
So, think.
Bring mentors on board who will help and guide you.
- Prem, you received a lot of love. - Okay, best of luck.
- Good luck. All the best. - Thank you so much.
- Good luck. Bye. - Thank you.
- Bye. - Well done.
I feel sad for this guy.
These are the right type of people I want to help.
I wish he had taken your offer.
I know the product will sell.
The product is only half a part of the journey.
Half part is also the entrepreneur.
He lacked marketing but possessed the drive.
He is not in a hurry
and he will learn only through hardship.
- That's a good thing. - Yes.
- Hardships mould a person. - Yes.
Yes, that's good for him.
- The best part is... - That's fine.
[theme music playing]
[theme music continues]
Sharks, do you know?
When someone from Delhi, Mumbai or Bengaluru falls sick,
they don't get really worked up.
- Hmm. - It's because they have access to the best doctors,
hospitals and healthcare facilities.
But on the other hand, when someone from a small town falls sick,
they have no one to help them.
That's true.
Many people have lost family members due to this reason.
Ouch!
Owing to these reasons,
24 lakh people lose their lives
to preventable healthcare conditions.
- This is a grave problem. - True.
We bring a solution
through our healthcare revolution DigiQure E-Clinic.
[music playing]
We hail from the heart of India, that is Bhopal in Madhya Pradesh.
Wow!
DigiQure E-Clinic is a healthcare centre
and connect patients digitally to reputed doctors in towns.
We ensure the patients get
digital prescriptions, medicines,
lab tests and other facilities there itself.
Apart from this, we provide a subscription to the patients
known as Saksham card.
so that not a single death
takes place due to preventive health conditions.
Sharks, our ask is Rs. 40 lakhs for 4% equity.
Wow! Akanksh and Soumen,
welcome to Shark Tank India season 2.
It's an important mission
as you want to prevent 24 lakh preventable deaths in India.
Please tell us about your journey.
Like how you started.
I was born in a small village in Madhya Pradesh.
I have observed and experienced the problems in a village closely.
I used to live in Madiyado
as a seven-year-old kid.
A home help used to come to our house
and her girlchild used to play with us.
We two were good friends and spent a lot of time together.
I went to my granny's place during my holidays and then came back.
The home help visited our house like always
but her child didn't come this time.
[sweeping music]
Later, I came to know that she suffered from diarrhoea
and that her mother didn't have enough money to go to the city.
As a result, the child died.
Oh my God!
[gloomy music]
When I heard this news at such a small age,
I was adversely impacted by it.
[gloomy music]
To tell you the whole story,
I was good at my studies.
I cleared the all-India entrance to get admission to NIT Bhopal.
- Wow! - Wow!
Amazing!
I pursued B.TECH in electronics and communication engineering.
A middle-class family's dream is a government job.
There was an all-India exam for BHEL
which is a government PSU.
Again, I had a feeling
that I was a part of the crowd.
I wanted to do something to impact millions of people positively.
The family I belong to
never dabbled in business.
They depend on jobs and a government job is considered the best.
So it was a difficult decision to leave a government job.
Two of my cofounders
are also my college mates.
We immediately agreed upon this idea.
One of our cofounders
pursued MS after completing his B.TECH.
- What's his name? - In Computer Science. Saket Asati.
- Alright. - He worked in the healthcare department for 3-4 years.
He's taking care of the technology used to make this portal.
Another of our cofounders
worked in IT MNCs for five years.
All of you left your jobs.
We three left our jobs. We didn't want a fallback option.
It's a huge problem.
I think we can't do it as a side business.
That's right. You have a laudable thought process.
What's the equity split between you three?
Do you three have enough savings?
My wife has a job
and she's running the house right now. I don't take a salary.
She's your first investor actually.
How much money did you three invest till now?
We have invested Rs. 60 lakhs by now.
and spend Rs. 200 to Rs. 300, how much do you earn in a year?
Around Rs. 5.5 lakhs.
Rs. 5.5 lakhs. So it can't be profitable.
and we give them facilities for their marketing activities and camps
and charge them around Rs. 1.5 lakhs to Rs. 2 lakhs.
Do you get a commission on lab tests?
We get around 50% to 60% commission on lab tests.
Please tell us your total revenue and the unit economics.
Please tell us about FY 22.
We launched the Saksham Card in January 2022.
We generated a revenue of around Rs. 12.20 lakhs.
What's your income per outlet?
The income from one of our mature outlets is Rs 80,000.
- Per month? - Per month!
Sir, our biggest challenge is awareness and creating trust.
Villagers don't trust easily.
For this reason, we had to open a physical set-up.
Otherwise, we wanted to provide our healthcare worker with a bag
so that he could wander around the village as a mobile e-clinic.
Right now, hospitals don't charge you for providing doctors
- as they can get leads to increase their business. - Yes.
- Eventually, it'll lead to wrong behaviour. - Yes.
They'd pressurise the doctor to get more patients and earn more money.
Or they may stop this facility.
Sir, hospitals are joining us
because they are getting an outreach in addition to getting patients.
But you could face this challenge.
- I think... - We could face this challenge for sure.
It's a difficult task operationally.
I think you have two options.
You can make it a business or a support service.
I think it can be a great supporting service.
I'll do it and involve my company too
- but as an investor, will it make a profit? I don't think so. - Okay.
- For now, I'm out. - Okay.
- You said that you invested Rs. 60 lakhs from your side. - Yes.
Rs. 2 lakhs are spent in setting up one clinic.
I understand that you spent Rs. 14 lakhs to Rs. 15 lakhs for that.
Where did you spend the remaining Rs. 45 lakhs?
We have a technology team that developed this platform.
Alright. What's the size of the team?
It has around 15 people.
- The team is in Bhopal? - In Bhopal.
- Okay. - What's their salary per month?
Their average salary is around Rs. 50,000.
- So you spend Rs. 8 lakhs to Rs. 10 lakhs on their salary. - Yes!
You are burning money every month.
- How much? - We are burning around Rs. 1.5 lakhs.
You earn Rs. 4 lakhs so you are burning Rs. 6 lakhs, right?
We run IOTA Informatics in addition to DigiQure.
They take on some projects too.
What is that?
- What is it? - Your ten employees work for other companies too.
That's right.
Who owns that company?
It's the same. We three are the cofounders.
- What is its revenue? - Around Rs. 5 lakhs.
Namita, come on.
I checked all the figures
but I can't find a way to make it a successful business.
If you succeed in winning trust,
maybe the business can be built.
So I want to know what you are doing about it.
Sir, we are building local communities to build trust.
We contact the village head
and take their help in organising camps.
Earlier, only one patient visited our
clinic in a day but now the number is eight.
We are building trust gradually. In the healthcare business...
It would require a lot of time.
- Vineeta and I have an offer for you. - Wow!
Scaling up your e-clinic business and making money is a tough task.
Yes.
Secondly, our offer is conditional.
You need to merge
your IT company with this company.
As you can't have the same founders in two companies.
Okay.
- We liked your cause. - Okay.
And we like you!
You faced this problem in a village inhabited by 1,000 people
so we are betting on you.
Your revenue is Rs. 4 lakhs a month.
As good as pre-revenue. So we have a steep offer.
Rs. 40 lakhs for 20% equity.
I find you genuine
but it's not easy to make a profit in your business.
It will require a good investment and it will take time.
My condition is that the IT business must merge with it.
I'll give you Rs. 1 crore.
[thrilling music]
And I want to invest solo.
I'll give you a revised offer.
Alright, you'll get one more offer. This deal is becoming interesting.
You may stay quiet and enjoy.
It's not a bidding war. I'm not interested in bidding.
Do you understand your business?
The network matters more than technology.
What did you say earlier? It's all about the network.
And I don't think you should offload 25% at this point.
Let me tell you the reason.
But you asked for 20%.
I'm revising it now.
You mean to say you could ask for 20% offload earlier
- but they shouldn't give it to me. - I'm revising the figure.
- No, hold on! - Please answer my question.
You offered Rs. 40 lakhs for 20% equity
but now you are advising them not to offload 20% equity.
- I'm saying something different. - Namita, what are you doing?
- Hear me out. - Let them make a counteroffer.
You are being unreasonable.
[dramatic music]
When you scale up,
you'd need more investors.
You'll have to raise funds in future.
Vineeta and I want to revise our offer.
Let me tell you something more.
No offence to Namita and the medical profession.
The disruption of the medical industry
won't happen easily.
The monetisation is stupendous. Right?
That's the reason, I can't work in collaboration with others.
We got the point. Anupam wants to say something.
First of all, tell me the name of the girl.
Do you remember it?
- Geeta! - Geeta!
Hear me out.
I think you are at a pre-product market fit stage.
You still need to finalise the format of your business
but your goal is noble.
- Agreed! - All of us agree.
Your transparency and sincerity
are crystal clear.
[ethereal music]
I think telemedicine didn't work till now
but timing is the most important thing in business
- and that has arrived. - Right!
I don't know what your business model will be
but I want to join you
and I have some conditions.
First, you need to merge the IT services company with this company
and you must continue that work.
Secondly, please don't increase the number of clinics.
The day we get a product-market fit, I'll help you raise money
and then increase the number of clinics.
My third condition
is to let go of your company name
and rename it, Geeta.
If you want to grow as a business,
you must build it on the foundation of her memory.
It'll keep us motivated.
If you fulfil my conditions,
I'll give you Rs. 1 crore
at the valuation you asked for. I'm offering you a dream deal.
[suspenseful music]
I want 10% equity in your company for a valuation of Rs. 10 crores
[suspenseful music]
- You may decide. - Alright! Please give us two minutes.
Vineeta, if I go lower, will you be in or out?
No, I won't.
[dramatic music]
It has taken a dramatic turn.
- You loosened the grip of your hands. Wow! - What was that?
- Please tell us. - What's your decision?
We have a counteroffer for you.
For Namita. Okay.
Rs. 40 lakhs for 10% equity.
Vineeta is out.
You haven't yet understood your business.
- I don't want to negotiate... - Hold on!
- I think Namita is a great partner. - Do you know what it's called?
Do you know? It's a case of sour grapes.
You know the business, I know the business.
- - Network is what you need. - No, boss!
- We'll make this big. - We'll make it.
- By the way, best of luck. - Very good!
[triumphant music]
They have literally killed their business.
By partnering with a medical firm, they have killed their business.
- The worst decision of their life. I'm so sad for them. - Very good!
See, Namita is a great entrepreneur.
The thing is, when you want to disrupt a system
and deal with an age-old unsolved problem,
you need non-linear thinking.
They are following the traditional pattern.
In the traditional pattern, they'll be caught in the incentive loop.
They will have to give incentives to the doctors and the hospitals.
Then how will you serve the poor?
It's good that they didn't accept my deal
because they didn't get my point.
[inspirational music]
- Hello, Sharks! - Hello!
Sharks, we start our day
by worshipping God.
We offer flowers to God
by uttering, "we offer You what belongs to You."
Have we ever thought about the fate of the offered flowers?
Either they are thrown away as trash or immersed in the river.
[suspenseful music]
Sharks, you'd be surprised to know that every year
around 80 lakh tons of flowers is immersed in the rivers.
It contributes to the pollution of our rivers by up to 16%.
Also, the chemical spray done on the flowers
to increase their life
makes the river water acidic.
Sharks, we briefed you about flowers.
Now let's talk about incense sticks.
In the past, incense sticks
were made with herbs and natural perfume
but nowadays, these products are made synthetically.
You'd be surprised to know
that one synthetic incense stick
is four times more harmful than a cigarette.
No way!
We found these problems in temples
and we found the solution too
and it led to the inception of Nirmalaya.
[upbeat music]
We recycle the flowers offered at 'nirmalayas' aka temples
- and make our incense products. - Good job!
We produce essential oils for aroma therapy
and attars to replace chemical-based perfumes.
We mix the flower powders to make organic Gulal
- during Holi. - Bravo!
Sharks, we want to make Nirmalaya
India's number-one organic fragrance company.
Today our ask is
Sharks, let's spread Nirmalaya's aroma to every house.
It means a valuation of Rs. 40 crores.
Rajeev, Bharat, Surbhi, welcome to Shark Tank season 2.
How do you know each other?
Did you three meet at Bansal Classes?
What?
How could you forget your fourth Bansal?
There are many Bansals in India.
Take the fourth Bansal along.
- Sure, sir. - We'd be very glad.
Tell me how you know each other.
- Surbhi and I are married. - We're husband and wife.
- Rajeev is a family friend. - Okay.
You're God's devotee. Who hurt you?
The story goes like this. We recently received an order.
- A big 22 feet truck arrived. - Yes...
- A big container. First... - He wanted to take a selfie.
- The truck was full... - He climbed the truck and slipped.
Oh, no!
Nirmalaya's first order was huge.
You'll be shocked to know which company's order it was.
It was Emcure's, ma'am.
- Whoa! - [hysterical laughter]
- Yes. Definitely, ma'am. - Oh, my!
I don't know!
Explain the business to us.
Show us your products too.
The business is
that we collect flowers from over 300 temples in Delhi NCR,
The base of all our products is flower powder.
- Do you pay temples? - No, sir.
Earlier, they'd pay money to clear out those flowers.
They are happy now to be spared of that expense.
[music playing]
What you're holding is our Fragrance of India incense sticks.
We have a total of 18 fragrances in incense sticks.
Nice.
What is this?
Those are essential oils which we use for aroma therapy.
- The packing is good. - Thank you, sir.
Cow Dung Havan Cup.
- You will source from wherever you get. - Yes.
Only the incense part is made of recycled flowers.
We blend and make essential oils and attars.
Is there a moat in the supply chain?
Actually, all our products are certified by CSIR.
- Who? - Council of Scientific & Industrial Research.
It's a government body.
Anyone can make incense sticks from flowers.
But flowers emit a burning smell.
Not everyone knows how to overcome that burning smell.
We have a recipe
which we have developed over 2 to 3 years.
You mentioned
that one incense stick is equivalent to smoking four cigarettes.
The toxic, synthetic incense stick available in the market.
Does burning your incense stick or products
generate no toxicity?
Anupam, we have lab reports.
Our Havan Cups have less than 5% carbon content.
Normally, incense sticks contain 80 to 90% carbon content
- because they're made from charcoal. - Yes.
- So, yours is comparatively less harmful. - Yes, right.
Let's talk about sales.
You've asked for Rs. 40 crores. What were your sales?
Rs. 21 lakhs were around 6 months sales and...
Looking at annualised sales, Rs. 40 lakhs to Rs. 2 crores
is more than 5 times. How?
In January 2021, we explored the area of online sales.
We thought since it's a touch-and-feel product, it wouldn't s
But the online channel brought us significant demand
and Havan Cup is the best-selling product.
30% of our revenue comes online through Havan Cups.
What percentage of your business is online as of now?
Our CM2 is positive.
What does that mean?
After deducting the online marketing expense, our margins are positive.
They are loss-making, but not significantly.
Our burn is not too high.
What were last month's sales?
But sales were Rs. 80 lakhs
- as September is a festive month. - Right.
That's not a fair comparison. Tell me for August.
It was Rs. 51 lakhs.
Who buys these products and why do they buy from you?
We have three categories of customers.
The first category buys for aroma therapy.
The fragrance of our incense sticks
lasts for 24 to 48 hours in an enclosed space.
The second category is those people who buy it for puja
and they fall in the medium or high-income level group.
The third category buys for the cause.
It causes less pollution
and 80% of our workforce comprises women.
People buy for that cause too.
Just the market for incense sticks is Rs. 11,000 crores.
and US is the biggest importer.
India exports to over 150 countries.
So, Rs. 11,000 crores is the global market.
- Yes, global market. - Alright.
Is it characterised by growth or degrowth?
Who is the leader and what's their share?
No, it's growing by 15% annually.
How much is Cycle's business?
Around Rs. 950 crores.
Okay. So, the rest is fragmented and unorganised.
Yes, there are a few big players.
The rest are fragmented markets. There are a lot of local players.
Do local players comprise 60 to 70%?
70%.
- 70% local players. - Right.
Let's get to your competitors.
I would like to know how many and who they are.
There's just Phool, who is our direct competitor.
- That's it. Just one competitor? - That's it, yes.
Why do you say that? Tell me something.
What is your price point for a box of incense sticks?
Our MRP is Rs. 150 for 40 sticks.
- That's why it's... - And Phool?
Phool is Rs. 165 for 40 sticks.
Okay. So, your market is premium incense sticks.
Exactly.
What's the market for premium incense sticks?
From whom and how much?
We closed a round in July 2022.
Artha Venture led the round.
And Shiprocket and some angels invested too.
- Isn't it run by Mr. Damani? - Yes.
How much money did you raise?
The term sheet we signed was in April
and our sales were Rs. 40 lakhs a month back then.
Even during the festive season, March sales.
Our current sales are near about Rs. 80 lakhs.
No, that was just for one month.
No, October will fetch higher sales.
How much do you spend on marketing each month?
Almost Rs. 8 to 10 lakhs.
They're puja articles and are used daily.
But we're just 1.5 years old.
Okay. Rs. 1 crore is your monthly business...
- It's Rs. 70 lakhs now. - Yes.
How much do incense sticks contribute?
Yes. Tell us SKU-wise sales.
Our online and offline business bring 50% each.
- You've done a very good job. - Thank you.
I am out
because I don't think you need money to grow this business.
And there's already a big competitor.
The total TAM is Rs. 1000 crores.
Let's assume you both have Rs. 500 crores each.
I see TAM as an issue too.
You already have the funds to get to that point.
I don't really think you should even raise funds today.
That's why I am out.
I won't be able to help you even if I did invest.
and is growing by 15% year on year,
then the market is very exciting.
The problem is
whether it will be organised or not.
And if it does,
would you be one of the players?
I don't quite understand that right now.
What I found really surprising was
that your offline business is entirely corporate business.
I think that is a big negative.
In my view, making margins there is very difficult.
Second thing, at Rs. 70 lakhs scale,
in this business where your raw material is free...
Barring the collection charges, the rest is free.
You're still not profitable.
This is also a big negative for me.
I don't think business can be built on funding from VCs.
You raised funds, congratulations.
But don't get into that. Make this profitable.
I am out. Good luck.
You'll keep getting orders from Emcure.
So, don't worry about that.
The TAM is significantly less
But I hope you do.
I can't help you any more
than being a good, loyal customer.
So, I wish you the best. I am out.
I am out too.
Put up their photo here as well.
We ought to worship them!
It's great they gave you 28 crores for such a small business.
For that reason, I am also out.
Just try to earn money, but not burn money.
That is what I will say. Thank you.
- Thank you. - Thank you. Best of luck.
[bubbles rising]
'Anupam, today's Shark Xperience'
'features Prakash's question from Chandigarh.'
'Shaadi.com has many competitors as of date.'
'How do you deal with competitors?'
Greetings, Prakash.
That's an important question
because every business has to deal with competition.
The first thing is