[music playing]
[music fades]
'My name is Sandeep Jangra.'
'I work with my co-founder Ishan Chugh.'
He is a school friend.
When the first season of Shark Tank came out,
I applied even then.
We didn't make it for some reason.
Then I applied to Shark Tank 2 also,
but we barely almost made it.
Then came Shark Tank 3.
That time I had just managed to touch the door.
This time, I'm setting my foot in.
And I decided that around 200 stores in Gurgaon...
That's done...
'We've been preparing for the pitch for the last few days.'
No one knows what questions will come our way.
They could ask us
about our online as well as offline sales.
I've got the figures. 28%...
We hail from a small city.
I decided I would quit my job and...
Eat local, think global.
I decided to quit my job.
We hail from a small city in Haryana called Gohana.
[music playing]
'Where I come from., people have small dreams.'
We either do farming or run small businesses.
When I started in that city,
I had no idea that we would be able to take this business
to this level and such great heights.
'We sure are prepared.'
We continued to tread the right path
and made it to Shark Tank 3 today.
[theme music playing]
[music fades]
Greetings, Sharks.
My name is Ishan and I'm 31 years old.
Greetings, Sharks.
- It is famous for its 'jalebis'. - Absolutely, sir.
Oh!
This is a small city far from the metropolis
with a population of about 1 lakh people.
Gohana is famous for its huge 'jalebis'
as well as for Pizza Galleria!
[Sharks laugh]
Sharks, Pizza Galleria...
Sharks...
When... Go... Sorry.
- Take your time. - Have some water.
When I visited Gurgaon for the first time,
I was dazzled by the tall buildings there.
My friends and I contributed money
and I had pizza over there for the first time.
It was delicious!
It was as though a lion had tasted meat for the first time!
I decided to introduce Gohana to pizzas.
I decided to quit my job.
I went back to Gohana and started Pizza Galleria.
Sharks, we are known
pastas, garlic bread, choco lava cake
and pocket calzones.
We also make Bahubali Pizza
which is bigger than the 'jalebis' in Gohana!
[Sharks chuckle]
I take pride in saying
that Pizza Galleria was the first to introduce pizzas in Gohana.
Nice!
We started in Gohana.
We now run 30 outlets in Haryana, Punjab and Delhi NCR.
We are now ready for further expansion.
Our vision is to make Pizza Galleria
India's number-one veg pizza brand.
And for that, you now... You all...
Me and...
It... So, now, we need the help of the Sharks.
Our ask is
My mouth is watering. Give me your pizza.
- Yes. - Sure, sir.
[light-hearted music playing]
Sir, let me tell you what this is.
This is our Stuffed Garlic Bread. It is our best-seller.
This is plain Garlic Bread and this is a Single Topping Pizza.
This is our Tandoori Paneer Pizza.
Our dips include the cheesy dip and spicy dip.
[pleasant music playing]
The Tandoori Paneer Pizza is delicious.
There was a time
when we would sell just 50 to 60 pizzas a day.
Today,
Pizza Galleria sells about 4 to 5 lakh pizzas a month.
What!
- 4 to 5 lakhs! - Yes, sir. Per month!
We have beaten Domino's in some of the cities.
What's your Zomato rating?
Sir, our Zomato rating starts at 4.2.
It is 4.9 for Gohana.
- Wow! - Very nice.
What's the distance between Gurgaon and Gohana?
Around 120 km.
There are two routes.
You could go to Gohana via Sonipat
and the other one is via Rohtak.
Okay. On that 120 km stretch from Gurgaon,
were there no fresh pizzas available?
No, not freshly made pizzas.
You said you launched in 2015.
I did my schooling locally in Gohana.
My father got me enrolled
into a college in the village itself.
NC College/SDITM College.
I failed B Tech, sir.
- Oh, no! - Oh.
I received a scolding.
- Dad said, "You wasted my money." - Okay.
"You got a job with great difficulty"
- "which you quit!" - Yes.
"Now, you want money to start a business."
"I can't give it to you."
Oh! Which job was this?
Sir, I could not complete my B Tech.
Ishan did.
- Is he your brother? - No, we're school friends.
We've been together since ninth grade and have worked together.
Okay. Where?
We were on the third-party payroll for Ericsson India.
It used to be the first building on the left
when you entered DLF Cyber Hub.
You're always so specific!
You even mentioned the oblique in the name of your college.
He even gave us the two routes to Gohana.
[Namita laughs]
Let's get back to your job at Ericsson.
Ishan got a job first.
I was due for a 'suppli'.
What's a 'suppli'?
A re-exam, supplementary examination.
- I failed one of the exams. - Ah!
- What we call ATKT. - We call it that here.
- We call it supplementary exams. - Okay.
Sir, I had a subject called Network Analysis.
We called it NAS in short.
It was really nasty!
[laughter]
I tried everything.
- Look how he talks! - Finally, I told Ishan,
"Talk to your bosses and get me a job."
- "I want to get out of Gohana." - Yes.
So, he got me a job with his influence.
Secondly, I've never heard of a pizza chain
that only sells veg food.
This is a good business tactic.
Why veg?
My father was a religious man and believed in Jain saints.
So, I went to consult our priest.
I'd paid him random visits.
"Sir, I want to do a business. What field should I choose?"
He said, "Do any business you want,"
"but don't make a living by killing any living beings."
Oh!
or is your vision to keep it a vegetarian chain only?
- It will always be 100% vegetarian. - Interesting.
Ma'am, it's not like the market for veg food is small.
- India has a sizeable market. - The reason I asked you
was because I know a lot of vegetarians...
I am a vegetarian myself.
It's problematic for them to go to restaurants that serve both.
- So... - Zomato has 30% customers
who don't order from restaurants that serve non-veg food.
- That's a phenomenal statistic. - True.
- Veg-only restaurant chains are huge. - Very nice.
Why didn't you make it prominent?
- If I see... - Yes?
"Only veg" or "100% veg"
- is written in small font. - Why haven't you mentioned it?
Why don't you make it your main selling point?
That's a good point.
Sure, we will add that.
Enlarge the font.
How come this tastes better?
- All the pizzas use mozzarella cheese. - Okay.
We've added our customised liquid cheese to the pizzas
You failed! How did you learn such a lot?
After I tried a pizza in Gurgaon for the first time,
- I began doing R&D. - Oh!
I went to Domino's.
I found out if I could get a franchise. They said, "No."
Then I went to Rohtak.
- Did you go to Italy? - Sir.
- "The Taste of Italy for India." - I'll explain.
I looked up the internet for a good logo.
"Where was pizza first invented?" Oh, Italy!
That's when it clicked.
"The taste of Italy for India."
You did R&D,
but where did you learn manufacturing from?
I had gone to Rohtak for R&D.
There's a brand called Pizza Wings there.
I had a discussion with them.
I told them I wanted to open a pizza parlour in Gohana.
He refused to give me a franchise.
He offered to teach me though for a fee of Rs. 1.5 lakhs.
I see.
I had arranged for the money from friends.
My elder brother is a constable with the Chandigarh Police.
He was salaried. I took his money.
[Sharks laugh]
Over a period of 15 to 20 days,
they taught me the entire process.
How delivery works, how is the billing done...
Stretching the dough... I said, "It won't be round."
They said, "Do you know how to make a roti?" I said yes.
"Think of it as a roti then and go on."
I did that.
After doing it for so long, sir,
I now feel
that making pizzas is no rocket science.
[Sharks laugh]
All right!
- So, we started our first outlet on 25 December 2015. - Oh my God!
The people of Gohana really went crazy at the time, sir.
What's your revenue per month?
Above sales of Rs. 4.5 to 5 lakhs.
Both.
Sir, that ratio is 70% for dine-in
- and in-house deliveries. - 70%.
30% is through Zomato and Swiggy.
Is this a franchise model?
Where are you learning that from?
Is someone helping you? Do you have an advisor?
Frankly, we've learned it from Shark Tank.
- Wow! - So sweet.
Really.
We watched all your episodes and we learned from you.
You learned from us.
Yet, you are demanding a valuation of Rs. 50 crores from us!
Sir, we've got significant sales too.
[laughs]
Tell us about your sales. It must be a good number.
Our annual sales for FY 2019-20 were Rs. 8.5 crores.
The sales for 2020-21 were Rs. 10.5 crores.
The last year's were Rs. 11.5 crores.
Last year was 2022-23.
You skipped a year.
This was for last three years.
- Rs. 11.5 crores, 10.5 and 8.5. - Fine. 8.5, 10.5 and 11.5 crores.
You should have started with 2020-21.
In FY 2023-24, we'll be touching Rs. 9 crores.
What's the split between owned and franchise outlets?
This is the revenue of the 18 company-owned outlets.
I see. Why didn't you mention sales for the franchise owned?
We take royalty from the franchises.
Secondly, we take a cut from the inventory or raw material
that we give them.
Tell us the numbers.
We'll add it to that of owned outlets.
We take 3% of the profit that they make.
- 3% of the profit! - 3%.
No. You got it wrong.
- After breakeven. - Yes.
He means after breakeven.
I don't quite get the math.
Why are you only making Rs. 1.5 lakhs from 12 franchises?
The one-time fee is separate.
Okay. How much do you charge for the raw material?
About 3 to 4%.
No! Hang on.
Either your numbers are incorrect
or your franchisees are not making money.
Actually, some of the franchises were recently acquired.
Regular royalty comes from the old franchises.
Give us their figures then.
That brings us about Rs. 30,000 to 35,000 a month.
What are their sales?
Between Rs. 8.5 to 10 lakhs.
Are you content with a meagre Rs. 30,000?
How can we take profits unless they make it first?
There's still confusion.
How much do you charge the franchises for raw materials?
I already told you about that, ma'am.
We currently get Rs. 1.5 lakhs per month.
- And... - No!
You said you get a royalty.
You also said you get a separate amount for raw materials.
This is how much we approximately make.
- There's no lies here. It is what it is. - No!
It isn't about lies. I just can't understand.
Tell me what your franchise agreement says.
Our agreement states
that whatever their sales after breakeven...
- Raw materials cost Rs. 30. - Okay.
That raw material costing Rs. 30,
which includes packed sauces and cheese,
we give for 20%.
So, the value of the raw material
- is what we take a cut on. - On that Rs. 20.
We will not understand, and that has become clear.
[tense music playing]
Are you making profits?
- Yes, sir. - How much did you make?
15%.
How much was it last year in terms of value?
If I talk about a monthly average,
- all the outlets together must make... - Rs. 18 lakhs...
- Rs. 18 to 22 lakhs per month. - Around Rs. 18 lakhs.
What was this figure for year one when you did Rs. 8.5 crores sales?
There was nothing left in the first year.
- We used up everything. - Rs. 8.5 crores.
We kept money aside for expenses.
Okay. Did you make any profits in Rs. 10.5 crores?
Between Rs. 15 to 16 lakhs.
You said your net margin was 15%.
Then how come you're making only 1% on Rs. 10.5 crores,
which is Rs. 10 to 15 lakhs?
I think your numbers are incorrect
because you said, that last year,
on the sales of Rs. 11.5 crores,
your profit was Rs. 15 lakhs.
- Did you ask monthly or yearly? - Last year!
This was per month, ma'am.
- That's confusing. - Don't mix them up.
What are your projected sales?
Sir, our target is Rs. 16.5 crores.
- The team... - This isn't net profit.
It's gross profit.
What's that?
It is net profit, sir.
Did you use the profit or is it lying in the company?
- Or in the bank? - No, we used it.
We spent some on the company and the new outlets.
- The family needed some. - We have some money left.
Those things.
You need to start learning financials.
That's why we're here.
A lot of start-up founders believe
that they know a certain thing
and they'll hire a team for the rest.
It doesn't work like that.
If you're a start-up founder,
you should know 80% about everything.
Start learning all of this.
Otherwise, you won't be able to grow the business.
I really liked you as entrepreneurs and businessmen.
You proved
that experience and passion outweigh education.
You're doing great and are making money.
Keep a co-founder for finance or one of you master it.
I am out for now.
Your dream is that you want to open 500 outlets.
This means if you're in the franchise business,
it no longer remains a food business.
It becomes a franchising business
which means it needs to have SOPs in place.
Tell me the top three SOPs
and how you'd go about it.
If we decide to franchise,
about how the master franchisee will acquire new franchises.
We will focus on that point to increase our numbers.
You talk in circles,
quite similar to the shape of the 'jalebis' from Gohana.
It's just too confusing.
I don't understand how you will go from 30 to 500 outlets.
I asked you about SOPs,
and you started talking about a master franchisee.
That has nothing to do with SOPs.
For that reason, I am out. Good luck.
I think you possess a certain sweetness,
purity and energy
that I really love.
I am out
because I really don't think I have the expertise for this
or will be able to help you in any way.
I love your energy
and I have no doubt you will be able to expand to 500 outlets.
Thank you.
I believe you're spirited entrepreneurs.
You're racking your brains to figure out
how franchises will make money,
which is good,
because no franchise can grow into a big business
without considering how their partner will make money.
So, great work on that.
You possess
a lack of understanding of your own business
because you're unable to explain your franchise arrangement.
So, I can't figure out
which of your numbers is real and which ones are fake.
That creates a trust deficit.
I won't be able to join you. I'm out.
First of all, the food was very delicious.
Thank you.
A rating of 4.9 on Zomato is quite rare.
So, well done.
You possess first-class passion.
Had you come to me 20 years ago when I was in college,
and asked me to join you in your business venture,
I would have joined you.
I'd have been 12 years old then, sir.
[Sharks laugh]
I'd have been older,
- but I'd have come on board. - I wouldn't know the business.
I would have joined you, okay?
Well, um... I am out.
Firstly, I have never invested in a restaurant business until now
nor can I invest in them.
Secondly,
I need an organised set-up if I want to work with someone.
If I have to teach the basics to someone,
then it isn't worth it.
So, I am out as well.
- Okay? Sorry. - [mouthing]
'We're going back with a lesson...'
Given to us by the Sharks.
We're leaving with a vision
of how to proceed from here on.
We will make 500 outlets by 2030 come what may.
We possess the zeal and passion for it.
[music playing]
Good evening, ladies and gentle Sharks.
[laughing]
We believe
that electric car is the future.
But do you know that
in the manufacturing of batteries for an electric car,
more than 9 metric tonnes of CO2 is released into the atmosphere.
we just get a range of 300-500 km.
It is enough to create anxiety in any consumer.
India's first artificially intelligen
Wow.
made this car in a small garage behind my house.
you can use our vehicle
on Indian roads, autonomously,
which means you can direct it to run on its own.
My ask is Rs 2 crores for 4 per cent.
doesn't make sense. Where is the car? Have you not got it?
Sir, you want to see the car?
I want to drive it, sit in it.
Sir, I'd suggest let's take a drive.
Come on.
[music playing]
Whoa!
My God!
Who is driving?
I will drive.
Okay, get in.
Go, Vineeta.
Okay.
[car starts]
[music playing]
Slow down.
- What do you want? - We're not in a hurry.
- Harshal, slow down. - Yes.
- Have you left it? - Yes.
Move your legs.
No, Sir. I must keep my feet on the brake.
Get into the traffic. Let's see what happens.
No!
- That's the point. - This turn was good.
How much distance have you covered using AI?
- 300 km using AI. - Only 300.
How much using hydrogen?
Around 4000 hours using hydrogen.
What are you pulling now?
Sir, this is accelerator.
- Accelerator. - Yes.
[laughing]
[hollering]
[music playing]
Welcome back.
So, the car turned on its own.
It's so smart.
There's no pick-up and acceleration.
Yes, it's very noisy.
[music playing]
Very good-looking car.
Nice drive.
- Thank you, Ma'am. - I must admit, Harshal,
that you made this in Yavatmal.
Phenomenal. How?
I'm sure that your parents are very proud.
Yes, Ma'am. My parents are very proud.
It was my childhood dream
for India to have its sports cars.
But I didn't want to venture into diesel or petrol engine.
I was researching for alternatives.
In 2014, I made a small fuel cell.
It's approximately 3 volts.
In 2017, I found something that's 65 per cent efficient.
Then I thought of improving it, increasing the stack,
and fitting it into a car.
So, till 2019, we built a 15 kilowatt
fuel cell that gave approximately 75 per cent efficiency.
A handmade panel using hammer
and basic tools.
- How old are you? - 27.
And you've been working on it since 2015.
Yes.
So, when you were 19.
- Correct, Ma'am. - My God!
Generally, whether it's Tesla
or the current scenario in India
is towards EV-powered, autonomous driving.
So, why did you think of combining it?
Normally, when we drive electric vehicle for 3-5 lakh kilometres,
it requires battery replacement.
And the cost of battery replacement
is 50-60 per cent of the vehicle.
On the other hand, using our fuel cells,
after driving for over 15 lakh kilometres
that you dropped out after a point
and AI took over.
Correct, Sir.
It turned by itself which is very impressive as the lane was narrow.
But the experience felt a bit clunky.
When we came to a slope,
the car was struggling to ascend.
Correct. This is our first prototype.
So it's unfinished.
How much funds did you need to make this?
Actually, I borrowed it from friends and family.
Apart from that, I had businesses
so as much as I could save from that,
I put all that money into this car development.
Autonomous driving.
You have only driven it for 300 km.
The leaders of autonomous driving in the world
- have covered lakhs of km. - Correct.
Like Google, Tesla.
The data or model that they have
is far superior.
- Correct. - So if you try to compete
your model will lose.
Foreign companies that integrate AI
only follow lane marking
I have a cousin brother, Prajwal, he developed it.
So, why are you rushing into AI?
You already mentioned that
electric cars have a range problem.
- Correct. - I drove a Tesla car for 1500 km
and it doesn't even go for 400 km. At 200 km,
it causes a lot of stress, we have to charge it for 6 hours
so hydrogen compared to electric
you're solving such a big problem.
- Correct. - Then why are you getting into AI?
There are many road accidents in India.
Due to high speed and blind spots--
But a startup can't solve all the problems.
In India, for such a novelty,
consumers will have to trust to buy it.
For such a dangerous, complex technology
why should a consumer like me trust you?
Because our AI system will be very useful for emergency braking.
It will detect vehicles within 500 metres that are slowing down
and it can cause an impact on your vehicle.
So, that feature will be useful.
If it saves 2-3 lives,
people will indirectly start trusting the vehicle.
All this is a part of Tesla's AI.
Their approach to technology is different.
What's the difference? They use LiDAR.
Correct.
- But you can. - Yes, Sir.
I feel that you are lost in your world for 8 years.
Um-hmm.
Tesla, Google,
your performance is superior than them.
You're making that claim.
So, somewhere it doesn't fit.
But, Sir, since we've initiated it. We will surely achieve something.
Courage is great but
there's a thin line between courage and foolishness.
Correct, Sir.
You... [laughing]
- Harshal. - Yes, Ma'am.
What's the competition in this space?
Let's start with hydrogen.
There's Toyota Mirai
and Hyundai NEXO.
These two cars run on hydrogen and have maximum sales.
What's the sales like?
24,000 units of Toyota Mirai have been sold worldwide so far.
And why doesn't it sell more? Is it the costing?
It's hydrogen.
- It's very... - Lack of infrastructure.
How will you fuel up hydrogen?
When big brands are just selling 24,000
then what will you do with Rs 2 crores?
The infrastructure challenge.
Reliance and Ambani already invest billions
of dollars in the production of green hydrogen.
Even Indian Oil has--
So when will India have the infrastructure?
We will witness 1-2 filling stations in every metro city in 3-4 years.
It will be faster than electric outlets.
Because it takes 5 minutes to refill.
In the last 20 years,
how many new car companies have evolved?
One. Tesla.
No, there are 2-3 Chinese companies too.
- Correct. - Yes? And Tesla.
On the one hand, are incumbents,
the German car makers,
US car makers and Japanese car makers, broadly.
Correct.
Indian car makers.
On the other hand, there are 2-3 examples
which have been built in the last 20 years
and they put billions of dollars into it.
And they have advanced the technology so much
that to catch up to it is almost impossible.
60 lakhs, 2 crores, 5 crores, or even 100 crores won't help.
- Do you understand what I'm saying? - Yes, Sir.
So, how will Rs 2 crores help you?
You might build a better version.
But where will you get an assembly line from?
How will you generate demand?
How will you build a brand?
It will require billions of dollars.
But, Sir, I will only sell five cars to begin with.
Then 10, 15. So the assembly line will be set.
[music playing]
- [sighs] Everyone's quiet. - I know.
You know why? Because everyone likes you.
Thank you so much, Sir.
You seem to be a nice person.
But somewhere, I feel that you're not understanding
that you can't build a business or brand of cars with this.
You have good knowledge. Please get a job somewhere.
If you can.
Help those companies
by sharing your knowledge and they will launch the cars.
You spent 8-10 years
so please do something else. I'm out for now.
Thank you, Sir.
Look, green fuel is the future.
Hydrogen-based cars will be made.
So we can do that.
No, because you're distracted.
AI cars, autonomous vehicles, are 10-20 years
later requirement for a country like India.
Energy crisis is real and right here. Right?
I'm out for now.
But I hope that you take one direction
either AI or hydrogen.
- Hmm. - Else, with the limited resources,
you won't be able to make it big.
Vineeta, why? I'm sorry. But you're giving him the wrong advice.
You know where hydrogen cars and technology has reached?
Toyota and Hyundai
have created next generation fuel cells in hydrogen.
The fuel cells that he's currently making,
did you see how it ascends a steep slope?
It's very rudimentary.
Whatever he chooses, AI or hydrogen,
it will miserably fail.
The technology has gone way beyond.
You have a passion.
You will do what you have to.
I'm out. Good luck.
I completely agree with Anupam.
The other players are way ahead.
- And for that reason, I'm out. - Thank you, Ma'am.
Often, when founders do something crazy,
Um-hmm.
people advise them to not pursue.
Correct, Sir.
And you get another set of people asking you to prove them wrong.
Yes, Sir.
Our ego in between
listens to the advice of proving them wrong.
Hmm.
- True. - Correct? And the rationality of
it not working, or why it won't,
we completely sideline it.
I won't listen to you. No matter what you say, I'll prove you wrong.
Hmm.
Check your mindset.
Check your ego.
And the level of craziness.
Are you just trying to prove everybody wrong or
wronging yourself?
- I'm out. - Okay.
- All the best. - All the best.
Thank you so much.
And very nice car. Enjoyed the ride.
Thank you.
It's fun to see that, in India,
people from small towns and villages, are thinking big.
I feel proud but also feel bad when someone is headed the wrong way.
So, we tried. He seems smart. He might just get it.
[music playing]
Sharks, before I start the pitch,
I have a question for you all.
Can you tell me which art form is this?
- Warli. - Warli.
Right. Can you tell me which art form this is?
This is a Gond painting from Madhya Pradesh.
Sharks, like Warli and Gond,
there are more than 200 art forms in India.
hardly knows about it.
Due to which these art forms
are gradually disappearing.
to preserve and promote
the traditional arts of India through our brand, Rooftop.
[music playing]
Rooftop is an app
online and offline
have booked art workshops through Rooftop.
And more than 3000 artists
have been provided a sustainable livelihood.
Sharks, to take Indian art to the global stage,
I'm asking you for
Rs 2 crores for 4 per cent equity
- Welcome to the Tank. - Thank you.
Firstly, when I travelled abroad, I noticed that
the world is beautiful.
And when I returned to India,
which is known for its history, art, culture.
Why are we not mapping the passion?
I took some small steps, mapped the passion and created a community.
And then through iterations, we have Rooftop today.
Tell me more about the story.
We started with travel experiences.
We travelled the globe and observed
that nobody is solving the root problem in India.
We picked a territory in Rajasthan,
and went to a master artist in Jaipur, Jodhpur, and Udaipur.
We understood the art form.
If you go to an artist's house for 2 to 5 hours,
and you learn about the art form through that artist,
and in that short span, on a small canvas,
you create that art and craft.
So, it's an experience for you, a story of a lifetime.
And I feel that you genuinely connect with that culture.
That's how it started.
By spending four hours in a workshop
nobody becomes an artist.
Round the globe, creative learning
- is growing rapidly. - Okay.
India is not enjoying the same pace.
Because access to authentic
stuff is not the same.
I'm bridging the visual art forms in India.
For learning, leisure, networking, and content.
It's still confusing.
Show us the user journey.
The best part is that
the app can help you understand art.
How old the art is,
who practices it,
the importance of that art,
how it is made, what materials are used in the making...
When you opt for a course,
you get so many options.
Specifically, the most unique part is that it is multilingual.
Traditional artists are only able to teach in their local language.
You get to learn the same content in English or Hindi.
- Does the class happen at your end? - Yes.
- Is it a video class? - It's a video class.
- Is it live or pre-recorded? - We have both.
- The courses... - What about live on-site?
- Experiential? - We have on-site too.
We've partnered with 1,160 artists from 122 towns in India
to host the courses.
You say you have 1,160 teachers.
How many students did you get on board?
We have about 4,500 active monthly users
and between 7,500 to 8,000 registered users on the app.
- That's too low. - Your business is slack.
That of our online workshops is between Rs. 600 to 1,100
and that of courses is between Rs. 3,000 to 5,500...
That's not done.
In every business...
I understand you have different segments,
but you're too early-stage to get so complex.
Tell me what your average customer acquisition cost is.
- I... - Across your business.
It can't be a range.
It has to be a number as it is an average.
Do you understand?
Yes, I will try to answer that.
Our customer acquisition cost
for both products,
because that has been our focus,
is somewhere around Rs. 1,000.
What is your LTV, Lifetime Value per Customer?
We acquired 50 customers in the last two months
purely for our hero product.
Out of which two customers
bought three other courses from us thrice.
Going by that, 15 to 18% of our customers
buy from us again.
Do the math.
What is your average lifetime value?
A customer gives us a value of Rs. 50,000 to 60,000.
Yes. 20%, yes.
What's your average order value?
- This... No. - Rs. 2,000 per month.
Our average order value was Rs. 18,500
based on the Rs. 27,000 course.
Hey! Average order value!
Average means blended,
- not your most expensive course. - Yes.
Add all of them, 400 and 27,000
and divide by the number of customers.
- Get it? - Absolutely.
Anupam, I can't give you a clear answer right now.
I don't want to give wrong figures.
- I can't give you clarity. - Fine.
- I'll surely... - No problem. Do you know the LTV?
Lifetime value or annual value
or six-monthly value of average customer.
Going by the data of the last few months,
I think that one customer,
if I were to do the math...
One customer gives us a value of Rs. 50,000 to 60,000.
Let's try another angle.
- Okay. - What was last month's revenue?
Around Rs. 11 lakhs.
Rs. 11 lakhs last month.
I mean. Rs. 7 lakhs and... Yes, Rs. 7.5 to 8 lakhs.
What was your marketing cost?
Zero. We haven't spent a rupee on marketing in the last quarter.
You mentioned CAC.
How can you have CAC without incurring marketing costs?
When we launched version 2 in March or April,
- then in the last six months... - These are renewal customers.
He's milking the renewal customers.
Buddy, what's your monthly burn?
- Rs. 14 to 15 lakhs as we are getting revenue. - Okay.
What do you do?
Do you have another source of income,
because you don't seem to have any idea about business?
Nor do you know numbers.
[tense music playing]
This isn't making you any money.
It really is profitable, that's why I do only this.
- You're not making anything now. - Yes.
- Yes, sir... - Have you raised funds yet?
None.
100% equity is yours?
My mom has... My family has some.
- How much? - Mom has 65%. She had given me a loan.
What's the amount?
Rs. 3.25 crores so far.
You come from a very well-to-do family
that has the means to invest in a business.
No. If I talk about runway,
I don't have a runway of more than 7 to 8 months.
[sombre music playing]
What will the business be like five years from now?
Multi-faceted.
Online and offline, if you want to learn
Indian art anywhere in the world,
then Rooftop is the sole platform.
Indians, who are creative, are spread across the globe.
- Today... - I think you are delusional
and are telling tall stories.
I'm out.
Your branding and the name Rooftop are amazing.
It's a good mission.
Having said that, you don't have a product-market fit.
You are not able to explain what you're making.
You seem to have lost touch with reality.
You need to come back to reality
and crack the product-market fit.
Only after that, invest someone else's money into it.
Your mom will forgive you, but your investors won't.
- Okay? - Yes.
What happens sometimes
is that founders start treating their business
as their babies, right?
They get overattached.
Your love is slightly blind.
Your business model is not scaleable.
If you want to sell your product, there's too much competition.
Too much going on right now.
I'm sorry if you didn't like the feedback,
but it's my job to be honest.
- For that reason, I'm out. - Okay.
Kartik, you know, life isn't as complicated as people make it.
We tried to understand what you were saying,
but had you said it in simple words, we'd have understood better.
What you did was explain everything in a complicated way.
Giving simple, clear and concise answers is important.
I am out.
Have you ever done a job in your life, Kartik?
I was into management consulting.
In which company?
In PwC.
Sometimes, we are very good as professionals,
but as businessmen,
we don't have it in us or possess those skills.
You came here... Again, I'll be forthcoming.
As though someone woke you up from your sleep
and asked you to come to Shark Tank
and you just upped and came here.
Seriously.
This art training, learning art...
How big is the Indian industry for learning traditional Indian art?
It is...
- It doesn't exist! - 80...
You have to create it.
Do you know the amount of capital it takes to create an industry?
Absolutely.
Do you know how many online hobby and art classes
have failed in the last five years
and how much capital went into it?
You have no idea.
I'm sorry, but you have no idea, buddy.
That's why I'm out.
Listen. When will you start the marketplace?
- In two months, sir. - Is there
- any other Indian artisan or Indian marketplace in India? - No.
- Not at all? - In e-com.
- But... - E-com? As in?
Selling paintings.
- There are 40 to 50 platforms. - In the world?
They sell fashion as well as e-commerce.
Who are they?
Not a big name which I can tell you.
In five years, what do you think will be the split
in revenues for marketplace and learning?
The marketplace will be huge.
Learning is very important for a start
because that's what brings engagement and interest.
After that, it is consumed and purchased by people.
It's important to educate about art so that the art sells.
- It isn't important to teach it. - Right.
Art has many uses, and that is one of the cases. Yes, right.
What are you raising the money for?
The marketplace doesn't exist.
You see,
his touchpoints are interesting.
He knows 1,160 people.
Without competition, it's a very cool business.
Which business in India comes without competition?
I have a yes or no type of question.
If I have to buy
any of these art forms online right now, can I?
Yes, you can buy.
- I'll get it online. - You'll get Warli paintings.
Online, yes...
- I'll get everything. - Not everything.
- Most of it.
- I'll get most of it. - Yes,
but whether it is authentic or a top artist's work
will remain a question.
For you too.
- I was... - Yes.
- Headed down the wrong road. - Yes.
I'm out.
The only good I saw was
you're working to promote the Indian arts and culture.
Other than that,
I didn't feel you had anything to offer.
- Thank you, Sharks. - Thank you, Kartik.
- Good luck. - Thank you.
[sombre music playing]
Hello and welcome to Ask The Shark.
Joining us on Ask The Shark today
is the Executive Director of Emcure Pharmaceuticals,
Ms. Namita Thapar.
- Ma'am, welcome. - Thank you.
Ma'am, we've received quite a topical question
from Nandini Roy in Gurugram.
'N. R. Narayana Murthy has said'
will benefit only one sector which is pharma companies.