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Time of India
6 days ago
- Business
- Time of India
Pepsi/Coke = Bindu Fizz Jeera Masala: The war for India's tastebuds has quickly moved to your screen
Pepsi/Coke = Bindu Fizz Jeera Masala . In the high-stakes world of fizzy drinks, this comparison of a home-grown soda brand with the global behemoths may have sounded absurd until a few years ago. But Bindu Fizz Jeera Masala has found a great equaliser and a way to land in consumers' carts — through 10-minute delivery apps . 'Quick commerce helps scale faster, it's a good branding opportunity and helps in easy availability,' says Sathya Shankar, MD of SG Corporates, the company behind House of Bindu — makers of Bindu Fizz Jeera Masala, SipOn Mango and other drinks. Quick commerce is changing the way India shops. A March report by Flipkart and Bain & Company noted that India's quick commerce sector touched a total gross merchandise value (GMV) of USD 7 billion in 2024, compared to just USD 1.6 billion in 2022. Over two-thirds of online grocery orders and one-tenth of e-retail spending last year happened on quick commerce platforms, it added. Despite steep listing fees and the challenges of sustaining on platforms such as Blinkit, Swiggy Instamart, BB Now or Zepto, smaller brands, once relegated to the corner of kirana stores or supermarkets, are muscling their way in this cut-throat race for space — and relevance. 'Our brands, Chef's Art and Sunbay, are playing in the same field as big F MCG bra nds. Quick commerce is an exciting channel for the gourmet grocery segment,' says Ajay Mariwala, managing director of Food Service India, maker of ready-toF MCG com ch g s m of m apps. ale g — era other cook foods, condiments and premixes. 'We're now able to reach the doorsteps of targeted, mid-to-premium households in metro and tier-1 cities without high marketing budgets.' What started as a pure-play grocery model has turned into an entire ecosystem. From chips and tea to lipsticks, toys, smartphones and even air-conditioners — quick commerce platforms are offering customers everything they need. And though grocery still makes up the lion's share, the ground rules remain the same for all categories, say officials. New playgrounds But behind the large product selection and speedy deliveries, a different war is unfolding. 'The battle for shelf space has now transcended to screen space,' says the chief of a mid-sized Delhi-based tea brand, requesting anonymity. 'At least two of our established national rivals are flexing their muscle to keep us out — indirectly.' According to him, the big players sometimes 'offer to co-brand or collaborate on tactical marketing and get more clicks and first-screen access on searches when a consumer is browsing through the platforms'. But getting listed on these platforms is only the start, say industry watchers. Staying visible and scaling up is the real challenge, since in a 10-second scroll window, you're up against 15-plus brands in the same category. 'On top of the listing fee, platforms often ask us to spend on co-branded high-traffic marketing events like Diwali or a big cricket final,' says the chief of a mid-sized Mumbai-based snacks maker, adding that though they don't make a profit through these events, 'it's so important to be seen on screens'. Consumer connect Mayank Shah, vice-president at cookies and snacks maker Parle Products , concurs. 'Co-branding with quick commerce channels, more so during big event days, gets significant traction. You can communicate closely with consumers here which other large channels such as neighbourhood stores or modern trade may miss.' That may be the reason why thousands of mid-sized and smaller brands are flocking to the quick commerce bandwagon — some for strategic short-term windows, others for the long haul. For each, the endgame is the same: Reach, discoverability and access to both affluent and massmarket households alike, as long as they can afford the platform charges and margins. On average, 200-250 new brands on board these platforms on a monthly basis, says an executive at one of India's leading quick commerce platforms. 'Some stay on for a few quarters, depending on how much they are willing to pay as margin fee and spends on marketing. Some exit after their short-term objectives have been met,' he adds. The big draw? A fast-track route for brands to move beyond their core regional markets to metros and midrung urban cities, without the overheads of a physical retail store. 'What would take up to three years, is now happening in shorter windows, to create visibility,' says Sandeep Goyal, MD at Rediffusion. 'This is particularly true for emerging, smaller or regional brands, which want to compete with established names with quicker timelines.' 'While the placements are margin fee-driven most times, they are also guided by long-term relationships between the brands and platforms,' the quick commerce executive pointed out. Margins and maths But instant delivery comes at a cost. The platforms charge margins of anywhere between 10-20 per cent from established players. For mid-sized or smaller ones, the numbers usually go up to 30-45 per cent . 'Quick-commerce platforms often demand margins exceeding 30 per cent , even on lower-priced SKUs, challenging the long-term viability for emerging brands. But we remain optimistic about their potential,' says Indraneel Chitale, managing partner at Pune-based snacks and sweets maker Chitale Bandhu Mithaiwale. This is a common refrain among many mid-sized players, who believe that the economics — while tight — offer strategic benefits. 'The medium covers the cost of reaching newer markets and audiences, which otherwise we would have to incur. Additionally, consumer preferences are easy to test and understand,' says Shankar of SG Corporates, who created Bindu Jeera on a modest ₹35-lakh investment two decades ago. Calling instant apps a 'lucrative channel for brands to try new products and induce trials', Mariwala adds: '[Even the] Smallest of the SKUs work on this platform, which otherwise can get lost in general and modern trade. Limited selections in each category, focused, measurable communication and real-time feedback make quick commerce the need of the hour for brands like us.' Quick commerce, however, still has to move the needle for most brands' bottom line — the contribution to annual total sales remains at about 10 per cent , with the majority continuing to come from physical stores. 'Quick commerce gives discoverability, neighbourhood physical retail gives profits. It's in our own interest to balance both,' says one of the executives.
India.com
23-05-2025
- Automotive
- India.com
Meet man, auto driver, who built Rs 8000000000 business, owns car of Rs 11 crore, he is…, his business is…
Sathya Shankar was born in July 1964 in Bellare village, Karnataka. He completed schooling and then dropped out to support his family. He started driving an auto-rickshaw at the age of 18. It was financed through a government loan scheme. He repaid the loan within a year and bought an Ambassador car to take tourists outside Karnataka's South Kanara district. While driving the car, Sathya realized that driving will not fulfill his needs. In 1987, he started the auto parts business. In 1989 he opened a tire shop. He also did financial management and started Praveen Capital Private Limited in 1994 which provides loans for used vehicles. This company shares Rs 240 crore annually in the group's total turnover. In 2001, Sathya founded SG Corporates with an investment of Rs 35 lakh in Karnataka. By 2006, the company's turnover grew to Rs 6 crore, and by 2010, it had crossed Rs 100 crore. Now the SG Group handles many businesses, like Praveen Capital and Megha Fruit Processing, which produce around 55 products. Bindu Jeera Masala Soda In 2000, Sathya entered the mineral water business. During a 2002 trip to North India, he notices a shop mixing cumin (jeera) and salt into soda. This gave him a business idea to create Bindu Fiz Jeera Masala . Earlier it was not accepted much but Sathya distributed free samples, and slowly reached to many customers. Sathya married Ranjita Shankar in 1992 she is the Executive Director of House of Bindu . Sathya's company has an annual turnover of Rs 800 crore, and he owns a custom-made Rolls Royce Phantom VIII worth Rs 11 crore.
