This is Shark Tank India episode number 26. In this episode of shark tank India Isak’s artisanal fragrances, Julaa Automation’s baby cradle and Rare Planet’s handcrafted products are the pitches.
Owner of Isak Fragrances: Vidushi Vijayvergiya is the owner. She comes from Lucknow. She belongs to one such family of India that has been making fragrances for 160 years. She has grown up with fragrances around her. She did her MBA from SCMHRD in Pune.
About Isak Fragrances:
During her stay in Switzerland, she did research on France fragrance business. With her research and knowledge she gathered from family business experience, she started Isak Fragrances. In last five years, they have developed a range customizable, collection based artisanal and unisex perfumes and attars. They are selling their products through online stores and selective offline stores. She started her own business because being a part of family business in Marwaris is difficult. In spite of being resisted by the family, she took the plunge and started this in 2016. Their perfumes are long lasting and according to the Indian climate.
Isak Fragrances Gross profit and sales:
The company’s valuation is 6.25cr. One signature collection bottle price is ₹3100. The making cost is Rs.350-360. Their last six months revenue is 18 lakhs and last month sales is 3.5 lakhs. Their discovery pack cost ₹650.
Asks by the pitchers of Isak Fragrances:
Pitchers approach with a ask of 50 lakhs for 8% equity of the company
Isak Fragrances Counter offers:
Peyush Bansal gave an offer of 50 lakhs for 50 % equity.
Vidushi gave a counter offer of 50 lakhs for 30% equity of the company.
Final offer for Isak Fragrances:
Vidushi accepted Peyush’s offer of 50 lakhs for 50% equity.
Owner of Julaa Automation:
Rameshkumar Patel, Chandrakantbhai Patel, Jay Umretiyay.
About Julaa Automation:
It is very difficult for a mother to take care of their babies for food, proper hygiene, and lastly the ‘Julaa’ and swinging of the Julaa at night.So after 7 years of experimenting the ‘Julaa’ was born. They are launching this product for the first time in the stage of Shark Tank. ‘Julaa’ is a smart swinging cot which can be controlled by smart phones.One can start swinging the cot from the phone and can fix it to variable speeds. The automatic fan and light are attached to it. Weighing scale are attached to it and parents can play lullabies from phones for their child if they started to cry.It has a wet detection sensor. This ‘Julaa’ has a tyre system by which one can move it from one place to another. The children upto age 6 can have swings on it.
Julaa Automation Gross profit and sales:
The company’s valuation is 5cr.The company has no sales till date as they are on prototype stage. They are here for the investment then only they can start their selling process. Some patents are filled and yet to be finalised. They have invested 25 lakhs rupees for the prototype and 7 long years. Production cost for 10 units will be 50k each, 100 units will be 40k each, and if 1000 units will be 35k each. The selling price will be around 80k rupees per unit.
Asks by the pitchers of Julaa Automation:
Pitchers approach with a ask of 50 lakhs for 10% equity of the company.
Final offer Julaa Automation:
All the sharks stepped out and no final deal was done.
Rare Planet Owner:
Ranodeep Saha, Vijay Kumar TR are the co-founders. Ranodeep himself started to paint earthen potteries and sell them to fund his engineering studies in 2015.
About Rare Planet:
In india in every 100km dress and clothes, language and art and culture changes. These art doesn’t reach customers at the correct place with the correct price. Rare Planet gives a platform to those artists to show their art. They sell all their products through four airports and e-commerce platforms. It includes terracotta, ceramic, copper, studio pottery products. Currently more than 10k artists are linked with them. Their vision is through Rare Planet they want to link with all the artists in India, to make those artists self dependent and move forward themselves also. They first started to sell their products in College Street, Kolkata.
Rare Planet Gross profit and sales:
The company’s valuation is 6.5 crore rupees. The copper bottle they sell cost around Rs.1799. They have a total of 6000 SKUs. They sell their products online and offline both. The company has chosen 4 airports to retail their products. The sales is Rs. 78 lakhs from offline and remaining 22 lakhs rupees from online stores. They have raised a first round of investment of Rs1.25 crore rupees at a valuation of 6.5 crore rupees and the monthly revenue was 4 to 5 lakhs rupees per month..In August 2020 they have raised a second round of investment of 2.5 crore rupees.
Asks by the pitchers of Rare Planet:
Pitchers approach with a ask of 65 lakhs for 1% equity of the company.
Counter offers for Rare Planet:
Namita gave an offer of 65 lakhs for 5% equity.
The co-founders gave a counter offer of 2cr at 5% equity which they later changed at 65 lakhs for 2.5 to 3% equity.
Namita later countered it with 65 lakhs for 4% equity.
Final offer for Rare Planet:
The final deal was closed at 65 lakhs for 3% equity.
Shark lesson of the day:
Shark Vineeta talked about the importance of brand names. Brand name is very important because brand name is an emotion. The consumers draw an instant picture after hearing the brand’s name. A brand name should be one that can raise emotions rather than carrying USPs of the product.