The Indian snack industry has experienced rapid growth over the past few years, driven by the increasing demand for convenient, ready-to-eat foods. The market is valued at around USD 30 billion, with a projected annual growth rate of 10-12%.
Consumers are increasingly seeking healthier, traditional snacks that are both tasty and nutritious. This shift has opened the door for brands offering innovative and healthy alternatives to traditional snacks like potato chips.
Demand for Healthier, Traditional Snacks
As health consciousness grows, people are turning to snacks that are not only flavorful but also low in fat and made from natural ingredients. Traditional snacks like banana chips, once considered a regional delicacy, are becoming popular across India due to their perceived health benefits. With the rise of the wellness trend, the demand for snacks made from whole, natural ingredients is booming.
Introduction to Beyond Snack
Beyond Snack is a premium banana chips brand that taps into this growing demand for healthier, traditional snacks. The brand stands out by offering a range of unique flavors while maintaining the authenticity of Kerala’s traditional banana chips. Beyond Snack gained national attention after its appearance on Shark Tank India, where it received investment and mentorship from top business leaders. Today, the brand has expanded its presence globally, reaching markets like the U.S., UAE, and Singapore.
1. Founder
- Founder Name: Manas Madhu
- Launch: January 2020
- Business Location: Kochi, Kerala
- Initial Product: Vegetable-based mock meat (pivoted to banana chips
2. From Corporate Life to Entrepreneurship
Hailing from Alappuzha, Kerala, Manas Madhu always had a passion for food. Initially, he worked in the corporate world, but his desire to start his own business led him down the path of food entrepreneurship. This passion grew after reading an article about the food business, inspiring him to explore opportunities in this space.
Shift from Corporate Life to Exploring the Food Business
Manas decided to quit his corporate job and relocate to Kerala, where he began researching the food industry. He spent weekends meeting people involved in the food business to gain insights. Initially, his focus was on creating a vegetable-based mock meat product, but this venture did not succeed.
The Banana Chips Opportunity
Despite the setback with mock meat, one experience changed everything. After tasting a poorly made bag of banana chips, Manas realized there was a significant gap in the organized banana chip market. Unlike the well-established potato chip market, banana chips were mostly made in small, unorganized setups with no focus on hygiene or quality. Manas saw an opportunity to create a premium, standardized banana chip brand.
3. The USP of Beyond Snack
Sourcing Premium Nendran Bananas
The core of Beyond Snack’s success lies in the premium Nendran bananas it uses. These bananas are sourced directly from farmers in Kerala and other southern states, ensuring that only the best quality fruit goes into the production process. Freshness is key—bananas are turned into chips within 24 hours of being harvested, guaranteeing the highest level of freshness and flavor.
Product Innovation and Health Focus
Beyond Snack differentiates itself by offering chips that are thinner, crisper, and healthier compared to traditional banana chips. Their controlled cooking process results in chips that have 20% less fat. The brand’s product line features exciting flavors, including Original Salted, Peri Peri, Sour Cream Onion Parsley, Desi Masala, and Hot Sweet Chilli. These innovations cater to the modern consumer’s demand for variety and healthier options.
Commitment to Hygiene and Quality Control
Beyond Snack’s production process takes place in a fully automated, tech-driven factory located in Kochi. This ensures that the banana chips are made with no human contact, maintaining the highest standards of hygiene and quality. The brand has implemented rigorous quality control measures at every stage of production, from sourcing to packaging, ensuring that every batch of chips is consistently fresh and crisp.
4. Business Model: How Beyond Snack Operates
Direct-to-Consumer (D2C) Focus
Beyond Snack has successfully built a strong Direct-to-Consumer (D2C) presence by leveraging popular e-commerce platforms like Amazon, Flipkart, Big Basket, Swiggy, Blinkit, and Zepto. This approach allows them to directly reach consumers nationwide, offering convenience and accessibility.
In addition to their online focus, Beyond Snack has expanded its retail presence, making their products available in over 3,500 outlets across supermarkets and hypermarkets in major cities.
Distribution Strategy
Beyond Snack is aggressively expanding its distribution network into both metropolitan cities and Tier-2, Tier-3 towns across India. This strategy ensures that their banana chips are accessible to a wider audience, from urban consumers to those in smaller towns.
The brand is also tapping into the global market, exporting to countries like the U.S., UAE, Qatar, Nepal, and Mauritius, showcasing their premium products to international consumers.
Supply Chain and Production
Beyond Snack partners with local farmers in Kerala and other southern Indian states, ensuring a steady supply of high-quality Nendran bananas. These bananas are the foundation of their products, ensuring consistency in quality and taste.
Their production facility in Kochi is equipped with advanced technology, allowing for automated, efficient production while maintaining strict hygiene standards. The factory ensures that the bananas are processed within 24 hours of harvest, guaranteeing freshness.
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5. Financial Performance: Pre and Post Shark Tank
Pre-Shark Tank Performance
Before appearing on Shark Tank India, Beyond Snack started modestly, participating in trade shows and relying on offline sales to promote their products. During the COVID-19 lockdown, the company shifted its focus to online sales, using e-commerce platforms to reach customers when physical retail was limited.
Post-Shark Tank Financial Growth
Beyond Snack’s appearance on Shark Tank India was a turning point for the brand. They secured a Rs 50 lakh investment from Aman Gupta and Ashneer Grover in exchange for 2.5% equity. Since then, their monthly revenue has exceeded Rs 1 crore, reflecting a six-fold increase in business.
The brand is now on track for double-digit growth in 2023, with ambitious plans to achieve Rs 100 crore in annual revenue. They also plan to expand to 23 more cities as part of their growth strategy, aiming for national recognition.
Revenue and Profitability Goals
Beyond Snack’s focus is on scaling their operations to achieve significant revenue growth. With their business model and product innovation, they are confident in reaching their goal of Rs 100 crore in revenue while continuing to improve profitability.
6. Marketing Strategies: How Beyond Snack Built a Strong Brand
Shark Tank India as a Catalyst
Beyond Snack’s participation in Shark Tank India played a critical role in boosting its brand visibility and gaining consumer trust. The support from Aman Gupta and Ashneer Grover provided not only financial backing but also valuable expertise.
Aman brought a deep understanding of branding and storytelling, while Ashneer helped with organizational growth and rapid execution strategies. Together, their insights transformed Beyond Snack’s marketing and growth approach.
Digital-First Approach
Beyond Snack has taken a digital-first approach to marketing, focusing on strong social media campaigns to engage with consumers. Their first major campaign, ‘24Carat Taste,’ emphasized the premium quality of their banana chips, reinforcing their brand’s commitment to excellence.
Omnichannel Marketing and Retail Penetration
In addition to their online presence, Beyond Snack has adopted a balanced marketing strategy, focusing on both digital and retail platforms. Their products are widely available through e-commerce, while they continue to build relationships with key retail chains and distributors, particularly in markets like Maharashtra.
7. Funding Journey and Investor Contributions
Initial Investment from Shark Tank
During Shark Tank India, Beyond Snack received Rs 50 lakh in funding from Aman Gupta and Ashneer Grover, in exchange for 2.5% equity in the company. This investment was the beginning of Beyond Snack’s rapid growth trajectory.
Subsequent Funding Rounds
In addition to the Shark Tank investment, Beyond Snack has raised Rs 5.5 crore from angel investors and micro-venture capitalists. These funds have been crucial in expanding their production capacity, enhancing marketing efforts, and broadening their distribution network.
Role of Investors
Aman Gupta’s contributions have been invaluable in refining Beyond Snack’s branding and customer engagement strategies. His expertise has helped create a compelling brand story that resonates with consumers.
On the other hand, Ashneer Grover has been instrumental in guiding the company’s scaling efforts, particularly in terms of operational efficiency and rapid expansion. His insights have enabled Beyond Snack to grow quickly while maintaining quality and consistency in their products.
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8. Overcoming Challenges and Breaking Barriers
Consumer Skepticism
When Beyond Snack introduced flavored banana chips outside Kerala, they faced consumer skepticism. Banana chips were mostly viewed as a traditional snack, and flavored versions were new to many customers.
To overcome this, Beyond Snack implemented smart strategies:
- Sampling: Offering free samples helped people experience the unique taste and quality firsthand.
- Online Sales: Through online platforms like Amazon and Flipkart, they reached a broader audience, allowing people to buy and try the chips conveniently.
- Innovative Flavors: Beyond Snack introduced exciting flavors like Peri Peri and Sour Cream Onion Parsley, which helped capture the interest of customers looking for something different.
Establishing a National Distribution Network
Scaling the distribution network beyond Kerala was another significant challenge. Moving from a regional to a national brand required a lot of planning.
To overcome these hurdles:
- They partnered with e-commerce giants like Amazon and Flipkart, allowing them to reach customers across India.
- Collaborations with large retail chains in metropolitan cities helped establish a presence in supermarkets and convenience stores.
COVID-19 Disruption
The pandemic in 2020 disrupted many businesses, including Beyond Snack. Their original plans to promote through trade shows and offline sales had to be quickly adapted.
During the lockdown:
- The company shifted focus to e-commerce and D2C (Direct-to-Consumer) platforms, which saw a surge in demand.
- They partnered with delivery platforms like Swiggy and Big Basket, ensuring that customers could still buy their products even during the lockdown.
9. Technological Innovations at Beyond Snack
Automation and Standardization in Manufacturing
One of the key strengths of Beyond Snack is its focus on technology. Their Kochi-based factory uses automation to ensure consistent product quality.
- The use of technology reduces oil exposure in the chips, making them 20% healthier compared to traditional banana chips.
- By minimizing human intervention, the factory ensures high levels of hygiene and quality control during production.
Innovative Flavors and Packaging
Beyond Snack continues to invest in R&D (Research and Development) to create new flavors and enhance the customer experience.
- They have plans to introduce 20 additional flavors, adding to their current variety.
- Technological advancements in packaging help extend the chips’ freshness and shelf life, ensuring that customers always receive a fresh product.
Supply Chain Optimization
Beyond Snack has optimized its supply chain to ensure the freshest bananas are turned into chips.
- They directly source Nendran bananas from farmers, reducing the time between harvesting and processing.
- Bananas are processed within 24 hours of being harvested, resulting in farm-fresh chips that are lighter, crisper, and healthier.
10. Future Plans and Vision for Beyond Snack
Expansion into New Categories
While Beyond Snack is currently focused on banana chips, the company has plans to diversify into other snack categories. This will help them capture a larger share of the Indian snack market.
Retail and Distribution Expansion
Beyond Snack plans to expand its retail presence to 23 additional cities in India. By strengthening their distribution network, they aim to make their products easily available to more customers.
They also plan to grow their global presence, targeting more international markets beyond their current exports to the U.S., UAE, Qatar, and Mauritius.
Long-Term Vision
Beyond Snack’s long-term goal is to become a well-known national food and beverage brand. By focusing on continuous innovation and maintaining the highest product quality, they plan to stay ahead in the competitive market.
Their ambition is to grow into a multi-crore business within the next five years, establishing themselves as a leader in the premium snack segment.
11. Conclusion
The success of Beyond Snack can be attributed to a combination of innovation, technology, and strategic partnerships. These factors have helped the brand grow rapidly in a short span of time.
For Manas Madhu, the journey from a corporate job to founding a premium snack brand is a testament to his vision, resilience, and passion for creating something new.
With a continued focus on growth, new flavors, and expanding market presence, Beyond Snack is poised to make a bigger mark in both the Indian and global snack markets.
Their long-term ambition is to become the top player in the premium snack segment, delivering high-quality, innovative snacks to consumers worldwide.
FAQs
What makes Beyond Snack banana chips different from regular banana chips?
Beyond Snack uses Nendran bananas, known for their superior quality. The chips are thinner, crisper, and contain 20% less fat compared to traditional banana chips.
Where can I buy Beyond Snack products?
You can purchase Beyond Snack chips on e-commerce platforms like Amazon, Flipkart, Big Basket, Swiggy, Blinkit, and Zepto. They are also available in supermarkets and retail stores.
What are the available flavors of Beyond Snack banana chips?
Beyond Snack offers flavors like Original Salted, Peri Peri, Sour Cream Onion Parsley, Desi Masala, and Hot Sweet Chilli.
What are Beyond Snack’s future plans?
Beyond Snack plans to expand into 23 more cities in India, introduce new snack categories, and grow its international market reach.
How does Beyond Snack ensure product quality?
Beyond Snack uses a fully automated factory with strict hygiene protocols. Their bananas are processed within 24 hours of harvest, ensuring freshness in every packet.
Who are the sharks that invested in Beyond Snack?
Beyond Snack received a Rs 50 lakh investment from Aman Gupta, Co-Founder of boAt, and Ashneer Grover, Co-Founder of BharatPe, for a 2.5% equity stake.
How did the Shark Tank investment impact Beyond Snack’s business?
The Shark Tank investment helped Beyond Snack scale rapidly by improving its branding, distribution, and sales strategy. It also provided visibility and consumer trust, significantly boosting their revenue.
What was the company’s financial performance before and after Shark Tank?
Before Shark Tank, Beyond Snack had modest sales and was primarily focused on offline trade shows. Post Shark Tank, the company saw its monthly revenue exceed Rs 1 crore and experienced a six-fold annual growth.
Did Beyond Snack raise more funds after Shark Tank?
Yes, Beyond Snack raised an additional Rs 5.5 crore from angel investors and micro-venture capitalists to further scale its production, marketing, and distribution efforts.
What are Beyond Snack’s future growth plans after Shark Tank?
Beyond Snack aims to expand into 23 more cities, introduce new flavors and snack categories, and grow into a national food and beverage brand. They plan to become a multi-crore business within the next five years.
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