Meals tech corporations: From Meals Darzee to EatFit, the wet well being meals manufacturers this season
The demand for healthy products, especially food, has risen steadily in the last year after the outbreak of the novel coronavirus. In fact, Google’s Year in Search 2020 report showed that “How to Increase Immunity” was one of the most searched health topics on the platform. Interestingly, this has resulted in food tech startups springing up like mushrooms offering bespoke meals based on individual nutritional needs and fitness goals. Coupled with personalized diets, these brands have partnered with nutritionists, doctors and culinary experts to offer a subscription-based solution to their customers’ health needs along with door-to-door delivery. “Our net sales increased by 30-40% last year compared to FY20. On average, a customer subscribes to Food Darzee for about 30 days, which costs them 245 rupees per meal for four meals a day. We currently serve 1,500 customers, ”Anirudh Ganeriwal, co-founder of Food Darzee, told BrandWagon Online. The health and nutrition company, which has offices in Mumbai, Delhi NCR, Pune, Bangalore and Hyderabad, claims its net sales for FY21 were near Rs.18-19 billion. It also plans to expand its presence to other cities like Chennai, Ahmedabad, Surat, Jaipur, Chandigarh and others.
Meanwhile, ParaFit, which supplies healthy meals in Delhi-NCR, also claims to have grown 80-90% in delivery business. “The fitness and health sector has grown well over the past year. We worked with Zomato and Swiggy for a la carte orders in South Delhi. We also plan to expand our operations in Mumbai, Pune, Bangalore and Hyderabad by the end of this year, ”said Paraj Primlani, founder of ParaFit, adding that in addition to expanding on hygiene and quality, there is an increased focus on hygiene and quality will new markets as well as the introduction of menus according to different tastes and preferences. The company claims to target 80-90% growth in net sales to approximately Rs.3.5-4 billion in FY22. It also plans to expand into retail with the introduction of brownies, protein bars, healthy biscuits and organic vegetables.
Because these brands offer differentiated offerings, most companies claim that word of mouth using performance marketing and social media marketing helped them acquire new customers. “Google Ads, Instagram and Facebook marketing and advertising on Zomato worked best for us. In fact, customer acquisition costs (CAC) have dropped 30-40% over the past year as conversions have increased. It is between 90 and 100 rupees for a four-week subscription plan, ”added Primlani. In the meantime, EatFit plans to spend 90-95% of advertising money on digital media. “Our consumer base has been mostly organic so far, but this year we will be spending around Rs 5 billion on advertising and branding. The main thing is to get our brand ambassador Devdutt Padikkal. As part of the association, we will be making digital films to evangelize about healthy food, ”said Ankit Nagori, co-founder of EatFit. The Bangalore-based company, which also operates in Coimbatore, plans to expand operations to Mysore, Chennai and Hyderabad.
Even as these companies continue to grow, experts believe brands need to work on a more focused approach to increase their reach, especially as the alternatives available are more accessible and affordable. Building a certain level of confidence in the product is key, said Upasna Dash, Founder and CEO of Jajabor Brand Consultancy. “It’s important to show and communicate the value proposition for the price paid to get consumers excited. In addition, micro-influencers, who represent the consumer cluster in a particular city, also play an important role in getting the message across. Since most of these brands benefit from word of mouth, it is important to get as many people as possible to try and consume these products so that they become the true advocates of the brand, ”she added.
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