Gud Gum Shark Tank India Episode Review

Gud Gum: Pioneering Plastic-Free & 100% Natural Chewing Gum in India

Gud Gum Shark Tank India Episode Introduction:

• Company: Gud Gum
• Founders: Mayank B Nagori and Bhuvan Nagori
• Website: Gud Gum
  
  Website is made on Shopify Platform and is doing good with SEO as over 1000 keywords are bringing more than 4000 worth of traffic

Gud Gum Shark Tank India Founders’ Background:

• Mayank B Nagori holds an Engineer’s degree in Chemical Engineering from B. M. S. College of Engineering.
• He pursued a Master’s degree in Food Production Management from the University of Nottingham, focusing on food interests.
• He has experience in digital content, product management, and food product development for various food businesses.
• Bhuvan Nagori graduated with a Bachelor of Business Administration (BBA) from Christ University, Bangalore.
• He worked as a retail sales manager at Masterpiece Hardware for over three years before venturing into entrepreneurship.

About Gud Gum:

• Presents India’s first plastic-free and 100% natural chewing gum.
• Made with tree sap ingredients, natural sweeteners, and food compositions.
• Aims to provide a responsible business product by promoting sustainable consumption and nature-friendly practices.
• Launched the biodegradable chewing gum in 2022 after conducting research on food ingredients.

Gud Gum Episode Shark Tank India Pitch:

• Mayank and Bhuvan Nagori presented Gud Gum in the Shark Tank India episode.
• Faced questions from the shark judges regarding the use of plastic wrapping for the product.
• Addressed concerns by emphasizing responsible disposal practices and the challenges of humid climates in India.

Investment Guidance from Shark Judges:

• Aman Gupta expressed concern about the perceived high price of the plastic-free and natural product.
• Mayank and Bhuvan explained that natural ingredients are costlier than artificial ones, leading to a higher price point.
• Anupam Mittal inquired about the possibility of repositioning the product as a health supplement, to which the founders explained its benefits for athletes and potential collaboration with psychologists.
• Vineeta Singh raised questions about the packaging, prompting the founders to consider alternatives like paper wrapping with foil.

Gud Gum Shark Tank India Episode Business Statistics:

• Gud Gum has served 17,000 customers.
• Sold in 120 retail stores across 14 Indian cities, in addition to online platforms like Amazon.
• The product is priced at ₹100.
• Target audience: Ages 22 to 45.
• The Indian chewing gum market size is approximately ₹1000 crores.
• Gud Gum offers nine SKUs.
• Unit economics:
  • MRP: ₹99
  • COGS: ₹23
  • Salaries: ₹7
  • Admin cost: ₹3
  • Shipping: ₹7
  • Advertisement & marketing: ₹7
  • Rent & electricity: ₹3
  • Profit before tax: ₹20.3
  • Blended discount: ₹10.9
  • GST: ₹17.8

Gud Gum Shark Tank India Sales Performance:

• FY22-23: ₹29.7 lakhs
• FY23-24 (till date): ₹53 lakhs
• Projected FY23-24: ₹1 crore
• Sales split: 50% online, 50% offline.

Gud Gum Shark Tank India Equity Structure:

• Bhuvan Nagori: 50%
• Mayank B Nagori: 30%
• Mayank’s wife: 20%

Gud Gum Shark Tank Deal:

• Final deal: ₹80 lakhs for 10% equity + 4% royalty until ₹80 lakhs is recouped.
• Investors: Anupam Mittal, Ritesh Agrawal, Aman Gupta, and Vineeta Singh.

Gud Gum Shark Tank Episode Details:

• Season 3, Episode 11
• Air Date: 5th February 2024

Conclusion:

• Gud Gum, led by Mayank B Nagori and Bhuvan Nagori, introduced India’s first plastic-free and 100% natural chewing gum, addressing environmental concerns and promoting responsible business practices in the food industry.
  
  

Business Plan for Gud Gum: Revolutionizing Chewing Gum with Sustainability

Introduction: Gud Gum takes pride in introducing India’s first plastic-free and 100% natural chewing gum. This business plan outlines Gud Gum’s commitment to providing a sustainable and nature-friendly alternative to conventional chewing gums, utilizing tree sap ingredients, natural sweeteners, and carefully selected food compositions.

1. Business Potential in India:

• Growing Eco-Conscious Market: India’s increasing awareness of environmental issues creates a market ready for sustainable and plastic-free products.
• Shift Towards Natural Living: A rising trend of consumers seeking natural and eco-friendly alternatives in daily consumption.

2. Total Addressable Market:

• Eco-Conscious Consumers: Targeting individuals actively seeking sustainable and nature-friendly chewing gum options.
• Organic and Health Food Stores: Collaborating with outlets catering to consumers focused on natural and organic products.

3. Ideal Target Audience and Demographics:

• Environmentally Conscious Individuals: Individuals who prioritize sustainable and eco-friendly products in their lifestyle choices.
• Health-Conscious Consumers: Catering to those looking for natural and chemical-free alternatives in their daily snacks.

4. Marketing Strategy:

• Educational Campaigns: Launching campaigns emphasizing the environmental impact of conventional chewing gums and promoting Gud Gum’s plastic-free and natural attributes.
• In-Store Demonstrations: Conducting in-store demonstrations to allow potential customers to experience the taste and eco-friendliness of Gud Gum.

5. Content and Digital Marketing Strategy:

• Social Media Presence: Utilizing platforms like Instagram and Facebook to share visually appealing content showcasing the natural ingredients and sustainability practices of Gud Gum.
• User Testimonials: Encouraging customers to share their experiences with Gud Gum, creating authentic and relatable content.

6. Distribution Strategy:

• Specialty Stores: Focusing on partnerships with specialty stores that align with Gud Gum’s values of sustainability and natural living.
• E-commerce Platforms: Establishing a strong online presence through e-commerce platforms, making Gud Gum accessible to a wider audience.

7. Advantages:

• Plastic-Free Formula: Gud Gum’s commitment to being plastic-free positions it as a unique and environmentally responsible option.
• Natural Ingredients: Utilizing tree sap ingredients and natural sweeteners distinguishes Gud Gum in the market.

8. Challenges:

• Market Education: Communicating the importance of plastic-free and natural alternatives in chewing gum to a consumer base accustomed to traditional options.
• Pricing Competition: Addressing the misconception that sustainable products are more expensive by highlighting the long-term benefits of Gud Gum.

9. Reasons for Success:

• Quality Assurance: Ensuring consistently high-quality products through rigorous testing and adherence to natural and sustainable standards.
• Transparent Sourcing: Providing clear information about the sourcing, manufacturing, and environmental impact of Gud Gum.

10. Mitigation Strategies:

• Consumer Education: Implementing comprehensive educational materials on the Gud Gum website to inform customers about the benefits of plastic-free and natural chewing gum.
• Competitive Pricing: Strategically pricing products to remain competitive in the market while emphasizing their long-term environmental advantages.

11. Future Business:

• Product Expansion: Introducing new flavors and variations based on market trends and consumer feedback.
• Global Reach: Exploring international markets with a focus on regions with a growing demand for sustainable and plastic-free products.

12. Roadmap to Increase Valuation:

• Certifications and Endorsements: Acquiring recognized certifications for sustainability and natural ingredients to enhance the credibility of Gud Gum.
• Collaborations with Environmental Organizations: Partnering with organizations working towards plastic-free initiatives and environmental conservation for mutual support and recognition.

Gud Gum’s commitment to providing a plastic-free and natural chewing gum aligns with the growing demand for eco-friendly alternatives. With a focus on quality, transparency, and consumer education, Gud Gum is poised for substantial growth, contributing to a positive shift in consumer choices towards sustainable and nature-friendly chewing habits.