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Snacks brand Epigamia (Drums Food International) is eyeing 25 per cent plus growth year-on-year as its sharpens focus on profitability. The company, which is backed by investors such as French foods giant Danone, is looking to ramp up its offline distribution as well as launch smaller packs in the yogurt segment while strengthening its presence in the beverage segment.
Rahul Jain, Co-Founder and CEO, Epigamia, told businessline, “In FY24, our focus has been on the transformation towards the path of profitability and we have made significant progress in this regard. We are close to reaching the milestone of becoming EBITDA positive on an annual or financial year basis. We aim to garner a growth of over 25 per cent plus year-on-year.”
The Dairy industry had been facing immense inflationary pressures over the past two years. Jain said that beside price hikes, the brand has been focusing on optimisation of raw materials sourcing, supply chains, logistics and marketing costs to expand margins.
The brand is also launching its yogurt at the entry level price of ₹25 to grow household penetration.“ We have already started doing soft pilots for the entry-level yogurt product priced at ₹25. We want to have a much wider distribution with this price point. We believe this will bring new consumers to our brand’s fold,” he explained.
At the same time, the company is eyeing growth from segments such as beverages and desserts. “We see massive growth opportunities in the beverage segment.We will soon also be launching the drinkable yogurt format,” he added.
Epigamia’s products are sold in the top 30 cities and over 25,000 outlets, which includes modern trade stores and general trade stores beside the key e-commerce marketplaces. “We are looking to grow our distribution to about 50,000-60,000 outlets over the next few years,” he added. Nearly 35 per cent of the company’s sales now come from the online channel.
“Consumers are now increasingly seeking “good-for-you” products, clean labels and functional benefits. Protein consumption has become an important conversation among users. So we are seeing good tailwinds in terms of demand,” Jain said.
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