Food tech, once a very revered phrase is now experiencing its own share of midlife crisis. It is still early days in Food tech l with boom just round the corner and Star Dust/Bust falling all over the place. And, in a couple of quarters the dust will settle in and give way to the stars and survivors.
Now if you are bitten by Food Tech bug and want to give it a shot nevertheless here a few pointers that may help you find yourself in good stead before you take plunge –
1) Have Game changer ideas, not discounts – Just for your information if you felt Discounts are a game changer, you are in for a terrible surprise. Food space needs value ads and not discounts alone. There are enough and more discerning customers who understand value for a Good quality Product or Service. Hence, focus on garnering value.
2) Get your team right – Right team is not just a requirement of Food Tech, but of any business. In these trying times in Food Tech domain a good understanding team member can bring in lot of courage and motivation. Remember, I mentioned above that surviving these times is also an achievement in its own respect.
3) Focus on Product and User Experience - With competition intensifying, customer loyalty looks like a thing of Archives. Get your focus on Product and the entire ecosystem affecting Customer experience. It will be good to have control of Customer Experience as much as possible, but getting right partners to get it done is as good and cost effective. Remember, Customer Experience doesn’t stop at ordering online, but when customers consume your product and says a Wow word ïŠ
4) Plan to grow organic – Luring customers with discounts and freebees has proven to be a disaster for Food tech. Do not fall in that trap. “Grow Slow: Grow Strong” we at FoodAbhi.com totally believe and practice it and follow it in everything we do.
5) Keep your head down and focus on customer – Your single most important asset will be your customer, so before taking the plunge understand what your Target market needs. Are there enough takers. If not don’t get discouraged, understand if there is a latent need.
For eg: When we started;FoodAbhi.com was and continues to be one of its kind Marketplace for Daily meals curating the highly unorganized Daily meal/Home Like meal business. We quickly realized that there is latent demand, but new customers are a bit skeptical in trying out something very new to what they had experienced all this while. Our perseverance paid dividends and FoodAbhi is quickly transforming the way Mumbaikars look at Daily meals with a scaleup in Pune shortly.
6) Make sure you have the Working capital figured out – In the current scenario and as a fellow entrepreneur I will strongly recommend new entrants to figure out their Working capital for at least a year. No wonder how good the idea is if you can’t survive, you can’t prove the potential and can’t raise funds. So buckle up and tighten the strings from the word go and figure out what are essentials and good to haves from available resources.”
To conclude I wish to quote the famous movie “300”: “If the sun gets blotted with arrows: You got to fight in the shade” so get ready friends and be passionately practical. Cheers!!
About The Author:
Amit Dube is the Founder and CEO of FoodAbhi.com, an online Marketplace for delicious, hygienically cooked, daily meals which has more than 400 meal options across 50 food partners spread across Mumbai. FoodAbhi.com is trying to revolutionize the Dabba culture of Mumbai and make Dabba’s cool again.