Suhasini Sampath: Rivals with half Yoga Bar's revenue received higher valuations
Suhasini Sampath · Building YogaBar to a 500 Cr and selling it to ITC ft Founder Suhasini S · Mar 8, 2024 · at 58:55
Yoga Bar co-founder Suhasini Sampath reflects on valuation discipline and competitor fundraising dynamics in the Indian FMCG sector.
0:00 / 0:11exact quote · 11.8s
▶ Watch the full episode on YouTube → 720p mp4 · rendered on demand · StarZero watermark
“I remember that when we were raising, There were a couple of companies at half our revenue and two XR losses getting valued higher than us. Now it causes problems for both parties. No strategic is going to give you that kind of value.”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Suhasini Sampath
Suhasini Sampath: Food brands need 60%+ gross margins to sustain D2C
“A 30 to 40% gross margin product cannot sustain through a website. You need a 70% gross margin product. So just because everybody does D to C, Personal care can do D to C. Food cannot, because your gross margins has to be north of 60%, because you have the log…”
Sampath: The beauty industry has destroyed human intellect
“I find I find, like, I actually think the beauty industry has destroyed our intellect.”
Sampath: Biscuits consist solely of maida, hydrogenated fat, sugar, and zero nutrition
“Completely avoid biscuits because biscuits are just maida, hydrogenated fat and sugar. There's no nutrition there.”
Sampath: Building sensible offline distribution requires at least 300 crore rupees
“No, it's a very expensive process. You need 300 crores at the very minimum to kind of like build sensible distribution.”
Sampath: Besides YogaBar, Startups Haven't Built Serious Indian Food Companies
“I would say in food, food is, is difficult. I think it's owned by the FMCG companies, and I think I might be biased, but I think except us, I don't think, I mean, I think we built a serious company in food.”
Suhasini Sampath: Valuing food brands on ARR is nonsense due to seasonality
“Aur ye ARR sab kuch is just bakwaas, like, people don't value you on your annual run rate. There is a buying cycle for the consumer for food, like for juices, it's April, May, June, when it's summer. You have to take annual, I mean, the full years, last year's…”