Ochre Spirits, a Goa-based flavoured spirit brand, is aiming to capture more than a 10 percent share of the premium flavoured spirits segment and a 5-7 percent share of the craft spirits market within the next four years, according to John Royerr, Founder of Ochre Spirits.
It also has its sights set on achieving a INR 100 crore brand status within the next four years.
“For the fiscal year 2024-2025, we project a negative EBITDA of approximately 18-19 percent. However, in the subsequent fiscal year, we anticipate improvement to a negative 2-3 percent, with the goal of transitioning to positive returns by the fiscal year 2026-2027. Presently, our growth rate stands at 35 percent month-on-month,” he elaborated.
The brand, presently operating solely in Goa, is poised for expansion into new territories such as Karnataka and Puducherry in the near future. By the following fiscal year, it targets extending its reach into states like Maharashtra, Haryana, and Kolkata.
“Furthermore, we have been exploring export prospects to the UAE and are currently in discussions with distributors in that region,” he said.
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At present, the brand is available in approximately 185 retail outlets and 40 on-premises institutional outlets. By the end of July, it aims to increase its presence to 350 retail outlets and around 120 on-trade outlets, encompassing bars and restaurants.
Moving forward, the brand is diversifying its product lineup. Currently, it features three gin variants, three vodka variants, and two rum variants.
At present, rum accounts for 65 percent of the brand’s sales, with the remaining 35 percent attributed to vodka.
During the second quarter of fiscal year 2024, the brand plans to introduce two new flavoured gin variants along with a citrus-flavoured rum. Additionally, it aims to debut its line of agave spirits by the fiscal year’s end. Furthermore, it is strategizing the launch of sparkling and spring water under the same brand to diversify its revenue streams.
This multifaceted strategy not only takes into account the wide range of consumer tastes, but it also makes us more noticeable on store shelves. Our brand is better positioned to draw customer interest and boost sales within each particular category by stretching across segments like gin, vodka, and rum,” he stressed.
Ochre Spirits has inaugurated a ‘Tasting Room’ in Goa, with plans to replicate this concept in Bangalore, Pondicherry, Mumbai, and Gurgaon in the near future.
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“The Tasting Room currently features three spirit categories, showcasing nine distinct flavoured spirits exclusively available at the venue. Additionally, we plan to expand our selection to include over 15 flavoured spirits by November of this year,” he said.
Currently, the brand utilizes contract manufacturing to oversee its production operations based in Goa. It has set a target to produce 10,000 cases for this year.
“Moving forward, we are in talks with another facility in order to secure a production capacity of 22,000 cases,” he said.
Since our launch in April, we’ve garnered a positive response. We’re now intensifying our marketing and PR initiatives to enhance awareness.
The bootstrapped brand is currently finalizing a pre-seed funding round of INR 3 crore, with INR 2 crore secured from friends, family, and a family office.
“We anticipate concluding this funding within the next couple of months. These funds will be allocated towards marketing, operations, team expansion, and production,” he concluded.
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