Scuzo, the dessert startup, is targeting a massive expansion plan with a goal of launching 100 outlets throughout India by 2024, aiming to become a dominant player in the dessert segment. With a current store segment profit of approximately 27 percent and a remarkable gross margin of 70 percent, the company is confident in its ability to capitalize on the growth potential of the dessert market.
According to Anand, a representative of Scuzo, the company’s primary objective is to achieve profitability for all of its franchise stores in the upcoming months. Additionally, Scuzo is aiming to increase its revenue to over INR 10 crore in the next fiscal year, more than doubling its current fiscal year earnings of INR 4.60 crore.
With the dessert market experiencing significant growth, Scuzo is determined to establish itself as the leading company in the segment. Boasting a remarkable 27 percent profit in its store segment, Scuzo is also able to maintain an impressive gross margin of 70 percent.
According to the company, Scuzo’s core focus is on producing handmade gelato and utilizing natural ingredients, and processed fruits to ensure consistent taste across all its outlets. Anand added, “We do not use oil and use fresh cream for making popsicles.”
Anand highlighted that the lower costs of food and raw materials facilitate the establishment of operations in foreign countries. Therefore, Scuzo aims to expand into the Canadian, UK, and UAE markets. Presently, the brand has a presence in 15 cities, with roughly 15 franchise stores and three company-owned stores. Furthermore, Scuzo is in discussions with various venture capitalists to raise approximately $1 million in funding to support its expansion plans.
Anand shared, “For starting a store, we do surveys in different regions. And we are already in the concluding stages of adding seven more store locations soon.”
In addition, he mentioned that the company plans to invest INR 2 crore in the upcoming fiscal year to establish its manufacturing units in Guntur, Andhra Pradesh, and Rajkot, Gujarat. The dessert startup has also partnered with Faasos to offer its products through the latter’s cloud kitchens.
