Gourmet Jar, a leading artisanal brand based in Noida, has carved a niche in the premium condiments market with its clean-label, all-natural products. Founded by Apeksha Jain, the brand offers an array of spreads, dips, preserves, sauces, and pestos. In a recent conversation with Snackfax, Apeksha shared insights into how Gourmet Jar is handling the challenges in the jam category and the brand’s growth trajectory while adapting to new D2C trends.
The jam category, traditionally associated with high sugar content, has faced scrutiny as consumers become increasingly health-conscious. Despite this, Gourmet Jar has found success with its innovative approach. Apeksha acknowledges that the jam market is not expanding rapidly but insists it hasn’t declined either. “It is a category which is not growing as such but has kind of flatlined. People are still buying jams and preserves; they just want better choices,” she explains.
Gourmet Jar’s raspberry strawberry preserve stands out as a bestseller, indicating that consumers still appreciate high-quality jams. The brand’s blueberry fruit spread, which is sugar-free, has also gained popularity despite its premium price, showing that there is a demand for healthier, natural options.
Apeksha believes that “People want cleaner products and something which is more natural and real. There’s certainly a lot of work to be done in this space, as the current focus isn’t substantial. This demonstrates that consumers are willing to invest in high-quality, guilt-free options with better ingredients,” and Gourmet Jar aims to meet these expectations with their offerings.
The past year has been challenging for many businesses, and Gourmet Jar is no exception, despite being primarily an offline brand. However, the brand has managed to grow despite the market difficulties. “Our objective was to move towards profitability, and we’ve been able to do that. Growth was not really the focus, and even then we have grown like 10% over the previous year,” Apeksha notes. The company has also successfully increased its gross profit by 12%, highlighting its focus on financial stability and efficient operations.
The brand’s first quarter is dedicated to planning and research and development (R&D). “We utilise the benefit of the slower pace to develop new products and plan for the rest of the year. Our focus is on ensuring we are ready to handle the upcoming festive season and all that it entails,” she explained.
Looking ahead, Gourmet Jar plans to expand its presence in the HORECA (Hotels, Restaurants, and Cafes) sector, which constituted 30% of their business before the COVID-19 pandemic. This move is expected to drive significant growth in the coming years. “If you’re able to raise funds, we would look to grow much faster. If not, we aim to grow about 20% organically,” Apeksha states, emphasizing a balanced approach to growth.
The Direct-to-Consumer (D2C) landscape has evolved rapidly, with quick commerce players like Blinkit and Instamart reshaping consumer shopping habits. Apeksha highlights the impact of these changes: “The consumer behavior has completely changed in the last year in terms of their regular grocery shopping habits. Quick commerce is kind of taking over retail.”
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Gourmet Jar has adapted by balancing its sales across various channels. Currently, 40% of their sales come from quick commerce, another 40% from offline retail, and the remaining 20% from online e-commerce and gifting channels. This diversified approach has helped them maintain stability despite market fluctuations.
To acquire new customers, Gourmet Jar leverages both offline and online channels. Apeksha explains, “We are acquiring new customers through quick commerce channels. There’s a lot of opportunity there because every household is buying products on these platforms.” The brand also focuses on offering unique value propositions on their website, such as exclusive product bundles, to attract and retain customers.
As the brand moves forward, it aims to strengthen its market position by focusing on quality, consistency, and customer loyalty. Apeksha believes that their in-house manufacturing capabilities are a significant advantage, ensuring control over product quality and innovation. “Our moat is that we have everything in-house, which is one of our strengths. The products we make are consistent in quality,” she asserts.
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