D2C caffeine-infused personal care brand mCaffeine aims to clock a revenue of Rs 7000 crore by FY24 as it expands its presence across online and offline channels and bolsters its product portfolio.
Mumbai-based Pep Technologies, that owns mCaffeine, is also looking at adding to its team in order to take its headcount to about 200 people in the next 18 months.
“In October 2016, we launched mCaffeine and have served close to 2.5 million customers till date. This year (FY22), we will do Rs 300 crore in terms of GMV and by FY24, we will touch Rs 1,000 crore in GMV. Revenue would be at Rs 700 crore by FY24,” said Tarun Sharma, Co-founder and CEO, mCaffeine.
The brand maintained that 70 percent of its business in FY24 is expected to come from online channels while 30 percent would be via offline channels as the company is expanding its presence across brick and mortar stores as well.
“By FY24, we expect to be present in 8,000-10,000 offline retail points across the country. Online will always be the first focus for us because that is how the brand has been formed. But our customers are omnichannel and that is why we also want to go to the shelf near them,” Tarun Sharma said.
mCaffeine is looking at regions like Maharashtra, Bengaluru, Punjab, Gujarat, Bengal, parts of Chattisgarh, TTM (Telugu, Tamil and Malayalam speaking markets) for its offline expansion.
The company has raised about Rs 60 crore in funding and is backed by investors including Amicus Capital and RPSG Ventures.
mCaffeine has launched 13 products this year and has 31 SKUs in its range.
“We will continue to launch new products. Five years down the line, 20 products a year is where we average out in terms of new launches. For us, revenue by product density is extremely important - which means if I have made Rs 300 crore business from 30 SKUs, what have others done to do that - is it less or more,” he added.
mCaffeine has an in-house product research and development team, and has partnered with three third-party manufacturers to make the products.
The personal care brand is also looking at international expansion. “International has always been on the back of our heads and this year, we are launching two geographies. We have received a tremendous amount of response from the top 10 geographies of Amazon, the usual suspects US, Middle East, South East Asia. So we will close on two. Initially, we will go online, understand the consumer, set up our teams in these geographies and we won't go offline if the market doesn't require us to do so,” he added.