Lahori Zeera maker to work on an asset-light model
Archian Foods, a Lahori Zeera beverage maker backed by private equity firm Verlinvest, is transitioning to an asset-light business model to fuel its next growth phase. Co-founder Nikhil Dodha stated that the company will pursue co-bottling partnerships and will not seek additional funding, as the current model does not require capital investment.
Despite this, the company is actively seeking to diversify its product portfolio, with the goal of launching a second "hero" product to replicate the success of its flagship brand, Lahori Zeera. The beverage maker plans to maintain its focus on beverages, aiming to compete with the likes of Coca-Cola and PepsiCo in the Rs 60,000-crore soft drinks market using competitive pricing and unique ethnic flavors such as nimbu, masala cola, and sugar-free drinks.
The soft drinks sector, however, is facing inflationary pressures, particularly in packaging costs, which the industry is struggling to pass onto consumers. Despite these challenges, the ready-to-drink (RTD) beverages market in India is projected to double in annual sales to $40 billion by 2030, driven by consumer preferences for functional and healthier drink options.
Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.