Tiggle: Chocolates Startup Ideas

Tiggle is a startup idea that was demonstrated in Episode 8, Season 3 of Shark Tank. Tiggle is an Agra-based D2C organic hot chocolate brand. Founder Anuva Kakkar started selling cups of hot chocolate to commuters at the DLF Phase-3 metro station in Gurugram. The hot chocolate drink is made from premium cocoa sourced from a 40-acre family-owned certified organic farm in Pollachi, Tamil Nadu.

Company Details of Tiggle Startup Ideas

The company was founded by Anuva Kakkar, who is 25 years old. It was started in April 2021. The authorized capital of Tiggle Innovation Private Limited is ₹15 Lakh, and the paid-up capital is ₹1 Lakh. The company has two directors, Anuva Kakkar and Kiran Bala, and is classified as a private limited company. Tiggle Innovation Private Limited was incorporated on March 14, 2023, and is actively operating. The aim is to provide high-quality, organic, and sustainable chocolate mixes.

Ownership of Tiggle Startup Ideas

Business Model of Tiggle Startup ideas

Tiggle sources high-quality, organic cocoa beans from a 40-acre family-owned certified organic farm. The company manufactures ready-to-make hot chocolate mixes using the sourced cocoa beans and other natural ingredients. Tiggle distributes its products through various channels, including Amazon and the company's own website. Tiggle generates revenue through the sale of its hot chocolate mixes to customers.

Products and Services of Tiggle Startup ideas

Some of the products they offer are hazelnut hot chocolate, dark hot chocolate, jaggery hot chocolate, light hot chocolate, and iced chocolate mixes that are made from organic cocoa and natural ingredients only. They have catered to more than 37,000 customers. The products are available on their own website and on Amazon. The products are vegan and dairy-free. They are made from finely roasted.

Business valuation of Tiggle Startup ideas

Anuva Kakkar pitched her business idea in Shark Tank asking for an investment of ₹50 Lakh for a 5% stake.

• Amit Jain: He says that the packaging is very nice. He also liked the taste of the product. He shows his concern regarding the high price of the product. He gives an offer of ₹20 Lakh for 5% equity and debt ₹30 Lakh at 15% for 4 years.
• Namita Thapar: She says that the company should target kids to sell their products as youngsters are conscious about their health these days. Namita praises that the founder has great clarity of thought and a focused way of talking. However, she did not invest as she thinks that the chocolate market is small and this business is difficult to scale.
• Peyush Bansal: He liked the taste of the product. He liked the characteristics that Anuva has like she was open to change, honest, and adaptive. Peyush gives an offer of ₹50 Lakh for 20% equity and a royalty of 1% of net sales until ₹1 Cr. is recouped.
• Anupam Mittal: He liked the packaging of the product. He says that the founder should start targeting kids first. He does not give an offer.
• Azhar Iqubal: He says that the business is not investable due to its market size.

At the end, Peyush Bansal and Amit Jain made a joint deal of ₹50 Lakh for a 20% equity stake in Tiggle, along with a 2% royalty until ₹1 Cr is recouped.

BizFoc analysis of Shark Decisions of Tiggle Startup ideas

The sharks were greatly impressed by the founder, Anuva Kakkar. The sharks were not sure about the market size and scalability of the business. However, Peyush Bansal and Amit Jain made a joint deal of ₹50 Lakhs for a 20% equity stake in Tiggle, along with a 2% royalty until ₹1 Cr is recouped. The 2% royalty clause until ₹1 Cr is recouped may be seen as a high ask, potentially eating into Anuva's profits.

Some key strengths and weaknesses of Tiggle startup ideas:

Strengths:

• Unique Product Offerings: Tiggle offers organic, vegan, and dairy-free hot chocolate mixes, catering to a growing demand for healthy and premium beverages.
• High-Quality Ingredients: The company uses premium cocoa sourced from a 40-acre family-owned certified organic farm, ensuring high-quality products.
• Founder's Passion: Anuva Kakkar's passion and dedication to her business was evident in the show. She had clarity of thought and knew the numerical data very well.

Weaknesses:

• Limited Market Presence: Tiggle is still a relatively new company, and its market presence is limited.
• Dependence on Suppliers: The company relies on a single supplier (Anuva's family-owned farm) for its cocoa, which can be a risk if the supply chain is disrupted.
• Competition: The hot chocolate market is competitive, with established brands and new entrants vying for market share.

Future of Tiggle Startup ideas

The future of Tiggle is uncertain. The competition is high due to established brands such as Cadbury and Hershey's along with many new entrants. With the investment and mentorship of Amit and Peyush, the brand aims to flourish in the industry. Appearing on Shark Tank has put the brand into the spotlight, which leads to increased sales and brand recognition.

Conclusion

Tiggle is an innovative and disruptive player in the hot chocolate market offering high-quality, organic, and sustainable chocolate mixes to cater to the demand for healthy and premium beverages. The sharks liked the product of Tiggle. The quality of the product is evident from its monthly repeat rate of customers is 24-25%. The sharks were impressed by the passion of the entrepreneur. Peyush Bansal and Amit Jain made a joint deal of ₹50 Lakhs for a 20% equity stake in Tiggle, along with a 2% royalty until ₹1 Cr is recouped.

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