Jay Sotta and Akash Sotta, co-founders of Cup ji, hailing from a family who has been in the tea business for the past 5 generations brought an interesting product to the sharks of Shark tank India season 3. The founder of Cup Ji claims that the generational demand for tea has changed and today’s generation wants tea which is tasty, healthy, quick and easy to make. They have an all-in-one solution for this, Cup-ji. Let’s see if they are able to raise investment for this innovative product.
What is Cup-ji? And what makes it different from regular green tea?
The product itself is a paper cup with a tea mix stored at the bottom. Just add hot water, and you’ve got a delicious cup of tea in no time. What sets Cup Ji apart is its variety and quality. In the founders’ words” crazy desi tasty flavours” like Kashmiri Kawa to kokam, pan ,chatkara and so on.
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These eight flavours cater to the domestic market and for the international market, they have 23 + flavours. Not only this, each cup of cup-ji have less than 8 calories and is 100% sugar-free, where sugar alternatives like mulethi and clivia are used.
Their product has already been exported to Saudi Arabia, Dubai, and Australia. Their current Go-To-Market (GTM) strategy includes exports, corporate gifting, and online channels for both B2C and B2B sales. They aim to achieve a target revenue of 50 crores in the next three years.
The company’s vision is to make sure you can enjoy Cup Ji whether you’re shivering in the cold mountains of Kashmir or chilling at a beach cafe in Rameshwaram.
Investment ask and feedback from the Sharks
Their ask was 50 lacs for 5% equity. While they received appreciation for the branding and packaging, the sharks were concerned with the pricing which was 22 rupees per cup. For this, the founders explained the product’s distinction from the regular tea bag by emphasising their use of natural ingredients, for instance beneath the filter ingredients like dry rose petals at flavour serving as a unique selling point (USP).
When questioned about protecting this USP, which is easier to copy, they highlighted multiple moats including their family’s five-generation tea business heritage, in-house manufacturing, deep understanding of the export market, and strategic product positioning.
However, the Sharks had varied feedback. Amit Jain (CEO and co-founder of CarDekho ) suggested rethinking the pricing strategy to widen their customer base. Vineeta Singh (CEO and co-founder of SUGAR Cosmetics) appreciated their export potential but cautioned against an overemphasis on cup design and branding. Aman Gupta (Co-founder and Chief Marketing Officer of boAt) felt their aspirations were too small and suggested aiming higher with guidance from the Sharks. Other Sharks opted out due to concerns about market challenges, low traction, and a small customer base.
This left the Cup Ji founders without investment but armed with valuable insights for their journey ahead.
