The D2C startup will launch the six-hour and same-day delivery options within the next two to three months, Bharat Sethi said at ‘The D2C Summit 3.0’
D2C is a data play. It feeds us the right signals so that we can prepare better products, build faster and do more lean product development: Sethi
Sethi said that 95% of the overall market is offline and D2C is a way to build the brand and ‘understand the consumer faster than anyone’
Rage Coffee is working on a quick-delivery program to deliver coffee within six hours or the same day at the latest, its founder and CEO Bharat Sethi said at Inc42’s ‘The D2C Summit 3.0’.
“Right now, we’re building same-day, six-hour deliveries across almost 2,000 pin codes. We’ll be able to supply a consumer with coffee within the same day or six hours,” Sethi said during a conversation with actor and investor Rannvijay Singha, who is also an early-stage investor in Rage Coffee.
He said that the D2C coffee startup will be launching the six-hour and same-day delivery options within the next two to three months.
Talking about the quick-commerce boom and how Rage Coffee has tapped into it, Sethi said that the presence of quick-commerce startups has helped the D2C startup.
“I’m very bullish on it (quick commerce). But I also feel if there’s a plugin in D2C and there’s no dependency on two-three hyperlocal channels, (then) it will make a lot more sense for us. The sector is strong, but the reality will be visible in the next 2-3 years,” he said.
Speaking about the online-offline split in revenue, Sethi noted that Rage Coffee has been an omnichannel brand from ‘day zero’. “D2C is a data play. It feeds us with the right signals so that we can prepare better products, build faster, do more lean product development, and have a better understanding of consumers,” said Sethi.
This is also backed by the prevalent sentiment among D2C founders. As per an Inc42 survey as part of the ‘The State of Indian Ecommerce Q3 2022. InFocus: D2C’ report, 50% of D2C sellers are already operating in an omnichannel sales model.
Interestingly, Sethi said that 95% of the overall market is offline and D2C is a way to build the brand and ‘understand the consumer faster than anyone’.
In March, Rage Coffee roped in a second investor-ambassador in cricketer Virat Kohli. The D2C brand operates in a large market dominated by legacy players.
As per a Mordor intelligence report, the Indian coffee market is estimated to be worth $2.03 Bn by 2025. Further, according to Inc42’s ‘D2C Coffee Buyers In India: Customer Perception Report, 2021’, the online coffee market opportunity in India is expected to reach $203 Mn by 2025.
As part of the collaboration with Clootrack for the report, Inc42 analysed nearly 3,000 consumer reviews for various online coffee brands. Somewhat unsurprisingly, the taste and flavour of the coffee were the biggest delighters for consumers, while packaging and blend received low scores on the metric.
