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Craft Beer Boom: Disco Panda’s Unique Indian Market Innovation

Craft Beer Boom: Disco Panda's Unique Indian Market Innovation

Expanding Horizons with Craft Beer: The Disco Panda Story

World of Brands (WoB) is making waves in the AlcoBev industry with its adventurous Craft Beer brand, Disco Panda. Launched just last year, Disco Panda has already found a loyal customer base in seven Indian markets including Delhi, Uttar Pradesh, Uttarakhand, Punjab, Goa, Kerala, and Puducherry. The main focus of WoB is to expand its domestic market presence, and they are successfully crafting a unique place for themselves in the beer industry.

Innovative Craft Beer Offerings

Hoppy Magic and Pilsen Punch

Under the Disco Panda label, WoB has introduced two strong beer variants: Hoppy Magic with an impressive 15 percent alcohol content and Pilsen Punch with 12 percent alcohol content. These strong beers are specifically designed for Indian consumers who have shown a preference for stronger brews over the years. According to CEO Gurpreet Singh, the demand for high-alcohol-content beers has been consistent, and Disco Panda aims to meet this need.

Fruit-Flavored Craft Beer

In April, the brand expanded its product line by launching fruit-flavored beers in Uttar Pradesh. These unique offerings include Mango Tango with an ABV of 9 percent, Paan Supari with 12 percent, and Orange Burst with a potent 15 percent. WoB is currently testing consumer response and may introduce new flavors based on feedback.

Manufacturing Excellence

Strategic Partnerships

WoB has partnered with a contract manufacturing unit in Mudhol, North Karnataka. This is the third manufacturing plant they have tied up with, supporting their strategy to cater exclusively to the Karnataka market for now. These manufacturing partnerships are integral to WoB’s plan to ensure the availability of its craft beer products across different regions.

Production Facilities

The company operates across three main facilities. The Hoskote unit, originally a Diageo partner, now manufactures WoB’s gin line. Disco Panda’s initial production began in an independent facility in Goa, and the recent Mudhol plant addition shows WoB’s commitment to scaling up operations.

Market Trends and Consumer Preferences

Understanding the Indian Beer Market

In India, a significant portion of beer consumers prefer stronger beers. Nearly 85-90 percent of consumers opt for beers with an average ABV of around 8 percent. Gurpreet Singh pointed out that neither large multinational companies nor regional players have paid much attention to the segment of consumers who want stronger beer, creating a window of opportunity for Disco Panda.

Consumers’ Value Perception

Strong beer consumers in India are not just seeking higher alcohol content; they are looking for value for money. They are willing to temporarily overlook taste if the product offers better value. However, converting them into strong beer advocates requires a taste profile that they enjoy. Disco Panda aims to strike this delicate balance by delivering strong yet palatable craft beers.

Future Plans and Financial Goals

Expanding Craft Beer Reach

WoB with Disco Panda is not just stopping at Craft Beer. They are also eyeing different spirits segments and exploring export opportunities. Currently, their ‘Great Indian Gin’ is available in Karnataka, Puducherry, and Telangana, with plans to redesign packaging and expand its market presence.

Financial Milestones

The company aims to become EBITDA-positive by the second half of FY25. They also plan to achieve PAT positivity by the end of the financial year. WoB has raised about ₹20-21 crores through equity from personal networks and friends & family, including some debt. They are poised to enter venture capital conversations once they have a healthier balance sheet.

Final Thoughts

WoB’s Disco Panda is carving out a niche in the craft beer market by focusing on strong beer varieties tailored to Indian consumer preferences. With their strategic expansions, innovative product offerings, and understanding of the market, they are well-positioned to become a notable player in the AlcoBev industry. As they continue to grow and innovate, Disco Panda is set to become a go-to choice for craft beer enthusiasts.

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Ethan Parker is a seasoned craft beer aficionado with a palate fine-tuned through years of exploring breweries worldwide. As the founder of Brew Scoop, he blends his passion for storytelling with his extensive knowledge of brewing techniques and beer culture. Ethan’s dedication to the craft beer community is evident in his efforts to educate and connect beer lovers while advocating for sustainable brewing practices.