From Humble Beginnings to Booming Business: The Story of Rare Planet
Rare Planet, a Kolkata-based company, has carved a niche in the Indian retail market with its focus on handcrafted, eco-friendly kitchenware. Their journey, marked by a successful appearance on Shark Tank India Season 1 and subsequent growth, reflects their dedication to promoting sustainable practices and supporting local artisans.
A Passion Project Takes Root: The Founding of Rare Planet
Founded in 2015 by Ranodeep Saha, Rare Planet emerged from a desire to celebrate the beauty and skill of traditional Indian handicrafts. Saha, an IIT graduate, recognized the potential for handcrafted products to find a wider audience while providing a sustainable income for artisans.
A Platform for Sustainability and Artisanship: What Rare Planet Offers
Rare Planet operates primarily as an online platform, offering handcrafted kitchenware like table coasters, kettles, coffee mugs, and bowls. They emphasize eco-friendly materials and traditional production methods, appealing to customers who value sustainability and ethical sourcing. Additionally, Rare Planet provides a platform for artisans across India to showcase their work and reach a wider customer base.
Shark Tank Showdown: A Catalyst for Growth
In 2020, Rare Planet entered the high-pressure environment of Shark Tank India Season 1. The founders aimed to secure funding to expand their online presence, establish physical retail stores, and diversify their product line.
The Rare Planet team entered the Shark Tank with a specific ask: ₹65 lakhs (approximately $86,000 at the time) for a mere 1% equity stake in their company. This high valuation, coupled with a low equity offer, sparked debate among the Sharks. However, Namita Thapar, CEO of Emcure Pharmaceuticals, recognized the potential of Rare Planet's unique approach and their commitment to sustainability.
Negotiations ensued, resulting in a mutually beneficial deal. Rare Planet secured the requested ₹65 lakhs, but with a slightly higher equity stake of 3%. This investment provided them with crucial capital for expansion while maintaining significant ownership of their company.
Post-Shark Tank Growth: A Scalable Success Story
Following their Shark Tank India appearance, Rare Planet experienced a surge in popularity. The national exposure and investment fueled their growth, allowing them to expand their online platform, establish physical retail stores, and potentially branch into new product categories. Notably, Rare Planet became the first company in Shark Tank India history to deliver a successful exit for an investor in January 2024.
Current Status: A Leader in Sustainable Retail
Today, Rare Planet boasts a robust online platform and a network of over 50 physical stores across India. Their employee count has significantly increased to 294, reflecting their impressive growth trajectory. As of March 2023, their annual revenue stands at a healthy ₹24.6 crore (approximately $3.07 million).
Their latest funding round, a Seed round in February 2022, raised $2.1 million, placing their post-money valuation at $11.8 million. This impressive growth signifies the increasing demand for sustainable and ethically-sourced products in the Indian market.
Future Outlook: Expanding Reach and Empowering Artisans
Rare Planet's future prospects are promising. As consumers become more environmentally conscious, the demand for eco-friendly products is likely to grow. Additionally, their commitment to supporting local artisans positions them well to leverage the growing interest in handcrafted goods. With a strong online presence, a growing network of stores, and the backing of experienced investors, Rare Planet is well-positioned to become a prominent player in the Indian retail scene, fostering sustainability and empowering artisans for years to come.
Key Takeaways
· Rare Planet, founded by Ranodeep Saha, is a Kolkata-based company that offers handcrafted, eco-friendly kitchenware.
· Their appearance on Shark Tank India secured an investment of ₹65 lakhs for a 3% equity stake from Namita Thapar.
· The company has raised a total of $2.81 million and boasts a post-money valuation of $11.8 million as of May 2022. Their current annual revenue is estimated to be ₹24.6 crore as of March 2023.
· Rare Planet's focus on sustainability, ethical sourcing, and supporting local artisans sets them apart in the competitive retail market.
Rare Planet's journey from a startup to a thriving enterprise is a testament to the power of innovation, passion, and strategic partnerships. Their success serves as an inspiration for other entrepreneurs seeking to create sustainable businesses that not only benefit the bottom line but also contribute to a positive social impact.