drink innovating from latin america into europe

A drinks entrepreneur´s journeyLessons from Latin America and Europe

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

Experience in the development of three wineries in Chile and Argentina

Wines from Latin AmericaA drinks background

Maycas

First Premium Winery of Concha y Toro

Espiritu Criollo

Wines from Argentina

Palo Alto

Fast growing Chilean winery01. Drinks Industry

Maycas - premium winery from the north of Chile

Wines from Latin AmericaA drinks background

01. Drinks Industry

Palo Alto used green credentials as its core marketing communication

Wines from Latin AmericaA drinks background

01. Drinks Industry

GCP and IP projects

MBA

01. Drinks Industry

A drinks background

Research director – Global drinks innovation

Post MBA

01. Drinks Industry

A drinks background

Research director – Latin America

Post MBA

01. Drinks Industry

A drinks background

Research director – Latin America

01. Drinks Industry

Post MBAA drinks background

Research director – Latin America

01. Drinks Industry

Post MBAA drinks background

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

The all-in dilemma in entrepreneurship

Start-up dive

02. Start-up dive

Start-up dive

02. Start-up dive

Dreaming big

02. Start-up dive

Start-up dive

02. Start-up dive

Start-up diveDreaming big

A jump into entrepreneurshipDreaming big

Premium

Natural

Low in sugar

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302. Start-up dive

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan-March 14

Chile AApril-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Clear definition of the market needs

Personal, FFF

Market report

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business ModelMay-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Definition product and business model

Seed fund 1, Personal, FFF

Clear inputs for prototype and economic validation

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Production and test of prototypes

Seed funds 2, personal, FFF

Proven prototype

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan-March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Start production. PR and introduction to influencers

Venture Capital, Personal, FFF

Positive feedback and first sales

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AApril-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Retail listings, distribution

Venture Capital, sales

Sales and reorders

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

Above the line marketing, expansion in formats and flavours

Venture Capital, Sales

Break-even

The Business Plan

Stage IStage II

Stage IIIStage IV

Stage V

Stage VIStage VII

ResearchMarch-April 13

Business Model

May-July 13

PrototypeJuly-Dec 13

Business teaser

Jan--March 14

Chile AMarch-Dec 14

Chile BJan-Dec 15

InternationalJan 16 -Dec 17

Objective

Funding

Outcome

International expansion and exit plan

Sales

Profitable business, exit discussions

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

Starting up in Latin America

04. Start-up in L. America

Top three reasons to and not-to start in Latin America

State fundingGenerous funding from countries to develop a start-up ecosystem

Informal marketBeen informal means it´s generally OK to break some rules at early stages

Playing localNever underestimate the importance of your personal network

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Red TapeBureaucracy is intense. From opening a bank account to formalize the business.

Access to fundingBeyond subsidies or grants, there is a very limited number of Angels or VC

Conservative While everyone praise innovation and start-ups, from consumer to businesses Latin Americans tend to be quite conservatives

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The Good The bad

ProductRange of 3 all-natural soft drinks

ManufacturePartner with a brewery to secure production for the first 3 years

FundsRaise three rounds of seed capital

Exposure20k+ followers in social media plus presence in all major newspapers and magazines

SalesOver a 100,000+ bottles sold since the 2014

Awards5 awards on the products and innovation

On the start-up in Latin America, we managedMain cold pressed juice brands sold in the UK

04. Start-up in L. America

Premium

Natural

Low in sugar

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2

304. Start-up in L. America

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304. Start-up in L. America

Premium

Natural

Low in sugar

Starting up in Latin America

04. Start-up in L. America

Three painful lessons from our stat-up Latin America

Distribution99%+ of the soft drink distribution is concentrated by two players not willing to share

FundingMajor challenge to find funds beyond state seed funds

Scale-upStruggle to scale production beyond craft size

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The ugly

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

05. International

Top three reasons to and not-to move from Latin America to Europe

Market Going to the right market in size and trends

Start-up backupThere is less red tape and back-office is easier in England than in Latin America. UKTI is a good help

GlamourIt´s a certain glamour around starting an international business regardless of the size

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NetworkYou will be an immigrant, with all its implications

CompetitionIs a much bigger market. There are some proper competitors. You are a small fish in a big pond

Long distance relationshipAs in any relationship, distance requires a special commitment

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The Good The bad

Going abroad at an early stage

Challenges of international brandingLost in translation

locationflower in design

naive posotivebrand suggestion

typographylogo colour

othernaive negativepronunciation

naff

0% 5% 10% 15% 20% 25% 30% 35%

05. International

Challenges of international brandingLost in translation

naffADJECTIVE

British informal

Way too similar to the word Naff

It is close to "naff", which

means crap in British English

Naif is very close to Naff which is

not a very complimentary

word in England!

05. International

Lost in translation

05. International

Challenges of international branding

Going abroad in an early stageThree painful lessons from our stat-up Latin America

DistributionSoft drink distribution is concentrated by two players not willing to share

FundingMajor challenge to find funds beyond state seed funds

Scale-upStruggle to scale production beyond craft size

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3

The ugly

05. International

01.Drinks industry

A corporate innovator in an old industry

02.A dive into startups

Jumping into the cold waters of start-ups

03.Business Plan

A retrospective review of expectations vs. reality

04.Starting up in Latam

The good, the bad, the ugly.

SectionsThis presentation has been divided into:

05.International

Going abroad at a very early stage

06.Pivoting

The persistence-new opportunities dilemma

Pivoting

06. Pivoting

The persist vs. move on dilemma

Pivoting

06. Pivoting

John Pemberton Asa Griggs Candler

Some painful lessons from Coke

DistributionSoft drink distribution is concentrated by two players not willing to share

FundingMajor challenge to find funds beyond state seed funds

Scale-upStruggle to scale production beyond craft size

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For a new business I would like

PivotingThe persist vs. move on dilemma

06. Pivoting

PivotingCold pressed juices

From basic juices made from concentrates to just-made pressed drinks, the juice market has a broad – and sometimes confusing- spectrum of alternatives.

Main juice types in the market relative to their price

Industrial Raw

Price

From concentrate

Not from concentrate

Pressed juices

Pressed fortifiedCold pressed

Just-made

Blurry zone

Pivoting

06. Pivoting

Thank you—

SCD Research. Cambridge, UK

(44) 07481835560