Mumbai-based artisanal bakery firm The Baker’s Dozen announced raising $5 million in a funding round led by Fireside Ventures in a press release on Wednesday. The investment round, which was spearheaded by renowned consumer VC fund Fireside Ventures, marked its entry into the D2C Baking & Confectionery market with The Baker’s Dozen.
The company stated that it planned to use this fresh injection of capital to further critical product innovation, team building, brand marketing initiatives, distribution expansion, and enhancing the business's technological capabilities. A portion of the funds obtained will also be used to make additional capital purchases and expand manufacturing to keep up with the rising demand for the products, according to the statement released by the bakery firm.
By establishing itself in Tier I and Tier II cities in India and expanding into the Middle East and eventually Southeast Asian markets, the company expects to increase both its domestic and international presence with the investment.
Commenting on the investment, Aditi Handa, co-founder and Head Baker at The Baker’s Dozen said, “We must understand that bakery goods are now more commonly consumed daily as opposed to simply being a treat, and TBD is as much of a millennial favourite as it is a mother’s trusted choice.” “With a razor-sharp focus on product and shelf-life innovation, and by using high quality, local ingredients, we are able to drive rapid growth by creating products that can easily adapt to their rapidly changing lifestyles and demands. We find great pride in being able to offer extensive variety and artisan quality at scale, while also establishing a strong bond with the end consumer. This makes us confident we will soon realize our ambition to put a sourdough in every Indian home!” she went on to add.
Prayag Mohanty, The Principal at Fireside Ventures also commented on the investment, by saying, “Our decision to invest in The Baker's Dozen (TBD), is backed by our fund thesis of looking for innovative white spaces within the overall D2C products space. TBD brings in the packaged version of artisanal bakery products which is addressing a huge market backed by technology innovations around processing and packaging at the backend. It is this combination of safe, healthy and delicious baked long-shelf-life products which led us to make this investment in TBD.” “We welcome TBD to the Fireside portfolio and we are excited to lend our support to the founders as they go on to build a leading artisanal packaged bakery food brand from India to the world,” he added.
The Baker's Dozen reportedly increased in size by nearly five times since its launch in 2013, with 2021–22 sales reaching up to Rs 30 crore. Currently processing up to 3 lakh orders each month, the bakery company is hoping to expand across e-commerce and Q-commerce markets. The company aims to expand its distribution footprint to more than 100 own stores and 1000 retail touchpoints across 25 cities in India.
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