Launching Bikazoom Lubes: A New Era in Bicycle Chain Lubricants in India

The journey of launching Bikazoom bicycle chain lubricants in India began with a vision to create an import substitute that combines affordability with high-quality formulation. This journey, filled with extensive ideation, product trials, and meticulous packaging design, aimed to culminate in commercial sales, marking the project's true success. 

Background and Market Re-entry

Our foray into the bicycle market isn't new. We previously sold children’s bicycles under our brand. However, during Pranab Mukherji's tenure as finance minister, the high import duties imposed by the UPA ministry made the business unviable, leading us to withdraw from it. Despite stepping away from the bicycle business, we always harbored intentions to reenter the high-end bicycle market. We bided our time, waiting for the market to recover from the post-COVID boom and subsequent oversupply slump.

In preparation, we began building a database of high-end bicycle retailers in India and started attending annual bicycle shows in East Asia to stay abreast of industry trends and innovations. This groundwork was essential for understanding the market dynamics and establishing connections that would later prove invaluable.

Three-Pronged Sales Strategy

After multiple discussions, we devised a comprehensive three-pronged strategy for selling Bikazoom bicycle chain lubricants in India:

1. Amazon Listing: Listing, promoting, and selling on Amazon.
2. Our Website: Creating a dedicated website for direct sales.
3. Retail Sales: Selling to high-end bicycle retailers in India.

For marketing, we decided to initially focus on two key areas:

1. Amazon Branding and Advertising: Creating a brand presence on Amazon through A+ listings and keyword advertisements.
2. Social Media Influencers: Collaborating with genuine product reviewers, particularly those who are social media influencers. We recognized the value of regional language YouTubers who maintain content integrity over monetary gain.

Challenges and Solutions

For our Amazon strategy, we hired an external contractor for listing, branding, and A+ listing. The listing process was straightforward, but branding and A+ listing approval took time. We faced particular challenges with listing our dry lube, which contains an inflammable solvent. This required us to prepare and submit a detailed safety data sheet (SDS) to Amazon, which involved several iterations and guidance from a chemical engineer.

The process of preparing the SDS was a learning curve. We consulted with a fellow businessman who is a chemical engineer to understand the nuances of creating a safety data sheet. Despite our best efforts, the SDS faced multiple rejections from Amazon, each rejection followed by a review and resubmission cycle. This iterative process, although time-consuming, ensured that we met Amazon's stringent safety standards.

Cost Analysis and Pricing Strategy

Among our three lube variations—all-weather, wet, and dry—we found that ingredient costs were lowest for the all-weather lube, increasing for the wet and highest for the dry lube. Consequently, we decided to price them accordingly. This pricing strategy was designed to reflect the cost of production while remaining competitive in the market.

Initial Sales and Marketing Efforts

Even before completing our A+ listing, we received our first order for an all-weather lube on Amazon. Being a Prime supplier helped, as our products were already in the Amazon Prime category. Initial orders were driven by Amazon PPC ads, with a low ROAS that gradually improved. We then completed the branding and A+ listing, enhancing our product's visibility with professionally created images highlighting key features.

The impact of the PPC ads was noticeable. While the initial ROAS was low, consistent advertising and optimization strategies led to gradual improvements. The A+ listing, coupled with high-quality images, played a crucial role in attracting potential buyers. The professionally created images were not just about aesthetics but conveyed the functional benefits of our products effectively.

Developing Our E-commerce Platform

Simultaneously, we began developing our e-commerce website on Shopify, choosing a free theme and customizing it ourselves. This decision stemmed from a desire to understand our requirements better before investing heavily in web development. Our approach was driven by the understanding that as the business grows, our needs and priorities would become clearer, allowing us to invest wisely in the future.

Choosing Shopify over WooCommerce was influenced by feedback from industry peers. One of our friends had faced significant issues with WooCommerce, which guided our decision to opt for Shopify. The platform's user-friendly interface and robust support system made it a suitable choice for our needs.

Retail Strategy and Customer Engagement

We also started reaching out to our database of bicycle retailers, offering sample packs of our lubricants. While uptake in this segment was slower than expected, we identified the need for smaller packaging to reduce customer hesitation. Smaller packs would allow retailers and customers to try our products without a significant initial investment.

Engaging with retailers required a nuanced approach. We understood that building trust with high-end bicycle retailers would take time. Offering sample packs was a step in that direction, demonstrating our confidence in the product and encouraging retailers to experience its quality firsthand.

Engaging Social Media Influencers

We engaged with two influencers who tested and reviewed Bikazoom lubricants. The first review was done by Bluerider Ajay, and the second by Vysakh in Malayalam. These reviews significantly boosted our organic sales on Amazon and improved our product's Google search rankings. We are actively seeking more influencers across different states to create regional language content.

The choice of influencers was strategic. We deliberately avoided those who prioritize monetary gain over content integrity. Instead, we focused on genuine influencers who valued the authenticity of their reviews. This approach not only aligned with our values but also resonated with our target audience, who appreciated honest and unbiased product reviews.

Future Challenges and Strategies

Our current challenge is to increase direct sales through our website. While Amazon sales help build visibility, we don't make substantial profits there unless ROAS improves significantly. We're also uncertain about the total market share for quality bicycle chain lubes, as obtaining import data is cost-prohibitive.

Some online sellers of imported chain lubes are hesitant to stock Bikazoom, believing imports are superior. Overcoming this perception is crucial. We are exploring ways to establish Bikazoom as a reliable and high-quality brand in the market, including potentially smaller packaging options and more aggressive marketing strategies.

Leveraging Market Data and Insights

Understanding the market dynamics for bicycle chain lubricants is essential for our long-term strategy. Although obtaining import data is currently expensive, we recognize its importance in shaping our business decisions. Market insights would help us gauge the demand for quality lubes and identify potential opportunities for growth.

In the absence of comprehensive market data, we rely on feedback from retailers and customers. This feedback loop provides valuable insights into consumer preferences and market trends. We continuously adapt our strategies based on this information, ensuring that we remain responsive to market needs.

Building a Sustainable Brand

Establishing Bikazoom as a trusted brand requires more than just quality products. It involves building a sustainable business model that prioritizes customer satisfaction and market presence. We are committed to maintaining the highest standards in product formulation, packaging, and customer service.

Our journey is marked by continuous learning and adaptation. Each challenge presents an opportunity to refine our approach and strengthen our market position. As we expand our reach and build a loyal customer base, we remain focused on our mission to provide high-quality, affordable bicycle chain lubricants in India.

Conclusion

The journey of launching Bikazoom lubricants has been filled with challenges and learning opportunities. From navigating Amazon's stringent listing requirements to leveraging social media influencers, every step has brought us closer to our goal of becoming a leading name in bicycle chain lubricants in India. As we continue to refine our strategies and expand our market reach, we remain committed to offering high-quality products that meet the needs of cyclists across the country.

The future of Bikazoom looks promising. With a clear strategy, a dedicated team, and a commitment to quality, we are poised to make a significant impact in the bicycle lubricant market in India. As we move forward, we will continue to innovate, adapt, and grow, ensuring that Bikazoom remains synonymous with excellence in bicycle chain lubrication.