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Food & Beverage Reporter August 2018

South Africa's leading B2B magazine for the food & beverage sector and its allied industries in processing/packaging etc

South Africa's leading B2B magazine for the food & beverage sector and its allied industries in processing/packaging etc

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DISRUPTORS<br />

You seem to have incubated the<br />

business for some years, slowly<br />

building momentum with direct-tohome<br />

deliveries. Then, suddenly, you<br />

make a big bang with an extensive,<br />

boldly-packaged range in Dis-Chem,<br />

your own store, in Sasol stations and a<br />

big billboard in Sandton! How did this<br />

jump occur? Did you take on investors?<br />

We’ve built FitChef without investors<br />

so far. I think it’s better to go without<br />

investors sometimes as often money<br />

doesn’t solve the problems. The Silicon<br />

Valley-investment style of throwing<br />

money at everything is a flawed model, in<br />

most cases, and it’s a crumbling model.<br />

Business owners need to be extremely<br />

resourceful and there is a LOT of pain,<br />

sleepless nights and soul searching<br />

involved in that process.<br />

However, a business does reach<br />

a point where lack of funds does hold<br />

you back because competitors often<br />

have deeper pockets, access to bulk<br />

purchasing buying power, expensive<br />

automation or can afford to run at a loss<br />

while building market share. We<br />

are hoping to announce an investor deal<br />

very soon.<br />

As a side note,<br />

I think that South<br />

African investors<br />

need to loosen up<br />

a bit though – or<br />

maybe it’s time the<br />

government actually<br />

gives back too. There<br />

is a general lack of<br />

respect and under-standing towards<br />

entrepreneurs and how much effort<br />

goes into building a brand, setting up the<br />

company systems and working your way<br />

through the J-Curve. Local investors often<br />

can’t see that investment should be a winwin<br />

partnership.<br />

We worked extremely hard to build<br />

a brand, working seven days a week and<br />

burning the candle at both ends. So,<br />

luckily, retailers have been approaching<br />

us and we couldn't miss the opportunity.<br />

We have a very large retail roll out<br />

planned. We are grateful for the support.<br />

And your main focus going forward?<br />

Online sales was always going to be our<br />

main focus, followed by retail, but it looks<br />

like retail will overtake our online sales.<br />

South Africa is light years behind the<br />

international online sales and deliveries<br />

trend. We still like malls, like to pay cash<br />

and many are scared of using credit<br />

cards online despite the fact that there<br />

is no risk to the consumer. The bank just<br />

reverses fraudulent transactions and the<br />

seller is the one who loses out.<br />

Taking on the frozen food giants at<br />

their own game is no easy challenge.<br />

How are you positioning yourself in<br />

the market to ensure they don’t<br />

stomp on you going forward?<br />

We are being watched by the giants.<br />

Some of them have approached us.<br />

I believe we are in a unique position in the<br />

market because of our EatClean ethos.<br />

We are obsessed with wholefood<br />

ingredients. We are committed to having<br />

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