RealDrop Natural Oil
About the Company
RealDrop Natural Oil focused on creating organic hair and skincare products, with flagship items like Hair & Scalp Tonic and Skin Rejuvenating Serum. These products targeted individuals seeking chemical-free solutions for hair and skin health. The company prioritized quality and customer education, striving to showcase the benefits of natural alternatives. RealDrop also aimed to support local vendors by sourcing raw materials from them and using traditional cold press techniques to preserve the oils' integrity.
The company's mission extended beyond profits, focusing on building trust through transparency and word-of-mouth promotion. Customer feedback and happiness were central to their success metric. Their outreach included retail partnerships and coupon promotions to attract and retain customers.
Idea Behind Company
The inspiration for RealDrop came during a conversation between Nabiulla and his mother, a former hair and skin technician who used homemade remedies throughout his life. She often faced skepticism from others about her preference for natural alternatives. This sparked Nabiulla’s realization of a market gap for chemical-free products and a desire to share these benefits with a wider audience.
With experience in running startups, Nabiulla leveraged his entrepreneurial skills to build the brand. He believed in the effectiveness of his products, having personally used them since childhood. His strategy included free product samples to generate word-of-mouth buzz, emphasizing quality over immediate financial gain.
Creating the Company
The production process for RealDrop emphasized traditional methods, avoiding automation to preserve product quality. Materials were sourced locally, and oils were extracted manually using wooden cold press machines. This method ensured the preservation of natural nutrients, though it reduced efficiency. Bottling and packaging were also manually handled to maintain the integrity of the products.
Packaging posed its own challenges as the team sought durable, non-reactive materials that complemented the product’s quality. Initial operational hurdles included navigating complex licensing and paperwork. The company embraced transparency in production, ensuring customers could trust their products' natural origins.
Launching the Business
RealDrop launched by partnering with top cosmetic outlets in India, using promotions such as coupons offering discounts and combo deals. Despite operating on self-financed capital without external funding, the company aimed for broad reach and awareness through in-store displays and digital marketing. Social media campaigns and an online presence helped build brand recognition and attract a loyal customer base.
The company faced significant challenges, including navigating the COVID-19 pandemic, which disrupted operations and led to decreased sales. However, they adapted by seeking certification for essential product status and strategized for future expansions, including plans to establish a presence in Chicago, Illinois.
Earnings
RealDrop achieved a modest $2,000 monthly revenue with a 10% profit margin due to high production costs and retailer cuts. While the unique nature of their products reduced direct competition, low consumer awareness of natural alternatives posed a hurdle. Marketing expenses, such as digital ads, added to the financial strain, especially during the pandemic's economic slowdown.
Despite initial growth, the business struggled to sustain profitability, ultimately shutting down in 2023. Nabiulla attributed the closure to pandemic-related disruptions and lessons learned about pricing and partnerships. However, his entrepreneurial journey with RealDrop provided valuable insights and reinforced the importance of resilience and adaptability.
