From 2012 to date there has been a new wave of investments in innovative companies related to the food industry. Start-ups operating in food tech are revolutionizing the way food is produced, distributed and consumed, and are revitalizing an entire industry with new business models and customer experience.

1. Are Cookbooks ready
for the next level? –
Custom Food Tech
Trends, Analysis and
Forecast Report
Rahul KM
16-Sep-2016

2. EXECUTIVE SUMMARY
From 2012 to date there has been a new wave
of investments in innovative companies related
to the food industry. Start-ups operating in
food tech are revolutionizing the way food is
produced, distributed and consumed, and are
revitalizing an entire industry with new
business models and customer experience.
A significant pipeline of open innovation
opportunities has been generated, with the
potential to significantly improve customer
experience in Food based content and recipe
aggregation segments of this market. The
primary intention of this report revolves around
checking whether recipe aggregation space
inspires viable new business. Also, to note key
industry trends, challenges and competitor
landscape.
Disclaimer: This report has been prepared from various public sources believed to be reliable (set out at relevant places through out the report)

3. AGENDA
1. Overview
▪ Overview of Indian Food Sector
▪ Demand Side Drivers
▪ Supply Side Drivers
2. Areas of Innovation – Segment Analysis
3. Growth in Investments
▪ Funding Rounds
▪ Funding Rounds by Stage
▪ Most Active Investors
▪ Top Business Model by Funding
4. Segment Deep Dive
▪ Overview
▪ Key Trends
▪ How to Leverage the Market
5. Opportunities for Brands
6. Current Landscape – Recipe Aggregation
7. Go-To-Market Strategy
8. Proposed Working Model
9. Future Predictions
10. Competitive Landscape

4. OVERVIEW OF INDIAN FOOD SECTOR (1/2)
Over the years, food services market in India has been growing at a robust pace on
account of increasing personal disposable income, growing internet penetration and
rising number of smartphone users. It is further projected to grow at a CAGR of 13%
during 2016-2021.
Source: India Foodtech Market, Competition Forecast and Opportunities, 2011 – 2021 - TechSci
US $50B
CAGR 13%
Market Size

5. OVERVIEW OF INDIAN FOOD SECTOR (2/2)
Food constitutes half of India’s consumption expenditure. Thanks to the large young
population, this trend is likely to sustain for next 20-25 years.
Age-wise consumption of food (Figures in millions)Food is a major item in the consumption basket
Source: Grant Thornton Analysis, Industry Sources

6. DEMAND SIDE DRIVERS
464M Youth by 2021
>200M nuclear families by 2020
More women in workforce than ever before
Broadening exposure to new cuisines
Rapid urbanization
Growth of consumers in smaller towns
Millennials trying out different cuisines

7. SUPPLY SIDE DRIVERS
Disruption caused by start-ups
Efficiencies and quality standards in supply chain
Arrival and growth of logistics providers
Semantic search technology improving the food search experience

8. AREAS OF INNOVATION – SEGMENT ANALYSIS
DINE OUT INTERNET FIRSTCOOK AT HOME
RESTAURANT
DISCOVERY
TABLE BOOKING
IN-RESTAURANT
ORDERING
IN-RESTAURANT
PAYMENT
DISH DISCOVERY
CHEFS
HOSTED
GROCERY
ORDERING / DELIVERY–
OPEN MARKETPLACES
RESTAURANTS
CHEFS
CHEF AT HOME ON DEMAND
ON DEMAND +
HEAVY OFFICE FOCUS
LATE NIGHT DELIVERY
ASSET LIGHT
ASSET HEAVY
SUBSCRIPTION ON DEMAND
ON DEMAND +
HEAVY OFFICE FOCUS
LATE NIGHT DELIVERY
RECIPE BOX
RECIPE AGGREGATOR
CHEF AT HOME
ORDERING
ORDERING &
DELIVERY
ORDERING

9. GROWTH IN INVESTMENT – FUNDING ROUNDS
Over $6.1 billion were invested in Global Food Tech in 2015 along with more than 60
M&A activities. This trend should continue in 2016.
$65M $187M $338M
$645M $626M
$932M
$2.6B
$6.1B
$2.6B
YoY – Total Funding
Note: The funding includes debt rounds also
Source: Food Tech Report, July 2016

10. GROWTH IN INVESTMENT – FUNDING ROUNDS BY STAGE
Over $6.8 billion were invested in Global Food Tech in 2015 in 426 rounds.
Source: Food Tech Report, July 2016

11. GROWTH IN INVESTMENT – MOST ACTIVE INVESTORS
Sequoia capital and 500 startups have been very active in this space and have made
some major investments.
Source: Food Tech Report, July 2016

12. TOP BUSINESS MODELS BY FUNDING
Competition in recipe aggregation sub sector is limited as focus is currently on food ordering
platforms across the globe. This presents an opportunity as the competition is limited.
Source: Food Tech Report, July 2016

13. Welcome to the
Digital Kitchen:
Cooking Trends
Among Consumers

14. DEEP DIVE – COOK AT HOME / RECIPE AGGREGATOR
Despite the fast pace of modern life, a vast majority of people frequently cook meal at
home using raw ingredients as opposed to processed / packaged food.
Age group profile of people who cook at home
Source: Euromonitor, Home Cooking and Eating Habits: Global Survey Strategic Analysis, Industry Reports

15. KEY TRENDS– COOK AT HOME / RECIPE AGGREGATORS
Social sites and food the perfect pairing
49% consumers learn about food through
social networks, and 9% have
downloaded a mobile food app in the past
year.
Online trumps print for food research
46% 31%
Source: Euromonitor, The Hartman Group and Publicis Consultants, Huffingtonpost.com,
Crunchbase.com, Business Insider.com, Venturebeat.com, BusinessWeek, Google Consumer Survey
66% people in India cook a meal
entirely from raw ingredients on a
regular basis.25-34 year olds cook with their
mobile device handy
31% people said choosing
what to cook is the least
enjoyable part of the process.
How-to content related to food
witnessed 419M views in 2014.
75% of growth in viewership
came from mobile devices

16. HOW TO LEVERAGE THE MARKET
Open Innovation
• Look for M&A opportunities in the new wave of food
start-ups in generating smart and scalable solutions.
• Key factors are low development costs, access to new
demographics, innovative processes and new sales &
distribution channels.
Internal Innovation
• Explore the new layers generated by digital technology.
• Each process in the food experience could be leaner,
smarter and more efficient.

17. OPPORTUNTIES FOR BRANDS
SPARK PHASE PREPARATION PHASE COOKING PHASE
Opportunity: Tap into their
curiosity and broad recipe searches
by offering specific cooking ideas
through semantic search. Turn the
stressful experience into a fun
exploration
Deciding what to cook
31% people say choosing what to
cook is the least enjoyable part of
the process
Searching how to cook it
Food content on YouTube got 419M
views in 2014
75% growth in viewership came
from mobile devices
“How to cook that” is top 10 most
popular searches on YouTube
Opportunity: Be there during the
discovery and consideration stages
and help them develop the
techniques required to make
interesting meals with their
signature touch.
Am I making this right moment
68% moms said they watch videos
while cooking
Audio search is indispensable if
hands are occupied
39% people also make some kind of
purchase in the kitchens
27% people cook with spouse,
friend or child.
Opportunity: Think beyond recipe
and how-tos and consider ways to
promote a fun and social cooking
experience
Top 100 food search terms tend to
be broad – dinner ideas, healthy
recipes etc.
Search interest for “best recipes” on
YouTube is up 48% YoY
Source: Millward Brown Digital/Firefly/Google, YouTube Food, May 2014.

18. CURRENT LANDSCAPE – RECIPE AGGREGATION
Presently consumers are inefficiently searching for recipes on social media platforms /
google as this sub-sector has been largely ignored by start-ups in India. There are only a
handful of apps that are focusing on this segment but the technology being used is
inferior to their US counterparts.
BetterButter RecipeBook
Social Networks Indian Startups Semantic Tech
Opportunity

19. GO-TO-MARKET STRATEGY (1/3)
Consumers are hungry for video. This fact has been established by the success of apps
like Snapchat and Food channels on YouTube. To capture the mind share in recipe search
segment the app should focus on content delivery through snappy videos and visually
appealing content.
Source: Millward Brown Digital/Firefly/Google, YouTube Food, May 2014.

20. GO-TO-MARKET STRATEGY (2/3)
Overall food experience has improved through new layers: local, social, mobile,
metadata, ecommerce, digital payments, analytics, retail. However, inefficiencies still
exist in food recipe search space. A new solution should focus on revamping the entire
meal preparation chain through social layer and recommendations.
Sharing
What are my friends making?
Organizing
Where is the recipe of my mom’s paneer butter
masala?
Cooking
What should I make tonight?
How can I use up this Zucchini?
Shopping
What groceries should I buy?
Planning
What can I make for Diwali dinner?

21. PROPOSED WORKING MODEL
There exists an opportunity to leverage recommendation engine technology to create an
intelligent recipe search engine, similar to Netflix, in India. It can be an app / web based
service that works as metasearch engine and gives users the ability to filter dishes using
different parameters to uncover the desired dish in a visually appealing way.
Recipes from:
• Web
• Users
• Cookbooks
Extract Ingredients:
NLP algorithms to
extract ingredients and
their amounts.
Eg: 1 cup rice
Amount: 1, Unit: cup
Ingredient: rice
Preparation / Step
Parser:
NLP algorithm to:
extract techniques
used, calculate
preparation time, and
split multi-step text
blocks
Device Ingredients and
Amount Info:
Price, Nutrition, Flavour, diets &
Allergies
Classification Algorithms:
Algorithms to derive recipe
meta data: Cuisines,
Courses,
Similar Recipes.
Ingredient Substitutions
App User Interface:
Recipes, Search,
FoodFinder,
recommendations and
TasteBuds

22. Recipe and cooking will get even smarter, easier, and more cost effective for the average home cooks.
FUTURE PREDICTIONS
Health and sustainability will be more prominently featured in existing and new sites / apps.
Business models behind recipe related websites and apps will get more interesting as people explore ways
to link recipes with the actual purchase of ingredients, to offer services and products, and begin syndicating
content to service providers or e-commerce sites.
Learning how to cook will get more interactive as publishers and websites use videos for easy and
interactive experience.
Smart appliance will integrate recipe search in the LCD screen of the device.

23. COMPETITIVE LANDSCAPE
Company Details Funding Investors
BetterButter is an Indian social food discovery website that aims to be a platform
that will allow Indian chefs to share, discover and celebrate regional and world
recipes
$250K GrowX Ventures, M&S Partners,
Manish Singhal, Rajesh
Sawhney
RecipeBook categorizes different cuisines and dishes based on cooking methods
and time required to cook them. They are implementing AI and NLP abilities in
the app. They currently feature as Editor’s choice in Google Play Store
Bootstrap -
Tastemade is a video network for foodies, gathering up creators who have built
their followings around their love of cooking (and eating). Apart from on-demand
episodes of creator cooking shows. Tastemade has more than 18 million unique
views per month across 200+ countries / territories
$80.3M Redpoint Ventures, Goldman
Sachs, Comcast Ventures, The
Raine Group, Liberty Media,
Scripps Networks Interactive,
Tohokushinsha FilmCorp
XiaChuFang started off as online recipe-sharing community. It carries a wide
selection of recipes, from what users can cook. It leverages on its community and
has expanded into an e-commerce platform. Claims to have 100+ different sellers
offering a variety of foods and food related product on its platform
$30M China Growth Capital, Tiswi
Ventures, Unity Ventures,
JD.com, Ceyuan, TBP Advisors
Yummly is a food discovery platform. The food finding service aggregates recipes
from around the web and lets users filter that data in a variety of ways to find the
right dish. It has a monthly user base in excess of 15 million
$22.8M First Round Capital, Intel
Capital, Harrison Metal, Physic
Ventures, Unilever Ventures,
Bauer Venture Partners

24. COMPETITIVE LANDSCAPE
Company Details Funding Investors
Food52 is a crowdsourced cooking project that consists of a recipe sharing
website, contest and a cookbook to be published by HarperStudio. It has
launched service, where cooks can buy products related to the recipes. This
service accounts for 2/3rd
of Food52’s revenue. It also has a hotline mobile to
ask cooking questions and get answers in real time.
$9M Bessemer Venture Partners,
Walden Venture Capital,
Zelkova Ventures,
Bertelsmann Digital Media
Investments, Gary
Vaynerchuk, Scripps
Networks Interactive, Vocap
Investment Partners, Vayner
RSE, Lerer Hippeau Ventures
Foodily lets consumers browse through recipes online and select the right ones.
It lets customers filter and compare recipes by cook time, calories, and
ingredients to come up with best suggestions
$6.72M Index Ventures
YueshiChina operates as an online food content portal. It also operates a store
on Taobao where it sells gourmet food ingredients, cutlery etc.
$5.86M Matrix Management
DayDayCook is an online portal which showcases step-by-step instructions and
videos on how to cook Chinese, Japanese, Korean authentic recipes.
$5M 500 Startups, Vectr Ventures,
Iron Fire Ventures
Nom is a community for food lovers to create share and watch their favourites
stories in real time. It offers features to create rich , multimedia broadcasts
through a live stream that allows you to layer in photos, video clips, GIFs with
no additional editing and also engage chefs, makers and home cooks
$4.63M SV Khosla Ventures, BlueRun
Ventures, WI Harper Group

25. COMPETITIVE LANDSCAPE
Company Details Funding Investors
KitchenBowl is an international community for cooking enthusiast to share and
discover recipes. KitchenBowl has been featured in the App store as a “Best
new App” and was raked #1 Christmas app under “Recipes and Chefs”.
Buzzfeed, Times and Mashable features its videos “Kids Try Breakfast from
around the world” which now has over 13 million views
$2.7M Food, SOSV, Chasing
Unicorns
Spoon University is a food community for college students and milenials.
Content revolves around tips, tricks and healthy eating and living.
$2M SoftTech VC, Lerer Hippeau
Ventures, BoxGroup, BBG
Ventures
Kitchen Stories offers video recipes and simple step-by-step photo instructions
for easy-to-cook dishes. Social features include: auto-generated shopping list,
quantity calculator, integrated timer and availability in 12 languages
$1.8M Point Nine Capital,
Bertelsmann Digital Media
Investments, Cherry
ventures, JOIN Capital
AllRecipes is a food focus social media website for user shared recipes, reviews,
photos, profiles, and blog posts. They receive more than 450million visits
annually from home cooks. It has 16 international sites providing authentic and
relevant food ideas
$1M Cambria group
SideChef offer sophisticated user recipes with detailed pictures and
commentary, as well as voice guidance and kitchen instructional videos
$1M Peacock Capital

26. Questions?
Contact Info
Rahul KM
E-mail: rahulkm@outlook.in
Mobile: +91 8527592195