Product concept and development

Well done team for putting heads together to move forward with kefir grains. We now have a clear product concept. We would be selling water kefir kits with dehydrated kefir grains and cherry juice packed in vacuum pack.

The market research this morning further confirmed the fact that kefir grains were in demand but not available readily in Dunedin. We were pitching a health and wellness product for gut health to a segment of the market that was predominantly female, baby boomer, well educated high involvement food customer that was willing to learn more to look after their health to improve and extend their lives. Our research has indicated that gut health is of a prime concerne and a well looked after gut has many health benefits.

We would continue to research at the farmers market on coming Saturday with an open mind should we bump into another segment of the market that might be interested in our product. We also need to look at our target market to learn how would they engage with our product in their lifestyle.

The tasks ahead are:


  1. How much dehydrated grains per pack weigh wise.
  2. How long to dehydrate to obtain an ideal product.
  3. How much cheery juice per pack
  4. How much cherries by weight required to make juice per pack
  5. How much mallic acid to add to stabilise the juice.
  6. Ph of the finished cherry juice.


  1. Price each component of the product excluding GST
  2. Wholesale price of 1 lit glass bottles from Alibaba.
  3. Pricing for the label on the bottle
  4. Pricing for the sugar pack and label
  5. Pricing for organic fair trade sugar, bulk wholesale
  6. Price for reproducing and dehydrating crystals.
  7. Price for crystals pack and label.
  8. Price for printing step but step instructions leaflet.
  9. Price for producing, packing and labelling cherry juice.
  10. Price for packaging the kit ready for couriers.
  11. Courier charges per kit for Otago region.
  12. Price for 2 pieces of muslin cloth 8×8 cm


  1. Customer support and high level of knowledge exchange would be of utmost importance for the success of the product. Our company would engage customers through several social media avenues and would seek feedback to best understand their needs and possible new products.
  2. Facebook page to post product benefits. It is almost like launching a new product segment and product category education is a must along side brand promotions. Customers would be given incentives to post pictures and tips as they start using our kefir. Demographic focused Facebook marketing would also be done to explore if that was the cheapest and the best way to reach our target market.
  3. A dedicated blog to educate customers with researched and published data on the advantages of using kefir on a regular basis. It will tag high profile naturopaths and their blogs and they would be given free kits to try for themselves and to further put the advantages on their blogs.
  4. A dedicated website to not just have an online presence and product education but to also sell the product through subscription.
  5. An initial investigation suggests that the company might be stocking the kits at antidote pharmacies, taste nature and health 2000 stores besides selling it at the farmers market and online sales.

Future Prospects

  1. The company realises that this is a lean business model and a fairly lucrative business could be launched with very little starting capital. The core of the business, water kefir crystals, can be produced with minimal labour and less than 50 cents per pack. Almost a similar amount to produce cherry juice makes it a very low expense product in terms of ingredients and labour.
  2. There is no dilemma that the business proposed has a short life spam. The company would either be sold at the upper end of the growth phase or new products trending and satisfying the health and wellness needs would be considered. Company might start selling kits for other fermented products.
  3. Keeping an eye on the customers would definitely suggest the company if it needs to enter the market of ready to drink kefir.
  4. If kefir trend keeps growing then the company might consider selling franchises across the country.

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