Premium chocolate maker Manam Chocolate is stepping up its retail expansion and farm-to-consumer operations, targeting revenue of over ₹100 crore in the current financial year as it seeks to establish a stronger presence across India’s major metropolitan markets.
Founded in August 2023, the company is planning to expand its network to approximately 18 outlets by the end of the next financial year, including 13 experiential stores. Mumbai and Bengaluru are among its next expansion destinations, with a broader ambition to enter all major metros over the next two years.
The company reported revenue of ₹53 crore in the previous financial year. According to founder Chaitanya Muppala, Manam has raised around $17 million through founder contributions and external investors. This includes approximately $5 million invested by the founders, an initial funding round of $3 million and a subsequent $9 million investment from a venture capital firm.
Rather than relying solely on conventional chocolate retail, Manam has developed an integrated business spanning cacao sourcing, post-harvest processing, chocolate manufacturing, exports, business-to-business supplies and consumer-facing stores.
Its supply network currently covers more than 3,000 acres of cacao farms, which the company plans to expand to 6,000 acres by the end of the current financial year.
A key element of its strategy is converting commodity cacao into fine-flavour cacao through proprietary fermentation and post-harvest processing techniques. Muppala said this enables the company to command a premium of 200-300% over conventional bulk cacao.
Manam uses the processed beans to manufacture a portfolio of around 300 consumer products across 50 categories, positioning itself in the premium chocolate and gifting segments.
Experiential retail drives the strategy
Retail contributes approximately 80% of Manam’s revenue, while exports account for around 5%, with the balance coming from business-to-business channels. The company aims to increase the contribution of direct-to-consumer, e-commerce and other online channels from about 20% to nearly 30% of revenue.
Its expansion strategy prioritises larger experience-led outlets to introduce consumers to the brand before moving into smaller formats suited to high-footfall locations.
The 12,000-square-foot Manam Chocolate Karkhana in Hyderabad combines manufacturing, retail and café experiences. Its larger experience stores generally occupy 3,500-4,000 square feet, while beverage bars and dessert outlets cater to different consumption occasions and investment requirements.
The company is also exploring travel retail and smaller formats. A dessert bar is planned at DLF Summit in Gurugram, while an airport outlet in Hyderabad is expected to open in the fourth quarter.
Capital expenditure ranges from ₹1.5 crore to ₹6 crore per outlet, depending on the format. Muppala said all four stores opened so far had achieved operational profitability from the outset, although revenue varies across locations and formats.
Manam is targeting overall EBITDA break-even in the next financial year as it invests in the infrastructure, teams and operating systems needed to manage an increasingly complex supply chain and retail business.
Gifting emerges as a major growth engine
Chocolate and gifting together account for approximately 65% of revenue, making them central to the company’s growth plans. Manam is targeting nearly 200% growth in corporate gifting in the current financial year, with gifting demand influencing its product assortment and store formats.
Meanwhile, the restaurant business, which contributed around 30% of revenue when the company launched, now accounts for approximately 11%, reflecting a shift towards chocolate retail and gifting.
International expansion remains a longer-term possibility, but the company has yet to identify a specific market for entry.
As Manam scales, its ability to maintain product quality, secure consistent cacao supplies and generate sustainable returns from capital-intensive stores will be critical. Its ₹100-crore revenue target will test whether its combination of premium chocolate manufacturing, experiential retail and corporate gifting can be replicated across multiple Indian markets.