Waste analysis

Since the bacterial medium inside the insole has to be replaced with a new one after intervals of around 30 days or so, analysis of the waste products generated by our product becomes extremely important. We have thus analyzed the degradability of the different components present in E.solei and determined whether the emissions upon the disposal of the bacterial medium are toxic to the environment or not.

The analysis chart is given below :-

From the above analysis, we conclude that E.solei is entirely made of biodegradable materials which do not generate much, or rather any, toxic compounds to the environment upon degradation. It is therefore an environment-friendly, as well as user-friendly product, and is completely safe and for usage and disposal by any consumer.

PESTEL Analysis

We have conducted a PESTEL (Political, Economic, Social, Technological, Legal Environmental) analysis to evaluate the external factors that may influence the success of E. Solei. This analysis has helped us understand the political, economic, social, technological, environmental, and legal aspects that could impact our project. By identifying potential opportunities and challenges, we can ensure that our approach is aligned with regulatory requirements, consumer needs, and sustainability goals, making our product both innovative and market-ready.

SWOT Analysis

By conducting a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis for E. solei, we have gained valuable insights into our project. It has helped us pinpoint our strengths, such as our eco-friendly design and versatile technology, while also identifying areas that need attention, such as the potential challenges of media contamination. Additionally, by exploring opportunities like market growth and strategic partnerships, we can further enhance our product's reach. The analysis also highlights potential threats, such as acceptance issues due to misconceptions about bacteria. Overall, the SWOT analysis ensures we are well-prepared to leverage our strengths and address weaknesses and threats effectively.

RISK Analysis

In the case of a start-up there are various risks associated with it, so it is always important to analyze the risk properly to understand future prospects and performance of our project.[4] Here, 1 denotes highest risk and 5 denotes lowest risk

As a student venture, we currently face higher risks due to limited professional experience in managing and developing our product. However, as we move forward, we plan to mitigate these risks by recruiting experienced professionals to oversee the management and further development of E. solei. This will ensure that our venture operates with greater expertise and efficiency as we scale.

Market Analysis

The global shoe soles market is currently valued at USD 21.99 billion (2023) and is expected to grow significantly, reaching USD 31.97 billion by 2030, with a Compound Annual Growth Rate (CAGR) of 4.2%1. This steady growth reflects rising consumer demand for both comfort and functionality in footwear products across diverse regions. E.solei, a cutting-edge solution aimed at combating foot odor and fungal infections using natural antifungal agents and fragrance-releasing properties, is well-positioned to capitalize on this expanding market segment.

A key subsegment of the shoe soles industry, orthotic and specialized insoles, is expected to grow from USD 3.73 billion in 2024 to USD 5.21 billion by 2029, at a CAGR of 6.9%2. This growth is driven by increasing health consciousness, particularly among athletes and individuals seeking enhanced foot support. E.solei's innovative bio-based solution, designed to offer both protection against fungal infections and comfort, aligns perfectly with this trend.

Additionally, the smart insole market, characterized by high-tech advancements in foot care, is projected to grow at a rapid CAGR of 9.8% from 2023 to 20333. This highlights an opportunity for E.solei to explore synergies with technological innovations, ensuring the product remains competitive within the evolving footwear industry.

Regionally, the Asia-Pacific market presents significant opportunities 4, driven by rapid urbanization and evolving lifestyle patterns, particularly in densely populated countries such as India and China. The growing middle-class population in these regions, coupled with increasing disposable income, has sparked higher demand for specialized footwear solutions that cater to both comfort and health. E.solei, with its natural, eco-friendly design, is uniquely positioned to cater to this market by offering sustainable solutions to common foot health problems.

Finally, the diabetic footwear market, valued at USD 8.36 billion in 2023, is expected to grow to USD 17.45 billion by 2033 at a CAGR of 7.64% 5, illustrating the increasing need for specialized foot care products, particularly for individuals with sensitive foot conditions. E.solei has the potential to expand into this segment, offering relief and protection from infections for those with diabetes or other conditions affecting foot health.

This comprehensive market landscape not only demonstrates significant potential but also emphasizes the timeliness and relevance of E.solei's innovative product offerings. By targeting multiple growing segments, including orthotic insoles, natural foot care, and specialized diabetic footwear, E.solei is positioned to make a meaningful impact in the global footwear and personal care industry.

Moreover, conducting a Competition Analysis for E. Solei has allowed us to clearly understand how our product stands out in the current market. By comparing key features such as affordability, customizability, durability, environmental impact, and antimicrobial action, we highlight our unique strengths and identify areas where our competitors fall short. This analysis helps us position E. solei effectively, ensuring that we capitalize on our advantages and address any gaps in the market to offer a superior product to consumers.

Intellectual Property

We had the opportunity of having a meeting with K&S Partners, one of India's leading Intellectual Property (IP) firms which provides expert and specialized services in order to protect the IP Rights, regarding the possibility to apply for a Patent of our product. Our discussion with them proved to be quite fruitful as we learned about the legal proceedings required in order to apply for a patent as well as got to know about the criterion our innovation would have to fulfill in order for it to be patentable. K&S partners performed a brief novelty search for our product and came up to the conclusion that our innovation is indeed a novel one as no other such product exists in the market with a similar work of action.

We have already collaborated with K&S Partners for patenting our product and they have sent us an Invention Disclosure Form where we will have to highlight all the details of our innovation. This is indeed an intricate task and needs to be done with extreme caution, given the difficulty in getting a patent in India, and we are currently in the stage of analyzing the details of our project to be put into the form. Once the form will be filled up, we will proceed further with the necessities required to apply for a provisional patent of our product. We first want to proceed by applying for a provisional patent of our product, E.solei, to gain protection of our innovation for the a span of 12 months, thereby giving us enough time to perform experiments inclined towards a fruitful development and concept verification of our product, and once it has been tuned to perfection, we want to go ahead with the application of a Standard Patent.

Our future proceedings to secure an intellectual property right over our innovation, E.solei, are listed in the following Timechart :-

We acknowledge the immense help K&S Partners provided us regarding gaining insights into the legal proceedings required for the application of a patent in India and the steps to be followed for the same.

Scale-up Production

As we prepare to scale up the production of E.solei, we propose to leverage the bioreactors and other facilities available at the RISE incubation center at IISER Kolkata. Our focus will be on ensuring efficiency, optimizing production processes, and establishing a smooth logistics and delivery system to meet the growing demand for our product.

#Make dropdown
1. Production Scaling Using resources at RISE foundation
We will begin by assessing the capacity of the bioreactors at RISE and optimizing them for large-scale production. Depending on the production requirements, we may run multiple batches to maximize output. We will also decide between batch and continuous production, selecting the approach that offers the most efficiency and quality control. By carefully managing parameters like temperature, pH, and nutrient supply, we aim to ensure consistent yields of E.solei.

2. Raw Material Sourcing
To maintain continuous production, we will secure a reliable supply of raw materials such as growth medium and other substrates. For this we plan to establish partnerships with local suppliers and negotiate purchase in bulk to reduce expenditure. A robust inventory management system will track our material usage and ensure continuous availability of stock for production.

3. Logistics for Large-Scale Production
We will ensure that the on-site infrastructure at RISE supports our scaling efforts, including adequate storage for raw materials and product, along with proper waste management systems. We also aim to implement cold chain distribution logistics to maintain product integrity during transport. Packaging solutions will be developed to ensure safe transport, with special attention to any temperature-sensitive or sterile requirements.

4. Distribution and Deliveries
We will establish a distribution network that efficiently delivers our product to both small dairy farmers and large dairy companies. Partnering with logistics providers who specialize in biotechnological products will allow us to reach our customers quickly and cost-effectively. For remote regions, we will consider setting up decentralized hubs to reduce transportation costs and delivery times.

5. Quality Control and Regulatory Compliance
At every stage of scaling up, we will prioritize product quality. Each batch will undergo rigorous testing to ensure it meets our quality standards. We will also make sure that all regulatory requirements are met, adhering to local, national, and international guidelines for biotech products, agricultural solutions, and environmental safety.

6. Cost Management dropdown
By scaling up production, we aim to reduce unit costs through economies of scale, particularly in raw material purchasing and production efficiency. We will also explore options for automating parts of the production process to reduce labor costs and improve consistency.

7. Customer Feedback and Post-Delivery Support down dropdown
As we distribute E. solei, we will establish a feedback loop with our customers to continually improve the product and its delivery. After-sales support will include educational materials and, if needed, direct assistance to ensure proper usage and troubleshooting.

This summary outlines our strategy for scaling up production and ensuring efficient logistics and delivery of E. solei. By leveraging the bioreactors at RISE, sourcing reliable materials, and partnering with expert logistics providers, we aim to make E. solei widely accessible to dairy farmers and companies alike.

Our initial setup of production will be in our college in RISE incubation centre itself but as we proceed further and grow further we will be setting up our own factory for the scaling up our product.

Marketing

To run a business successfully, along with having a great product generating revenue is equally important and for that it is essential that we project our product’s benefits to the potential customer. This is where the Sales and Marketing Team comes in. Marketing and sales overview promotion, distribution and sale of products. Even though our marketing team is not up and about yet, we have created brochures as hand-outs for the customers and our investors which have been distributed.

BUSINESS BROCHURE

Click on the image to view the entire Business Brochure

CUSTOMER BROCHURE

Click on the image to view the entire Customer Brochure

BUSINESS CHANNEL

We are structuring the business channel for E. solei to encompass both B2B (business-to-business) and B2C (business-to-consumer) strategies, allowing us to maximize market reach and cater to different customer segments.

B2B Strategy:-

Due to the fast-paced and dynamic nature of the shoe industry, we see significant potential in collaborating with established shoe companies. Our goal is to integrate E. solei insoles directly into their footwear products. These companies will then deliver shoes embedded with our insoles to their customers, offering a seamless solution for enhancing foot health without requiring separate purchases. This approach allows us to capitalize on existing distribution networks, increasing market penetration and brand visibility without bearing the full burden of marketing or logistics.

Additionally, for individuals with specific medical conditions like diabetic foot or fungal infections, we plan to distribute E. solei through hospital chains and pharmaceutical companies. These institutions will recommend or sell our insoles to patients as a targeted health solution. Partnering with these healthcare providers will ensure that our product reaches individuals who would benefit most from specialized foot care, positioning E. solei as a medically backed product.

B2C Strategy:-

In parallel, we are exploring a business-to-consumer (B2C) path to reach customers who prefer purchasing directly. Our B2C channels will include traditional retail outlets as well as online platforms, leveraging the growing trend of e-commerce. This direct approach not only increases our revenue streams but also allows us to build direct relationships with end consumers, gaining valuable feedback to improve and evolve the product over time.

By combining B2B collaborations with shoe companies and healthcare providers and a robust B2C strategy, we aim to make E. solei widely accessible, addressing the needs of both the general public and specialized medical markets.

Business model

We have developed a comprehensive Business Model Canvas for E. solei, which outlines the key aspects of our business strategy. This canvas provides a clear visual representation of our value proposition, customer segments, key partners, revenue streams, and more. With the help of BMC, we aim to showcase how each component of our business model is interconnected, driving the successful development and commercialization of E. solei. This framework will also serve as a foundation for refining our strategy as we move towards market launch.

COST ANALYSIS

Through discussions with entrepreneurs, we gained valuable insights into conducting a realistic cost analysis for E. solei. By consulting with insole manufacturers and factory owners, we developed a clear understanding of the raw material costs involved. This helped us perform a detailed cost analysis, ensuring that our pricing strategy remains both competitive and feasible for large-scale production. These insights will be crucial as we move forward with manufacturing and bringing E. solei to the market.

Following are the factors which we have considered while doing the cost analysis.

Upon talking with people in industry we have learned about the rough cost estimation which will be appropriate for our product.

Profit Margin

Assuming a profit margin of 20%, the profit will be:

Profit = Total Cost x20/100

Profit = 180x 0.2 = ₹36

Thus, the cost before GST is:

Cost before GST = 180 + 36 = ₹216

GST is applied to the cost before GST, which is ₹216

The GST rate is 12%:

GST = 216x12/100 = ₹25.92

The final selling price, including GST, is:

Final price= 216 + 25.92 = ₹241.92

Feasibility

We have thoroughly evaluated the feasibility and viability of our product, E. solei, by analyzing key factors essential for its successful development and market entry. These factors include technical feasibility,financial feasibility,operational feasibility ,market, Sustainability, and revenue viablity. Below is a visual representation of this analysis, highlighting how each aspect contributes to the overall feasibility and viability of E. solei.

PRODUCT EXPANSION

Upon successful launching of a product, it is important to keep up the sales but despite all, upon reaching the maturity phase the sales decline. Thus, it is always important to explore different dimensions with the product and extend them. The technology which we are using currently can also be used for the production of other products too such as :-

To determine the cost effectiveness of our bacterial method of linalool production, we compared our method of production with the traditional method in which linalool is produced/extracted in industries. We accordingly performed the following cost comparison analysis of the 2 different methods of linalool production as given below :-

We thus conclude that our Bacterial method of production of linalool is more cost effective than the traditional industrial method of production.

Profit / kg linalool produced if it is produced through GMO instead of extraction from plants = $4.8.

Hence, if we assume a batch production of linalool where 1000 kg of the compound is being produced through our GMO,
then our total profit will be = $4.8 x 1000 = $4800.

Converting the profit value to INR, we would have a profit of Rs. 3,98,400 in a batch production of linalool through our GMO.

This large profit harnessed through the production of linalool through GMO indeed reasons that our method of production of linalool is way more cost effective than the production of linalool through its extraction from plants ; and because of which we might also produce lab grade linalool in future.

Future

Team E.solei wants to make it big! We have planned to develop our product and finally launch it, maintaining all guidelines in the next 3-4 years. We have also planned to expand our business after 3 years of successful launch!

Exit Strategy for E. solei

Our exit strategy for E. solei focuses on creating the best possible outcome for everyone involved, from our team to our partners and customers. We've explored several potential paths that allow us to continue growing while ensuring the long-term success of our business. Here are a few scenarios we're considering:-

1. Acquisition by a Larger Footwear or Health-Tech Company dropdown

One option for us is being acquired by a larger company in the footwear, sportswear, or health-tech industries. With the innovative technology behind our biotech-driven insoles, we could catch the attention of major brands looking to expand their product lines. This kind of acquisition would allow E. solei to scale quickly, using the resources and infrastructure of an established company.

2. Merger with a Complementary Business dropdown

We could also merge with another company that complements what we do, whether in the footwear, biotechnology, or health-tech space. By combining forces, we'd be able to share resources, technology, and customer bases, which would help both companies grow faster and reach more people.

3. Licensing or Joint Ventures dropdown

Another potential path is to license our insole technology to larger manufacturers or partner with companies through joint ventures. This way, we can keep ownership of our technology but let other businesses use it and distribute it under their brand. This strategy allows us to benefit from their reach without having to handle the production and distribution ourselves.

4. IPO (Initial Public Offering) dropdown

If E. solei continues to gain momentum and grow, we might explore the option of going public. An Initial Public Offering (IPO) would allow us to raise additional capital to expand even further, invest in research and development, and enter new markets. It would also give our early supporters and team members a chance to benefit from our growth.

This approach ensures we consider all possibilities for E. solei's future, keeping in mind the best interests of our stakeholders while staying true to our mission of bringing innovative, health-focused insole solutions to the market.

E.solei always wanted to make it big, but before that we wanted to make a difference! We wanted to reach out to the next door but also to the next generation!

References

1) https://www.verifiedmarketreports.com/product/shoe-soles-market/
2) https://www.giiresearch.com/report/moi1407007-foot-orthotic-insoles-market-share-analysis.html
3) https://www.futuremarketinsights.com/reports/smart-insole-market
4) https://www.alliedmarketresearch.com/foot-care-products-market-A06397
5) https://www.precedenceresearch.com/diabetic-footwear-market
6) https://www.economicshelp.org/blog/140934/business/product-life-cycle
7) https://www.codingvc.com/how-to-de-risk-a-startup/
8) https://www.nature.com/articles/s41598-023-29978-y
9) https://www.mdpi.com/2227-9059/10/7/1621
10) https://link.springer.com/article/10.1007/s42452-024-06151-2
11) https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0194458
12) https://www.mdpi.com/2227-9717/10/12/2531
13) https://www.mdpi.com/1660-3397/22/2/60
14) https://link.springer.com/article/10.1007/s11367-019-01599-5
15) Ghosh, S., et al. (2006), Measurement of the metabolic activities of Escherichia coli during aerobic and anaerobic glucose metabolism, Biotechnology Progress. Möller, M., et al. (2020), Life cycle assessment of bioplastics: A critical review, Resources, Conservation and Recycling, 152, 104515.
16) European Bioplastics (2020), Bioplastics Market Development Update 2020.