Brewing Success: How Prabhtej Singh Bhatia Navigated Simba through the Storm of 2020

Amid the chaos and uncertainty of 2020, Prabhtej Singh Bhatia, the 29-year-old co-founder of Simba, demonstrated remarkable resilience as he steered his four-year-old craft beer business through the unprecedented challenges posed by the COVID-19 pandemic. In the face of a severe setback that accompanied the pandemic’s onset in April 2020, Bhatia astutely recognized the pervasive influence of the age-old principle of 80/20 within the intricate dynamics of Simba’s operations. This realization served as a pivotal moment for Bhatia, prompting him to delve deeper into the nuances of his business and strategically employ the 80/20 rule to not just endure the crisis but to find opportunities for growth and sustainability.

Over 80 percent of Simba’s revenue came from three states—Chhattisgarh, Delhi, and Assam. This concentration meant that most sales occurred during the summer, and unfortunately, the lockdowns severely impacted these key states. The realization prompted Bhatia to diversify, expanding to the untapped market in South India. Another crucial insight was that 20 percent of his employees were contributing to 80 percent of the results. Recognizing this, Bhatia swiftly promoted the top performers into key roles, optimizing the workforce for maximum efficiency.

Simba had failed to expand beyond North India in its four-year journey, leading to a critical geographical concentration issue. Bhatia rectified this by making a strategic move into the lucrative beer market in South India, which accounts for over 60 percent of beer consumption in the country. To ensure the survival and growth of Simba, Bhatia implemented a series of tactical moves, making it a case study for adaptability in the face of adversity.

Recognizing the potential of the South Indian market, Bhatia directed efforts towards this region. Additionally, he explored export markets, initiating deals with countries like Australia and exploring opportunities in the Middle East, Canada, New Zealand, the US, and Africa. Learning from past bottle shortages, Bhatia had prepared for a robust inventory last March, ensuring a smooth entry into new markets in Andhra Pradesh, Kerala, and Telangana.

Understanding the need for a lean team, Bhatia made strategic decisions to cut down excessive marketing and advertising spend. Simba shifted its focus from making a big-bang entry into new markets to maintaining a steady and sustainable pace. Bhatia emphasizes the importance of going back to fundamentals, understanding that the future cannot come at the cost of the present. Simba’s shift in strategy, from aggressive expansion to steady growth, reflects a deep understanding of the industry and the resilience needed for long-term success.

Industry experts acknowledge that the pandemic served as a catalyst for Simba’s growth, propelling it from a cub to a lion in terms of business acumen. Bhatia’s realization that slow and steady growth is more sustainable for regional players in the alcohol industry positions Simba as a resilient force in the market.

In conclusion, Prabhtej Singh Bhatia’s journey with Simba during the challenging year of 2020 showcases the power of adaptability and the significance of reevaluating strategies in times of crisis. By embracing the 80/20 principle, Simba not only weathered the storm but emerged stronger, setting a precedent for businesses navigating uncertain landscapes.