Yummygums has secured a €1.2 million investment through a group of business angels and Dutch bank Rabobank. The Amsterdam-based startup will use the investments for further internationalization and faster growth in existing markets.
Yummygums started their business in 2017, making it one of the first vitamin gummy brand from the Netherlands. The current product range consists of 3 products: a multivitamin for the whole family (‘Multi+’), vitamins for hair, skin and nails (‘Hair’) and vitamins for before, during and after pregnancy (‘Mommy’). Yummygums’ main sales channel is direct-to-consumer via their website, and since 2020 the full product range has been listed with national drugstore chain Etos as well.
By offering vitamins in the form of fruity gummies, Yummygums inspires consumers to make a healthy habit more enjoyable and to maintain a healthy lifestyle. “Everyone has started with a dose of good intentions, but they repeatedly prove difficult to maintain. The result is often a cupboard full of dusty and half-empty jars of vitamin pills,” said Ruben Balian, co-owner & MD.
With the investment round, Yummygums saw an opportunity to raise growth capital on the one hand, but also to attract relevant expertise. “Almost all investors have a different background, for example in retail, food, online and health, but also with the experience to scale our company further throughout Europe,” explained Balian.
The company has also received financing from Rabobank through their Startup and Scaleup Team. Robbert Lut, startup and scaleup banker at Rabobank said: “From the onset, we were excited about the opportunity to partner with Yummygums. Our team is always looking for startups such as these: an innovative product in a growing market, a proven ability to scale up rapidly and with ample growth potential in the bag.”
With the investment raised, Yummygums will focus on a broad marketing effort to increase brand awareness in the Netherlands and Belgium. Balian commented: “In the Netherlands we already have a brand awareness of more than 40% among vitamin users, but we are looking to really make Yummygums a household brand.” In addition, the investments will be used to realize further growth abroad. “We have taken the first steps in France and Germany, but there is still ample room for growth in these markets.”
Yummygums’ focuses on online sales via its own webshop, but to increase awareness across Europe, Yummygums will be looking for distribution via physical retailers in other countries as well – just as they have done with Etos in the Netherlands. “A retailer has to fit well with our brand, so we expect to work with a maximum of one or two partners per country,” says Balian. Yummygums expects further growth to come from expansion of the product range and innovative product introductions.