How Amazon’s Solimo Brand Impacted Grapevine’s Rs 20 Lakh/Day Business

Saumil Tripathi, founder of the home organiser brand Grapevine, recently revealed how his once-thriving business, which generated Rs 20 lakh in daily revenue, faced a steep decline due to competition from Amazon’s private-label products.

He shared his experiences in a detailed post on social media platform X, calling it a cautionary tale for entrepreneurs navigating e-commerce platforms.

Tripathi launched Grapevine in 2017 after noticing the high prices of home organisation products on Amazon India. With an initial investment of Rs 2.5 lakh, he procured 300 products and sold them for Rs 300–500 each. To his surprise, the inventory sold out in 50 hours.

Encouraged by this success, he reinvested Rs 7.5 lakh to triple his inventory, achieving similar results. Within two months, his revenue skyrocketed to Rs 20 lakh per day on platforms like Amazon and Flipkart, yielding a daily profit of Rs 3–5 lakh.

“It felt surreal,” Tripathi wrote, describing his margins of 15–25 per cent. Grapevine quickly emerged as a leader in its category on both e-commerce platforms.

Tripathi’s success caught the attention of Amazon, which provided him with perks such as “top seller” status and dedicated account managers. The support enabled him to expand operations, source products directly from Chinese manufacturers, and solidify his market position.

At the peak of his business, Amazon approached Tripathi with an offer to acquire Grapevine, intending to complement its private-label brand, Solimo. Tripathi declined, believing he could scale his business independently.

However, Amazon soon launched similar products under the Solimo brand at lower prices. This competition severely impacted Grapevine’s sales.

“My revenue dropped, and the storage fees for my unsold inventory became a financial strain,” he said.

As revenues declined, Tripathi resorted to selling his inventory at near-cost prices. While he managed to retain personal savings and assets from Grapevine’s peak, the dream of building a long-term, generational business faded.

“I’m not broke, but the potential to create true generational wealth was taken away,” Tripathi said. Reflecting on his journey, he highlighted the challenges of competing against e-commerce giants and their private-label strategies.

“This is my cautionary tale,” he concluded, urging entrepreneurs to carefully evaluate the implications of scaling businesses dependent on external platforms.