Lonavala's Chikki Empire: How Intellectual Property Failure Cost Millions

Lonavala, the popular hill station between Pune and Mumbai, is renowned for its delectable chikki snack. However, the story behind this iconic Indian treat holds a powerful lesson for entrepreneurs, as recently highlighted by Shark Tank India judge and Shaadi.com founder Anupam Mittal.

In the 1880s, Bhivrajji Agarwal began serving jaggery and nuts on teak leaves to weary railway workers. His son, Maganlal, later turned this simple snack into a packaged delight for train travelers, giving it the name "Chikki." Unfortunately, Maganlal never protected the brand, leading to countless copycats profiting from the Maganlal Chikki name.

Today, the Maganlal Chikki brand is a ₹450 crore annual sweet empire, with its iconic blue and red packaging splashed across every stall and kiosk in Lonavala. However, according to Mittal's research, less than ₹10 crore of that revenue actually goes to the original family business. This cautionary tale underscores the vital importance of intellectual property (IP) protection for entrepreneurs.

Mittal's advice to business owners is clear: "Next time you draft a brand book or pitch deck, add a slide titled Lock It Down. Trademark registrations, renewal dates, cease-and-desist templates - treat them as non-negotiables. Because if you don't, someone else will usurp your brand faster than you can say 'iconic'."