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Innovation Jan-Feb 2008 > Feature
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Going With Their Gut

By Hinda Mandell

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That’s why the consumer might see one product boasting billions of good bacteria, while a competitor’s product may “only” have tens of millions. Less bacteria does not necessarily mean the product has a weaker effect because different strains of probiotics are in use.

Sanders, who believes the potential for probiotics hinges on whether they are scientifically validated, said the field is still emerging. “There’s a lot we don’t know,” she said. “It will develop beyond what we understand now.”

Much of the research on the benefits of probiotics has been funded by beverage industry support, said Joanne Lupton, professor of human nutrition at Texas A&M University who spent one year at the Food and Drug Administration to help set up evidence-based review for health claims. And that has a benefit.

“Companies will be doing better and better studies because the better the study, the more likely to be accepted by the FDA and then they can make a claim. It’s in the company’s best interest,” she said.

When asked what she views as the potential customer growth for probiotic beverages, Lupton said she was surprised that people wanted to even talk about bacteria, let alone consume it. Lupton added: “With more people concerned about sodas and added sugar in the sodas, they’re looking around for healthier alternatives.”

While numbers illustrate a startling picture about Americans and digestive health, it is the story of one small probiotic beverage company that may best illustrate the challenges and potential for the field. JD Sethi and his wife, Geetu, are raising awareness about the benefits of probiotics through their Dahlicious Lassi beverages.

A former programmer at Microsoft, Sethi left the corporate world in 2004 to complete an entrepreneurial MBA at Babson College. His dream, he said, was to start his own beverage company that focused on preventative care and health.
“I was a sickly baby growing up,” said Sethi, now 33, who was born in India. “Good health and passion for food brought me to functional food.”

As a result, Sethi, who lives in the Boston area, became a food nut and began making yogurt. He found that as he consumed it, his digestive health improved. Then he began making his own dahi, a traditional Indian yogurt-like product, which is made by introducing five types of bacteria cultures to milk. That’s when he started talking to his wife, a microbiologist, about the science.
“We started having a debate whether this is really good for you from a science perspective. There was an experiential aspect I was experiencing but what about from a science perspective?”

Sethi ignored the advice of colleagues and classmates to steer clear of the beverage business. He and his wife founded Dahlicious in February 2007 and began a product launch in May. Today his lassis – cultured milk drinks – are sold in the North Atlantic and Northeast region of Whole Foods.

But it took a while. First, there was experimentation, during which Sethi learned that there were several disadvantages to using fresh mango in his lassis: a shorter shelf life and the unfortunate side effect that enzymes in the fruit made the product bitter.

“We made a lot of bad batches – 100 gallons of the product and two days later we had to dump,” he said. Refusing to back down from his commitment to using all-natural ingredients, Sethi solved the problem by heating the mango to deactivate the enzymes.

The founders of Dahlicious decided to market the product based on taste, which they found to be the most important selling point for customers, who were subsequently pleased to learn of its health benefits.

While Dahlicious may be the little brother to its big brand-name competitors, this young product, on track to make $150,000 in sales its first year, has big dreams, perhaps indicative of the probiotic beverage industry.
Said Sethi: “I hope to become a household name.” Hopefully, though, one that’s associated with the kitchen, and not the, well, you know.

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