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A life changing diagnosis inspired a local entrepreneur to start an organic business
February 1, 2011

 

 

 

 

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When David Luks was diagnosed with testicular cancer in April 2006, his nutritionist advised him to steer clear of artificial sweeteners because certain studies claimed they can cause bladder cancer and make the body crave more sweets. To find an alternative for sweetening his coffee, Luks turned to an old favorite, honey. The coffee tasted so good, it inspired the former PepsiCo marketing executive to mix more drinks with this substitute.

In October 2008, he founded honeydrop, a line of juices and tea, based out of Dumbo, Brooklyn. honeydrop beverages are USDA Certified Organic and sweetened with a spoonful of organic Brazilian honey. His goal was to produce a drink that was free of chemicals, high fructose, and corn syrup, and still keep production costs low enough to turn a profit.

All of honeydrop’s ingredients are sourced from organic farmers, but his retail price of $1.99 is comparable to juices without the organic seal. “It costs us more money to source organic products as compared to non-organic because there is higher demand and less supply,” Luks said. “The prices of organic teas, juices, and honey fluctuate more so than the conventional ones, making it difficult to make estimations.” To stay competitive, Luks and his partner established long-term relationships with suppliers and bee farmers. “We support them, get an estimated price, and create a contract where the pricing can’t go up over a certain amount of time, as long as we meet a certain volume.” 

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Today, the products are available nationally at Whole Foods Markets, and locally at Bikram Park Slope and Williamsburg Studios, as well as gyms, yoga and Pilates studios, and gourmet retailers throughout the five boroughs. 

Luks and his five full-time employees led honeydrop to to a wholesale increase each year, while staying true to his personal mission of offering healthy products free of pesticides and insecticides. Looking ahead, he is working to promote his brand, spread into more wholesalers throughout the country, and continue to grow his company.

While Luks’s background provided him with management and brand promotion experience, he says being a business owner is a title no one can plan for. “Unfortunately, nothing, including my experience with PepsiCo, has truly prepared me for life as an entrepreneur,” he said. “It is an 8-day a week job, 25-hours a day… and there is always a fire to put out.” 

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Author Information:

Lindsay Tigar is the Editorial Assistant at The New York Enterprise Report. She can be reached at ltigar@nyreport.com.

 
 

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