Alpha Success Stories
An Israeli household name – Strauss – combined domestic expertise with the global need for clean water. The Strauss brand in Israel is well-known for its diverse range of products, from dairy to pre-packaged snack carrots. The company has its roots in the beginnings of Israel’s statehood and knows its customers.
In recent years Strauss has turned toward global expansion, including the recent establishment of a factory in the U.S.A. A defining moment in Strauss’ growing global presence came in 2006, when they hit on a brilliant product for a market without a global leader: water.
The company’s inspiration was Haim Wilder who, along with a team of scientists from the Weizmann Institute of Science and the Hebrew University, had developed a new technology for water purification. Strauss took a look at their concept, which was originally intended to be used as an “on the go” product in a bottle, and decided it had serious business potential.
After vetting the market, business model valuations, and product concepts, Strauss’ Board green-lighted a $10 million investment in what they dubbed “H2Q”. From there, they spent two years in development, which included creating a full business strategy and a POU product that showcased the new technology. A prototype followed and at the end of 2009 Strauss acquired Tana Industries (Tami 4) to accelerate and strengthen H2Q’s vision and strategy.
Finally, this breakthrough water purification technology led to a global partnership with the Chinese firm Haier, and the creation of Strauss Water. The move put the co-branded Haier-Strauss Water POU products at the head of the pack in China.
Strauss feels that the 3 years they invested in H2Q demonstrates their belief in Israeli science and its ability to make connections between technology and global vision while developing innovative products and a unique business model.