Packaging as a Competitive Advantage: How Graza is Redefining Olive Oil with a Simple Innovation

One of the best examples I’ve recently come across of using packaging as a primary differentiator is an olive oil startup called Graza.

Their innovation?

A squeezy bottle to dispense olive oil.

Think about the last time you tried pouring olive oil from a traditional bottle with a large round opening. Chances are, you either got too much or too little—frustrating, right? Trust me, I’ve been there myself.

Last year, I bought an olive oil bottle just because it had a pop-up pourer, which felt like an improvement over the standard round-hole openings.

But then I discovered Graza’s squeezy bottles, and the game changed completely.

Why Graza’s Squeezy Bottle is a Game Changer

The squeeze-release bottle gives you two key benefits:

• Precision: You can control exactly how much oil comes out.
• Versatility: You can spread olive oil evenly on salads, just like you would with ketchup or mustard. You can almost create art on your hummus with olive oil just like you decorate a cookie with whipped cream!

These simple benefits dramatically improve the user experience, especially when using olive oil as a finishing touch or dressing.

Turning a Commodity into a Brand

Olive oil is generally seen as a commodity in a crowded, saturated market. But Graza has managed to differentiate itself through packaging alone—and the results are impressive.

In just two years since launching in 2022, Graza has grown its revenue to $50 million. That’s no small feat, especially for a product many consider interchangeable.

Although the Warren Buffett in me reminds me that squeezy bottle has no real “moat” and can be replicated fairly easily.

I believe Graza’s first-mover advantage gives them a head start that will provide them with several years of growth runway and competitive advantage against incumbents.

Packaging as a Differentiator

This trend toward packaging innovation reminds me of my experience with shower gels and shampoos.

I’ve completely stopped buying any without an exclusive pump dispenser (unless, of course, I need a travel pack).

No matter how good the product is, if I can’t easily dispense it when my face is half covered in soap, it’s a bad user experience overall.

Graza’s story reinforces how crucial packaging can be in differentiating a brand—even in industries where the product itself is considered a commodity.

It’s a reminder that the user experience extends beyond the quality of the product and includes how we interact with it.

In today’s competitive market, even small innovations like a better-designed bottle can drive significant customer loyalty and sales growth.

Graza checks all my boxes for an ideal VC investment.

So, have you ever bought something just because it had the right packaging? Let me know in the comments.