The Secret Behind Mamaearth's Success - Interesting Facts About Mamaearth

The Secret Behind Mamaearth's Success - Interesting Facts About Mamaearth
Interesting Facts of Mamaearth

Mamaearth is a company known for delivering absolutely non-toxic products in the competitive global market of FMCG companies. It was started by a husband-wife duo- Varun Alagh and Ghazal Alagh, in late 2016. Nowadays, India is thriving with startups, among which several are gaining status in the Unicorns list as well.

Mamaearth has gained quite a prominent status as it has over 5 million Indian consumers across more than 500 cities. The company started with just six products in its catalog and has grown into extreme success with more than 225 natural and toxic-free products.

Behind such success, there is a brief story starting from when the couple realized that the situation of baby products in the market is pretty rough and almost every product consists of toxic chemicals, which becomes quite dangerous for the babies. Just like this story, there are several interesting stories and facts about Mamaearth. So, let's get started!

Mamaearth Origin Story - From Parents to Entrepreneurs
Interesting Facts About MamaEarth

Mamaearth Origin Story - From Parents to Entrepreneurs

Varun Alagh and Ghazal Alagh never thought of becoming millionaires or entrepreneurs. They were just a happy couple who just had a baby and struggled to raise their baby with the proper nutrition and products, keeping safety in mind.

Their encounter with baby products was extremely tough as when they researched the composition of the product, they realized there wasn't a single product that did not have toxic chemicals in it.

About Mamaearth - Varun Alagh, Shilpa Shetty, Ghazal Alagh
About Mamaearth - Varun Alagh, Shilpa Shetty, Ghazal Alagh

This compelled them to launch a company that offers natural and toxin-free baby products, which later on came under the parent company Honasa Consumer Pvt Ltd, in Gurugram.

Initially, Mamaearth started the company with just six products developed with the best natural and toxic-free ingredients. But soon, they gained massive success and expanded their products into multiple categories like skincare, haircare, and others for men and women across 80 SKUs (stock keeping unit). They grew into more than 80 products and nearly 12 new products in the lockdown period.


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Interesting Facts About MamaEarth

Initiative to Improve the World

Mamaeath came with an initiative to make the world a better place for us and our children. It has organized several campaigns as well, such as 'Let's Recycle' and #MyFirstGoodDeedOf2021, which gained massive success as they showed how they are working to conserve Mother Earth for the upcoming generation, and this majorly attracted the parents to the brand.

Majorly Targets Mothers

The fun yet strong fact about Mamaeath is its target audience is mothers. They believe that a mother knows the best, and once they are familiar with the quality of its products, they'd know how effective and honest this brand is.

In fact, they launched a special campaign as well on the occasion of Mother's Day - #MamaeathMummySong on their social media platform. This showed how important a place our mothers hold in our lives with an all-new peppy song about mothers.

Mamaearth Promotional Campaign - Mummy Song

Lean Innovation Cycle

Mamaearth company is an FMCG company that works on the lean innovation cycle to achieve its current growth rate. This cycle basically launches, learns, and scales instantly, which helps them focus on consumer-specific needs identifications. With this approach, Mamaearth has gathered investments from Sequoia Capital India, Fireside Ventures, and Stellaris USD 23.3 million.

The revenue model of Mamaearth company is entirely based on the sale of its products to consumers through its direct-to-consumer and e-commerce platforms. Moreover, Mamaearth has gained huge success in the past few years and is thriving in segmenting, targeting, and positioning.


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Competent in the Market

In such stiff competition in the market, with popular brands such as Johnson & Johnson, Headspot, Ulta Beauty, Sehatand, and others, Mamaearth stands in a steady position. In an interview, when asked about the fight against such brands, Varun Alagh - CEO and founder of Mamaearth, replied, "Mamaearth provides superior and safer products as compared to any other brand in the market."

It works on educating the consumer about the chemicals involved in the composition of other products in the market and elaborates on the benefits of using their products.

The customer acquisition strategy is entirely based on digital content. Therefore, it enlightens the consumer on the issues their products tackle and how their products are best in the market.


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Establishing Trust and Credibility

Information About Mamaearth Products
Information About Mamaearth Products

Mamaearth is committed to transparency and provides detailed ingredient lists, product information, and testimonials from satisfied customers on its website. This commitment to openness helps customers feel confident that they are making informed decisions about their purchases.

Mamaearth has obtained various certifications and affiliations, such as MadeSafe, Allergy UK, PETA, and ECOCERT, to validate its claims of product safety and quality. These certifications provide third-party validation of the brand's commitment to natural ingredients and safe manufacturing practices.

Mamaearth is committed to social responsibility and supports various environmental and social causes. This commitment to giving back helps the brand connect with its customers on a deeper level.

Growth and Distribution Strategy

Mamaearth began as an online brand, utilizing e-commerce platforms to attract a larger audience. However, they gradually increased their distribution methods by entering offline retail and partnering with physical businesses. Mamaearth was able to cater to varied consumer tastes and increase its reach across India and globally because of its omnichannel approach.

Mamaearth's growth has not been limited to India. They have strategically expanded their presence beyond borders, entering markets like the United States, the United Kingdom, and the Middle East. This internationalization has further fueled their growth, allowing them to cater to a global audience seeking natural and toxin-free personal care products.

Mamaearth's IPO

Information About Mamaearth's IPO
Information About Mamaearth's IPO

The one thing to know about Mamaearth company is that Honasa Consumer Limited, the parent company, had an Initial Public Offering (IPO) in October 2023. The IPO was oversubscribed by 7.6 times, raising ₹1,701.44 crores (US$209.7 million). The shares were listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE) on November 7, 2023.

The IPO was priced at ₹308 to ₹324 per share. The minimum order quantity was 46 shares. The IPO was open for subscription from October 31 to November 2, 2023.

The IPO was led by Qualified Institutional Buyers (QIBs), who subscribed 11.5 times their allotted quota. Retail investors subscribed 1.4 times their allotted quota, and non-institutional investors subscribed 4.02 times their allotted quota.


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Conclusion

Mamaearth is a brand that comes in the need of every parent, and over the years, it has grown into a massive 100-crore company. It is certified by Made Safe, a US-based non-profit organization that majorly focuses on human health and develops products that are absolutely free of any toxic chemical composition and entirely natural.

Their products are clinically tested for hypoallergenic toxins, dyes, artificial fragrances, or anything that can harm the consumer. Last December, the company gained the status of a unicorn, with the fund gathered of $37.5 million. Stay tuned for more content!

FAQs

What is special about Mamaearth?

Mamearth is one of the few D2C skincare brands in India that provides toxin-free products for babies. It is also one of the 1st Asian brands with a “MADE SAFE” certification.

When was Mamaearth launched?

Mamaearth was launched in 2016 by Varun Alagh and Ghazal Alagh when they couldn't find any toxin-free products for their baby.

Mamaearth is from which country?

Mamaearth is an Indian unicorn brand headquartered in Gurugram, Haryana. The parent company of Mamaearth is Honasa Consumer Pvt Ltd.

Mamaearth has how many product SKUs?

Mamaearth had 225 SKUs at the end of the six-month period ending September 2022.

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