Why The Derma Co. is the Future of Indian Skincare
đź“„Company Profiles
The Derma Co. has quickly become one of India’s leading science-backed skincare brands with its science-driven approach and dermatologist-tested formulations. Since its launch in 2020 under Honasa Consumer Limited, the brand has carved a niche by focusing on active ingredient-based solutions tailored for Indian skin. Unlike traditional skincare brands, the Derma Co. takes a problem-solving approach, using AI-powered skin analysis to recommend the right products for each user -offering dermatologist-designed solutions for a wide range of skin concerns.
Launched in 2020 under Honasa Consumer Limited (the parent company of Mamaearth), the brand focuses on active ingredients to address issues like acne, pigmentation, ageing and hair loss. With a digital-first approach, The Derma Co. has built a strong presence across e-commerce platforms, social media and select retail outlets.In this StartupTalky, we will explore The Derma Co.'s business model, growth strategies, financial journey and future plans that make it a standout in India’s skincare industry.
Here we bring you the success story of The Derma Co., where you can learn about Founders of the company, company's Mission and Vision, Business Model, Revenue Model, Competitors, Future Plans, and more.
The Derma Co. - Company Highlights
| Name | The Derma Co. |
|---|---|
| Headquarters | Gurgaon, Haryana, India |
| Founders | Varun Alagh and Ghazal Alagh |
| Founded | 2020 |
| Sector | Skincare and hair care (consumer goods sector) |
| Website | Thedermaco.com |
The Derma Co. - About
The Derma Co. - Industry
The Derma Co. - Founders and Team
The Derma Co. - Startup Story
The Derma Co. - Mission and Vision
The Derma Co. - Name, Tagline and Logo
The Derma Co. - Business Model
The Derma Co. - Revenue Model
The Derma Co. - Growth
The Derma Co. - Online and Social Media Presence
The Derma Co. - Advertisements and Social Media Campaigns
The Derma Co. - Awards and Achievements
The Derma Co. - Competitors
The Derma Co. - Future Plans
The Derma Co. - About
The Derma Co. is all about real skincare and hair care that actually works. They offer a range of products designed to tackle common skin issues like acne, dark spots and signs of aging—without the fluff.
What They Offer
- Serums, Moisturizers, Face Washes, Sunscreens and Body Lotions—all crafted to deliver visible results.
What Makes Them Stand Out
- Created by dermatologists who know their stuff.
- No harmful chemicals—just clean, effective formulas.
- Packed with high-quality, science-backed ingredients that do what they promise.
Who It's For
The Derma Co. is all about helping millennials feel confident in their skin and hair—because real beauty starts with taking care of yourself.
The Derma Co. - Industry
The online skincare market in India has exploded in recent years, thanks to the rapid growth of e-commerce. This shift has created a win-win situation—consumers, especially those in smaller cities (Tier 2–4), now have easy access to a vast range of products, while brands enjoy impressive profit margins of up to 60-70%.
As of FY2024, India’s skincare industry was valued at $2.68 billion, with facial care leading the pack in both sales and volume. The market is on track to hit $3.91 billion by FY2032, growing at a steady 4.82% CAGR from FY2025 to FY2032.
The Derma Co. - Founders and Team
Varun Alagh
Cofounder, Chairman and CEO of Honasa Consumer
Varun Alagh is a seasoned entrepreneur and brand builder with a strong foundation in engineering and business. He holds a Bachelor’s in Electrical Engineering from Delhi College of Engineering (DCE) and an MBA in Finance & Marketing from XLRI, Jamshedpur.
Corporate Journey & Brand Building
With over 15 years of leadership experience in sales and marketing, Varun has worked with some of the biggest names in FMCG, including Hindustan Unilever, Diageo and Coca-Cola. His expertise spans brand management, digital marketing and trade activations. Notably, he played a key role in launching Coke Zero in India and managed ATL, BTL and digital strategies for Smirnoff. His contributions earned him multiple awards, including the Business Unit President’s Award, Above and Beyond Award and I am Diageo Award.
Entrepreneurial Success & Digital-First Revolution
In 2016, Varun co-founded Honasa Consumer Pvt. Ltd., a company that has redefined the Indian beauty and personal care market. Under his leadership, Mamaearth became the flagship brand, followed by the launch of The Derma Co., Aqualogica and Ayuga, along with acquisitions of well-known names like BBlunt and Dr. Sheth’s.
Ghazal Alagh
Born on September 2, 1988, in Gurgaon, Haryana, Ghazal Alagh grew up in a middle-class family that encouraged her ambitions. Her parents, Kamlesh and Sunita Sahni, along with her siblings, Chirag Sahni and Sahiba Chauhan, always supported her pursuit of education and career goals.
Education & Early Career
Ghazal earned a Bachelor of Computer Applications from Punjab University (2010) and later honed her artistic skills at the New York Academy of Art (2013), specializing in Design, Applied Arts and Figurative Art in Modern Art.
Her professional journey began in 2008 as a corporate trainer at NIIT, where she worked for two years. She later ventured into entrepreneurship with DietExpert, a health-focused startup that, despite her efforts, didn’t succeed. Undeterred, she turned to art, joining Being Arty before stepping into the beauty business.
Building a Beauty Empire
Ghazal co-founded Honasa Consumer Pvt. Ltd. alongside her husband, Varun Alagh, bringing a fresh, digital-first approach to the Indian beauty industry. A mom-preneur turned industry leader, she played a crucial role in shaping brands like Mamaearth, The Derma Co., Aqualogica and Ayuga, catering to modern consumers through D2C (Direct-to-Consumer) strategies.
From tech and art to skincare and beauty, Ghazal’s journey is a testament to resilience, adaptability and the power of reinventing oneself.
Kanimozhi Sivakumar
The Derma Co. - Startup Story
From Personal Struggles to Skincare Success
Ghazal Alagh’s entrepreneurial journey wasn’t smooth sailing—it began with setbacks. Her first startup, Diet Expert, was born out of her own struggle with weight loss, made harder by frequent relocations. The idea was to help people stay on track with their fitness goals despite travel constraints. While the business showed promise, it ultimately didn’t take off. Her second venture faced a similar fate.
A Personal Challenge That Sparked a Revolution
After returning to India, Ghazal and her husband, Varun Alagh, welcomed their son, Agastya. However, their happiness turned into worry when Agastya developed a skin condition that made him sensitive to most skincare products. Every lotion or cream caused rashes, leaving Ghazal feeling helpless.
Determined to find a solution, she spoke to doctors, fellow parents and friends—only to realize that many families faced the same struggle. Their doctor jokingly called them "Google Parents" for their endless research. What started as a personal mission soon turned into a business idea: creating toxin-free baby care products that were safe, effective and met international standards.
In 2016, Mamaearth was born under Honasa Consumer Pvt. Ltd., combining Varun’s FMCG expertise with Ghazal’s entrepreneurial drive. They launched with six baby care products, setting the stage for a larger revolution in the skincare industry.
The Derma Co. - Science-Backed Skincare for Millennials
Following Mamaearth’s success, The Derma Co. was launched in 2020 to bring science-driven skincare solutions to Indian millennials. With a focus on real, effective formulations, the brand targets concerns like acne, pigmentation and open pores.
Starting as a direct-to-consumer (D2C) brand, The Derma Co. quickly gained momentum and is now available on leading e-commerce platforms like Amazon, Nykaa and Flipkart. In March 2021, Bollywood actress Parineeti Chopra joined as the brand ambassador, spreading the message of embracing healthy, confident skin.
From a mother’s concern to a multi-brand beauty empire, Ghazal and Varun Alagh’s journey proves that the best businesses often stem from personal experiences and a genuine need for change.
Ria Sahni
The Derma Co. - Mission and Vision
Mission
The Derma Co. is committed to delivering science-backed skincare solutions that effectively address a wide range of skin concerns. By prioritizing research-driven formulations with potent active ingredients, the brand ensures that every product is designed for real results. Their mission is to make high-quality skincare accessible to everyone, empowering individuals to take control of their skin health with solutions that are both effective and safe.
Vision
The Derma Co. envisions a world where healthy, confident skin is within everyone’s reach. Beyond skincare, they believe in creating a positive social impact through their Young Scientists Program, which provides science education opportunities for underprivileged children. By combining accessibility, innovation and social responsibility, The Derma Co. aims to inspire confidence—not just in skin, but in future generations of young minds.
The Derma Co. - Name, Tagline and Logo
Brand Identity
The Derma Co. strikes a balance between science and approachability—its branding highlights dermatologist-designed formulations and rigorous testing without feeling overly clinical. The packaging features bold colors, making it easy to identify products based on their function, while a numbering system guides users on the correct order of application, simplifying their skincare routine.
Tagline & Philosophy
The brand’s tagline, "Embrace your #FilterFree skin," reflects its mission to help people feel confident in their natural skin. Focused on personalized skincare solutions, The Derma Co. ensures its products are free from harmful chemicals and developed by dermatologists, making high-quality, effective skin care accessible to all.
The Derma Co. - Business Model
The Derma Co. operates with a digital-first, science-backed approach, making high-performance skincare and haircare accessible both online and in stores. A key differentiator is its AI-powered skin analysis tool, which helps customers detect skin conditions and receive personalized product recommendations for effective treatment.
The brand follows a focused product strategy, emphasizing a select range of top-performing items to streamline manufacturing, marketing and distribution. This approach ensures efficiency in scaling while maintaining high-quality standards.
Scaling Success & Playbook Approach
Reflecting on the brand’s growth, co-founder Varun Alagh highlighted how The Derma Co. scaled up even faster than Mamaearth, leveraging repeatable business playbooks developed during Honasa Consumer’s journey. The success of The Derma Co. has reinforced their belief in these strategies, which will now be applied across all portfolio brands under Honasa Consumer to drive further expansion.
The Derma Co. - Revenue Model
Revenue Model & Distribution Strategy
The Derma Co. generates revenue by selling science-backed, active ingredient-based skincare and hair care products. Its digital-first business model prioritizes direct-to-consumer (D2C) sales through its website and mobile app, allowing the brand to build direct relationships with customers while optimizing margins.
Additionally, The Derma Co. leverages e-commerce marketplaces such as Amazon, Nykaa and Flipkart, alongside select retail outlets and modern trade partners, to maximize reach and accessibility. By blending dermatologist-tested formulations with a strong online presence, the brand effectively caters to consumers seeking targeted solutions for concerns like acne, pigmentation, dull skin, ageing, hair loss and dandruff.
IPO & Market Entry
The Derma Co.'s parent company, Honasa Consumer Limited, went public with an IPO in November 2023. Key details include:
- IPO price band: INR 208–INR 324
- Total issue size: INR 1,699 crore
- Listing date: November 7, 2023
The brand’s rapid expansion, strategic retail presence and strong financial backing position it as a major player in India's skincare industry.
Rishabh Rathi
The Derma Co. - Growth
The Derma Co. has hit an incredible milestone, reaching an annual revenue run rate of INR 500 crore in just 50 months since its launch. This rapid growth is a testament to the brand’s innovative approach and strong market presence.
| Financial Metric | FY22 | FY23 | FY24 |
|---|---|---|---|
| Operating Revenue | - | - | INR 500 crore |
| Advertising Expenses | - | INR 661.28 crore | - |
| Profit/Loss | INR 19.86 crore (Profit) | - | Profitable in first three quarters |
In FY22, the company recorded a profit of â‚ą19.86 crore. In FY23, it spent INR 661.28 crore on advertising expenses. In FY24, the annual recurring revenue (ARR) reached INR 500 crore, and the company remained profitable in the first three quarters.
The Derma Co. - Online and Social Media Presence
The Derma Co. is making waves online with a strong presence across its own e-commerce site and social media platforms like Instagram and Facebook. The brand actively connects with customers through influencer partnerships and digital marketing, keeping skincare conversations engaging and informative. To make shopping easier, their products are also available on popular online marketplaces like Nykaa and Amazon.
To level up their social media game, The Derma Co. has teamed up with Chimp&z Inc, part of the Merge Infinity Network, to handle their digital marketing. The agency will take charge of content creation, product photoshoots and campaign management to keep the brand fresh and relevant. After a competitive multi-agency pitch, Chimp&z Inc’s Gurugram office will now drive The Derma Co.'s social media strategy forward.
The Derma Co. - Advertisements and Social Media Campaigns
Bollywood actress Parineeti Chopra has joined The Derma Co. as the official Brand Ambassador, reinforcing the brand’s message of embracing #FilterFree skin. To spread this message, the company has launched a digital film featuring Chopra, inspiring young individuals to feel confident in their natural skin.
The Derma Co. actively promotes its philosophy of #FilterFree skin through advertising and social media campaigns, encouraging people to celebrate their real beauty. Beyond skincare, the brand is also making a social impact with its Young Scientist Campaign in partnership with Bhumi NGO. This initiative supports underprivileged students by providing personalized science lab kits and dedicated teachers, empowering the next generation of innovators.
The Derma Co. - Awards and Achievements
The Derma Co. received an award for Best Online Skincare Product Retailer 2024 in the UK.
The Derma Co. - Competitors
The Derma Co. competes with several other skincare brands in the Indian market, including:
- Foxtale
- RAS Luxury Oils
- Gabit
These brands also focus on science-backed formulations and targeted skincare solutions, making the space highly competitive.
Muskaan Kapoor
The Derma Co. - Future Plans
The brand aims to double its annual revenue run rate (ARR) to â‚ą1,000 crore within the next 3-5 years. This expansion plan is driven by product innovation, increased brand awareness and wider distribution across online and offline channels.
In a significant move, The Derma Co. has also launched its first exclusive brand outlet (EBO) at Airia Mall in Gurugram, marking its entry into the offline retail space. This step aligns with its commitment to making dermatologist-backed skincare solutions more accessible to Indian consumers.
FAQs
What is The Derma Co.?
The Derma Co. is an Indian skincare brand founded in 2020 by Varun and Ghazal Alagh. It offers dermatologically tested skincare and hair care products.
Who are The Derma Co. founders?
Varun Alagh and Ghazal Alagh are the founders of The Derma Co.
When was The Derma Co. founded?
The Derma Co. was founded in 2020.
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