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All-organic beauty and personal care brand, Organic Harvest is looking to grab close to 10 per cent share of the market for organic beauty products by stepping up its omni-channel presence.
The brand, which is currently present at 25,000 retail outlets, plans to scale it up to 1,00,000 outlets in the next 15-18 months.
According to Rahul Agarwal, Founder & CEO, Organic Harvest, there has been an increase in awareness for organic products particularly in the personal care range among consumers post the Covid-19 outbreak. This is pushing sales both on the online and offline platforms.
India’s personal care market is estimated to be close to ₹1,15,000 crore and the share of organic products is still at a nascent stage (₹4,500 crore). However, it is expected to more than double to ₹10,000 crore by 2026, growing at a CAGR of 15 per cent.
Organic Harvest is looking to garner ₹500-1,000 crore of the total market for natural and organic products in the next few years.
“The country’s personal care market is expected to grow at a higher rate because there has been a transition in the consumer’s mindset post-Covid. The key factors for the growth can be growing awareness, easier access, and changing lifestyles,” Agarwal told BusinessLine.
Omni-channel play
The content-to-commerce conglomerate Good Glamm group had recently acquired a majority stake in the company for an undisclosed sum. The company has been witnessing over three times jump in growth in the last few months post-acquisition, he said.
“The business was 95 per cent offline when Good Glamm invested in the business. Today, business has grown 250 per cent since the investment. Online contributed close to 40 per cent of the total business,” Agarwal said, adding that “good share of growth would come from tier-II and -III towns” for its expansion plans.
Organic Harvest products are currently available across 10 odd countries including UAE, Nepal, the US, the UK and Canada, and exports account for nearly 15 per cent of its total revenues. The brand plans to soon venture into South East Asian countries and parts of Europe.
The brand has been contribution margin profitable since the investment by Good Glamm and is getting to EBITDA profitability in the second half of this year, he added.
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