INTRODUCTION

MAMAEARTH is an Indian company of Health, Wellness and Fitness. It’s an Indian

unicorn brand. It is one of the leading company or a brand which intends to make lives of
mums and expectant mums better and beautiful. A brand which always welcomes all babies
to a healthy and a safe world.

The company was founded by partners Varun Alagh and Ghazal Alagh in
September, 2016. Headquartered in Gurugram (Gurgaon) , Haryana. It’s an online platform
that sells toxin-free, natural skincare products. They focused on babies and others with an
exclusive product range that caters to baby care, haircare, skincare and more with over 140
natural products.

Company soon became Asia’s 1st brand to offer “MADE SAFE” certified products
that were toxin-free and loaded with the natural goodness that babies deserves. More than
being just a commercial brand, Mamaearth takes pride in making products out of love and
care.

Mamaearth also pledges to plant a sapling for every order placed on their website; to
date, they have planted over 4.5 lakh trees as part of their Plant Goodness initiative. The
Sankalp Taru Foundation is supporting this programme with the goal of spreading greenery
through its core philosophy of “planting trees for the people, by the people.”

The brand develops new goods that combine Science and Ayurveda to meet the needs
of the youthful, aspiring and more conscious Indian customers. Mamaearth places a strong
emphasis on fostering sustainability, paying equal attention to people, the environment, and
profit, with the firm’s overarching goal being a more sustainable future and improved health.

Over the period, The Mamaearth brand successfully earned International customers
under her leadership. Apart from The company also takes orders from neighbouring countries
like Nepal, Bangladesh and many more.
 C0MPANY PROFILE

 Profile of the company

Mamaearth is an Indian based startup that offers a wide range of cosmetic products to
elevate its customers' daily skin care routine. It was founded in 2016 by partners Varun Alagh
and Ghazal Alagh. They started the business with an initial investment of around INR 90 lakh
from their own pockets.

 Promoter of the company

Varun Alagh is the Founder and Chief Dad of Honasa Consumer Private Limited,
which established its first-ever baby nourishing brand, Mamaearth, in November 2016. The
company is based in Gurugram, India.

 Location of the company

Plot Number-63, 4th Floor, BLM Tower, Gurgaon Sector 44, Gurgaon – 122003,
Haryana, India.

Phone No : +918901555444

 Mission and Vision

Mission :- A brand which welcomes all our babies to a healthy and a safe world.
We aspire to take care of every parents & baby’s wellbeing from head to toe with safe, toxin
free, international standard products which you can choose without having to think twice.

Vision :- The vision statement of Mamaearth The Start-up that Keeps Babies
Toxin Safe should be brief but should be holistic in nature. This means that the visions
statement should be complete in its description and information of what the company desires,
and how it plans to achieve its long term goals strategically. The vision statement should be a
comprehensive statement identifying the company’s core strengths, which would enable it to
achieve its futuristic goals.

 Objective of the firm

We aim to solve the everyday problems of young parents with safe, toxin free,
international standard products so that you get to enjoy the joy of parenting without worrying.
We do this by living & breathing our core values every day.

INDUSTRY PROFILE

Developer of beauty and baby care products designed to offer natural and eco-friendly
body care alternatives. The company’s products catalog includes chemical-free cosmetics
such as body lotions, rash creams, hair shampoo, body wash, diaper rash cream, massage oil,
all-natural bug sprays, sunscreen lotions and various grooming products, enabling customers
to get toxin-free substitutes that meet international safety standards.

 HQ Location : Gurgaon, India.

 Employees : 441
 Primary industry : Personal products.
 Competitors : 26
 Executive team : 9
 Board Members : 9
 Investors : 15
 Investors and Acquisitions : 5
 Subsidies : 3
 DEPARTMENT ANALYSIS

Human Resource Department

Karan Bajwa, Vice President - Human Resources, Mama earth, considers this unicorn
status to be a Launchpad for many bigger and better things to come. Bajwa shares how Mama
earth’s current and ex-employees are its best advocates.

Sticking true to Mama earth’s tagline: “Goodness Inside,” when it comes to

employees, the brand’s core value also revolves around being good. As Bajwa says,
“Creating delight at every touch point for an employee is core to everything we do in HR,” all
the company’s policies and processes are created keeping this in mind. Mama earth’s HR
team also makes it a point to review and reinvent them every six months to ensure they
remain relevant.

According to Bajwa, Mamaearth’s current and ex-employees are its best advocates
and the ones who understand the brand the most. So, hiring through internal referrals has
been identified as a key channel by the HR team for the company going forward.

Candidates these days have started looking beyond just compensation while choosing
their next organization. Now, there’s a lot of focus on who offers the best value creation
opportunities – both, from wealth creation and learning perspective.

Therefore, Bajwa says, “We are focusing on hiring for the future which is aided by a
robust career framework developed by us. We want people to come and build their careers
with us and not just focus on the current or the next role.”

The company also recently decided to cover all its current and future employees
through Stock Appreciation Rights (SARs) on top of their CTC to ensure wealth creation
opportunities across levels. This, according to Bajwa, will ensure that in the coming years, as
the organisation grows, so do the employees, financially.

Finance Department

Operating revenue of Mamaearth’s parent more than doubled to ₹943 crore in FY22
from ₹460 crore in the previous fiscal. The company earned ₹932 crore from sale of
products, while it made ₹11.5 crore from sale of services. Honasa Consumer reported a net
profit of ₹19.8 crore for the financial year ended 31 March 2022, as per data accessed by
business intelligence Platform Tofler. In FY21, net profit was at of ₹24.6 crore, which was
also its First profitable financial year coming to expenses, the company’s expenditure on
advertising and promotions grew 120% to ₹391 crore in FY22 from ₹178 crore a year ago.
Spends on marketing made up more than 40% of the total expense meanwhile, the company
spent ₹304.7 crore on purchases of stock-intrade in FY22 against ₹161 crore in the previous
fiscal. The cost is an exceptional item added into the P&L (profit and loss) Statement because
of a shareholders agreement’s clause which says that if the company cannot provide a exit to
the investors, it will need to provide a buyout. So, when a company follows Indian
Accounting Standard (INDAS) rules, it is required to include the provision as an expense in
the Statement.

Mamaearth collected operating revenue of Rs 461 crore in FY21, a massive jump

from the Rs 109.8 crore during FY20, per its annual Financial statements with the Ministry of
Corporate Affairs (MCA). The firm made 98% revenue from its domestic sales (India) while
Its global sales, which formed the remaining, grew 9.5X during FY21.

Marketing department
 Mamaearth's Marketing department is led by Snigdha Anand (Vice president of
Marketing department) and it’s 15 employees.

Business model :- Mamaearth is a direct-to-consumer brand that sells baby care and personal
care products. Their business model is centered around offering natural and toxin-free
products through their online platform and their own physical stores.

They source their raw materials and manufacture their products in-house, which allows them
to control the quality and price of their offerings.

By leveraging the power of e-commerce, they are able to reach a large customer base and
offer their products at a competitive price point.

Additionally, they use various digital marketing tactics, influencer partnerships, and customer
reviews to build brand awareness and drive sales.

The company has a partnership with Save the Children, which allows it to give back to the
community and achieve its mission of providing natural and Ayurvedic products for infants,
kids, and mothers.

Marketing strategy :- Alagh's created the Honasa Consumer brand Mamaearth with the
intention of offering suitable items for a baby's sensitive skin. But then the pandemic struck.
Mamaearth, which now also produced personal care products, managed to grow at a 400%
pace when other FMCG companies were suffering the worst effects of the lockout.

Let's examine the marketing tactics the brand used to get where it is today.

1. Brand Tagline

The company sold common household items that were safe for both adults and
children to use. And therefore, it was crucial to deliver a message to them in order to build
trust and recall value.
Their simple tagline is “Goodness Inside.” People were better able to comprehend the types
of goods that the brand produced and stood behind.

2. Mix of Digital and Traditional Marketing

Mamaearth’s marketing strategy is based on a mix of digital and traditional marketing

[Link] of their digital marketing channels include Google Ads and SEO. Mamaearth
has also been featured in many popular magazines and websites, such as Vogue, Elle, and
Forbes. The company has also won many awards, which helps increase their brand
awareness.

Mamaearth’s marketing strategy is effective because it reaches its target audience through
multiple channels. The company’s website is optimized for search engines, which helps
potential customers find the site when they are searching for products that Mamaearth offers.

In addition, Mamaearth has a strong social media presence and is active on platforms such as
Twitter, Facebook, and Instagram. The company regularly posts content that is relevant to its
target audience, which helps to keep them engaged with the brand. Mamaearth’s growing
customer base is one of the key factors that contribute to the company’s success. The
company has a strong online presence and uses digital marketing techniques to reach its
target audience.

3. Engaging Content on Social Media Platforms

Mamaearth’s social media strategy focuses on creating engaging content that educates
parents about the importance of using natural products for their children.

They established programmes like “Plant goodness,” which involves planting a tree
for every order, and “Plastic Positivity,” which focuses on plastic recycling, because they
were a chemical- and toxin-free company. This aided in developing their reputation as an
eco-friendly brand.
 Mamaearth had a solid online presence by the time the lockdown was implemented, in
contrast to many other firms that were still dealing with the effects of closing their physical
stores and a poor online presence.

They gained the upper hand as a result, and the brand was able to draw in new clients.
Even yet, the business expanded its outlets and now has 10,000 locations across the nation.
Additionally, throughout the pandemic, emphasis was placed on items like facewashes and
serums made with turmeric and vitamin C.

4. Collaboration With the Influencers.

Additionally, collaborations with mom bloggers and influencers contributed to the

brand’s perception as a sought-after one. Influencer marketing has increased the brand’s
overall worth.

5. Brand Endorsement Through Actors

In order to promote fitness and health, the company chose actress Shilpa Shetty as
their Brand Ambassador. But in 2021 Sara Ali Khan was chosen to be the brand ambassador,
giving it a more contemporary vibe. The company had launched an Integrated marketing
campaign with actor Shilpa Shetty Kundra, #IssWinterGlowNaturally. She promotes
Mamaearth honey malai as a simpler method of giving one's skin the hydration and
nourishment it needs during the winter. The movie is a straightforward but effective
illustration of the brand's ideology and its goodness-inside-me commitment.

6. YouTube Advertisements

For marketing purposes, online adverts are another choice for businesses because they
are easy to put up, affordable, and provide a way to simultaneously reach a lot of people.
Depending on your budget and the goals of your campaign, you can also choose the kind of
advertisement you want to run. Without a doubt, YouTube has developed into one of the most
effective platforms for building brand awareness. More than half of people would rather
watch YouTube reviews than read about products. Brands want to utilize the site to its best
potential because of this.
7. TV Commercial

The structure of television advertising is seen as traditional and somewhat out-of-date.

Therefore, the firm did not at first support the notion of advertising the brand through TV ads.
They wanted to do something novel, but since TV has a tendency to sway viewers, they also
chose to dabble with television advertising.

Sales department

Mamaearth’s Sales department is led by Lily Jalan (Associate Vice President) and has 20
employees.

SWOT ANALYSIS

Strengths: -

I. Natural products: - Mamaearth offers a wide range of products that are natural and
toxic-free, it is Asia's first and only 'Made-safe"' certified organization.

II. Robust supply chain: - Mamaearth has a base of credible and trusted suppliers of
raw material and active ingredients with a fast delivery system and a strong distribution
network.

III. Product portfolio: - Mamaearth has a very diversified product portfolio with
products, ranging from baby care to skincare and haircare which help them to cater to various
segments of the society.

IV. Ad campaigns: - Mamaearth's innovative ad campaigns help them to catch the

minds of its customer through psychological and strong message advertisements.

V. Packaging: - Mamaearth offers innovative and easy-to-use packaging in different

sizes, which provide flexibility to the product.

VI. Brand Equity: - Mamaearth through its advertisements has delivered the strong
message "hum natural product banate nahi, ped bhi ugate h" which in turn helps them to build
memorable and meaningful brand equity.
Weakness: -

I. Less number of Outlets: - Mamaearth has very a smaller number of physical

outlets which hinders them to increase its market share and questions its presence in offline
retailing

II Production outsourcing: - Mamaearth doesn’t have any production house of its

own which makes them dependent on third-party manufacturers.

III. Net Income: - Mamaearth’s actual net income are not matching its evaluated
and forecasted net income. The company needs to work on its net sales to increase its
effectiveness and earnings.

Opportunities: -

I. Market shift towards natural products: -There has been a significant rise in the
demand for natural and ayurvedic products since the COVID-19 has spread its roots and
Mamaearth can tap this potential market.

II. Expansion in the physical retail market: - By expansion in physical retailing

Mamaearth can take the advantage of capturing the untapped market.

III. Global presence: - Mamaearth with its incredible natural and toxic-free
products can help them to enhance the global footprint.

IV. Demographical segmentation: - Mamaearth can introduce new products to

target different demographic segments of the society.

V. New trends in consumer behaviors: - Changing consumer habits provide

Mamaearth with different opportunities of using cognitive advertisements to influence the
consumer.
Threats : -

I. Competition: - With the increase in the trend of natural products various big
brands like HUL, P&G, Dabur, etc. are also entering the market which results in high
competition among the brands.

II. Price of Raw material:- Price of natural and active ingredients are volatile
which makes it difficult for Mamaearth to pass on its fluctuating prices to the consumers.

III . Government regulations: - Each year government implements new laws and
guidelines, which prove to be difficult for Mamaearth to standardize its operations
accordingly.

IV. Climate change: - Subtle changes in the conditions including temperature and
precipitation can also hugely impact the supply of raw material.
 CONCLUSION

However, meet Mamaearth, which grew stronger by building products for their kids,
making it one of the most powerful organic products for all age groups. Mamaearth is a
natural and eco-friendly skincare company that has been making headlines since it was
founded in 2016.

The company has raised a total of $103 million from investors, and its products are
sold through a number of third-party retailers, both online and offline. In just four short years,
Mamaearth has sold over 1 million products and has a strong online presence. The company
uses natural ingredients and a direct-to-consumer approach to reach its customers.

Ghazal and Varun Alagh found Mamaearth in 2016 while looking for natural, toxic-
free baby products online for their child. The company is headquartered in Gurugram, India.
Mamaearth’s mission is to provide natural and Ayurvedic products for infants, kids, and
mothers. This is the first Indian skin care company whose products are certified by Made
Safe.

Talking about Mamaearth , Ghazal Alagh and her husband, Varun Alagh opted to
address the underlying cause of their son’s skin problems after being unable to locate any
natural remedies.

They learned that many of the toxins utilized in India are prohibited outside of the
country due to their damaging effects on a baby’s skin. After enquiring among their relatives
and friends, they found out that this is a struggle which most of the new parents face.

The duo decided to take action and founded Mamaearth in 2016. Together with a few
angel investors, they started the company with an investment of 90 Lakhs. The primary
objective of Alagh was to provide safe, natural products for the newborns.

The business initially offered six different goods: creams, lotions, shampoos, body
washes, oils, and diapers. Currently, Mamaearth sells more than 140 items.

Since its inception, Mamaearth has won numerous awards which involves, “One of
the Best Brands” in ET Brand Festival in 2019.
 The company has also been featured in prestigious publications such as Forbes India,
Your Story and Entrepreneur. In 2018, Mamaearth raised $1 million in Series A funding from
Fireside Ventures. This funding allowed the company to expand its product range and reach
more customers.

Mamaearth is well-positioned for long-term success due to its strong online presence,
growing customer base, and innovative product range. The company’s partnership with Save
the Children gives it a competitive advantage in terms of social responsibility. With its recent
funding injection, Mamaearth is primed to make a significant impact in the natural and
Ayurvedic product markets. The seven-year-old business uses social media and influencer
marketing primarily to promote its product lines through digital marketing channels.

Mamaearth growth is an inspiration for new startups in India. Since Mamaearth has a
great marketing team that works seamlessly and makes every campaign effective. The brand
is popular on social media as many Youtubers review their personal care and baby care
products. The company has mixed reviews on the internet.