An assignment for Startup and business plan

Subject – Start up and Business Plan

Subject code – NMBA205T

Prepared by:

Patel Nisu Rajendraprasad

IAR / 15361

MBA

Department of Business Management,

Institute of Advanced Research, Gandhinagar

Submitted to:

Dr. Murari Behera Sir

Assistant Professor

Department of Business Management

Institute of Advanced Research,

 Mamaearth: Bringing Toxin free, Natural
Skin Care Product In India.

In recent years, the world has witnessed a significant shift in consumer

preferences towards eco-friendly and sustainable products. With the
growing awareness of environmental
issues and the desire to make more
responsible choices, many companies
have emerged to cater to this demand.
One such remarkable success story is
that of Mama Earth, a brand that has
taken the market by storm with its
commitment to providing safe,
natural, and sustainable products for
families.
Mamaearth is a popular Indian brand known for its range of natural and
toxin-free personal care products. Founded in 2016 by Honasa Consumer
Pvt. Ltd., it focuses on creating skincare, haircare, and wellness products
that are safe for both consumers and the environment. Mamaearth
emphasizes the use of organic ingredients and is committed to
sustainability, often packaging its products in eco- friendly materials. The
brand has gained a strong following due to its emphasis on transparency
and the effectiveness of its products, catering to a wide audience, including
those with sensitive skin. Mamaearth also engages in various social
initiatives, such as planting trees for every order placed, contributing to
environmental conservation efforts.
  Industry: Online retailer (Pearsonal care Industry)

 Company size: Large

 Headquarters: Gurgaon, Haryana

 Type: Privately Held

 Founde: Ghazal Alagh and Varun Alagh

 Founded: 2016

 Parent company: honsa consumer ltd.

 Website: mamaearth.in

 Sector: Personal product

Birth of mamaearth:

Mama Earth’s story begins with a couple, Varun and Ghazal Alagh founded
in September 2016, who became parents and realized the importance of safe
and toxin-free products for their child.This realization prompted them to
embark on a journey to create a brand that would offer a range of baby and
personal care products made from natural, chemical-free
ingredients.The idea for Mama Earth was born out of a deep concern for the
well-being of not only their own child but also for countless parents and
children worldwide.

Mamaearth was founded in 2016 by Honasa Consumer Pvt. Ltd. in India.

The brand was created with the vision of providing safe and natural
personal care products that are free from harmful chemicals. The founder,
Varun Alagh, and his wife, Ghazal Alagh, aimed to address the growing
demand for organic and toxin-free products, especially among parents
concerned about the safety of their children's skincare.

The brand quickly gained popularity due to its commitment to using

natural ingredients and its transparent approach to product formulation.
Mamaearth's product line includes skincare, haircare, and wellness items,
all designed to be gentle and effective. They also focus on eco-friendly
practices, such as sustainable packaging and initiatives like planting trees
for every order placed.

The Launch:
Ghazal and Varun invested Their own money to start
mamaearth ,launching six baby product in 2016.
The Mamaearth team believes in mum-power and decided to
directly
target mothers. The founders were confident that once the customers
used Mamaearth products, the word-of-mouth publicity would work
wonders for the company. The team also leveraged the power of social
media through influencer marketing.

The primary strategy was to resonate with like-minded parents who

wanted nothing but the best for their babies. The customer acquisition
strategy is purely focused on digital content.

“We want consumers to read about the problems that our products
solve and why our products are the best in the market. We work with
over 500 mom bloggers. We are also innovating constantly to stay
relevant and cater to the dynamic market needs,” said Ghazal Alagh.

The most significant project that helped Mamaearth achieve the

growth rate was the lean innovation cycle; it was geared to launch,
learn, and scale quickly. Lean innovation helped them focus on
customer-specific need identification.

Apart from this, rapid experimentation allowed the validation and

improvement of many product concepts on a real-time basis. It aided
in increased customer satisfaction and reduced the time-to-market.

Over the years, Mamaearth has expanded its reach and product
offerings, becoming a well-known name in the personal care industry
in India and even venturing into international markets. Their emphasis
on quality, safety, and environmental responsibility has resonated with

consumers, making Mamaearth a trusted choice for many. Mamaearth

operates in the Personal Care and Cosmetics Industry, specializing in
natural, organic, and eco-friendly products for babies, mothers, and
families ¹. They offer a wide range of products, including.

- Baby Care: toiletries, skincare, and haircare products

- Skin and Hair Care: natural products for adults, using ingredients
like onion, Ubtan, tea tree, and charcoal
- Wellness: products promoting overall health and wellbeing

Mamaearth is known for its commitment to safety, sustainability, and

customer satisfaction, making it a popular choice among parents and
environmentally conscious consumers.

Mamaearth - Mission and Vision:

We aim to build a brand which is your friend, every parent’s friend. A
friend who understands you, knows your issues and tries hard to
resolve them, well most of them. A brand which every parent like you
and me can trust, which intends to make lives of mums & expectant
mums better and beautiful. 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. Well it’s a lot like love, Awwww, as mentioned on the "What
We Want To Achieve?" section of the Mamaearth website.
The brand aims to solve the recurring problems of young parents with
safe, toxin-free, and international standard products, which will help
them cherish the joy of parenting without any hassles.

What Are They Doing Every Day To Achieve It?

Safety:
Asia’s 1st Brand with MADE SAFE™ Certified Products. They make
sure, that products go through all the required tests and meet the safety
standards that you as parent expect. They have a stringent set of super
safe standards which you can read about in detail here. If it is unsafe,
it is not meant for our baby’s world and it’s not from mamaearth.
Mum Empowerment:
Nobody understands a baby, like a mom does, even if that is just with
her intuition. They are continuously working with a panel of moms,
who give genuine reviews of Their products, which They further use
on its improvisation & for creating new solutions. All the products are
by the moms, for the moms, and through the moms. Would you like to
review our products? Please get in touch
Honesty
They realize how important it is for a parent to know what they are
feeding/ using on their baby. At mamaearth, products evolve with an
honest and transparent system. What They wished as a parent for
ourselves and our little one is what we promise to deliver. You can
read about every ingredient that they add to thier products and why the
ingredients section under products.
Best Of Earth
They believe in delivering products which are gentle as well as
hardworking. In this attempt, They make sure they use the best
available ingredients (natural, plant-based or manmade) which are
both certified safe as well as efficacious in getting the job done. They
buy them from the best sources around the world which are ISO, GMP
& Non-GMO compliant. A Baby’s well-being & health is top priority.

The Early Struggle of MamaEarth:

Starting a brand from scratch is never easy, and the Alagh’s
journey was no exception. They faced numerous challenges, including
financial constraints, competition from established brands, and the
need to build trust among consumers who were used to conventional
products. However, their unwavering commitment to their vision and
a strong belief in the importance of their mission kept them going
 Key Milestones:

 The First Product Line: Mama Earth’s first product line consisted of
baby care products, including baby shampoo, baby lotion, and baby
wash. These products were formulated with natural ingredients and
were free from harmful chemicals like parabens, sulfates, and artificial
fragrances.

 Certifications and Testing: To build trust among consumers, Mama

Earth subjected their products to rigorous testing and obtained various
certifications, such as Made Safe, Dermatologically Tested,

and Hypoallergenic. These certifications reassured customers about

the safety and quality of their products.

 Expansion into Adult Care: After establishing themselves in the

baby care segment, Mama Earth expanded their product range to
include items for adults. This expansion included a wide range of
personal care and skincare products, such as shampoos, hair oils, face
creams, and more.

 Eco-Friendly Packaging: Recognizing the environmental impact of

packaging waste, Mama Earth took a step further by introducing eco-
friendly packaging. They used recycled and recyclable materials and
 promoted the concept of responsible consumption.

 Retail Expansion: Mama Earth’s products were initially available

online, but they soon expanded to brick-and-mortar stores, making
their products more accessible to a broader customer base.

 International Presence: Mama Earth’s success in India led to its

expansion into international markets. Today, their products are
available in several countries, contributing to their global presence.

MamaEarth Success Story Values and Commitments:

Mama Earth’s success is not only attributed to its product offerings
but also to its strong commitment to values that resonate with
conscious consumers. These values include:
1. Natural Ingredients:
Mama Earth’s products are known for their use of natural and organic
ingredients. This commitment to natural sourcing ensures that their
products are safe for individuals and the environment.
2. Transparency:
The brand is transparent about the ingredients used in their products.
This transparency has built trust with customers, who appreciate
knowing what goes into the products they use.
3. Cruelty-Free:
Mama Earth is committed to cruelty-free practices and does not test its
products on animals. This aligns with the values of consumers who
 seek ethical and sustainable options.
4. Sustainability:
Mama Earth’s dedication to sustainable practices extends beyond their
product formulations. They also focus on eco-friendly packaging and
reducing their carbon footprint.

Team Of Mamaearth:
 Ghazal Alagh: Co-founder and CEO of Mamaearth
 Varun Alagh: Co-founder and CEO of Mamaearth
 Prachi Rastogi: General Manager of Mamaearth
 Ishaan Mittal: Director
 Subramaniam Somasundaram: Director
 Vivek Gambhir: Director
 Rahul Chowdhri: Nominee Director
 Vettakkorumakankav Sitaram: Nominee Director

Mamaearth Co-Founders Ghazal Alagh and Varun Alagh

incorporated Honasa Consumer Private Limited in 2016 and then went
on to launch the Mamaearth range of toxin-free products in December
of that year. The couple had made it their mission to make safe,
chemical-free products available to all babies in India. The company
has now grown to be an organic product manufacturer for babies,
moms, dads, grandparents, and everyone else.
 Varun Alagh:
Mamaearth Co-Founder, CEO, and Chief Dad of Mamaearth, Varun
Alagh, is from the FMCG industry. Varun Alagh has a BE in
Electrical Engineering from Delhi College of Engineering, followed
by an MBA in Finance and Marketing from XLRI Jamshedpur. Varun
has previously worked in Hindustan Unilever, Smirnoff, and The
Coca-Cola Company, where he managed key leadership roles before
founding Honasa Consumer Pvt. Ltd., the parent company of
Mamaearth. He is known for the brand management expertise he
brings to the table.

Ghazal Alagh:
 Ghazal Alagh is another Co-Founder of Mamaearth who is also
known as the Chief Innovation Officer. Ghazal has completed her
BCA in Information Technology student from Panjab University. She
then served as a Corporate Trainer at NIIT
and later on founded Dietexpert in February
2012 before founding Mamaearth under
Honasa in 2016.
Ghazal has also completed Intensive courses
in Modern Art and Applied Arts from the
School of Visual Arts and New York
Academy of Art and is recognized as one of
the top 10 women artists in India, both
nationally and internationally. She was also
one of the sharks in Shark Tank India Season one.
“We are a 'mum-powered' company and work with a large
number of mothers who are involved in the process, right from
ideation, conceptualization to the actual product launch. We believe
this connection with mothers will continue to be the biggest driver of
success. We have more than 200 young moms on board who help us
in conceptualizing and formulating the products. The moms then test
these products, and only those with great feedback are approved for
mass production,” says Ghazal Alagh.

Impact of Mama Earth on the Market:

Mama Earth’s success story is not just about profits and expansion;
it also highlights the positive impact they’ve had on the market
and society at large.

Raising Consumer Awareness: Mama Earth’s focus on natural and

safe ingredients has contributed to an increased awareness among
consumers regarding the potential harm caused by harmful chemicals
in personal care products. This has encouraged more people to
scrutinize the ingredients in the products they use.
Competitive Transformation: The success of Mama Earth has
pushed many established brands to reformulate their products and
prioritize safer and more natural ingredients. This competition has led
to a positive change in the industry.
Environmental Impact: By adopting eco-friendly packaging and
reducing waste, Mama Earth has set an example for the industry and
highlighted the importance of sustainability in product packaging.
Global Reach: Mama Earth’s expansion into international markets
has not only increased their brand’s visibility but has also
showcased India’s potential as a hub for eco-friendly and sustainable
products.
Inspiration for Start-ups: Mama Earth’s journey serves as an
inspiration for entrepreneurs looking to create socially responsible and
sustainable businesses. It demonstrates that success can be achieved
while adhering to ethical values.

Marketing Strategy of Mamaearth:

Marketing strategy is something that plays an important role in
 conveying the message. Below, we are going to talk about the
marketing strategy of Mamaearth.

 Enhancing Customer Base

It is critical to learn that by the time you have to enhance your
customer base.
You can’t be limited, and the world is your oyster. If we follow the
pattern, Apple started with the CPU, then personal computers, then
iPhones, iPods, and much more. All this time, they tried to grow. The
same goes with Mamaearth; initially, it started out to be the company
of mothers and babies. However, it gradually began to grow its client
base. The company has now branched out into skincare. It offers
bathing ingredients, skincare serums and ointments, face wash,
moisturizers, hair oils, and a variety of other items. The greatest thing
is that none of these items contain any chemicals.

 Search Engine Optimization

Mamaearth's website is well-optimized for on-page SEO. The
company uses relevant keywords throughout its website, including in
its product titles, descriptions, and blog posts. Mamaearth also has a
strong internal linking structure, which helps search engines crawl and
index its website more efficiently. Mamaearth's website has an
authority score of 51, 2 million organic visitors, and 219.2K visitors
from paid search. The company also has a strong off-page SEO
strategy. The company has built a large number of high-quality
backlinks from other websites. Backlinks are among the most
important factors in Google's ranking algorithm, so Mamaearth's
 strong backlink profile helps it rank higher in SERPs. Each month,
millions of people visit the company's website, which prioritizes
91.5K terms.

 Brand ambassador of mamaearth:

It is one of the strongest pillars of Mamaearth's advertising strategy. It
gradually increases the overall value of the brand. The thing is, when a
celebrity talks about the product, people will fall for it no matter what.
The same goes for if the brand is endorsing our favorite show; we will
definitely pay attention to it. Mamaearth's growth accelerated
after Shilpa Shetty, a well-known star, became a shareholder and
product ambassador. She is involved in the creation of new
technologies and marketing strategies. The actress used social media
to promote the business. Not just this, Big Boss, a popular reality
television program, is also sponsored by the company. The company
has also roped in celebreties like Sara Ali Khan, Samantha Ruth
Prabhu and Sharmila Tagore to advertise their products.
Shilpa Shetty Kundra:
An actor who has appeared in several
of Mamaearth's campaigns, including
the winter campaign, the
#PlantGoodness campaign, and the
campaign for the Vitamin C face wash.

Samantha Ruth Prabhu:

 An actor and youth icon
who endorses the brand's
skincare products.
Mamaearth chose Prabhu
to represent their
philosophy of "Goodness
Inside" and to strengthen
their presence in the southern market.

Sara Ali Khan:

Mamaearth has launched its latest
integrated marketing campaign for
their onion shampoo, featuring
Sharmila Tagore and brand
ambassador, Sara Ali Khan

 Concentrate on Digital
Platforms
All brands and companies know the value of digital platforms. We are
in the digitalization era, so we can’t overlook this factor; Mamaearth
knows it very well. Digital tools are used in Mamaearth's ad
campaigns. The internet is growing, and most people rely on these
digital channels for all of their knowledge base. As a result, the brand
management approach utilizes these new outlets to raise brand
awareness and attract a broader audience. Mamaearth's official
website, Amazon, Flipkart, and other digital outlets sell the product.
As a result, the company is establishing a robust digital footprint.
 Most of its sales come from online channels.

 Social Media and influencer Marketing

Do you know how many people spend their time on social media?
The answer is every second individual. We are actually living in the
social media era where things can become memes, and people can
become stars overnight. It can make and break people. But more than
this, people believe what they see on social media. It is the platform
for ordinary people to voice their opinions, and Mamaearth knows
that. Because of this, Mamaearth has established robust social media
marketing strategies. The crowd they seek is available on social
media, so they approach various influencers to spread the word about
Mamaearth. The company is engaged on several social media sites,
including Twitter, Facebook, and Instagram. Mamaearth's Influencer
Marketing is the most influential approach, which includes hashtags
on platforms.

marketing Campaigns
The company has run a number of successful marketing campaigns
over the years, which have helped it build a strong brand image and
reach a wider audience.

#GoodnessMakesYouBeautiful - This campaign challenged

traditional beauty standards and promoted the idea that using natural
and safe products can make you look and feel your best. The
campaign featured a number of popular influencers and celebrities,
and it was widely shared on social media.

#IssWinterGlowNaturally - This commercial emphasized the

advantages of utilizing Mamaearth's natural winter skincare products.
The campaign included a video ad starring actress Shilpa Shetty
Kundra, which was marketed on social media and on television.

Mamaearth for Babies - This campaign promoted Mamaearth's baby

care products, which are made with safe and gentle ingredients. The
campaign featured a video ad of a baby and its mother, and it was
promoted across social media.

Mamaearth Plastic Positivity - This campaign promoted

Mamaearth's efforts to reduce plastic waste. The campaign pledged to
recycle one plastic bottle for every order placed, and it was promoted
across social media and TV.

Mamaearth Plant Goodness - This campaign highlighted

Mamaearth's commitment to sustainability. The campaign pledged to
plant a tree for every order placed, and it was promoted across social
media.

Mamaearth – Shareholding:
Mamaearth parent company Honasa Consumer shareholding pattern
as of october
 Mamaearth Product/Services:

Mamaearth is focused on babies and others with an exclusive product

range that caters to baby care, haircare, skincare, and more with over
300 natural products under its umbrella. Some of the most innovative
products developed by Mamaearth include India’s first bamboo-based
baby wipes, easy tummy roll-on with Hing and Fennel for colic and
digestion relief, and 100% natural plant-based toothpaste for children
 between 0-10 years.
It also has a range of skin and hair care products around popular
natural ingredients such as onion, Ubtan, tea tree, vitamin C, argan,
coco, and charcoal.
It has expanded not only to cater to babies but their mothers as well
with varied products ranging from sunscreen to stretch mark removal
serum. It focuses on all aspects of motherhood. A fan favorite is their
onion range of products for mothers.

Mamaearth – Target Market Size :

Mamaearth has Segmented its Product as follow:
 Baby
 Beauty
 Hair
 Face
 Body
 Gift packs

Mamaearth - Business Model:

Mamaearth operates on a clear-cut, open business approach. Under the
Mamaearth brand, the company conceptualizes items strategically and
works with contract manufacturers to bring them to market. The core
of Mamaearth's operations is conducted online, where it primarily uses
direct-to-consumer (D2C) channels including Amazon, Flipkart, and
numerous other e-commerce sites.
Mamaearth has also expanded its reach by forging a strong presence
in physical retail locations. This all-encompassing strategy guarantees
that Mamaearth's products are available and accessible on a variety of
platforms, satisfying the tastes of a broad range of customers.

4P's of Marketing – Mamaearth:

Product - The natural and toxin-free ingredients of Mamaearth's
products set them apart from other personal care products on the
market. In its products, the company uses a variety of plant-based
components and avoids the use of harsh chemicals and artificial
smells. Mamaearth's products have also been dermatologically tested
and found to be hypoallergenic, making them suitable for even the
most sensitive skin.

Price - Mamaearth's pricing strategy is a premium pricing strategy.

This is due to the high quality of its ingredients and the fact that its
products are natural and devoid of toxins. Mamaearth, on the other
hand, offers a number of discounts and promotions throughout the
year, making its products more cheap to customers.

Place - Mamaearth's distribution channel is spread across various

sources like, including its own website, online marketplaces, and retail
stores. This makes it easy for consumers to purchase Mamaearth
products, regardless of where they live or how they prefer to shop.

Promotion - Mamaearth uses a variety of promotional channels to

reach its target audience and generate awareness and interest in its
products. The company is very active on social media, and it uses
influencers to promote its products to its followers. Mamaearth also
runs television commercials and print ads. The company uses a variety
of channels to reach its target audience and make its products easily
accessible.

Overall, the 4Ps of Mamaearth is focused on highlighting the quality

of its products and their natural and toxin-free ingredients. The
company uses a variety of channels to reach its target audience and
make its products easily accessible. The marketing mix of Mamaearth
sets a benchmark for its competitiors. As a result, Mamaearth has
become a popular choice for consumers who are looking for safe and
effective personal care products.

Mamaearth - Revenue Model:

Mamaearth makes revenue from different resources; some of the
prominent
Ones are,

Product Sales:
Mamaearth's direct sales of a wide variety of skincare, haircare, and
wellness items account for a sizeable amount of company earnings.

Subscription-Based Model:
 Mamaearth allows clients to sign up for recurring product deliveries
by providing subscription services. As a result, a steady and
recurrent revenue stream is produced.

Revenue from advertising:

Mamaearth increases its revenue by making calculated advertising
efforts. To promote the company and its products, this could involve
partnerships, collaborations, online and offline advertising, and
sponsored content.

Challenges & Future Endeavors:

While Mama Earth’s journey has been remarkable, it hasn’t been
without challenges. The green consumer products market is becoming
increasingly competitive, with numerous brands vying for the same
eco-conscious audience. Maintaining quality and sustainability while
managing growth can be a significant challenge.

To continue their success, Mama Earth must focus on:

 Innovation: Staying at the forefront of natural and sustainable

ingredient research and product development to meet evolving
consumer demands.
 Maintaining Trust: Continually proving the safety and quality of
their products to keep the trust of their customers.
  Global Expansion: Expanding into more markets while navigating
international regulations and consumer preferences.
 Educating Consumers: Raising awareness about the importance of
natural and eco-friendly products, not just for personal health but for
the health of the planet.
References:
https://mamaearth.in/
https://golden.com/wiki/Mamaearth-4N9Y8Y9
https://honasa.in/
https://startuptalky.com/mamaearth-success-story/
https://www.graphream.com/case-studies/mamaearth-
success-story%7C14397