According to Chairman and CEO Varun Alagh, the company’s strategic pivot under Project Neev two quarters ago has begun to show results.
HUL and Honasa will take down online ads within 24 hours and remove hoardings within 48 hours. It has also agreed to change the colour of the packaging shown in the ads from orange to light yellow, and replace the phrase “online bestseller” with “some sellers”.
Ghazal Alagh said that she always follows a strategy called the '85 percent rule' with which she focuses on priorities and does not strive for constant perfection.
According to Alagh, quick commerce continues to be the company's fastest growing distribution channel, and has been so for almost a year now
Mamaearth Q3 FY25 Results: Honasa Consumer reported nearly flat year-on-year profit at Rs 26 crore, with revenue rising 6 percent. The firm said it grew its market share, helped by expansion of offline distribution.
Master has stepped down at a time when Honasa's growth has hit a rough patch, after its flagship label Mamaearth reported slowing growth due to ongoing restructuring in its distribution model.
Alagh, who co-founded Honasa Consumer with his wife Ghazal Alagh, now together hold a 35 percent in the company.
Together, the husband and wife duo own 35 percent of Honasa Consumer, a rare sight in India’s startup ecosystem where founders typically hold lower stakes in order to raise funds.
Early stage venture capital firm Stellaris Venture Partners has raised a whopping $300 million for its third fund, marking one of the largest raises by an India-focussed venture firm this year. Its prominent investments include Mamaearth and Whatfix. Its founders Alok Goyal, Ritesh Banglani and Rahul Chowdhri spoke to Moneycontrol’s Chandra R Srikanth about the latest fund raise, the areas it will invest in and the next company that is IPO-ready from its portfolio.
The sharp rally in Honasa shares follows a period of 40% fall in a month and over 50% correction in last three months. The rise seen in trade on November 29 is backed by strong volumes that are higher than the one-month average.
The company is in for a long winter as revised business strategy may impact growth
Shares of Honasa Cosumer slipped below their IPO price of Rs 324 apiece following the 20 percent intra-day fall.
The emergence of social media and the rapid rise of quick commerce are a few factors that are hurting Mamaearth. The company however plans to invest in innovation, R&D and nurse the company back to health.
This downturn has been attributed to the company’s transition to a direct-to-consumer distribution model as part of its Project 'Neev', which has necessitated inventory corrections
Mamaearth aims to reach Rs 100 crore ARR in the coming 12 months on Meesho
The two subsidiaries to be merged with Honasa Consumer have assets worth Rs 48 crore against the market gain of Rs 1,800 crore on August 26
Shares of Honasa Consumer surged to an all-time high following the approval of a merger with Just4Kids Services and Fusion Cosmeceutics by the NCLT.
Honasa’s strategic shift towards direct distribution will cover 7 out of 8 metro cities. This shift lessens the dependence on super distributors. Furthermore, a distribution management system now captures over 90% of secondary sales.
Goldman Sachs said that the 'India beauty transformation creates a multi-year growth opportunity'
Honasa Consumer Q1 FY25 Results Update: Mamaearth parent company reported a healthy jump in net profit, led by strong sales growth momentum and expanding margins.
'My 9-year-old son Agastya asked why we touch elders' feet for blessings,' Ghazal Alagh wrote. 'It's a Hindu ritual called Upasangrahana, symbolising respect and letting go of ego to receive blessings, knowledge, and love,' she added.
The comment on dealing with hate on social media comes weeks after Ghazal Alagh had responded to a social media influencer after she said that certain Mamaearth products deserve to be thrown into the dustbin.
Honasa Consumer block deal was executed at an average price of Rs 439 apiece, a discount of 4 percent from the stock's previous closing price.
Ghazal Alagh took to X (formerly Twitter) on Tuesday to share lessons learnt by her after stepping out of her comfort zone, which led to her seeking discomfort, facing hardships head-on and letting the tough times be her guide.
The exchange between the social media influencer and co-founder Ghazal Alagh had X users divided with one section batting for the efficacy of Mamaearth's products while another agreed that the items are indeed not as effective as they are advertised to be.