Natural baby care brand Mamaearth raises $4 million for offline expansion

The fast moving consumer goods (FMCG) brand Mamaearth has raised $4 million (Rs 27 crore) in investment from it’s a funding round and will use the money to expand into brick and mortar stores.

Mamaearth has raised $4 million in investment from it’s a funding round and will use the money to expand offline - Mamaearth- Facebook

Mamaearth recently completed its series A funding round, which was led by the venture capital firms Fireside Ventures and Stellaris Venture Partners. The brand raised $4 million from a group of investors including existing investors such as Snapdeal founders Kunal Bahl and Rohit Bansal and Rishabh Mariwala of Sharrp Ventures. The brand’s ambassador, Bollywood celebrity Shilpa Shetty Kundra, is also an investor in the brand.

The brand, which retails natural cosmetic and lifestyle products for mother, father, and baby, will use the money to expand online while continuing to expand online, as well as for product development. The brand currently makes the majority of its revenue from large e-commerce portals such as Amazon and BigBasket.

Mamaearth’s co-founder, Varun Alagh, told TNN that online sales currently account for around 90 percent of the brand’s total revenue. However, by expanding offline, Alagh plans for offline retail throught physical stores to account for 50 percent of total sales over the next three years.

“We are already doing about Rs 2 crore of monthly gross sales and want to scale it up as we expand on the back of the new funding," said Alagh.

Mamaearth was launched online in 2016 and retails products for adults and babies such as skincare, haircare, insect repellents, and body washes.

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