The Indian beauty and personal care giant turned content provider, and newly-minted unicorn, has continued its acquisition spree by taking a majority stake in one of the country’s leading organic personal care brands.
Financial details of the deal were not disclosed, though Good Glamm Group founder and group chief executive Darpan Sanghvi told BoF it would include Good Glamm Group putting $10 million of primary capital into the brand, and see Organic Harvest founder and chief executive Rahul Agarwal take a shareholding in Good Glamm Group.
For Good Glamm Group, which began life as direct-to-consumer (DTC) beauty brand MyGlamm before expanding over the last 15 months to include a stable of acquired content platforms — such as female-focussed digital community Popxo, influence marketing platform Plixxo, parenting platform BabyChakra, male-focussed digital platform ScoopWhoop — this investment represents the group’s entry into organic personal care.
“With the movement towards clean beauty, organic is going to be the next trend in India,” Sanghvi said, adding that their goal is to grow Organic Harvest from $10 million in annual revenue to $100 million within three years. Other brands in Good Glamm Group include The Moms Co. (baby skincare), St. Botanica (hair and skincare) and Sirona Hygiene (feminine hygiene).
For Organic Harvest, which has developed a largely offline and wholesale business to-date, an alliance with Good Glamm Group gives it immediate digital scale, potential for a significantly larger DTC revenue stream and a wide network of content creators who can educate consumers about its organic message.
“That’s a challenge we have always faced as a brand because the consumer doesn’t necessarily understand what the difference is between natural, herbal, organic and that’s where we see the opportunity, if we can educate the consumer…we will be true leaders in the personal care category,” Agarwal said.
Good Glamm Group became Amazon’s first Indian consumer brand bet when the e-commerce giant invested in MyGlamm in March 2021. In November 2021, the group attained unicorn status following an additional $150 million in Series D financing.
Sanghvi says the group is currently recruiting 430,000 new users to its platforms each month, and signalled that the series of acquisitions it has been pursuing over the pandemic period will not end any time soon as the group looks to better leverage synergies between the online content players and brands in its portfolio.
“A lot of the brands we acquired last year are starting to scale up already and we are starting to see the thesis play out and so, you are going to see us do some more exciting stuff,” Sanghvi said.
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