SUMMARY
Whether it’s customised gift boxes or non-toxic colours, there is hardly anything that Indian D2C brands are not offering this Holi
Some of the key startups making waves with their Holi-focussed offerings such as PHOOL.co, All Naturals, Bigsmall, Earth Inspired, Ferns N Petals, among others
India’s D2C sector is looking to ride the wave of the Holi fever that has gripped the country, a festival that is expected to generate business over INR 50,000 Cr
Over the years, the manner in which people celebrate the colourful festival of Holi has undergone a significant transformation. This shift is largely attributed to Indians’ increasing preference for organic products.
While the transition was already underway before the Covid-19 pandemic brought the world to a standstill, it cannot be refuted that Indians have become more health and environmentally conscious in the wake of the pandemic.
What has facilitated this transition is the emergence of Indian direct-to-consumer (D2C) startups that now cater to the rising demand for eco-friendly and sustainable products.
Whether it’s customised gift boxes full of vegan and gluten-free chocolates or non-toxic colours, there is hardly anything of the day’s essence that the Indian D2C brands operating in the organic/sustainable category do not offer.
Some of the key startups making waves with their innovative products in this area include PHOOL.co, All Naturals, Antarkranti, Arsian (OrgaQ), Bigsmall, Earth Inspired, Ferns N Petals, Itokri.com, Kapiva, My Pooja Box, Nirmalaya, Organic Harvest, Two Brothers Organic Farms, and YesMadam, among others.
Apart from this, ecommerce platforms like Bigbasket, Amazon, Flipkart, and Myntra also provide access to these products at prices.
With Holi just around the corner, let’s delve deeper into what the Indian organic startups are doing to make this festival of colours more joyful.
Certified Skin-Friendly Colours
This Holi, many organic brands will be seen offering herbal/natural Holi colours made from dried flower petals, permitted food colours, corn starch, and natural ingredients like turmeric, neem, maize, saffron, marigold, and palash.
One of the key D2C startups making headlines in this space is PHOOL.co – a brand focussed on the circular economy, converting floral waste into charcoal-free luxury incense products, gulal, and wellness items.
“Post-Covid, people have become very conscious about the products they use, especially for Holi, particularly if they are for the face. Our colours are derived from flowers, and we use wheat powder, rice powder, edible food colour, henna, and natural essential oils to make our colours,” Apurv Misal, the head of marketing and sales at PHOOL.co, said.
He added that while many brands sell herbal or organic products, determining whether a product is truly herbal or natural can be challenging. To instil confidence in consumers, PHOOL.co provides certified products.
“Our products are certified by Cosmos Natural (Belgium-based certification agency), and our gulal are deemed safe for use by the Institute for Industrial Research and Toxicology (IIRT),” Misal said, adding that the startup’s sales have surged 30-35% in the run up to Holi.
Meanwhile, various startups such as YesMadam, Clinikally, Moms and Co, Kama Ayurveda, and The Ayurveda Co., among others, are offering pre and post-Holi skincare products.
And what Indian festival is complete without gifts and Indian startups have even rolled out a slew of gift offerings to cash in on the festive fervour.
Sustainable Gifting A Rage Among Masses
While gifting during the Holi festival traditionally includes gulal, brands are now offering more diverse options. For instance, pairing gulal with Holi-themed t-shirts provides a blend of traditional colours and modern fashion. Additionally, combinations like thandai mix and chocolates, along with coconut oil, offer a delightful treat for those celebrating the festival.
Moreover, some gift hampers comprise herbal water colours, sweet boxes, and handmade assorted chocolate boxes, presenting a wide range of choices for Holi celebrations.
A major player in the gifting segment is Ferns N Petals, which is also witnessing a surge in the demand of organic products. Witnessing this rise, it is making available organic hampers for the festival.
“We are witnessing a surge in the demand for organic products. Modern consumers are not only looking for vibrant and festive experiences but also value products that resonate with their environmental responsibility ethos,” a Ferns N Petals spokesperson said.
Meanwhile, My Pooja Box has introduced several innovative combos, featuring items such as a silver pichkari (water gun), DIY pattern rangoli, swastika diya, thandai badam ladoo, and sugar-free sweets.
No-Sugar Holi Treats
The growing health-conscious mindset has sparked a trend towards handmade sweets, chocolates and healthy festive treats. While the demand for handmade chocolates and sweets surged after the pandemic, an increasing number of customers today want their sweets to be made with natural sweeteners like dates, jaggery, and coconut sugar.
In addition, there’s a rising interest in gluten-free options, including vegan, thandai badam ladoos, sugar-free chocolates, ragi ladoos, Ayurvedic thandai, and gujia.
Two Brothers Organic Farms (TBOF), a family-run organic farm specialising in organic food products, has introduced Rose thandai, paan thandai, thandai drink mix, and gulkand to add a refreshing twist to festivities.
Speaking with Inc42, TBOF cofounder Satyajit Hange highlighted the startup’s focus on promoting the use of safe and organic Holi colours for ecofriendly community events this Holi season.
“We are also introducing gujiya, a traditional sweet treat made with organic ingredients, to complement our celebrations,” he said.
With these offerings, India’s D2C sector is looking to ride the wave of the Holi fever that has gripped the country. As per industry association CAIT, the festival is expected to generate business north of INR 50,000 Cr for traders.
Within this, D2C startups are looking to tap into a growing number of customers who shop online, a number which is projected to zoom to 350 Mn by 2025.
Another tailwind favouring these startups has been the growing number of Indian users that are environmentally conscious and are willing to pay a higher premium for sustainable brands. A November 2023 survey by Bain & Company revealed that Indian users were willing to pay a premium in the range of 15 to 20% for such products.
As Holi fervour grips the country, it appears that ecommerce platforms are lining up to cash in on the festive mood and a significant business opportunity for the startups. How better they leverage this opportunity, only time will tell.
[Edited by Shishir Parasher]
