Mamaearth is a fast-growing beauty brand in India known for personal care and baby care products. The brand was founded by Ghazal Alagh and Varun Alagh in 2016 under the firm Honasa Consumer Pvt Limited. The brand began by offering baby care products that are toxin-free, natural, and safe to use. Over time, Mamaearth started grabbing the market by expanding into hair care, skin care, cosmetics, facemasks, and other personal care products.
Now, Mamaearth uses both online channels, such as a website and a third-party e-commerce marketplace, and offline distribution. Mamaearth is known for manufacturing high-quality products for a price-sensitive audience who want fewer synthetic chemicals and more natural ingredients. There are many other brands under the parent company, which have a portfolio in cosmetic products like The Derma Co., Aqualogica, Dr. Sheth’s, BBlunt, etc.
Here, we will discuss the core business model of Mamaearth, how they make money, and their revenue streams with key insights. Let’s get started –
How is Mamaearth’s Business model structured?
Mamaearth operates on a multi-brand and omni-channel business model where the parent company Honasa Consumer owns several brands, including Mamaearth itself. The brand was started as a D2C cosmetic firm with an online-first focus. However, Mamaearth expanded rapidly offline for better traction and on-ground sales. It also sells via quick commerce channels. The mix allows it to reach consumers everywhere, both urban and rural. Offline penetration has been a strategic priority, especially under “Project Neev”, shifting from super-stockists to direct distributors to improve reach, reduce layers, and better manage returns and inventory.
| Company/Brand | Mamaearth (Parent: Honasa Consumer Ltd) |
| Establishment Year | 2016 |
| Headquarters | Gurugram (Gurgaon), Haryana, India |
| Founder/Owner | Ghazal Alagh & Varun Alagh under Honasa Consumer Pvt Ltd |
| Industry | Beauty / Personal Care / Baby Care / Skincare / Cosmetics |
| Net Worth (2025) | ~ ₹ 2,066.9 crore (revenue from operations) |
| Total Revenue 2025 | ~ ₹ 72.6 crore in FY25 |
How Does Mamaearth Make Money?
As mentioned earlier, Mamaearth uses multiple channels to sell its personal care and cosmetic products, which are the direct source of revenue. However, there are several other strategies used by the brand for exposure, expansion, and sales. Below are five key ways Mamaearth uses to make money –
1. Product Sales Across Multiple Categories
Mamaearth has a wide range of personal care and cosmetic products. The categories include skincare, hair care, baby care, and similar products. There are shampoos, face washes, sunscreens, body lotions, baby creams, etc. In each product, like facewash, there are multiple variants and options to target customers for their specific requirements. You can find heavy branding about being natural and quality formulation.
2. Omnichannel Sales
Mamaearth sells via its own D2C website and via large marketplaces. This online channel has a higher marginal cost (due to commissions, etc.) but good scale, which helps in getting higher sales volumes. Overall, the lesser margin compensates well for the volume and helps them make more. Then there are offline sales. They have expanded distribution to general trade outlets, chemists, and modern trade. Offline helps reach customers who still prefer to see/touch products. Offline also helps widen reach, but has higher logistics/distribution & retail margins costs.
3. Marketing and Branding
Through marketing and branding their product on social media platforms, digital ads, and paid influencer collaborations, Mamaearth can reach a wider audience. The key strategy that Mamaearth has always used is influencer marketing since the early days, which made it easy for the brand to sell more volume. Its advertising spend was very high in FY25 (~₹743.4 crore), which accounts for a large part of its expenses.
4. Distribution Overhaul and Cost Management
With the project Neev (Translation: Foundation), Mamaearth is investing heavily in brand building, and they are using advertisements, influencer marketing, promotions, packaging, and much more. On the other hand, Mamaearth is also spending more on R&D or innovation for new SKUs or variants. Through new variants and better promotions, Mamaearth wants to retain a higher number of customers, which they are not getting with the current ones.
5. Portfolio and Brand Diversification
Mamaearth is not alone: Honasa owns multiple brands (The Derma Co, Aqualogica, Dr. Sheth’s, BBlunt, etc.). Revenue isn’t just from Mamaearth. Growing other brands helps diversify risk and capture more beauty & personal care segments. Each brand focuses on different sub-segments: skin, hair, specialty, etc. The growth in these emerging brands adds to overall revenue growth.
Financial Performance
In FY25, Honasa Consumer Ltd (the parent company of Mamaearth) reported revenue from operations of about ₹2,066.9 crore, which is up by 7-8% from last year. The net profit for the full year was ₹72.6 crore, down from ₹110.5 crore in FY24. This clearly shows margin pressure to the brand.s
What’s New in 2025?
Mamaearth (Honasa) crossed the ₹ 2,000 crore revenue mark in FY25. The company is pushing for greater offline distribution. Under Project Neev, it expanded direct distribution points substantially. As of June 2025, its distribution network reached ~2,40,113 FMCG retail outlets (a ~20% YoY increase) across India.
