Insight into the Indian D2C health and wellness ecosystem

Authored by Rishubh Satiya, Co-Founder, Plix.

A lot has changed in the Indian health and wellness market in the recent years. The pandemic impact has brought about an unprecedented and much-needed focus on preventive wellness through nutrition and clean eating.

With a rapidly evolving ecommerce ecosystem, innovative and quality conscious health, wellness and nutrition product startups have risen to play a crucial role in this transformation. With the advantage of Ayurveda and understanding of herbal food and beverage benefits, D2C brands are not only offering clean and adequate nutrition products, but doing so without compromisingon taste. Customers have shown an equally enthusiastic response towards the offerings. From switching colas to herbal health drinks, and integration of plant-based proteins into the daily diet, consumers are consciously looking for products that are good for the body, appealing to the taste-buds, and created without adverse impact on environment.

It is estimated that nearly 120 million people, more than half of whom reside in the non-metro, non-Tier 1 cities, have switched to the ‘nutrition and health’ conscious category or are about to make that transition. With a preventive healthcare market worth $100 billion, and nutrition products making up 30% of it, D2C players have no lack of growth opportunities.

A major factor making people adopt healthier lifestyles is the inconvenience and high costs associated with conventional healthcare. When a person falls sick, depending on the disease, they would need to endure pain, discomfort, and loss of active life apart from the financial impact. Lack of wellness would lead to time off job, and savings being consumed as healthcare costs. Alternatively, a conscious change of lifestyle, integration of clean-living practices, adequate nutrition, and physical exercise can prevent all these challenges. With good physical and mental health, it is possible to boost immunity and prevent illnesses. In fact, nutrition plays a critical role in preventing reproductive and menstrual health challenges for women.

With the spread of COVID-19, people increasingly looked for ways to boost immunity and physical and mental wellness. Almost all searches led towards the role of nutrition in ensuring good health and quality of life. While Ayurvedic medicines and traditional herbal products were available even in the past, there was the issue of their lack of compatibility with hectic lifestyles. The fact that these are typically tasteless or bitter, doesn’t help the cause.

Observation of the market, and deeper understanding of the consumer needs and concerns is a key factor for the success of any vertical. Most D2C wellness and nutrition start-ups we see are founded by people with first-hand experience and knowledge of these challenges. The enterprising D2C labels are creating solutions that provide the necessary health benefits, and also seamlessly fit into the lifestyles.

For instance, people find it difficult to prepare elaborate plant-based foods even if they have access to recipes and ingredients. As a result, the consumption of junk foods, grabbing canned soft-drinks to quench thirst on the go, and other such habits have become deeply ingrained into popular culture.

To overcome the challenge, D2C nutrition brands offer plant-based, natural options which are typically free of preservatives, artificial colouring and flavouring. These could be in the form of powders, yummy gummies, and effervescents that can be consumed on the go. Such nutrition products take care of the body’s needs for proteins, vitamins, antioxidants, fibre and other nutrients. Water-soluble effervescent tablets in a diversity of flavours such as refreshing orange, rose, and strawberry prove to be healthy alternatives to the cans of sugary sodas.

Last but not the least, the lack of adoption of nutritious diet in the past was also due to the higher cost of clean, plant-based nutrition products. These would be accessible only in select locations in metro cities. Even if they were aware of the needs, the lack of affordability made people miss out on nutrition.

This is where D2C players are proving to be the gamechangers. They offer direct online access to users in various parts of the country, and there is ample delivery and logistics support available to get the products delivered at customer’s doorsteps all over India. Further, the affordability challenge is also being taken care of. One glass of health drink prepared by using a soluble effervescent tablet is usually cheaper than the cost of soda can.

By eliminating the primary challenges of awareness, access, and affordability, the D2C online health and nutrition brands are ensuring that masses are able to consume their products and services, and live better and healthier quality of life. A great start has been made, and the future is certainly going to be healthier and sustainable!