India’s nutraceutical industry is expected to hold at least 3.5 percent of global market share by 2023. The nutraceuticals market in the country is expected to grow from an estimated $4 billion to $18 billion by the end of 2025.
The dietary supplements segment constitutes over 65 percent of the market; it is growing at a rate of 17 percent and likely to go up to 22 percent per year. Also, India at present imports $2.7 billion worth of nutraceuticals – a number that can be reduced as more homegrown brands gain popularity with quality products.
This is why Delhi-based Physiovits entered the nutraceuticals market amidst the pandemic. Launched by Dr Mohit Bhatia, Dr Harsimram Kaur, Paras Bhatia, and Amol Sehgal, the startup wants to bring health to your doorstep.
Founder Dr Mohit Bhatia says: ”We often discussed prevalent nutritional deficiencies, in the working, middle, and upper class of our country, and how the focus had shifted from nutritious food leading to several common health challenges.
“Last year’s pandemic situation strengthened our resolve to do something about it and we launched Physiovits, evidence-backed nutraceuticals by a team of doctors and pharmacists, as a D2C brand.”
Founders (L-R): Dr Mohit Bhatia, Dr Harsimram Kaur, Amol Sehgal and Paras Bhatia
Physiovits launched its first product in January 2021 and now offers 11 products including Nutritional supplements, Omega, Calcium, Q10, Multivitamin, Skin essentials, Lung detox etc.
“We are currently doing around Rs 40,000 worth of sales every month and plan to reach at least Rs 2.5 lakh monthly sales by Q3 of this financial year. The initial trends have been very promising. The product is being accepted by the market and we have received positive feedback on the quality and results,” Amol says.
The most popular products are an Omega 3-6-9 supplement derived from flaxseed oil in a dose of 1000 mg, and immunity booster sachets that are even suitable for kids above two years of age.
All products are available on its own website and all the major marketplaces such as Amazon, Flipkart, and others.
“The manufacturing of the health supplements takes place at a GMP and ISO 9001:2015 certified facility, which clearly states that the supplements that you are getting are undergoing rigorous testing and multiple quality checks before they reach you,” Mohit says.
“Each of our products targets a specific body system role and improves the functioning of that specific system,” Amol says.
The parent company and team
Physiovits is part of parent company Vkare Bio Sciences, an Indian entity established since 2012 as a manufacturer and distributor of medical and surgical instruments. Fuschia, which is dedicated to natural, handmade skincare products, is another brand incorporated under Vkare Bio Sciences and was launched in 2013.
Dr Mohit Bhatia, Dr Harsimram Kaur, and Amol Sehgal have medical and associated backgrounds. Paras is an experienced digital marketer and engineering post-graduate.
“I, Paras, and Simran have been together (same family) and have been working together on Fuschia for the past 7 years. Amol is an old schoolmate of mine, and things kickstarted during a casual chat around Diwali last year on nutraceuticals and their role in the pandemic scenario. Physiovits was officially launched in January this year,” Mohit says.
The startup has a team size of seven people, and is aiming to grow this by one to two members per month.
The present and the future
The market for nutraceuticals is seeing an upward spiral, and Physiovits competes with brands like Fast & Up, Plix, OZIVA Nutrition, Supp, Nutrova, Nutrabay in India, and global players like Amway Nutrilite, Herbalife, Nnow etc.
“Considering the ongoing lifestyle and public health scenario, people are looking for solutions to relieve stress, improve their lifestyle and health, and are inclined to try nutraceuticals. These can help lower obesity, improve skin, and have other contributions to good health.
“The market is very competitive and, with increasing investment, is expanding at more than the expected pace. For a bootstrapped brand like Physiovits, maintaining growth and increasing customer traction is going to be the biggest challenge and opportunity,” Mohit says.
The brand is presently reporting GMV of Rs 2 lakh per month, and is expecting to grow this 5X before the end of this calendar year and 7-8X by the end of this financial year. Currently, the offline base is present in Delhi-NCR and a few cities in western UP; it will cover Punjab and Chandigarh Tricity by September 2021.
The current source of revenue is from the product sales in offline distribution channels (medical practitioners, dieticians, nutritionists etc) and online marketplaces. The founders expect to reach a revenue scale of Rs 5-10 lakh profitability (GMV of Rs 30-50 lakh) and then seek funding from external sources to increase growth.
“The target is to end the financial year with a monthly GMV of Rs 10-12 lakh and take it to Rs 50 lakh monthly GMV in the next two to three years,” Amol says.
The future plans are to optimise online presence across India, through tieups with ecommerce players and several nutritional clubs. Offline growth is planned for Northern and Eastern India.
Physiovits has raised Rs 20 lakh from promoters, and friends and family, with no equity dilution. The startup is hopeful of attracting synergistic investments once it sees more traction. It plans to use this to drive its growth and acceleration in the digital medium.
Mohit says, ”The goal is to have a complete range of nutraceuticals in 12-18 months. We plan to have an omnichannel presence through modern stores and standalone boutique stores in a few cities in the next three to four years.”
