Azafran Innovacion unveils 2018 expansion plans

By Natasha Spencer

- Last updated on GMT

Azafran Innovacion unveils 2018 expansion plans

Related tags Organic food Hygiene Cosmetics

Indian integrated ‘Farm to Face’ player and provider of innovative organic personal care products increases its activities to its domestic marketplace.

“On a green journey towards environmental sustainability”,​ Azafran Innovacion utilises over 35 varieties of plants, flowers and herbs specifically for its organic skin care range. To ensure 100% natural purity, the company also uses its own facility to extract and process these plants.

It uses organic botanicals, fragrant organic spices, purifying earth clays and tropical butters to present a wide selection of organic products to a wide consumer audience. In addition, its Azafran Organics brand also offers premium organic skin care products to Indian consumers for daily use.

The brand, which produces organic skin, body and hair care items has achieved USDA and Ecocert certificates and states that all of its items are free of chemicals including sulfate and parabens, along with pesticides and fertilisers.  

Strategic plans

2018 will see Azafran Innovacion ramp up its objectives to maximise its development and market share.

Organic theme

Looking to 2018, Azafran Innovacion plans to make multiple investments in India to propel its “broad-based”​ growth. Organic is set to be the company’s key theme: “‘Whatever we do will be organic’”​, it stated in a recent press release.

Azafran will concentrate on widening its “product portfolio in existing verticals, launching new verticals and aggressively expanding its distribution network”.

Store increase

As part of its strategic growth plans in 2018, Azafran aims to reach a total of 10,000 retail outlets over the next 12 months. Currently, the brand has a presence in 1500 stores throughout India. This comprises modern retail stores, multi-brand outlets and general trade including a partnership with Aditya Birla.

Azafran hopes to go from 1500 to 10,000 stores, and have a prime location in “class 1 towns and cities and metros with over 20 lakh population”.

Rising sales

After seeing “good growth for all of its products”​ since the company’s launch in 2015, Azafran expects to witness sales of 25 crores (€3.1 mn) for the current fiscal year ending March 2018; 65% of which will come from the personal care sector.  

Over the next three-four years, it aims to reach 100 crores (€12.5 mn) in sales through upselling to existing markets and expanding to new markets.

Since its inception, Azafran has received 80-100 crores (€9.9 - €12.5 mn) in investment. This includes Azafran’s 40-hectare facility near Sanand, in the Ahmedabad district of India, which houses an organic farm, large greenhouses, manufacturing facility and dedicated R&D centre for cosmetic research.

Industry potential

Along with entering the home care sector in the next quarter, Azafran is still focusing a large amount of energy on personal care items.

This is unsurprising as it announced in a recent press release that “India's natural and organic personal beauty care products market is expected to grow at a CAGR of 17.27% during 2017–2022” with an emphasis on natural beauty items.

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