These Jain sisters are taking India’s first halal cosmetic brand to the world
Photo: (From left) Sisters Grishma Teli and Mauli Teli. Photo courtesy: Teli sisters.
Growing up in Ahmedabad, in the western state of Gujarat, Jain sisters Mauli and Grishma Teli always wanted to become entrepreneurs and start a venture. When both of them completed their studies in the US and came back to India in 2009, the two realized it was time to give form to that dream.
“The consumer space in India was looking up and we picked the FMCG sector as an area where we could focus to carve out a niche for ourselves,” says Mauli.
But the sector was extremely competitive and dominated by large MNC and Indian companies. “We felt that if we have a unique enough value proposition that caters to an unmet need, we will succeed.”
The latent need for Halal cosmetics and the fact that there was none available in India was an observation that struck them while doing broad research. The two sisters conducted qualitative as well as quantitative surveys across various Indian cities and found that Muslim consumers, especially women were unable to use cosmetics with ease.
That research led to Iba Halal Care, India’s first halal cosmetic brand, and three years later, the sisters are going global. While the brand currently generates up to 10 per cent of its revenues from exports, the two entrepreneurs expect overseas sales to increase to 25 per cent of the top line by the end of this year.
“[In addition to] South Africa, we export to a few other countries, such as Australia and the US,” Mauli told My Salaam. Last year, Ecotrail Personal Care, which owns the brand, set up kiosks in malls in Durban, Johannesburg and Cape Town.
Photo courtesy: Teli sisters.
GOING GLOBAL
The overseas expansion is part of an ambitious growth strategy. “Our immediate plan is to rapidly expand in India to ensure that we maintain our first-mover advantage in this market,” said Mauli, who is the CEO and Director at Ecotrail Personal Care. “We will do this by adding exclusive stores as well as making Iba products available through the general distribution network.”
At present, the brand’s 80-plus prodCucts are sold through eight stores across Gujarat, Delhi, Aurangabad and Bengaluru. The products range from skin care and hair care to fragrances and colour cosmetics, which were launched in September 2014 through two stores in Ahmedabad.
Ahmedabad, a trading hub in the western state of Gujarat, is also where the two sisters are based. Grishma is Vice President of R&D and Director of the company as well as the drive behind new product development and launches. The company also focuses on e-commerce, selling through major portals such as Amazon and Flipkart as well as niche online marketplaces such as Nykaa.
“Since launch, we have doubled our sales every year and see a five-fold growth in sales this fiscal as we enter new sales channels and expand rapidly this year,” said Mauli. The brand also retails through general cosmetics and medical stores.
Funds for the retail and overseas expansion will come from a venture fund that is investing in Ecotrail. “That announcement will be made shortly. We plan to use these additional fund towards expanding our retail footprint and promotions to drive awareness of the halal concept.”
CREATING A MARKET
The two sisters conducted qualitative as well as quantitative surveys across various Indian cities and found that Muslim consumers, especially women, were unable to use cosmetics with ease.
“This was because of the ingredients used in making the products, such as pig fat in lipsticks, alcohol in perfumes, tallow in soaps and keratin in shampoos […] products like nail polishes, which are non-water permeable, are not preferred by Muslim women, as it would interfere with wuzu if applied,” Mauli added.
Realising the opportunity, Mauli and her sister got their products halal-certified. Although there is no report on the size of the halal cosmetics market in India, their analysis puts it at about 10–12 per cent of the total market.
Forming a company and becoming entrepreneurs has come easily to the sisters. “My family brought us up, both my sister and I, with the belief that we can do whatever we wish for and can achieve anything if we work hard for it,” Mauli said. “Moreover, we are surrounded by entrepreneurs both at home and elsewhere in Gujarat. Their journeys and achievements inspired me from early on to become one myself.”
Photo courtesy: Teli sisters.
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