Ayurvedic brand Guduchi Ayurveda aims for 3x growth, eyes wider reach

Founded in 2019 by Prashanth Vastred and his wife, Guduchi Ayurveda, a Rs 40-crore brand delivers lifestyle and wellness solutions products with over two lakh customers. With plans to aggressively market its products mainly health drinks through supermarkets and e-commerce platforms, it aspires to achieve a 3x business turnover in financial year 2024-25.

In an exclusive interview to Bizz Buzz, Prashanth Vastred, the Founder and Managing Director of Guduchi Ayurveda, said the ayurveda market is growing at a fast pace all over the world due to growing popularity on the efficacy of various products.

He said as per projections, the global ayurveda market is expected to reach a size of $16.2 billion by 2028, up from $7.23 billion in 2021.This will account for a significant CAGR of 12 per cent during 2022-2028. Vastred feels that the scope for developing various products to address lifestyle diseases through renewed focus on research and development is of paramount importance

How would you describe the current landscape of the ayurvedic market?

In the present scenario, numerous FMCG products are incorporating ayurvedic elements, spanning categories such as tea powder, dishwashing soap, toothpaste, skincare, and even sanitary pads. With ayurveda gaining prominence, it is also evolving into a preferred choice for addressing lifestyle disorders such as diabetes, thyroid issues, PCOS, and infertility. Several brands are actively aligning their efforts in this direction. The global ayurvedic market is anticipated to witness substantial growth, projecting a size of $16.2 billion by 2028, up from $7.23 billion in 2021, with a notable CAGR of 12.0 per cent during 2022-2028. This presents a strategic opportunity to engage in this thriving industry.

Notably, the World Health Organisation (WHO) has established the Global Centre for Traditional Medicine in India, in collaboration with the Ministry of AYUSH. An important motivation behind this initiative is the acknowledgement that 170 out of 194 WHO Member-States have reported using traditional medicine. The governments seek WHO support in establishing a robust body of evidence and data on traditional medicine practices and products.

With initiatives like these gaining momentum, the widespread adoption of ayurveda is poised to soar in the years ahead.

What inspired you to establish Guduchi Ayurveda?

My wife, Dr Yamuna BS, successfully operated an ayurveda clinic between 2014 and 2019. Witnessing the significant difference she brought to the lives of patients, as shown by the frequent displays of appreciation in the form of gifts, was undeniably inspiring. The cornerstone of her success was the proprietary formulations crafted in small batches, garnering immense appreciation from her patients. Her transformative approach involved treating individuals effectively, facilitating the cessation of medications even after two decades of use, and promoting a pill-free lifestyle. Witnessing such positive outcomes on a daily basis became a compelling motivation for me to become actively involved.

In 2019, we made the collective decision to launch Guduchi Ayurveda and embark on a mission to scale its impact.

Recognising the prevalent shift towards lifestyle disorders rather than infections in this decade, we saw ayurveda as the optimal solution. Ayurveda not only addresses disease treatment but also emphasises the preservation of good health, aligning perfectly with the evolving healthcare needs of the era.

How does the brand tailor its products and strategies to match the different preferences and cultural differences in the north and south markets?

We consistently adapt our products and strategies to align with diverse preferences and cultural nuances in both the northern and southern markets. An illustrative example is our health drink, KM20, which is presented in an appealing wine bottle format, strategically designed to resonate with the preferences of young Indian men. While maintaining the consistency of formulation and medicines across regions, we recognise the importance of addressing regional preferences comprehensively. As part of our approach, certain products are accompanied by specialised diet charts. These charts are meticulously curated, considering distinctions between the north and south, as well as dietary preferences encompassing both vegetarian and non-vegetarian options. This ensures our offerings cater to the specific needs of a diverse consumer base.

Can you share your insights on how the brand has positioned itself to meet the evolving needs of the market?

In addressing contemporary health concerns, we recognise the imperative for unique solutions that are linked to the evolving needs of the market. Consequently, our commitment involves the continual development of proprietary medicines specifically designed for various lifestyle disorders prevalent in this generation. To substantiate the effectiveness of our novel formulations, we rigorously conduct cell line studies, efficacy assessments, and, at times, comparative studies. These endeavours aim to establish the superior quality of Guduchi Ayurveda products in comparison to industry-standard alternatives. Conventionally, over-the-counter (OTC) products are deemed satisfactory if they yield results in 60 per cent of cases. However, our Guduchi Ayurveda OTC range has demonstrated a remarkable success rate of up to 95 per cent, underscoring our dedication to delivering unparalleled efficacy.

As the founder and managing director, how do you foster a collaborative and innovative culture within Guduchi Ayurveda?

My approach to cultivating a collaborative and innovative culture at Guduchi Ayurveda centers on embracing experimentation, and recognising its inherent connection to the innovation process.

In my experience, successful collaboration hinges on empowering individuals to take ownership. At Guduchi Ayurveda, every team member, regardless of their tenure or position, assumes ownership of a specific function or sub-function. This inclusive and accountable structure ensures that everyone has a meaningful contribution and a sense of ownership within the organisation.

What motivated you to venture into the health and wellness industry, particularly focusing on ayurvedic solutions?

My entry into the health and wellness industry, with a specific focus on ayurvedic solutions, was driven by a profound realisation sparked by conversations with my wife. As she shared insights into various health cases and highlighted the distinctive approach of ayurveda in addressing issues at their root cause, a conviction emerged within me. Observing conventional practices, where individuals were potentially misled or offered temporary solutions, I felt compelled to take action. For instance, when faced with coronary artery blockages, it seemed illogical to merely administer blood thinners; Ayurvedic medications offered a holistic approach to clearing such blockages.

Notably, the contrasting effects of antidepressant drugs in ayurveda, which promote confidence without inducing drowsiness or weight gain, stood out against modern pharmaceutical alternatives. Similarly, addressing weight management through ayurveda emphasised correcting metabolism rather than resorting to appetite suppressants for sustainable results. This inherent concern against the prevailing concept of lifelong medication fuelled my decision to venture into the health and wellness sector. I was motivated to contribute to a paradigm shift, where holistic well-being and addressing root causes take precedence over temporary fixes and prolonged medication.

How does Guduchi Ayurveda effectively balance its emphasis on a pill-free approach and traditional wisdom of over 5,000 years with modern approaches to address the diverse needs of its customers?

We strategically harmonise the venerable wisdom of ayurveda with modern methodologies to effectively address the diverse needs of our customers. Drawing inspiration we have innovatively transformed the Kushmanda Lehya, a 100 per cent vegetarian medicine traditionally used for weight gain and overcoming debility, into a convenient Jam consistency.

This adaptation allows individuals to effortlessly incorporate Ayurveda into their routine by consuming Kushmanda Jam alongside common food items like bread or chapati. Another noteworthy example involves a unique herbal powder combination designed to quench thirst and purify the blood. We have translated this formulation into a tea bag format, producing a visually striking red wine colour when immersed in hot water.

Throughout our offerings, we have consistently demonstrated a commitment to revitalising traditional medicines by reimagining their forms, packaging, and presentation. This approach ensures that the profound wisdom of ayurveda is delivered in a contemporary and accessible manner.

With a focus on traditional products and health consultancy, how does Guduchi Ayurveda differentiate itself from competitors in the market?

Our unique combination of traditional products and personalised health consultancy is what distinguishes us from the market. Our origin as a clinic underscores our innate commitment to healing which is reinforced by an in-house manufacturing plant that facilitates smooth research and development. In contrast to competitors who offer classical medicines at premium prices, we differentiate by offering meticulously curated proprietary formulations designed for precise efficacy. Our dedication to delivering results is evident in comprehensive efficacy studies and comparative analyses, demonstrating our products' effectiveness at 2X the rate of leading market alternatives.

Additionally, we challenge the conventional belief that individuals with conditions like diabetes or thyroid issues must be on lifelong medication. At Guduchi Ayurveda, we actively guide individuals towards discontinuing lifelong medication for various lifestyle disorders, embodying our commitment to holistic wellness.

Your international experience includes working in South Africa. How did this exposure contribute to the global recognition of the analytics tool named Monitor?

In 2006, while at Subex Ltd, I managed the processing of approximately 7 billion call records daily, addressing revenue leakage through extensive data analysis. Later, during my tenure at KPMG, I observed that most audit and advisory firms relied on sample data, recognising the potential impact of analyzing and auditing 100 per cent of customer data for diverse audit checkpoints.

Upon joining PwC in South Africa, I spearheaded the development of the Monitor data analytics tool and established a dedicated team. This innovative solution enabled comprehensive 100 per cent audits across various industries, gaining global recognition within the PwC network for its groundbreaking approach.

Could you share any upcoming plans for expanding Guduchi Ayurveda's reach, both geographically and in terms of product/service offerings?

In the upcoming fiscal year 2024-2025, our strategic initiatives at Guduchi Ayurveda involve expanding our digital presence to promote the comprehensive portfolio of lifestyle disorder products. Currently, these products are exclusively available through our offline distribution network. We will specifically focus on promoting products which address PCOD, hypothyroid, stress management, and health drinks, among others. Collaborating with various government agencies is another important aspect of our expansion plan. We are actively engaged in promoting the usage of ayurveda medicines for a wide array of health issues such as immunity, malnutrition, and postnatal care. This collaboration aims to augment the adoption of ayurveda in areas where conventional medicines have been traditionally predominant.

Our distribution strategy is evolving to reach a broader audience. Traditionally centered around ayurveda stores, our focus will now extend to mainstream channels. In the fiscal year 2024- 2025, our products, particularly health drinks, will be strategically placed in supermarkets and quick commerce platforms for enhanced accessibility. Lastly, we aspire to achieve a 3X business turnover in FY25.