3 weeks ago
Digital-first brands become growth engines for India's FMCG majors
You know how some companies make everyday things like soap, shampoo and snacks?
The biggest companies in India that make these products are buying smaller brands that mostly sell online.
These smaller brands sell fancy beauty products, healthy foods and vitamins.
Together, these bought brands now earn more than Rs 4,500 crore in just one year!
One company, Marico, has online brands like Beardo and Plix that earn Rs 1,500 crore a year.
Another big company, Hindustan Unilever, has brands like Minimalist and OZiva earning about Rs 1,400 crore a year.
Big companies are buying small brands because people love buying these premium products online.
It is like a big store buying all the cool little shops in town because they are growing so fast.
This way, the big companies grow too and can offer new, exciting products to everyone.
Acquired digital-first brands at India's biggest FMCG companies crossed Rs 4,500 crore in combined annual revenue in FY26, growing at over 20% annually.
Marico leads with its digital stable — Beardo, Plix, True Elements, Just Herbs, Cosmix and 4700BC — hitting Rs 1,500 crore in annual revenue run rate, over 11% of consolidated revenue.
Hindustan Unilever's premium digital beauty portfolio (Minimalist, OZiva, Simple, Nexxus) reached an ARR of about Rs 1,400 crore, backed by over Rs 3,500 crore in FY26 acquisitions.
ITC's future-ready brands, including Yoga Bar and Mother Sparsh, exceeded Rs 1,350 crore, while Emami's digital portfolio contributes around 6% of revenue and targets 25% by FY30.
Analysts say FMCG majors have shifted from buying unprofitable D2C startups to acquiring profitable premium brands that can scale quickly through existing distribution networks.
- Who
- India's largest FMCG companies — Marico, Hindustan Unilever, ITC, Emami and Godrej Consumer Products — and the digital-first brands they acquired.
- What
- Digital-first brand portfolios acquired by FMCG majors crossed Rs 4,500 crore in combined annual revenue in FY26, growing at over 20% and becoming key growth engines.
- Where
- India.
- When
- Fiscal year 2026 (FY26).
- Why
- Premium beauty, wellness and functional food categories are growing faster than mass FMCG, and incumbents are acquiring profitable digital-first brands to enter these segments and scale them via existing distribution networks.
Key facts
- Combined revenue of digital-first brands (FY26)
- Rs 4,500+ crore
- Annual growth rate
- Over 20%
- Marico digital ARR
- Rs 1,500 crore (over 11% of revenue)
- HUL digital beauty ARR
- Around Rs 1,400 crore
- ITC future-ready brands revenue
- Over Rs 1,350 crore
- Emami digital share
- About 6% of revenue (Rs 226 crore); target 25% by FY30
- HUL FY26 acquisition spend
- Over Rs 3,500 crore
- GCPL Muuchstac revenue
- Rs 80-90 crore annually
Quotes
Harsha V. Agarwal
Vice Chairman and Managing Director, Emami
““We have the foundations of two strong digital platforms. One in beauty and personal care and another in foods. Both platforms offer significant growth opportunities,””
financialexpress.com
““Our consistent profitability, cash generation and debt‑free balance sheet give us the flexibility to pursue promising new‑age consumer businesses,””
financialexpress.com
Sources
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