Distribution plays a huge role in the supply chain of organic products across India and abroad to meet the demands of the end-users. This makes the distributorship of these products a lucrative business opportunity. Read on...
There is a wave of the usage of organic products that spread across the world lately. The early 2000s is the era when the awareness towards the health had grew strong due to the increased adulteration in the consumer products about which both the manufacturers and consumers were intolerant. A great push has also been provided by the environmental conservation that agitated the entire world. The demand for organic products has largely shifted the paradigm of the consumer good market to a large extent.
The rising demand is creating opportunities for entrepreneurs in different sectors as organic product categories are varied. Distribution plays a huge role in the supply chain of organic products across India and abroad to meet the demands of the end-users. This makes the distributorship of these products a lucrative business opportunity.
Here are top 3 organic product distributorship ideas you can explore.
Organic Beauty products Distributorship
The most demanded segment in the organic industry – organic personal care products or organic beauty products are taking the organic industry to another level. As per recent reports, the Indian organic skincare products market is valued at $125 million and is growing at a CAGR of 25%. Therefore, the aspiring distributors can try their luck on this segment. Here are the typical distributorship requirements for such aspirants.
Investment: Rs 1-2 lakhs
Space Requirement: 300 sq ft
Return on Investment: 40%
Organic Food Distributorship
Organic food is one of the biggest segment for which the demand is exceedingly high. Many FMCG brands that deal with the food and beverage products are actively using organic products, and are seeking a fair distribution among the end-users. Here are a few distributorship facts about the segment.
Investment: Rs2-5 lakhs
Space Requirement: 1000 sq ft
Return on Investment: 10%
Distributorship Level: City Level
Organic Clothing Distributorship
Organic clothing is yet another arena which is gaining a lot of popularity among millennials, seeing the environmental conservation drive. As the whole clothing industry works on distributorship, organic clothing distribution is a whole new niche to be explored by the aspirants.
Investment: Rs 2-5 lakhs
Space Requirement: 200 sq ft
Return on Investment: 30-35%
Distributorship Level: City Level
Business prospects in Organic Product Distributorship
The organic products industry markets a wide variety of products to cater to different types of consumer groups. The organic product industry is classified into three main categories – organic food products, organic clothing products, and organic personal care products. With a wider range of products and brands, the ways of distribution also vary, creating more distributorship opportunities in the industry. The health and wellness industry, especially, is a vast prospect where owning a distributorship of organic products is a small yet promising section.
As urban public are becoming more and more aware about their wellness, they are demanding organic products in whichever way possible. This is one of the biggest reasons why the industry is going through a success path. With franchises of organic products brands are opening here and there more often, it has become easier to get a franchise, and hence distributorship opportunities increase further.
The section of organic products is a big sector which includes health supplements, beauty products, daily kitchen necessities, and anything related to food. Starting a franchise is very easy as brands reach out to the enthusiasts with their full support and resources.