That’s a 17.6 percent increase from the previous year, and overtakes the United States, which has been Herbalife’s largest market since its launch in 1980. (File Photo | AP)
MUMBAI: US health and wellness company and direct seller Herbalife Nutrition said that among the 94 countries in which its Los Angeles-based parent company operates, India has become the company’s largest revenue contributor by 2023, contributing $796.6 million out of a total global revenue of $5 billion, up 17.6 per cent from the previous year, overtaking the US, which had been its largest market since its inception in 1980.
Bengaluru-based Herbalife India, which has a global research and development centre and a food and Ayurvedic research lab, also announced its foray into Ayurveda-based skin care products with its Vritilife outer nutrition range. The company had entered the Ayurveda segment in 2020 with a focus on inner nutrition.
Ajay Khanna, managing director, Herbalife India, said the newly launched skin care products include cleansers, toners, serums and moisturizers that are positioned as a premium line.
He expects Ayurvedic products to account for 5 percent of sales over the next five years.
“From a revenue perspective, we are the largest in the group, ahead of China. In fact, we will overtake China in 2023 with revenues up 17.6% to $796.6 million for the year ending December 2023. In absolute terms, revenues have increased by $119.5 million over December 2022,” Khana told TNIE, without disclosing margins or net profit.
He also said he expects India sales to rise to $203.5 million in the three months ending March 2024, up $24.9 million, or 13.9%, from the same period last year, with sales rising about 14% for the full year.
By comparison, the company’s global sales for the year to December 2023 were $5.06 billion, he said, adding that Asia Pacific remained the company’s strongest region with sales of $1.72 billion, with growth being mainly driven by India.
“Our expanding product portfolio, brand promotion and our extensive network of over one million distributors drove the sales growth. Weight management and Energy & Fitness categories continue to perform well. The product portfolio comprises 48 products across fitness & performance, everyday nutrition and overall wellness,” he added.
“In 2022, India will overtake China to become Herbalife’s second-largest market globally. But India is growing faster than China, Mexico and the U.S., and we think India is poised to become the largest market in the world right now,” the company’s global CEO John Agunobi predicted in March 2022.
Herbalife India, which has been operating in India for more than 20 years, has no plans to take its Ayurvedic products to the global market.
The domestic beauty products market is evolving rapidly, with Ayurveda witnessing significant growth. A recent Verified Market Research study valued the Ayurvedic beauty market at $8-9 billion.
