Aqualab has crossed Rs 100 crore in just three years, what have been the key drivers behind this growth, and how does the brand plan to achieve the Rs 250 crore target by FY25–26?
Aqualab’s journey to Rs 100 crore within three years reflects the strength of a simple yet powerful principle, accessibility through proximity. Our growth has been anchored in three areas: a high-velocity retail network that prioritises last-mile availability, a well-diversified therapeutic portfolio spanning acute and chronic segments, and a strong focus on brand trust built through consistent product quality. We see Rs 250 crore not merely as a sales target but as a validation of our scalable model. The next phase of growth will be driven by deeper penetration into Tier II and III markets, category expansion in lifestyle and chronic care, and technological investments that bring agility to inventory management and retailer engagement.
What inspired Laborate to create a dedicated Direct-to-Retail division, and how does this model differ from traditional distributor-led pharma sales in India?
The Direct-to-Retail (D2R) model emerged from a simple observation, traditional multi-layered distribution systems often dilute efficiency and delay patient access. By creating a dedicated retail-first division, we bridged that gap. Aqualab enables direct partnerships with pharmacies and medical stores, ensuring consistent product availability, transparent pricing, and better margins for retailers. Unlike the conventional distributor-led structure, our D2R model facilitates realtime demand feedback, quicker product rotation, and more personal engagement with retail partners helping us respond faster to changing market needs.
How have non-metro and Tier II–III markets shaped Aqualab’s growth story so far? What unique trends or consumer behaviours are emerging from these regions?
Non-metro India has been the real engine of our success. Pharmacies in Tier II and III cities are no longer peripheral; they are now the primary growth centres for affordable and reliable healthcare solutions. We have observed strong demand in therapeutic categories like pain management, antibiotics, and chronic lifestyle diseases. Retailers in these regions value trust, supply consistency, and relationship-driven service. Our on-ground engagement teams and credit-support mechanisms have helped us build long-term partnerships in these markets.
Can you share how the retail-first model impacts accessibility and affordability for patients, especially in chronic and lifestyle medicine categories?
By removing distribution layers, we’ve reduced both cost and time inefficiencies. The savings achieved through this model are passed on to the consumer in the form of more competitive pricing while ensuring constant availability even in remote markets. In chronic therapy segments such as diabetes and hypertension, where uninterrupted access to medication is critical, our retail-first model ensures that pharmacies never face stockouts, improving adherence and outcomes for patients.
What operational or technological innovations have been instrumental in making this D2R model sustainable and scalable for Laborate?
Aqualab operates on a digitally enabled retail management backbone. We have invested in real-time demand forecasting tools, digital order management systems, and retailer engagement platforms that simplify reordering and communication. We also use regionspecific data analytics to optimise supply chain routes, track sales velocity, and ensure efficient stock replenishment. These innovations have allowed us to scale while maintaining operational precision.
How do you see the Direct-to-Retail approach influencing India’s broader pharmaceutical supply chain in the next few years?
India’s pharma supply chain is entering a period of transformation, fuelled by digitisation and regulatory streamlining. The D2R model will play a significant role in this shift by reducing intermediaries, enhancing transparency, and enabling faster access to medicines. As more companies adopt hybrid approaches, blending digital ordering, retailer networks, and data-driven forecasting, we will see a more efficient, patient-centric supply chain ecosystem emerge. Globally, several healthcare brands are experimenting with direct distribution and patient engagement models.
How does Aqualab’s strategy compare with international benchmarks?
Globally, brands like Walgreens Boots Alliance in the UK and CVS Health in the US have integrated direct brand-to-shelf strategies to enhance patient engagement. Aqualab’s model reflects similar agility, but with a uniquely Indian adaptation, high-touch relationships, flexible payment models, and cost efficiency suited to regional market realities. We are creating an ecosystem that balances the scalability of global systems with the relational depth that drives trust in Indian markets.
What role does quality assurance and brand trust play in the success of a direct model, where consumers often engage more closely with the manufacturer’s name than with intermediaries?
Trust is non-negotiable. At Laborate, every product under Aqualab adheres to the same rigorous quality standards as our international formulations, backed by EU-GMP, WHOGMP, and ISO certifications. When consumers and retailers directly associate with the manufacturer, quality becomes the true differentiator. Our emphasis on transparency, packaging integrity, and consistent supply has helped Aqualab become a name retailers recommend with confidence. What are some of the key challenges Laborate has faced while scaling the retail-first model, and how have you addressed them? Building a D2R model required rethinking everything from logistics and credit cycles to on-ground team training. The initial challenge was educating retailers about the long-term benefits of direct engagement versus conventional distributor systems. We addressed this through dedicated relationship management, faster credit settlements, and reliable after-sales support creating a system where trust could grow organically.
Looking ahead, do you believe Direct-to-Retail could become a mainstream model for Indian pharma? What would need to change policy-wise, technologically, or culturally for that to happen?
Yes, Direct-to-Retail will increasingly complement traditional pharma distribution. For it to become mainstream, three enablers are crucial digital adoption across the retail chain, regulatory support for transparent pricing, and stronger logistics infrastructure for last-mile delivery. India’s healthcare landscape is evolving rapidly, and the D2R model aligns perfectly with the country’s vision for accessibility, affordability, and self-reliant growth. At Laborate, we see this as not just a business model but a step towards democratising healthcare access one retail partnership at a time.
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