ⓘ Featured image: Arjun Deshpande (L), founder of Generic Aadhaar with Ratan Tata; Credits: Generic Aadhaar Facebook page
The renowned business magnate of India, Ratan Tata has reportedly invested an undisclosed amount in his personal capacity as an angel investor in the pharmaceutical startup from Thane, Maharashtra, India, Generic Aadhaar, that was was launched in 2018 by Arjun Deshpande.
Arjun, who assumes the role of the CEO at Generic Aadhaar, was 16 when he started the venture back in 2018. The company as a pharmacy aggregator aims to bring medicines affordably to the Indian masses by sourcing drugs directly from the manufacturer to retailers whilst eliminating middlemen.
The company has a collaboration with four WHO-GMP certified manufacturers in Palghar, Ahmedabad, Pondicherry and Nagpur. Generic Aadhaar has ties with over 30 retailers from Mumbai, Pune, Bangalore and Odisha following a profit-sharing model.
Commenting on the funding round, Generic Aadhaar in a statement said,
“These medicines are sourced from WHO-GMP certified manufacturers to reduce the cost and make it pocket friendly for the consumers and the medical stores are able to increase their margins by using the Generic Aadhaar branding,”
The company runs over 55 employees, which include pharmacists, IT engineers and marketing professionals.
Talking about the model of the company, the statement further added,
“It is a B2B2C model that aims at providing Indians with affordable medication by supporting single medical stores across the nation which otherwise face competition from big brands and online pharmacies,”
The company at present has 35 franchisees across Mumbai and with its first funding threshold, the company aims to expand its footprint across the metros in India.
On similar lines, Deshpande in the press statement said,
“With Generic Aadhaar, we are all set to bring a new revolution in the pharmaceutical industry. Our unique business model gives us an edge over any other players in the market currently as we aim to bring affordable healthcare to millions of households. Our mission is to provide senior citizens and pension holders the care they deserve with our idea of delivering inexpensive medicines which are required on a daily basis,”
Generic Aadhaar – Core Cognition
The absolute base of the company is to make medicines available affordably for people across India. According to a survey, about 60 percent of Indians cannot afford proper medication due to their high market price and hence fall behind in delivering basic healthcare needs to people. Deshpande said the idea of Generic Aadhaar came to him after he travelled abroad with his mother, who is in the pharma trade. He realized that the medicines being sold internationally are manufactured in India and sold at a considerably lower price as compared to India.
“I was fascinated to know that these medicines were sold by their generic name and without branding, thereby, reducing cost by a significant percentage making it affordable,” said Deshpande.
After experiencing this, Deshpande decided to weave a startup idea that would befit small pharmacies and the public in India.
Deshpande was also shortlisted for the Thiel Fellowship in the Silicon Valley, a two-year programme for young people who want to build new businesses.