Every startup starts with a simple dream to solve a problem or make something better. But as time goes on, the journey often takes a new shape. The original idea evolves, new opportunities come up, and sometimes, the real magic happens when the startup listens to its customers and finds what truly works. This is very common in the startup and business world, and honestly, it’s one of the most beautiful parts of the journey. What starts small often grows into something much bigger.
In this article, we’re going to talk about one such inspiring company. It began with a clear focus, but after receiving a great response from its users, it expanded its offerings and started transforming an entire space. And the most exciting part? It’s now backed by one of India’s biggest and most respected business houses, “Tata.” Any guesses which company we’re talking about? The company we’re talking about is 1mg.
It all began as a simple idea to help people understand their medicines better. Back then, it was called HealthKartPlus. It was a platform that gave clear, reliable info about medicines, their uses, side effects, and substitutes. In India most people don’t know anything about medicines and why they should take them or anything. And this is a real game changer. And it got a huge response from the customers. Not just that, they also compared the prices of medicines of the various alternatives that were prescribed.
So, now do you understand? Let’s say you went to a doctor for treatment regarding a particular disease; now he will prescribe some medicines. Now the same medicines will be available under different brands. So, when you compare the same medicines of different brands, whichever is lesser is what we prefer, right? That’s what they did by providing all the information. It got a tremendous response.
The founding team in an interview mentioned that they have received huge requests from the people about where they can get the medicines and asked them to help access the medicines through their platform. But the team didn’t stop there. They listened to users and saw a bigger opportunity: what if you could also order medicines, consult doctors, and book lab tests all in one place? That’s how 1mg evolved into a full-stack digital healthcare platform.
This was one of the biggest breakthroughs for the company. But the real growth came after the major deal with Tata. The deal that we are referring to took place in the year 2021. Tata Digital, which is owned by the Tata Sons, has acquired a majority stake in 1mg. This deal is a win-win for both parties. 1Mg got the funds, reputation, credibility, and access to major infrastructure with the backing of Tata.
Even Tata Digital is into quick commerce, e-commerce, and stores and is trying to grab major market shares in various segments. Now this is a perfect deal for them to tap into the healthcare segment. People feel confident when they see something like Tata because that’s the kind of reputation they have built in India and globally. That’s how Tata 1mg has turned into India’s go-to digital health platform.
Every business has its own set of advantages and limitations. The digital healthcare race in India is becoming very competitive. While 1mg has made strong moves with Tata’s backing, other big players are also scaling fast. Netmeds, now part of Reliance, is leveraging Jio’s massive reach and supply chain strength to offer fast deliveries and affordable medicines.
There is one more strong player in the industry, which is PharmEasy. It took an aggressive route, as it not only merged with Medlife but also acquired Thyrocare, one of India’s top diagnostics companies. Their aim is to control the entire healthcare journey, from prescriptions to doorstep delivery to lab tests. Then there’s Apollo 24|7, which brings in the clinical trust of Apollo Hospitals. Their focus is more on premium offerings, reliable care, access to top doctors, and complete digital health services, especially in metro cities.
Now we can see how big these players are, but there is one most important. They are minting crores but not making any profits. They make money mainly through margins on generic medicines, lab tests, doctor consultations, and subscription plans. This is a long-term race, and they are playing their own strategies to acquire market shares.
Now, let’s stick with Tata 1MG, and let’s dive deeper into their financials. As per Tata Sons’ FY25 Annual Report, Tata 1mg’s consolidated revenue jumped 22%, reaching ₹2,392 crore, up from ₹1,968 crore in FY24. This growth reflects the rising adoption of digital healthcare across India. The revenue came from two entities: Tata 1mg Technologies contributed ₹2,016.5 crore, while Tata 1mg Healthcare Solutions added ₹375.5 crore.
Also in 2015, 1mg acquired the Homeobuy company, which later rebranded to 1mg Ayush, which deals with homeopathic medicines. So, today the Tata 1mg platform deals with various services. They offer everything from allopathic, ayurvedic, and homeopathic medicines to health supplements, lab tests, and doctor consultations, all delivered to the doorstep.
So, that’s how Tata 1mg has evolved and is competing with the other big players in this evolving market. Tata 1mg’s journey shows us how a startup can grow by solving real problems, listening to its users, and staying open to change. As the digital healthcare space keeps growing in India, it will be exciting to see how these companies shape the future of health for millions.
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