EcoSoul Home Inc., a start-up in the eco-friendly home essentials products space, has raised $10 million in Series A round. The round was led by Accel and saw the participation of Singh Capital Partners.
A recent study by NielsenIQ found that 78 percent of US consumers say that a sustainable lifestyle is important to them. Products with environmental, social, and governance (ESG) related credentials. However, affordability is important to consumers as they adopt ESG products.
EcoSoul has fundamentally disrupted the home-essentials market by bringing eco-friendly alternatives within the 25 per cent price range of traditional mainstream plastic or paper goods. In contrast, early eco-friendly home essentials competitor brands priced their products at 1.8x to 2.5x of mainstream plastic or paper-goods brands, the company explained.
“We are grateful to our customers, investors, partners, and associates for helping us in driving our mission of accelerating the world’s transition to a sustainable lifestyle by creating plastic-free and tree-free products from earth’s most renewable resources. Our differentiated products and supply chain innovation enables us to bring eco-friendly home essentials to price points comparable to traditional plastic and tree-based paper goods. In short, we are democratising the eco-friendly home essentials market. We are excited to see the strong adoption of our products in the US market,” said Rahul Singh and Arvind Ganesan, co-founders of EcoSoul.
“There is a global macro-tailwind of shifting away from the use of single-use plastic with increasing regulatory pressure. This coupled with rising consumer sentiments towards sustainable everyday essentials, especially in western markets is driving growth. EcoSoul is taking advantage of this demand and leveraging the Asian supply chain to offer eco-friendly products at affordable price points,” observed Prashanth Prakash, partner at Accel.
By 2030, the global eco-friendly & sustainable home goods market is expected to reach over $300 billion. In the US, even though sustainability-marketed products are 16.1 per cent of the market, they delivered 54.7 per cent of the CPG market growth. Sustainability-marketed products grew at a rate of 7.1 times that of conventionally marketed products and 3.8 times that of the CPG market.
EcoSoul has recently launched several products in India and has expansion plans for the Canada, UK, Germany and UAE markets in the categories of Kitchen and Dining, Bath, Home Care and Baby and Feminine Care.
