Nutrition-led snack brand Phab plans channel growth, eyes 10k storefronts, Rs 100 crore by FY27

Phab is now prepping for a wave of exciting product rollouts, one-of-a-kind exclusive store concepts, and channel diversification

Bengaluru: The guilt-free food wave is in full force, with people ditching old fast-food habits in favour of snacks that carry a health tag.

This shift began during the pandemic-era introspection, and myriad ‘better-for-you’ food and beverage brands have been sprouting ever since. Anticipating this trend in advance, the nutrition-led D2C snacking brand Phab (‘p’ for protein) was conceptualised in early 2020.

Founded by nutritionist and health coach Gayatri Chona, along with her husband Ankit Chona—who is behind the Ahmedabad-based ice cream and quick-service restaurant (QSR) chain HOCCO (House of Chonas Collaborative)—Phab began its journey by offering protein bars.

Today, the self-funded company offers around 40 stock-keeping units (SKUs) across categories and sells them through over 3,000 retail touchpoints, as well as various e-commerce and quick-commerce platforms.

The brand is now prepping for a wave of exciting product rollouts, one-of-a-kind exclusive store concepts, and channel diversification as it looks to scale up its presence.

In an exclusive conversation with IndiaRetailing, Gayatri Chona, Co-Founder of Phab, dives deep into Phab’s evolving game plan, discussing everything from business model and expansion goals to challenges in the sector and what’s next on the horizon.

Edited excerpts…

How did the idea for Phab come about?

Phab was officially launched in 2022, but the idea took root back in 2020 when Ankit and I began exploring the health food space. The vision behind the brand was to address two key gaps in the Indian market. First, India is a snack-loving country, but most of the options available were high in carbs and not particularly healthy. Second, India is also known to be a protein-deficient country.

The goal was to make protein consumption more approachable—light, enjoyable, and not overly serious. Recognising a market opportunity and the potential for early-mover advantage, the team moved forward with the launch of Phab.We have been entirely family-funded to date, with no external capital raised so far. 

How is Phab different from its competitors in the healthy snacking space?

What sets our brand apart is that it’s nutritionist-led. I’ve studied and practiced nutrition for over 15 years, and through countless conversations, I have gained deep insights into their eating and snacking habits. These insights directly inform our product development and brand philosophy.

Another differentiator is our strong FMCG background, thanks to our family’s experience with Hocco. We have also leveraged our family’s retail expertise to build an offline-first strategy—unlike many new-age brands that begin with a D2C or e-commerce focus. While we have recently developed our e-commerce platform, our initial growth has been driven by a strong offline presence.

What are your active sales channels at the moment?

In both general trade and modern trade, we have a strong presence across key markets, particularly in wellness and pharmaceutical-led retail spaces. Currently, our products are available across Maharashtra, parts of North India including Delhi-NCR and Punjab, and we have recently expanded into five states in South India. 

Our products are available at leading outlets such as Noble Plus Wellness, Nature’s Basket, Reliance Fresh, Freshpik, Signature, Lulu, and Spar, with a presence across approximately 3,000 retail touchpoints.

We are also on e-commerce and quick-commerce marketplaces such as Amazon, Flipkart, JioMart, BigBasket, Zepto, BlinkIt, and Instamart.

Which sales channels are seeing the most traction?

Q-commerce is our fastest-growing channel with Zepto alone showing over Rs 2 crore in monthly sales—and these numbers continue to rise. 

What are your plans for channel expansion in the future?

For now, our focus remains on offline retail, which is a different challenge altogether—it demands significant on-ground manpower, robust systems, and strong processes. Unlike D2C, where ROI is more immediate and measurable, offline retail takes longer to show returns, but we see it as a strategic long-term investment. The plan is to expand to 10,000 retail stores this year. 

Our expansion plans target tier-1 and select tier-2 cities, recognising that these markets are rapidly growing and highly aware, with widespread smartphone usage and access to quick commerce and e-commerce here.

While we haven’t fully explored e-commerce yet, it’s something we are considering for the future. 

Can you share the present ratio of offline to online sales?

Until about a year ago, our sales were heavily skewed toward offline channels, with an 80:20 split. Currently, online sales have overtaken offline, and the split now stands at approximately 55:45 in favor of e-commerce. With the recent launch on Q-commerce, we anticipate this will soon balance out to a near 50:50 distribution.

Are exclusive outlets on the cards?

Yes. We are currently developing an exclusive retail concept that goes beyond the traditional shop-in-shop or kiosk model, with plans to launch it by the end of this year. 

The objective is to create an experiential space that showcases the lifestyle aspect of our brand. The concept is envisioned as an interactive, café-style environment where food and lifestyle intersect. Customers will be encouraged to engage in DIY experiences, using our products to create their own healthy snacks. While the idea is still in development, we are excited about its potential to offer a fresh and engaging retail experience.

Which age demographic do you focus on the most?

Currently, our primary target audience is individuals between the ages of 20 and 35, as this demographic is the largest volume of potential consumers for our offerings. We have crossed over one lakh products sold online in the last 6 months. 

How many product categories are you currently retailing?

Currently, Phab offers approximately 40 SKUs across various categories including wafers, millet crisps, protein bars, energy bars, granola bars, milkshakes, cereal, and protein powder. 

We are actively expanding our portfolio in the next quarter and plan to launch several new products in the snack space, targeting segments with larger total addressable markets (TAM). Although India is a high-volume market, the health food segment remains relatively small compared to other countries.

Which regions are showing the highest demand?

Maharashtra remains one of our strongest markets, followed by the North, particularly beyond Delhi-NCR, with growing interest from regions like Jammu, Srinagar, and Himachal Pradesh. The South continues to be a highly promising market for us, thanks to its well-informed and health-conscious consumer base.

Are you encountering any challenges in the sector?

One of the main challenges in the health food space is managing consumer education, which goes beyond simply placing a product on the shelf. While COVID-19 helped bring healthy eating into the spotlight, the market remains highly price-sensitive—particularly in offline channels. Healthy products naturally come at a higher cost due to raw material pricing, so striking a balance between affordability and maintaining clean, compliant back-of-pack labels is critical.

Shelf life in offline channels is another concern. From production to store placement can take up to six weeks, and most retail partners require at least 60–70% shelf life remaining. If products aren’t stocked on time, it results in returns, expiries, and potential revenue loss. 

Has the brand expanded to any global regions yet?

We currently have a limited presence in parts of the UAE through a small pilot batch. However, we were not fully satisfied with the distribution partners, particularly due to the time lag between dispatch from our factory and final delivery. 

While we have received export interest, especially from the UAE, Saudi Arabia, and parts of Africa—our primary focus remains on scaling within India, where the growth trajectory has been very reassuring. Once our team and operations are more stabilised, we will consider expanding exports more actively, but it is not an immediate priority.

Can you share your marketing spend strategy?

The spending varies across platforms. To give a ballpark figure, our overall marketing spend is roughly 20–25% of sales. Offline spends are more focused on events and brand building, while online spends are typically performance-driven and more targeted. 

We have already begun influencer and UGC initiatives on a smaller scale, but we are now looking to scale these efforts more sustainably. With our upcoming launch, we are also considering collaborating with a more recognisable face, though we haven’t yet decided on appointing a brand ambassador. 

Where does the brand stand financially today?

We are currently trending toward an annual revenue run rate (ARR) of Rs 50–60 crore and are on track to achieve that milestone shortly. Our goal is to reach Rs 100 crore in revenue by the end of FY27.

In the past two months alone, our website sales have grown 3-fold. With digital becoming our strongest channel, we expect this momentum to continue and anticipate doubling our total sales in the next year. 

What’s next in the healthy snack segment?

While protein bars and sweet variants have dominated so far, we are now seeing growing interest in options like protein chips and savoury formats.

Also, the healthy beverage segment remains largely underexplored. Beyond standard offerings like diet sodas or basic electrolyte powders, there is ample scope to innovate with cleaner, low-sugar electrolyte and functional drinks.