Prashant Tandon stands as a beacon of innovation in India’s healthcare industry, serving as the CEO and co-founder of Tata 1mg, the country’s leading digital health platform. His mission to make healthcare accessible, understandable, and affordable has transformed how millions of Indians access medicines, diagnostics, and consultations. From his early days as an IIT-Delhi graduate to earning an MBA at Stanford, Tandon’s journey reflects a blend of technical expertise and entrepreneurial vision. His ventures, including HealthKart and 1mg, highlight his commitment to leveraging technology for societal good, making him a pivotal figure in India’s digital health ecosystem.
Entrepreneurial Beginnings
Prashant Tandon’s entrepreneurial journey began in 2009 when he returned to India from the United States with Sameer Maheshwari. Initially, they explored developing practice management software for doctors, which required building a database of Indian medicines. This process revealed significant inefficiencies in the healthcare market, such as a lack of transparency and accessibility in drug information. Recognizing an opportunity, Tandon co-founded HealthKart in 2011 under Bright Lifecare Pvt. Ltd. HealthKart quickly became a trusted e-commerce platform for health and fitness products, offering authentic supplements and wellness solutions.
In 2015, Tandon identified the need for a dedicated digital health platform. He spearheaded the separation of HealthKart’s generic drug search business, HealthKartPlus, and rebranded it as 1mg, operating under 1MG Technologies Pvt. Ltd. This strategic move allowed 1mg to focus on providing transparent, authentic, and accessible healthcare information and services, while HealthKart continued to focus on fitness and nutrition products under Maheshwari’s leadership.
Building 1mg
Since its inception in April 2015, 1mg has grown exponentially under Tandon’s guidance. Co-founded with Gaurav Agarwal and Vikas Chauhan, 1mg started as a platform to address issues like non-availability, high costs, and lack of drug information. It has since evolved into India’s largest online pharmacy and the nation’s biggest online database for medicines, with over 100,000 medicines listed. The platform now boasts over 7.1 million app downloads and 9.5 million monthly visitors, operating in 14 cities for pharmacy services and over 20 for diagnostics.
Prashant Tandon’s vision for 1mg is to be the trusted health partner for Indian consumers. The platform offers a range of services, including online pharmacy, diagnostics, and teleconsultations, all designed to empower users with informed choices and affordable options. Innovative features like the “Medicine Reminder” app and “Dr.” by 1mg for doctor appointments enhance patient engagement and adherence. The company also uses algorithmic doctor matching for e-consultations, ensuring personalized care.
A significant milestone in 1mg’s growth occurred in January 2013, when a viral WhatsApp message boosted app downloads from 60,000-70,000 to 330,000 in just two days, highlighting its widespread appeal. The 1mg iOS app was recognized by Apple as “Best Made In India” and “Best New App,” underscoring its quality and user-centric design. Additionally, 1mg has expanded into homeopathic medicines and enhanced price comparison features to cater to diverse consumer needs.
Tata Digital Acquisition
In June 2021, Tata Digital Ltd., a subsidiary of the Tata Group, acquired a 55% stake in 1mg, valuing the company at approximately $450 million (Tata Digital Acquires 1mg). This acquisition, part of Tata’s strategy to build a digital ecosystem, included primary and secondary investments, with existing investors like Sequoia Capital and Omidyar Network exiting fully and others like HBM Healthcare Investments making partial exits. The deal positioned Tata 1mg in direct competition with Reliance-owned Netmeds, reinforcing its leadership in the e-pharmacy space.
The partnership with Tata has provided 1mg with enhanced resources and credibility, enabling it to scale operations and expand its reach. With a supply chain covering over 20,000 pin codes and three state-of-the-art diagnostics labs, 1mg continues to innovate under Tandon’s leadership, aligning with Tata’s vision of a unified digital consumer ecosystem.
Industry Leadership and Advocacy
Beyond his role at 1mg, Tandon is a prominent thought leader in India’s digital health sector. He chairs the HealthTech Committee at the Internet and Mobile Association of India (IAMAI) and the FICCI ePharmacy Working Group, advocating for policies that support digital health innovation. As the first President of Digital Health Platforms (DHP), an association of India’s top e-health companies, Tandon plays a pivotal role in shaping the industry’s future.
His leadership emphasizes transparency, compliance, and customer trust. 1mg ensures all medicines are sold with tax-paid bills through registered pharmacists, with 100% order tracking and no self-medication or medicine abuse. Tandon’s commitment to regulatory compliance and consumer empowerment has made 1mg a trusted name in healthcare.
Challenges and Market Context
The Indian healthcare market, valued at $25-30 billion for pharmacy and diagnostics, is highly fragmented, with 800,000 pharmacies and 100,000 diagnostic labs. Tandon has navigated challenges like regulatory complexities and marketing restrictions, such as the inability to use Google or Facebook ads for pharmaceuticals. 1mg’s consumer base primarily includes patients with chronic ailments like diabetes and hypertension, as well as younger users purchasing for their parents, reflecting its broad appeal.
Future Vision
Prashant Tandon envisions 1mg as the primary health app on every Indian smartphone. The company is working on multi-language support to reach diverse audiences and has partnered with government programs to connect 170,000 villages via broadband for healthcare services. These initiatives aim to bridge the healthcare gap in underserved regions, aligning with Tandon’s mission to make healthcare accessible to all.
Prashant Tandon’s journey from founding HealthKart to leading Tata 1mg exemplifies the power of entrepreneurship in revolutionizing healthcare. His dedication to transparency, accessibility, and affordability has made 1mg a trusted platform for millions of Indians. With the backing of the Tata Group, Tandon continues to drive innovation, positioning 1mg as a leader in India’s digital health ecosystem. His vision of a healthier, more informed India remains at the heart of 1mg’s mission, inspiring a new era of healthcare accessibility.
