Brands Modernizing Motherhood

7 min readMay 19, 2021

With last week being Women’s Health Week and Mother’s Day not too long ago, I thought it would be timely to dig into the topic of motherhood, a critical component to women’s health and an area that greatly impacts many aspects of our society and economy. It also happens to be a unique time to invest in the space. The parenting market is estimated to be over $46 BN and the total addressable market for global baby care products is estimated to be $109 BN by 2026.[i],[ii] However, there has been a historical lack of funding. Only 3% of digital health investments have gone to women’s health since 2011.[iii] Despite the fact that women make 80% of the healthcare decisions in the U.S. and spend 29% more per capita on health care compared to men. Women are vastly underserved as customers and this is particularly the case in complex areas like fertility and pregnancy.[iv] The technology, products, and services that serve consumers today are out of date and notably lack the science, convenience, accessibility and brand experience modern women experience in other categories. In addition, the social landscape has changed over the last decade and women and families are facing new challenges than prior generations. These dynamics are creating a large white space for emerging brands to disrupt, innovate, and defeat outdated incumbents and an exciting area to allocate capital.

Key Macro Trends

This is also a timely topic given the research and emerging conversation about the impact of the pandemic and the racial justice movement. Over the last year, the pandemic has exacerbated consumer challenges and prior social macro trends.

1. Declining birth rate

Despite early predictions that COVID-19 would spur a baby boom, the opposite happened.[v] Last year women in the U.S. had about 3.6 MM babies, which was the lowest in more than four decades, according to federal figures.[vi] The total fertility rate, the average number of babies a woman has over her lifetime, fell to 1.64, the lowest on record since the government began tracking the metric in the 1930s.[vii] The decrease ties to previous research and trends that indicates women typically have fewer babies when the economy weakens. In addition, health fears during the pandemic also dissuaded some women from pregnancy. The trend could continue, as the pandemic altered many wedding plans. According to a recent Modern Fertility report, 93% of people changed their wedding plans due to COVID-19 and 31% reported that the pandemic forced them to delay having kids.[viii]

2. Millennials waiting later to have kids

Millennials, born between 1981 and 1996, now account for the majority of women having children and this generation has fueled the downward trend in birth rates. For the first time ever, American women in their early 30s are having more babies than those in their 20s.[ix] At large, this demographic is having fewer children later, as many women in this cohort are getting higher levels of education, marrying later in life, and delaying children due to their careers.[x] They are also less financially secure than previous generations.[xi]

3. Women leaving the workforce

The pandemic has also put an inordinate amount of stress on working women, causing nearly 3 MM US women to drop out of the labor force over the past year.[xii] In January, women’s participation in the labor force hit a 33-year low.[xiii] And when broken down by race, women of color were impacted the most.

4. Inequality

This inequality also permeates into other realms of women’s health. Black women in America have more than a three times higher risk of death related to pregnancy and childbirth than their white peers. For women over 30, the risk is as much as five times higher.[xiv] They are also less likely to receive adequate pain management during birth, less likely to receive fertility treatment, or be treated for postpartum depression.[xv]

Key Companies to Watch

Perelel Health

The correct supplementation and nutrients are critical throughout human health but especially during conception and throughout the various stages of pregnancy. In fact, 1 out of every 33 babies in the U.S. are born with a birth defect and many of which are nutrition-related and entirely preventable.[xvi] Research strongly supports that sufficient supplementation throughout pregnancy is critical, specifically through the intake of key nutrients like folic acid. However, according to the CDC, only 2 out of every 5 women of childbearing age take folic acid every day and on top of this about 40–60% of women have a common genetic mutation, the MTHFR variant, which prevents them from converting folic acid into folate, the usable format.[xvii] On top of this, there is essentially no regulation in the prenatal industry, no specifications around the ingredients, and perhaps worst of all, little information as to what even should be in there. Women are left with limited credible information and products with poor quality ingredients and a one-size-fits all approach to nutrition.

Perelel Health is on a mission to change this reality for women. Pregnancy is complex, your prenatal should be, too. The company makes targeted supplements for each trimester of pregnancy and beyond. Perelel was founded by Victoria Thain Gioia, Alex Taylor, and Dr. Banafsheh Bayati (OBGYN) in 2019 and they launched their bespoke approach last fall, which was designed in partnership with an exclusive team of world-class doctors and experts. Supplements are clean and free from gluten, soy, dairy, artificial colors, and additives. In addition, since timing and dosage is critical, the Perelel algorithm will automatically update for monthly delivery to ensure women are receiving the right supplement pack for where they are in their motherhood journey.

Modern Fertility

Millennials now account for the majority of women having children and this demographic is having fewer children later.[xviii] Waiting to have children has created other challenges like fertility. Age is the most important factor in fertility and women are faced with the biological factor that their ovarian reserves deplete over time. Today, 1 in 8 couples have trouble getting pregnant or sustaining a pregnancy.[xix]

Companies, like Modern Fertility, are directly addressing fertility questions and helping women navigate a complex and often expensive health journey. They are closing the fertility information gap by letting women test key fertility hormones at home. Whether you are years away from kids or thinking of trying soon, Modern Fertility will guide you through your fertility hormones now, so you have options later. Not to mention proactive fertility hormone tests are not covered by federal insurance. If you are patient and want to get this information to plan ahead, it is not covered by insurance and these tests can run north of $1,000. Modern Fertility offers this testing for $159.

Maven

Maven Clinic is a virtual clinic dedicated for women and family health. Founded in 2014 by Katherine Ryder, Maven operates an on-demand digital care clinic that assists mothers and families during conception, throughout pregnancy, and postpartum. It offers video appointments and private messaging with its practitioner network, as well as a family benefits platform.

Willow

Willow is a female technology company that develops an in-bra wearable breast pump. Their breast pumps are cordless and spill-proof and also tracks milk output through a mobile application along with an online portal, enabling mothers to pump anywhere without hassle.

Stix

Stix, co-founded by Cynthia Plotch and Jamie Norwood, makes doctor-approved pregnancy, ovulation, and UTI products that are discreetly delivered. The brand launched in 2019 with the D2C pregnancy test in an effort to eliminate the friction and judgement for consumers with the retail purchase. They also modernize the product for consumers.

Cleo

Cleo is a benefits platform that provides personalized guidance for working families. The platform helps families navigate their journey from fertility, to pregnancy, to parenting of newborns, infants, toddlers, and children up to age 5. Employers choose Cleo as a strategic partner to power their culture transformation and see increased employee retention, more diverse and inclusive workplaces, and reduced health claims.

Loom

Loom is an online well-being platform that empowers women through sexual and reproductive health education. The platform is planned to launch later this spring at an accessible price point and offer an array of on demand digital classes and training sessions. The founder, Erica Chidi, is a health educator and professional doula.

Key Takeaways

With different macro and societal factors at play, women and families today are facing new challenges and different types of decisions than prior generations in this complex area of health. Innovative startups are modernizing the category by bringing new technology, products, and services to market that are backed by science, prioritize convenience and accessibility, and are designed for women with new-age brand identities. It is an exciting investment time in a big category that plays an important role in our economy and society.

[i] https://www.forbes.com/sites/tanyaklich/2019/05/10/the-new-mom-economy-meet-the-startups-disrupting-the-46-billion-millennial-parenting-market/?sh=1fd2ad355130

[ii] https://www.businessinsider.com/parents-millennials-having-kids-later-economic-opportunity-founders-investors

[iii] Why It Is Time To Do Away With The Term Femtech (forbes.com)

[iv] Femtech is expansive — it’s time to start treating it as such | Rock Health

[v] https://www.refinery29.com/en-us/2021/03/10320247/covid-pregnancy-baby-bust

[vi] https://www.wsj.com/articles/births-in-u-s-drop-to-levels-not-seen-since-1979-11620187260?mod=djemalertNEWS

[vii] https://www.wsj.com/articles/births-in-u-s-drop-to-levels-not-seen-since-1979-11620187260?mod=djemalertNEWS

[viii] https://modernfertility.com/modern-state-of-fertility-survey-2021/?utm_source=drip&utm_medium=email&utm_campaign=042121_Apr-21-Brand-Newsletter_Engaged-Customers&utm_content=Our+annual+trend+report+%2B+10%25+off+all+products%C2%A0

[ix] https://www.brit.co/women-in-their-thirties-are-having-the-most-first-babies-heres-what-that-means/

[x] New Study: Millennial Women Are Delaying Having Children Due to Their Careers (forbes.com)

[xi] https://www.wsj.com/articles/births-in-u-s-drop-to-levels-not-seen-since-1979-11620187260?mod=djemalertNEWS

[xii] https://www.cbsnews.com/news/covid-crisis-3-million-women-labor-force/