Indian cosmetics-to-fashion retailer Nykaa plans to greater than triple its brick-and-mortar shops to 300, founder and Chief Govt Falguni Nayar stated, considerably constructing its offline presence within the nation. Nayar declined to offer a timeline for the rollout however stated the corporate was focusing on 100 cities, including to the 84 stores it already operates in 40 cities.
“The method of retailer growth had slowed down resulting from (COVID-19) pandemic for a 12 months or so,” Nayar stated in an interview for the Reuters Subsequent convention broadcast on Wednesday. “However this 12 months we now have revived our retailer rollout.”
Although Nykaa largely operates as an e-commerce platform promoting every part from international beauty manufacturers to jewelry, Nayar stated the bodily shops, focusing on Indian shoppers wanting to purchase touch-and-feel merchandise, have been a vital a part of the enterprise.
Regardless of fast progress of e-commerce and the likes of Amazon.com in India’s close to $900 billion retail market, most buyers nonetheless purchase merchandise offline.
Nykaa has stated it’s focusing on a sub-segment of that sector – the $70 billion magnificence, private care and vogue market.
Like many different retailers, Nykaa was hit exhausting by the pandemic as work-from-home guidelines diminished demand for workplace put on, cosmetics and footwear. The corporate final month reported a 96% hunch in quarterly revenue.
However issues are trying brighter because the COVID-19 pandemic eases, and India’s festive and marriage ceremony season beneficial properties tempo.
“Clearly there’s a revival in make-up (merchandise) which was pre-pandemic,” stated Nayar, a 58-year-old former funding banker, in a Nov. 25 interview.
Nayar garnered large public consideration final month when her firm made a glowing inventory market debut with a valuation of $14 billion.
High personal fairness corporations reminiscent of TPG and Constancy, and Indian Bollywood stars Alia Bhatt and Katrina Kaif, have financially backed FSN E-Commerce Ventures, the corporate that owns Nykaa model.
Nykaa, which sources many merchandise from Europe, can also be focussing on ramping up exports of its personal personal manufacturers to the UK and the Center East.
Nonetheless, Nayar stated India stays the precedence given the nation’s large progress potential.
Many Indians, Nayar famous, are “but to purchase their first watch, first automotive, first dwelling – I believe India is in a really totally different place in comparison with different developed economies.”
This story has been printed from a wire company feed with out modifications to the textual content. Solely the headline has been modified.
Supply: Live Mint