Nykaa forays into fragrance segment
Online beauty products retailer Nykaa has expanded its private label with the addition of a line of fragrances under the brand, Moi by Nykaa.
The online platform currently has two fragrances, Raison d’etre and Joie de vivre. The company plans to add more soon.
The fragrance market in India, estimated at ~20 billion, is projected to grow to ~30 billion over the next five years. Nykaa is optimistic about the potential of its niche fragrance brands to compete with established global players.
Priced at ~1,800 each, the perfumes are costlier than brands such as The Body Shop, but less expensive than labels such as Davidoff or Calvin Klein.
“While deciding the price, we keep in mind quality and margins. So we will not compromise on business sustainability. I also believe that the discerning consumer will pay more if quality and service are assured. And this is something we have kept in mind when we launched Nykaa nail paints. Other retailers (available on the website/app) were selling nail paints at under ~100. We priced ours at ~150 because the price made business sense,” says Falguni Nayar, founder and chief executive officer, Nykaa.
The company currently retails more than 850 beauty brands on its website/app, and over the past couple years, it has been expanding its private label by the same name.
Nayar said she and her team took cues from the shopping trends on the portal. Having launched Nykaa with nail paints, the company has expanded its portfolio to include bath and body products (shower gels and lotions), make-up and wellness products. It has also launched a separate category of products under Nykaa Naturals, which includes essential oils.
The fragrances have been developed in association with Jordi Fernandez, an expert in a variety of fragrance genres. His perfumes are influenced by his Spanish heritage and love for West Asia.
Priced at ~1800 each, the perfumes are costlier than brands such as The Body Shop, but less expensive than labels such as Davidoff or Calvin Klein