Securing Investments and Strategic Partnerships to Boost Sale of Skin Care Products In India
Article by: Sonali Sharma
Growing awareness about beauty and wellness among women, youth, and millennial population in India is predicted to open new horizons of growth for the skin care products business in India. In addition to this, rise in spending on cosmetics due to increase in per capita income of the population in India has contributed substantially towards the expansion of the India skin care products market.
Growing inclination towards maintaining of physical appearance and consciousness towards looking beautiful among young men and women population has boosted the market trends in India. As per the report published by Allied Market Research, the India skin care products market proceeds is predicted to hit nearly $5,033.7 million by 2027.
Major Players in India Skin Care Products Market Are Implementing Key Strategies To Expand Their Business
Key players in the India skin care products market are implementing strategies such as the launching of new products with additional features, thereby contributing sizably towards the demand for skin care products in the Indian sub-continent. Furthermore, the strategy will also help market players in accruing huge revenues on capital investments & funding along with help them in business expansion across the country.
Apart from this, strategic partnerships, alliances, joint ventures, and collaborations are projected to help the companies in expanding their product portfolio as well as enabling product diversification along with contributing sizably towards the profitability of the India skin care products market. The above-mentioned business strategies are predicted to help the organizations in establishing a strong presence across various cities in India.
Apparently, the strategy of launching new products and acquiring other firms is aimed at creating value proposition for new products along with contributing sizably towards the global market value.
In addition to this, entering strategic partnerships & alliances has also helped companies in developing differentiated and cost-effective products. The acquisition strategy has played a key role in expanding the product line, product width, and product breadth of the firm, thereby establishing strong brand equity and improving the brand image of the firm.
Furthermore, these strategies have not only helped the firms increase their earnings but have also helped in contributing remarkably towards the industry earnings of the country. Successful implementation of the business strategies has also helped the firms in India in increasing their cash inflows along with minimizing cash outflows incurred as a result of purchase of raw materials and other components used for manufacturing skin care products in India.
It has also helped in bolstering the India economy by contributing significantly towards the GNP as well as GDP of the country. Moreover, horizontal & vertical acquisitions also help firms in product upselling and forward and backward integration of skin care products. This, in turn, is predicted to open new vistas of growth for the India skin care products market.
These key strategies adopted by the major market players will enable the firms in expanding their customer base and enhance their presence in India. Let us discuss a few of these major business strategies adopted by industry players to expand their businesses and current trends observed in the India skin care products market.
Nykaa Acquires Dot & Key Wellness Private Limited To Establish A Marked Presence In Indian Skin Care Products Industry
Strategic acquisitions have played a pivotal role in leveraging the expansion of each market and it also includes India skin care products market. Reportedly, Nykaa, an Indian e-commerce firm in beauty and fashion business, acquired Dot & Key Wellness Private Limited. The strategic move of the firm is aimed at expanding its product portfolio across the Indian skin care products market. The initiative will provide impetus to the skin care products business in India and will assist the skin care products industry in the country transcend escalating heights of growth.
Nykaa invests in Earh Rhythm and Nudge Wellness To Increase its Business in India
Securing investments is one of the key business strategies adopted by the industry players to increase their returns and profit margins. This strategy helps them in serving the untapped segments as well as segments not targeted before. For the record, Nykaa made lucrative investments in categories such as neutri-cosmetics, clean beauty, and athlesiure. For instance, Nykaa acquired nearly 19% of stake in Earth Rhythm, a clean beauty and personal care cosmetics firm. In addition, the e-commerce firm had acquired a major stake of 60% in Nudge Wellness, a food supplement and nutricosmetics products manufacturer.
Inde Wild and Nykaa Join Hands With An Aim To Increase Production of Personal Care and Cosmetic Products In India
Entering partnerships have become an emerging trend in India with Inde Wild, a skin care brand, entering partnership with Nykaa. Earlier, The Ordinary, a global beauty brand based in Canada, signed a partnership agreement with Nykaa. The strategic move is predicted to help these firms expand their personal care and cosmetics business in India. The initiative will also help in expanding the skin care product business in India as well as boosting the skin care products market trends in the country.
Sonali Sharma – PR & Media Communicator Allied market research
