Nykaa has recently launched fragrance range Moi by Nykaa. It is a collection of fragrances that takes its name from the French word ‘moi’ translating to ‘me’. Designed in Paris, the collection is crafted as a fragrance wardrobe to offer customers a scent for every mood.
Moi by Nykaa is launched in two fragrances – Raison d’etre and Joie de vivre.
Raison d’etre, the French phrase translating to ‘reason for being’ inspires a subtle, yet elegant fragrance to give you an air of calm domination. Here, a well-crafted potion of sensual Rose and Vanilla is tapered with Musk and Vetyver for a powerfully feminine feel.
Whereas, Joie de vivre is the French phrase that means ‘joy of life’. The fragrance offers a light and spicy blend of Citrus and Pepper, grounded with the woody notes of Amber and Oak Moss to give you a feeling of blissful relaxation. Perfect for days to watch the world go by.
To create this fragrance, Nykaa worked with French perfumer Jordi Fernandez who is an expert in a variety of fragrance genres that makes his style versatile and multifaceted.
According to Jordi, “By visiting places, meeting people, and getting involved in the local culture, I discover a wealth of perfume ideas.”
To know about what else is Nykaa doing, Indiaretailing recently had an interaction with Reena Chhabra, CEO, FSN Brands, Nykaa.com. Here are the edited excerpts:
Nykaa has always been a trendsetter in the beauty industry. How do you do that? And what new can we expect from your kitty going forward?
At Nykaa, we are building the brand through interaction with our consumers who are telling us a lot of things and whatever they are asking us, we are launching. They wanted us to launch a natural line – we launched pure essential oils, next they wanted a luxurious bathing experience – we launched soaps, they wanted trends that are coming to us faster and faster and that is why we got the Unicorn Potion Nail Paints, which is a trend that we picked up from abroad. Next they have asked us to do is natural ingredient Korean masks and you will definitely see that in various forms like turmeric, amla, aloe vera.
Nails is very big with us. And our consumers have been asking for a product that keeps their hands moisturized, so hand cream is definitely going to be a part of the Nykaa natural segment. Then liquid lipsticks in some colours they have asked us for.
How has been the growth story of private label? How much does private label contribute to your overall revenue? And how do you see it growing in future?
I think it has been stupendous. Being in the industry from such a long time, I can safely say that no other brand has grown so far so strong. It is the fastest growing colour cosmetic brand in the history of colour cosmetics in India. We are growing at the rate 250 percent year-on-year growth currently but I think we will among the top 2-3 players very soon.
Currently, private labels contribute around 8-10 percent of the total revenue. If we are able to maintain it at 10-12 percent that will be an achievement in itself.
Elaborate on the USP of Nykaa private lable brands.
There are couple of things which have helped a build a niche for ourselves. And one among them is that we make cosmetics in line with what our consumers are asking for – so we start by asking what colours do they want, what trends do they want and what do they want to see. Another thing is that we launch trends faster than anyone. So there are a lot of consumers who want trends that trending all across the world and we launch those trends here and third is that we are very cost-effective and very affordable as well.
How many SKUs do you have and how do you see them growing?
At present we have more than 370 SKUs and by year end,next year, we are hoping to cross the target of 600 plus SKUs.
Apart from private label brands, how many other brands do you have onboard?
We have more than 850 brands on our platform.
Tell us about the average ticket size online?
It is around Rs 560. In a shopping cart they buy 2.1 products.
How has the brand been growing both online and offline?
We are expanding both online and offline. We are launching trends and products almost every week.
As far as distribution network is concerned, we are planning to expand it from 850 stores to 2,000 plus stores in next two years. The consumers want to see us across more distribution points specifically in the East and South. So, we are expanding our distribution there including in Rajasthan and also expanding in modern trade like large format stores like Shoppers Stop, Lifestyle by next year.
We already have multi-brand Nykaa stores under two formats – Nykaa Luxe and Nykaa On Trend. Ending March 2017, the total store count for Nykaa stood at 17. And we also have plans to introduce Nykaa EBOs.
What are the new categories that you are planning to expand to?
We are looking forward to expand into mom and baby range, ayurveda range, skin care range and hair care range. At present we have five categories, we are also planning to strengthening them.
Any plans to test international waters?
Yes, we have plans to set up distribution network for private labels in the neighbouring countries like Nepal, Bangladesh, Sri Lanka, Maldives over next four years.