Fashion and beauty retailer Nykaa is aggressively positioning itself in the competition from Indian conglomerates and new entrants as it has built a significant lead and advantage in brand power, customer base and business acumen. “We want to protect our territory,” said Falguni Nayar, founder and CEO.
In an interview with PTI, Nayyar said retail is a “very large segment that is accessible to a lot of people” and said omnichannel beauty and fashion retailers will continue to deliver products that far exceed consumer expectations. He added that there is no reason for consumers to move as the company continues to focus on To the competition.
Click here to follow our WhatsApp channel
This comment is considered important in the context of fierce competition in India's rapidly growing beauty e-commerce sector.
Reliance Retail has launched omnichannel beauty retail platform Tira, increasing competition in the fast-growing beauty and personal care market that includes players such as Nykaa, new entrant Tata Cliq Palette and Myntra.
Nayyar said Nykaa has helped the beauty space grow from a “small niche category” to a “much larger category.”
“Now the category is big and many large companies and conglomerates in the country are interested. They are all retail businesses… It is a natural progression to expand the retail presence in new areas. did.”
“But Nykaa has a huge lead and advantage, both in terms of brand, customers, business and knowledge of the business. So we obviously… want to protect our business. ” said Nykaa's top boss.
Nayyar described retail as a very large segment and said it provides space for many people.
“…Retailing has never been a case of “one person controlling the entire market.'' There are always some retailers that thrive, and hopefully we can be one of them. ” she said.
Nykaa remains focused and committed to delivering far more than consumers' expectations.
“I always say, let's focus on the consumer and give them something above and beyond their expectations so they have no reason to compete,” she said.
Nayyar launched Nykaa, an online retailer of beauty products, in 2012. She took Nykaa public in November 2021, and following that blockbuster listing, she became the richest self-made Indian woman in 2022, overtaking Biocon founder Kiran Mazumdar Shaw. He became a great person.
Nayyar believes that recent corporate governance lapses in some high-profile startups will lead to increased scrutiny by investors (in the ecosystem), and that governance challenges are a very important part of an entrepreneurial journey. He argued that it is necessary to set this at an early stage.
He stressed that compromising on governance cannot be justified just because a company is growing or pursuing size and scale.
“I think companies will also learn the lesson that they cannot compromise on governance…compromise on governance because they are growing or because they are pursuing size and scale…that is not to comply. “If the industry sets the rules, companies have to follow them,” she said.
She added that Nikaa is very strong in terms of governance.
On the business front, Nayyar is optimistic about the future as she believes there is a lot of scope for growth in the beauty, personal care and fashion businesses in India.
According to her, India is on the radar of global players with strong drivers such as a young and motivated population, rising income levels, resilient infrastructure and digital networks.
“What Nykaa has seen is that most of the CEOs of global beauty companies are visiting us these days…The global CEOs and chairmen of the top 10 beauty companies are all visiting us. It was amazing to see so many people coming to our country wanting to do things.” “It speaks to the world's interest in working with India and the future. is bright,” she said.
Nayyar said he is very “optimistic” and “confident” about the future given the path to growth.
“In the beauty and fashion sector, India's per capita consumption is very low, so it should see new revenue growth and increase many times over.
“We have gone through a similar journey in China as well. India today is in the same situation as China was 15-16 years ago. And we are seeing a consumption boom in all categories, especially beauty and fashion. “So we are very confident that it will go ahead and be repeated in India,” she said.
