Case Study on Nykaa: E-commerce Platform for Beauty and Cosmetics Products

Nykaa is one of the popular E-commerce platforms for beauty and cosmetics products. Irrespective of their age, gender, or geographical location consumers are aware of the brand in India due to the quality of the services. Moreover, the company has necessarily gained a majority of its customers through social media advertising. Therefore, you can understand that it is a proper E-commerce store with a limited number of brick mortar stores.

The brand is so popular because they are providing excellent quality products for an extended time. Therefore, you need to gather information on the store for your benefit. Therefore, you can take a look at this case study to gather information on the store.

• How Nykaa came into Existence?

Nykaa is one of the E-commerce beauty platforms that came into action in the year of 2012. First, the former managing director of the Kotak Mahindra Company, Falguni Nayar, came up with the concept of the brand. Then, she launched the store in an E-commerce portal by implementing all the necessary beauty and skincare products.

Ms. Falguni Nayar worked at Kotak Mahindra for around 17 years, after which she decided to start her venture. Thus, in a concise time, she got the achievement, and now it is one of the sought-after and popular brands of India and abroad. In addition, it also performs as a well-structured business listing platform that provides beauty and skin products. Furthermore, this is how the company came into action and providing necessary products for an extended time.

• How Does the Store Work?

Nykaa mainly follows the inventory-based model to provide services to the customers. The E-commerce store has got three significant warehouses in Mumbai, Delhi, and Bangalore from where they cater the products all over the country. In addition, the brand has got two offline store formats, Nykaa Luxe and Nykaa on-trend. The Luxe format mainly features the inbuild collections with all the other national and international brands.

In 2015, the company launched its own set of collections which highly got appreciated by the customers. The demand for the products is a notable reason for the growth of the store. In 2016, the brand introduced products for the bath and body care category, which immediately got established. In 2020, when the world is going through a devastating situation due to the pandemic where no one can get out of the house, Nykaa launched Nykaa, a new product for women. Therefore, this is the way the store works and comes up with new products unexpectedly.

• Revenue Of the Company

Nykaa is one of the popular E-commerce stores of India, which people highly appreciate due to the quality of the product. This is why the revenue of the store has grown around 300% in last few years. In 2016, the brand raised 104 crores from investors, and it is more likely to break the record by this year-end.

It is one of the significant brands that get around 15000 orders per day. The majority of the customers of the brand are around 22-34 years old. Therefore, it is understandable that the store is highly appreciated by the youth and very much successful.

• Marketing Strategy of Nykaa

Nykaa is one of the E-commerce stores that follow both content marketing and digital marketing for their benefit. It is one of the stores that produce high-quality content to attract customers. The brand has an inbuilt team of young writers that generate trendy topics, which is very much appealing. In addition, the brand produces content that is attractive yet informative for which customers get a touch of value with entertainment.

The brand is also very skilled in digital marketing. It has recently come up with a YouTube channel, Nykaa TV, through which they share the video guide of the products they sell. In addition, the Instagram account of the store has nearly 2 million followers and an equal amount of content as the YouTube channel. Therefore, it is noticeable that the brand uses content and social media equally for marketing purposes.

The Key Takeaway of Nykaa’s Ability

In this day and age, the way millennial business owners run their ventures or even promote their products, services, etc. has changed quite exponentially. Gone are the days when a hefty amount of money or time was involved in establishing goodwill for a brand! Now, the marketing strategies have evolved, thanks to the emergence of a number of free business listing site in India!

Just like Nykaa, a wide range of business listing companies such as Haarway, Justdial, Sulekha, etc. have made it a cake for modern entrepreneurs to promote their services/products, maximize their engagement, consumer outreach, overall sales, and turnover! If you, too, intend to take your business to another stature conquering all the major milestones, then consider listing it up with any of India’s fastest growing listing portals without wasting any further time.

Summary

Nykaa is one of the famous brands that is providing excellent quality products; thus, you can browse the case study to know about the brand in detail.