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Growth of Beauty E-Commerce in India

The beauty e-commerce market in India is growing rapidly at an 18% CAGR due to rising incomes and awareness of physical and mental well-being. The market size is expected to reach $20 billion by 2025 from the current $6.5 million. About 62% of young urban consumers prefer buying beauty products online rather than in stores. E-commerce platforms like Amazon and Flipkart have made global beauty brands widely accessible and are major drivers of growth for companies like L'Oreal in India. While competition and customer loyalty pose challenges, e-commerce offers new opportunities for consumers and investors in the Indian beauty market.

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Hemant Anant
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198 views9 pages

Growth of Beauty E-Commerce in India

The beauty e-commerce market in India is growing rapidly at an 18% CAGR due to rising incomes and awareness of physical and mental well-being. The market size is expected to reach $20 billion by 2025 from the current $6.5 million. About 62% of young urban consumers prefer buying beauty products online rather than in stores. E-commerce platforms like Amazon and Flipkart have made global beauty brands widely accessible and are major drivers of growth for companies like L'Oreal in India. While competition and customer loyalty pose challenges, e-commerce offers new opportunities for consumers and investors in the Indian beauty market.

Uploaded by

Hemant Anant
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

GROWTH OF

BEAUTY
E-COMMERCE
IN INDIA
INTRODUCTION
• INDIA IS HOME TO SECOND LARGEST POPULATION IN THE
WORLD. THE SIZE OF BEAUTY MARKET IS CURRENTLY
GROWING WITH CAGR 18% . INCREASING AWARENESS
ABOUT PHYSICAL AND MENTAL HEALTH HAS LEAD THE
BEAUTY MARKET AT HIGH EXTENT. IN COMING YEARS THE
MARKET WILL OCCUPY THE MAJORITY CITIES IN THE INDIA
WITH VARIOUS BRANDS AND CREATES NEW
OPPORTUNITIES FOR INVESTORS FOR EXPLORATION IN THE
INDIAN MARKET.
BEAUTY INDUSTRY IN
INDIA
• THE MARKET SIZE OF INDIA’S BEAUTY, COSMETIC AND GROOMING
MARKET WILL TOUCH 20 BILLION DOLLARS BY 2025 FROM THE
CURRENT LEVEL OF 6.5 MILLION DOLLARS ON THE BACK OF RISE IN
DISPOSABLE INCOME OF MIDDLE CLASS AND MORE AND MORE
PEOPLE ASPIRING TO LIVE GOOD LIFE AND LOOK GOOD, INDUSTRY
BODY.
• THE CONSUMPTION PATTERN OF COSMETICS AMONG TEENAGERS
WENT UP SUBSTANTIALLY BETWEEN 2005 AND 2015 BECAUSE OF
INCREASING AWARENESS AND DESIRE TO LOOK GOOD.
• BRANDS SUCH AS L’OREAL , LAKME MAYBELLINE, NIVEA AND
COLOR BAR ARE BEING PUSHED AS MASS MARKET PRODUCTS AND
FOCUS ON YOUNGER WOMEN AND WOMEN WITH LOWER BUYING
POWER, NOTED THE PAPER. WHILE THESE ARE LITTLE EXPENSIVE
PRODUCTS, THE PRICE BARRIERS ARE ALSO BEING BROKEN BOTH BY
THE CUSTOMERS AND THE MANUFACTURERS
• ABOUT 62% OF YOUNG CONSUMERS IN BIG CITIES PREFER TO BUY
ONLINE BEAUTY AND GROOMING PRODUCTS WHEREAS, 45% OF
CONSUMERS TENDS TO BUY COSMETIC, APPAREL ITEMS FROM SHOP
OF THEIR CONVENIENCE RATHER THAN A SINGLE SHOP.
E-COMMERCE, THE GAME
CHANGER
.THE DIGITAL AND E-COMMERCE REVOLUTION IS BRINGING
WITH IT AND AWARENESS OF GLOBAL BEAUTY BRANDS AND
TRENDS

.TODAY, A YOUNG INDIAN HAS ACCESS TO BRANDS


WORLDWIDE, BY PASSING THE HURDLES OF TRADITIONAL
DISTRIBUTION.

.IT OFFERS A WHOLE NEW LEVEL OF CONSUMER RETIREMENT


OPPORTUNITY. E-COMMERCE IS THE NO.1 GROWTH DRIVER FOR
L’OREAL INDIA.

. TODAY, AMAZON AND FLIPKART COVER NEARLY 100% OF POST


CODES IN THE COUNTRY THROUGH AN EXTENSIVE, ROBUST
NETWORK OF DELIVERY PARTNERS.
CHALLENGES FACE BY
BEAUTY E-COMMERCE
• PANDORA’S BOX OF COMPETITION

• PRICE COMPETITION

• CUSTOMER LOYALTY

• ROPO

• DEMAND FOR PERSONALIZATION


THAILAND TRADE
CENTRE,MUMBAI(TTC)
THAILAND’S MINISTRY OF COMMERCE HAS BEEN PROMOTING
MANUFACTURERS AND EXPORTER TO SUPPLY PRODUCTS TO
GLOBAL MARKET. HOWEVER, PROMOTING OUTBOUND
INVESTMENT IS ANOTHER MISSION, WHILE INDIAN GOVERNMENT IS
PURSUING FDI POLICY TO PROMOTE INVESTMENT IN INDIA TO
CREATE JOB AND INCOME IN DIFFERENT STATES IN INDIA.
• STRENGTHS IN SERVICE BUSINESS: THAILAND HOLDS REPUTATION
AND POTENTIALS IN SERVICE SECTORS, AND CAPABLE
ENTERPRENEURES SHOULD BE SUPPORTED TO PROVIDE SERVICES
TO CONSUMERS OUTSIDE THE COUNTRY THROUGH OVERSEAS
BRANCHES AND OFFSHORE PRODUCTION BASE.
• PARTNERSHIP BUILDING WITH INDIAN PARTNERS: TO DELIEVER
GOOD PRODUCTS AND SERVICES TO INDIAN CONSUMERS, WE
SHOULD SHARE BENEFITS AND COLLABORATIONS WITH LOCAL
PARTNERSHIP. TTC NEEDS TO PROVIDE INSIGHTS, AND FACILITIES
BUSINESS SET-UP AND LONG-TERM COORPORATION AMONG
PARTNERS
REFERENCE
• [Link]

• [Link]

• [Link]

• [Link]
THANK YOU !!

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