Want a Successful Beauty Brand? Focus on 3 Areas

Before setting foot in this segment, new players should focus on core areas to become the best beauty startups
  • BY Jaspreet Kaur

    Feature Writer, BusinessEx

  • |
  • May 04,2021
  • |
  • 11 Mins Read

As time is going by, the beauty industry is expanding in India. Looking aesthetic and confident are prerequisites of people’s lifestyle today. Owing to this, people are splurging on beauty cosmetics and other relevant products. According to a report by the Ministry of Economy and Industry, the Indian cosmetics and beauty products segment has been witnessing steady growth of late. It is primarily categorized into five major categories - body care, face care, hair care, hand care, and color cosmetics. Indian beauty and personal care (BPC) industry is estimated to be worth $8 billion. The country’s per capita spend on beauty and personal care is growing in line with its GDP growth.

The increasing success of beauty startups is attracting more players toward the niche. Before setting foot in this segment, here are some areas that new players should focus on to become the best beauty startups

Products 

At present, customers prefer having beauty products that consist of less harmful ingredients. Cruelty-free products are also liked by the customers. Beauty products that are manufactured by deploying animal remains are considered bad. To safeguard animals, millennials demand natural and clean beauty products. 

To meet this demand, entrepreneurs can develop formulas where their beauty brands can stay natural and meanwhile, deliver good results. By doing so, they would be attracting consumers and educating them about products. 

Performance 

Right now, customers pick a specific beauty brand over others based on performance. Performance is vital for any decisive action on the consumers’ part. Therefore, companies initially have to earn customers’ trust by delivering the best results. 

Positive reviews of the customers will help new beauty companies to climb up the success ladder and become the best beauty startups. For attaining success, beauty brands need strong backing as well. According to a media report, Micro Venture Capital firm, India Quotient got a forty-nine times ROI in SUGAR after exiting the company partially. The company infused money in SUGAR to uphold the dreams of founders. This gives a cue that new players should look for direction and financial assistance to sustain in the market.

Become a D2C Brand 

The beauty industry is constantly transiting. Earlier on, multi-brand retailing helped brands to reach customers and offer their products to a chunk of consumers. In the beginning, brands faced difficulty in offering services and products across the country as well as the globe. Lack of connectivity and channelizing were obstacles then. 

However, in the modern era, technology has bridged various gaps, including connectivity. Rather than relying on multi-brand retailing, the Indian beauty brands can directly sell to customers. In this way, beauty companies will have first-hand information about customers’ behavioral pattern and their growing needs. Companies can, therefore, identify problems in their product range and recreate them as per customers’ tastes.  

Emerging beauty brands should concentrate on these three areas to out beat competitors. Besides these core elements, several other areas should be considered. If you know of any such areas, then please share them with us in the comment section below. 

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