Online beauty products retailer Nykaa has expanded its private label with the addition of a line of fragrances under the brand name of Moi by Nykaa.
The online platform currently has two fragrances, Raison d’etre and Joie de vivre, and plans to add more soon. The fragrance market in India, estimated at Rs 20 billion, is projected to grow to Rs 30 billion over the next five years.
Nykaa is optimistic about the potential of its niche fragrance brands to compete with established global players in metros. Priced at Rs 1800 each, the perfumes are costlier than retail brands such as The Body Shop, but less expensive than brands like Davidoff or Calvin Klein.
“While deciding the price, we keep in mind quality and margins. So we will not compromise on business sustainability. I also believe that the discerning consumer will pay more if quality and service are assured. And this is something we have kept in mind when we launched the Nykaa nail paints. Other retailers (available on the website/app) were selling nail paints at under Rs 100. We priced ours at Rs 150 because the price made business sense,” said Falguni Nayar, Founder and CEO, Nykaa.
It currently retails more than 850 beauty brands on its website/app, and over the past couple years, it has been expanding its private label by the same name.
Nayar said she and the team took cues from the shopping trends seen on the portal. Having launched Nykaa with nail paints, the company has expanded its portfolio to include bath and body products (shower gels and lotions), make-up and wellness products. It has also launched a separate category of products under Nykaa Naturals, which includes essential oils.
The fragrances have been developed in association with Jordi Fernandez, an expert in a variety of fragrance genres. His perfumes are influenced by his Spanish heritage and love for West Asia. “By visiting places, meeting people, and getting involved in the local culture, I discover a wealth of perfume ideas,” Fernandez said.