Are you interested in the cosmetic industry? Do you want to sell cosmetic products online? Here are some facts and information about the Online Beauty Product Store business model.
Every person uses personal care or beauty product in their daily life activity. But people who live in the metro or big city do not have time to go market and buy beauty care products.
Like other online services, they use e-commerce platforms for beauty products too, from where they can order all beauty products online.
In this blog, we will discuss the online platform of beauty products, How to start a business, market size, top players, and market strategy of this business.
Let’s see what is in this blog for us:-
- Top websites/apps of online store
- How to start an online beauty product store?
- Target customers
- Market size and growth of the online beauty product store
- Frequently Asked Questions
An Online Beauty Product Store is a platform where people can search, explore, and order personal care or beauty products online and service provider delivers the products at customer’s place.
These platforms deliver all type of cosmetic product categories such as Skincare, Haircare, Color cosmetics, fragrances, toiletries, and other personal care products to almost every pin code in the country.
There are also some dedicated platforms according to the nature of products, genders, and categories of the cosmetic industry. People select their platform according to their needs and convenience.
Some apps list products only for women and some only deal with men’s grooming products. Some platforms sell only ayurvedic or herbal products whereas some sell all types of cosmetic products.
Websites like Flipkart, Amazon, etc sell all types of local and brand products but some deal with some specific brands and products to maintain the brand value.
Must read The Rise of Cosmetic Industry in India.
Top Websites/App of Online Beauty Product Store
Until 2010, no one has seen this market gap in the online supply of beauty products. After this, many players in the market acquire this online market.
Let’s discuss the top companies of online beauty product store:-
Nykaa is one of the largest platforms of Online beauty products and personal care products. It was founded in 2012 by Falguni Nayar who was Managing director at Kotak Mahindra Capital Company.
Nykaa has both a website and a user-friendly app with some useful filters. They also launched a dedicated website for men’s grooming products with name Nykaa man
Nykaa follows an inventory-based e-commerce business model with 6 warehouses in India. They deal with 1500+ Indian and International brands with 3 lakhs well-curated products.
Additionally, They have opened more than 30 stores in India with the name Nykaa Luxe and Nykaa on-trend store.
Nykaa has 55 lakhs monthly visitor from all over the world. Also, they receive more than 13 lakh orders per month in which 72% are repeated customers.
Purplle was founded in 2011 by three IITians Manish Taneja (CEO), Suyash Katyayani (CTO), and Rahul Das. It is based on the marketplace model.
They are selling lakhs of products from more than 1000 beauty brands. The average ticket size is approx ₹1500 with an 80% repeated customer base.
The name Slassy came from stylish and Classy (Stylish+ Classy= Slassy). It is an Indian based online store of beauty and personal care products. They bring branded products for both men and women on a single platform.
If you want to buy any skincare, haircare, or makeup product, it is a good online platform that deals with many International and Indian brands.
Joy By Nature:-
If you want to use natural products for your basic grooming and health care products then JoyByNature is a very good online store is for you dear.
You can order organic, herbal, and ayurvedic products from here.
They are the largest online player in India in Natural products with 150 brands and more than 10,000 products.
The Skin Care:-
The Skin Store is a Dermatological skincare expertise store. It is a Bangalore based startup that provides beauty care products for different issues and conditions like dry skin, acne-prone, facial pigmentation, chapped lips, damaged hair, etc.
There are so many big players of online beauty products like Amazon, Flipkart, Myntra, FabBag, The Body Shop, Kama Ayurveda, etc but some of them are not dedicated to a specific beauty category. But people love to order beauty products from these sites too.
Which product is best for your skin. know The Best Skincare Product for your skin type.
How to start Online Beauty Product Store?
There are some steps to which will provide a guideline to start your online Beauty Product store.
- Study about the Industry:- The First step for any business is to understand the particular industry very well. You have to understand and analyze the business category and products for an online beauty store.
- Make a Business Plan:- Now create a complete structure of your business. Decide business model (eg:- marketplace model, inventory model, etc.), name, target customers, location, etc.
- Handle Legal Matters:- You have a solid business plan. Now its time to handle legal aspects. You have to register your company in either proprietorship or Private limited. You have to buy a domain name, register your logo & brand name.
- Create a website or App:- Now it is time to open your online shop that is a website or an Application. Create a user-friendly platform where people can order products very easily. And if you have a marketplace based model then make sure that the process to upload and sell the products is very easy for your venders.
- Make a Marketing Strategy:- Make a marketing strategy for your business model according to your target customer’s gender, location, behaviour, education, etc. Give them the best offers and coupons. You can also give loyalty points to your customers.
- Provide the best service:- It is the most important guideline that you have to keep in mind. Provide the best delivery system, easy payment option, easy replace/refund policy to your customers. There are many big players who serve their customers very well and if you want to acquire their customers you have to give a better deal and service than them.
Target customers for Online beauty Products
The target customers for online beauty product store depends on some factors. These are:-
|Metros and Tier-2 cities
But nowadays men are also more conscious about their grooming and body care. The men with age group 20-35 are also targeted customers for this business.
Also read about Online Salon Booking Business Model.
Market Size and Growth of Online Beauty Product Store
The total cosmetic and beauty market in India was $6.5 Billion in 2016, on that only $150 million was acquire by online players. It is predicted that the total Indian cosmetic market will be $20 Billion by 2025, and on that $1.6 Billion will cover by the online platforms accordingly.
Source:- Your story
How to start Day Spa Business? So read all information about Spa Industry
In conclusion, to start the Online Beauty product store, firstly know all pros and cons of this business and then decide the list of products that you want to sell. You should also make a marketing strategy for your business. It is a good business model because there is a high profit margin on cosmetic products.
Frequently Asked Questions
Ans:- You can buy your favourite beauty products at Nykaa, Purplle, Shopperstop, Amazon, Flipkart. They are trusted and genuine platform.
Ans:- Today people are moving toward organic, herbal, and natural products for their daily essential. So I will suggest you to, sell herbal and natural beauty products.
Ans:-Women with age range of 22-40 years are the targeted customers for this business. Now a day Men are also targeted for this business.
Ans:- The total cosmetic and beauty market in India was $6.5 Billion in 2016, on that only $150 million was acquire by online players.
It is predicted that the total Indian cosmetic market will be $20 Billion by 2025, and on that $1.6 Billion will cover by the online platforms accordingly.
Ans:- In India, Nykaa is Big Player for the Online Beauty Product store. You can also buy from Purplle, Flipkart and Amazon.