STOCK MARKET BSE NSE

Investors bet big on niche online beauty platforms

The flourishing new ecosystem of influencer marketing, content creation, and omni-channel commerce tools has given also business models in the sector a makeover of sorts.

Published: 24th March 2021 10:40 AM  |   Last Updated: 24th March 2021 10:40 AM   |  A+A-

E-commerce, Online shopping, Retail

For representational purpose.

Express News Service

BENGALURU:  If you are not selling online, you are missing out—this is what investors and company founders are saying these days. And for the beauty industry, there has never been a more opportune time than this to sell online. With the Covid menace still looming large, people are reluctant to shop from brick and mortar outlets, leading many brands to venture online to reach out to consumers beyond the metros. 

The flourishing new ecosystem of influencer marketing, content creation, and omni-channel commerce tools has given also business models in the sector a makeover of sorts. The interest generated by the segment is being reflected in big-name investors such as e-commerce giant Amazon, investment firm Sequoia capital,  and Wipro Consumers betting big on such brands recently. 

On Tuesday, online platform  purplle.com said it has  raised $45 million from Verlinvest, Sequoia Capital India, Blume Ventures, and JSW Ventures. The investment, it said,  will bolster the brand’s ambition to deliver 8-10X growth in the next 4-5 years. One of the puplle.com’s earliest backers, Ivycap  ventures, exited the startup with 22x gains. 

Last week, rival MyGlamm had raised `175 crore from investors including Amazon, Wipro Consumer, and Ascent Capital to fuel the expansion of its retail platform as well as its digital content channel Popxo. Market leader Nykaa , on the other hand is eyeing an IPO this year with a valuation of over $3 billion. Industry data indicates that the segment has seen a 40-60% YoY business growth in FY21 and a combined investment of $100 million. 



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp