Nykaa – The Untold Story: People feel happy when someone compliments them about their beauty. Isn’t it?
They feel much happier when they get the required beauty products at their doorstep. Nykaa is one such online platform in India where people can choose from various brands available on the website and can deliver to many cities across the nation.
- 1 Nykaa – Company Highlights:
- 2 About Nykaa:
- 3 Founder of Nykaa and How it was Started:
- 4 Nykaa – Subsidiaries and Acquisitions:
- 5 Nykaa-Funding and Investors:
- 6 Nykaa – Business Model & Revenue Model:
- 7 Nykaa – Awards:
- 8 Nykaa-Competitors:
- 9 Nykaa – Revenue & Valuation:
- 10 Nykaa Team:
- 11 Nykaa-Founder’s Advice:
Nykaa – Company Highlights:
|Headquarters||Mumbai, Maharashtra, India|
|Sector||E-commerce – Cosmetics|
|Legal Name||Nykaa E Retail Pvt Limited|
Nykaa (Official Site) has emerged as India’s largest beauty destination with half a million customers in the country. Nykaa does not only provide their favorite brands to customers but also gives advice, updates, expert tips, videos on how to look and feel gorgeous. It has almost 850+ genuine brands and more than 1 lakh products.
The word Nykaa is derived from the Sanskrit word “Nayaka” which means actress and “one in the spotlight”.
Nykaa has a beauty and makeup blog which is an ever-growing expert portal with almost 25 makeup stylists, skin, and hair specialists to answer the questions raised by the customers.
It has launched “NykaaNetwork” which is an interactive beauty forum to interact with their customers and also gain feedback from them, which would help them in the future to upgrade their network. It also launched the “NykaaDesignStudio” for apparel in designer wear and premium brands like Masaba and Ritu Kumar in 2018.
Around the same time, it also launched “NykaaMan”, an online platform for men’s care products in hair care, skincare and wellness, etc.
Founder of Nykaa and How it was Started:
Falguni Nayar was an alumnus of IIM – Ahmedabad and worked as a managing director of Kotak Mahindra Capital Company which she gave up to pursue the dream of becoming an entrepreneur. There were two main reasons for her to leave a fruitful career and enter into the world of entrepreneurship 1) Her love for makeup and 2) her curiosity to enter and explore the online marketing platform which she recognized to have a lot of potential in India.
She was from a Gujarati family but born and bought up in Mumbai. Her father was a businessman and she said that the business was planted in her mind from a very young age. She also said that the stock market was always a topic of discussion in their home.
After graduating from IIM, Ahmedabad, she worked as an investment banker for almost 19 years with the Kotak Mahindra group. In 2005, she became the managing director of the investment banking business where she headed the firm. In the year of 2012, she took the strongest decision to quit her job and started her entrepreneur journey at the age of 50. She took inspiration from entrepreneurs like Ronnie Screwvala of UTV and Ajay Bijli of PVR Cinemas.
She founded the Nykaa in the year 2012. She got this idea when she visited multi-brand beauty stores like Sephora and Falguni where she felt attracted and interested to buy the products though she was not a regular user of beauty products. So, then she thought of bringing and replicate this in India.
Falguni Nayar says “I wanted to replicate that in India- a multi-brand retailer selling the best beauty, plus a lot of education to help customers… I wanted to stand for those women who want to be beautiful for themselves, not for men or other women. Indian women were ready for that and that’s why they related to Nykaa. It was a type of empowerment”
Nykaa – Subsidiaries and Acquisitions:
Nykaa has acquired 20Dresses on 22nd March 2019 for an undisclosed amount. 20Dresses is a fashion and lifestyle e-commerce online website based on Mumbai, Maharashtra.
Nykaa-Funding and Investors:
Nykaa has raised a total of $145.9 Million over 10 rounds. The company received the latest funding from Steadview Capital on May 8, 2020, from Series F round.
|Steadview Capital||May 8, 2020||Series- F- Nykaa||Rs 670 Million|
|Steadview Capital||March 31, 2020||Series- F- Nykaa||Rs 1 Billion|
|Steadview Capital||Dec 1, 2019||Secondary Market||$30 Million|
|TPG Growth||April 1, 2019||Series E- Nykaa||Rs 1 Billion|
|Lighthouse Funds||September 5, 2018||Secondary Market||Rs 1.1 Billion|
|–||May 14, 2018||Series D- Nykaa||Rs 1.7 Billion|
|–||April 23, 2018||Series D- Nykaa||Rs 750 Million|
|Sunil Munjal||Sept 12, 2016||Series C- Nykaa||Rs 1 Billion|
|–||Oct 5, 2015||Series B- Nykaa||$ 9.5 Million|
|–||July 3, 2014||Series A- Nykaa||$3.4 Million|
Nykaa – Business Model & Revenue Model:
Online Business: Nykaa adopted for inventory model approach and maintains stock in warehouses across Mumbai, Delhi, and Bangalore and earns revenue from the sale of products online through the Nykaa App and the website.
Online Business: In addition to online e-commerce business, Nykaa also launched offline stores across the country to sell their products directly from the showrooms. It has stores in 3 formats- Luxe, On Trend, and kiosks. The products of Nykaa On Trend include fashionable & trending brands while Nyka Luxe products more premium brands such as Dior, Huda Beauty, M.A.C, etc.
More Stories: Startup Unfold
Nykaa – Awards:
Nykaa won as an” Emerging Retailer of the Year” at India’s retail champion awards 2019.
Further, Nykaa conducts “Nyka Femina Beauty Awards” in partnership with women’s lifestyle magazine. Femina (India).
In 2019, It has launched “The Power List” in partnership with Vogue, India. Further, it partnered with Bollywood actor “Katrina Kaif” to launch the brand “kay Beauty”.
Major competitors of Nykaa are Purplle, FabAlley, Fabindia, LimeRoad, Craftsvilla, Yepme, Koovs, Flipkart, Myntra and Fashion & you.
Nykaa – Revenue & Valuation:
In 2019, Nykaa has reached its break-even and earned a profit of Rs 2.73 crores when compared to Rs 17.71 crores loss reported in the previous financial year 2018. The valuation of Nykaa was around $500 million
Nykaa has currently 7 team members including founder and CEO Falguni Nayar.
- Falguni Nayar-Founder and CEO
- Hitesh Malhotra- Chief Marketing Officer
- Neha Kanoria- Vice President, Brands
- Kutub Ariwala- Vice President, Global Business
- Sanjay Suri- CTO & CPO
- Nihir Parikh- Chief Business Officer
- Rishi Seth- VP, International Business
“Giving advice on beauty is the best way to sell products,” says Falguni Nayar, Nykaa