Indian beauty e-commerce portal will use the funds to expand its online business and set up offline retail stores
Nykaa.com, the beauty e-commerce portal from India and brainchild of investment banker turned entrepreneur, Falguni Nayar has raised US$3.3M through private investors including HNIs (High Net Worth Individuals) and NRIs (Non Resident Indians) to boost the expansion plans of the brand in the omni-channel retail space, including mobile.
With this capital, Nykaa.com aims to grow four times this year and another three and a half times by 2016. The capital raised is primarily to support Nykaa’s approach to straddle the online and offline space in beauty and e-commerce industry. It plans to use these funds to enhance the brand’s marketing initiatives, introduce new technology and manage its inventory, which includes over 300 brands and 10,000 SKUs (stock keeping units).
Falguni Nayar, CEO, Nykaa.com said, “It is very encouraging to see the belief our investors have shown in Nykaa’s business model, and have solidly supported our growth plans. …while our focus is online, Nykaa will soon be embracing multiple channels in our approach such as desktop, mobile and brick-and-mortar. We aim to have seamless integration between these channels to cater to the young and savvy customers who demand unparalleled brand accessibility and availability. Our aim through 2014-15 will be to make Nykaa.com the number one e-retailer for multi-brand cosmetics.”
Nykaa.com is also venturing into offline retailing space with its first store set to launch at the Terminal 3 of New Delhi Airport in mid-July. This store will give consumers access to the top luxury cosmetic brands along with the option of placing orders online through interactive screens and make-over tools.