Nykaa, an Indian omnichannel consumer-tech company and beauty and lifestyle retailer, has inked a deal with UAE-based retail conglomerate Apparel Group to expand its presence in the GCC market.
Sima Ganwani Ved, founder and chairwoman at Apparel Group, said: “We understand our markets and our consumers & continually strive to exceed their expectations through our innovative and forward-thinking mindset.
“Our omnichannel approach, which includes the first-ever phygital store in the GCC region, has made us the partner of choice for a large plethora of brands. This alliance is going to be a new chapter in our expansion journey as we look forward to leveraging each other’s strengths and offering unique value propositions to our consumers in the GCC region. So, we are ready to embark on what will be history in the making.”
The Apparel Group has more than 78 lifestyle and beauty brands in its portfolio, operating more than 2,010 stores across 14 countries and employing more than 16,000 workers.
Since its opening in 2012, Nykaa has flourished both online and offline in India. Today, it boasts 112 retail stores, selling more than 4,500 brands across its platforms.
Falguni Nayar, the founder and CEO of Nykaa, said: “Over the last decade, we have focused on building a formidable assortment of beauty offerings for the Indian consumer, bringing them the most coveted brands, trends and experiences from across the globe.
“Emboldened and encouraged by the love and trust of consumers in India, we now look forward to recreating our distinct beauty retail value proposition internationally, beginning with the GCC, with the Apparel Group. Much like our own story, the Apparel Group has written their success in the GCC owing to an acute sense of consumer needs and a solid foundation of offline retail that includes robust local partnerships, fulfilment centres and supply chain, models. Through this alliance, we are confident of growing the GCC beauty market and bringing the best of both brands to a new world of consumers.”
According to a report by strategy consulting firm Red Seer, the beauty and personal care markets in Saudi Arabia and the UAE were valued at $17.1billion and $6.6 billion respectively last year and are expected to increase at a compound annual growth rate of 7 per cent and 9 per cent respectively over the next three years.
“We do believe that the per capita consumption of beauty is very high in the region. We see this as a multi-year growth opportunity,” said Ms Nayar.
