Welcome to Brands pe charcha, we are doing a 10-day celebration of the women who’ve shattered glass ceilings and redefined the business landscape. We’re kicking off this powerful series with the visionary behind Nykaa, Falguni Nayar, whose story is a testament to bold ambition and unwavering determination.
Starting Over at 50: A Dream Beyond Comfort
In 2012, Falguni Nayar had what most would call a perfect life. As the Managing Director of Kotak Mahindra Capital, she had spent decades shaping businesses, leading billion-dollar deals, and building a formidable reputation in the financial world. She had stability, security, and success—everything a high-profile career could offer.
But deep down, she wanted more.
At 49, she made a decision that many considered unconventional, even risky. She stepped away from her corporate career to start from scratch in a new industry—beauty and e-commerce.
Many questioned her choice. Why leave a secure, high-paying job at this stage of life? Why take the risk of entering a competitive industry dominated by global giants? Why start a business when most people her age were planning for retirement?
Her answer was simple: “I wanted to build something of my own.”
That’s how Nykaa was born.
Identifying the Gap: Bringing a Global Concept to India
The Indian beauty industry in 2012 was largely unorganized and fragmented. Most women relied on local cosmetic stores with limited choices, counterfeit products were common, and expertise was scarce. Access to international brands like MAC, Huda Beauty, or Estée Lauder was limited, often requiring travel abroad or reliance on unreliable sellers.
Falguni saw an opportunity.
She envisioned India’s own version of Sephora—a platform where women could find high-quality, authentic beauty products, all in one place.
Her goal was not just to create an online marketplace but to build a trusted brand. Unlike Amazon or Flipkart, where beauty products were just another category, Nykaa would be exclusively dedicated to beauty and personal care.
But building a beauty business was not easy, especially without prior experience in e-commerce or retail.
The Challenges of Building Nykaa From Scratch
Starting a business at 50 came with its own set of challenges.
- Lack of Industry Knowledge – She was a banker, not a beauty entrepreneur. She had to learn the business from the ground up.
- Funding & Skepticism – Investors were hesitant. Many doubted whether an online beauty store in India could succeed.
- Tough Competition – Established brands like Lakmé, Revlon, and Maybelline dominated the market. Consumers were accustomed to buying from physical stores.
Yet, Falguni remained determined. Instead of waiting for investors, she invested her own money into the company and focused on building trust with customers.
She started small, launching Nykaa as an online platform with just 60 brands.
Her strategy was clear:
- Offer only 100% authentic products directly from brands.
- Educate customers through blogs, videos, and tutorials to help them make informed decisions.
- Expand from online sales to physical stores, making Nykaa a beauty powerhouse.
The early years were tough, but Falguni stayed committed to her vision.
The Growth of Nykaa: From a Startup to a Billion-Dollar Empire
Nykaa’s journey from a startup to a leading beauty and fashion retailer is a testament to strategic expansion, relentless focus on quality, and innovation.
- 2015 – Nykaa introduced its first private-label beauty products, offering higher margins and exclusive offerings.
- 2018 – The company crossed ₹1,000 crore in revenue, solidifying its market position.
- 2020 – Nykaa turned profitable, a significant achievement in the startup ecosystem.
- 2021 – Nykaa launched its IPO, with its valuation soaring to ₹1 lakh crore ($13 billion), making Falguni Nayar India’s richest self-made woman entrepreneur.
As of the third quarter of FY25, Nykaa continues its impressive growth trajectory:
- Q3 FY25 Financial Performance:
- Net Profit: ₹26.41 crore, a 51.3% increase from ₹17.45 crore in Q3 FY24.
- Revenue: ₹2,267.2 crore, up 26.7% from ₹1,788.8 crore in the same period last year.
- Gross Merchandise Value (GMV): Grew 25% to ₹4,527.9 crore.
- Beauty Segment:
- GMV: Increased by 32% year-on-year to ₹3,389.9 crore.
- Customer Base: Cumulative beauty customer base grew to 32 million, with a One Nykaa cumulative base of 40 million.
- Order Volume: Saw a 30% year-on-year growth, the highest in the last nine quarters.
- Fashion Vertical:
- GMV: Registered an 8% growth to ₹1,129.9 crore.
- Profitability: Continued improvement with cost efficiencies across several cost items.
- Physical Expansion:
- New Stores: Launched 12 new stores in Q3 FY25, bringing the total to 221 stores across 73 cities.
- Order Delivery: Achieved 70% of beauty orders delivered within the same or next day in the top 110 cities.
- Distribution Business (Superstore by Nykaa):
- GMV Growth: 52.7% year-on-year to ₹259.7 crore.
- Annualized Run Rate: Achieved a milestone of ₹1,000 crore within three years.
- Profitability: Contribution margin improved by 509 basis points year-on-year, to -12.1% in Q3 FY25 from -17.2% in Q3 FY24.
These figures highlight Nykaa’s robust performance and strategic growth across various segments. citeturn0search0
The Game-Changing Strategies Behind Nykaa’s Success
Falguni Nayar didn’t just follow industry trends—she created new ones.
1. The Power of Content & Community
Nykaa focused heavily on education and engagement, building a content-driven strategy with:
- The Beauty Book Blog – A dedicated space for tutorials, skincare tips, and makeup guides.
- Influencer Collaborations – Partnering with beauty bloggers to showcase product reviews.
- YouTube & Instagram Engagement – Creating tutorials, Q&A sessions, and masterclasses with makeup artists.
This approach built trust and loyalty, making Nykaa more than just a store—it became a beauty authority.
2. Exclusive Brand Partnerships
Nykaa convinced global beauty brands like Huda Beauty, Charlotte Tilbury, and Fenty Beauty to launch in India exclusively through Nykaa. This move made Nykaa the go-to platform for premium beauty products.
3. The Omnichannel Approach
Understanding the Indian consumer’s hesitation to buy beauty products online, Nykaa expanded into physical retail stores. Today, it has:
- Luxury Nykaa stores in high-end malls.
- Nykaa On Trend stores featuring top-rated products.
- Nykaa Kiosks in smaller cities to reach a wider audience.
This hybrid approach bridged the gap between online convenience and offline trust.
The Impact of Social Media & Brand Ambassadors
Nykaa mastered the art of digital marketing, ensuring its presence on every platform.
Major Campaigns That Went Viral
- #YourBeautyYourWay – A campaign celebrating beauty in all its forms, promoting self-love and inclusivity.
- Nykaa Femina Beauty Awards – One of India’s most prestigious beauty awards, bringing together celebrities, influencers, and top brands.
- Nykaa Hot Pink Sale – One of the biggest online beauty sales, driving massive engagement and sales.
- Brand Collaborations – Partnering with Bollywood celebrities like Katrina Kaif, Janhvi Kapoor, and Alia Bhatt to enhance visibility.
Falguni also leveraged Bollywood glamour, making Nykaa synonymous with aspirational beauty. The brand signed top-tier celebrities as ambassadors, ensuring mass appeal across different demographics.
Beyond Business: Nykaa’s Social Impact
Nykaa is more than a marketplace—it’s a movement.
- Empowering Women Entrepreneurs – Through initiatives like Nykaa Network, the brand supports budding beauty entrepreneurs.
- Sustainability Efforts – Nykaa launched its ‘Conscious at Nykaa’ initiative, promoting eco-friendly and cruelty-free beauty.
- Inclusivity in Beauty – The brand actively promotes diverse beauty standards, ensuring representation of different skin tones, body types, and gender identities.
Conclusion: An Inspiration for Every Woman
Falguni Nayar’s journey proves that age is just a number, and ambition knows no limits.
At 50, she stepped into the unknown, built an empire from scratch, and changed the way India buys beauty products. She didn’t let doubts hold her back—she trusted her vision, took risks, and revolutionized an industry.
Her story is a reminder that dreams don’t come with an expiry date. Whether you’re in your 20s, 30s, or 50s, there’s always time to start, to build, and to succeed.
Nykaa’s success isn’t just about numbers—it’s about empowering millions of women to embrace beauty on their terms, to build businesses, and to create legacies of their own.
So, if you have a dream, take the leap. Just like Falguni did.
