Nykaa expands abroad, launches Kay Beauty in UK
What's the story
India's leading beauty retailer, FSN E-Commerce Ventures Ltd., the parent company of Nykaa, is expanding its international operations. The Mumbai-based firm is launching its Kay Beauty brand in the UK on Thursday, in partnership with Ulta Beauty Inc.-owned Space NK. This move comes as part of a larger strategy to take on global cosmetics giants outside India.
Market entry
Launch marks beginning of global expansion
Adwaita Nayar, Co-Founder and Executive Director of FSN, revealed the UK launch of Kay Beauty is part of a larger plan to expand the brand beyond India. The brand was co-created with Bollywood star Katrina Kaif in 2019. Nayar also hinted at possible future expansions into markets like the US, the Middle East, and parts of Asia.
Expansion strategy
FSN has already made inroads into the Middle East
FSN has been eyeing international markets since its stellar IPO debut in 2021. The company has already made inroads into the Middle East by partnering with the UAE-based Apparel Group and opening a retail store in Dubai last year. It has also launched subsidiaries in Qatar and Oman as part of its global expansion strategy.
Future prospects
Local beauty market growth fuels FSN's optimism
Despite the competitive cosmetics and skincare market in the UK, FSN is optimistic about its growth. The company plans to almost triple its gross merchandise value for its in-house cosmetics brands by March 2030. This ambitious target is backed by a strong local beauty and personal care market that is expected to grow from $21 billion in 2023 to $34 billion by 2028, according to Redseer Strategy Consultants and Nykaa.