Male grooming is here to stay and has been demonstrated in the last year with large consumer goods companies acquiring startups. For example, British multinational consumer goods company Reckitt Benckiser spearheaded a Rs 45 million funding round at Bombay Shaving Company earlier this year, while Marico acquired Beardo men’s hairdressing company in 2020. In June, Emami Ltd also increased its stake in the men’s hairdressing business The Man Company to 45.96% from the 33.09% stake it previously held. “While offline stores were affected, our online business grew more than 200% in fiscal year 21 compared to fiscal year 20,” Bhisham Bhateja, co-founder of The Man Company, told BrandWagon Online. The company claims that its net income grew between 10 and 12% in fiscal year 21 compared to fiscal year 2020.
According to Research and Markets, the Indian men’s grooming market stood at $ 643 million in 2018 and is projected to grow at a CAGR of over 11% to exceed $ 1.2 billion by 2024. Much of it is expected of this growth is driven by online channels. as Covid -19 has put e-commerce at the forefront of retail. “In May 2021, total visitors to our website increased by 400% compared to May 2020. During the shutdown, more men began searching online for new products and watching instructional videos on how to groom or groom their beards. get a hairstyling style. shave at home. Demand for razors and trimmers increased by 50% compared to last year, ”said Sidharth S Oberoi, founder and CEO of LetsShave, adding that after the pandemic, the D2C market is no longer restricted to Metropolitan and Tier 1 cities and has gone far beyond these places. As more and more people have access to technology and the Internet, people are realizing the benefits of online shopping options and are willing to give it a try and experience something new. In terms of brands, a handful of initiatives such as the launch of the DIY personal care kits, the antibacterial skin care range, to the instructions for use and personal care tips on platforms such as Instagram and its own websites have helped connect with consumers amid the lockdown.
Even though the market continues to grow, rigidity continues to be a challenge for brands. According to virus Razdan, managing director of brandnomics, while the variety and innovation are evident, the challenge is to maintain it and, therefore, the brands have to emerge as brands with a strong relationship. “This requires building a community, regular conversations and incentivizing consumers and not just being restricted to cross-promotion,” he added. Since most of these brands have an online presence, they are presented with the opportunity to have a close conversation, as they know their consumers well, in terms of what they have bought, the products that have not been bought back, the expired customers, among others.
Interestingly, the idea of personalized content marketing seems to have found its way into brands’ marketing efforts. For example, for Bombay Shaving Company, online will account for 70-75% of ad spend, and 25-30% will be spent offline. “Previously, we spent 70% of our advertising budgets on performance marketing and 30% on brand marketing. By fiscal year 22, 40% would be spent on performance and the rest on brand marketing. We want to invest our investments in content generation and community building, as long-term capital building will be through brand investments and not just performance investments, ”said Shantanu Deshpande, Founder and CEO of Bombay Shaving Company. The company also plans to spend money on discovery with sponsored videos, branded content, and influencer-led videos.
Industry stakeholders believe that, in the long term, both online and brick-and-mortar stores will be key to growth. Therefore, brands plan to expand their offline presence simultaneously. The Man Company, for example, which had a presence in modern outlets like Shoppers Stop, Lifestyle, and Central pre-pandemic, entered the hypermarket business model by collaborating with Spar, Reliance stores, Big Bazaar, as well as retailers. regional supermarkets such as Vijetha in the South market, among others. As for the Wipro-backed D2C brand, LetsShave, which has a presence on its website, as well as e-commerce platforms such as Amazon, Flipkart, Nykaa, Myntra, Grofers, also plans to open physical stores across India in the coming years. years. . “One of the most critical things for a brand is to be present in all the places where customers are present,” Oberoi said.
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