Nykaa – How a 50 year old lady created a billion dollar startup
Nykaa is a brand that we have all heard of from different media and advertisements. Some of us would have heard it from our friends who have used it. After all, word of mouth is a good marketing method that is proving to be widely successful. Nykaa is one of the best beauty and personal care product brands. Nykaa has now gained an excellent customer base due to its successful marketing strategies.
History:- Nykaa was founded by Falguni Nayar, who was an investment banker. She along with her husband, Sanjay Nayar, invested $2 million in 2012 and controlled about 95% of the stakes. Being amazed by the variety of branded cosmetics that were available in the market, she turned to entrepreneurship at the age of 50.
Within 5 years, the company was able to break even the initial investment. Major marketing initiatives included hosting the Femina beauty awards in 2015 and 2016. It gained Unicorn status in 2020.
5 Marketing Strategies of Nykaa
Nykaa has the belief that it is easier to maintain customer loyalty when they are able to maintain a proper relationship with the influencer. Also, it can increase customer engagement.
It has always believed in collaborating with big names because collaborations have proven to be very successful for them. Be it the collaboration with Femina Beauty Awards or the recent collaborations with Katrina Kaif – Kaif with Kay beauty and Masaba – Masaba with Nykaa, all such collaborations help Nykaa to get popularity as well as target a wider audience.
Reference link- https://youtube.com/shorts/gOZf8k0mTSo?feature=share
Offers and Discounts
Offers and coupon codes are the best ways to attract customers in a very short time. Nykaa has been offering many discounts and coupons to its customers on purchasing branded beauty and skincare products from their portal. This has been one of their very successful strategies in marketing their e-commerce business. They use various coupon codes and offer various discounts so that they attract a maximum number of customers on various occasions and festivals. This has proved to attract a lot of customers for them and they hence have a good sale during the offer periods.
Content Marketing Strategy
To make it a point to attract new customers and retain old customers, the content team has to make the content very creative. They have a team of young and enthusiastic professionals for creating the best possible content. They make sure the content in all the platforms like websites, blogs, other articles, tutorials are all made in a very creative and understandable way.
Nykaa believes that by showing high-end content on their website, app and social media handles they can showcase global trends by which they can establish their own brand name.
For example:- They have active blogs where users can get expert advice from professionals on beauty and wellness as well as get many tips on makeup.
Social Media Marketing Strategy
Today, the world is running on social media. Everyone has an account on almost all the social media pages. Instagram and Facebook are widely used to display advertisements. Nykaa’s social media marketing is also excellent. The Instagram page of Nykaa has a lot of new followers each day and the same goes for Twitter and Facebook. They have integrated some social media pages with the ‘shop now’ button, which helps the customers go to the website and order the required product. It has a very strong social presence and is hence able to have a personal touch with the customers.
Reference link- https://instagram.com/mynykaa?igshid=YmMyMTA2M2Y=
Marketing Through YouTube Channel
Youtube is the media where people go to waste their time by watching videos. They have a segment known as “Nykaa TV” which was made by seeing the importance of the advertising market by the means of videography. Nykaa has up to 1.24 million subscribers on its YouTube channel. This channel on YouTube helps the viewers to know more about beauty and wellness products and their “how-to” videos also provide a lot of information on products related to this sector. Moreover they have celebrities and their stylists make short videos on make-up and skincare as well!
Reference link- https://youtube.com/c/Nykaa