Nykaa plans to invest Rs 100 crore in expanding its retail outlets.The company also aims to retail its private label brands abroad.
Huge investments
Nykaa has earmarked close to Rs 100 crore of capex to invest in expanding its brick-and-mortar presence. “We are investing in fulfillment centres, which are large warehouses,” Nykaa’s Group CFO Arvind Agarwal told Economic Times.
“So we are investing ahead of the curve building capacity to get closer to the customer. We launched the Guwahati warehouse as earlier we were shipping from Kolkata. Similarly, we launched in Hyderabad, Chennai and are working on many more such geographical expansion and capacity additions,” he said.
Nykaa Beauty
The business runs numerous private label brands and product lines under the umbrella of Nykaa Beauty. “In terms of exports, the idea is to take our own brands, such as Nykaa cosmetics and Kay Beauty, which is a celebrity brand outside India,” said Agarwal.
Nykaa will first tap into markets where there is a large Indian diaspora. This includes the UK, Europe, and the Middle East.The business is still fine tuning its strategy for international retail.
