Growth of Men’s Grooming Category in India: On Marico acquiring Beardo

In recent years, growth of men’s grooming category in India gas been just phenomenal. Gone are the days where men’s grooming was just limited to a finger comb and a razor. Millennial men are willing to spend handsomely to appear handsome. They don’t just use a fairness cream and charcoal activated face-wash but go-ahead to shop for products like beard oils, tattoo wax, face masks, body wash, and scented oils, etc. In an era of instant gratification and social validation, men are not behind in the race of grooming as they live through what Gillette promised ‘The Best A Man Can Get’

Ever since the acquisition of US-based startup Dollar Shave Club ($1 Bn) in 2016 by FMCG giant Unilever; there has been a boom in the men’s grooming category. For decades, the men’s grooming category has been dominated by the likes of Unilever, ITC, Nivea & Gillette (P&G) with their limited range. Now, other major Indian FMCGs are not shying away from acquiring stakes in the top grooming startups. A brief outlook of the recent investments & acquisitions in this space has been summarized below:

FMCGMen’s Grooming Start-upParent / Holding CompanyStake (%)Year
Wipro Consumer Care UstraHappily Unmarried202017
EmamiThe Man CompanyHelios Lifestyle302017
Colgate Palmolive (APAC)Bombay Shaving CompanyBSC142018
Marico Ltd.BeardoZed Lifestyle Pvt. Ltd.452017
Marico Ltd.BeardoZed Lifestyle Pvt. Ltd. (wholly owned subsidiary of Marico Ltd)1002020
An Overview of the category by acquisitions and year

Nykaa launched Nykaa Men in 2018 to grab a piece from this expanding market. It hosts 150-200 brands including a range of private labels on its marketplace as it looks forward to expanding its hold on the online beauty market across genders.

Facts & Stats about the growth of men’s grooming category in India

Men’s grooming market went from a mere INR 3200 crore in 2016, to a whooping INR 10,000 crore today. With a CAGR (2016-2020) of 45% the industry is poised to become INR 25000 crore by 2022 (2.5x times!). No wonder the popularity among the VCs!

Related: Take a look at how Dollar Shave Club is catering to men’s grooming requirements

The category has an omni-channel presence & is sold at multiple touch points. This essentially means you will find these products not only offline but also online. The category now has it’s own shelf space!

Some popular online platforms hosting the category include: Nykaa, Limeroad, Voonik, Purplle. For offline the companies have tied up with Salon chains, owned retail stores.

Range of Products in Men’s Grooming Category
  • Hair Care
  • Grooming Kits
  • Beard care & beard management
  • Bath & body care
  • Sexual Wellness
  • Sports Nutrition
5 Reasons why Men’s Grooming took off like a rocket
  • Lifestyle changes – fast-paced metro sexual men who care how they look
  • Awareness with the rise in salon culture
  • DIY (Do it yourself) self-care routine due to social media influencers
  • Grooming kits gifting culture especially in Corporate circles
  • Subscription model by leading start-ups like the Bombay Shaving company, etc.
Why does Marico’s acquisition of Beardo make perfect sense?

Marico has had a history of great brand acquisitions. Think SetWet & Livon, they perfectly integrated these personal care brands originally launched by Paras Pharma. Marico has a product portfolio rich in the personal care segment and Beardo can fit in very well in their product lines as a brand extension. Beardo, founded in 2015 has a proven track record of market demand, tremendous growth potential and huge reach across channels in its target group. The brand has the innovation cycle of 60-90 days as compared to 8-9 months; which is a typical for an FMCG firm. Now, although the acquisition amount is unknown, given the growth this category has achieved, we’re sure that the exit has been nothing less than a fruitful one!

You can watch this Ad before you roll. Will help you understand why the category has grown so much!

Hope the piece was helpful. The piece was penned down by Geetesh Makkar, drop a thank you when you can! The piece was a last moment, and so, much appreciated!

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