In this digital era, the convenience of shopping for clothes, medicines, and various other products with just a few clicks has become a remarkable aspect of our lives. Embracing this trend, the beauty industry is also experiencing rapid growth, with an abundance of skincare, haircare, cosmetics, and fragrance options available at our fingertips.
Among the rising stars in the beauty industry, Purplle stands out as an e-commerce beauty brand making significant strides to compete with established players. Founded in 2011 and headquartered in Mumbai, Maharashtra, Purplle has emerged as a multi-brand beauty retailer offering a diverse range of cosmetic and wellness products.
Purplle has harnessed the power of its online platform to provide an exceptional shopping experience for beauty and wellness enthusiasts. By curating a vast collection of beauty brands and products, the company aims to elevate the way people shop for their cosmetic needs. This approach has garnered immense popularity, making Purplle a favourite among consumers.
Notably, Purplle achieved a remarkable milestone on June 9, 2022, when it joined the coveted club of unicorn companies by reaching a valuation of $1 billion. This achievement solidifies Purplle’s position as a strong competitor to industry giants like Nykaa.
Purplle – Company Highlights
|Headquarters||Mumbai, Maharashtra, India|
|Industry||Online shopping, Cosmetics|
|Founders||Manish Taneja and Rahul Dash|
|Valued at||$1.1 billion (June 2022)|
|Revenue||$16.97 mn (Rs 128.2 crore in FY21)|
|Funding Raised||$294 mn (June 2022)|
Puplle – How It Works?
At Purplle.com, you’ll discover an impressive collection of products from renowned global brands, all offered at competitive prices. The platform boasts over 650 brands and an impressive selection of 50,000+ SKUs, ensuring a diverse range of options for every beauty need. Additionally, Purplle partners with more than 300 beauty-specific sellers, ensuring the availability of high-quality products and seamless delivery.
To enhance customer satisfaction, Purplle has established an exceptional customer service department accessible through their dedicated customer care number. With their commitment to customer support, they strive to address any queries or concerns promptly and effectively.
Purplle goes beyond product offerings by facilitating salon bookings through its Salon Booking Marketplace. With detailed pricing information available on the platform, customers can effortlessly choose the right salon or spa that suits their preferences. Moreover, Purplle has its own chain of Premium Economy Salons called Purplle Salons, offering customers an exceptional salon experience.
Organising its website around three primary categories, Purplle caters to diverse beauty needs. The Beauty Product Marketplace showcases an extensive array of makeup, skincare, and haircare products. The Salon Booking Marketplace allows users to book appointments at nearby salons and spas conveniently. Lastly, Purplle Salons aim to create a top-notch salon experience for customers, reflecting the brand’s commitment to excellence.
Purplle – Industry
The personal care and cosmetics industry in India has witnessed remarkable growth, driven by the nation’s improved quality of life. Prior to the COVID-19 pandemic, this sector experienced an impressive estimated growth rate of 9.7% between 2018 and 2023.
However, the pandemic did have a noticeable impact on the industry’s growth trajectory. Between 2019 and 2020, the growth rate slowed to 2.3%. Despite this temporary setback, the industry still managed to achieve a market value of over $15 billion in December 2020. Looking ahead, there is optimism for the industry’s recovery as it is forecasted to experience a growth rate of 1.7% in 2020-2021, with further improvement expected from 2022 onwards.
As the world gradually emerges from the challenges posed by the pandemic, the personal care and cosmetics industry in India is poised for a rebound. Revenues are anticipated to increase by a promising +2.8% in the coming years, signalling a return to a positive growth trajectory.
Purplle – Founders and Team
Purplle was established in 2012 by a visionary team comprising Manish Taneja as the Co-founder and CEO, Rahul Dash as the Co-founder and COO, and Suyash Katyayani as the Co-founder and CTO
Purplle – Business Model
Purplle started its journey in 2011 as a direct-to-consumer (D2C) beauty products retailer, leveraging its eCommerce website and app. Similar to other market leaders like Amazon, Flipkart and Nykaa, Purplle has also made its way into the private label space. In 2015, it acquired the in-house brand StayQuirky to bolster its private-label offerings.
Purplle – Revenue Model
As a beauty and cosmetics D2C eCommerce brand, Purplle generates revenue primarily through product commissions and marketplace fees. Additionally, a significant portion of its revenue comes from advertising on its app and website.
Purplle – Growth and Revenue
Despite the challenges posed by the pandemic, Purplle has experienced notable growth in recent years. As of October 2021, the company is achieving a year-on-year growth rate of approximately 80%. It has also scaled its annualised gross merchandising volume to $180 million in FY22.
Other growth highlights include:
- Monthly net sales of around Rs 65 crore
- A user base of 7 million monthly active users
- Offering 60,000+ products from over 1,000 brands
- Witnessing a year-on-year growth rate of approximately 90%
While Purplle’s operating revenue increased from Rs 91.4 crore in FY20 to Rs 128.2 crore in FY21, the company struggled to improve its EBITDA margins during the same period, which worsened from -19.80% to -31.37%. The annual losses of the company also rose by 114% from Rs 24.4 crore to Rs 52.2 crore in FY21.
Despite these challenges, Purplle remains a prominent player in the beauty industry, continuously striving for growth and success.