Unlocking Growth in India’s Luxury Beauty & Skincare Market

Client Background 

A top international beauty and personal care company wanted to build its presence in India’s luxury skincare and beauty space. With a broad portfolio of premium skincare and cosmetic brands, the company hoped to streamline its approach to increasingly diverse Indian consumers spanning income segments, age groups and regions. 

Client’s Challenge 

The client wanted a deep dive on India’s luxury beauty/skincare market dynamics. They needed insights into: 

• Consumer behavior segmentation based on income, age, gender, and geography to refine their product and marketing strategy.
• Competitive landscape analysis to assess brand positioning and market share of both global and regional players.
• Sales channel performance evaluation to determine the role of online and offline retail in driving luxury skincare and beauty purchases.
• Market forecasting to identify emerging opportunities and potential challenges in India's luxury beauty sector. 

Without these insights, the client risked misaligning their product positioning and losing ground to competitors in a quickly evolving market. 

How Mordor Intelligence Helped 

Luxury Beauty Market Segmentation 

• Conducted an in-depth market analysis by product category, covering facial care, eye & lip care, and body care. 

• Examined sales patterns across online and offline retail channels for optimal distribution. 

Consumer Behavior Insights 

• Conducted a detailed study on consumer preferences and purchasing triggers across different income groups, age brackets, and regional demographics. 

• Analyzed key factors influencing luxury beauty purchases, including brand perception, product benefits, and pricing sensitivity. 

Competitive Positioning & Brand Benchmarking 

• Compared the competitive environment, charting the market position of international and regional luxury skincare brands. 

• Offered insights into the pricing strategy, marketing activities, and drivers of brand loyalty for the Indian luxury beauty market. 

Strategic Market Forecasting 

• Delivered sales estimations and market growth projections to help the client anticipate emerging trends and adjust their business strategy accordingly. 

Key Findings 

• Shifting Consumer Priorities: A growing preference for premium, ingredient-led skincare products was observed, especially among high-income and urban consumers. 

• Online vs. Offline Performance: Online was also higher growth, but offline retail was still key for luxury beauty because of the experiential nature of the category. 

• Competitive Landscape: Global brands were dominant, but regional players were emerging through localized formulations and customized skin care. 

• Price Sensitivity & Brand Loyalty: Consumers were very loyal to some premium brands but were influenced by promotions and alternative premium options. 
  

Impact Created 

• Refined Market Penetration Strategy: Customer insights to customize marketing and products to target demographics.

• Optimized Sales and Distribution Channels: Adjustments in their online and offline retail strategies improved brand accessibility and increased customer engagement.

• Strengthened Competitive Positioning: Strategic recommendations helped the client refine their pricing, branding, and product positioning to enhance their market share in the Indian luxury beauty segment.

• Future-Ready Business Decisions: Data-backed forecasting enabled the client to proactively adapt to upcoming trends and stay ahead of competitors. 

Our Industry Coverage 

With deep expertise in the Beauty & Personal Care sector, Mordor Intelligence has conducted numerous customized research studies to help clients navigate dynamic market landscapes. Our specialized services include: 

• Market Entry Strategy & Expansion Analysis: Guiding global brands on successful entry strategies and regional adaptation in new markets. 

• Consumer Behavior & Brand Perception Studies: Unveiling key purchase drivers, brand positioning, and evolving consumer preferences in the beauty industry. 

• Competitive & Brand Benchmarking: Delivering detailed brand performance assessments and competitor insights to enhance strategic decision-making. 

• Sales Channel & Pricing Intelligence: Identifying optimal sales channels, pricing models, and retail strategies for luxury and mass-market beauty brands. 

From comprehensive market evaluations to targeted brand and consumer intelligence, Mordor Intelligence equips beauty and personal care companies to make data-informed strategic decisions.