Franchising opportunities for those interested in the beauty or Cosmetics industry. To own a Nykaa franchise, one may need to invest at least INR 20 lakhs but not more than INR 70 lakhs.
Nykaa is a well-known Indian beauty and makeup company that has broadened its business operations by offering franchise options, a profitable opportunity.
Taking the Nykaa business franchise may be a profit endeavor for businesses in the beauty sector. Franchise owners may make a sizable profit on each product sold because to strong margins of 35% to 45%.
Nykaa Franchise is a well-known Indian beauty and makeup company that has broadened its business operations by offering franchise options, a profitable opportunity for anyone who wants to increase the products they sell. Items include make up, skin care goods, hair care products, fragrances and wellness things. Nykaa Franchise is a well-received business idea.
The company allows franchisees to open any kind of shop or both the physical as well as online locations of the company. As an attempt to help their franchises run profitably, Nykaa offers them confidence training. Depending on the location and size of the shop, it can cost one between INR 20-60 lakh as initial investment for owning Nykaa franchisee in India.
Taking the Nykaa business franchise may be a profit endeavor for businesses in the beauty sector. Franchise owners may make a sizable profit on each product sold because to strong margins of 35% to 45%.
There are several reasons why potential investors are looking at Nykaa for future endeavours. Some benefits to owning a Nykaa Store include:
Entry into the growing beauty market
Nykaa is a minimum-risk entry into the growing beauty market and the potential owner has a high chance of succeeding as the market continues to diversify. Very few markets in India have such a potential for growth as does semi-luxury beauty for men and women.
An unknown store will surely have a hard time attracting the attention of customers in today’s competitive atmosphere. But Nykaa itself is a huge brand. Operating under this brand will help the owner enjoy an automatic sense of trust and commitment from the existing customers of Nykaa.
Nykaa provides proper training to the owner as well as listed employees before the store starts operating. Even during daily operations, franchise support is available 24/7 and routine guidance is provided to owners across the country. These owners also enjoy the benefits of high quality data analysis used by Nykaa itself.
When it comes to big names in the beauty market, no other brand of this scale has come up with a franchise option that is this affordable. Nykaa Franchise Store can be opened by new and young enthusiasts who have the capacity to invest a lot of effort and time but only little capital.
Nykaa is going for a brand image that prioritises simplicity and casual comfort. Some basic requirements set by this brand include:
The minimum investment criteria set by Nykaa is 20 lacs. The expected cost of investment between setup and product purchase is between 20 to 60 lacs. The company has a set of guidelines that it expects any franchise to maintain as these guidelines reflect through the company really is.
The company has put a lot of focus on the floor area requirements. It is expected that the store should have 1000 to 2000 square feet floor area. The minimum requirement set by Nykaa is 500 square feet.
For potential owners who don’t have the perfect space ready for a franchise store, the cost of floor area will depend on where the store is located.
Mostly, a good location with readily available customers is preferred by the company.
Nykaa has a standard franchise agreement of 10 years. The payback period of each unit franchise is 1 years and will be stated clearly in the franchise agreement.
Nykaa requires each store to have at least three employees. For franchisees, the company encourages having multiple employees, as long as the recruitment is in favour of better management practices. Nykaa is very cautious about employee costs and prefers to hire individuals with versatile skills and job profiles.
Alllocation requirements for Nykaa are flexible, but the company has been giving precedence to one or two tier cities. Within a city, a locality that has affluent customers willing to pay extra for a good product are beneficial for both the company as well as the individual owner.
All resources that will fulfil the above mentioned requirements must be already available or guaranteed to be available to the owner when they apply for a franchise with Nykaa.
In order to succeed as a Nykaa Store, every franchise will need a solid investment, management and growth plan. Nykaa franchise representatives help new owners develop a solid business plan that can withstand the highs and lows of business.
Building and maintaining a solid investment plan requires experience, knowledge and expertise. The total investment is expected to be around 20 to 60 lakhs.
Nykaa as an organisation is heavily involved with the initial and routine update of product catalogue for every store. The franchise has to meet the product requirements set by Nykaa specialists on a regular basis. The owner needs a solid plan to tackle the rising initial costs of these routine changes.
Nykaa has promised an initial commission of 40% to the franchise owner. Since this is a popular brand in India today, owners can expect to earn 35% to 45% profit margin on every product in their store. Nykaa also has the capacity to buy wholesale products at a much cheaper price than normal retailers. As a franchise, the owner will also be receiving products at incredibly low costs.
It is expected that India will soon become the fifth largest beauty market in the world and among the top manufacturers of high quality beauty products around the globe. Nykaa has decided to tap into this amazing opportunity with its fascinating revenue model. The company has maintained that every franchise owner will receive territorial rights to the unit franchise and will also be able to take all managerial and operational decisions.
The Nykaa Franchise Store is a great option to build a successful beauty store from which the owner can develop a valuable understanding of this industry and expand their expertise further. In the end, Nykaa Franchise should be taken up by those who are willing to make medium to large scale investments on their store and can employ highly trained employees.
Nykaa Franchise is a well-known Indian beauty and makeup company that has broadened its business operations by offering franchise options, a profitable opportunity.