“Zomato becomes the first major start-up to get listed which will pave the way for many other such listings. Zomato is a technology-enabled food aggregator platform that connects customers, restaurant partners, and delivery partners, serving their multiple needs", Aditya Kondawar, COO, JST Investments told Livemint that time.
Seems Kondawar predicted the future as recently Nykaa too announced its Initial Public Offering (IPO).
The Mumbai-based beauty and fashion startup was founded by Falguni Nayar and is aiming to file its draft red herring prospectus, or DRHP, within the next few days, according to The Print. The startup is planning to sell just more than 10% of the equity and raise $400 million or more.
According to Mr Raghav Sood, Co-founder, and CEO at Skin Elements, “A lot many brands would be going for an IPO in the coming 3-5 years.”
“Beauty space is evolving with new technology and with improving logistics. Customers in the remotest part of the country now have the access to all the brands with a click of a button. Brands are able to find niches and segments that were totally unaddressed before. We are seeing niches grow with these brands, giving them a leverage to entry to mass markets,” he added.
Sood also says that customers are now more open to experiments.
“With the trust gained in past few years by Amazon & Flipkart, today the customer is open to trying out even the new brands operating via their own channels. With the increase in per capita income, rise in the consumption will only increase. E-commerce and online Beauty care can only go upwards from here,” he said.
For Anondeep Ganguly, Founder and CEO at Skin Pots, customer engagement and education is the reason why many brands are going for IPO.
“Patented, superior scientific product formulations and great packaging will be the foundation of successful skincare brands. Consumer demand for simple and effective products that respect our skin and the world we live in is on the rise again,” Ganguly told Opoyi.
He also says that with the increase of consumer know-how and the quality of at-home products coupled with the ease of digital experimentation, infusing luxury into our everyday routine is here to stay.