Nykaa's quick commerce venture expands to 7 cities, promises order delivery in 30-120 min
Simultaneously, Nykaa is also bolstering its offline presence, with the opening of 237 stores in 79 cities to date
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Beauty and fashion e-retailer Nykaa, which made its debut in quick commerce service in October 2024, has now expanded it to seven cities.
According to the regulatory filing, Nykaa's fast delivery venture, 'Nykaa Now' has more than 40 rapid store counts in seven metro cities. Nykaa's parent firm FSN E-Commerce has promised order fulfilment between 30-120 minutes.
In the recently held Quarter 4 earning call, Nykaa founder Falguni Nayar said the company's focus is on 2-hour delivery at present.
"We are also building it in a way with a promise of within 2-hour delivery with most likely delivery timelines of 60 minutes, which is a better way to build a beauty quick commerce business," Nayar said.
Simultaneously, Nykaa is also bolstering its offline presence, with the opening of 237 stores in 79 cities to date.
The beauty retailer has clocked significant sales, driven by premium brands. According to the company, it witnessed a 9-fold jump in premium customer annual consumption in fiscal year 2025. The average annual spending stood at $395 (Rs 34,120 approx) by the top 10% of customers, Nykaa mentioned in its latest investor report.
Nykaa's beauty vertical grew by 30%, about Rs 11,780 crore GMV in FY25. In contrast, the fashion growth came out at 12% on a year-on-year basis at Rs 3,800 crore of GMV.
House of Nykaa, the brands owned by the company, clocked Rs 1,700 crore GMV in the beauty segment--a six-fold rise YoY in FY25. Nykaa-owned fashion brands registered Rs 430 crore GMV in the same period, driven by a surge in homegrown D2C brands, occasion-led demand, and spending on brands outpacing unbranded products.
GenZ is driving major growth for the lifestyle category, according to Nykaa. In FY25, GenZ's spending stood at $0.9 trillion, which is estimated to jump to $1.4 trillion by 2030.
According to Redseer's report, the Beauty & Personal Care and Fashion segments account for a quarter of discretionary spending in India FY25. However, the lifestyle categories are projected to drive the e-commerce industry's growth from $23 billion in FY25 to $70-75 billion in FY30.
