InvestorQ : How does Nykaa expect the consumer demand for its products to pan out this year?
Moii Chavate made post

How does Nykaa expect the consumer demand for its products to pan out this year?

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Tisha Malhotra answered.
1 month ago
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Nykaa, the digital fashion market place, which completed a success IPO last year, is the brainchild of Falguni Nayar, the former investment banking head honcho of Kotak Mahindra. While announcing their recent quarterly results for the June 2022 quarter, Nykaa has also outlined the demand scenario that it expects in the current year. According to Nykaa, it expects stronger demand for its products in the current quarter as the impact of positive growth will help while the impact of tapering inflation will encourage more buyers.

In a sense, inflation had dented consumer confidence and hence consumer spending. Nykaa expects that the upcoming festival season extending from September to December should boost consumer demand. That has been generally witnessed, especially for the beauty, personal care and wellness products. In the June 2022 quarter, Nykaa had reported 47% growth in gross merchandise value (GMV) at Rs2,156 crore. Nykaa is backed by TPG and other blue chipo PE funds and dominates domestic online beauty and personal care space with an imposing 30% market share.

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