How Omnichannel Brand The Body Shop Has Been Able To Increase Online Revenue By 30 pc

A strong social and online following with a vast customer base of loyal customers and large recruitment of new customers each month is a major reason behind the growth
How Omnichannel Brand The Body Shop Has Been Able To Increase Online Revenue By 30 pc

Given the rise of online channels of shopping and increased competition in the same, the brands are trying to figure out and solidify the right marketing strategies that work to increase their online sales. It is particularly true in the case of the beauty market too, which is one of the fastest-growing sectors in recent times. 

Omnichannel skincare brand The Body Shop India, even though has a strong retail presence of 200 retail stores across India, has been strongly investing in its online channel to grow. The company’s revenue from its web store and the online marketplace has grown from 15-18 percent pre-Covid to 40-50 percent in 2021. 

A strong social and online following with a vast customer base of loyal customers and large recruitment of new customers each month is a major reason behind the growth. 

"Our marketing communications are personalized and largely focussed around social media, email marketing and social advocacy," said Shriti Malhotra, CEO, The Body Shop India. 

The company also engage its audience around issues that concern them about self-care, positivity, inclusivity, plastic waste and the importance of recycling. 

"We are always looking for ways to reach our customers via unique and exciting social content – it’s a great way to get people excited to visit our stores and online to try our new and core products and participate in our campaigns," Malhotra further added. 

Other than being Omnichannel, it is also a multi-channel brand available in travel retail, transit retail and online marketplaces like Amazon, Nykaa and Myntra. 

Malhotra stated, "We are working with newer delivery partners including hyperlocal players. In the last 1 year, we’ve opened several new stores, created regional vernacular call centres, started doorstep delivery, launched Assisted Sales tools and E-beauty Advisors."

The Body Shop India's products are available with entry price points from Rs 200 to Rs 1,000, with some of its best selling products being under Rs 500. Noticeably, the company has been lowering prices for its bestsellers from time to time to ensure that price affordability is being consistently maintained. 

Focus On Sustainability

The Body Shop India is part of The Body Shop International which started in Brighton, England in 1976. It began with founder Anita Roddick building one of the first skincare brands to advocate for no-animal testing while developing products. 

The company claims to use sustainably sourced, natural ingredients, environmentally friendly synthetic ingredients. Over the past couple of years, it has taken steps to improve the footprint of its formulas and are really focusing on the sustainability of its ingredients. 

When the brand came to India back in 2006, it was the only brand operating in the cruelty-free segment, Currently, we have numerous D2C brands in the market offering the same: Kama Ayurveda,  Sequoia India-backed Mamaearth, Kerala-based Juicy Chemistry, among others. 

Market View

According to Euromonitor 2021, Skincare is 19 percent of the beauty market in India, which has grown from a mere $11 billion in 2017 and is expected to close to $30 billion by 2025. Taking advantage of the growth potential, 2021 has seen major developments in the sector such as Nykaa's IPO, major funds raised by Purplle ($45 million), MyGlamm (raised $25), entry of several skincare start-ups, and so on. 

Skincare is now highly accessible through penetration of retail stores across the country making way for skincare trials and personalized consultations and recommendations. Also, with the explosion of beauty content, beauty experts, beauty influencers, social and digital channels, experience centres, etc. have multiplied the demand for skincare products. 

The Body Shop India has been opening brand new stores in Delhi, Gurgaon, Mumbai, Bangalore, Kolkata, Kochi and Pune. The company plans to continue its expansion in Tier II and III cities. 

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