- The online store will be separate from Tata CLiQ, which also deals with segments such as clothing and electronics in addition to beauty products.
- Tata Digital is rapidly diversifying to capture the rapidly evolving consumer segments within the digital ecosystem.
- Tata Digital has delayed the launch of its Super App pending clarification on new e-commerce consumer protection rules.
New Delhi: Tata Digital, part of India’s oldest group of companies, is said to be finalizing its plans to launch a new e-commerce platform exclusively for selling beauty and cosmetic products, by direct competition with Nykaa, Purplle and MyGlamm.
The Economic times citing executives directly familiar with the development mentioned that the online store will be separate from Tata CLiQ, which also deals with segments such as apparel and electronics in addition to beauty products, and existing e-commerce verticals like Westside who sell cosmetics, beauty, clothing and household lifestyle products online.
“Tata Digital is rapidly diversifying to capture rapidly changing consumer segments within the digital ecosystem. The group sees the future business as a high growth strategic platform, ”the publication said, citing one of the executives mentioned above.
Tata Digital, a wholly owned subsidiary of Tata Sons, houses the digital assets of the salt-to-software conglomerate. In May, Tata Digital acquired a controlling stake in online grocery provider BigBasket. This was followed by Tata Digital which took a controlling stake in the online pharmacy 1mg Technologies, in direct competition with Netmeds, owned by Reliance. He also invested Rs 546 crore in home fitness startup Cult.fit.
According to the financial daily, Tata Digital has delayed the launch of its Super App pending clarification on the new consumer protection rules for e-commerce.
The beauty and wellness segment is seeing frantic action and the online space is still fueled as consumers continue to shop online even amid the reopening of malls and markets.
Citing a recent report from Avendus, the financial daily mentioned that the online personal care and beauty market in India is expected to reach $ 4.4 billion by 2025. Buyers of beauty and personal care products online are expected to more than quadruple, from 25 million in FY20 to 110 million in FY25, according to the report.
Beauty and fashion e-commerce Nykaa is expected to launch its initial public offering at a valuation of $ 4 billion later this year. Others like MyGlamm and MamaEarth are also growing online and with offline stores. Nykaa recently launched The Global Store to sell international beauty brands.
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