According to a survey by Bobble AI, Purplle has seen a 70% increase in active users, while Nykaa has seen a 50% increase
According to a survey by Bobble AI, Purplle has seen a 70% increase in active users, while Nykaa has seen a 50% increase
According to a survey by discussion media platform Bobble AI, e-commerce in India increased by 77 per cent between 2020 and 2021, and tier two and three cities are transacting more than before.
The analysis is based on over 50 million smartphone users in 640+ Indian cities, handled in a privacy-compliant manner. While tier-one cities dominate the fashion festival data, transactions in tier two cities such as Jaipur, Guwahati, Lucknow, Kochi, Mysore, and Bhubaneswar are at an all-time high, rising 82 per cent year over year.
According to the report, the bulk of consumers are between 26 and 35, accounting for 37%, and 18 and 25, accounting for 26%, with 72 per cent males and 28 per cent females.
Beauty e-commerce app usage increased by 64%, while fashion e-commerce increased by 368 per cent, according to a poll on the condition of e-commerce in India performed across Tier 1, 2, and 3.
Purplle also grabbed a bite out of Nykaa’s pie in the beauty e-commerce industry. During the 2021 shopping festival, Purplle saw a 70% rise, inactive users, while Nykaa saw a 50% increase. Purplle has grown from a 15% joint user base in 2020 to a 17 per cent user base in 2021.
This festive season, beauty player Purplle snatched a slice of Nykaa NSE 5.62 per cent’s pie, according to research published on Tuesday by discussion media platform Bobble AI.
Nykaa, which recently had a blockbuster bourse listing, witnessed a 50% increase in active users compared to Purplle, which saw a 70% increase in active users during the 2021 shopping festival.
Purplle, which had a 15% joint user base in 2020, currently has a 17 per cent user base in 2021, according to Bobble AI.
Nykaa‘s Background-
Falguni Nayar founded Nykaa, an Indian e-commerce firm based in Mumbai, in 2012. It has 76 physical shops and sells beauty, wellness, and fashion products online and mobile apps. It was the first unicorn business in India to be led by a woman in 2020.
Nykaa distributes products that are made both in India and around the world. In 2015, the company switched from an online-only to an omnichannel approach, and it started offering products other than beauty. By 2020, it will have sold over 2,000 brands and 200,000 products through its various platforms.
Falguni Nayar, a previous managing director at Kotak Mahindra Capital Company, launched Nykaa in April 2012. It started as a beauty and wellness eCommerce store that offered various products. The word “nykaa” is derived from the Sanskrit word “nayaka,” which means “actor” or “one in the limelight.” The website was first launched around Diwali in 2012, and it went commercial in 2013.
In 2015, the company switched from an online-only to an omnichannel approach and started selling fashion items.
In 2018, Nykaa Man, India’s first multi-brand online store for men’s grooming, opened its doors. The company’s first push into the fashion business was Nykaa Design Studio, later renamed Nykaa Fashion.
Nykaa PRO was released in 2020. Nykaa App users can have unique access to professional beauty items and deals through a premium membership programme. In December 2020, Nykaa Fashion will establish its first store in Delhi.
Purple Facts-
Purplle.com, founded in 2012, is one of India’s most popular e-beauty sites, with over 7 million monthly active users. The cosmetics e-tailer offers almost 50,000 goods from over 1000 brands on its website and app. Verlinvest, Sequoia Capital India, Blume Ventures, and JSW Ventures recently invested $45 million in Purplle.com. Purplle’s digital-first beauty brands have scaled successfully, including Purplle, Good Vibes, and NY Bae. Good Vibes, one of the top three brands in the app’s Naturals Skincare segment, has already surpassed INR 150 crore in market capitalization. Purplle has created a differentiated, highly personalized digital shopping experience for consumers with its app, including detailed user personas, test makeup, and product recommendations based on personality, search phrases, and purchase behaviour. Purplle, with over 800 employees and a year-on-year growth rate of more than 90%, is well-positioned to be a leader in the expanding Indian e-beauty market.
“In the e-commerce business, the festive season trends hint to vigorous and fast-evolving competition. As the holiday season draws to a close, it’s intriguing to think about how the competition will unfold in 2022. The future looks bright for India’s e-commerce business, which is expected to reach $120 billion by 2025. Hypergrowth is unmistakably on the horizon for the industry, and according to Bobble AI’s findings, companies are well positioned to capitalize on it “In a statement, the business stated.
Furthermore, while tier 1 cities dominate the trend pageant data, tier 2 cities such as Jaipur, Guwahati, Lucknow, Kochi, Mysore, and Bhubaneswar are at an all-time high, up 82 per cent from the previous year.
According to the survey, E-commerce in India increased by 77 per cent between 2020 and 2021, with tier 2 and tier 3 cities transacting more than ever before.
According to the data intelligence firm’s report on E-commerce in India, which was conducted across Tier 1, 2, and 3, luxury e-commerce applications increased by 64%, while trend e-commerce increased by 368 per cent in the previous year. The Christmas season has only boosted the two e-commerce domains, with shopaholics completing at least two purchases during the trend festivals.
‘Monopoly’ has given way to ‘Ludo’ in India’s fashion e-commerce market. Myntra faced stiff competition from Meesho, Ajio, and TataCliq, fashion giants. While Myntra accounted for about 46% of all purchases during the festive season of 2020, Ajio accounted for nearly 70% of all transactions in 2021. “The number of active Myntra users who also use Meesho, Ajio, and TataCliq has climbed dramatically this year, indicating that users are exploring several options,” the company stated.
In the 2021 online shopping festival, Flipkart‘s active customer base increased by 83 per cent, compared to Amazon’s 72 per cent. Despite Flipkart’s dominance in terms of engagement metrics like search frequency and active classes, according to Bobble AI, Amazon was lucrative in terms of transactions and significantly less common session instances.
The festive season’s trends hint at intense and rapidly changing competition in the e-commerce business, which is good news for buyers looking for high-quality products at reasonable rates. The future looks bright for India’s e-commerce business, expected to reach $120 billion by 2025.
