Kaya delivered group sales at Rs3,323 million which is a growth of 14 per cent on overall net profit. The brand works on a marketing calendar based on consumers’ need according to changing seasons as well as the business priorities.
Growing at the rate of 15 to 20 per cent, the Indian beauty care category is estimated at approx Rs285 to Rs290 billion. The key drivers have been growing disposable income, increase in awareness and acceptance of beauty and wellness services, especially among women.
Consumers today do not hesitate to splurge on their looks as it makes them feel more confident about themselves and there is an increasing desire to present them in a certain way.
Brands have also contributed to the growth with better accessibility in terms of store opening and eCommerce, making various products and services accessible. One such brand in aesthetics segment, which is known for its expertise in delivering quality services, Kaya Limited is spread across 27 cities in over 100 clinics in India.
In an exclusive conversation with WI Bureau, Arvind RP, Vice President and Head - Marketing and Product Retail, Kaya Limited shared some intricate details of the brand and its marketing strategies in diverse categories. Edited excerpts:
Growth story of Kaya Limited
Since its inception in March 2003 with the first skin clinic, Kaya has come a long way. The first clinic in UAE, Dubai market was launched in 2004. The product retail format of the brand- Kaya Skin Bar was launched in 2013.
The brand has positioned itself as a specialty skincare brand with a focus on technology and dermatological expertise and has been recognised by several industry bodies and won numerous accolades. From 85 points of sale in 2013, Kaya has over 250 points of sale today, in India. The eCommerce business has also grown significantly to contribute to 9 per cent of the products business today.
Emerging market trends
The wellness and beauty space is constantly evolving to upscale its offering in order to woo the customers with something unique. In today’s smart world, where everything is increasingly becoming advanced and efficient, customers are looking for products and services that are effective and show immediate results. A similar trend is seen in the beauty industry too. Products with multiple benefits and added advantages are becoming a rage among customers. Cosmetic complexion corrector creams, which also serve blemishes removers and sunscreen is one such example.
On the other hand, niche products that address a specific need are helping customers get just what they want. Parallel trends comprise of products that are designed to target a particular skin or hair problem. Example: Acne control products like Comedone control serums.
Growth boosting factors
Since 2013, Kaya has been focussing on its core dermatological services like laser hair removal, pigmentation, acne and anti-ageing with significant investments behind technology and product innovation. The new business, Kaya Skin Bar, and ecommerce, have been growing rapidly, bringing Kaya’s expert products closer to potential consumers. We have also expanded our offerings in categories like pigmentation, anti-ageing and will continue to invest behind innovations and new technologies.
Reviving marketing strategy
There is certain seasonality with regard to the various categories, like Acne concerns are more acute in summers and anti-ageing needs get pronounced during the winters. Also, there is a bridal season. Kaya works on a marketing calendar based on consumer needs according to changing seasons as well as the business priorities. This is refreshed every year and sometimes during the year too as we identify various opportunities.
Presence & strategy for tier II & III towns
From an overall perspective, Kaya is spread across 27 cities with over 100 clinics in India. Tier II and III markets require significant investment and a long-term focus. Aspirations of tier II and III consumers match those of their metro counterparts. Even in small towns, consumers have started spending on specialized products and services such as anti-aging products and cosmetic treatments. One of the initiatives introduced by us is the ‘Meet The Expert’ program wherein the objective is to give consumers access to top dermatologists and help them make informed decisions about their concerns. The latest program was held in Guwahati and saw enthusiastic participation from the consumers there. Kaya Limited currently has 17 outlets in tier II cities and in addition to this an established eCommerce network through which it reaches out to its customers Pan-India.
Growing ahead the curve
This will mean uncovering consumer trends early and investments in innovation and technologies. All the products and services at Kaya are results of extensive clinical research combined with customer need evaluations. Kaya has been doing this quite well, be it expansion in the product portfolio with several specialist products like Pigmentation Reduction System or introducing new result oriented technologies such as Platelet Rich Plasma (PRP) and Insta clarity Q-Switch technology etc. ‘Insta clarity laser with Q Switch technology’ – A technology which gives instant results and has received excellent reviews from our consumers. We recently launched the Tri-Active Acne Treatment with Black Peel that effectively addresses active acne and also launched advanced anti-acne products like Comedone Control Serum and Blemish Control Formula.
Current worth & retail presence
For the year ending 31st March 2015, Kaya delivered group sales at Rs3,323 million which is a growth of 14 per cent on overall net profit, before exceptions of Rs 366 million.
Online presence & strategy
Kaya believes that digital is fast shaping consumer behaviour. Along with a content-rich website, we have a Kaya Blog through which we reach out to our consumers and share beauty/lifestyle articles with an objective to educate them. Our dermatologists have written extensively on skin care and hair care that helps our consumers know more about our services and helps them take care of their beauty needs. Social media is another impactful platform where Kaya has strong focus. Kaya is present across social media platforms like Facebook, Twitter, Linkedin, Wikipedia and YouTube. We are also investing in eCommerce aggressively. We have added various partners and are today present across Amazon, Nykaa, Purple, Jabong, Flipkart, Snap deal, Myntra which contributes 9 percent to our total business.
Global market presence & plans
Kaya Skin Clinic entered the Middle East market in 2004 with its first clinic in Dubai. Today, Kaya Skin Clinic is the largest international chain of skincare clinics in the Middle East with more than 20 clinics across UAE, Saudi Arabia, Kuwait and Oman. Backed by a panel of over 32 esteemed dermatologists and over 150,000 satisfied customers, Kaya Skin Clinic has been successfully delivering complete skin care solutions for over 11 years.
Kaya believes in constant innovation along with a strong focus on planning and flawless execution. The marketing strategy is designed and kept abreast with the current trends in the Industry, technology and customer preferences.