Aashka Goradia, Co-Founder -; Director, Renee Cosmetics

15 Dec 2022 , 02:35 PM

Help us understand the company’s business model.

RENÉE was born with the idea of changing the way makeup is perceived in our country. We wanted to bring never-seen-before products and make professional makeup easy, accessible, and affordable for everyone. Right from the beginning, RENÉE has always stood out with its innovative, sleek, and multifunctional products that are easy to use and travel-friendly sized. Whether it’s our signature product, FAB 5-in-1 Lipstick, PH Madness Stick, Fab Face 3-in-1 Makeup Stick, or our latest Lip Fix 3-in-1 Lip Balm, our products have always made their mark for being unique.

We have been consistently introducing new aesthetics to the market so that everyone can harness the power of makeup and explore their creativity and put their best foot forward. Our varied portfolio consists of over 200 products in makeup and skincare categories and several hundred distributors with a nationwide network of retailers. RENÉE incorporates over ​650​ retail locations across the country alongside a profound online presence.

Our consistent team, along with our network of partners, immerses in various facets of brand building, right from developing new products to the final sale. From where we are positioned, the journey is only about going upwards; Innovation was and will always be at the center of everything we do, and you can look forward to a lot more from the RENÉE in the near future.

You plan to achieve revenue of Rs. 500 crore by 2024. What will be the key contributors towards this goal?

We are on the go with our innovative and distinctive product offerings as we want to redefine and revolutionize the way people perceive makeup.  We already have a stellar presence on major marketplaces in the country where digital marketing is considered and on the retail front, we have more than 100 distributors reaching ​over 650 ​manned stores and plan to spread furthermore and strengthen our physical presence in the country. We have begun with increasing our shop-in-shop store visibility and enhanced our promotions by direct marketing or celebrity endorsements. Furthermore, we promote products with prime events, gift-with-purchase promotions, makeup tutorials, and seasonal product launches. Our marketing research and strategy department set the framework for each product with specific KRAs. After a lot of demand overseas, we also have plans to increase our presence, right now; We have beta presence in USA, Australia UAE and plan to expand internationally to become a globally recognized Indian beauty brand.

What sets Renee Cosmetics apart from its peers?

RENÉE Cosmetics is a mainstay in both online and offline markets. We always bring forth products that stand out and are invoke aspiration among our consumers. We also make sure that our products are innovative, multifunctional, and easy to use. Be it our signature product, Fab 5-in-1 Lipstick or Madness pH Stick, Fab Face 3-in-1 Makeup Stick and Stay with Me Lip Color or our recent launches Shin On Lip Lacquer and Lip Fix 3-in-1 Lip Balm, we lay special emphasis on making professional makeup easy and accessible for everyone through our sleek and unique products. What makes us stand apart is our use of real images & videos from exclusive photoshoots for every product which shows a product’s real shade and texture providing our consumers with authentic and output oriented products.

While you are primarily a D2C brand, you also have a presence across physical stores. Share with us the company’s expansion strategy. Will it be a combination of physical and DTC?

Right from inception we have positioned RENEE to be a masstige brand and we ensure we provide our consumers with value for money products. We went all guns-out and sold over 2 million units reaching 50 million+ consumers with a repeat rate of 25% which is beyond industry standard. We’ve emerged as one of the fastest D2C brands in India to reach Rs. 100 crore ARR mark within 20 months after restarting our operations after the pandemic. Being a phygital brand, we have ensured to tread equally over online and physical growth.

While our digital marketing efforts have been head-on, we have also opened over ​650​ shop-in-shop stores all over India, and we aim to open 1,000 stores across India before 2023; additionally, we also want to achieve a fine balance of both online and offline revenue with a 50:50 share.

Between physical stores and online channels, where do you see more potential?

We took base for our offline channel 8 months ago, and we now have a decent 60:40 split between our online and offline channels, both of which are growing at a steady pace. It is evident that online shopping is getting more popular, but it is anticipated that the offline channel will stand stronger in the years to come because makeup and cosmetics are more of an experience-based category. You want to try it and feel it and experience the look! Therefore, we intend to expand our retail presence by the end of the year so that our customers can harness the power of our makeup and experience and experiment with their looks by walking up to us whenever they want.

Share with us your company’s key strategic priorities?

Like any founder would wish for their brand, we have some big plans for RENÉE for the next financial year. It is our ultimate aim to expand the brand’s reach to every corner of the country and beyond. We aspire to sprout out by introducing more quality solutions, adding color combos, and expanding our portfolio with cutting-edge products that resonate with our consumers’ aspirations. By the end of the year, we want to reach greater heights with our offline presence across India. With innovation in tow, it is time to bring advancements to the cosmetics industry and change how people perceive makeup.

Provide details of recent fundraising done by the company.

We have announced our recent fundraise in a round led by Evolvence India, with Edelweiss Group and existing investors Equanimity and 9Unicorns, through a deal facilitated with the support of Spark Financial Holdings, have raised $25 million in Series B funding towards building its mission of making RENEE Cosmetics a globally recognized Indian beauty brand. This also leads to creating a USD 100 million valuation for the brand in only a bit over two years of operations; this is inclusive of a total of $35 million across three rounds of funding. Our investments will bolster our offline growth, new product development, and marketing initiatives.

Give us a snapshot of the company’s financial profile.

We are a non-publicly traded company and were founded on September, 2020. RENÉE Cosmetics is a private limited company who has been headquartered in Ahmedabad, Gujarat. We have sold over 2 million units reaching 50 million+ consumers with a repeat rate of 25% which is beyond industry standard to become India’s fastest growing D2C brand to breach the Rs100 crore ARR mark in record time. With our latest fundraise we aim to expand furthermore and strengthen our digital and offline presence by bringing forth new products and facilitating our marketing efforts.