Mars Cosmetics eyes doubling its revenue this fiscal, Retail News, ET Retail

Mars Cosmetics, a magnificence model betting huge on accessibility and affordability, is eyeing to double its income this fiscal by increasing its on-line and offline attain, Rishabh Sethia, director, Mars Cosmetics instructed ETRetail.

The bootstrapped model, which closed the final fiscal with Rs 200 crore in income, is planning to clock Rs 400 crore this fiscal.

“This fiscal, we’re planning to develop our offline in addition to on-line presence by penetrating deeper. We plan to take our kiosk depend to 30 from 10 and there are a lot of gaps in our normal commerce technique as a result of once you develop at a really frantic tempo, you permit gaps behind. So, we’ll shut down these gaps from an execution standpoint,” he defined.

The model is planning to speculate Rs 3.5 crore to open 20 new kiosks in states like Rajasthan, UP, Gujarat, and West Bengal and it has a presence in 7,000 GT shops.

“Aside from this, we’re under-penetrated in South India and East India, and going forward we can be focusing extra on growing our retail footprint over there,” he stated.

The CAPEX concerned in opening one kiosk of Mars Cosmetics spanning throughout 64 sq.ft stands at Rs 15 lakh.

The model, which has a presence in 4 classes – eyes, lips, face, and instruments and equipment, presents 1,000 SKUs.

“As of now, we don’t have plans to foray into any new classes. We’re very strongly dedicated to executing within the class that we’re working in. There are nonetheless plenty of gaps that we see within the class,” he asserted.

At the moment, 55 per cent of the income of the model comes from offline and the remaining 45 per cent is contributed by on-line.

“Inside on-line, round 5-7 per cent of the income is contributed by our D2C channel, and the remaining could be very evenly distributed throughout marketplaces. Whereas in offline, 97-98 per cent of our income comes by GT, and the remaining 2-3 per cent is contributed by company-owned and company-operated kiosks,” he said.

At current, the common bucket dimension on the D2C web site of the model and buyer acquisition price stand at Rs 800 and Rs 350, respectively. It enjoys a buyer repeat fee of twenty-two per cent.