Nykaa, a major Indian cosmetics-to-fashion retailer, has seen several key executives, including the Chief Marketing Officer, resign amidst heightened competition in the rapidly growing sector. Nykaa’s founder takes direct oversight, addressing strategic realignment and complexity. The company competes with Tata Group and Reliance in India’s $16 billion beauty market.
India’s prominent cosmetics-to-fashion retailer, Nykaa, has witnessed a series of key executive resignations in recent months, highlighting the escalating competition within the rapidly expanding sector.
Among the notable departures is Chief Marketing Officer Shalini Raghavan. Recognizing the criticality of this role, Nykaa’s founder and CEO, Falguni Nayar, has personally taken over its direct oversight.
Additionally, Kingshuk Basu, a senior vice president responsible for retail; Sumant Kasliwal, senior VP within the fashion division; Aditya Sandhu from the business-to-business sales unit; Sachin Kataria, VP of the e-commerce business; and Shantanu Prakash, VP for marketing and communications, have also chosen to move on from their positions.
In response to inquiries about these departures, Nykaa stated, “Leadership roles are being strengthened to align with strategic realignment, cost optimization, and the increasing intricacies of the business.”
Nykaa, a key player in the beauty products market, competes with other major players such as Tata Group and Reliance. These companies are all vying for a share in the booming $16 billion beauty and personal care industry within India, the world’s most populous country.
Earlier reports had highlighted the departure of five key executives from Nykaa, including the chief commercial operations officer and the CEO of its wholesale business.
In a recent announcement, Nykaa revealed the promotion of Shailendra Singh to the position of business head for physical retail, specifically in the beauty segment.
Since its listing in November 2021, shares of Nykaa’s parent company, FSN E-Commerce Ventures (FSNE.NS), have experienced a significant decline of nearly 60%. The company reported a substantial 71.8% decrease in net profit for the January-March 2023 quarter, juxtaposed with an impressive almost 50% surge in pre-tax profit.
According to its investor presentation, Nykaa noted a 4% growth in core employees (business executives) during this period, which contrasts with the robust growth rates of 17% and 25% observed in the preceding two quarters.
