2025 in Review: Investing in India – Global Beauty Doubles Down on Long-Term Growth

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India’s beauty market entered 2025 with a new sense of certainty. No longer treated as a promising frontier or test-and-learn destination, the country has become a core pillar in global beauty strategies—one demanding sustained capital, local partnerships and long-term commitment. With premiumisation accelerating, digital commerce maturing and organised retail scaling rapidly, India has moved decisively into the industry’s top tier of priority markets.

Global brands arrived in force. Fenty Beauty and Fenty Skin confirmed their long-anticipated India debut through Reliance Retail, launching nationwide via Sephora India and Tira Beauty. Luxury momentum continued with Armani Beauty opening a flagship store in Mumbai, while botanical brand Chantecaille entered through Luxasia, rolling out a curated selection across Nykaa, Tira and SS Beauty. Chanel strengthened its footprint by launching its fragrance and beauty portfolio on Nykaa’s platform and select Luxe stores, reinforcing the appeal of premium beauty in India’s top urban centres.

Science-backed and dermocosmetic brands also found fertile ground. Obagi Medical entered India in partnership with Nykaa, bringing clinically driven skincare to a broader audience and underscoring rising consumer appetite for results-led formulations. L’Oréal went further, unveiling plans to more than double its India business, backed by expanded local manufacturing as the market takes on greater strategic weight within the group’s global portfolio. The Estée Lauder Companies signalled a longer-term play by partnering with Startup India, aiming to nurture innovation and entrepreneurship across the local beauty ecosystem.

Retail infrastructure emerged as a decisive enabler of growth. Reliance Retail’s Tira established itself as a key gateway for international brands, partnering with SheGlam, Fenty, Obagi and others. SheGlam’s entry was notable not just for its launch, but for its commitment to building a local workforce—marking a deeper, operational investment rather than a purely transactional market entry. Nykaa, meanwhile, continued to cement its role as both a retail platform and brand incubator, attracting global names such as Yves Rocher, Colorbar collaborators and luxury houses seeking scale with credibility.

India’s homegrown brands and platforms also gained momentum. Colorbar outlined plans for a 2027 IPO, with proceeds earmarked for skincare, fragrance and international expansion, while Moxie Beauty raised US$15 million in Series A funding to scale India-focused haircare R&D and distribution. Collaboration became a defining theme, with The Body Shop teaming up with indē wild on a wedding-gifting range designed to tap into culturally specific consumption moments.

E-commerce and financial infrastructure continued to evolve in tandem with beauty’s expansion. Flipkart secured an NBFC licence to extend credit to shoppers and sellers, while Amazon moved to expand lending operations through its Axio acquisition—steps that promise to further unlock discretionary spending in beauty and personal care across Tier 1 and Tier 2 cities.

Marketing and community-building strategies also grew more localised and creator-led. Max Factor launched an India-specific affiliate programme aimed at professional make-up artists, while brands increasingly leaned into culturally resonant storytelling. Rare Beauty’s fragrance launch featuring Indian creator Ankush Bahuguna and L’Oréal Paris’ “Lessons of Worth” campaign with Aishwarya Rai Bachchan reflected a broader shift toward relevance over replication.

Physical retail retained its importance alongside digital growth. Huda Beauty opened its first pop-up store in New Delhi, spotlighting new product launches and reaffirming the role of experiential retail in building brand connection in a highly social, discovery-led market.

Taken together, 2025 marked a clear inflection point. India is no longer viewed as a secondary growth lever, but as a market where global success increasingly depends on getting the strategy right—from manufacturing and retail partnerships to talent, marketing and cultural fluency. With scale, sophistication and spending power all rising, India has firmly established itself as one of beauty’s most consequential investment destinations.

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