The hair colourants market size is estimated at $ 14,081.75 million in 2023 and is expected to reach $ 18,386.84 million by 2028, registering a compound annual growth rate (CAGR) of 5.48% during the forecast period, 2023-2028, according to a report by Mordor Intelligence. The report further reveals that the increasing population in the Asia-Pacific region, especially in China and India, coupled with rapidly changing lifestyles and urbanisation, has generated higher demand for hair colourants. Moreover, this seemingly is also due to increasing influence of celebrities on millennials to keep up with fashion trends bolstering market growth. L’Oréal India launched its professional hair brand popular in the US, Redken in the Indian market on Friday. “In India, we will introduce our products through two channels – hair stylists and direct-to-consumer via our e-commerce platform. The product range for consumers comprises three categories including hair colour, hair care, and styling,” DP Sharma, director – professional products division, L’Oréal India told BrandWagon Online.
L’Oréal India’s revenue from operations rose 34.3% to Rs 3738.7 crore in FY22 from Rs 2858.4 crore in FY21 , as per the regulatory filing accessed by business intelligence platform, Tofler. The company’s net profit upped 66.3% to Rs 418.2 crore in FY22 from Rs 251.5 crore in FY21.
Redken, which is one of the popular hair products in the United States of America, is headquartered in New York and was founded in 1960 by Hollywood actress Paula Kent and her hairdresser, Jheri Redding. With an aim to cater to the premium section of the India market, the brand targets the younger generation, aged between 18-26 years. “Since we are in three different categories, hair coloration as a service can start from Rs 5,000 and go up to Rs 6000 and onwards depending on the look that a customer wants. On the retail part, it would be between Rs 1,800- 2,500 for a bottle of 300 ml shampoo. The styling products would be around Rs 800 and go upwards of Rs 900. So, the three different categories tend towards the premium side of the market,” Sharma explained. The haircare and styling range will be available exclusively on the e-commerce platform, Nykaa.
Interestingly, the company upped its advertising spends 42.3% to Rs 919.73 crore in FY22 from Rs 646.36 crore in FY21. For the launch of Redken, the brand plans to to release its campaigns on both Meta and Google . While Sharma refused to share ad-spends, creating awareness would be a priority. “About 70- 80% of the budget would be allocated to create awareness via the media,” he said.
The brand’s approach is believed to be digital platforms as consumers today seek sensorial and brand immersive experiences offline but the convenience of shopping online. The collaboration with Meta and Google is driven for awareness, we will be working with them to design a course sharply where we can funnel down the media approach and can target 18 to 25 year old consumers. We still need to define the cohorts with these two platforms,” Sharma said.
Moreover, Redken claims to be working with salon partners to digital savvy flagship salons across metro cities. According to Sharma, these salons will be destination hubs which will offer the most valorised hair coloration experience.