India’s beauty and personal care industry, valued at $21 billion, is expanding at nearly 10% a year—outpacing the broader personal care market—driven by premiumisation, rising middle-class consumption, and demand from Tier-2 and Tier-3 cities. Industry leaders shared these insights during the latest episode of investor Nikhil Kamath’s WTF is Podcast, which brought together Bhakti Modi (CEO, Tira), Diipa Khosla (Founder, Inde Wild) and Shantanu Deshpande (Founder, Bombay Shaving Company).
The panel dissected the scale of the sector, pegging personal care at ₹7–8 billion, skincare at ₹6 billion, makeup at ₹3 billion and fragrances at another ₹3 billion. Modi noted that while mass products dominate, “premiumisation is happening at every level,” cautioning that brands must build aspirational extensions to avoid losing customers.
Key growth drivers and trends
Khosla pointed to the fast-growing luxury and middle-class segments, while Deshpande warned that high-end products risk remaining niche. All three agreed that community-led brand building, omnichannel reach, and trial packs will be decisive factors in winning consumers.
The discussion also highlighted ten trends shaping the industry—from Ayurveda-inspired hybrids, food-based formulations, and “skinimalism” to AI-powered personalisation, fragrance-led self-expression, and sustainability as a hygiene factor rather than a differentiator.
Startup advice and industry outlook
The conversation painted a picture of an industry at an inflection point—where rising affluence, regional aspirations and cultural pride are reshaping demand, and where India is not just keeping up with global beauty trends but increasingly setting its own.
Closing the session, the founders offered startup advice: identify white spaces, focus on a hero product, build authentic communities, and prepare for the long haul. As Deshpande put it: “Entrepreneurship is a decades-long journey; 93% of value is created in the second decade.”