The brand has launched 250 products within 29 months and has an annual recurring revenue (ARR) of ₹100 Cr
D2C beauty brand Renee, which means ‘rebirth’ in Latin was founded in in September 2020. In just 29 months, it has launched over 250 products in the beauty, skincare and fragrance portfolio which are available online as well as offline.
“We built sleek, unique and multi-functional beauty products with premium quality at reasonable prices,” said Priyank Shah, co-founder and director, Renee Cosmetics.
Acceptance
With over 250 products launched in over two years of its inception, the brand claims all of its products are of high quality and FDA-approved. The multi-functional and cruelty-free products from the brand have successfully managed to create a space for themselves in the beauty industry and the consumer’s mind.
The brand said customer response has been good as the brand’s sales increased almost three times in the financial year 2022-23 compared to financial year 2021-22. “Consumers like our premium look and understand our offerings; above all, they now completely resonate with our brand,” said Shah.
One of the major challenges was to build a brand equity. Although the brand is quite new, it has managed to create a niche for itself, thus, getting accepted as a mainstream beauty brand by the consumers. The level of acceptance is reflected by the annual recurring revenue which is ₹100 Cr.
“Creating acceptance in the consumer’s mind about a new brand and its offerings requires hard work, and we tried to work on this with the right digital communications, which first led to awareness and recall, eventually leading them to give our brand an opportunity,” said Shah.
Growth
The brand started as an online retail brand but it has now taken the omnichannel approach as it is also available in physical stores. The brand is available on all major e-commerce platforms such as Amazon, Flipkart, Nykaa, and Myntra among others along with 1,000 shop-in-shops and kiosks in malls, airports, multi-brand outlets in modern trade like Shoppers Stop and more. The brand also has opened its exclusive brand outlets in Mumbai, Ahmedabad and Lucknow. The brand will soon enter Amritsar as well. There are plans for continuous online and offline expansion across all tier 1, 2 and 3 cities, reveals Shah.
“We have tried and covered all the channels of distribution available online and offline to build a strong omnipresent brand,” said Shah.
The brand is not only present on a national level but it also has an online beta presence in the US, UAE, and Australian markets.
Currently, the brand is planning retail expansion by increasing its presence by two times in beauty-advisor-assisted multi-brand outlets. Also, it plans to foray more into airports across the country along with launching additional flagship stores. Currently, the brand is present in 150 cities but aims to reach 350 cities by the end of 2023.
Also, several new launches are being planned in 2023 which shall be coupled with initiating ATL (above-the-line marketing) branding activities towards the end of the year.
One of the major milestones achieved by the brand is creating a strong presence in the market, even though it is relatively new and it is helping the brand to raise funds.
“We recently also raised a round of Series B of $25 MILLION, leading to a total of $35M across three rounds of funds at the company valuation of $100M, and our current ARR is ₹100 Cr,” said Shah. This round of funding will prove to be extremely beneficial for the brand. It will take the brand one step ahead in achieving its dream of becoming one of the top three leading beauty brands in the country and a renowned brand globally.
Growth Mantra
Renee has managed to create a strong presence for itself. The brand always focused on creating according to the needs of the customers.
“Before we launch any new product, we create a focus group and take extensive feedback from the group; this ensures that we are creating a product that the consumers need and also leads to a high acceptability rate for our products,” said Shah. The constant surveys and feedback helped the brand to stay close to its customers and deliver what it wanted.
“Our core strength is the innovation which is integrated into every product of ours; this also acts as a key differentiator for our consumers, helping them understand Renee offerings better as compared to other brands in the beauty landscape,” said Shah. Renee has always tried to bring something new and exciting to the customers like 5-in-1 lipsticks, makeup kit for pre-teens and more. These products are useful as well as unique for the customers which attract them to the brand.
“We have also invested heavily in our brand promotions, leading to building the right awareness and understanding of the brand. Plus, we have a robust presence on the retail front, both e-commerce and in stores, giving us a complete outreach,” added Shah. Marketing is the key to elevating a brand’s presence and Renee took the opportunity in the right manner.
Technology
The brand has adapted technological advancements in all aspects including the supply chain, product ethos, marketing and others.
“Speaking purely in terms of tech software: we are using cutting-edge technology available in the market across our marketing, order tracking, order processing and delivery. We are in the process of evaluating certain automatic robotic machines to automate our warehouses. We will see how it plays out over the coming 18-24 months,” said Shah.
