Trent, led by Noel Tata, has introduced a new retail concept called Zudio Beauty, entering the affordable beauty market. Competing with brands like Elle18, Sugar Cosmetics, Health & Glow, and Colorbar, Zudio Beauty is poised to capture growing demand for reasonably priced beauty products, especially as other players like Reliance and Nykaa focus more on premium and luxury categories. According to The Economic Times, the first Zudio Beauty store has opened in Bengaluru, with expansion plans set for cities like Gurugram, Pune, and Hyderabad.
Tata, who pioneered India’s first beauty brand Lakme, sold it to Hindustan Unilever but continues to have a presence in the beauty industry through Tata Cliq Palette, a premium cosmetics platform. Meanwhile, Zudio, Trent’s affordable apparel brand, has seen massive growth since its launch. Contributing to over a third of Trent’s revenue by FY24, Zudio has become a leading player in the value retail space, with over 559 stores nationwide as of June.
Experts predict that Trent’s move into the beauty market could mirror Zudio’s success in value apparel. Abneesh Roy, Executive Director at Nuvama, commented that Trent’s disruptive move, if embraced by consumers, could be a major success in the beauty sector. This new venture may pose challenges to competitors like Nykaa and even established FMCG brands.
The Indian beauty market is an increasingly competitive space, with global giants like L’Oreal and Shiseido seeing the country as a key growth market. A report by Redseer and Peak XV anticipates that specialized beauty brands are expected to grow their market share significantly in the coming years, which could disrupt traditional players like Hindustan Unilever and Procter & Gamble.
Despite already surpassing 550 stores, analysts at Citi Research believe Trent has significant room to grow, particularly with its expansion into the beauty segment.
