Sephora refines India expansion plans with optimistic targets

​Following French beauty brand Sephora's November announcement of its ambitious Indian expansion plan, the brand is bringing in more optimistic targets. Sephora now aims to total 50 outlets in the next three to four years by opening stores at a rate of eight to ten a year.

Sephora is set to open in Chennai and Hyderabad next - Sephora- Facebook

Sephora has set its sights on a revenue target of 1,000 crore rupees (approximately 150 million US dollars) and plans to achieve this by greatly expanding its store count across India. The brand currently has 15 outlets in the country and so an extra 35 will be added over the next three to four years. Two stores are scheduled to open as soon as February and the locations are set as Chennai and Hyderabad. This follows the most recent store opening, which took place in Kolkata’s South City Mall on January 5.

Vivek Bali, the Chief Operating Officer for Sephora India (Arvind Beauty Brands), said about the brand’s strategy: “We are going to open eight to ten stores in India over the next three to four years. We are growing at high double digit and will reach around Rs 180 crore revenue this fiscal. We expect to hit the Rs 1,000 crore revenue target earlier than we hit the 50 store milestone in the country.”

The multi-brand makeup retailer Sephora, which operates in India in partnership with Arvind Ltd.’s subsidiary, Arvind Lifestyle Brands, is also planning to enter tier 2 and 3 cities as part of their expansion plan.

This is a reflecting of a recent surge of interest in global beauty and fashion in more rural areas of India. Like many brands in the industry, Sephora are hoping to capitalise on this nascent market. However, the brand will tailor their approach to smaller cities with slightly smaller stores.

Most Sephora stores measure 3,200 square feet and those in tier 2 and 3 locations “will be set up over 2800 to 3200-square-feet,” said Bali.

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