India’s beauty and personal care (BPC) market is flourishing backed by a stupendous growth of e-commerce, fast-expanding middle class, premiumization and above all people's growing inclination for personal grooming and wellness. A Nykaa Beauty Trends report in partnership with Redseer puts the Indian BPC market at around $21 billion. The report projects the market to reach $34 billion by 2028. We caught up with Vaishali Gupta, Co-founder and Chief Growth Officer, mCaffeine and HYPHEN, to find out what is transforming the industry on a scale never seen before and how the emerging brands like theirs are faring in the big world of BPC.
Vaishali Gupta, Co-founder and Chief Growth Officer, mCaffeine and HYPHEN
Excerpts:
1. Many experts say that this is, perhaps, the most buoyant time for the Indian beauty and personal care industry, do you agree?
Absolutely. The Indian beauty and personal care industry is at its peak, thanks to growing consumer awareness, digital reach and the demand for innovative products. With the market expanding rapidly, this is the perfect time for homegrown brands to shine. Both mCaffeine and HYPHEN were launched during this exciting growth phase to cater to the evolving needs of consumers. mCaffeine, India’s first caffeinated personal care brand, shook things up with its unique ingredient-based approach. HYPHEN was born to tackle everyday skin concerns with high-performance solutions that actually work.
The love and trust of our customers speak for themselves. Both our brands have reached over 19,000 PIN codes, partnered with leading e-commerce platforms, and a repeat purchase rate of 50% showing consumer loyalty. For HYPHEN – our mission is to further diversify offerings, with 1 billion consumer impressions reflecting our growing footprint.
It’s an exciting time for Indian brands, and we’re here to make the most of it!
2. Today’s consumers are increasingly concerned about their skin and hair health and more aware of the products than ever before. This had led to greater expectations from companies. How does the industry cope with this?
The beauty industry is changing fast with more focus on transparency and product efficacy. At mCaffeine and HYPHEN, we are all about creating products that actually work – backed by solid research and a dedicated team that strives to get it right. But what matters most is what a consumer thinks about our product. We take feedback seriously, running surveys and market research before launching anything, so we know we’re addressing real skincare concerns. By listening, learning, and keeping our standards high, we’re here to give you the best and nothing less.
3. What are the industry's challenges of sourcing and cultivating natural ingredients in sustainable ways? Does being an Indian brand hold any advantage?
Sourcing natural ingredients sustainably can be tricky, especially with the growing demand for organic skincare. But as a homegrown brand, we’re lucky to have access to India’s rich biodiversity and deep-rooted knowledge of natural remedies. This lets us create high-performance products using locally sourced, sustainable ingredients—so they work great without harming the planet.
The inspiration behind mCaffeine came from a personal experience my co-founder, Tarun had. One day, someone recommended that he use a green tea bag to reduce swelling under his eye, and it worked like magic! That moment sparked an idea – why not harness the power of natural ingredients to create skincare that truly works? Inspired by this, we set out to blend traditional wisdom with modern science, ensuring our products are both effective and eco-friendly.
4. The Indian beauty and personal care market is full of foreign brands with new players entering every now and then, what attracts them the most?
India’s beauty and personal care market is buzzing with growth and tons of potential. It's not just international brands making waves, celebrity-led brands are trending too. With more people having access to the internet and social media, the awareness of global trends has given rise to aspirational spending making India a lucrative market.
5. The beauty and personal care industry heavily relies on research, development and innovation. As a start-up, do you find funding for R&D as a constraint vis-a-vis established players?
R&D is at the heart of innovation in the beauty industry, but let's be real – startups don't always have unlimited budgets and often face funding constraints. We have tackled this by staying focused and resourceful. A strong product line by making the right investments in research and teaming up with the right partners has worked brilliantly for mCaffeine, making it one of the best brands for body care products. Our goal has always been simple; to create high-quality products that work. And that's how we hold our own ground against the big players!
6. What are the big shifts and trends in the beauty and personal care business post- era?
Post-Covid, self-care has become a big priority. People are more focused on health and wellness and are well-informed about what goes into their products. There’s also a growing love for clean beauty, sustainability, and shopping online.
At mCaffeine and HYPHEN, we’ve embraced these changes by creating ingredient-driven products and going digital-first. By keeping our customers at the center of everything we do, we’ve stayed ahead of the curve and continued to grow in this new era.
7. Everyone wants to look good or feel good, but not all can afford to spend on personal care products. What is the industry doing to make beauty care products pocket-friendly for the aspiring population?
Brands today are finding the right balance between affordability and quality, offering effective products at fair prices. At mCaffeine and HYPHEN, we make sure our products are competitively priced without compromising on quality. Our ingredient-led, premium experiences are designed to cater to both aspirational and budget-conscious consumers. With HYPHEN, we aspire to become a household favourite, bringing the best of nature and science skincare into every Indian home.
8. As a successful entrepreneur, what would be your advice to a newcomer on the mode of entry, should it be online or offline?
In today’s landscape, a digital-first approach is essential. Online channels allow for broader reach, targeted marketing, and faster consumer feedback. However, offline channels play a critical role in building trust and visibility. A hybrid strategy that leverages the strengths of both, is an apt way to ensure a strong foothold in the beauty and personal care industry. Also being receptive to the needs of your consumers lays the foundation of a successful brand.
9. Coming to mCaffeine, how many retail stores and e-commerce platforms have you currently collaborated with, and are there any plans to foray into salons or go global?
mCaffeine is present in over 19,000 PIN codes with a presence in 20K+ offline stores and has strong partnerships with major e-commerce platforms like Amazon, Nykaa, and Flipkart. We have expanded to countries like the UAE, Nepal, Maldives and the US. Right now, we're focusing on growing our online and retail presence in Tier 2 and Tier 3 cities across India. But looking ahead, expanding into global markets is a key part of our long-term growth plan.
10. You launched the products keeping millennials in mind, is that age group still the target market for mCaffeine?
Millennials continue to be a key audience for mCaffeine, but our reach extends far beyond. The demand for personal care is booming, not just among millennials but also Gen Z and older consumers — which is an exciting shift! Our ingredient-led approach allows us to cater to niche audiences, while our diverse range of fragrance-driven personal care products appeals to a wider demographic. While our creative campaigns with celebrities like Shivaji Sayam aka ACP Pradyuman, and other leading celebrities like Alia Bhatt and Ileana D’Cruz have helped us capitalise on the emotional connection viewers have with these familiar faces ensuring a universal appeal.
11. mCaffeine keeps away from fairness products. Is that a principled stand or do you intend to get into it at some point of time?
From day one, mCaffeine has been driven by the belief that beauty is about confidence, not complexion. We have been committed to promoting a positive self-image over outdated beauty standards. Our mission is to cater to all age-groups by crafting products that enhance confidence and make our consumers feel good, regardless of the complexion. As a socially conscious brand, we shall continue to champion for inclusivity and firmly stand against fairness as a beauty standard.
12. You co-founded Hyphen with actor Kriti Sanon, how is it going to be different from mCaffeine?
HYPHEN is dedicated to high-performance skincare, blending the power of nature and science to target everyday skin concerns. From dullness and dehydration to dark spots and lip care, we’re creating solutions that truly work. On the other hand, mCaffeine is all about caffeine-infused, ingredient-led personal care, complemented by a diverse range of fragrance-driven products. Our partnership with Kriti Sanon has been an incredible journey, bringing together shared values and a passion for skincare.