In 2023, India’s Beauty & Personal Care (BPC) industry is projected to generate a total revenue amounting to $27.24 Bn (source: Statista). New, innovative D2C startups are entering the market daily, delighting their audiences with a brand-new shopping experience.
Now is the time to get your share of the beauty pie. But how? If you’ve been keeping up with the latest market trends, then chances are you might have heard of the GOI-led “ONDC Network”. The novel initiative is touted as the “UPI of digital commerce” and is expected to democratise India’s promising eCommerce landscape.
But why should a D2C business, or any online retailer for that matter, care? What exactly is in it for you? And how can any B2B2C, MSMEs, or D2C store effectively sell beauty and personal care on ONDC network?
Let’s understand the perks and possibilities of owning an ONDC network-empowered BPC store using a cutting-edge solution like Mystore seller app from a D2C business perspective.
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Glossing at the latest D2C market trends
In the post-pandemic world, the direct-to-customer became the go-to model for thousands of businesses. India’s $100 billion D2C market is expected to grow exponentially in the foreseeable future, as evidenced by over 600 D2C brands having crossed the $1 Mn sales mark since 2016.
One market sector, in particular, has seen exponential growth in that period - the beauty and personal care (BPC) industry.
Direct-to-consumer brands are fully invested in the beauty, personal care, cosmetics, and men's grooming segments. There are 100+ D2C brands across the country! And according to estimates, India's online BPC industry is expected to evolve into a whopping $4.4 billion opportunity by FY25.
With such incredible stats, why is it then that 90% of D2C startups in India still fail? And how does taking your D2C brand on ONDC network help? Let’s find out.
Business benefits of joining ONDC network for D2C enterprises
In India’s D2C market sphere, “beauty is a beast”. That’s because most startups end up folding within the first year of existence. Factors such as extreme market competition, limited reach/visibility, expensive acquisition costs, no or limited logistics support, etc., contribute to their downfall.
Many beauty and cosmetics startups choose to sell on popular marketplaces like Amazon and Flipkart, which eats up a huge chunk of their profits. Amazon’s commission rates for certain BPC categories range between 15-33%, which isn’t ideal for small players. Plus, they are then completely dependent on these marketplaces for traffic and sales.
On the other hand, Open Network for Digital Commerce is a not-for-profit initiative that allows all sellers to be discovered and engage with pan-India audiences without the common barriers experienced through eCommerce. All D2C brands on ONDC network can gain a wider reach for zero onboarding or fixed costs.
SMBs looking to build a digital presence from scratch can register on the open network via any compatible interface like Mystore seller app and immediately sell their beauty and cosmetics products to millions of buyers. Existing D2C enterprises can migrate their entire catalogue from Amazon to ONDC network using Mystore’s advanced channel integration in minutes!
Here are the biggest business benefits of switching to the decentralised, open network:
- Gain nationwide product visibility
- 100% transparency in rules and operations
- Transferability of reputation
- lower customer acquisition costs
- Lower commission rates (with zero fixed costs)
- Multiple payment options
- Manage multiple sales channels simultaneously
- Seamless and fast transactions
- Pre-integrated logistics partners
- Open protocols for cataloguing, price discovery, etc.
- Faster time-to-market
The government is keen to bring D2C brands on ONDC network to enable seamless buyer-seller interaction and widen the digital market access for all small players. Additionally, the leading Indian marketplace connected by ONDC network, i.e., Mystore will help beauty and personal care businesses flourish through an innovation-led approach.
How your D2C Brand Can Join ONDC Network
Mystore has recently launched its ONDC-network seller app to offer easy and painless registration on the open network for all eCommerce participants. That way, D2C brands can upload their entire beauty and personal care catalogue on the decentralized network and start selling immediately. Register your D2C beauty and personal care store on the open network in 4 simple steps:
1) Visit the Mystore Seller App.
2) Fill out the registration form with your GSTIN and bank details in just a few minutes!
3) Start listing your beauty products - don't forget to include product descriptions, images, etc.
4) Start receiving orders from pan-India buyers, all connected via buyer apps. You'll be able to track your orders in real-time
Post successful registration, merchants can leverage Mystore’s fully integrated admin panel to fulfil orders more efficiently. Merchants can connect with on-network logistics providers and improve their hyperlocal sales.
Mystore is here to make things easier for D2C Brands. With the dedicated sales channel, D2C brands on ONDC network have all the mobile-first tools to broaden their customer base and give their shoppers an enjoyable shopping experience.
By joining ONDC network via the Mystore seller app, sellers can unlock amazing opportunities to grow their business! They'll get access to optimum customer management tools, M-Commerce support and feature-rich admin dashboards. Plus, D2C brands on the revolutionary open network can easily switch between multiple sales channels and leverage powerful marketing solutions. Last but not least, network participants can streamline their logistics process with on-demand support.
Conclusion
This is just the beginning as far as the open network is concerned. New features and regulations are set to be added along the way. However, the initial phase of implementation has shown a lot of promise, as over 80% of sellers have experienced some increase in their overall visibility through ONDC network.
D2C brands selling beauty and personal care products can hugely benefit from this GOI-led initiative by joining the platform before their competition. Through the Mystore seller app, your transition to the open network is smooth and you can start selling BPC products to a nationwide audience in a matter of a few clicks!
Build a strong ONDC network presence with Mystore. Get started today!