New Delhi-based clean beauty startup Vanity Wagon today announced it has raised Rs 5.5 crore in a pre-Series A funding round led by Inflection Point Ventures. The funding round also saw participation from Venture Catalysts, Lotus Herbals, the existing investors – Agility Ventures (led by Mr. Dhianu Das) and a consortium of HNI’s (advised by Instarto).
Founded in September 2018 by Prateek Ruhail, Naina Ruhail, and Sahil Shrestha, Vanity Wagon claims to be India’s first true information-oriented clean beauty marketplace with a focus on non-toxic products and aims to provide a one-stop solution to all beauty needs.
The startup so far has completed over 50,000 orders and is now witnessing around 1.3 lakh visitors on the website monthly, thereby creating a robust base in the Clean Beauty space in India with a high-power team.
Apart from this, Vanity Wagon saw 4.5X growth in GMV and a 100% growth in partner brands since its seed round was raised in September last year, the statement said.
With this round of funding, Vanity Wagon will further focus on strengthening the tech platform, marketing, brand building, team expansion, and private label acquisitions. Additionally, it also plans to expand its operations in the international market.
“The beauty segment has been taken by a storm of Clean beauty. This is driven by consumers’ demand to consume non-toxic beauty and personal care products. As brands in this segment continue to show robust growth, we see Vanity Wagon becoming a dominant marketplace in the clean beauty market in the next 2-3 years,” Prateek Ruhail, Co-founder & CEO, Vanity Wagon said.
“India’s cosmetics market is likely to reach $28.9 billion by 2026. With this, the clean beauty market will also see double the growth. Growing disposable income will lead to the increasing purchasing power of women who are more conscious now and would prefer only non-toxic products which would not harm their skin. As Vanity Wagon is the market leader in organic products, we foresee its growth as a robust marketplace of natural beauty products,” said Dhianu Das, Founder, Agility Ventures.
According to a statement, Vanity Wagon now caters to a global market (Singapore being their first entry point) with the total addressable market globally expected to be $11 billion by the year 2027. The Indian market is pegged to be $2 billion by 2025 thereby creating the necessity for a large e-retailer in the space.
Speaking on the investment, Mitesh Shah, Co-founder, Inflection Point Ventures said: “Modern age definition of beauty has moved far beyond fair skin. New-age brands are constantly challenging this norm and we have seen that many made-in-India beauty brands have proven that new-age women are looking for high efficacy products which are cruelty-free. Vanity Wagon’s growth has been exponential and the boom in D2C and online commerce in the beauty sector is going to empower the next level of growth for the company.”
Vanity Wagon is on the right growth trajectory on making its mark in the clean beauty industry with a solid team, a data-driven growth approach, and swift adaptability to the needs of the constantly evolving beauty consumers,” Dr. Apoorva Ranjan Sharma, President & Co-founder, Venture Catalysts, said.