Premiumisation is driving the growth in beauty and personal care industry in India and this segment is growing faster than the products made for the masses, industry executives said at Cosmoprof India 2025, a beauty & personal care industry event currently underway in Mumbai.
“The premium salon segment in India is expanding at a remarkable pace, driven by rising demand for high-performance transformation services across skincare, hair and makeup,” said Vipul Chaturvedi, CEO & Director, Lakmé Salons.
“Over the past 12 to 18 months, we have strengthened our transformation. Nearly 40% of our network now operates in the new design format, and the uplift in customer experience is clearly visible. With more than 500 salons across 215 cities, Lakmé Salon is seeing strong growth from Tier 2 and Tier 3 markets where rising incomes and global exposure are fuelling premiumisation,” he added.
Consumers today are increasingly gravitating toward salons that integrate technology into their service environment, as digital tools elevate trust and signal a modern, future-ready experience, says Samir Srivastava, CEO, Looks Salon.
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“Technology interventions across consultations, tools, inventory and loyalty have further improved efficiency and elevated service delivery. As the organised salon industry continues to expand rapidly, we expect this part of our business to grow in the mid-teens, supported by a clear focus on transformation services, an expanding unisex model and the significant long-term opportunity in India’s beauty and grooming market,” he said.
Reflecting on the transformative potential of technology in the beauty industry, Renu Kant, Founder, Envi Salon, said, “AI is set to elevate the industry from simply delivering services to creating deeply personalised beauty experiences. By interpreting client preferences and behaviour in advance, AI allows salons to understand what a customer is likely to need even before they walk in.”
This makes it possible to curate customised packages and deliver a more seamless journey. AI also unlocks the value of data by supporting virtual consultations, hair and skin analysis, product recommendations and timely service reminders. With these capabilities, AI enhances the quality of service, strengthens personalisation and enriches the overall salon experience,” she said.
Samir Srivastava, CEO, Looks Salon, said, “Consumers today are increasingly gravitating toward salons that integrate technology into their service environment, as digital tools elevate trust and signal a modern, future-ready experience. The premium salon segment in India is growing at nearly 10 to 15 percent, and Looks Salon is witnessing similar momentum across its network with plans to add around 20 outlets every year.”
“As the organised beauty and grooming sector expands, significant opportunities lie in men’s grooming, nails and individual wellbeing. While human touch will always remain central to our industry, technology and AI will play a decisive role in elevating experience, efficiency and long-term loyalty,” he added.
Enrico Zannini, General Manager, BolognaFiere Cosmoprof said, “The Indian beauty industry is expanding at an exceptional pace, driven by a young population, increasing purchasing power and strong interest in innovation, sustainability and wellness.”
Yogesh Mudras, Managing Director, Informa Markets in India, said, “India’s beauty ecosystem is entering a defining moment, driven by a young, aspirational consumer base and a rising preference for science-led, conscious and globally benchmarked beauty.”
“With India projected to become the world’s third-largest beauty and personal care market by 2030, and the premium beauty segment expanding at a steady 13–15% annually according to industry estimates, the space for innovation and brand-building has never been more compelling,” he added.
Post signing of the UK-India Free Trade Agreement (FTA), British companies are making a strong pitch to enter this market as tariffs will be brought down from 30% to 10% for cosmetics and personal care products.
As many as 12 globally-recognised British beauty brands including Denman, Face Theory, CellDerma and Holition have displayed their range of products at Cosmoprof India.
Danyal Suleman, Cluster Director, Trade & Export Support Services for the Department of Business & Trade, UK Government said, “The FTA will benefit our companies who are looking forward to robust business here. Our brands are looking to act early to realise the potential of the FTA.”
“The recent signing of the FTA between the UK and India has turbocharged growth across key sectors including cosmetics and personal care products,” he said.
India’s beauty and personal care market which is projected to reach revenues of $33 billion in 2025, with personal care segment estimated to contribute $14.8 billion, is expected to exceed $39 billion by 2030 according to Statista.
Prestige cosmetics and fragrances segment is forecasted to generate $1.3 billion in 2025 and more than $1.5 billion by 2030, while natural cosmetics are also expanding rapidly, approaching $1 billion this year according to the market research & business intelligence platform.
Digital transformation is plays a central role in this evolution, it said.
As per estimates more than 226 million consumers are expected to purchase beauty products online in 2025, rising to 272 million by 2027. Direct-to-consumer sales are accelerating even faster, confirming the growing importance of omnichannel strategies, it said.
Published – December 04, 2025 09:07 pm IST
