Oriflame’s India play is getting bigger than beauty

Oriflame, a Swedish beauty and wellness company, anticipates India to become its largest market within the next four years, contributing nearly a quarter of its global revenue by 2030, as per Global CEO and President Kenneth Benaim Campbell. The company is also considering India as a potential manufacturing base to supply to its global markets once it solidifies its domestic growth, Campbell told PTI in an interview.

Oriflame aims to add 10 lakh new brand partners (direct-selling agents) by 2030, quadrupling its current base of 2 lakh active brand partners in India, according to Campbell. These agents, mostly women, are expected to be spread across 500 new cities added to the network, buoyed by factors such as an expanding economy and increasing participation of women in the workforce, which Campbell regards as key growth vectors for the beauty and personal care sector.

Oriflame has been present in India for over 30 years and is expanding its footprint by incorporating more than 500 new cities into its network, powered by growth prospects in the country. The company generates nearly one in every 10 euros in global revenue, with India accounting for nearly a tenth, and projects this to increase to one in four euros by 2030, Campbell added.

The business model in India revolves around beauty entrepreneurs, targeting not just metropolises but also tier 2 and tier 3 towns. The next challenge is not just identifying the next 500 cities but the subsequent 500 as well, Campbell said. In terms of investments, Oriflame has partnered with Indian manufacturing partner Akums to strengthen its production network in the country. Currently, 240 products from Oriflame's portfolio are being manufactured at the Akums facility, with plans to scale up further.

While India is one of Oriflame's top three markets, the company has no plans to venture into retail or e-commerce channels, preferring to focus on its direct-selling model built on trust between beauty entrepreneurs and their networks. Oriflame's biggest asset remains its beauty leaders and entrepreneurs, and it remains focused on the domestic business with a long-term vision to emerge as a manufacturing hub for its global markets.