Deepika Padukone’s skincare brand 82°E posts ₹12-cr loss: Report
The skincare industry has witnessed significant growth in recent years, with numerous celebrities launching their own brands to cater to the increasing demand for premium products. One such brand is 82°E, backed by none other than Bollywood actress Deepika Padukone. However, according to recent reports, the luxury skincare brand has posted a substantial loss, raising concerns about its financial stability.
As per a report by Moneycontrol, citing MCA filings, 82°E witnessed a massive decline in revenue, plummeting to ₹14.7 crore in FY25. This significant drop in revenue has resulted in a net loss of ₹12.3 crore for the company. The expenditure, however, tells a different story. The company spent a whopping ₹25.9 crore in FY25, a sharp reduction from ₹47.1 crore the previous year, but still higher than its current revenue.
The luxury brand had raised $7.5 million (approximately ₹70 crore) in seed funding in 2022, which was expected to propel its growth and expansion plans. However, the recent financial reports suggest that the brand is struggling to generate sufficient revenue to cover its expenses.
The decline in revenue can be attributed to various factors, including increased competition in the skincare market, changing consumer preferences, and the brand’s inability to effectively penetrate the market. The brand’s high-end pricing strategy may also have contributed to the decline in sales, as consumers become more price-sensitive and opt for affordable alternatives.
The Indian skincare market is highly competitive, with numerous domestic and international players vying for market share. The market is dominated by established brands, and new entrants like 82°E face significant challenges in gaining traction. Moreover, the market is witnessing a shift towards affordable and sustainable skincare products, which may not align with 82°E’s luxury branding and pricing strategy.
Despite the challenges, Deepika Padukone remains optimistic about the brand’s future prospects. In an interview, she emphasized the importance of building a strong brand and creating a loyal customer base. However, the brand’s financial performance suggests that it needs to reassess its strategy and adapt to the changing market dynamics.
The skincare industry is expected to continue growing, driven by increasing awareness about skincare and the rising demand for premium products. However, for 82°E to capitalize on this trend, it needs to revamp its strategy, focusing on product innovation, effective marketing, and competitive pricing.
In conclusion, the financial reports of 82°E raise concerns about the brand’s sustainability and growth prospects. While the brand has a strong backing from Deepika Padukone, it needs to address its financial challenges and adapt to the changing market dynamics to remain competitive. The brand’s ability to innovate and respond to consumer preferences will be crucial in determining its future success.
As the skincare industry continues to evolve, it will be interesting to see how 82°E navigates these challenges and works towards achieving its growth objectives. With the right strategy and execution, the brand can still capitalize on the growing demand for premium skincare products and establish itself as a major player in the market.
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