BIZ104 Customer Experience Management Solution

Subject Code and Title: BIZ104 Customer Experience Management
Assessment: Customer Experience
Strategy: Research Analysis

Executive Summary:
Nykaa has recently become the talk of the nation after the launch of its IPO and the great response it received has raised its founder Falguni Nayar to stand out as part of India’s special group of billions of women who have made a name for themselves. increased to $ 6.5 Bn following the Nykaa record list, according to the Bloomberg Billionaires Index.
In this particular assignment, we will give you an overview of the Nykaa forum, concerning its founders, the business model, system of funding, its achievement and success story, its origins and
its growth.

Table of Contents:

  1. Introduction
  2. Secondary Research
  3. Research Analysis
  4. CEM Concepts / Theories
  5. Customer Segments
  6. Customer Feedback
  7. Conclusion
  8. References

Organisation Name:
Nykaa , generally is an Indian originated brand that mainly study intensively in beauty and personal care products. It was established as an e-commerce platform only from the time it began setting up trading centres in some major cities across the country.
This product focuses on helping a wide range of cosmetics, skin care, hair care, deodorants, bath and body, luxury and well-being products for men and women. The forum provides well-written and affordable products, which claim to receive over 1.5 million per month across India.
Nykaa currently has its own stores with three properties namely Luxe, On Trend, and Kiosks. As Nykaa On Trend items are only available to trendy and fashion companies, Nykaa’s Luxe stores include high-end and luxury brands such as Estee Lauder, Dior, Huda Beauty, and M.A.C Cosmetics
as well as a list of others.
In addition to the female beauty, the forum also has a host of men’s makeup items have been put on the Nykaa website and app and also on the Nykaa Network, which contributes to the online community of beauty lovers. Currently, the company strongly believes in holding on to a specific marketplace.

Secondary Research:
• Academic Journal on Nykaa:
The measurement method mainly comprises of the method that is used in the study. This particular method of measurement helps to examine the data mathematically or it can be concluded that numerical study is done with questions and surveys. The method of rating focuses mainly on collecting data based on numerics and statistics and compiling it generally into clusters of respondents or describing something.
Over the past few years, industries such as beauty and self-care have flourished through the store’s experience of touch, hearing and aroma. Little did we know that high-scale industries such as beauty and self-care might get into social media. We are all sound and aware of the fact that the advent of ecommerce sites has made life convenient, easier, and less time-consuming in the world. With this evolving changes have proven that the makeover and personal care industries are no different from the digital and social mode.
This report focuses on the explanation on how e-commerce platforms have evolved the lifestyle of the consumers to choose online or offline and the factors that influence consumer purchases about the digital platform, Nykaa, is in relation to their purchase of cosmetics and beauty. products.
• Social Media Reviews on Nykaa:
In the last 90 days (our hearing period), Nykaa has reached 8.3 Million of its TG via public post. While most of the products were silent during the closure, Nykaa returned to the social media platform, with its sales.
Nykaa makes good use of Facebook to talk about its product list. However, the FB page is surprisingly full of negative comments about product/purchase information with Nykaa.
The most interesting read for us from Insta’s Annual page is how many markets / sellers of products can present themselves on Insta. We compared Nykaa with BeautyBay and AllBeauty’s Instagram pages.
Nykaa does well by giving its various species space on its page. When it comes to focusing on the powerful, visual images sought by Insta, we think the excellent balance between the ownership of different products is matched by the needs of the Insta platform.
• Business Reports on Nykaa including the statistics:
• In the recent research it was concluded that men make up 33.10% and women make up 66.90%. This proved that the woman plays a major role.
• 77.2% of respondents fall within the age group of 20-25 years, 14.5% of respondents fall within the age group of 25-30 years, 3.4% of respondents fall within the age group of 15-20 years, 2.8% & 2.1 % less than 30-40 and 40 and above accordingly and respectively.
• 77.2% of respondents said they purchase their beauty products online and 22.7% said they are not interested in buying cosmetic products online. This helps to confirm the primary purpose of the study which is to read and analyze consumer purchasing behavior online.
• 60% of respondents from 77.2% chose Nykaa as their digital shopping platform to buy beauty and care products which is a large number. And some 17.2% respondents chose other forums than Nykaa
• 19.31% of respondents are very reliable and 26.90% of them are reliable among the 60% of respondents who choose Nykaa. 13.10% of respondents are neutral regarding loyalty.

Research Analysis:
1) Learn and analyse consumer online behaviour.
2) Assessing the behaviour pattern of customers of a several age group.
3) Comprehending the factors that influence the customer’s purchasing preferences in relation to the Year.
The measurement method mainly comprises of the method that is used in the study. This particular method of measurement helps to examine the data mathematically or it can be concluded that numerical study is done with questions and surveys. The method of rating focuses mainly on collecting data based on numerics and statistics and compiling it generally into cluster of respondents or describing something.
Key data is grouped together through a digital questionnaire pattern on the settlement of the respondents who were believes to have gained the information you want.
Several articles were printed and published on consumer and company purchasing pattern by Nykaa have been transferred to the second data collection

Challenges for Nykaa:
Nykaa has been using the most sophisticated infrastructure setup on AWS with more than 200 servers, facing challenges such as:
The infrastructure was managed by various development teams, apart from the standard distribution
Goods were delivered, repaired, and handled, leading to many delays and a high tendency for errors.

Nykaa has joined NEW to have a quick time going to the market and further down the line using CI / CD to automatically create their own delivery pipeline while improving Cloud spending.
Infrastructure management and provision in line with industry standards and agreements leading to a significant reduction in supply time and an increase in shipping frequency.
Transferred from monolithic framework to smaller scale measurement, usability, and efficiency Leveraged Docker and Amazon Elastic Container Service (ECS) for the construction of high-risk environments that improve site conditions and automated measurements to accurately measure any
change in website traffic.

Nykaa’s market share in the digital and social platform of beauty and care is approximated to be more than 18.5% (calculated as FY20 / TAM revenue). One major share held by newcomer startups, whereas the other competitors, including Purplle, Pureplay, MyGlamm, SkinKraft, Mamaearth and
SUGAR, hold not more than 2% of the marketable potential.
Nykaa commands a significant amount of product as well as customer loyalty throughout the market. Moreover, at FY21, 70% of the total gross merchandise value in the field is made up of its existing customers. Therefore, the share of existing customers on GMV prices has increased by 15 percent from 55% on FY19.
The financial performance of FY21, which includes EBITDA compliant, free cash flow and high ROCE, estimated that the company’s priorities were held strong during that year. In our ecosystem where only 1 in 4 EBITDA-sponsored developers approve, indicating strong financial foundations
before the IPO will drive bullish sentiment.

Customer Segments:
Customer 1: Nykaa is a good brand for online shopping of different types of products especially for women as it has its own beauty products and combines with many other branded products. I ordered a loss of lips on this site and it was great. It was 7 to 8 flavours to lose the lips and I ordered a
strawberry flavor and it was a great product. It costs me about 200 and the product quality was also very good. They were not bad, they could not hurt your skin either. And if by chance the product has a defect, or is not the one you were expecting, or you want to change or return it then the return policy is also available and the amount you paid is transferred directly to your account.
Customer 2: An excellent website where you can buy products. And they have a variety of luxe and high quality which is amazing. So far I have never complained about them. They always do a good job of providing the best help possible.

Customer Feedback:
Nykaa is a smooth application that works perfectly well and has no internal problems. It has many categories to choose from. Discounts are a huge magnet for me. Nykaa has also introduced many types of luxury that you will usually not find in any nearby store which to me is the best part. I don’t
have to visit hundreds of stores to find one product lipstick or concealer either.
I always buy cosmetics and skincare products at Nykaa and they always have a lot of sales and discounts. It is unbelievable that I end up buying Nykaa products from time to time. I recently received a Kaya day cream and lipstick from Facescanada. I found it in the ongoing sale of diwali on
their platform.

According to the stated hypothesis and the objectives, the research was absolute and successfully completed.It concludes that the features listed in the study have a positive impact on the consumer preferences and buying pattern.
The Nykaa company can install its men’s beauty products that are obviously not very accessible to consumers. As people become more aware of their natural skin, they are switching to herbal inventions. Nykaa has improved its herbal packs to raise its consumption which is leading to increased growth rate. The company also offers gift vouchers to its authentic and potential customers and also to the new customers to entice them to re-purchase.

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