Indian skincare's golden era: Plum Goodness points to a glowing future

India’s beauty and skincare market may feel crowded, but industry insiders say it is still in its early stages, with significant headroom for growth driven by changing consumer behaviour, premiumisation, and wider access beyond metros. 

“I think we are entering what I would say is the golden era of Indian skin care,” Shankar Prasad, founder and CEO of Plum Goodness tells Fortune India. “If you really look at per capita consumption and awareness, we are still in the early stages of India transforming into one of the world’s biggest skincare markets.”

In 2026, the skin care market in India is projected to generate a revenue of $10.63 billion, according to industry reports. In fact, India's beauty and personal care (BPC) is at an inflection point. It is set to become the fourth largest market globally and it is also India's fastest growing retail category, according to Redseer. Currently valued over $28 billion, it is expected to touch $40 billion by 2030.

At the same time, willingness to pay has increased. According to Prasad, Plum’s higher-priced moisturisers outperform entry-level options. “Our lowest priced moisturiser is not our highest selling. The ones offering the right benefit are,” he says.

Skincare is the largest category for Plum while hair care, although less than 10% of the overall portfolio, is the fastest growing segment. 

The consumer base is also expanding earlier. Where skincare adoption once began in the early twenties, many users are now entering the category at the age of 15 or 16. This not only increases consumption frequency but also extends the lifetime value of customers. As per Redseer's report, GenZs will be the largest consumer cohort driving nearly 50% BPC market by 2030.

Beyond metros, a more level playing field

The growth is no longer limited to urban centres. Improvements in logistics and the spread of digital platforms have narrowed the gap between metros and Bharat. E-commerce contribution has jumped from around 8% to 20% in the last approximately five years. 

Delivery timelines that once stretched to a week have reduced to one or two days in most locations. Quick commerce is also expanding beyond large cities. “Even towns like Agra are becoming quick commerce markets,” Prasad says, adding that access to products is no longer a major constraint.

Digital content has played a parallel role. Social media platforms, influencers, and regional language content have made information more accessible, reducing dependence on physical retail discovery.

However, differences remain. Legacy brands continue to have an advantage in general trade distribution in smaller towns, while newer brands are still building reach beyond metros.

For Plum, the opportunity lies in tapping into this broadening market while maintaining growth and profitability. The company crossed ₹500 crore in revenue in the last financial year, with underlying growth of more than 30%. It has been profitable for eight of the last nine years and has delivered profits for the past eight consecutive quarters, with EBITDA margins in the high single digits.

Marketing remains a key lever, with spends accounting for 30 to 40% of the business. Yet, measuring returns is increasingly complex as consumers interact with brands across multiple touchpoints, from marketplaces to influencers.

Prasad believes the fundamentals are clear. “The only way you can make money is if your customer comes back without being told to come back,” he says. For that, a combination of brand work and product excellence is the sweet spot to be.