The Body Shop’s new owner eyes India as top market, plans major expansion

For many around the world, the timeless, lingering scent of The Body Shop’s iconic British Rose fragrance evokes memories of self-care, indulgence, and ethical beauty. A favourite for decades, the brand is now under the stewardship of Mike Jatania, co-founder and executive chairman of Auréa Group.

Jatania acquired The Body Shop in September 2024, marking a new chapter for the ethical beauty pioneer. “This is a once-in-a-lifetime opportunity to take a globally iconic brand with nearly a billion dollars in sales and shape its next 50 years,” he says. But the task is far from simple. The Body Shop, once central to L’Oréal and later Natura, faced challenges under previous ownership due to constrained global sourcing and centralised decision-making. Jatania’s vision is clear: reinvention through localised strategies, rapid innovation, and decentralised operations.

India, where British Rose and other flagship ranges have cultivated a loyal following over two decades, stands at the heart of The Body Shop’s growth plans. Currently one of the brand’s top five global markets, India is set to climb higher as the company envisions doubling its current 200-store footprint in the next three to five years. Partnering with Quest Retail, The Body Shop aims to extend its reach into Tier 2 and Tier 3 cities while targeting revenue of ₹1,100 crore within the same period.

“Our goal is to make India one of our top three markets alongside the US and China. This market isn’t just important for its scale—it’s a hub for innovation and local sourcing,” Jatania explains. India will not just be a growth market but also a testing ground for ideas that could be scaled globally.

The Body Shop also seeks to tap into India’s sustainability ethos. Through initiatives like “Plastics for Change”, the brand has already collected over 100 million plastic bottles for recycling, impacting 20,000 waste collectors. Jatania aims to scale this to one million collectors.

Navigating challenges in India’s beauty market

While the growth outlook is optimistic, the Indian beauty market is not without challenges. Fierce competition from new-age brands, price sensitivity, and the complexities of catering to diverse consumer segments demand strategic agility. Recognising this, The Body Shop plans to introduce trial sizes and entry-level pricing to attract aspirational but price-conscious customers without compromising its premium positioning.

The brand also leans on an omnichannel strategy to deepen its market presence. E-commerce, already contributing 30% of The Body Shop’s global revenue, is expected to rise to 50% in the coming years. In India, platforms like Nykaa, Amazon, and Flipkart complement the brand’s brick-and-mortar stores, ensuring accessibility across urban and semi-urban markets.

Jatania sees rapid innovation and hyper-personalisation as key trends shaping the beauty industry. The rise of Q-commerce and its focus on impulse buying and convenience presents both opportunities and challenges. The Body Shop plans to adapt its product sizes and pricing for this channel, addressing consumer needs for quick replenishments without eroding its premium appeal.

“These new brands keep everyone on their toes,” he admits. “They’re innovative, and some have been very successful. But we do see a real role for The Body Shop and the brand here in India because of its 50-year global heritage and 20-year local heritage, and the hearts and minds that we have managed to capture.”