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Riding Through the Crest and Troughs of Sillage - Growth in the Indian Perfume Industry The fragrance market is very tricky in India and still at a very nascent stage and this is what it needs

By Rohit Agrawal

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India was one of several civilisations, where perfume making was a thriving business. Traders from all around the world came here in search of the finest of fragrances. Over a period of time, this thriving fragrant business lost its charm. This was mainly due to the busy lifestyle of the common masses and declining urge towards grooming. However, given the recent changes and the enormous growth in the lifestyle industry and the growing demand for grooming, the newer generation is all set to chart a new course.

The perfume industry and the deodorant industry is all set to rise with a CAGR of 15per cent in the next 5 years with a spray form of deodorant and affordable "luxury' perfumes having a dominance throughout 2017-2022. Even though several brands and distributors have tried to tap into this growing market, it is not always a cakewalk. Understanding the customer's demand, needs and expectations are very essential if you are into the perfume industry.

The next few years for the perfume industry are going to be very important and will see various phases of changes. Let's deep dive into a few factors:

1. AI-based, Tailored Perfumes: Technology has made its mark in almost every industry, it's just a matter of time that AI will begin to understand your choices and shopping patterns what kind of fabrics you wear and what suits your body more. The suggestions that a consumer is likely to receive will literally be a game-changer and brands will have to evolve themselves to take the plunge.

2. Expensive Perfumes are a Passé, Consumers are Looking at High-quality Perfumes Without Burning a Hole in Their Pocket: There was a time when the ultra-high-end luxury perfumes ruled the market. It's a thing of the past since perfumes have gone mainstream. This era of the consumer has evolved and so have their choice. Everyone aspires to have Byredo, Tom Ford, Bvlgari but considering the price tag they come at, it's not everyone's cup of tea. New age perfume companies are creating their own high-end perfumes and catering to masses.

1. The Near End of Alcohol-based Perfumes, Cyclomethicone is the Preferred Base: Perfumes have been created using ethanol or alcohol, both have a high ratio to cause itch or rashes to different skin types. Which is why customers are careful in picking up a perfume. It's a great boon for the manufacturers since ethanol is quite cheap to obtain. Making perfumes from ethanol will be a thing of the past since brands are now trying to create and have created perfumes with Cyclomethicone. It's a substance that has high volatility to perfumes and is absorbed by the skin quite quickly.

2. Mix and Match - The Tester Opportunity: Over the past decade, we have noticed that consumers don't stick to one perfume, they want to change and move on to the next one or basis an occasion. This led to a huge gap and that's where Masstige perfumes come in. Massage perfumes give the consumer the freedom to try luxury perfumes and order the one that they like the most.

3. Oil-based Perfumes Move in as Legacy Perfumes: Just as traditions are passed from one generation to another, a similar scenario is observed with oil-based perfumes. A very specific set of users who have been using oil-based perfumes like Attar have passed on the perfumes to their younger generations. Some still continue to use them and some have been exposed to the modern-day perfumes leaving behind their family perfume tradition.

The fragrance market is very tricky in India and still at a very nascent stage. People still do not understand what a good quality perfume is, and are easily lured by the advertisements on TV. It's very important to understand the needs of your customer, once that is set in order, they will appreciate the product and come back for more. We took the time to figure out what our customers want, they have appreciated the quality of our perfumes and keep coming back for more.

With all these exciting numbers showing all around the country and increasing demand for perfumes among different generations, the perfume industry in India definitely has a fragrant future.

Rohit Agrawal

Founder & CEO, PerfumeBooth

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