Look good and feel good being the latest mantra among the upwardly moving urban population, the beauty and wellness segment has diversified further into specialized verticals such as cosmetology and trichology. A fragmented segment with more of standalone clinics, this sector invites more serious players who can give it a shape and vision for future growth.
A recent report by the National Skill Development Corporation (NSDC) states that the beauty and wellness sector is growing at a compound annual growth rate (CAGR) of more than 20 per cent and will need 14.27 million skilled workforces by 2022.
Despite having one of the best doctors from all over the world, there are still no fixed standardized procedures to provide services in this sector. The reason behind this is lack of professional cosmetic surgeons because without medical professionals it will be similar as a carpenter doing an architect’s job. The highly unorganised sector carries a lot of potential because of the growth rate its following and needs aggregation to form standardized procedures.
“We believe that this sector will soon witness inflation and in upcoming 2-3 years this sector will attract lots of aggregators, which means a lot of good doctors will come together and shape up this sector.
Considering the hoax that once people had that spending money on beauty and wellness is a luxury that they cannot afford has thoroughly changed and the sector that was once considered only for movie stars, models or business tycoons is witnessing an increase in demand for quality treatments and aesthetic procedures. Rising income, increasing awareness among consumers in tier 2 and 3 cities and low rental/manpower costs are some drivers due to which the need for expansion has occurred.
This industry needs a sense of trust that the consumer should build with the brand, and the brand should deliver the same results promised earlier to the consumer.”
One of the most difficult starting points is to understand the information on products and lack of resources to assist with identifying core processes and procedures required to develop a sustainable cosmetic business. Medical terminology, legal requirements, healthcare registration, staff training, the patient pathway, plus a host of other protocols to ensure you provide treatments in a safe and controlled environment are must for a start up cosmetic business.
There is evidently a huge gap in the market which can be filled only if serious players come together to make quality treatments available to the people. The need of the hour is get together doctors and practitioners with a common mission to make the aesthetic industry grow. Many aesthetic brands have started treading the much tried and tested route for growth and expansion that is none other than franchising.
Sanjeev Mahajan, CEO, Enhance Clinics: “We have only cosmetic surgeons performing the surgeries and even if we do franchising; we provide apt guidance and cosmetic surgeons to our partners and follow the standardized procedures that need to be accredited to this industry.”