In an exclusive interaction with MediaBrief, Shivam Sood, Chief Executive Officer of Perfume Lounge, speaks about how the perfume market has evolved and charts the launch and growth journey of the D2C perfume brand- Perfume Lounge.
He highlights the potential of scent-based or Olfactory marketing and discusses the company’s marketing and communication approach.
Shivam also speaks about the sub-brands that the company has launched and underscores the trends that will take center stage in the future.
Read on.
What was the insight behind the launch of Perfume Lounge? How has the company grown since its launch?
Launching Perfume Lounge was a natural fit for all the founders. I have been passionate about perfumes for a very long time and being an avid collector and user of perfumes, starting a Perfume brand was always on the cards.
Deepak and Parvesh have been involved with the Perfume industry for more than 20 years. So when we all met the idea to start Perfume Lounge came about
Since the launch, we have been growing 100% MoM in terms of total order volume. We hope to sustain this growth in the near future as well.
Tell us about Perfume Lounge’s suite of offerings. How do you create value for customers?
We at Perfume Lounge have various fragrances for both Men and Women. Our current product categories include EDPs (Eau de Parfum) and EDTs (Eau De Toilette) which are offered in different volumes and we are also coming up with Deodorants in the near future.
We work with leading fragrance houses to create perfumes under these collections and are offering international standard fragrances at an affordable cost. Our packaging and the bottles are of premium quality and we have a strong focus on branding both digitally and offline.
Tell us about the sub-brands that the company has launched. How have they performed? What traction have they received from customers?
We currently have 4 collections, 2 each for Men and Women. Our Noww and Designer Club collections are for Men and Taboo and Gin & Tonic collections are for Women.
Our best-selling collection has been Noww for Men and Taboo for Women. Our latest collections have also garnered a really good response. Traction from customers has been tremendous both on marketplaces and our website.
What were Perfume Lounge’s top 10 most popular products during 2022?
Most popular products are as follows in no particular order: Noww Active, Noww Energy, Noww Race, Designer Club Red Velvet, Designer Club Bespoke, Designer Club Black Tie, Designer Club Elements, Taboo Temptation, Gin & Tonic Sorry not Sorry, Taboo Obsession.
What is the current market size of your sector, and how much do you think will grow in the next five years?
The fragrance industry is projected to cross INR 20,000 crores by 2027 as per some reports.
Tell us about Perfume Lounge’s marketing and communication approach. Which channels do you choose for marketing? What is your marketing and media mix?
We primarily use Instagram and Youtube for marketing on digital channels. Our content-to-commerce strategy hinges on us creating content that is useful for our target audience thereby generating a loyal brand following.
We further use Meta and Google Ad platforms to run digital ads to reach our Target Audience.
What are your thoughts on Olfactory/ Scent-based Marketing? What are some strategies that brands should adopt and leverage?
Perfume Lounge being a fragrance brand it is imperative for us to use Olfactory and Scent-based marketing to connect with our customers on a deeper, emotional level to create a memorable brand experience.
Brands can leverage scent-based marketing to increase sales by attracting customers in a less intrusive manner. Evoking strong memories and feelings in customers through creative storytelling in your digital communication can help set a brand apart from the rest as the customers feel a stronger connection to the products and the brand.
It can also be done offline through events and through sampling programs both online and offline thereby creating a strong personal connection with customers that makes them 100 times more likely to remember the smell and associate closely with the product and the brand.
How is the fragrance market in India evolving, and what are the trends that will take center stage in the future?
The fragrance market has really evolved in India in the past few years. A lot of new brands have also entered into the fray thereby offering customers a plethora of choices.
Post-Covid customers have also become comfortable buying perfumes from new brands online further expanding the market. I believe online sales will continue to grow and take market share away from offline channels.
With new beauty-focused marketplaces like Nykaa and Purplle gaining prominence in India, the online fragrance market will benefit alongside. Look for tier 1 and tier 2 cities to play a big role in expanding the overall fragrance market.
What are your plans going forward? Perfume Lounge’s s top priorities and roadmap for 2023?
We are looking to commence our offline retail plans by opening our own stores across India. We are looking to expand our presence into 10-12 cities by the end of 2023.
Our plan is to open 50+ stores by the end of 2023. Some of our other priorities also include expanding our product range and entering new product categories. We would continue to add to our product portfolio to better serve the Indian consumer.
Anything else you would like to add?
Our vision is to be a leading fragrance brand in India in the next 2-3 years. We also plan to have the largest selection of SKUs among all the competitors thereby giving a lot of variety to our customers.