“Analysis of the Store Layouts- Suggesting Category Wise

Space Allocation and Creating an Ideal SKU List”

Internship Report Submitted to the Department of

Fashion Management NIFT- Mumbai
In partial fulfilment of the degree of Masters of Fashion
Management
Guided By
Mr. Sachin Bhatnagar, Assistant Professor
Submitted by,
Amala B.

BATCH 2017-19
Masters of Fashion Management
Department of Fashion Management Studies
National Institute of Fashion Technology
Mumbai

I
 DECLARATION

I hereby declare that the project “Analysis of the Store Layouts- Suggesting Category
Wise Space Allocation and Creating an Ideal SKU List” submitted to National
Institute of Fashion technology, Mumbai in partial fulfilment for the award of the
degree of Master of Fashion Management is an original research work carried out
my me during my internship at ‘Nykaa’ from 7 th January 2019 to 19th April 2019,
under the guidance and supervision of Mr. Sachin Bhatnagar, Asst. Professor,
Department of Fashion Management Studies, NIFT Mumbai.

I, further, declare that this project or part thereof has not been submitted in any form
for any other degree or diploma. All information Included from other sources has
been duly acknowledged.

Amala B.
Date: 12.05.2019
Place: Mumbai

II
 CERTIFICATE FROM THE MENTOR

This is to certify that Ms. Amala B. has completed the internship project titled
“Analysis of the Store Layouts- Suggesting Category Wise Space Allocation and
Creating an Ideal SKU List” for “Nykaa” under my guidance. She has been
submitting the progress report on time, thereby she is allowed to participate in
internship jury.

Mr. Sachin Bhatnagar

Date: 12.05.2019

III
IV
 RECOMMENDATION (INTERNAL JURY)
Proceedings of the MFM GRP Internal Jury Examination of Ms/Mr.
__________________________ held at _______________am/pm at NIFT,
Mumbai.

The GRP Internal Jury Examination of Ms/Mr. _______________________ on

her MFM GRP report entitled “____________________________________” was
conducted in the _________________________am/pm.

The following members of the Internal Jury were present.

1. _____________________________________
2. _____________________________________
3. _____________________________________
4. _____________________________________

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 ACKNOWLEDGEMENT

The quest for knowledge provoke man to undertake many journeys in life. Through
his pursuit there are various people who extend their invaluable support to make it
a success.

I would like to extend my sincere gratitude to those people who help and guidance
made my Internship at “Nykaa” possible. To begin with, my sincere gratitude to
the management of NIFT for giving this opportunity to experience and learn the
processes practiced in the apparel industry.

For the completion of this document I would like to thank Mr. Sachin Bhatnagar
(Associate Professor, Masters of Fashion Management, National institute of
Fashion technology, Mumbai) for being my mentor and guide throughout this
process.

I would like to express my sincere thanks to Ms. Divya Sreenivas for guiding me
and giving me valuable inputs throughout the internship at Nykaa.

I would also like to extend my sincere gratitude towards my course coordinator Mr

Yashwant Misale and all the other department faculties.

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 TABLE OF CONTENTS

TITLE PAGE NO:

1. Chapter 1- Company Profile 1-14
1.1 Introduction
1.2 Nykaa Story
1.3 The pioneers
1.4 Nykaa value
1.5 Nykaa Retail
1.6 Nykaa Private Label
1.7 Products offered
1.8 Nykaa Busiess Model
1.9 Nykaa’s marketing strategy
2. Chapter 2- Project: Analysis of store layouts: Suggesting 15-63
category wise space allocation and creating an ideal SKU
list
2.1 Competitor analysis
2.2 Nykaa Retail Stotre Analysis
2.3 Findings
2.4 Approach to the solution
2.5 Suggetions

3. Chapter 3- Tasks Accomplished/ On the job learnings 64

4. Contacts made 65
5. References 66

VII
 1. CHAPTER 1- COMPANY PROFILE

1.1 INTRODUCTION

Company Name: Nykaa

Logo:

Tagline: Your Beauty is Our Passion

Inception: 2012

Nykaa is a Mumbai-based multi-brand beauty retailer selling cosmetic and

wellness products. Founded by Falguni Nayar. Nykaa began as an online retailer in
April 2012 and opened its first physical retail store at T3 Terminal, Indira Gandhi
International Airport in November 2015.

Nykaa is an e-commerce website offering beauty and wellness products from all
the leading brands such as Lakmé, Maybelline, MAC, Bobbi Brown, Huda Beauty,
Colorbar, Kaya Skin Clinic, L'Oréal Paris and many more. Nykaa follows an
inventory based model with warehouses in Mumbai, New Delhi and Bangalore.
Nykaa has its offline presence in 35 stores and expanding. It claims to have over
850+ curated brands and 35,000 products. Nykaa’s core target audience is the 22-
35 age group.

1.2 NYKAA STORY

While hunting for business opportunity in India, Falguni Nayar, the ex-MD of
Kotak Mahindra, found that there existed a huge gap in the beauty products markets
in India that time and that the country around 2012 was lagging far behind of
various other countries like Japan, France and European countries in the race.

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At the same time, she found that the demands for such service however were
unexpectedly high in the country with respect to the number of places or platforms
offering genuine beauty products. The idea and the right demand led her to jump
onto the bandwagon of entrepreneurship and she launched Nykaa in collaboration
with her husband Sanjay Nayar, who was again from the banking background.

In just three years, Nykaa has emerged as the largest beauty destination in India
with half a million happy customers depending on us not just for their favorite
brands but also for advice, updates, expert tips and videos on how to look and feel
gorgeous always! With almost 850+ curated, well priced and 100% genuine brands
and 1 lakh products, Nykaa prides itself for offering a comprehensive selection of
makeup, skincare, hair care, fragrances, bath and body, luxury and wellness
products for women and men. Nykaa aim to please, going to the farthest corners of
the country to reach you! Today Nykaa ships across the length and breadth of the
country to almost every zip code using the services of leading and reliable courier
companies.

As the last word in all things beauty Nykaa goes beyond just being the biggest
online beauty store. Derived from the Sanskrit word “Nayaka” that means actress
or one in the spotlight. Nykaa.com is all about celebrating women, celebrating the
star in you... Admire the confidence, strength and grace with which each and every
one of you lives your life. Nykaa want to be your companion as you take on multiple
avatars and discover your own identity and personal style. As your beauty buddy,
we make your life a whole lot simpler by not only providing you with expert advice
and guidance, but also by shipping products right to your doorstep. Nykaa has a
must-read Beauty and Makeup Blog - Beauty Book, an ever growing Expert Portal
section with 25 leading makeup stylists, skin, hair, personal care and wellness
experts to answer any questions or concerns you may have related to beauty, health,

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nutrition and personal care, a Virtual Makeover tool to ‘try’ and share different
makeup looks and a beauty helpline. These services make Nykaa truly passionate
about catering to your every beauty and wellness need.

1.3 THE PIONEERS

Nykaa.com is the entrepreneurial dream of Falguni Nayar, the former managing

Director Of Kotak Mahindra Capital Company, India’s leading investment bank.
Falguni has received many accolades through her career including the FICCI Ladies
Organization (FLO) award for the top woman achiever in the field of banking and
the Business Today award recognizing her as one of the top 25 women in business.
She was a Founding Member of the Asia Society in India. She is on several boards,
including the Aviva Insurance Board, Dabur India and also serves as an
Independent Member on the Tata Motors Board. In addition to being a successful
career woman and homemaker, Falguni is a source of inspiration to every member
of her young and ever growing team. Her attention to detail, involvement in every
aspect of the firm and passion for the business are qualities that make her a great
leader. A mantra she lives by is “retail is all about detail” and is often heard
propagating the same. Assisting Falguni is a driven team of enthusiastic
professionals drawn from myriad fields, all united in their common goal of
changing the face of beauty in India. Through exclusive launches, product
innovation, sharp communication and appealing design elements, the Nykaa Team
aspires to reach new echelons in terms of their vision. At the heart of Nykaa’s
growth are its people, young men and women committed to bringing the magic and
delight of beauty to your doorstep.

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 1.4 NYKAA VALUE

Just as we admire the genuine worth in every woman, we believe that the Nykaa
woman deserves nothing but the best, purest, authentic beauty and wellness
products money can buy. Unlike other online players, we NEVER source anything
from the ‘grey market’, choosing to only offer products that are 100% authentic,
sourced directly from the brands or authorized distributors. Our authenticity also
extends to all aspects of how we run our business. From its very inception,
Nykaa.com has strived to set the benchmark in product quality control so that
customers are assured of receiving 100% genuine and fresh products sourced
directly from manufacturers or their authorized distributors.

1.5 NYKAA RETAIL

Along with this Nykaa has two offline store formats each suitable for different
market and customers – Nykaa Luxe and Nykaa On Trend. Nykaa Luxe and Nykaa
On Trend. The Luxe stores span on average between 1,500 and 2,000 square-feet
and are brand-led, while the On Trend stores at smaller at around 600 square-feet
and are category-led.

NYKAA LUXE:

Logo:

The Luxe format features Indian and international luxury beauty brands along with
Nykaa Beauty, the in-house collection of beauty products. These stores aim to
provide a luxury experience to the customers. They offer more than 40 brands
which include luxury fragrances, makeup and skin care product. Along with this

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they also offer then Nykaa Private label products as well. These are large format
stores, with an average store area of 1000 square feet and above. Nykaa Luxe stores
are primarily targeting the metro cities.

Image 1: Nykaa Luxe, The Chanakya Mall, New Delhi

The following are the list of Nykaa Luxe Stores:

• The Chanakya Mall, New Delhi

• Khan Market, New Delhi

• Infiniti Mall, Mumbai

• Treasure Island Next, Indore

• L&T Mall, Hyderabad

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 • Westend Mall, Pune

• Alpha One Mall, Ahmedabad

• Forum Esplanade Mall, Bhubaneshwar

• Forum Shantiniketan Mall, Bangalore

• Z Square Mall, Kanpur

• Lavelle Road, Bangalore

• Pacific mall, Delhi

• Linking Road, Mumbai

NYKAA ON TREND:

Logo:

The On Trend format is the first of its kind in the market with products curated by
category basis their popularity. The “On Trend” stores carry a highly curated
selection of cosmetic products available on Nykaa’s e-commerce store aiming to
capture current beauty trends. There is only one rule in the On Trend stores -- try,
try, try - and every item is a tester.

These are small format stores with an average store area of 600 square feet and
above. Nykaa On Trend stores targets the tier 1 and tier 2 cities.

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 Image 2: Nykaa On Trend, Ambience Vasant Kunj, Delhi

The following are the list of Nykaa On Trend Stores:

• Logix City Center, Noida

• Mall of Amritsar, Amritsar

• Phoenix Market City, Mumbai

• High Street Phoenix, Mumbai

• Seawoods Grand Central Mall, Navi Mumbai

• VR Mall, Bangalore

• Galleria Market, Gurgaon

• Prozone Mall, Coimbatore

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 • Ambience Mall, Vasant Kunj, Delhi

• Palladium Mall, Chennai

• MBD, Ludhiana

• Lulu Mall, Kochi

• Elante Mall, Chandigarh

• DB City, Bhopal

• Mantri Mall, Bangalore

• Viviana Mall, Thane, Mumbai

• VR Mall, Chennai

• Ambience Mall, Gurgaon

• Inorbit mall, Mumbai

• MI Road, Jaipur

Airport Stores:

There are two transit stores at the Indira Gandhi International Airport, New Delhi
and Chathrapathi Shivaji Maharaj Terminal, Mumbai. They offers a wide range of
luxury fragrances and Nykaa Private Label Products.

The following are the airport stores:

• Terminal T3, Delhi

• Terminal T2, Mumbai

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  RETAIL SNAPSHOT:

USD 70
USD 12 Mn 35 Stores
Luxe AOV
Proj. FY19 Gross Sales 20k Sq. Ft. Area
USD 30
at MRP Covered
On Trend AOV

1000 Sq. Ft.

Avg Luxe Store Size
1,950 Avg. Footfalls 40K
Per Day 600 Sq. Ft.
Orders Per Month
Avg On Trend Store
Size

60K Makeup: 65%

80%
Database of Active Skincare: 16%
NPS
Customers Fragrance: 17%

1.6 NYKAA PRIVATE LABEL:

Nykaa launched its collection of in-house beauty products in 2015 with nail
enamels. It gradually expanded its catalogue to include lipsticks, eye products, face
products, bath and body care products, makeup tools, fragrances and essential
oils.Reena Chhabra is the CEO of Nykaa Private label. USP of Nykaa private label
that has made the brand the first choice of the Millennial’s is that the quality and
the price points that we are offering is much better than the competitors.

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 Image 3: Nykaa Private Label Products

1.7 PRODUCTS OFFERED

Authenticity

Every effort is taken to reinforce Nykaa’s reputation for product quality and
reliability; random sampling to check for—and return—products near expiry,
surprise checks at the warehouse to ensure all quality control measures are
implemented, and choosing the most reliable courier partners across the country.
Nykaa.com is committed to the vertical integration of quality control and 100%
authenticity of all product offerings to build and retain consumer trust and
confidence. It is a testament to Nykaa’s efforts to ensure authenticity that
Nykaa.com is the only authorized online retailer of luxury fragrances in India;
offering top-of-the-line luxury fragrances from brands such as Calvin Klein,

10
DKNY, Davidoff, Yves Saint Laurent, Giorgio Armani and L’Occitane. In another
step to ensure complete quality control, Nykaa.com controls the entire value chain,
from product sourcing to final sale to ensure that no fake products are sold. Every
product sold on the site can be traced back to the brand via sales receipts. The
warehouse staff is specially trained to examine all exterior packaging and expiration
dates of beauty products on receipt of products and prior to shipping to customers.

1.8 NYKAA BUSINESS MODEL

The company has an Inventory-based model that has helped the brand to gain its
name in the fashion and cosmetics industry. The products are 100 percent genuine
and authentic, sourced directly from the brands. Nykaa provides a hassle-free
shopping experience, the virtual makeover tool, beauty advice and assistance on the
phone, free expert advice and articles on beauty trends and tutorials and celebrity
looks.

Nykaa sells more than 35,000 products from 650 brands, both international and
Indian, luxury and mass, and is constantly adding new labels to its stock. In 2015,
Nykaa introduced her own brand and it has gone on to become a best-seller on the
platform.

Fundings:

Nykaa has managed to raise 25 million dollars so far from 7 different investors in
4 rounds.

Series A: In the first round of funding held in July 2014. Nykaa abled to raise 3.4
million dollars.

Series B: In series B round of funding Nykaa raised 9.5 million dollars from series
of investors including Michael Carlos, Dalip Pathak, TVS Capital Funds, Atul
Nishar, and Harsh Mariwala.

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In the third round of funding the company was able to raise 820 million rupees from
Harsh Mariwala, Sunil Munjal.

Nykaa Revenue:

Nykaa’s revenue has grown close to 300% in the last two years. In 2016, it raised
a total of 104 crore rupees from investors and the company hopes to break even by
the end of this year. The company is also eyeing for an initial public offering in
2020.Nykaa is receiving 15,000 orders a day, mostly from consumers between the
ages of 22 and 35.

1.9 NYKAA’S MARKETING APPROACH

Like all most of the marketers, Nykaa’s marketing strategy includes a number of
relevant discount coupons & offers apart from the usual campaigning of the
marketing ventures. They have a team of experts for beauty and wellness who
educate and help consumers around the world in the given area. With over 25
experts, Nykaa provide beauty & wellness solutions online for all the queries that
consumers have.

 Nykaa Marketing Strategies:

Nykaa depends on content marketing for their marketing strategy. They provide
high-quality content to showcase the global trends that have proved a winning
formula for the brand name on one hand, where Nykaa is using high-quality content
to generate traffic on the website, Nykaa uses email marketing and social media
marketing for remarketing. Nykaa also collaborated with Femina to host the
‘Nykaa.com Femina Beauty Awards’ in 2015 and 2016 to create the brand
awareness.

 Content Marketing

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Nykaa uses a high end content to showcase the global trends that has proved a
winning formula for the brand name. People consume content and this is the reason
Nykaa has established a good team for its content strategy. Keeping the users
engaged through interesting contents on its blog and social media has driven many
customers on their web portal.

 YouTube Channel

Nykaa runs a YouTube channel “Nykaa TV” to provide the people best video
guidance for using cosmetics and fashion products and remain up to date in the
society. They have many “how-to videos” to help their users and customers.

 Discount coupons and offers

Nykaa offers many coupons and offers to its customers so that they keep on making
purchases from the portal. During the festive time, the brand promotes themselves
on various platforms and using various tools. They make use of coupons and
discount deals to attract more and more customers.

 Use of Social Media

 Nykaa uses various social media platforms for lead generation and then
gives offers and discounts to convert it into sales.
 Nykaa shares offers and deal posts on its Facebook page that has helped the
brand get a massive 1.4 million fan following. They have integrated “Shop
now” option on their Facebook page that redirects users directly to their
website to purchase the beauty products.
 Twitter witness more than 11.1K followers. The content and social media
marketing team posts attractive and lucrative contents over the platform that
helps Nykaa increase their Twitter followers.
 YouTube Channel of Nykaa has around 50K subscribers.
 Instagram has grown large for the brand with more than 133K followers.

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 Nykaa experts: Along with contents and videos over the company’s product
page and social media platform, they also have more than 25 Nykaa experts
who give solutions for all your fashion queries online.

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 CHAPTER 2
PROJECT
Analysis of store layouts:
Suggesting category wise
space allocation and
creating an ideal SKU list

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 2. PROJECT: Analysis of store layouts: Suggesting category
wise space allocation and creating an ideal SKU list

• Objective 1: To identify areas of display inefficiencies and recommend

changes to make the optimum utilisation of the space and ensure higher
visibility of the merchandise.

• Objective 2: To analyse the existing On Trend Store layouts and categorise

the different wall bays based on their capacity.

• Objective 3: Creating an ideal SKU list for different wall bays which can
be implemented throughout pan India.

METHODOLOGY

A) Secondary Research:
 Store Layout: Store Layout is the design of a store’s floor space and
the placement of items within the store.
 Minimum Display Quantity: Also known as the Minimum Base
Quantity (MBQ) refers to the minimum level of stock the retailers
plans carry in a store. That includes the Minimum Display Quantity
(MDQ) and the backup stock (if there is a storage section in the
store).
 Planograms: They are the visual diagrams that provide specific
details about where every product is supposed to be placed inside a
retail store. A thorough retail planogram will also include how many
facings of each product should be present. When used properly,
retail planograms can prevent out-of-stock instances, streamline the
replenishment process, expand the selling potential of a space, and
ultimately, increase sales.

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 B) Primary research

Nykaa operates in two different retail store formats- Nykaa luxe and Nykaa On
Trend. These stores cater to different market and customers. On Trend format
houses a curated range of bestselling products. The curation is based on the sales,
review and rating of products in the Nykaa online portal. Nykaa Luxe provides a
luxury beauty experience with more than 40+ Luxury brands.

For the project six stores across various locations in Mumbai was visited.

1. Infinity Mall in Andheri- Nykaa Luxe Store

2. Inorbit Mall in Malad- Nykaa On Trend Store
3. High street Pheonix in Lower Parel- Nykaa On Trend Store
4. Pheonix Market city in Kurla- Nykaa On Trend Store
5. Seawoods Grand Central Mall in Seawoods Darave- Nykaa On Trend Store
6. Viviana Mall in Thane- Nykaa On Trend Store

The idea of this project is conceptualized and implemented for the Nykaa On Trend
Stores.

2.1 COMPETITOR ANALYSIS

While comparing Nykaa Retail Stores with other Brands, there are various
differences among them in terms of the retail store format, product assortment,
target customers, store area, number of merchandise, etc. Brand like Sephora which
is a multi-brand outlet is a major competition for the Nykaa Luxe stores, which
offers similar range of makeup brands. Their target customers is also similar.

Sephora:

Sephora is the originator of the open sell prestige cosmetics model, which affords
clients the ability to test and access any product in the assortment. Across the
categories of Makeup, Fragrance and Skincare, brands are presented within a

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unified Sephora-driven presentation format so as to enable cross shopping, and
clients are encouraged to touch and test all products. That point of differentiation
is an essential part of their retail proposition and brand essence, and has proven
effective in enabling clients to explore the complete range of brand offerings by
category.

Image 4: Sephora, Seawoods Grand Central Mall

In complement to this interactive and unified presentation of each of the brands in

Sephora’s product mix, clients are guided through each world’s products with
anchor presentations. These presentations highlight trends, explain how to combine
products to customize a makeup look or skincare regimen, and bridge into potential
service consultations or class registrations with our cast of experts. While much
success has come from the breadth of products offered to clients, they have also

18
discovered that the candy-store effect can also be overwhelming. Clients love the
access and choice, but frequently crave guidance to hone their selections.

The Sephora Store at the Seawoods Grand Central Mall and the Phoenix Market
City, Kurla were considered for the analysis. The store are having bigger store area
compared to the Nykaa retail stores. Sephora offers a wide range of cosmetics
brands like Bobbi Brown, Smash box, Becca cosmetics, Estee Lauder, Makeup For
Ever etc. They also offers various skin care brands like Clinique. They also have
an assortment of premium fragrances like, Bvlgari, Burberry, Calvin Klein, Estee
Lauder etc.

Image 5: Sephora, Seawoods Grand Central Mall

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Apart from these Sephora in house products are also offered at the store. The
interiors used are black in colour. The product display units includes gondolas and
wall bays. The products are displayed brand wise. Each brand products are
displayed in specified wall bays or gondolas. The wall bays follow a water fall
display. This provides the customers a better visibility of the displayed SKUs and
the easy access to the products. The fragrances category are arranged on the wall
bays. Each brand is properly differentiated. None of the wall bays are left empty.
There are no empty shelves. The cash desk is located at the end of the store. Even
though the number of brands offered are high, the customers are able to identify the
different brands and products offered easily.

 Life Style and Shoppers Stop:

Even though Life Style and Shoppers Stop are not similar formats to Nykaa Stores,
they can be considered as a competitor brands since both the brands offers multiple
cosmetics, skin care and fragrance brands. In both the brands the fragrances are
arranges on the wall bays. Separate wall bays are assigned to each fragrance brands.
The range of fragrances offered by Life Style and Shoppers Stop are wider
compared to Nykaa stores. Each skin care and cosmetics brands are allotted specific
space for the display. The products are arranged brand wise. The sales person for
each brand products are also different. The customer can chose from the different
brands offered. The cosmetics are usually display near the entry of the store.

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 2.2 NYKAA RETAIL STORE ANALYSIS

Brand analysis:

Nykaa is a brand that embodies the spirit of the modern Indian women. "The
Nykaa woman is fun, fearless and feminine. She dreams big, has flaws, keeps a
crazy schedule and manages to look fabulous through it all."

Brand Identity prism of Nykaa

Image 6: Nykaa Brand Identity Prism

Nykaa has two offline store formats each suitable for different market and
customers – Nykaa Luxe and Nykaa On Trend.

Nykaa Luxe Store:

Nykaa Luxe Store offers different Makeup, Fragrance and Skincare brands. These
are mostly premium or luxury brands. Nykaa Luxe Stores are having comparatively
bigger store area compared to the Nykaa On Trend Store. The colour scheme of all
the Luxe stores are same. They follow a black and pink combination. This colour
combinations goes well with the luxury image that the Nykaa Luxe stores want to
communicate with the customer.

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 Image 7: Nykaa Luxe Store

The store layout of all the Nykaa Luxes Stores are not uniform. The brands offered
at the different Nykaa Luxe Stores varies, which in turn results in the difference of
product assortment and the planogram. The assortment of fragrances at the Nykaa
Luxe stores are wider than the Nykaa On trend Stores.

The elements of the visual display unit includes wall bays, gondolas, quick pick
boxes, and tables. There are different ‘space on hire’ were the brands can advertise
their visuals. In Nykaa luxe Stores rather than category wise product placement,
brand wise display is done. Mostly a single wall bay is allotted to a specific brand.
Also brand specific gondolas are also present.

The major cosmetics brands offered at the Nykaa luxe Store are MAC, Bobbi
Brown, Estee lauder, Huda Beauty, Clinique etc. The major fragrance brands
offered are Burberry, Bvlgari, Calvin Klein, Davidoff, Yves Saint Laurent, Hugo

22
Boss, Carolina Herrera etc. Skin Care brands like The Face Shop, Its Skin are also
offered at the store.

Nykaa On Trend Store:

The On Trend format is the first of its kind in the market with products curated by
category basis their popularity. Nykaa On Trend Stores offers the customers a
selection of the hero products and the new launches. These are small format stores
with an average store area of 600 square feet and above. Nykaa On Trend stores
targets the tier 1 and tier 2 cities.

The Nykaa On Trend Stores has pink and white interiors and bright lighting. The
stores have a minimalistic store plan. The major product placement is on the wall
bays. No space on the wall is left bare. The free space is used a s ‘Space on hire’
for advertising the brand images. Apart from the wall bays there are display tables
in the store.

Image 8: Nykaa On Trend Store

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 2.3 FINDINGS

Identification of the problem areas at the Nykaa On Trend Stores:

 Lack of uniformity among the stores:

The Store area of the different Nykaa On Trend Stores vary considerably.
Depending on the size of the store, the number of wall bays present in each stores
varies. Also other factors like the brand agreements, location of the store, product
assortment will affect the number of wall bays in a store. The store layout of each
store is created separately without following a uniform guideline. There are
differences in the number and the type of wall bays from store to store.

 There are stores with just 6 different wall bays to stores with 15 different
wall bays.
 The dimensions of the same wall bay is not uniform from store to store.
 The number of shelves in each wall bay also different in different stores.
 The product assortment is different in the different On Trend Stores.
 The total number of SKUs in each wall bays is not uniform in all the stores.

Image 9: Nykaa Loves wall Bay at the Mall of Amritsar Nykaa On Trend Store

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  The above Nykaa Loves wall Bay is a 3 channel wall bay. The Number of
shelves in the 2 channels are 7 and in 1 channel is 5. The brands displayed
under the Nykaa Loves wall bay at the Mall of Amritsar store are ‘Kama
Ayurveda’, ‘Provoc’, ‘Milani’, ‘thBalm’, and ‘Makeup Revolution’.

Image 10: Nykaa Loves wall Bay at the High Street Phoenix Nykaa On Trend
Store

 The above Nykaa Loves wall Bay is a 7 shelves 1 channel wall bay. The
brands displayed under the Nykaa Loves wall bay at the High Street
Phoenix store are ‘Provoc’, ‘Milani’, ‘thBalm’, ‘Nyx’, ‘Australis’, ‘Nickak’
‘Palladio’, and ‘Makeup Revolution’.

25
Image 11: the General Makeup Wall Bay (Face) at the

Seawoods Grand Central Mall, Navi Mumbai

26
Image 12: General Makeup Wall Bay (Face) at the

Inorbit Mall, Malad:

27
The products placed in the both the wall bays at different stores are not same. The
number of SKUs of each range of products displayed at both the stores are different.

No uniform planogram is implemented. This clearly shows the lack of uniformity

of the similar wall bays at different stores in terms of dimensions, number of
shelves, number of brands offered, number of SKUs in each wall bay and the
product placement.

 Lack of proper utilization of fixtures for display:

At the Nykaa On Trend Stores, the major visual element for display are the category
wise wall bays. There are different number of shelves in these wall bays. The
products are to be placed on the acrylic fixtures for the display. But during the
analysis it was found that these fixtures were not utilized effectively. The store staff
was not utilizing all the fixtures available for the proper display of the merchandise.
There was a mismatch in the number of SKUs available for display and the capacity
of the display holders. This also lead to the inefficiency of the product display at
the stores.

Also all these acrylic fixtures were not effective in the display process. The major
drawback of these fixtures were the falling of products from the shelves. They do
not provide a strong hold for the testers, which results in the falling of products
while the customer try out the products.

28
 Image 13: Display of products on the shelves without fixtures at the Nykaa On
Trend Store at Viviana Mall, Thane

 Lack of retail communication:

One of the major goal of an effective visual merchandising is to visually

communicate with customers. There is a lack of proper retail communication at the
Nykaa in Trend Stores. Since the Nykaa On Trend Stores are one of its kind, where
the top selling products are specially curated to meet the customer needs, the
customer might not be familiar with the store format. Therefore proper
communication with customer is the key to increase the sales. Unlike other
cosmetics and beauty brands, at Nykaa On Trend Store, all the products are not
displayed brand wise, they are also arranged category wise. For example all the hair
care products of different brands are displayed in one single Hair care wall bay.

29
This kind of an arrangement have a chance of creating confusion among the
customers.

There are small printed announcers which often are used to provide the customers
with product description. But these announcers are not optimally used. Announcers
are not used in all the wall bays. This might affect the smooth customer journey
inside a store.

The price of the products are also not displayed on the shelves. This is because of
the price variations in Nykaa online portal and the retail stores. There are varios
discounts and offers run by Nykaa at the store level. But at times these offeres are
not properly communicated with the customers. This can affect the sales at the
store.

Image 14: Skin Care Wall Bay at the Nykaa On Trend Store at High Street
Phoenix Mall

There are no announcers to differentiate the different brands or the products offered.

30
 Image 15:Nykaa Cosmetics wall bay at the Seawoods Grand central Mall, Navi
Mumbai

During the month of November to March, various “Bill Busters” offers were rum
by the Nykaa Private Label at the Nykaa On Trend Stores. But none of the offers
were displayed on the wall bay.

31
  Cluttered shelves due to excess merchandise:
The product assortment at different stores are different. Also the dimensions of the
wall bays are different. Due to this differences there are problems of cluttered
shelves and empty. When same number of products arranged in a 2 channel wall
bay is arranged in a one channel wall bay, there will be lack of space which in turn
results in cluttered shelves.

Image 16: Nykaa loves wall bay at the High Street Phoenix Mall

32
 2.4 APPROACH TO THE SOLUTION

Through the analysis of the existing store layouts and visual displays the display
inefficiencies of the Nykaa retail stores were identified. This project aims to provide
solutions for the identified problems. The project was undertaken through various
steps. The first step was to categorize the different wall bays of the Nykaa On Trend
Store on the basis of the width of the wall bays.

1. CATEGORISING OF THE DIFFERENT WALL BAYS

ON THE BASIS OF WIDTH.

The Nykaa On Trend Stores are of different store areas. There is a lack of
uniformity of the similar wall bays at different stores in terms of dimensions,
number of shelves, number of brands offered, number of SKUs in each wall bay
and the product placement. All these differences makes it difficult to categorize the
stores based on their store area. Therefore the different wall bays were categorized
into three on the basis of their width.

For this all store layouts of the Nykaa On Trend Store were segregated together and
analyzed. The layouts were compared with the existing visual merchandising
images of all the stores. There were differences between the actual layout at the
store and the documented layout since changes were made due to the addition of
new categories and brands to the stores. Therefore the changes were updated in the
documented layouts.

Nykaa retail is expanding exponentially. Currently there are 20 Nykaa On Trend

Stores pan India. New stores are opening in every 2 months. While the number of

33
stores are increasing it is important to consolidate the existing store details and
create a uniformity in the visual merchandising for the operations in the future.

Each store has different number of wall ways and different categories. Therefore a
store wise- category wise mapping was done for the identification of different wall
bays at the Nykaa On Trend Store.

• The width of each wall bays at the different Nykaa On Trend Stores were
also segregated. Each wall bay was categorised into three (Based on the
width of wall bay):

 Category A

 Category B

 Category C

• For example in an On Trend Store, if the width of the Nykaa Cosmetics wall
bay is greater than or equal to 2000 mm it comes under “A Category” wall
bay. If the width of the wall bay is in between 1500mm and 1999mm it
comes under ”B Category” wall bay and if the width of the wall bay is less
than or equal to 1499 it comes under “C Category” wall bay.

34
The following are the categorization criteria for different wall bays:

Categories (measurement in mm)

Wall Bays
A B C
Nykaa Cosmetics >=2000 1500-1999 <=1499
General makeup >=3500 2500-3499 <=2499
Fragrance >=2500 2000-2499 <=1999
Skin Care >=2000 1500-1999 <=1499
Nykaa Loves >=2000 1500-1999 <=1499
Hair Care >=1500 1000-1499 <=999
Nykaa Naturals >=1000 500-999 <=499
K-Beauty >=1000 500-999 <=499
Men's >=1000 500-999 <=499
Flower >=1000 500-999 <=499
Milani >=1000 500-999 <=499
Provoc >=1000 500-999 <=499
The Face Shop >=1000 500-999 <=499
Dermacosmetics >=1000 500-999 <=499
MUD >=1000 500-999 <=499
Revolution >=1000 500-999 <=499
Revolution Pro >=1000 500-999 <=499
Accessories >=1000 500-999 <=499
the Balm >=1000 500-999 <=499
Masks >=1000 500-999 <=499
Kama >=1000 500-999 <=499

35
STORE WISE- CATEGORY WISE MAPPING

OnTrend OnTrend OnTrend OnTrend OnTrend OnTrend

Format
Standard Standard Standard Standard Standard Standard

Phoenix High Street

Logix Mall of Galleria Seawoods grand
Wall Bay Store Name Market Phoenix
Mall Amritsar Market Centrel Mall
City Mall Mall

Nykaa Cosmetics Category C A C B B B

General makeup Category C C C B B B
Fragrance Category A B A A B B
Skin Care Category B A A B B B
Nykaa Loves Category A A A A B A
Hair Care Category B A C C B B
Nykaa Naturals Category A A B B A A
K-Beauty Category A A A A A A
Men's Category B B
Milani Category
Provoc Category
The Face Shop Category A
Dermacosmetics Category
MUD Category
Revolution Category
Revolution Pro Category
Accessories Category
The Balm Category
Masks Category B
Flower Category
Kama Category B

36
 OnTrend OnTrend OnTrend OnTrend
Format OnTrend Low Cost
Standard Standard Standard Standard

Ambience Mantri Lulu

Prozone Palladium
Wall Bay Store Name Mall Square International
Mall Mall
Vasanth Kunj Mall Shopping Mall

Nykaa Cosmetics Category B B C B B

General makeup Category A A A B B
Fragrance Category B C C C B
Skin Care Category B A A A A
Nykaa Loves Category A A A A A
Hair Care Category B C A B
Nykaa Naturals Category A A
K-Beauty Category B B A A B
Men's Category
Milani Category
Provoc Category
The Face Shop Category
Dermacosmetics Category
MUD Category
Revolution Category
Revolution Pro Category
Accessories Category
The Balm Category
Masks Category
Flower Category
Kama Category

37
 OnTrend OnTrend OnTrend OnTrend
Format OnTrend + OnTrend +
Standard Low Cost Low Cost Standard
Ambience
Wall Bay Store Name Elante Mall VR Mall DB Mall Viviana Mall Mall Inorbit Mall
Gurgaon
Nykaa Cosmetics Category B B A B A B
General makeup Category C B A A A B
Fragrance Category B B B B C B
Skin Care Category A C A B A A
Nykaa Loves Category A B
Hair Care Category B B C B C
Nykaa Naturals Category B B A B
K-Beauty Category A A A B B A
Men's Category
Milani Category B B B B
Provoc Category B
The Face Shop Category B
Dermacosmetics Category B
MUD Category B
Revolution Category B B B B
Revolution Pro Category B B B
Accessories Category A
The Balm Category B B B
Masks Category B
Flower Category B B B
Kama Category

This classification helps in the decision making processes. This kind of a

categorization also helps in creating category specific planograms for the different
wall bays.

2. Creating an ideal SKU list for different wall bays which can be
implemented throughout pan India.

 General Makeup Wall Bay

• The General Makeup Wall Bay generally have a three channel

differentiation. Each Channel consists of eyes, lips, and face makeup
products respectively.

38
 • The popular makeup brands and new launch makeup products are displayed
in the general makeup wall bay. The brands included in the general makeup
wall bays are Maybelline New York, Lakme, L. A. Girl, Colorbar, Faces,
Sugar Cosmetics, Deborah, Wet n Wild, Plum and P.A.C.

• The following is the categorization criteria for the general makeup wall bay:

General Makeup Wall Bay

Measurement
Categories No of Stores
(mm)
A >=3500 6
B 2500-3499 7
C <=2499 4

There was no uniform planogram implemented across the Nykaa On trend Stores.
Therefore a base planogram was created for the general makeup wall bay.

 The planogram was created in a way that the makeup products are arranged
in the order of application on the face.
 A shelf wise categorization was made. Each shelf was allotted to a specific
category of makeup product.
 This kind of an arrangement helps the customers to easily identify and
access the product.
 This also helps to create visibility to each SKUs present in the wall bay.

The following is the base planogram created for the General makeup wall bay:

PROPOSED PLANOGRAM FOR GENERAL MAKEUP WALL BAY

MAKEUP - EYES MAKEUP - LIPS MAKEUP - FACE

SHELF PRODUCT SHELF PRODUCT SHELF PRODUCT

1 BROW ENHANCERS 1 LIP PENCILS/LIP LINERS 1 PRIMERS/ FIXING SPRAY
2 EYE PENCILS/KAJALS 2 LIP CRAYONS 2 BB/CC
3 EYE LINERS 3 LIP CRAYONS/LIQUID LIPS 3 CONCEALERS
4 MASCARA 4 LIQUID LIPS 4 FOUNDATIONS
5 EYE PALETTES 5 BULLET LIPSTICKS 5 COMPACTS/BLUSH
6 EYE PALETTES 6 BULLET LIPSTICKS 6 BLUSH/HIGHLIGHTER

39
  CATEGORY WISE IDEAL SKU LIST FOR THE GENERAL
MAKEUP- EYES WALL BAY

In order to come up with an ideal SKU list for the ‘A’,’B’ and ‘C’ category stores
mock displays were conducted in different stores of different categories. This helps
in the identification of the ideal number of SKUs that can be accommodated in a
wall bay.

The following is the image of the mock displays conducted at the Phoenix
Market City Mall, Kurla:

Before After

Image 17: Eyes wall bay Image 18: Eyes wall bay

40
For an A category store, Viviana Mall, Thane and Ambiance Mall, Gurgaon was
consires for the analysis. For a B category store, Inorbit Mall, Malad and Seawoods
Grand Central Mall, navi Mumbai was considerd. Foe a C category store, Phoenix
Market City Kurla was considered. Through the mock VM analysis, the number of
SKUs that is optimum for the different stores with the existing products in the store
was ideantified.

The following is the number of SKUs ideantified in the first level of analysis:

MAKEUP - EYES
HSP/
THANE (CATEGORY A) Ambiance Gurgaon INORBIT KURLA
SHELF PRODUCT SEAWOODS
Low budget) (CATEGORY A) (CATEGORY B) (CATEGORY C)
(CATEGORY B)
1 BROW ENHANCERS 5 palettes, 7*2=14 4 palette, 3*6=18, 3*1=3 4 palette, 3*5=15 4 palette, 3*6=18 7, 4 palette, 1 primer

2 EYE PENCILS/KAJALS 7*4=28 6*5=30 7*4=28 6*4=24 7*3=21

6*2=12(bottle),
6*2=12(bottle), 6*2=12(bottle), 6*2=12(bottle),
3 EYE LINERS 15 bottle, 6 pen 3*1=3(bottle)
6*2=12(pen) 6*2=12(pen) 7(eyeliner pen)
,6*2=12(pen)
4 MASCARA 5*4=20 6*4=24,3*1=3 6*3=18 6*4=24 6*3=18
5 EYE PALETTES 10 10 6 8 6

6 EYE PALETTES 8 10 8 8 6

By comparing these numbers and through continuous store observations and

analysis an ideal SKU number for the category ‘A’,’B’ and ‘C’ was created. The
following is the ideal SKU number for each category.

MAKEUP - EYES
SHELF PRODUCT CATEGORY A CATEGORY B CATEGORY C
1 BROW ENHANCERS 4 palettes, 21 4 palette, 18 4 palette, 7
2 EYE PENCILS/KAJALS 30 28 21
3 EYE LINERS 12 bottle,12 pen 12 bottle, 9 pen 12 bottle, 7 pen
4 MASCARA 27 24 18
5 EYE PALETTES 10 8 6
6 EYE PALETTES 10 8 6

This proposed number was further compared with the existing SKU list at the store.
It was identified that there was a lack of products in the SKU list to satisfy the ideal

41
proposed number. Also few brands were removed from the SKU list due to lesser
sales. Thus a new SKU list was created for all the Nykaa On Trend Stores. For the
curation of the SKU list, the online sales of different products were analyzed. The
average daily sales of each SKUs were considered. Also the total online sales
during the past two months was considered. The curation of different shades were
done manually. A final SKU list for General makeup wall bay was created.

Since the contribution of the eyebrow pencils was comparatively lesser than the eye
pencils and kajal, their number was reduced. The number of eye shadow palettes
were increased. For the eyes wall bay 96 SKUs were curated for all the On Trend
Stores.

MAKEUP - EYES
Shelf Product Available No. as per the SKU list Ideal Planogram
4 eyebrow enhancer, 4 eyebrow enhancers,
1 BROW ENHANCERS
8 eyebrow pencil 8 eyebrow, 4 eyepencils

2 EYE PENCILS/KAJALS
3 EYE LINERS
4 MASCARA
5 EYE PALETTES
14 kajal, 4 eyepencils,
14 kajal, 8 eye pencil
4 pens
18 bottle, 4 pens 18 eyeliner bottles
17 mascara,
17 mascara
5 liquid eyashadow
5 liquid eyeshadow 9 palettes

6 EYE PALETTES 18 palettes 9 palettes

Also with this 96 SKUs category wise planogram visuals were created which can
be implemented in ‘A’, ‘B’ and ‘C’ Categories. For A and B categories brand
announcers and product description announcers were added.

42
Visual of the Proposed Planogram for General Makeup- Eyes
Category C

43
Visual of the Proposed Planogram for General Makeup- Eyes
Category B

44
Visual of the Proposed Planogram for General Makeup- Eyes
Category A

45
  CATEGORY WISE IDEAL SKU LIST FOR THE GENERAL
MAKEUP- LIPS WALL BAY

For the Lips wall bay also similar mock displays were conducted for the analysis.

The following is the image of the mock displays conducted at the Phoenix
Market City Mall, Kurla

Before

46
After

47
The following is the image of the mock displays conducted at the Inorbit Mall,
Malad:

Before

48
After

49
The following is the number of SKUs ideantified in the first level of analysis:

MAKEUP- LIPS
HSP/
THANE (CATEGORY A) Ambiance Gurgaon INORBIT KURLA
SHELF PRODUCT SEAWOODS
Low budget) (CATEGORY A) (CATEGORY B) (CATEGORY C)
(CATEGORY B)
1 LIP PENCILS/LIP LINERS 7*4=28 6*5=30 7*4=28 6*4=24,,3*1=3 7*2=14, 6

2 LIP CRAYONS 6*4=24, 3*2=6 6*5=30 6*3=18,3*1=3 6*4=24,,3*1=3 6*5=30

3 LIP CRAYONS/LIQUID LIPS 6*6=36 6*6=36 12*3=36 6*4=24,,3*1=3 12*3=36
4 LIQUID LIPS 6*6=36 6*6=36 6*4=24 12*3=36,6*1=6 12*2=24=6*2=12

5 BULLET LIPSTICKS 6*6=36 6*6=36 42 12*3=36,6*1=6 12*3=36, 6

6 BULLET LIPSTICKS 42 12*3=36,6*1=6 12*3=36, 6

By comparing these numbers and through continuous store observations and

analysis an ideal SKU number for the category ‘A’,’B’ and ‘C’ was created. The
following is the ideal SKU number for each category.

MAKEUP - LIPS
SHELF PRODUCT CATEGORY A CATEGORY B CATEGORY C
1 LIP PENCILS/LIP LINERS 30 27 20
2 LIP CRAYONS 30 27 21
3 LIP CRAYONS/LIQUID LIPS 30 27 21
4 LIQUID LIPS 42 36 36
5 BULLET LIPSTICKS 42 36 36
6 BULLET LIPSTICKS 42 36 36

This proposed number was further compared with the existing SKU list at the store.
It was identified that there was a lack of products in the SKU list to satisfy the ideal
proposed number.

As done for the General makeup eyes wall bay final SKU list was curated for the
Lips wall bay. For the lips wall bay 124 SKUs were curated for all the On Trend
Stores.

50
Also with this 124 SKUs category wise planogram visuals were created which can
be implemented in ‘A’, ‘B’ and ‘C’ Categories. For A and B categories brand
announcers and product description announcers were added.

The following is the ideal planogram for the general makeup Lips wall bay for
which can be implemented in all the Nykaa On Trend Stores:

MAKEUP - LIPS
Shelf Product Available No. as per the SKU list Ideal Planogram
6 lip liners,
1 LIP LINERS/LIP CRAYONS 6 lip liners
18 lip crayons
2 LIP CRAYONS 42 lip crayons 24 lip crayon

3 LIQUID LIPS 58 liquid lips 22 liquid lips

4 LIQUID LIPS 18 liquid lips
5 LIQUID LIPS 18 liquid lips

6 BULLET LIPSTICKS 18 bullet lipsticks 18 bullet lipsticks

51
  CATEGORY WISE IDEAL SKU LIST FOR THE GENERAL
MAKEUP- FACE WALL BAY

For the Face wall bay also similar mock displays were conducted for the analysis.

The following is the image of the mock displays conducted at the Phoenix
Market City Mall, Kurla:

Before

52
After

53
The following is the number of SKUs ideantified in the first level of analysis:

MAKEUP - FACE

HSP/
THANE (CATEGORY A) Ambiance Gurgaon INORBIT KURLA
SHELF PRODUCT SEAWOODS
Low budget) (CATEGORY A) (CATEGORY B) (CATEGORY C)
(CATEGORY B)
1 PRIMERS/ FIXING SPRAY 12 12 10 10 3(primer), 8(bb/cc)

2 BB/CC 12 10 10 10

3 CONCEALERS 6*4=24, 6*5=30 30 30 12*2=24

4 FOUNDATIONS 36 36 6,12, 6 24 6,6,6

5 COMPACTS/BLUSH 20 20 16 16 12

6 BLUSH/HIGHLIGHTER 12 12 12 12 10

By comparing these numbers and through continuous store observations and

analysis an ideal SKU number for the category ‘A’,’B’ and ‘C’ was created. The
following is the ideal SKU number for each category.

MAKEUP - FACE
SHELF PRODUCT CATEGORY A CATEGORY B CATEGORY C

1 PRIMERS/ FIXING SPRAY 12 10 8

2 BB/CC 12 10 8
3 CONCEALERS 36 30 24

4 FOUNDATIONS 36 30 24
5 COMPACTS/BLUSH 20 16 12
6 BLUSH/HIGHLIGHTER 14 12 10
7 BLUSH/HIGHLIGHTER 14 12 10

This proposed number was further compared with the existing SKU list at the store.
It was identified that there was a lack of products in the SKU list to satisfy the ideal
proposed number.

As done for the General makeup eyes wall bay final SKU list was curated for the
Lips wall bay. For the lips wall bay 143 SKUs were curated for all the On Trend
Stores.

54
Also with this 143 SKUs category wise planogram visuals were created which can
be implemented in ‘A’, ‘B’ and ‘C’ Categories. For A and B categories brand
announcers and product description announcers were added.

The following is the ideal planogram for the general makeup Lips wall bay for
which can be implemented in all the Nykaa O Trend Stores:

MAKEUP - FACE
Shelf Product Available No. as per the SKU list Ideal Planogram
1 PRIMERS/ FIXING SPRAY 11 primer 11 primer
2 BB/CC 8 bb/cc 8 bb/cc
3 CONCEALERS 38concealers 38concealers
4 FOUNDATIONS 46 foundation 46 foundation

5 COMPACTS/BLUSH 20 compact/powder 20 compact/powder

6 BLUSH/HIGHLIGHTER 8 contour 8 contour
12 blush/highlighter
7 BLUSH/HIGHLIGHTER 12 blush/highlighter
+3 makeup cleanser

This kind of a SKU list can be helpful in the future stores and the present stores.
Category wise SKU list creates a uniform planogram for stores with same
categories. This also tackles the problem of differences among the dimensions of
the wall bay

55
 2. BRAND WISE SEGREGATION OF NYKAA LOVES
WALL BAY

Category criteria for the Nykaa Loves Wall Bay:

Measurement No of
Categories
(mm) Stores
A >=2000 11
B 1500-1999 2
C <=1499 0

List of Brands in the Nykaa Loves Wall Bay

Nykaa Loves
No. Brand No. of SKUs Available
1 Milani 60
2 the Balm 53
4 Nyx 85
5 Makeup revolution 43

List of Store with 1 Channel Wall bay

Stores Width No of Shelves Category

High Street Phoenix Mall 2000 (1 channel) 7 A
Galleria Market 1800 (1 channel) 6 B

56
Proposed Planogram for 1 Channel Wall bay

Including Nyx
1 channel (7 shelves) Excluding Nyx
the Balm 1 channel (6 shelves)
Nyx the Balm
Nyx the Balm
Milani Milani
Milani Milani
MUR MUR
MUR MUR

List of Store with 2 Channel Wall bay

Stores Width No of Shelves Category

Phoenix Market City Mall 2400(2 channels) 5 A
Seawoods grand Centrel Mall 2400(2 channels) 5 A
Prozone Mall 2400(2 channels) 5 A
Ambience Mall, Vasanth Kunj 2400(2 channels) 6 A
Palladium Mall 2400(2 channels) 6 A
Mantri Square Mall 2400(2 channels) 6 A
Logix Mall 2439(3 channels) 7 A
Mall of Amritsar 2439(3 channels) 7 A
Lulu International Shopping Mall 2364(4 channels) 6 A
DB Mall 2400(4 channels) 6 A

57
Proposed Planogram for 2 Channel Wall bay with 5 shelves

Including Nyx Excluding Nyx

2 channels(5 shelves) 2 channels(5 shelves)
the Balm Nyx the Balm Milani
the Balm Nyx the Balm Milani
Milani MUR the Balm Milani
Milani MUR MUR MUR
Milani MUR MUR MUR

Proposed Planogram for 2 Channel Wall bay with 6 shelves

Including Nyx Excluding Nyx

2 channels(6 shelves) 2 channels(6 shelves)
the Balm Nyx the Balm Milani
the Balm Nyx the Balm Milani
the Balm Nyx the Balm Milani
Milani MUR the Balm Milani
Milani MUR MUR MUR
Milani MUR MUR MUR

Proposed Planogram for 2 Channel Wall bay with 7 shelves

Including Nyx Excluding Nyx

2 channels(7 shelves) 2 channels(7 shelves)
the Balm Nyx the Balm Milani
the Balm Nyx the Balm Milani
the Balm Nyx the Balm Milani
Milani MUR the Balm Milani
Milani MUR MUR MUR
Milani MUR MUR MUR
Milani MUR MUR MUR

58
Proposed Planogram for 3 Channel Wall bay
A three channel Nykaa Loves wall bay is present in the Viviana mall, Thane
Store, were two channels are on the one wall and the other one channel is on
the adjacent wall. The brands offered under Nykaa Loves wall bay at the
Vivoana Mall Nykaa on trend Store are ‘theBalm’, ‘Milani’ and ‘Makeup
Revolution’

2 Channel (6 Shelves) 1 Channel (6 Shelves)

the Balm Milani MUR
the Balm Milani MUR
the Balm Milani MUR
the Balm Milani MUR
the Balm Milani MUR
the Balm Milani MUR

59
 3. NEW PLANOGRAM PROPOSAL FOR THE SKIN CARE
WALL BAY

The Skin care wall bay consists of various skin care products like, cleansers,
toners, moisturizers, serum, sunscreen, night cream etc. During the course of
study various skin care brands were removed from the planogram due to lesser
sales. Currently there are 15 skin care brands in the skin care wall wal which
includes ‘Neutrogene’, ‘O3+’, ‘Plum’, ‘Simple’, ‘Faces’, ‘Kaya’, ‘Avene’,
‘Sebame’, ‘Nivea’, ‘Bioderma’ and ‘Colorbar’.

Current Planogram of the Skin care wall bay

Skin Care
SHELF Brand Brand Brand Brand

1 Neutrogena (17) O3+(11)

2 Plum(18) Simple (12) Faces (7)

3 Sebamed (7) Avene (11) Bioderma (7) Colorbar (1)

4 Nivea (8) Kaya (15)

5 Bath and Body products.

60
Sales data of the skin care brands over the past 4 Months

Brand December January February March MOM LFL* Luxe LFL OT LFL
Plum 2,33,250 2,39,185 2,19,580 2,44,340 11% 11% NA 11%
Neutrogena 1,78,791 1,89,853 2,09,589 3,30,860 58% 58% NA 58%
Kaya 1,77,150 1,86,620 1,64,420 1,71,520 4% 4% NA 4%
Simple 0 64,435 1,65,588 2,00,132 21% 21% NA 21%
Avene 1,06,771 84,327 78,355 1,11,254 42% 42% NA 42%
Sebamed 53,834 43,303 53,371 79,056 48% 48% NA 48%
Nivea 10,661 66,621 47,456 35,322 -26% -26% NA -26%
Bioderma 1,92,686 2,22,861 2,16,570 2,72,701 26% 26% NA 26%
O3+ 1,51,420 1,38,495 99,145 1,49,395 51% 51% NA 51%
From this data it is clear that the brands like Neutrogena, Plum, Sebamed, and
O3+ and the best performing brands. There sales is growing over the period.
The brands like Nivea and Kaya are the least performing brands. Thus to
increase their sales a new planogram was proposed. Since Kaya and Nivea were
kept in the lower shelves in the new planogram it was pushed to the top shelf
and the eye level shelf respectively.
This can be implemented on a trial basis is few stores to observe sales
performance with change of placement of these brands.

61
 Proposed Planogram for the Skin Care Wall Bay

Skin Care
SHELF Brand Brand Brand Brand

1 Neutrogena (17) Kaya (15)

2 Sebamed (7) Simple (12) Nivea (8)

3 Plum (18) O3+ (11)

Avene
4 Bioderma (7) Colorbar (1) Faces (7)
(11)

5 Bath and Body products.

62
 2.5 SUGGESTIONS

 Following a standard store layouts in the future stores were an ideal

planogram can be implemented.
 Curation of the SKU list in coordination with the visual merchandising
team for better efficiency and utilisation of the retail space.
 Ensuring proper retail communication through shelf talkers which
provides product information and offer details.
 Systematic rotation of the products in the planogram for providing better
visibility for the lesser performing brands.
 Adding visual elements in the planogram for:
o Breaking the monotony

o Attracting the customers attention

o Better understanding of the product

63
3. CHAPTER 3- TASK ACCOMPLISHED/ ON THE JOB
LEARNINGS

• Continuous monitoring of the visual merchandising of the stores and

implementing changes in the planogram at store level.

• Updating of the weekly and the monthly sales reports and analysing the
sales data.

• Tracking of the Stock in hand and the stock at the ware house and
performing timely replenishments of the merchandise to the stores.

• Timely tracking of the Stock in Transit.

• Curating SKUs for the stores of the basis of the average daily sales of each
SKUs and the online sales during the past two months. The shade range for
different products were curated manually.

• Timely updating of the different offers run by the brands.

• Offer analysis: Analysis of the offers run by the different brands and their
performance at the store. Analyzing the effect of offers on the sales and
strategizing accordingly.

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 4. CONTACTS MADE

NAME DESIGNATION

1. Falguni Nayar Founder and CEO

2. Anchit Nayar CEO, Nykaa Retail

3. Divya Sreenivas Business Head, Nykaa

Retail
4. Surbhi Sakargayen Brand Manager,
Nykaa Retail
5. Anisha Mishra Brand Manager,
Nykaa Retail
6. Ankita Maoharan Brand Manager,
Nykaa Retail
7. Chitrangad Bhareja Visual Merchandiser

8. Aditi Kothari Retail marketing and

commercialization
9. Mantosh Roy Omnichannel
Specialist

10. Prasad Palyekar Human Resource

Manager

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 5. REFERENCES

 Nykaa.com: Influencing Customers' through Social Persuasion

Marketing- Ruhi Sethi, Deepa Kapoor, Amity School of
Business, 2018.

 A Study of the Behavior of Semi-Urban Youth Customers towards

Online Shopping Through Online Shopping Applications- Prof.
Vikram H. Shinde, International Journal of Scientific Research and
Management (IJSRM), 2017
 Visual merchandising: An integrative review- Indian Journal of
Applied research- Aditya Upadhyay, 2017
 https://www.whizsky.com/2017/09/case-study-nykaa-e-commerce-
platform-beauty-cosmetics-products/

 www.nykaa.com

 https://yourstory.com/2017/02/nykaa-gunning-for-ipo-in-2018

 https://fitsmallbusiness.com/visual-merchandising-guide/

 https://www.repsly.com/blog/consumer-goods/the-secrets-of-
effective-cosmetics-merchandising

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