Good Glamm Group’s ambitious target of becoming a billion-dollar company
In a recent conversation with Daily Dispatch, powered by HSBC, Darpan Sanghvi, Group Founder and CEO, Good Glamm Group, talks about the company’s recent acquisition spree and discusses strategies to scale business in the upcoming future.
Beauty and personal care giant Good Glamm Group has been consistently making it to the headlines in the recent past with a hoard of acquisitions and fundraises in the year 2021. The company had acquired several popular brands last year such as ScoopWhoop, MissMalini Entertainment, BabyChakra, Sirona, etc.
Commenting on the company’s massive growth, Darpan Sanghvi, Group Founder and CEO, Good Glamm Group, says that the last six months have been extremely exciting as the Good Glamm Group is moving towards their vision of creating a beauty-personal care conglomerate that has brands addressing various consumer needs. Their strategy has been to acquire brands that have already shown customer love and have scaled up to a certain degree to make them grow even more.
He adds that another segment that the company has done a lot of acquisitions in is the content and influencers space. “The Good Glamm Group is all about content to commerce, content, creator and commerce,” says Darpan.
Speaking about goals for 2022, Darpan shares that their primary goal is to grow each of the acquired brands by 3x. “We have this amazing content engine that gets us four and a half billion monthly impressions, we get those impressions and put conversations around all the brands that we have,” he says. Currently, the Good Glamm Group has a diverse portfolio of brands-Sirona, The Moms Co, BabyChakra and many more. Additionally, the company plans to expand the brands offline as well.
Apart from that, he mentions that the company is going to be betting heavily on the creator's economy. “Consumers are discovering brands, discovering products and now even transacting based on recommendations by creators,” he says. They have bought four creator companies- Winkl, MissMalini Entertainment, Vidooly and Plixxo and they got spun into the Good Creator Co which is running independently. He also reveals that there are going to be some more acquisitions this year.
Darpan explains that the reason behind Good Glamm Group’s success is that the markets have clearly recognised the brand and because of that, they have a very strong access to capital. “Every day, we have inbound interest from leading investors which is why you saw us literally raise money every two months in the last six months,” he says. Currently, the company has about $150 million in the bank but that is not the war chest. The war chest has more to do with the opportunity that is available out there, believes Darpan.
Commenting on key metrics, he shares that by March 2022, the company should be at a $250 million annualised run rate (ARR) but their internal ambition is more than that. “By next year, my challenge to the team is that, hey, can we be a billion-dollar annualised revenue company?,” he remarks. Apart from that, the company also tracks other metrics such as monthly impressions, organic traffic, conversation rates, number of new customers, repeat rate, etc. The content metrics and engagement metrics are the two primary areas that the company is heavily focused on.
Lastly, speaking about offline expansion plans, Darpan shares that offline is a very important area for a brand to tap into in India. Their target for this year is to cross over 150 to 200 thousand points of sale. “We are looking at some interesting offline acquisitions as well that will help us grow our offline reach quickly,” he says.
Edited by Anju Narayanan