The Rise of Men's Grooming: From Niche to Mainstream
India's men's grooming industry is experiencing an unprecedented investment boom, transforming from a previously overlooked segment into one of the most dynamic sectors in the personal care market. According to data from Venture Intelligence, deals in men's grooming products have more than doubled to $85 million so far in 2025, compared to the entire year of 2023. This remarkable growth signals a fundamental shift in how investors and major consumer goods companies view what was once considered a low-margin afterthought.
Major Deals Signal Market Maturity
The sector's momentum is evident from recent high-profile transactions that have captured industry attention. In quick succession, Godrej Consumer Products Ltd (GCPL) acquired Mumbai-based men's grooming brand Muuchstac in a ₹450-crore deal, while Bombay Shaving Company secured ₹136 crore in funding from new investor Sixth Sense Ventures and former cricketer Rahul Dravid. These substantial investments reflect growing confidence in the segment's scalability and profitability potential.
Over the past five years, the market has witnessed approximately 66 deals including VC-PE investments and acquisitions by large consumer companies. This flurry of activity indicates that the men's grooming category has entered an early phase of maturity, supported by stronger demand signals and more predictable consumption patterns according to industry experts.
Premiumization and Strategic Focus
Companies are increasingly concentrating on fast-moving and premium products like facewash and trimmers, rather than spreading resources too thin across multiple categories. This strategic focus aligns with rising consumer experimentation and willingness to invest in higher-value grooming solutions.
Ustraa, acquired by wellness and beauty services provider VLCC in June 2023, has sharpened its focus on premium products such as perfumes and hair growth oils. According to co-founder Rajat Tuli, this approach has significantly boosted average order values. "We're seeing men show more interest in what and why they want to buy a wellness product. Intentional purchases in niche categories like perfumes are helping increase frequency of purchases as well," Tuli explained to Mint.
Meanwhile, Bombay Shaving Company maintains competitive pricing for its grooming tools like trimmers and shaving kits as central to its strategy, especially in a market still dominated by established players like Gillette and Philips. Founder and CEO Shantanu Deshpande emphasized their commitment to "focusing on fast-evolving consumer needs, designing high-quality products at competitive prices, and building the brand" as the company prepares for a public listing in the near future.
Gen Z and Millennials Driving Transformation
The fundamental driver behind this market transformation is the changing behavior of male consumers themselves. Young men, particularly urban millennials and Gen Z, have demonstrated greater willingness to experiment with new formats, adopt multi-step routines, and invest in product categories previously considered discretionary.
Madhur Singhal, managing partner at Praxis Global Alliance, notes that "Millennials and GenZ men are driving disproportionate demand because they are more outgoing, more exposed to new brands and more willing to experiment." The rise of ingredient-led communication featuring components like salicylic acid for acne, niacinamide for dark spots, and biotin for hair health has repositioned products closer to the language of skincare and wellness rather than simple grooming.
This cultural shift reflects men becoming more aware of skin and hair health while shedding previous hesitations about spending on self-care. Social media discovery, influencer-driven education, and deeper acceptance of personal care among men have expanded the market beyond basic necessities. Importantly, this growth extends beyond metropolitan areas, with tier-2 and tier-3 cities contributing meaningfully, bolstered by e-commerce penetration and quick commerce platforms that facilitate trial and impulse purchases.
Competitive Landscape and Future Outlook
Despite the surge in new-age brands, legacy firms maintain commanding scale advantages. Gillette India reported revenue of approximately ₹2,235 crore for the year ended March 2025, with net profit around ₹418 crore. Meanwhile, Philips India's standalone gross income reached about ₹6,630 crore, though the specific contribution from grooming products remains undisclosed.
Newer players face significant challenges in scaling operations profitably. Ustraa's operating revenue declined 3% to ₹94 crore in FY24 while losses widened to ₹50 crore from ₹40 crore in FY23, reflecting the fiercely competitive market conditions. Bombay Shaving Company demonstrated stronger performance with operating income growing 27% to ₹225 crore and losses narrowing to ₹62 crore, though expenses rose 12% to ₹295 crore.
According to Ankur Bisen, senior partner at The Knowledge Company, "Companies with strong offline distribution, clear brand positioning, or specialized product focus are more likely to endure, while undifferentiated brands may find it hard to sustain the momentum." The market is expected to witness consolidation over the next two to three years as many companies offer similar product formats, ingredient lists, and visual identities. Most analysts believe there's limited room for new entrants, leaving existing players to identify and dominate specific niches within the expanding men's grooming ecosystem.
