Content-to-commerce unicorn, The Good Glamm Group, on Tuesday announced business restructuring with the setting up of three divisions to create Good Brands Co., Good Media Co., and Good Creator Co.
According to a company statement, The Good Glamm Group has also earmarked an investment of Rs 100 crore (around $12.6 million) to set up an international business division that will sell the company’s D2C brands in West Asia and Southeast Asian markets.
With an aim to “maximize revenue potential for all beauty and personal care (BPC) brands of the group,” Good Glamm is looking at a revenue target of Rs 1,100 crore ($150 million) over the next 3 years.
The move to restructure the business comes months after the D2C company made a string of acquisitions across media, consumer goods and influencer engagement platforms.
The new structure will diversify The Good Glamm Group companies into independent brands, media and creator divisions and each vertical will be led by a separate business head.
Good Brands Co., will be led by Sukhleen Aneja, while Good Media Co. will be headed by Priyanka Gill. Sachin Bhatia will lead Good Creator Co., the company said.
The international division is being led by Asad Raza Khan who has been appointed Global Commercial Officer, the Good Glamm Group.
“This consolidation unlocks structural efficiencies within each division while also driving cross-division revenue synergies, which will allow each division to be independently profitable,” the company said.
The move to create separate divisions marks a “culmination” to multiple acquisitions the company has made over the last 12 months including media platform ScoopWhoop and direct-to-consumer brand The Moms Co.
Good Glamm Group has completed 11 acquisitions worth $270 million since 2021.
“Over the last 12 months, we’ve made numerous acquisitions. And what we’ve been doing over the last six months was integration. When you make acquisitions that are two primarily benefits—one is cost synergies and the second is revenue synergies,” said Darpan Sanghvi, group founder and chief executive officer, The Good Glamm Group.
“Each division will operate independently with a separate profit and loss statement and each one has to be profitable,” he added.
Priyanka Gill, co-founder, The Good Glamm Group, said, “the formation of three divisions reflects the group’s ‘content-creator-commerce strategy’. Core functions are being integrated between the various companies within each of the three divisions which has led to efficiencies through removal of role duplications and allows for each division to be independent with the back-ends being centralized”.
The Economic Times had earlier reported that The Good Glamm Group was in talks to acquire Raymond group’s consumer care products business in a cash-and-stock deal. The deal was, however, stuck over valuation issues.
Sanghvi did not rule out future acquisitions the company may make - especially to get a greater play in the offline consumer care market and participate in categories such as male grooming. Talks for Raymond’s consumer care products business are still on.
However, markets have turned choppy with investors warning of a funding winter. This is promoting companies to negotiate valuations harder.
“Undoubtedly, the whole macro-environment on the way companies are priced has changed dramatically; access to capital has also changed. We are in a bunch of different discussions currently for other acquisitions, but there are re-negotiations everywhere,” he added.
Later this year, the group anticipates making an acquisition in the offline men grooming space.
The Good Glamm Group is backed by Warburg Pincus, Prosus Ventures, L’Occitane, Bessemer Venture Partners, Accel, Amazon, Stride Ventures, Trifecta Capital, Ascent Capital, Alteria Capital, Kalaari Capital, Tano Capital LLC, Mankekar Family Office and Wipro Consumer among others. In November—the company became India’s first beauty commerce startup to turn a unicorn after it raised $150 million in a Series-D funding round led by Prosus Ventures (Naspers) and Warburg Pincus.
To be sure, the company’s Good Brands Co., includes beauty and personal care brands MyGlamm, St Botanica, The Moms Co, Organic Harvest, Sirona and BabyChakra. “Over the next two-to-three years, as brand founders exit, the chief business officer will continue to lead their respective brand maintaining continuity and consistency,” the company added.
Meanwhile—Good Media Co., comprises of platforms such as POPxo, ScoopWhoop, MissMalini and Baby Chakra with over 200 million users across digital media platforms. The Good Creator Co, on the other hand, is a combination of influencer platforms Plixxo, Winkl, Vidooly, Bulbul and MissMalini’s influencer and talent management division.