Flipkart fuels rapid growth of Indian homegrown brands in Tier-2 and Tier-3 towns
Flipkart reports that its beauty and general merchandise categories are expanding nearly 50% year-on-year, driven by homegrown brands seeing 60% growth in smaller Indian markets.
During one outlet festive season, Flipkart’s beauty and general merchandise categories have grown close to 50% compared with the previous year, while homegrown brands on the platform have posted a 60% increase in Tier-2 and Tier-3 markets. Brands like Kapiva, which derives two-thirds of its sales from Tier-3 cities, and Open Secret, now earning about 30% of its revenue from Flipkart, credit the marketplace’s extensive PIN-code coverage and the ultra-fast Flipkart Minutes service for reaching new consumers.
Premium brand Plum also sees a 60% rise on the site and expects a 100% year-on-year growth this festive period. The broader Indian beauty and personal care market could rise from $23 billion in FY26 to $42 billion by FY31, making the country the world’s fourth-largest BPC market by 2030. Quick-commerce platforms are becoming a major sales channel, with Redseer forecasting their share of the BPC market to reach up to 12% by 2031.
