Chennai-based skincare startup, CHOSEN, founded by cosmetic dermatologist Dr. Renita Rajan, has recently made headlines by raising $1.2 million in its seed round from friends and family. This infusion of capital comes on the heels of an equity-free grant of $100,000 from Peak XV Partners as part of their SPARK program for women entrepreneurs. With this funding, CHOSEN aims to bolster its workforce and enhance its supply chain capabilities, setting the stage for significant growth and innovation in the skincare industry.
The Vision Behind CHOSEN
CHOSEN was founded with a clear mission: to develop innovative skincare products tailored for Indian skin types. Dr. Renita Rajan, a renowned cosmetic dermatologist, envisioned a brand that combines cutting-edge technology with high-quality formulations to address the unique skincare needs of Indian consumers. Her expertise in cosmetic dermatology and her passion for innovation have been the driving forces behind CHOSEN’s success.
Early Achievements and Recognition
Earlier this year, CHOSEN was featured in Peak XV’s cohort of women-led startups, a testament to its potential and the impact it has already made in the industry. The $100,000 grant from Peak XV Partners’ SPARK program provided crucial support for CHOSEN, enabling it to further its research and development efforts. Over the past four years, CHOSEN has developed a multi-channel ecosystem of highly active cosmetic products, earning a reputation for quality and effectiveness.
Product Range and Innovation
CHOSEN currently offers 34 SKUs, with 12 more in the pipeline and additional products slated for launch within the next 18 months. The brand focuses on creating products through patents and technology formulations, ensuring that each product is backed by scientific research and innovation.
Key Features of CHOSEN’s Products:
Tailored for Indian Skin Types: Recognizing the diverse needs of Indian skin, CHOSEN formulates products that address common concerns such as hyperpigmentation, acne, and sensitivity.
Patent-Backed Formulations: Each product is developed using patented technologies, ensuring that they are effective and safe for use.
High-Quality Ingredients: CHOSEN prioritizes the use of high-quality, clinically-proven ingredients in its formulations.
Sustainability: The brand is committed to sustainability, ensuring that its products are eco-friendly and ethically produced.
Expansion into IoT-Led Skincare Solutions
In addition to its innovative product formulations, CHOSEN is expanding into IoT-led skincare solutions. This move aims to integrate technology with skincare, providing consumers with personalized skincare regimens based on real-time data and analysis. IoT in skincare can offer insights into factors such as skin hydration levels, exposure to environmental pollutants, and overall skin health, allowing CHOSEN to create highly personalized products and recommendations.
Use of Funds: Growing Headcount and Enhancing Supply Chain Capabilities
The recent $1.2 million seed funding will be strategically utilized to grow CHOSEN’s headcount and enhance its supply chain capabilities. As the company scales, having a robust and efficient supply chain will be crucial in meeting the increasing demand for its products. Additionally, expanding the team will enable CHOSEN to accelerate its research and development efforts, bringing more innovative products to market faster.
Growing the Team
Hiring Experts: CHOSEN plans to hire additional experts in dermatology, biotechnology, and cosmetic chemistry to drive innovation and product development.
Expanding Marketing and Sales: Increasing the marketing and sales team will help in broadening CHOSEN’s reach and penetrating new markets.
Enhancing Supply Chain
Improving Logistics: Enhancing logistics to ensure timely delivery of products to consumers across India and eventually globally.
Scaling Production: Increasing production capacity to meet growing demand while maintaining high quality standards.
Streamlining Operations: Investing in technology to streamline supply chain operations, reducing costs and improving efficiency.
Market Potential and Growth Projections
The skincare market in India is growing rapidly, driven by increasing consumer awareness about skincare, rising disposable incomes, and the influence of social media. According to industry reports, the Indian skincare market is expected to grow at a compound annual growth rate (CAGR) of over 10% in the next few years. CHOSEN, with its focus on innovation and technology, is well-positioned to capitalize on this growth.
Projected Growth
Two-Fold Increase: CHOSEN projects a two-fold increase in its scale this fiscal year, driven by the launch of new products and expansion into new markets.
Geographic Expansion: Plans to expand its presence beyond India, targeting international markets where there is a demand for high-quality, tailored skincare solutions.
Product Line Expansion: Continued development of new products, including those utilizing IoT technology, to address emerging consumer needs and preferences.
Challenges and Strategic Response
While the potential for growth is significant, CHOSEN faces several challenges that it must navigate to achieve its ambitious goals.
Challenges
Competition: The skincare market is highly competitive, with numerous established brands and new entrants vying for market share.
Regulatory Compliance: Ensuring that all products comply with local and international regulations can be complex and time-consuming.
Supply Chain Disruptions: Global supply chain disruptions can impact the availability of raw materials and affect production timelines.
Strategic Response
Differentiation through Innovation: By focusing on patent-backed formulations and IoT-led solutions, CHOSEN can differentiate itself from competitors and offer unique value to consumers.
Regulatory Expertise: Investing in regulatory expertise to navigate compliance requirements and ensure that all products meet the highest standards.
Supply Chain Resilience: Building a resilient supply chain through diversified sourcing and strategic partnerships with reliable suppliers.
The Future of CHOSEN
As CHOSEN continues to grow, its future looks promising. The company’s commitment to innovation, quality, and sustainability positions it well to become a leader in the skincare industry. By leveraging the latest technologies and focusing on consumer needs, CHOSEN is set to revolutionize the way skincare products are developed and marketed.
CHOSEN’s journey from a promising startup to a rising star in the skincare industry is a testament to the vision and dedication of its founder, Dr. Renita Rajan, and her team. With significant funding secured and ambitious plans for growth, CHOSEN is poised to make a lasting impact on the skincare market, offering innovative solutions tailored to the needs of Indian consumers and beyond.
As the company scales new heights, its focus on innovation, sustainability, and consumer-centricity will undoubtedly pave the way for continued success. CHOSEN’s story is an inspiring example of how a clear vision, combined with strategic execution and support, can transform a startup into a market leader