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Kaya plans to widen GCC reach

The company defied the recession last year and performed well despite tough economic conditions in the wake of global financial crisis, Samir Srivastav, business head of Kaya Skin Clinic, Middle East and North Africa, told Khaleej Times in an interview.

“We have plans to go deeper into the emirate of Abu Dhabi in the UAE and Saudi Arabia as we see major growth potentials in these markets. We are evaluating large markets like Egypt as a long-term plan,” Srivastav, an MBA in Marketing and Management from the Birla Institute of Technology, said.

Kaya Skin Clinic operates in the UAE, Oman and Kingdom of Saudi Arabia, providing an array of revolutionary skin and hair care services under the supervision of 18-plus qualified dermatologists.

Kaya’s parent company, Marico is a leading Indian Group in consumer products & services in the global beauty and wellness space. Marico’s products and services in hair care, skin care and healthy foods generated a turnover of about Rs23.9 billion (about $478 million) during 2008-09.

Excerpts from the interview:

What’s the company’s expansion plan for the UAE or GCC?

Kaya Skin Clinic will see expansion in the GCC with five clinics. We have plans to go deeper into the emirate of Abu Dhabi in the UAE and KSA as we see major growth potentials in these markets.

Regionally, we are evaluating large markets like Egypt as a long-term plan.

How do you see the UAE market as far as hair and hair care services are concerned?

The hair care market is divided into female and male segment. The female segment is growing but not as the speed of other GCC — like Kuwait. However for men, they care most about styling and grooming —thus use gels rather than treatments — and it is growing very fast. Not a double digit growth, but definitely growing more than the female business as it has been on break even.

Do you think there is scope to open 13 clinics across the UAE by early 2011?

Kaya Skin Clinic has gained clientele due to the fact that we operate 10 clinics across the UAE from the northern emirates to Dubai and Abu Dhabi, have qualified dermatologists under who’s supervision services are administered and have the experience of working on over 45,000 customers in the region.

Also, there is the big shift in demographics where people are continuously moving from the interiors into cities and grooming becomes a very essential part of almost everyone’s life. By the beginning of 2011 we will be operating through 13 clinics in UAE alone. So yes, there is definitely scope.

How much you are investing in the UAE for expansion?

Each clinic requires an investment of Dh3 million, so Dh15 million would be invested for five clinics.

Which segments of the society the company targets in the UAE?

Kaya Skin Clinics core target audience is women — local and expat Arabs primarily. Having said that we have different nationalities as a majority across different clinics.

Dubai has a higher Western expat population, while Al Ain has a local population. Women are 80 per cent of our clientele while 20 per cent are men.

How was the performance in 2009?

The company performed extremely well in 2009 and our business objectives for 2009 both, top line and bottom line were met that is why the company is expanding this year.

Did the recession have any impact on your business last year?

The impact of the recession was felt only at the beginning — but bounced back quickly. The beauty category grew at 35 per cent and therefore Kaya benefited too.

What will be the future challenges in the industry?

Increasing the cooperation between various local municipalities and medical bodies like DOH and MOH. They should come together and work with medical clinics and centres to ensure safety and hygiene standards are met by all.

What are the latest trends in the industry?

Women from the age of 31 onwards have a stronger inclination towards anti aging products and services, and women aging 40-45 start looking for various solutions to control age factors. So we will be focusing on anti aging treatments to provide them with professional help and satisfactory results.

According to a survey by Nielsen and Kaya Skin Clinic, reveals that affluent UAE women are ready to buy beauty products. The study shows that Kaya skincare range has more than doubled within two the past years. More than 70 per cent of UAE women co-related beautiful skin with confidence, and this feeling was especially strong in the UAE.

muzaffarrizvi@khaleejtimes.com