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Chanel in India: From the Start
Chanel began its Indian journey in 2005 with the grand opening of its first boutique at The Imperial Hotel in New Delhi with products ranging from ready-to-wear to accessories and fragrances. Later in April 2011, the brand expanded its footprint by launching its first standalone Fragrance & Beauty store at Palladium Mall in Mumbai, offering exclusive beauty products with personalised makeup consultation and skincare advice. But unlike its competitors such as Dior or Gucci, Chanel resisted aggressive scaling or franchising, preferring a tightly curated presence in India’s wealthiest audience. In the same year, the label paid respects to Indian fashion with its Paris-Bombay
Métiers d'Art show in Paris.
In 2013, Chanel opened its second Fragrance & Beauty store at Phoenix Market City Mall in Chennai, followed by a third store at Select Citywalk Mall in New Delhi with its initial launch as a Venice-themed pop-up.
For years, Chanel did not sell online in India, neither through its own platform nor through any external partners. This changed when the French luxury brand made a significant move by launching its Fragrance & Beauty range on Nykaa, a leading beauty e-commerce platform in India, in May 2024. Later, in August 2024, Chanel launched its official e-commerce platform in India, offering nationwide delivery of its beauty, fragrance, and eyewear products and covering places beyond metropolitan areas across over 27,000 pin codes in India.
Why is India Becoming a Key Market for Chanel?
India’s luxury and prestige beauty sector is currently growing and transforming. According to the Nykaa Beauty Trends Report, in partnership with RedSeer Strategic Consultants, India’s total beauty and personal‑care spend is forecast to touch US $34 billion by 2028 with CAGR of 10-11%. The key drivers are the surge of Gen Z and millennial shoppers, rising disposable income, and increased brand awareness in Tier 2 and Tier 3 cities.
For Chanel, the beauty consumers in India offer both sophistication and volume. The rising interest in clean formulation, niche fragrances, and heritage storytelling has been the main trigger for the brand. Indian consumers are increasingly looking beyond the celebrity-endorsed brands, focusing more on authenticity and heritage-rich luxury which is a perfect match for Chanel.
Slow, Steady, and Selective E-Commerce Strategy
Chanel’s obsession to fully embrace the global e-commerce sector is from its goal to control every aspect of the consumer journey. Globally, the brand has always refrained from selling leather goods and ready-to-wear, reserving e-commerce access for beauty, fragrance, and eyewear. This policy underscores its belief in the irreplaceable value of the boutique and physical experience for luxury categories with the ability to feel and touch.
In India, the hesitance and the issues were more pronounced with the pricing sensitivity, IP protection, and logistical concerns. But in August 2024, Chanel launched a dedicated Indian e-commerce site, offering nationwide delivery across 27,000+ postcodes, virtual try-on tools, for sunglasses and lipsticks, appointment bookings at physical boutiques, and custom packaging and gifting options. The platform showcased Chanel’s global luxury standards - editorial content, clean design, and minimal discounting.
With the partnership with Nykaa in May 2024, Chanel debuted its Fragrance & Beauty range on the e-commerce landscape. The difference between its own platform and Nykaa’s was the focused access to Tier 2 and Tier 3 city consumers, tapping into Nykaa’s high-end beauty buyer base, and the Nykaa insights into Indian purchase behaviour before a broader retail expansion.
But Chanel has restricted its e-commerce offerings in India to fragrances such as No. 5, Coco Mademoiselle, Les Beiges Healthy Glow Foundation and Rouge Allure lipsticks, makeup like Les Beiges and Rouge Allure, skincare like Hydra Beauty and Sublimage, and eyewear only on its own platform.
Why was Nykaa the Ideal Partner?
Nykaa is not just the leading beauty e-commerce platform in India, but also a luxury curator with strong credibility among affluent and urban consumers. Its Nykaa Luxe vertical curation features global brands such as Versace, Dior, Givenchy, Tom Ford, Estée Lauder, and Charlotte Tilbury. Moreover, Nykaa has listed 221 physical stores, including 15+ Luxe-formatted locations.
Chanel has partnered with Nykaa for its extensive online presence and physical stores with a platform to engage with consumers in both metropolitan and emerging markets - as well as - brand safety in digital retail, store-trained beauty advisors, facilities for consistent merchandising and storytelling, and measurable ROI via influencer campaigns and Customer Relationship Management (CRM). By the end of 2025, Chanel has planned to be available in more than 10 Nykaa Luxe stores nationwide, including locations in Mumbai, Bengaluru, and Chandigarh.
Conclusion
Chanel’s strategy for the Indian market signifies its signature approach. Instead of rushing into an aggressively competitive market, the brand has opted for calibrated expansion through boutique presence, partnerships that align with its global luxury standards and highly curated product mix.
Chanel’s Fragrance & Beauty division has consistently driven growth across all the categories. In 2024, the division gave a strong performance in travel retail with makeup and skincare playing key roles. This result showcases why Chanel chose Fragrance & Beauty as a way to test and scale its digital presence in India.
India may be not a core revenue driver for Chanel now, especially when compared to dominant markets like the USA or China. However, the country’s budding luxury landscape, growing middle classes, and digitally fluent young consumers gives a compelling long-term opportunity.
The collaboration with Nykaa in 2024 is Chanel's first-ever third-party online retail partnership in India, offering trusted access to Nykaa Luxe’s high-end, beauty-savvy customer base.
With Chanel going in-depth with its omnichannel footprint and investment in understanding Indian luxury buyers, its next steps will be closely watched by competitors and luxury retailers.
Cover Image Courtesy: Vogue Business