Yes Madam looks to expand presence in tier-2 and 3 towns via franchise model

Beauty salon services app Yes Madam is looking to scale up its presence in Tier 2 and 3 towns through the franchise model. The start-up company, which currently has presence in 15 cities, is looking to move into 150 towns and cities in the next two years.

According to Mayank Arya, Director, Yes Madam, close to 22,000 customers are served through the app each month. Plans are afoot to increase it to 1,00,000 a month in the next 2-3 years.

“We started our journey around three years back and are currently present in 15 cities, including Delhi, Gurgaon, Faridabad, Jalandhar and Jaipur. We are looking at moving into Tier 2 and 3 towns and cities through the franchise model,” Arya told BusinessLine .

Of the 15 cities where it currently operates, it follows the franchisee model in around seven cities. The franchisees basically operate as the company’s technology partners and are responsible for hiring and training of local beauticians for providing services according to the standards set by the company.

Yes Madam currently collaborates with various renowned beauty brands such as O3+, VLCC, Lotus and Sara. The company claims to offer 100 per cent authentic mono-doses that are either one-time use products or are handed over to the customer as the residual quantity, if any, after availing the service. The mono-doses help prevent chances of duplicacy of product and ensure that the customers get access to only genuine branded products.

Focus on transparency

“Our competitors are the neighbourhood parlours as well as branded salon and we have often seen that there is a lack of transparency in their pricing as well as products used. So, when we ventured into this field, we wanted to address both these concerns,” he said explaining the rationale behind coming up with mono-dose sachets for providing all their services.

The company’s website clearly spells out the charges on a per minute basis for the different kind of services availed. For instance, a customer will have to pay ₹6 a minute for beauty services, while he or she will have to shell out ₹10 a minute for a massage or make up. This apart, the customer pays for the product used which usually comes in mono-sachet.

The company currently engages with close to 600 beauticians in the markets that it operates in. The number will increase to 2,000-2,500 in the next one year so as to support its growth needs and expansion into newer markets.

“We have completed 3,00,000 bookings till date since our inception and our yearly turnover is around ₹30 crore. We hope to be able to take this up to ₹100 crore in the next one or two years, and we are confident of achieving this given that we have a monthly repeat rate of over 70 per cent,” he said.

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