The Good Glamm Group, a content-to-commerce platform, has downsized its workforce, letting go of 150 employees, which accounts for 15% of its total staff.
The company announced in a statement that it has implemented a new organizational structure aimed at optimizing its operations. This restructuring process resulted in the elimination of certain redundancies over the past 15 months.
“This strategic initiative represents the ultimate step towards the company’s goal of team integration, which is to become a profitable enterprise by FY25,” the statement from the company read.
“The optimization, which involved layoffs, occurred as a result of completing the integration process among the various acquired companies,” it further explained.
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As part of this restructuring, the Mumbai-based company has also announced several promotions, including the appointment of Manan Jain as Group COO, Kartik Rao as Group Chief People’s Officer, and Ashish Jadhav as Group Head of Product.
These developments came at a time when the company witnessed some changes in its top leadership, including co-founder Priyanka Gill and CFO Piyush Kalra stepping down from their positions.
Last month, The Good Glamm Group had announced Kamal Lath’s appointment as Group CFO. Meanwhile, Gill embarked on a new journey with venture capital firm Kalaari Capital, while Kalra transitioned to the role of CFO at appliances firm Versuni.
“The integrations also led to the promotion of high-performing individuals from acquired companies to senior group roles,” the company added, highlighting examples such as Jain, who originally joined from Popxo, acquired by the company in 2020, and Palak Agarwal, formerly head of commercial finance at the video commerce platform Bulbul, among others.
In March, the beauty products and content company secured INR 245 crore (approximately $30 million) at a steady valuation of $1.2 billion from existing investors such as Warburg Pincus, Prosus, Bessemer Venture Partners, and Accel. It was reported that the company intended to utilize these funds to meet its working capital needs.
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The operational streamlining and cost reduction efforts of The Good Glamm Group began at a time when the broader ecommerce roll-up sector began exhibiting noticeable signs of distress. Larger players were pausing on new acquisitions of firms while actively seeking fresh capital.
According to reports, The Good Glamm Group is projected to experience a growth rate of approximately 50% in FY23, a slower pace compared to the previous year. The company’s strategy prioritizes reducing cash burn and attaining profitability, aiming for an initial public offering in 2025. However, it has not yet filed its financial statements for FY23 with the Registrar of Companies.
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On April 4, the company made headlines by announcing a joint venture with former tennis player Serena Williams to launch a beauty brand in the US.
Darpan Sanghvi, the founder and CEO of the company, had stated at the time that FY25 would be profitable for the company because “we’ve been focusing on reducing our cost base, whether it’s fixed costs or marketing cost, and getting more operating synergies of all the acquisitions coming in together and getting to profitability in the last 12 months.”
