Pepperfry is expecting its mattress segment Clouddio to contribute around Rs 500 crore in its more than Rs 7,000 crore revenue target by 2021. The online home furnishing firm estimates that its home brand in total will fetch a revenue of around Rs 3,000 crore to the total business by end of next financial year.
Ashish Shah, Founder and COO, Pepperfry, said, “Overall Indian mattresses business is estimated to be around USD 2 billion (about Rs 14,000 crore) crore of which Rs 300 crore is done online. We at Pepperfry to do half it. Clouddio accounts for 40 per cent of the total sale that we do. By 2021, we expect Clouddio to contribute at least Rs 500 crore in total revenue.”
Pepperfry has started launching offline store to showcase products and claims to have seen traction from customers.
“We now have around 65 Pepperfry studios where potential customers come and experience our products. We don't sell from these stores. The order is taken online. This month 40 per cent of our business came from customers who visited these studios,” Shah stated.
He added, “We started with company owned and managed studios. While this model will continue. We are giving out franchisee. By the end of this fiscal, we should have 100 Pepperfry Studios and 30 Pepperfry Snooze studios. We are reaching out to customers both offline and online.”