How a Direct-To-Consumer Mattress Start-up Raised INR 11 Cr In Funding
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In a first round of institutional funding, direct-to-consumer online mattress start-up Sleepycat has raised INR 11 crore. The Series A round was led by DSG Consumer Partners & Sharrp Ventures. As part of the deal, Hariharan Premkumar from DSG and Sharrp’s Chaitanya Deshpande will join the company’s board of directors.
“The positive ratings and reviews the brand has received since inception are lead indicators of their potential,” Sharrp’s founder Rishabh Mariwala said in a statement.
Founded in 2017, Sleepycat claims to be the first company in India to offer direct delivery of a “mattress-in-a-box” to one’s doorstep. Currently, the Mumbai-based start-up’s mattresses are available through its website and via Amazon.
The company said the capital raised would be used to build online presence of the brand through partnerships, for new product launches and growing the management team.
Debut on Amazon
Sleepycat made its debut two years ago through the Amazon launchpad programme that helps start-ups across the globe sell their products to the millions of customers shopping on the e-commerce site.
In the first week of its launch on Amazon, the company sold over 30 mattresses. Sleepycat said it now sells more than 1,500 mattresses every month. On its own website, the company’s original 6-inch mattress meant for a single person is available at a price of little less than INR 10,000.
Providing a Differentiated Experience
With operations spread across seven major cities in India, the company has one-day delivery available for certain products in Mumbai and Bengaluru. It also offers a ten-year warranty on its mattresses.
Sleepycat’s mattresses are orthopedic and come with a removable cover. Adding to the perks of being a customer is the company’s offer that allows one to get a mattress for a 30-day period on a trial basis.
According to comparisons provided on Sleepycat’s website, a luxury king-size mattress bought from traditional retail would likely cost about twice of what the start-up charges.
“Our goal is to provide consumers with a great shopping experience and be their go-to brand for high quality sleep products at factory prices,” Sleepycat founder Kabir Siddiq said in the statement.