The Sleep Company plans nearly Rs 80-85 crore ad spend for FY25

Having launched its 100th store in India, the company is further looking to solidify its market position by enhancing its omnichannel presence.

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| July 11, 2024 , 3:38 pm
In 4.5 years since its inception, the company has touched achieved Rs 500 crore ARR (Annual Recurring Revenue).
In 4.5 years since its inception, the company has touched achieved Rs 500 crore ARR (Annual Recurring Revenue).

The Sleep Company (TSC) is eyeing to achieve profitability by the end of FY25. The company has embarked on its brand-building journey for the last 12 months, with nearly one-third of its expenditure now allocated to brand building. Having launched its 100th store in India, the company is further looking to solidify its market position by enhancing its omnichannel presence. In order to support this, the company has set its advertising and marketing budget to be INR 80-85 Cr for FY25. While 75-80% expenditure will be on digital platforms, traditional media spending will be around 20-25%.

In 4.5 years since its inception, the company has touched achieved Rs 500 crore ARR (Annual Recurring Revenue). The company opened its first store in Bengaluru in June 2022.

The Sleep Company has doubled sales every year since inception, documenting a 2.3X surge in its sales last year. The company drives 85% of its sales from its omni-channel presence, including physical stores and online, through its website. It has the largest market share for office chairs in India, having witnessed a remarkable 10X growth since the inception of its chair category. It is looking to double market share in the next 24 months with the recent launch of its chair brand, ‘ErgoSmart by The Sleep Company’.

The Sleep Company Co-founder Priyanka Salot said, “Innovative products, a strategic omnichannel presence, and a determined focus on customer satisfaction have fuelled our tremendous growth and expansion. Central to our success is our proprietary SmartGRID technology, which gives us a distinct advantage in the market. Our long-term objective is to become the undisputed leader in our field by continually introducing innovative products and expanding our offerings. We believe that integrating AI into our solutions will further enhance the customer experience. We are deeply grateful to everyone who has played a part in this journey and we are concerned about the interest of all our stakeholders. Our commitment to enhancing people’s lives with our top-notch sitting and sleep solutions is stronger than ever.”

Commenting on this achievement, Ripal Chopda, Chief Marketing Officer of The Sleep Company, said, “Reaching our 100th store signifies our team’s dedication and the trust our customers have placed in us. Through our COCO model, we control the in-store experience, and our sleep labs give them first-hand touch and feel of the technology behind our products, elevating the customer engagement. We are now gearing up for a new phase of growth, driven by strategic marketing initiatives predominantly towards brand building initiatives. Our focus will be on creating more personalized and engaging experiences for our customers, leveraging data-driven insights and innovative campaigns to elevate our brand.”

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