Written By: Resham Daswani

With the furniture sector in India seeing strong growth, there are plenty of prospects for entrepreneurs interested in franchises to invest. The furniture industry is anticipated to experience a significant increase in demand for contemporary, functional, and aesthetically pleasing furniture that is suitable for use in residences, offices, and other premises. One such brand which is out to cross your expectations is the Urban Ladder franchise in India.

So are you all geared to understand more about this brand followed by the growing opportunities and prospects of India’s furniture business industry.

The Urban Ladder Franchise in India - How it all started!

The Bengaluru-based Urban Ladder was formed in 2012 by Ashish Goel and Rajiv Srivatsa to alter India's unorganised furniture business by delivering high-quality, fashionable, and functional furniture online. At its inception, the brand's primary goal was to provide high-quality, aesthetically pleasing, and functionally modern furniture to urban Indian consumers.

• Initial conception: Urban Ladder capitalised on India's e-commerce boom by going online-only. Their innovative, space-efficient furniture and home design collections for city living immediately acquired popularity. The brand prioritised a smooth online buying experience and excellent customer service to develop trust and loyalty.
• Multi-channel Strategy: In 2017, Urban Ladder opened shopfronts and partnered with third-party retailers after focussing on online sales. This expanded their audience and allowed customers to try the products before buying. They also established experience centres where buyers could touch their wares.
• Reliance Group Partnership: The 2020 acquisition of a controlling share in Urban Ladder by Reliance Retail changed the company. This deal helped Urban Ladder expand offline and compete with IKEA and Pepperfry.

In short, Urban Ladder has developed from a modest internet furniture shop to a leading Indian furniture company (online and offline). The furniture industry's most recognisable names are a result of the brand's capacity to innovate with design, prioritise quality, and respond to evolving consumer preferences.

Urban Ladder is famous for its attractive, useful, and economical modern home furnishings. The combination of cutting-edge design and high-quality materials makes them popular with urban consumers.

What’s Urban Ladder’s USP that makes it different from its competitors?

• Diversified portfolio: The Urban Ladder furniture selection includes wide options for all sections of your home along with accessories to beautify your living style.  Its varied product line allows franchisees to meet different client demands and tastes, making it flexible to different market groups.
• Backing of The Reliance Group: Urban Ladder has access to a robust supply chain network, retail expertise, and a vast wealth of resources as a result of its parent company, Reliance Retail.
• Unbeatable quality at pocket-friendly pricing: Urban Ladder sells inexpensive, high-quality furniture to India's middle and higher middle classes. They stand out with their durability and design originality, and their competitive pricing attracts a wide audience.
• A Franchise Model for Omnichannel Sales and Marketing: Urban Ladder offers multichannel retail. It began as an online-only platform but has extended to physical experience centres and stores, allowing shoppers to browse and see things before buying. This concept maximises franchisee revenue from e-commerce and in-store traffic.

Urban Ladder Franchise Cost, Benefits & Profit Margins

To start an urban ladder franchise in India, furniture entrepreneurs would need, of course depending on location, store size, and local expenses, could fall anywhere from INR 50 lakhs to INR 1 crore or more.

It is imperative to engage in a comprehensive conversation with Urban Ladder's franchise team prior to making a decision. This will provide you with specific figures and a more comprehensive analysis of costs that are contingent upon the site and store format you have selected.

The benefits of investing in this furniture franchise business model will include:

1. Successful Business Model: Market study, product development, and strategies for getting new customers have already been done by Urban Ladder. Franchisees benefit from an established business strategy that has worked in several locations.
2. Support for Marketing and Advertising: Promotion is a major issue for new firms. Urban Ladder supports franchisees with national and local marketing and advertising. This attracts customers immediately.
3. Access to Premium Products: If you become a franchisee of Urban Ladder, you will be able to purchase items from their unique collection of premium furniture and home décor. The newest and most popular products will be available in your store at all times because of this.

Potential Returns on Investments:

Potential profit margins of 15% to 25% represent a lucrative opportunity for those who invest in an Urban Ladder franchise. However, the actual earnings will be contingent upon a variety of operational factors.

Therefore, prospective franchisees should perform a thorough financial analysis and due diligence prior to making an investment decision. Engaging with current licensees can also offer valuable insights into anticipated operational challenges and profitability.

How You Can Become An Urban Ladder Franchise Owner in India

If you are enthusiastic about the prospect of owning an Urban Ladder franchise, the following is a comprehensive guide on how to begin:

1. First Things First: Learn Everything You Can About the Urban Ladder Franchise. Get to know the franchise's identity, its target demographic, and the steps needed to open a franchise.
2. Reach out Franchise Team: Inform Urban Ladder's franchise development team of your interest. They will furnish you with all the requisite information, such as franchise fees, investment requirements, and other terms.
3. Investment and Franchise Agreement: After reviewing the terms and conditions, you will be required to sign a franchise agreement. In addition, Urban Ladder will offer support regarding the initial investment necessary to establish your franchise store, which encompasses inventory, store design, and marketing expenses.
4. Urban Ladder will help you set up your store after you finish the paperwork. They will assist with location, planning, and design. Training will also teach you the brand's operational standards.
5. Upon completion of your store, Urban Ladder will assist you in launching your business and promoting it. This encompasses marketing strategies and materials that will assist in attracting consumers and establishing a strong initial presence in the market.

Moreover, acquiring an Urban Ladder franchise is more than just entering the furniture business—it's joining a successful brand. With India's furniture market growing, this franchise opportunity might yield excellent profits and long-term success.

Furniture Franchise Opportunities and Growth in India

Here is an in-depth study of the furniture franchise sector in India and the reasons for its growth:

1. Market Size and Growth: The furniture market in India is worth more than USD 23 billion and which is projected to develop at a compound annual growth rate (CAGR) of 10.64% from $22.92 billion in 2024 to $38.38 billion in 2029, according to Mordor Intelligence.
2. Transition to Branded Furniture and Organised Retail: Unorganised actors and local carpenters have historically dominated the Indian furniture industry. Nowadays, consumers are more brand-conscious and seek modern, standardised designs, therefore organised retail and branded furnishings have grown in popularity.
3. Rise of E-Commerce, Omnichannel Retailing: E-commerce has transformed India's furniture sector, making online shopping easier. Omnichannel retailers like Urban Ladder and Pepperfry offer online and offline shopping. This strategy lets clients shop online but also visit showrooms before buying.

Here’s a forecast of furniture business in India:

Furniture franchises in India have a bright future. Franchisees can meet a variety of customer needs as more consumers choose branded furniture and seek customised, space-saving designs. Additionally, eco-friendly furniture is becoming popular, which could offer new doors for innovative franchisees.

Modern furniture consumption is predicted to surge as India's real estate market grows with new home and commercial projects. This makes today a good moment for entrepreneurs to buy a furniture franchise.

Trending: Japanese Furniture and home furnishings retail chain - Nitori to start in India shortly.

Key Players in India’s Furniture Business Segment

Urban Ladder competes with various Indian online and retail furniture and home décor brands. Some top competitors:

#1. Pepperfry Franchise

• Commenced in 2011
• Has an omnichannel structure (online and offline platforms)
• Key Highlights: Pepperfry offers a vast selection of furniture, home decor, and interior solutions, and it is one of the biggest online furniture merchants in India. Pepperfry Studios houses handpicked collections in actual locations and offers a franchising concept.

#2. Godrej Interio Franchise

• Part of Godrej Group in India
• Has an omnichannel structure as well with online and offline sales
• Key benefits: Godrej Interio, a leading Indian furniture company, offers a comprehensive choice of home and business furniture. With a robust national store network, it's known for quality, longevity, and trust.

#3. FabIndia Franchise

• Started in 1985
• More focused on offline retailing, with a growing structure of an online platform
• Key benefits include: One of FabIndia's strongest points is the eco-friendly, traditionally-made furniture that the company is famous for making. It makes eco-friendly, handmade home furniture.

#4. Wakefit Franchise

• Began in 2015
• More focus in online retailing
• Main advantage: Wakefit, which was initially concentrated on mattresses, has since expanded into the furniture industry, providing contemporary, cost-effective furniture and home decor products. With a strong internet presence, it sells sleep treatments.

#5. Ikea Franchise

• Started in India in 2018
• Presence of hugh physical stores as well as online platform for furniture retail sales.
• What makes it popular: IKEA is a household name all over the world thanks to its reasonably priced, simple, and practical furniture. They have significant experience centres in India and are expanding online.

For more on the latest furniture store franchise opportunities, or how you can grow your furniture brand to compete with these, speak to an expert right away.

Disclaimer: The brands mentioned in this blog are the recommendations provided by the author. FranchiseBAZAR does not claim to work with these brands / represent them / or are associated with them in any manner. Investors and prospective franchisees are to do their own due diligence before investing in any franchise business at their own risk and discretion. FranchiseBAZAR or its Directors disclaim any liability or risks arising out of any transactions that may take place due to the information provided in this blog.