UpScalio, Thrasio-style, acquires fast-growing digital brands and ramps up their operations.
Green Souls sells ergonomic furniture, including office chairs, gaming chairs, and adjustable tables.
UpScalio had raised $ 42.5 million in Series A funding this year
UpScalio, a Gurugram-based Thrasio-style startup, has invested in ergonomic furniture brand D2C Green Soul, marking the entry of the first to the lucrative ergonomic furniture market.
Green Souls sells office and gaming chairs, adjustable desks, legrests, and other accessories on Amazon, Flipkart, and other platforms, including their own website. The company is highly rated on both of the platforms mentioned.
On Amazon, 96% of the 767 reviews received by Green Soul are positive, giving it a 4+ star rating. On Flipkart, Green Soul achieved a seller quality rating of 4.6. He has also sold over 100,000 chairs in the past twelve months.
“It’s time to pass the baton of exponential growth to a world-class team with a portfolio of high-quality e-commerce experts,†said Ravi Khushwani, Founder of Green Soul.
According to Inc42 Plus D2C 2021 Report, e-commerce is expected to capture 11.4% of the Indian retail market and reach $ 200 billion by 2026. Green Soul will face stiff competition from D2C furniture brands like Urban Ladder and Pepperfry, both of which offer a wide range of products.
Last year, Indian giant Reliance Retail acquired a majority stake in Urban Ladder for INR 182 Cr. Mumbai-based Pepperfry tweaked product and strategy before plans for an IPO.
UpScalio is one of several Indian startups that are acquiring and developing fast-growing digital brands, as is Thrasio, the American company that pioneered the concept. Hence the nickname “Thrasio style”. Other companies with a similar business model in the country include Globalbees, Mensa brands, Regular flow, Centrale91 and others.
The startup had raised $ 42.5 million in Series A funding earlier this year
Thrasio-style startups are trying to capitalize on this e-commerce boom by delivering lucrative exit strategies to the people behind successful e-commerce brands, taking over the brand, and ramping up its operations. In some cases, founders continue to receive profit shares after they acquire their business.
One of the biggest challenges for brands that are successful on ecommerce platforms is the platforms themselves. According to a Reuters report, Amazon has tapped its vast mine of internal data to create counterfeit successful products and rig search results to give a undue advantage to these products.
Another Thrasio-style platform Globalbees raised $ 150 million in Series A funding in July this year, with plans to invest in 20 to 40 D2C brands. Since D2C brands control their own selling experience, they are relatively immune to the shenanigans of e-commerce platforms. While Globalbees acquired two brands this year; Mensa Brands took majority stakes in 10 D2C startups.
Thrasio themselves have booked $ 500 million for a foray into the Indian market and has already made its first local acquisition: Lifelong Online, which offers products in the kitchen, care and lifestyle categories.
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