How FirstCry Revolutionized the Online Babycare Segment
FirstCry emerged as a solution to a prevalent issue faced by parents in India – the scarcity of quality baby products and the lack of reliable online shopping platforms.
Origins of FirstCry: Addressing a Market Void
FirstCry emerged as a solution to a prevalent issue faced by parents in India – the scarcity of quality baby products and the lack of reliable online shopping platforms. Co-founded by Supam Maheshwari and Amitava Saha, the platform aimed to provide Indian parents with easy access to the best baby care brands globally.
Founders’ Expertise: Blending Vision with Professional Acumen
Supam Maheshwari, an IIM Ahmedabad graduate and former co-founder of Brainvisa Technologies, joined forces with Amitava Saha, who brought a strong background from IIM Lucknow and IIT Varanasi. Their combined expertise laid the foundation for FirstCry’s innovative approach to the babycare market.
The Genesis: From Concept to Reality
In 2010, Maheshwari and Saha recognized the potential for an online platform catering to Indian parents’ needs for quality baby care products. FirstCry initially operated on an inventory-based model, gradually evolving into an omnichannel retailer offering over 90,000 products from 1,200 brands.
Revenue Model and Expansion: Balancing Innovation with Growth
FirstCry’s revenue model encompassed online sales, physical stores, and franchise fees, bolstered by innovative marketing strategies like the ‘FirstCry Box.’ Despite challenges in balancing rapid expansion with rising expenses, the company maintained a strong market position.
Strategic Acquisitions: Broadening Market Presence
FirstCry’s growth journey included strategic acquisitions such as BabyOye and Oi Playschool, expanding its market reach and product offerings. Despite competition from online giants like Myntra and Amazon, FirstCry’s omnichannel approach ensured continued success.
Financial Performance: A Tale of Growth and Challenges
The company witnessed significant revenue growth, with FY21 marking a profitable year after a remarkable turnaround from losses. However, FY22 presented challenges as expenses surged, leading to a temporary setback in profitability. FY23 showcased remarkable revenue growth but also saw increased net losses due to rising expenses.
IPO Filing: Embarking on a New Chapter
In December, Brainbees Solutions, FirstCry’s parent company, filed for an IPO to raise funds for expansion and strategic initiatives. Major shareholders, including SoftBank and Mahindra & Mahindra, are part of the offer for sale, signaling confidence in FirstCry’s future prospects.
Future Prospects: Market Expansion and Innovation
With plans for modern stores, warehouse expansion, and market penetration in Saudi Arabia, FirstCry remains poised for growth and innovation in the babycare segment, backed by strong investor support and a commitment to serving Indian parents’ needs.