How boAt rose to become the fifth-biggest wearable brand in the world

How boAt rose to become the fifth-biggest wearable brand in the world

It was December of 2016, the Chinese tech companies were kicking up within the Indian market. the most important handset player in India, Samsung faced a decline in its market share from 17% to five . Lava, Karbon, and Intex were on their downfall. it was the beginning of the age of Xiaomi, Oppo, and Vivo. These upcoming technological companies were close to usher in a wave of more and better technology in India. Around this major shift within the market is when boAt made its debut.

Story of the corporate

The company was founded by “Aman Gupta and Sameer Ashok Mehta”. Aman was an accountant , who pursued it only due to his father. He was an MBA graduate from Kellogg, who had its web from Citi to KPMG. This corporate experience gave him a foothold , and he was according to Indian specific products and innovations.

Sameer did his B.com from Narsee Monjee College of Commerce and Economics. He had his share of the business and company life from Redwood Interactive (Computer Accessories Company) and Kores Ltd. (Business supplies And Equipment Company).Both of them came up and started “Imagine Marketing India”, a distributor company back in 2014. But in November 2016 during the uprising of smart products within the market of India, they came up with a consumer brand lifestyle boAt.

When they approached the bank for a loan they declined to lend any. The investors didn’t put much confidence in their plan, thanks to the competition against big tech Japanese, German, and lots of more such companies.

This didn’t pull them down. Both of the co-founders invested ₹15Lakh each for his or her journey to start out by selling premium quality chargers and Respective cables. Their research showed that the Indian market requires such Quality small products or accessories which can be durable and sustainable to Use with their respective products. and that they were right, after the primary Year of their product release, they suffered a tsunami of sales. Their record Showed sales of about ₹31 crores with a clean and cut the profit of ₹1.5 crores. Then the corporation started with music-related accessories also . And it all worked, they haven’t looked back since. Now in 2020, boAt is the fifth biggest wearable brand worldwide, in India the corporate beat Apple, Samsung, and Xiaomi to become the most important . within the fiscal year of 2020, the company’s total revenue holds a record of ₹701 crores, with profits of ₹49 crores. The brand sold 15,000 products a day i.e 10 products every minute, the corporation features a community with quite 30 Lakh users. The corporation had its journey from an SME to an MNC.

The pandemic was also very favorable for the corporate . As work from home and online classrooms became quite common in these times, their products spread like wildfire. within the first nine months of 2020, there was a significant fall within the price of the products: the typical price of true wireless stereos dipped by 48.6% year-on-year to ₹4000 within the third quarter this year. thanks to this, the market size grew and experienced a purchase of 1 crore units during this period.

What the corporate did differently

From the very start, the corporation was built on filling the gap within the accessories market. Where the opposite global companies were selling equivalent products at a mean price of ₹1000. boAt offered similar products during a price range of below ₹600. Whereas there have been other local manufactured products offering music accessories at as low as ₹70-₹100, but they need a coffee shelf value and lack quality. The founder found that the generation pays some good amount for equally good quality and sturdy accessories. Their major specialise in the standard and differentiated position is what helped the corporate the foremost .

Research and development over their product consistent with the Indian market

Their R&D proved that the Indian market needs a top quality product at an inexpensive price. consistent with the environment of the country which is extremely diverse, some areas suffer quite rainfall, some areas are suffering more pollution than others. The boAt comes up with water-resistant, sweat-proof hearable products. Products were strongly built and were made dust-resistant.

The company understood the pain of the users with quick breakage and snapping of the wires. The answer they offered wasn't so unique “wires that don’t break, practically indestructible metal wires and also wires that don’t catch fire” and it caught the user’s eye. boAt products are manufactured in China on a contract basis and undergo a six-people quality check which ensures quality.

boAt products are made from eco-friendly and non-hazardous material, they're made from tangle-free wires and with a metallic finish. the corporate always kept its specialise in bringing more innovative products to consumers. They recently brought a replacement speaker boAt Stone 700A — a water-proof and shockproof portable smart speaker with built-in Alexa, priced at around ₹3,499. Other major companies came up with equivalent products of about ₹4000. boAt understood that Apple charging wires suffer the foremost often snapping in order that they started with Apple-certified metallic lightning cables for iPhones and iPads which they claim are indestructible.

Marketing strategy of the corporate

The company sells its products as fashion lifestyle accessories, not as electronic goods. They aspire to stage their product as a neighborhood of everyday fashion. They used this strategy at the recent Lakmé Fashion Week in Mumbai where boAt products were the sole accessories by the models once they walked down the ramp for one among the designers.

Signing up with celebrity Brand Ambassadors, boAt signed Jacqueline Fernandez together of the endorsers of the brand. alongside celebrities, the corporate made contracts with cricketers, the corporate was a serious audio partner with six IPL teams which gave them the required push and recognition over the audio market. the buyer electronics group is now retailing at Croma stores, additionally to selling on Amazon, Flipkart, Myntra, and Jabong, and exploring shop-in-shop models to offer potential customers an immersive experience of their goods. The local stores now achieve 20% of the company’s total sales. The corporation aims to offer a robust push towards offline sales and an idea to extend stores and sales in South India. the corporation is additionally getting to start its website to sell its products in 2020.

The brand ensured was to urge the four Ps of selling right: Product, price, place, and promotion.

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