E-commerce roll-up player 10club has acquired three lawn and garden brands including Kraftseeds, Gate Garden and Kriti Kalash.
The brands sell seeds, soil, flower bulbs, manure, planters, tools and other home-gardening related equipment. The gardening category saw an unprecedented spike during the pandemic, 10club believes that this trend is here to stay and aims at focusing its energies on capitalising on the growth in this category. As per the company's estimates, the current category size is about $900 million with less than 10 per cent online penetration, growing at more than 70 per cent y-o-y in 2020-2021.
Commenting on the acquisition, co-founder and COO of 10club, Deepak Nair said, “We are extremely bullish on the Home category and the acquisition of three strong brands in the Lawn & Garden segment gives us a strong foothold and more importantly will complement the six new acquisitions that we will announce shortly. With these acquisitions, we will be clocking revenue of over $50 million in the home category alone.”
Adding to this, Gaurav and Shaina, founders of Kraftseeds said, “Over the past 20 years, we've worked hard on building a strong business that has emerged as a category leader on Amazon. Our vision for Kraftseeds, however, is so much larger. We want to reach more households across India, encouraging consumers to grow plants and fall in love with gardening. We believe that to achieve this, 10club is the right partner for us as they are equipped with an extremely capable team and are aligned with our vision.”
Through the acquisitions, 10club aims to carve out niches for each brand, from structuring their product mixes to their pricing models, so that each of them has its unique role and offering. Channel expansion also makes an important aspect to boost growth by capitalising on platforms such as Jiomart, Meesho and Flipkart.
Earlier this year, 10lclub has raised a seed round of $40 million which saw participation from HeyDay, PDS International, Class 5 Global, Secocha Ventures and founders of hardware startup boAt being the other investors.