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Mattress brand King Koil India is planning to enter into B2B foam selling segment with an investment of ₹25 crore by establishing a new foam factory in Sonipat. It expects to begin operations by January 2023 and will have a capacity to produce 800 tonnes of foam monthly, according to Archit Gupta, Managing Director, King Koil India.
“We manufacture our own foam but didn’t sell it in the market as we had set a target to reach more than 600 retail outlets in our distribution network in the branded segment before expanding our portfolio to foam in the B2B segment. This has helped us build the brand in the premium and luxury segments of the mattress industry, and we are now eyeing rapid growth with our new upcoming foam plant,” said Gupta. In addition to producing foam for market sales, the new factory will also cater to in-house consumption.
King Koil India is an authorised licensee for India, Nepal, Bhutan, and Bangladesh and operates four factories in Sonipat, Kolkata, Bengaluru, and Bhiwandi. It has a combined manufacturing capacity of around 10,000 mattresses monthly.
It offers products for retail and hospitality channels. Currently, it has four models for the hospitality sector and about 35 models across the retail channel.
“Every two to three years, we upgrade our products, and next year we will upgrade a high-selling retail product line. For our overall hospitality sales, 70 percent of sales is through customised bedding and 30 percent is what we manufacture,” said the MD. It supplies its products to hotel chains including—Hilton, Hayat, Marriott, Radisson, and Ramada.
“The establishment of several dealers in one area leads to strong competition and affects our brand sales. We add 10 to 15 retailers every month. Additionally, we will start our operations in Bangladesh in the fourth quarter of this year and will add around 50 to 60 retailers in a few months,” said Gupta.
The luxury mattress company competes with international players such as Therapedic, Englander, and Magniflex and estimates the Indian mattress market size to be around $1 billion to $1.1 billion.
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