Livspace, an omnichannel interior and home renovation platform, has forayed into the commercial interior design space with the launch of its new offering-Livspace For Business.
According to multiple reports, India's commercial market has witnessed over a 30 per cent increase across the top eight cities over the past year. While home interiors remain the unicorn's core business offering, this new initiative will help it expand into the highly fragmented commercial interior space. It will also attempt to create an efficient digital supply chain for the business-to-business (B2B) sector.
Commenting on the launch, Saurabh Jain, co-founder and chief executive officer (CEO) for India at Livspace said, "Leveraging our unique technology platform and pan-India presence, this segment will help brands experience, personalise and purchase commercial solutions from an internationally trusted brand."
Livspace for Business will operate in categories across commercial spaces, including offices, retail, hospitality and warehousing.
"With the post-COVID return to work trend, we have been witnessing significant growth in the category. We are looking at building a business model that will reach an annual recurring revenue (ARR) of $100 million over the next 24 to 36 months," Jain further added.
Bringing predictability to the project process, Livspace for Business will provide a tech-enabled and transparent design solution to clients. It has already worked with several brands, including WeWork, Decathlon, McDonald's, and Domino's.
Elaborating on the strategy, Sudarshan Choudhary, head of Livspace B2B, India, said, "The short-term impact due to the pandemic is waning with the reopening of offices, campuses, higher retail footfalls, increased travel amongst others. Hence, commercial real estate in India is also witnessing strong growth."
Livspace currently has operations in over 40 cities in India and a presence in Singapore, Malaysia and Saudi Arabia. In India, it claims to have witnessed over 100 per cent growth in the last six months and 400 per cent during the previous two years and is a market leader with close to 70 per cent market share within the organised sector.
Livspace has raised around $450 million in funding over ten rounds. In February 2022, it entered the unicorn club after raising $180 million in a late-stage funding round led by KKR & Co. The company is backed by several global investors, including Ingka Group Investments (part of IKEA's Ingka Group), TPG Growth, Goldman Sachs, Kharis Capital, Venturi Partners, FFP (Peugeot Group's Holding Company), EDBI, Bessemer Venture Partners, Jungle Ventures, Helion Ventures and UC-RNT.