Indian Rental Furnishings Market Value Rs33,500 Crore Now: Redseer
BENGLAURU: The Indian furnishings and residential equipment rental market, dominated by RentoMojo, Furlenco, Rentickle and CityFurnish, is now value Rs33,500 crore, with the highest 20 cities accounting for 55% of the whole addressable market, in line with information from the board administration Straighten.
In keeping with Redseer’s analysis, Indian furnishings rental startups can serve 14 million properties, with a mean month-to-month order worth of Rs 1,900. The common rental interval is often 13 months.
Moreover, provided that 43% of India’s city inhabitants unfold throughout the highest 20 cities contributes greater than half of the whole market, the sector is predicted to develop at a compound annual progress fee of 11% by 2025.
The highest 20 cities are the primary drivers as they’re house to a big portion of the younger labor drive, Redseer stated highlighting his analysis.
The survey outcomes additionally present that consciousness of furnishings and equipment rental is excessive attributable to higher advertising, phrase of mouth and constructive critiques. Of these surveyed, 25-30% of these surveyed had been former product customers.
“The market is poised to develop considerably as there’s a sturdy model consciousness and excessive utilization, even in Tier 1 cities (past main metros), which exhibits particular potential, nevertheless, bigger gamers are nonetheless not current in these markets. pandemic-induced reverse migration, singles, college students returned to their hometowns to reside with their households and save on their bills. This may create sufficient alternatives for these gamers to foray into these markets, ”stated Mr. Redseer.
In March of this yr, on-line furnishings rental start-up Rentomojo raised Rs10 crore in a brand new tranche from present traders Accel and Chiratae Ventures as a part of its Sequence C funding spherical. Competitor, Furlenco has additionally raised debt financing, in latest months, because it seeks to launch its D Sequence.