Erotissch Shark Tank India Episode Review
Website Information:
- Website: Erotissch
- Build on E-commerce Shopify
- SEO Improvement Needed
- ORGANIC TRAFFIC:- 349 organic visitors per month
Founders & Story:
- Anushka Agarwal and Aayuushi Agarwal, graduates from NIFT and Pearl Academy, launched Erotissch in 2019.
- They design lingerie, swimwear, and beachwear for Indian women, with a focus on size inclusivity (solids 60%, prints 40%).
- They started online on AJIO (2019) and Myntra (Dec 2019).
- They have secured funding from friends & family (₹60 lakh) and invested ₹40 lakh themselves.
- Their current valuation is ₹25 crore.
About the Company:
- Erotissch prioritizes women’s empowerment through comfortable and stylish lingerie, beachwear, and swimwear.
- They champion “Made in India” with high-quality, ethically sourced materials (silk, lace, cotton).
- They prioritize affordability without compromising quality, making luxury accessible.
- Their unique selling point is a commitment to ethical production with a focus on employee well-being.
Revenue:
- Projected FY 23-24 sales: ₹4.6 crore (YTD: ₹2.8 crore as of November)
- FY 22-23 sales: ₹3.8 crore
- FY 21-22 sales: ₹2.5 crore
- Average sales growth rate: 54.2%
- Positive Contribution Margin 1 (CM1) and Contribution Margin 2 (CM2) for the last 3 months
Founders’ Ask:
- ₹75 lakh for 3% equity at a valuation of ₹25 crore
Sharks’ Decision:
- No Deal
- Reasons: Unclear brand positioning, growth limitations, unsustainable pricing, and unclear business model
Shark Tank India Episode AIR Date:
- Episode 34, 7 March 2024
Key Points:
- Erotissch offers a growing brand with a good sales trajectory.
- The Sharks were concerned about brand clarity, scalability, pricing strategy, and overall business model.
Erotissch Shark Tank India Review Website Data
| Aspect | Description |
|---|---|
| Website | Erotissch (Needs SEO Improvement) |
| Platform | Shopify |
| Organic Traffic | 349 visitors per month |
| Business Potential in India (Drivers) | * Rising disposable income * Growing urbanization * Shifting mindsets towards body positivity & self-care * E-commerce boom |
| Total Addressable Market (TAM) | ₹15,000 crore (USD 1.9 billion) (conservative estimate) |
| Target Audience | * Demographics: Women aged 18-45 in tier 1, 2, 3 cities * Psychographics: Security-conscious, fashion-forward, prioritize comfort, quality, ethical production, size inclusivity, and women’s empowerment |
| Content Marketing | * Blog: Lingerie styles, body positivity, self-care, ethical fashion (SEO optimized) * Social Media: Visually appealing content, influencer collaborations (Instagram, Facebook) * Collaborations: Fashion bloggers, stylists, women’s rights advocates |
| Digital Marketing Strategy | * SEO Optimization: Improve website ranking through keyword research, content optimization, and backlink building. * Influencer Marketing: Partner with micro-influencers for promotion and brand trust. * Email Marketing: Build an email list for newsletters, promotions, and personalized recommendations. * Affiliate Marketing: Partner with relevant websites and blogs for wider reach and commission on sales. |
| Distribution Strategy | * Demographics: Women aged 18-45 in tier 1, 2, and 3 cities * Psychographics: Security-conscious, fashion-forward, prioritize comfort, quality, ethical production, size inclusivity, and women’s empowerment |
| Advantages | * Unique Value Proposition: Stylish, size-inclusive lingerie & swimwear with ethical production and women’s empowerment focus. * Strong Sales Growth: 54.2% average sales growth rate over 3 years. * Positive Contribution Margins: Healthy profit margin on products. * Ethically Sourced Materials: Commitment to “Made in India” with high-quality materials. |
| Challenges | * High Competition: Competitive market with established and new players. * Brand Awareness: Low organic traffic indicates a need for improved brand awareness strategies. * Scalability Concerns: Needs a clear expansion plan to address investor concerns. * Pricing Strategy: Needs refinement to balance affordability and quality. |
| Reasons for Success | * Market Demand: Addressing the growing demand for premium, size-inclusive lingerie and swimwear in India. * Strong Product Offering: High-quality, ethically sourced products with a focus on inclusivity. * Focus on Empowerment: Brand messaging that resonates with women seeking comfort, confidence, and self-expression. |
| Mitigation Strategies | * E-commerce Expansion: Strong presence on marketplaces like Myntra, Ajio, Nykaa Fashion (explore Amazon, and Net-a-Porter in future) * Omnichannel Strategy: Consider flagship stores in major metro cities for personalized experience and brand image. |
| Future Business Roadmap | * Expand Distribution Channels: Omnichannel approach with flagship stores and international marketplaces. * Refine Pricing Strategy: Conduct market research and competitor analysis to optimize pricing. * Data-driven decision-making: Utilize website analytics and customer data to tailor marketing efforts. |
Erotissch: Building a Thriving Lingerie & Swimwear Brand
Business Potential in India:
The Indian lingerie and swimwear market is experiencing explosive growth, driven by:
- Rising disposable income: More Indian women can now afford premium lingerie and swimwear (Source: IBEF).
- Growing urbanization: Increased demand for fashionable and comfortable undergarments in urban centers.
- Shifting mindsets: Growing awareness of body positivity and self-care, leading to a higher demand for lingerie that is both beautiful and functional (Source: Euromonitor International).
- E-commerce boom: Increasing online shopping penetration makes lingerie and swimwear more accessible to women across India.
Total Addressable Market (TAM):
The Indian lingerie market alone is estimated to reach ₹30,350 crore (USD 3.8 billion) by 2025 (Source: TechSci Research). Considering swimwear as a smaller segment, a conservative estimate for Erotissch’s TAM could be ₹15,000 crore (USD 1.9 billion).
Ideal Target Audience:
- Demographics: Women aged 18-45 residing in tier 1, 2, and 3 cities in India.
- Psychographics: Security-conscious, fashion-forward individuals who prioritize comfort, quality, and ethical production. They appreciate size inclusivity and a brand that celebrates women’s empowerment.
Marketing Strategy:
Content Marketing:
- Blog: Create informative and engaging content about lingerie styles, body positivity, self-care rituals, and ethical fashion practices. Optimize content for relevant keywords like “lingerie for Indian women,” “size-inclusive swimwear,” and “sustainable lingerie brands.”
- Social Media: Build a strong presence on Instagram and Facebook with visually appealing content showcasing product collections, behind-the-scenes glimpses, and collaborations with body-positive influencers. Utilize relevant hashtags and run targeted ad campaigns.
- Collaborations: Partner with established fashion bloggers, stylists, and women’s rights advocates to reach a wider audience and leverage their credibility.
Digital Marketing Strategy:
- SEO Optimization: Improve website ranking through keyword research, content optimization, and backlink building to attract organic traffic.
- Influencer Marketing: Partner with micro-influencers specializing in body positivity and sustainable fashion to promote products and build brand trust.
- Email Marketing: Build an email list and send engaging newsletters featuring new arrivals, promotions, and educational content. Offer personalized recommendations based on past purchases.
- Affiliate Marketing: Partner with relevant websites and blogs to reach a wider audience and earn commission on sales generated through their referrals.
Distribution Strategy:
- E-commerce Expansion: Establish a strong presence on leading online marketplaces like Myntra, Ajio, and Nykaa Fashion. Explore international platforms like Amazon or Net-a-Porter in the future.
- Omnichannel Strategy: Consider opening flagship stores in major metro cities to offer a personalized shopping experience and strengthen the brand image.
Advantages:
- Unique Value Proposition: Erotissch caters to a growing demand for stylish, size-inclusive lingerie and swimwear with a focus on ethical production and women’s empowerment.
- Strong Sales Growth: Demonstrated a 54.2% average sales growth rate over the past 3 years.
- Positive Contribution Margins: Positive CM1 and CM2 indicate a healthy profit margin on products.
- Ethically Sourced Materials: Commitment to “Made in India” with high-quality materials resonates with eco-conscious consumers.
Challenges:
- High Competition: The lingerie and swimwear market is highly competitive, with established players and new entrants vying for market share.
- Brand Awareness: Low organic traffic indicates a need for improved brand awareness strategies.
- Scalability Concerns: Investors on Shark Tank India expressed concerns about Erotissch’s ability to scale beyond a certain point. This can be addressed by outlining a clear expansion plan.
- Pricing Strategy: The Sharks raised questions about Erotissch’s pricing strategy. Conducting market research and competitor analysis can help refine pricing to maintain affordability without compromising quality.
Reasons for Success and Mitigation Strategies:
- Market Demand: Addressing the growing demand for premium, size-inclusive lingerie and swimwear in India.
- Strong Product Offering: High-quality, ethically sourced products with a focus on inclusivity.
- Focus on Empowerment: Brand messaging that resonates with women seeking comfort, confidence, and self-expression.
Mitigation Strategies (continued):
- Expand Distribution Channels: Implement an omnichannel strategy by exploring flagship stores and international online marketplaces alongside existing e-commerce partnerships.
- Refine Pricing Strategy: Conduct thorough market research and competitor analysis to ensure Erotissch’s pricing remains competitive while maintaining healthy profit margins.
- Data-Driven Decision Making: Utilize website analytics and customer data to understand target audience preferences and tailor marketing efforts accordingly.
Future Business Roadmap:
- Increase Valuation: Focus on brand awareness, strategic expansion, and a refined pricing strategy to demonstrate scalability and increase valuation for potential future investors.
- Product Line Expansion: Consider expanding the product line beyond lingerie and swimwear to include loungewear, activewear, or sleepwear based on customer demand and market trends.
- Invest in Technology: Implement a robust customer relationship management (CRM) system to personalize customer experiences and build stronger brand loyalty. Explore artificial intelligence (AI) for product recommendations and chatbots for improved customer service.
- Social Responsibility: Partner with NGOs or women’s empowerment initiatives to further solidify Erotissch’s commitment to social good.
Conclusion:
Erotissch possesses a strong foundation for success in the booming Indian lingerie and swimwear market. By addressing the identified challenges and implementing the proposed strategies, Erotissch can establish itself as a leading brand synonymous with comfort, quality, ethical production, and female empowerment. The focus on an omnichannel approach, data-driven marketing, and continuous improvement will position Erotissch for long-term success and increased valuation.
Erotissch Shark Tank India Episode Review