The Amazon of home decor eyes profits for SG unit after breaking even in India

Sangeetha Rajesh, an entrepreneur and social media influencer, never considered herself a hoarder. That changed when Covid-19 forced her to work from her three-bedroom house in one of India’s southern cities.

Photo credit: Livspace

In search of a colorful, spacious, and elegant space for photographing the clothing she was putting up for sale, Rajesh finally settled on an old room with a large closet. There she found piles of memorabilia and things she hadn’t used in years – she realized it would need a makeover before it was fit for work.

Decluttering became a practical necessity for many like Rajesh when houses doubled as offices, schools, or even a gym during the Covid-19 pandemic.

In a bid to capitalize on this growing need to refurbish homes, Anuj Srivastava, a former Google executive, and Ramakant Sharma, who previously headed engineering operations at ecommerce giant Myntra, launched an interior designing platform called Livspace, whose Indian operations turned profitable in March.

Anuj Srivastava, CEO of Livspace / Photo credit: Livspace

Srivastava has invested in several tech startups including ZipDial, which was acquired by Twitter; Voyagin, which was bought by Rakuten; and IPO-bound PharmEasy. Meanwhile, Sharma has served as an operating partner at Jungle Ventures for over two years.

Singapore-based Livspace offers interior design and renovation services using tech that helps predict pricing, timelines, and quality of a housing project. It streamlines the supply chain of products and services on its cloud platform, which brings together original equipment manufacturers (OEMs), brands, contract manufacturers, and subcontractors.

Designers use Canvas, the firm’s software-as-a-service software, to engage with customers, create 2D or 3D visuals, and add products and services to a shopping cart. It then generates a project plan that helps monitor progress.

“In the wake of the Covid-19 pandemic, we are witnessing a fundamental shift in demand from unorganized players to organized, internet-first retail brands,” said Srivastava. He added that about 70% of the projects the company took up during the pandemic were done remotely to promote safety.

The company operates across more than 20 cities in India and Singapore. It is also looking to expand into multiple cities in Southeast Asia within the next 12 months and plans to enter Australia within two years.

Most recently, Livspace has announced its expansion into the Middle East in a joint venture (JV) with Alsulaiman Group (ASG), Ikea’s operating partner in the region. The JV aims to team up with 500 design and execution partners in the region by 2022.

An Amazon-like marketplace for interiors

Livspace, which claims to operate the largest ecommerce marketplace in the home interiors and renovation space in Southeast Asia, is a “managed marketplace,” not a “free marketplace,” Srivastava noted.

Unshelving growth numbers