Ecommerce roll-up company 10club acquires 3 gardening brands for unknown amount
10club, a leading player in roll-up e-commerce, today announced the acquisition of three lawn and garden brands – Kraftseeds, Gate Garden and Kriti Kalash. The brands specialize in seeds, soil, flower bulbs, manure, planters, tools and any other type of equipment a consumer might need for their gardening needs. The company did not disclose the value of the transaction.
The category saw an unprecedented spike during the pandemic, as people stayed home and looked for ways to freshen up their homes, while cultivating hobbies that relieve stress and improve their homes. 10club believes this trend is here to stay and aims to focus its energies on capitalizing on the growth of this category. According to their estimates, the current size of the category is around $ 900 million with less than 10% online penetration, with 70% year-over-year growth in 2020-2021.
“We are extremely optimistic about the Home category and the acquisition of three strong brands in the Lawn & Garden segment gives us a solid footing and, more importantly, will complete the six new acquisitions that we will be announcing shortly. With these acquisitions, we will achieve sales of over $ 50 million in the home category alone, ”said 10Club, co-founder and COO Deepak Nair.
The founders of the Kraftseeds, Gate Garden and Kriti Kalash brands had seen the promise and potential of their business nearly two decades earlier. Regardless of the challenges of a category that wasn’t as lucrative at the time, they spent a considerable amount of time understanding the preferences of the urban consumer and took this fledgling business online through Amazon. They developed expertise in seed sourcing and a strong network with farmers who could outsource a farm for them, customized to meet their requirements for seed varieties, seasonality, volume and standards. of specific quality, allowing them to obtain the best quality seeds at the most reasonable prices. Over the years, they have expanded their product lines to include other products such as planters, soil and coco peat, gardening tools and flower bulbs. When Covid hit and the category boomed, they were not only equipped to meet demand from a product line perspective, but the network they had taken years to build also paid off. .
“We want to reach more households across India, by encouraging consumers to grow plants and fall in love with gardening,” said Gaurav and Shaina, founders of Kraftseeds. “We believe that to achieve this, 10club is the right partner for us because they are equipped with an extremely competent team and aligned with our vision.”
Kraftseeds is a leading brand of gardening tools and seeds on Amazon with an offering of 3,600 SKUs (inventory management units) on the platform.
With this acquisition, 10club aims to create niches for each brand, from the structuring of their product lines to their pricing models, so that each has its unique role and offering. Channel expansion is an important aspect of driving growth by capitalizing on platforms such as Jiomart, Meesho and Flipkart.