The brand is considered to be a success when the customers consider referring to it atleast once in their purchase decision making process. Today, we will shed some light about a brand that has gained all the attention in the smart wearables and audio category in a span of few years.
Before we get into the key aspects of how this brand has experienced a rise in popularity, let us know that the main target audience for Crossbeats ranges in the age group of 20-35.
One of the key reasons of its growth is because of the smart market segmentation by the brand and rising as one of the most loved South Indian consumer tech firm.
So now, let us detangle the success story of the brand and understand the journey of Crossbeats in becoming the new favourite gadgets brand of India.
How Crossbeats Began its Journey?
Archit Agarwal and Abhinav Agarwal are the two brothers who started this journey together.
Being fanatic about this consumer tech industry, they were very dissatisfied with the poor quality and high pricing of the products in the Indian market. Hence, they decided to bootstrap the company with an initial investment of 5 lakh Rupees.
Mr. Abhinav had an experience of almost 10+ yrs into brand building, marketing and consumer tech. On the other hand, Mr. Archit was an ex banker who had intensive hold of finance,operations, product development and sales operations. The duo proved to be undoubtedly the best team to take Crossbeats forward.
They started selling audio products in 2015 and were ranked as the bestsellers on Amazon for most of their products. Acknowledging the response from the Indian market, they decided to expand the product portfolio and get into smartwatches as well.
Growth Strategy of Crossbeats
You need Smartwatches? TWS earbuds? Headphones? Soundbars? Look no further than Crossbeats in 2023. Crossbeats; with its intensive product growth strategy has acquired a market share of approx 5% in the consumer tech space with major holding in South India.
In financial year 2022; it was successful in generating a total revenue of Rs. 50cr with a profit margin of Rs. 30cr.
Some key factors that has given an edge to Crossbeats over the competitor brands have been listed below
- Niche targeting
- The brand has been pretty successful in segmenting its audience base strictly for developing its products based on their taste & preferences. The brand claims that they do not introduce products for everyone; but for the new Indian Youth.
- Taking Operations Online
- Crossbeats fulfills most of its orders via online channels like website and other ecommerce platforms. Almost 75-80% of its sales happens via these channels and the remaining via offline distributors network. This distribution ensures a smooth operational transaction.
- Outsourcing Manufacturing
- Unlike traditional firms, to improve the quality of the products, Crossbeats decided to outsource its manufacturing unit. Crossbeats has a big pool of product engineers who rigorously work on fresh product designs and concepts for every SKU
- Turnaround Time for Assistance
- The response for the turnaround time as per Google & Meta is less than 4 hrs for Crossbeats which is considered among the best as per industry standards.
- Price benefit
- The pricing is based on the TG as Crossbeats products fall in the semi premium category. As the products never fall short in quality standards, the price stays justifiable for the end users.
We have recently seen that the brand has extended its product portfolio by launching their first headphones & soundbars. Based on the discussion with Mr. Archit Agarwal, it is made clear that speakers and other related products will soon be added in the portfolio.
Crossbeats is also in talks with a few agencies to onboard a brand ambassador to boost their presence in the local market.
In reference to the recent growth and future plans of the company, the path looks promising ahead. Crossbeats is also adding up resources and hiring candidates to meet the business requirements. Let us see where the company stands by the end of FY23.
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