Yoho
Overview
Yoho is a direct-to-consumer (D2C) footwear brand based in New Delhi, India, focusing on providing affordable and biomechanically designed footwear. Founded in 2021 by Ahmad Hushsam and Prateek Singhal, Yoho rapidly established itself in the Indian footwear market. As of October 2024, the company has successfully raised significant capital of Rs 47 crore, including a recent Rs 27 crore from Gulf Islamic Investments (GII) and other prominent investors such as Rajeev Misra, CEO of SoftBank Investment Advisers, and Vijay Shekhar Sharma, CEO of Paytm.
Recent Developments
- October 2024: Yoho raised Rs 27 crore in a pre-Series B funding round led by GII. This funding is set to fuel both domestic and international expansion, along with research and development efforts to innovate new products. The brand plans to increase its range from 100 to 300 styles by 2025 and enhance offline presence across India and globally, including markets in the Middle East, Africa, and the US.
- Growth and Target Audience: Yoho's growth has been substantial, recording a 300% year-on-year increase in revenue, reaching an expected Rs 90 crore for the current fiscal year. The brand focuses on customers aged 28 to 40 who prioritize comfort and style.
- Technology and Innovation: The company employs artificial intelligence to address customer needs, such as resolving fitting issues and optimizing inventory management, with plans to open Exclusive Brand Outlets (EBOs) utilizing advanced technology for improved customer experiences.
- Market Position: Yoho is targeting a broader offline market by seeking partnerships with 2,000 multi-brand outlets in Tier I and Tier II cities across India, signifying a strategic move from its strong online presence, which currently accounts for 80% of its revenue.
Company Information
| Attribute | Information |
|---|---|
| Founding Date | 2021 |
| Headquarters | New Delhi, India |
| Founders | Ahmad Hushsam, Prateek Singhal |
| Revenue | Rs 90 crore (anticipated for 2024) |
| Profits | Not publicly disclosed |
| Key Investors | Gulf Islamic Investments, SoftBank Investment Advisers, Paytm CEO Vijay Shekhar Sharma, Rukam Capital |
| Industry | Footwear |
| Number of Employees | Not publicly disclosed |
Early History
Yoho was launched in 2021 by Ahmad Hushsam and Prateek Singhal with the vision to fill a gap in the Indian footwear market for stylish yet affordable footwear designed using biomechanical expertise. Its launch coincided with increasing consumer demand for comfortable yet fashionable shoes, notably capitalizing on e-commerce platforms such as Amazon, Flipkart, and its own website. Within a year, Yoho raised Rs 20 crore in its pre-Series A funding round, which was instrumental in supporting its initial growth and product development phases.
Company Profile and Achievements
Yoho, as a D2C brand, focuses on a customer-centric approach by offering a range of footwear that combines biomechanical design with budget-friendly pricing. The company has seen rapid growth, establishing itself as a significant player in India’s burgeoning D2C footwear segment.
- Product Range and Innovation: Yoho initially started with casual and formal footwear for both men and women and plans to expand this range to include sports and kids’ categories.
- Marketing and Community: The brand has actively engaged in community-building efforts and implemented innovative marketing strategies to raise brand awareness.
- Technological Implementation: The company has adopted AI solutions to enhance customer experience concerning footwear fitting and has pioneered products like Blinc, India’s first hands-free sneaker.
- Sustainability and R&D: A portion of Yoho's capital is allocated towards R&D, which includes exploring sustainable manufacturing practices.
Current Operations and Market Position
Yoho operates primarily in the online retail space, contributing 80% of its revenues. The company intends to bolster its offline presence significantly by partnering with retail outlets across India, aiming for a balanced online-offline operational model. Its strong marketing strategies and unique value propositions help Yoho maintain its competitive edge in the highly competitive Indian footwear market.
Conclusion
Yoho is rapidly emerging as a leader in India’s footwear industry by leveraging its innovation-driven strategies and customer-focused business model. With substantial backing from global investors and strategic expansion plans, Yoho is poised for significant growth, expanding its market footprint both domestically and internationally in the coming years. The company's emphasis on biomechanics and affordability uniquely positions it to cater to the evolving preferences of the modern consumer, promising a brighter trajectory and impact within the global footwear domain.