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How This Rs 345 Cr Bengaluru Business Became One Of India's Largest Spring Mattress Brands



In 2006, K Madhavan, President of Operations, Kurl-On, came across a golden business opportunity. Two of his business friends and mattress manufacturing experts — G Shankar Ram and P Manjunath — came to Madhavan and pitched an idea.

 

There was a factory for sale in Coimbatore, Tamil Nadu, and it had the capability to manufacture spring mattresses. At that time, the focus of the organised Indian mattress industry was on the conventional coir and foam mattresses. The unorganised industry largely dealt with cheap, cotton mattresses.

 

“The spring mattress industry was largely untapped. There was just one otherplayer in the spring mattress industry — a small manufacturer in North India.Seeing a business opportunity, we decided to start our own venture in thespring mattress segment,” Madhavan tells SMBStory in an exclusive interview. 

At 55, after nearly three decades of service in the conventional mattress industry, Madhavan made the bold decision to become an entrepreneur and disrupt the market.

Madhavan and his partners Shankar and Manjunath took over the mattress unit in Coimbatore in 2006 to start their spring mattress business. This was the genesis of Peps Industries.


“Our business model was one of disruptive innovation. We had a vision that the consumerism-driven Indian market with surplus disposable income would embrace the international standard spring mattress,” he adds.                                                   

 

The partners’ vast experience in mattress manufacturing and a business partnership with the American brand Restonic, the fourth-largest spring mattress maker in the world, has worked wonders for Peps.

 By making simple, convenient, and affordable spring mattresses accessible to the market, Peps emerged as India’s leading spring mattress brand.


“The mattress industry is estimated to be over Rs 8,000 crore, and the spring mattress category is estimated to hold eight percent of this. Within the spring mattress category, our turnover at the end of FY19-20 was 54 percent of the market,” Madhavan says.

 

Based on these estimates, Peps’ turnover is around Rs 345 crore. Currently, it employs over 1,500 people. It is based in Bengaluru and manufactures in Coimbatore, with a few auxiliary units in the north, south, east, and west India.


Sandip Ginodia , CEO

 

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