Flipspaces to grow US business by 5x in the next year on the back of strong growth

Interior Design tech startup Flipspaces has seen its US vertical grow 35x in the last six quarters and is looking to aggressively expand the team and geographical outreach in both design and build and SAAS offering in the US, Kunal Sharma, Founder & CEO, Flipspaces told ET.

"We are looking to grow the US business 5X in the next 12 months," Sharma said. "In a short span, we have created a strong global presence with dedicated offices in Mumbai, Bangalore and more recently in Boston. A $100 billion commercial Design and build market US also offers a better margin profile in the tech-enabled design and build segment."

Further, he said that the company's offering VIZSTORE is a SaaS product for third party furniture and furnishing brands. This VR-enabled SaaS product was first used extensively and validated as part of the internal tech-suite, he said.

"VIZSTORE was aimed at virtualizing the experience of visiting a physical store in the furniture and furnishing segment. Since its launch earlier this year, VIZSTORE has received tremendous initial response and has multiple marquee brands and clients as part of it’s list. Our vision is for VIZSTORE to be the Virtual Twin for every physical showroom of the Furniture and Fixtures (FNF) brand or retailer thus becoming the experiential Shopify for this industry," he said.

Powered by gamification and Virtual Reality, VIZSTORE allows customers to walk through the virtualized showroom environment and discover and visualise products as they would in a physical showroom experience. Additionally it allows customers to change products and finishes within the environment.

"It allows FNF retailers and brands to cut on their cost of real estate for showcasing products and allows them to drive omni-channel commerce through an unprecedented VR-enabled tech combined with an online business tool-kit. It is a paid product from the outset for retailers, brands and manufacturers. Towards the same we’re looking to expand on the tech-functionality and expand our offering to the US market where SaaS products have empirically had a larger play and a better margin profile," Sharma explained.

He said the company's ticket-size is 10x of other new age Interior Design startups like Livspace and Homelane, and a market size that is approximately 4x of these players, with India and US combined. The company's average ticket size is Rs 10 million and above. The company's revenue is also set to reach pre-pandemic levels in Q3, i.e. this quarter, with EBITDA level profitability, Sharma said.

Flipspaces has executed multiple projects and has worked on more than 5 million sq.ft of commercial spaces. The company's marquee MNC clients include companies like BSH, Aditya Birla, Oppo, P&G while also being the working with unicorns, soonicorns and fast growing startups like Bharatpe, Razorpay, Indwealth, Open Money, Nobroker, Bounce, Playsimplegames. It has also leveraged the technology suite to facilitate partnerships with commercial space owners and developers like Lodha, Godrej, Tata Realty, Mahagun, Brigade, Salarpuria Sattva, and so on for over 1.5 million sq.ft total area across various commercial real estate projects.

The company has raised a total of $3.5 million through its Series A and Pre-Series B rounds. The major investors include Carpediem Capital and a consortium led by Prashasta Seth, the ex-CEO of IIFL AMC.