What comes to mind when we hear the word “earphones”? Consider, don’t you? Today, we’ll talk about a company that wasn’t even around a few years ago but is now the market leader in the audio industry. BoAt is the answer, as you correctly predicted!
The best way to treat yourself is to indulge in some quality music, and it is the icing on the cake if you are listening to it on a boAt device. This lifestyle brand, which offers us reasonably priced, fashionable, and high-quality consumer electronics, has revolutionised the market in this way.
boAt has had tremendous success, and Mr. Aman Gupta has successfully established a niche with his business tactics. The products that boAt has used to win over customers’ hearts include earphones, headsets, smart watches, air pods, Bluetooth speakers, and many more.
boAt – About
An Indian company called boAt sells electronic devices with an emphasis on audio, including wireless speakers, earbuds (Airdopes), wired and wireless headphones and earphones, home audio equipment, premium rugged cables, and a variety of other technological accessories.
Personal Life of Aman Gupta
- Gupta was raised in a middle-class family by his mother Jyoti Kochar Gupta and his director father Neeraj Gupta.
- Priya Dagar and Aman Gupta were married, and their daughters Mia and Adaa were born as a result.
- Additionally, he has two siblings: Neha Gupta, his sister, and Anmol Gupta, his brother.
Who or what inspired boAt?
boAt Lifestyle can’t claim to have a very long history. Aman Gupta and Sameer Mehta founded the Delhi-based startup in 2016. The business describes itself as a lifestyle brand that sells chic consumer electronics. BoAt Lifestyle was founded with the sole purpose of providing millennials with accessible, long-lasting, and—most importantly—”fashionable” audio accessories and accessories.
Today, the company has expanded its catalogue after initially focusing on the manufacture and sale of cables. Today, it offers a huge selection of stylish electronic products, including speakers, headphones, earphones, travel chargers, and premium cables. Millions of “boAtheads” are now receiving services from the company, which is steadily expanding (A term the company uses for all its consumers and brand ambassadors). Despite having only been in business for four years, the company has more than 800,000 satisfied clients.
Aman Gupta, one of the company’s founders, was familiar with the electronics industry. In his family’s business, he spent three years (2007–2010). He completed his Chartered Accountancy before joining the company, and between 2003 and 2006, he worked for Citibank.
He enrolled for an MBA at the Indian School of Business (ISB) in 2010, which helped him get a job at the accounting firm KPMG. He only had a six-month stint there, but that was long enough for him to be impacted. He applied to JBL because he was fascinated by electronics and gadgets. He was hired by the business for two years. Gupta oversaw the offline distribution of the startup through retailers like Croma and Reliance Digital. Later on, he also entered the field of product management. Finding the ideal products for the Indian market was his responsibility. His experiences working for JBL were helpful when boAt was developing new products.
Warburg Pincus boasts of holding 36.48% of the shares of the company, which explains why it holds the majority of the boAt stakes. Next in line with 28.26% of the total shares are the co-founders of the boAt, Aman Gupta and Sameer Mehta. Fireside Ventures follows with 3.76% of the shares, and Qualcomm Ventures follows with 2.6%. Others hold the remaining 0.64% of the boAt’s stake.
boAt – Growth of the Company
The boat company’s distribution alliances play a major role in its growth. At first, the business sold its goods and equipment on Amazon, Flipkart, Myntra, and Jabong. However, the company only recently began selling its products through its official website and at various Croma locations. BoAt was able to achieve the desired growth thanks to the products’ strong performance.
In addition, Indian cricketers and celebrities have led the business. Millions of “boAtheads” now have access to the company’s services as it continues to expand. The company refers to all of its customers and brand ambassadors as boAtheads. The boAt company has only been around for five years, but despite this, it has more than 800,000 satisfied customers.
boAt – Business Model
BoAt sells a variety of goods, including wireless and wired earphones, speakers, headphones, smartwatches, and trimmers. BoAt lifestyle is the leading brand in the earwear category with a market share of 27.3%.
In FY2021, it generated 1,531 crores in revenue and approximately 127.1 crores in profit. From 48.85 crores in FY20 to 78.6 crores in FY21, its earnings increased by 61%.
BoAt focuses primarily on offering wired earphones for the least amount of money. Due to the fact that no brand sells wired earphones in this price range, their products are priced between 350 and 550.
The business has always produced goods that have resulted in demand-pull, so it doesn’t need to market its released goods. Due to its high quality and affordable price, it has already gained popularity.
boAt – Challenges
BoAt initially relied on founder funding of around Rs 30 lakh as it struggled to raise money. The company was bootstrapped in its early years. Aside from this, the business encounters numerous difficulties every day in producing chic products at competitive prices and bringing them to a market already crowded with equally capable rivals.
What drives boAt’s future?
boAt believes that the growing practise of including audio sets with smartphones may represent its next growth opportunity. It has been observed that almost all of the major phone manufacturers have associations with audio businesses. Apple offers Beats headphones, Samsung offers Harman and JBL, Huawei offers Sennheiser, and many more. As a result, the business anticipates attracting more new customers with alluring bundle deals, saving people from having to buy headphones or earphones separately.
Who founded The boAt?
An Indian businessman named Aman Gupta co-founded the company boAt and serves as its Chief Marketing Officer.
When was boAt established?
boAt was established in 2016.
What has made BoAt Company well-known?
The brand boAt is well-known for its audio-focused electronic devices, including wireless speakers, earbuds, wired and wireless earphones and headphones, home audio equipment, premium rugged cables, and other tech accessories.