Business Model of Urban Ladder with Complete Company Overview

Updated on: Sep 27, 2021
Business Model of Urban Ladder Updated | IIDE

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Urban Ladder is an all-around design business that offers home decor and furnishings. Urban Ladder was founded as the first online brand in 2012 with more than 5000 designs in 35 categories including living, dining, bedroom, study, and design.

This blog highlights the business model of Urban Ladder, its customer segment, income stream, market objective, and other elements of the company. First, let’s get to know more information about the company.

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About Urban Ladder

Urban Ladder Showroom | Business Model of Urban Ladder |IIDE

Urban Ladder is one of India’s most rapidly expanding furniture e-tailers. This Bangalore-based firm owns end-to-end operations, which means they have complete control over everything from wood selection to furniture design to delivery. Furniture, lifestyle, and home decor are all available from Urban Ladder. Urban Ladder is a one-stop store for all your furniture needs.

In 2012, Ashish Goel and Rajiv Srivatsa established Urban Ladder. Before launching their own business, they both worked for several global corporations. Previously, Ashish Goel worked for McKinsey & Company and was the CEO of Amar Chitra Katha. Rajiv Srivatsa previously worked for Yahoo and Cognizant.

While the founders, Ashish Goel and Rajiv Srivatsa, were pondering all of the possible company concepts, they decided to go to Bangalore. Due to a shortage of renowned furniture companies, both online and offline, neither of their houses had any furniture when they moved to Bangalore. That’s when the requirement for a well-branded Indian furniture marketplace became apparent to them.


Business Model of Urban Ladder

Urban Ladder works on the e-commerce channel on a very simple but innovative business strategy, which lets users choose the home décor and furnishing products to their needs. The furniture is provided and the goods are installed according to the order detail. A new procedure of sofa testing in customer homes, the first in the industry, has recently commenced. It shows you do not hesitate to take the extra mile to give the customer the best value. By their choices and taste, the buyer may choose furniture and other things. Laying and installation are uniquely offering its customers great products using uniquely offering its customers great products free of charge. It is a complete solution provider and hence all they do is to install the product at the customer’s premises from wood purchase on-site.


1. Customer segment

Concentrated on clients who are prepared to pay an insurance premium for functionality and product quality.


2. Customer relationship

Concentrate on creating long-term partnerships with an emphasis on sharing user history and simplify the choice of a consumer.


3. Channel

  • Video on YouTube showing product and functionality
  • Users stories post on the website
  • Social Media


4. Target Audience

Anyone who purchases the property for Rs. 40-50 lakh, goes to the furniture for Rs. 4-5 lakh, including cooking utensils. This is our customer target. Anyone who purchased the house several years ago in the renovation cycle may be interested in rebuilding a room or multiple rooms as they are boring. That’s a large second spectator. Anyone in the top 30 of the cities who’s presumably married but haven’t yet acquired a house where they want some part of their house is also one large third audience. These three are the audience spanning the entire audience. The number of buyers is increasing impressively throughout the festive and wedding season, as the period is when people want to redecorate and buy furniture.

Demographic clients that purchase online and are used to shopping online are well-read, educated, and well earning between the ages of 23-45. Psychographic clients acquire material, including lifestyle purchases from Myntra, Jabong, or others, with a sense of design, knowledge of society, and active, digital. Compartmental clients are ready to buy large-scale products at a single click and find it much easier to shop online because it ensures that they check the furniture in their home environments for themselves.


5. Position

Urban Ladder Employees | Business Model of Urban Ladder |IIDE

In the next several days you want to be a complete provider of home solutions. You desire to increase your decoration portfolio by becoming a one-stop household equipment provider from an online mall Urban Ladder has only lately gotten on TV to establish itself, but its initial attempts were geared towards broad-based demography. Organic growth, together with promotion for social media and positive word-of-mouth, is plenty for founders.


6. Revenue Stream

Urban Ladder Revenue Model | Business Model of Urban Ladder |IIDE

Despite the stalling of Covid-19, the transaction market is full of headlines. The newest newspaper is the purchase of the Urban Ladder Home Decor Solutions situated in Bengaluru. A cash purchase of 96 per cent, which is a little amount of approximately $25.5 million, was announceable by Reliance Retail Venture Ltd (RRVL), a subsidiary of Reality Industry Ltd (RIL) on 14 November (INR 182.12 Cr). The RIL can also purchase the remaining stake for another INR 75 Cr until December 2023.


7. Process

Mainly through the web platform, clients observe a wide selection of items and have the possibility of testing various features. The majority of the interactions take place. The products are exhibited in terms of quality and materials used to make such furniture in Urban Ladder’s store. The platform functions as a stopping point for linking different consumers to producers and allows them to explore a broad range of items with a wide range of possibilities. Upon placing an order the user orders Urban Ladder to send the merchandise. There is also an opportunity to return the product for better service if the user does not satisfy them.


8. Marketing Strategy of Urban Ladder

 Business Model of Urban Ladder |IIDE

Urban Ladder is one of the most active social media users in promoting its products to those who want to acquire products and resources online. They have taken the best potential advantage of the platform to advance their portal. Although to a lesser degree, other forms of promotional publicity will also be utilized.

As far as promotion is concerned, Urban Ladder is most active in allowing clients to check out sofas at home before buying them online. The promotion was unique and no other portal attempted it. This is a unique sort of promotion. The company is also one of the best digital enterprises in the country, and the founders of the company played a vital role in designing the digital marketing strategy of the online platform.

Urban Ladder focuses largely on offering its customers great products in a unique way using website visualization. One of the key factors of the success of the company could be its staff. The founders, the management team, employees, and the distribution network of the company have all worked hard to improve customer service. When founders found furnishings for their office, they developed the idea of developing an internet platform for the sale of furnishings and home decoration.


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Urban Ladder is a multi-channel designed mechanism and a company for house decoration. There are almost 5,000 styles, including living, dining, bedroom, study, and more, in 35 different categories. Urban Ladder decided to spend substantially on technology after raising $77 million in funding, which was considered as one of the main drivers of growth. Spree has proved to be the ideal alternative thanks to its flexibility, scalability, and reliability. The digital presence of the new invention of Urban Ladder can now be communicated to the public. You reached your clients and end-users via several digital sites, including Facebook, Twitter, Pinterest, Instagram, and LinkedIn. They have created a marketplace for themself.

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Aditya Shastri

Lead Trainer & Head of Learning & Development at IIDE

Leads the Learning & Development segment at IIDE. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. He has been a guest speaker at prominent colleges in India including IIMs......[Read full bio]


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