Online furniture marketplace Pepperfry saw its loss widening by almost three times to Rs 88 crore in 2014-15, compared to the Rs 30 crore loss it registered in the previous year. The company's revenue was Rs 25 crore in the year, up from Rs 7.5 crore in the year before, according to documents the company has filed with the ministry of corporate affairs. Pepperfry saw its expenditure going up from Rs 37 crore in 2013-14 to Rs 114 crore in the following year.
The Mumbai-based company is an aggregator of furniture sellers and nets around 93% of its revenue from commissions. Pepperfry has It has 17 fulfilment centres, which also act as places to do quality checks and assembly - catering to over 5,000 sellers on the platform. The average selling price of furniture on the platform is Rs 14,000, but including other items it sells, the average selling price is Rs 6,000.
Pepperfry was founded in 2011 and has so far received $128 million (Rs 800 crores) from various investors. The company was founded by former eBay executives Murty and Ashish Shah. Pepperfry's biggest competitor is Bengaluru-based Urban Ladder, which makes and sells its own furniture. Backed by Sequoia Capital, the company has raised $77 million (Rs 500 crore) so far and counts Tata Group chairman emeritus Ratan Tata as one of its angel investors. Urban Ladder had a loss of Rs 59 crore in the year ended March 31, 2015, as compared to Rs 8 crore in the preceding fiscal. It reported a revenue of Rs 19 crore in 2014-15, up from Rs 12 crore in 2013-14.
Separately Rocket Internet owned site FabFurnish is said to be up for sale with Future Group cited as an interested party. In August, FabFurnish laid off about a fourth of its employees and was also in the process of vacating warehouses as part of its restructuring efforts.