Urban Company, a leading home services platform, is making its mark in the branded consumer products space by introducing smart RO water purifiers. The company’s foray into consumer products aligns with its vision for innovation and improving user experiences. This expansion also reflects Urban Company’s broader strategy, including plans for a future IPO.
Abhiraj Singh Bhal, Co-Founder and CEO of Urban Company, explained that their decision to enter the smart RO water purifier market was driven by a desire to address a common pain point for consumers. He stated, “The pain point of consumers has been the need for frequent servicing and filter changes of RO water purifiers. The category has not seen much innovation in recent times. We decided to address this problem with our new range of Native water purifiers which do not require servicing for 2 years and we are backing this claim with a comprehensive zero cost warranty for 2 years.”
Urban Company’s Native water purifiers are designed to offer hassle-free and reliable water purification. These products are supported by insights the company has gained over its 7-8 years of operations in the home services industry.
Bhal emphasized the potential of the RO water purifier segment, highlighting it as a relatively under-penetrated category. The products, manufactured in India, incorporate features such as rapid reverse rinse technology and real-time parameter tracking, providing users with a convenient and efficient water purification solution.
In addition to water purifiers, Urban Company is exploring opportunities in other product lines, such as smart door locks, as it looks to expand its presence in the consumer products segment.
As of the fiscal year 2023, Urban Company reported consolidated revenues of ₹637 crore, representing a 45% growth compared to the previous fiscal year. In the first quarter of fiscal year 2024, the India business achieved breakeven on an adjusted EBITDA basis.
Regarding their plans for an IPO, Bhal expressed their intent to go public when they are confident, internally prepared, and profitable. The company has been focusing on strengthening governance, internal controls, and readiness as part of its preparations for a potential IPO.
Urban Company last raised funds in 2021, reaching unicorn status. While Bhal acknowledged the availability of substantial capital, he stated that the company currently has limited funding needs.
Urban Company currently operates in over 53 cities across India and aims to continue expanding to reach a goal of 100 cities. The company also has a presence in the UAE, Singapore, and Saudi Arabia.
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Urban Company’s Native M2 Water Purifier and Native M1 Model are available at introductory prices of ₹17,499 and ₹13,499, respectively. These products can be purchased through the Urban Company app, website, and Amazon, with availability in Croma stores coming soon.
