On one hand, you have a tech giant, a global leader in a crowded market, but with a nagging problem. While their current product line is successful, it lacks a certain spark.
A new player, seemingly from nowhere, sees the problem and instantly comes up with a solution – exceptional quality at a fraction of the cost. News spread faster than a viral video. Whispers turned to a roar as consumers, tired of overpriced options or underwhelming quality, flocked to this upstart brand.
This is the story of a new brand that dared to challenge the established giants, rising from a non-existing market to become a global force. Ranked 5th in a market dominated by giants, they prove that even the slightest spark can ignite a revolution.
Want to know how this brand changed this industry? Read on
From Suits to Startup Sounds
Aman Gupta wasn’t your typical tech entrepreneur. He had a proven track record
in the corporate world, but his passion for gadgets and audio remained strong.
After years of working with established electronics brands, a dream began to take shape – creating his own audio company catering to the Indian market.
Learning the Ropes
Gupta’s journey started well before boAt set sail in 2016. He honed his business acumen working in his family’s electronics business and then at Citibank. He even pursued an MBA, all while keeping a close eye on the ever-changing world of consumer electronics.
An early taste of the startup world came with his venture, Advanced Telemedia. Here, he helped launch international audio brands in India, gaining valuable experience in the market he planned to conquer. Later stints at KPMG and HARMAN further solidified his knowledge of the industry and the needs of Indian consumers.
The Seed of an Idea is Planted
One key takeaway from Gupta’s experience was consumers’ growing openness to trying new brands. This planted the seed for boAt, a company offering high-quality audio products at accessible prices.
The Next Step
Knowing he couldn’t go it alone, Gupta joined forces with his friend Sameer Mehta in 2014.
Together, they embarked on a two-year research and development journey, laying the groundwork for what would become boAt.
Why the name boAt?
When naming their creation, the founders didn’t just pick a word; they captured a feeling. ‘boAt’ wasn’t just letters on a page; it was a symbol – a call to ride the waves of life, sound by side with your soundtrack.
The adventure didn’t stop there. Their tagline, ‘Plug into Nirvana,’ was a promise. It promised an escape, an immersion into pure audio bliss.
Talking about the logo – a sleek, stylized boat, with the ‘b’ forming its mast and sail- was a reminder that life’s a journey, and the company wants you to ride every wave with them.
boAt Lifestyle Sets Sail
December 2016 wasn’t exactly smooth sailing for new businesses. Indian tech giants were struggling, and the market was flooded with new Chinese players.
Some might have called it a terrible time to launch a new brand, but Aman Gupta wasn’t fazed. He knew they had something unique to offer.
Overcoming Obstacles
Getting started wasn’t easy. Banks weren’t interested, investors were cautious, and the market was crowded. But Gupta and his co-founder, Sameer Mehta, were determined. They pooled their own money of about Rs.15 lakhs each and started small, selling mobile cables and chargers.
Their first product? An indestructible Apple charging cable – a solution to a common frustration for many. They followed this up with a range of audio products designed specifically for the Indian market. Remember that deep, thumping bass Indians love? These earphones were tuned to deliver just that.
Value over Price Wars
Despite the challenging market conditions, the company managed to turn a profit in its first year. They achieved this by focusing on quality and features that resonated with Indian consumers, like their signature bass-heavy sound profile.
They also avoided the price war with established brands, instead positioning themselves as a mid-range option with better quality than budget brands.
Building a Community
Consumers loved boAt’s focus on quality, affordability, and features that mattered to them like that deep, thumping bass Indians craved.
Sales grew steadily, and the brand gained a loyal following. It claims to add one boat head to the family every three minutes. This wasn’t just about selling gadgets but building a community.
The Game-changer
With the rise of work-from-home culture, where crystal-clear audio for meetings became a must-have, Aman Gupta saw an opportunity.
They constantly innovated, expanding their product line to include work-from-home essentials like comfortable, noise-canceling earphones, carving a niche for itself in the ever-growing audio market.
How boAt won Hearts and Ears
Without a huge marketing budget, they got creative. They used social media to connect directly with consumers, addressing their pain points with targeted ads like the one featuring the broken Apple cable.
The ad data helped them refine existing products and develop new ones, like sweatproof headphones and a wider range of colors.
The founders recognized that boAtheads loved sports and entertainment. So they created themed product lines like ‘Sound of the Champions™’ featuring cricket stars, ‘Glamour of the Stars™’ with Bollywood favorites like Kartik Aaryan and Kiara Advani, and ‘Soul of the Musicians™’ rocking out with Neha Kakkar, Diljit Dosanjh, and Naezy.
They even collaborated with Hardik Pandya to design custom earpods! It is all about amplifying the voices and styles of tomorrow’s trendsetters.
From Bootstrapped to Booming
After two years of bootstrapping, boAt secured funding from an investor impressed by their strong brand identity, focus on quality, and ability to identify customer needs let boAt expand its product line and continue to grow.
boAt’s sales skyrocketed year after year. They weren’t just another electronics brand; they were a lifestyle choice for the young and trendy. This success story caught the eye of investors, and soon boAt was raking in millions.
Impressive Growth and Global Recognition
By 2020, boAt was ranked the 5th largest wearable brand globally, according to IDC. boAt’s revenue has surged significantly, doubling y-o-y in FY22 reaching Rs 3,000 crore.
Fast forward to FY23, and they hit a major milestone: not only were 15 million boAt products assembled in India, but they smashed their revenue target, reaching $500 million for the first time. This impressive growth has positioned them as a major player in the global wearables market.
From Underdogs to Kings
BoAt faced a dynamic market with established players like Mivi, Skullcandy, Noise, pTron, Samsung, and Xiaomi vying for shares with other aggressive new-age startups.
While their products cater to a wide range of budgets, after-warranty service remains a hurdle. BoAt doesn’t offer repairs or replacements beyond the warranty period, even for customers willing to pay.
boAt Riding the Wave
With a market share of 30.6% in the audio wearable segment in 2023, Aman Gupta’s boAt continues to dominate the Indian market. The company has roped in Bollywood Actor, Ranveer Singh as its brand ambassador and investor.
While an IPO planned for 2022 was put on hold due to market shifts, boAt is still going strong. They’ve expanded their product line up adding exciting new categories like personal care and smartwatches.
Their acquisition of KaHa has been a game-changer, particularly in the smartwatch segment, with KaHa consistently rolling out innovative features.
Beyond the Waves
Undeterred, boAt is taking a step-by-step approach to something big. They’ve just started manufacturing simpler products, like chargers, right here in India.
It might seem like a small first step, but it represents a giant leap forward in their commitment to domestic manufacturing.
With each new product made locally, boAt inspiresis inspiring a wave of others to set sail on their own domestic manufacturing journeys.
I’m Archana R. Chettiar, an experienced content creator with
an affinity for writing on personal finance and other financial content. I
love to write on equity investing, retirement, managing money, and more.
