It was 2013 and pop culture had been gaining momentum in India; teenagers had their chamber of secrets (just like Harry Potter did) and millennials were mimicking Chandler Bing’s one-liners from FRIENDS!
Vedang Petal was no different, but he thought to himself – ‘how fun would it be to wear t-shirts with pop culture references?’
The light-bulb sparked brighter than Tony Stark’s arc reactor. With Aditya Sharma, Rohin Samtaney and Harsh Lal, he launched The Souled Store.
Cut to today, The Souled Store is thriving!
🔥 INR 1300 Cr Valuation
🔥 INR 236 Cr Revenue in FY23
🔥 70 L+ Lifetime Customers
🔥 2.5 L+ Online Orders Every Month
🔥 1.5 Mn+ Followers On Instagram
🔥 5 Mn+ Registered App Users
It All Started With Sheldon Cooper’s Quirks
The Souled Store was one of India’s first brands to bring in licensed merchandise. The idea was to design, manufacture, and retail a wide range of apparel products from pop-culture themes like superheroes, movies, TV shows, and cartoons.
But, it was Sheldon Cooper’s Bazinga that got the first t-shirt impression!
A Strong Foundation: Profitably Bootstrapped For The First 5 Years
The Souled Store stands tall as one of the rare pure-play D2C brands that seized a first-mover advantage and ran with it. Back in 2014, the founders invested a modest INR 20,000 to set up a dedicated website for online sales.
For the first five years, 100% of the brand’s revenue flowed through the website. They only stepped into Amazon’s marketplace and opened offline stores in 2019—proving that a strong D2C foundation builds lasting momentum.
Fast forward to today, 64% of the company’s annual revenue comes through its website and apps, with 21% from offline stores and 15% from marketplaces like Amazon and Myntra.
This is a stark contrast to most D2C brands, which often rely heavily on marketplaces and struggle to convert web traffic into direct sales.
From Superheroes to Minimalist Staples
With the solid backing of a loyal fanbase, The Souled Store has steadily expanded its horizons.
What started as a hub for quirky, fandom-driven merchandise has evolved into a lifestyle brand offering something for everyone. From bold superhero graphics to clean-cut, minimalist staples, the brand now draws over 40% of its sales from non-fandom collections.
How The Souled Store Shift Strategies In The Post-Pandemic Era
Like most D2C brands, The Souled Store also increased their marketing budget in the post pandemic era and dedicated a major chunk to influencer marketing. But after spending about INR 8 Cr+, they realised this kind of promotion did not work for their product range.
This increase in budget, coupled with high discounts, led to significant losses – to an excess of INR 26.72 Cr in FY22. However, the founders recalibrated their strategies, cutting discounts from 20% to 7%, reducing ad spend, and focusing on customer retention strategies.
Also, their collaboration with logistics partner Emiza enabled faster order processing (from 24 hours to 12 hours) and improved customer experience, especially in Tier II and III cities.
Social Media: A Game Changer
The Souled Store thrives on social media, leveraging meme culture, nostalgic references, and celebrity collaborations to stay relevant. Their creative campaigns, like recreating the Brooklyn Nine-Nine theme song, resonate with their audience.
Partnerships with Sara Ali Khan and Hardik Pandya amplify brand reach and engagement.
Retention Over Acquisition
In FY23, the company focused on reducing product return rates and improving customer retention through:
▶️ High-Quality Products: Ensuring superior quality to reduce returns to single digits
▶️ Customer Feedback: Direct calls with customers post-purchase to identify and address pain points
▶️ Optimized CAC: Customer Acquisition Cost stabilised at INR 100 per order
Offline Expansion
The decision to launch offline stores was strategic. While billboards cost upwards of INR 2 Lakh per month, retail spaces showed more promise in terms of both visibility and sales at a cost of just 1.5 times more.
From 22 stores currently, the brand plans to grow to 40 stores in 2024 and 200 in the next three years.
What’s Next For The Souled Store?
With a sharp focus on quality, innovation, and customer experience, The Souled Store is well-positioned for future growth. Plans include category expansion into sneakers and women’s wear, an aggressive offline rollout, and a potential IPO.
The Souled Store’s journey offers invaluable lessons for D2C brands: Build a loyal community, stay true to your brand, and prioritise sustainable growth.
Is your brand ready to make a splash in the D2C space?
Let’s hear your thoughts!
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