IPO-bound FirstCry planning to ramp up operations in global markets
What's the story
FirstCry, India's premier multi-channel retail platform for newborns, kids, and mothers, has unveiled plans to extend its operations globally.
As part of its preparation for an Initial Public Offering (IPO), the company aims to establish new modern stores and warehouses in Saudi Arabia.
To support this expansion, FirstCry has allocated ₹155.6 crore toward its overseas growth strategy.
Information
Funds for new stores and warehouses
FirstCry has earmarked ₹72.6 crore for the establishment of 12 new modern stores in Saudi Arabia. Additionally, ₹83 crore will be utilized to set up new warehouses in Riyadh, Jeddah, and Dammam.
Market dominance
FirstCry's successful expansion
FirstCry first ventured into international markets in the United Arab Emirates (UAE) in 2019, followed by Saudi Arabia in 2022.
By the end of 2022, it had become the largest retail platform for babies and mothers in both regions based on gross merchandise value (GMV).
The company then shifted its focus to Saudi, quickly expanding to become the largest such platform of its kind in the region.
Business model
Multi-channel retail strategy and product range
FirstCry caters to customer requirements via various channels including an online platform, modern stores, and general trade retail distribution in India.
In the UAE and Saudi markets, it primarily operates through online platforms.
As of December 31, 2023, FirstCry's platform offers a wide range of stock-keeping units from over 7,500 brands across India, UAE, and Saudi Arabia.
These brands include third-party Indian as well as global brands.
Logistics network
FirstCry's logistics and delivery services in UAE and Saudi
FirstCry operates its own warehousing and logistics facilities in the UAE and Saudi Arabia to ensure efficient delivery services.
The company manages its entire last-mile delivery in the UAE in-house, with most deliveries being made on the same day or the next day.
In Saudi, a majority of shipments are managed and delivered through their own logistics network, including 'Vrooom Delivery' services for selected products through the online platform.
Digital reach
Mobile application and international customer base
FirstCry Arabia's mobile application has seen significant growth, with over 3.6 million downloads by December 31, 2023.
The company has developed a unified app for English and Arabic, allowing parents to select their country and language of preference to place orders.
FirstCry has reported having 0.41 million 'annual unique transacting customers' in international markets.