Sleep solutions transition: From unorganised functionality to high-tech innovations

From a purely functional product in an unorganized industry to high-tech sophisticated wellness offering – the humble mattress has undergone a revolutionary change. The industry now prefers to call itself sleep solutions providers and has a mindboggling array of products to offer the prefect sleep. A mix of technology, medicinal value, design & aesthetics, and newer materials, backed by innovation, customization and a customer-centric approach is propelling the sleep solutions industry to newer heights.

Heavy investment in celebrity brand endorsers are also seen to create more awareness, brand salience and credibility, as well as greater brand recall.

The growth trajectory

The sleep solutions industry in India is witnessing a robust growth, with the market size estimated at $2.13 billion in 2024, which is projected to soar to $3.21 billion by 2029, growing at a CAGR of 8.54% during the forecast period, as per industry reports. This growth is not only reflected in terms of revenue, but also in consumer preferences, as indicated by the increasing demand for orthopedic mattresses, driven by a heightened awareness of the importance of quality sleep and spinal health.

Ankit Garg, CEO and Co-founder, Wakefit.co, observed, “Reflecting on the past seven to eight years, the mattress industry has encountered numerous advancements. Prior to 2015, the industry was faced with many challenges, including inefficiencies, inflated prices, and limited consumer choices. However, the introduction of new-age players has disrupted the business model of companies, leading to an increase in the number of mattress brands over the past few years.”

From unorganized chaos to high-tech transition

“The mattress sector in India has undergone a remarkable transformation over the past decade, transitioning from a highly unorganized market to one with a plethora of brands,” said Priyanka Salot, Co-founder, The Sleep Company (TSC). She further added, “According to research, the India mattress market is estimated to be worth $2.13 billion in 2024 and will grow at a CAGR of 8.54% between 2024 and 2029. This evolution is largely driven by increasing consumer awareness about the importance of sleep quality and its impact on overall health.”

“I would say that the mattress industry is witnessing the same phenomenon that the paints industry had witnessed in the late 90s. A mattress is no longer seen as just a surface to sleep on; it now has an emotional value. It is seen as something that can aid recovery and good health. The consumers are now no longer shying away from spending more for a quality mattress with good features,” noted Sridhar Balakrishnan, CEO, Duroflex Group.

Charting the growth story

The growth of the Indian mattress market is being driven by an increase in income levels, a rise in health consciousness, and expansion in the real estate and hospitality sectors. Today, consumers are increasingly interested in the comfort and function of mattresses which has resulted in a noticeable shift from their perspective.

According to Balakrishnan, there are multiple factors that have led to the growth of the sleep solutions industry. Talking of the macroeconomic factors, India is all set to become the third largest economy in the world by 2027. This surge has been further fuelled by the pandemic, which has brought a renewed focus on health and the importance of good sleep. Consumers are now willing to spend that extra rupee on a product that aids a healthy lifestyle, one of them being a good quality mattress. The recent real estate boom in the country has also contributed significantly to the growth of this industry.

Sharing some insights from Mordor Intelligence, Garg said that data indicates that increasing consumer income levels have encouraged people to invest in quality products across verticals. Secondly, the growing awareness about the importance of sleep and its impact on overall well-being has driven increased consumer interest in comfortable and supportive mattresses. “Today, consumers see mattresses as more than just commodities; they view them as essential for a better quality of life. Additionally, advancements in technology and materials have enabled more players to enter the market, offering innovative solutions tailored to different sleep preferences and needs. Newer brands have also fielded an efficient and more optimal model, eliminating middlemen, optimizing costs, and opening up access to quality products at an affordable price,” he added.

Dev Sarkar, Senior VP (B2C), Godrej Interio, noted, “The emergence of numerous mattress brands can be attributed to a combination of societal trends, changing consumer preferences, technological advancements, and the growing importance of holistic well-being. The HomeScapes study commissioned by Godrej Interio revealed that for one in every three respondents (33%), their home serves as a sanctuary – a haven for withdrawal, ‘me-time’, sleep, meditation, self-care, and balcony garden moments. As individuals continue to prioritize self-care and quality sleep, the mattress industry is poised for further growth and innovation.”

The Sleep Company’s Salot pointed out, “The rise of e-commerce platforms and D2C models has transformed the industry. By bypassing traditional retail channels, brands can engage with customers more directly, giving them more control over pricing, distribution, and customer experience. Also, market fragmentation makes niche targeting easier, allowing brands to cater to specific demographics or preferences. This market diversity encourages innovation and competition, prompting brands to differentiate themselves through aesthetics, advertising, and customer service.”

The smart mattresses proposition

Revolutionizing this industry, smart mattresses are igniting a dynamic market landscape. This surge is predominantly fueled by a wave of product innovation, driven by technological leaps. Today’s mattresses are not mere sleeping platforms; they are equipped with sensors and AI-powered functionalities that appeal to the tech-savvy younger demographic.

Among the groundbreaking innovations, adjustable mattresses have taken center stage, boasting features like customizable firmness levels and remote control accessibility. Sharing the success of his 60-year old brand, Duroflex, Sridhar Balakrishnan said, “We are well-known for research-back innovative sleep solutions. Our signature Duropedic Range is something we are really proud of. It touts a unique 5 Zone Dual Density Layer that provides an advanced differentiated support to each zone of the body. This technology has been tested and recommended by the experts at National Health Academy.”

Sharing her views on smart technology, Priyanka Salot said, “TSC distinguishes itself through its relentless focus on innovation and customer-centricity. Our flagship patented SmartGRID mattress, backed by cutting-edge technology developed in partnership with an ex-DRDO scientist, sets us apart.”

Similarly, Dev Sarkar from Godrej Interio emphasizes on the brand’s unwavering dedication to holistic wellbeing, showcased through a spectrum of innovative offerings. The Air Sense mattress, featuring a removable and washable 3D Silver Mesh top for optimal breathability and temperature regulation, epitomizes their commitment to enhancing sleep quality. Moreover, their patented Posture Support Mattress, adorned with Pressure Neutralising Zones, delivers versatile support tailored to individual body weights, ensuring a rejuvenating sleep experience for every user.

The celebrity factor

Several mattress companies have roped in celebrity brand ambassadors to amplify their brand presence. Leveraging celebrity endorsements not only boosts brand recognition, but also grabs consumers’ attention and piques their interest.

Godrej Interio’s Dev Sarkar explained, “Celebrity endorsements in the mattress industry have become prevalent due to several factors. Celebrities wield significant influence over consumer purchasing behaviour, leveraging their popularity and perceived expertise to sway perceptions and preferences. Mattresses being personal products affecting well-being prompt consumers to seek validation from trusted figures, enhancing trust and reliability in endorsed products. Celebrity campaigns aid brands in standing out amidst competition, fostering emotional connections with consumers and building brand loyalty. Additionally, such endorsements facilitate reaching diverse audiences, expanding brand visibility and market penetration.”

“I wouldn’t say that the industry has completely done away with the conventional advertising approaches – in fact, the players still continue to invest on traditional mediums to maintain recall,” said Balakrishnan. At the same time, he added that however, the celebrity endorsements have rendered a facelift to the category that was earlier considered boring or something to be taken seriously only after you are a certain age. “The right voice helps emphasize the importance of good sleep solutions for a good night’s sleep regardless of the age group one falls in. Our objective with our brand ambassador, Virat Kohli, was the same. He is well known for his healthy lifestyle which he follows very stringently. A credible voice helps send across the message of good sleep for good health in a very organic manner,” he maintained. 

“Firstly, celebrities bring credibility and trust to the brand, easing consumer concerns. Secondly, celebrities add glamour and excitement to advertising campaigns. Last, but not the least, celebrity endorsements offer a personalized and relatable approach, creating an emotional connect with the consumers,” remarked Priyanka Salot.

Additionally, beyond the factors outlined, the prevalence of celebrity endorsements in the mattress industry is also driven by the universal importance of sleep. Regardless of one’s celebrity status, quality sleep is crucial for maintaining a healthy lifestyle. Celebrities, often admired for their fitness and healthy lifestyle choices, serve as reliable influencers whom people trust to prioritize their personal health. By associating with them, mattress brands effectively communicate that investing in a good mattress is essential for overall well-being.

Ankit Garg of Wakefit.co pointed out, “Celebrity endorsements are prevalent not just in the mattress industry, but in most other industries, due to their ability to enhance brand visibility and credibility. Mattress brands opt for celebrity campaigns to help convey specific brand messages and values effectively, and create resonance with a wider audience across the country.” 

Wakefit.co’s choice of Ayushmann Khurrana as its brand ambassador exemplifies this strategy. Ayushmann, who is known for his down-to-earth persona and unconventional roles, parallels Wakefit.co’s growth journey, both championing originality and quality, resonating with consumers seeking authenticity in sleep and home solution. 

The marketing mantras

With their ardent belief that quality and adequate sleep is invariably related to good health, improved wellness and enhanced productivity, the mattress brands have fortified their marketing strategies. The Sleep Company has implemented a multifaceted marketing approach, tailored to high-intent category buyers. Salot elaborated, “The bulk of our marketing budget is allocated to performance marketing, targeting consumers more effectively. To boost brand awareness in micro-markets, we utilize local print publications strategically. Recently, we’ve embarked on TV campaigns through Telugu media to enhance brand recall and reach a broader audience. Throughout these initiatives, we maintain a stringent focus on ROI tracking, ensuring that every marketing rupee spent yields tangible results.”

Ankit Garg shared, “Our marketing strategy stems from the business focus on customer-centricity. Our key objective aims to understand customer pain points and gaps in the sleep and home solutions market and to then create awareness by taking an educational stance of ‘The More You Know; The Better You Sleep’. Historically, we’ve allocated a larger portion of our marketing budget to digital and social media channels, as a significant part of our revenue would come from online sales. However, as we are expanding and evolving into an omnichannel brand, our marketing approach is also shifting. We’re increasingly diversifying our marketing channels to ensure we're reaching consumers across multiple touchpoints.”

While stating that Godrej Interio is targeting Rs 170 crore growth with a 20% CAGR over the next three years, Dev Sarkar said, “Our communication strategy is aimed towards positioning the brand that is designed for the modern Indian family and enabling their lives through our products and services. Our advertising budget has been split across digital channels like YouTube, OTT and Social Media platforms, including influencer engagements as well as traditional channels like Print, Radio, Outdoor advertising, etc. Our biggest spending period is during festive campaigns, but throughout the year, we ensure to have consistent media investments across platforms.”

The rise of organized players in the mattress industry represents a paradigm shift that is reshaping the way mattresses are manufactured, marketed, and sold. By prioritizing innovation, efficiency, and customer-centricity, these companies are challenging the status quo and driving positive change across the industry.