Founders & their story

• Swathi Sri Ravi K
• Ashwanth Suresh Babu

Enter the world of A Toddler Thing, where they offer a curated selection of diapering essentials, baby essentials, and baby clothing, tailored to meet the needs of modern parents. Their unique selling propositions include a diverse range of 15+ products crafted from muslin fabric, featuring sustainable blends such as bamboo and aloe vera. You can find their products conveniently available on their own website, Amazon, Firstcry, and in over 100 offline stores, ensuring accessibility to a wide customer base of over 2 lakhs and counting. Their pricing strategy, set at 2.75X to 3.25X of cost of goods sold (COGS), reflects their commitment to delivering quality products at competitive prices.

With an impressive average rating of 4 and over 600 reviews, A Toddler Thing has garnered a loyal following. Their website metrics reveal an average order value of Rs 1400, with a customer acquisition cost of Rs 500. With a return on investment ranging from 3X to 3.5X, A Toddler Thing has established a strong foothold in the market. Their direct-to-consumer growth strategies encompass community building, loyalty programs, and leveraging platforms like YouTube to engage with their audience. By bolstering their performance marketing efforts, A Toddler Thing aims to further enhance their brand visibility and reach.

With a customer repeat rate of 30% and a return rate of 5%, A Toddler Thing prioritizes customer satisfaction and retention. Their customer lifetime value stands at an impressive Rs 11000, reflecting the enduring value they bring to families across the globe.

About the company

Introducing A Toddler Thing, where individuals make your conscious parenting journey effortless, meaningful, and engaging. Since their inception in 2017, they began as a cloth diapering brand and have evolved into a thriving community of conscious parents who prioritize natural, sustainable, and safe baby essentials. Today, with a team of over 30 like-minded individuals, they are revolutionizing the industry with their dedication to baby-friendly and planet-friendly fashion, recognizing the importance of even the smallest actions. At A Toddler Thing, they maintain full control over quality and safety by overseeing the design and manufacturing processes of all their products in-house. With a dedicated team of over 50 hardworking individuals, they bring you high-quality, functional, and sustainable clothing options for your little ones.

Revenue

A Toddler Thing has demonstrated remarkable growth in recent years, with annual sales reaching 4.78 crores in FY 22-23, up from 3 crores in FY 21-22 and 2.3 crores in FY 20-21. By August FY 23-24, they had already achieved sales of 3 crores. Their consistent gross margin of 65% underscores their commitment to maintaining profitability. Notably, A Toddler Thing remained profitable until FY 22-23, a testament to their sound business model and strategic management. Sales figures for specific months highlight their upward trajectory, with notable achievements in Feb 2023 (50 lakhs), Mar 2023 (75 lakhs), and Apr 2023 (73 lakhs).

Founders’ Ask

80 lakhs for 2% equity at the valuation of Rs. 40 crores.

Offers

Amit’s offer: 40 lakhs for 2% equity at the valuation of Rs. 20 crores and 40 lakhs debt at 3% royalty until 40 lakhs is recouped.

Final Deal

Amit: 40 lakhs for 2% equity at the valuation of Rs. 20 crores and 40 lakhs debt at 3% royalty until 40 lakhs is recouped.