LONDON — Online mattress and bedding startup Casper doubled sales
to $200 million (£154.5 million) last year and is on track to
double sales again this year.
Casper’s European MD Constantin Eis told Business Insider on a
call this week that, while the company is not explicitly
targeting sales of $400 million (£308.8 million) this year,
current internal projections based on sales so far this year
suggest the fast-growing startup could double sales once again in
Casper, founded in 2013, famously made $1 million (£770,000) in
revenue in just its first 28 days. The startup had $100 million
(£77.2 million) in sales in its first full-year of operation and
doubled that to $200 million (£154.5 million) last year.
The New York-headquartered business is trying to bring the
bedding market into the e-commerce age by selling its custom-made
mattresses, pillows, and sheets online. A mattress costs £350 in
the UK, while a pillow is £60.
Casper compresses its mattresses into easier to ship boxes and
offers customers the ability to return a mattress after sleeping
on it for 100 days if they are not happy with it. This sets it
apart from traditional retailers who won’t accept bed returns.
Casper’s fast-growth has attracted interest from a range of
high-profile and unusual investors. The company raised $55
million (£42.4 million) in 2015 from a range of backers including
Leonardo DiCaprio, Tobey Maguire, Maroon 5 singer Adam Levine,
and Justin Bieber’s manager Scooter Braun.
Eis, who joined Casper last year, told Business Insider he
couldn’t speak for Casper’s high-profile backers but said he
thinks they were attracted by the company’s fast growth and the
improvement it brought to the experience of buying a new
Eis wouldn’t comment on whether Casper has plans to raise more
money and also wouldn’t be drawn on how much of the $55 million
the company still has in the bank.
Casper launched in the UK last August and Eis told BI that sales
here have been strong. The UK and Germany are Casper’s biggest
markets outside of the US and are a “significant” part of the
business, according to Eis.
While Casper pioneered online mattress selling, it is now one of
a number of online-focused mattress retailers competing for
buyers. Its highest-profile rivals in the UK are Eve Sleep,
which is currently considering a £200 million stock market
listing in London, and Simba.
Casper, Eve, and Simba’s products all look remarkably similar
when compared online. Why should someone choose Casper over its
Eis pointed to
a review in the Independent newspaper, naming Casper its top
pick in the UK. (BI
was also impressed by the product when it first launched).
Eis added that Casper has 25 expert designers in San Francisco
dedicated to making the best product.
Eis said he doesn’t think it’s a “winner takes all” market as the
mattress industry is so large. He added that Casper and its
rivals are really competing with traditional bed retailers, not
with each other.