Unlocking Affordable Luxury: The Designcafe Story

FDT Bureau

An exclusive interaction with Mr Shezaan Bhojani, Co-Founder, DesignCafe
Founded in 2016 by Mr. Shezaan Bhojani and Mrs. Gita Ramanan, DesignCafe has become a trailblazer in redefining luxury for the middle-class populace. With a journey that began in 2006, Mr. Bhojani’s early experiences paved the way for the company’s evolution into a tech-driven solution provider, addressing the unmet needs of the Indian market. Through 15 Experience Centers nationwide, DesignCafe has cemented its reputation for 100% personalized Interiors and premium materials, setting new standards in customer satisfaction. In this exclusive interaction with Mr Pragat Dvivedi, Editor, FURNITURE DESIGN & TECHNOLOGY (FDT), Mr Shezaan Bhojani spoke about DesignCafe’s unconventional growth stories and their commitment to excellence in interior design.

WHEN DID YOU START YOUR CAREER?
Shezaan Bhojani - I started my career precisely in 2006. However, as far back as 2002, I was already working in furniture sales while still in college. I spent four years there, learning how to sell to customers and understanding what was missing in the furniture market. When my co-founder Gita and I graduated in 2006, I couldn’t afford to take a job, so we started our own firm after winning a competition. Initially, we focused on interiors and later expanded to hotels and restaurants across India. Meanwhile, Gita also went to ISB for further studies thanks to Goldman Sachs’ 10,000 Women Ambassadors Programme, and I pursued my MBA at Columbia University. In 2014 or 2015, we noticed a change in the market. We realized that middle-class Indians didn’t have access to good designs for their homes. They had to rely on the unorganized sector, which lacked professionalism. We saw an opportunity to improve the customer experience by offering affordable, high-quality design services.

TELL US ABOUT HOW DESIGNCAFE WORKS?
Shezaan Bhojani - DesignCafe offers a range of interior design services for homes. We use technology to streamline the design process and provide affordable pricing without compromising on quality. Our goal is to make good design accessible to everyone, regardless of their budget. We also collaborate with designers and architects to bring innovative ideas to life

THERE IS A CHALLENGE OF AFFORDABILITY IN THE INDIAN MARKET. CAN YOU ELABORATE ON HOW YOU ADDRESSED THIS ISSUE WITH DESIGNCAFE?
Shezaan Bhojani – When we started DesignCafe as interior designers, I felt that people weren’t willing to pay enough for good design. However, when I considered the broader Indian market, it became clear that most people just couldn’t afford to pay premium prices. We identified this as a larger market opportunity and decided to create a standardized, techdriven platform to make design more accessible. We believe that by combining services and leveraging technology, we could reduce costs for customers without compromising on quality. We saw the industry reaching a tipping point, and we wanted to be part of that change. Hence, we founded DesignCafe with the vision of offering affordable design solutions to everyone.



CAN YOU TELL US MORE ABOUT THE EARLY DAYS OF DESIGNCAFE? HOW DID YOU INTEGRATE TECHNOLOGY INTO YOUR BUSINESS MODEL?
Shezaan Bhojani - In the early days, we didn’t have a physical store. We operated primarily online from our office. We used technology to streamline the design process, making it easier for customers to visualize spaces and for designers to collaborate effectively. For example, in 2016, we developed a machine-driven engine for designing kitchens, which was quite innovative at the time. Initially, some customers were hesitant to use technology, so we found other ways to leverage tech to improve efficiency and the overall customer experience. We didn’t have our own factory at the beginning, so we sourced from modular factories to fulfill orders. It was a learning process, but we were fortunate to receive angel funding early on, which helped us scale up and refine our business model.

CAN YOU SHARE ABOUT THAT PIVOTAL MOMENT WHEN YOU OPENED YOUR FIRST PHYSICAL STORE?
Shezaan Bhojani - Opening our first store in 2017 was definitely a significant milestone for us. We recognized the importance of having a strong team in place, especially at the store level. So, I reached out to Ganesh, an experienced contractor, and asked him to join us as the store manager. Despite initial hesitations, he came on board and has been an integral part of our team ever since, now serving as the Assistant Vice President for Backend Operations. As for when I felt DesignCafe was stable, well, that’s a tough question. In the startup world, stability is always relative. Personally, I believe that maintaining a certain level of discomfort or fear of failure is essential for driving progress. Even after achieving milestones like opening our second store, I still don’t consider us completely stable. However, the opening of our second store, particularly at such an iconic location in Bangalore, was indeed a proud moment. The building, formerly a British Library, holds historical significance. Convincing the property owners to rent the space was a challenge. But when we finally opened, it felt like a significant achievement. The design elements of the store have an evergreen quality, with some updates here and there, but overall, it’s been a symbol of our journey since 2016.

HOW MANY STORES DO YOU HAVE NOW PAN-INDIA?
Shezaan Bhojani - We currently have 15 DesignCafe Experience Centers across India. Additionally, we have two companyowned and operated Qarpentri stores and nine shop-in-shop Qarpentri stores.

HOW MANY FACTORIES DO YOU OPERATE?
Shezaan Bhojani - We have two factories, both located in Bangalore. They are adjacent to each other, enabling streamlined operations.

COULD YOU EXPLAIN YOUR TURNKEY APPROACH?
Shezaan Bhojani - We take a raw flat provided by the builder and transform it into a fully finished living space.

DO YOU WORK DIRECTLY WITH BUILDERS OR ONLY WITH END CONSUMERS?
Shezaan Bhojani - We primarily engage with end consumers. While a few builders include kitchens in their homes and collaborate with us, the majority of our projects come directly from consumers.

WHAT’S THE AVERAGE TICKET SIZE FOR YOUR PROJECTS?
Shezaan Bhojani - We operate two brands. Under DesignCafe, the average order value is around 9 to 10 lakh Rupees for a 2 to 3 BHK. Our more affordable brand, Qarpentri, offers kitchens starting from 65,000 Rupees, including taxes, and a complete 2 BHK package for approximately 2 lakh Rupees, including taxes.

WHAT DOES YOUR 2 BHK PACKAGE INCLUDE?
Shezaan Bhojani - It includes two wardrobes, a loft, a TV unit, a bathroom vanity, and a kitchen, all manufactured in-house at our factories and shipped to the site.

WHAT MATERIALS DO YOU USE FOR YOUR PRODUCTS?
Shezaan Bhojani - For DesignCafe, we use plywood for the carcass and highdensity high-moisture resistance (HDHMR) for shutters. We believe plywood is more suitable for Indian conditions, and HDHMR offers a smoother finish compared to plywood.

HOW DID YOU ACHIEVE 93% ON TIME DELIVERY RATE?
Shezaan Bhojani - Our ability to maintain a high on-time delivery rate is attributed to our integration of technology and our own manufacturing facilities. With control over the entire process from design to delivery, we ensure efficient production schedules and minimize delays.

YOU MENTIONED HAVING A VERY HIGH NET PROMOTER SCORE (NPS). HOW DID YOU ACHIEVE THIS?
Shezaan Bhojani - Our NPS is indeed very high. In fact, for Qarpentri, it stands at an impressive 81%, which is even higher than Apple’s NPS. Even for DesignCafe, with an NPS of 55%, it reflects a significant improvement from previous years, indicating that our efforts to enhance customer satisfaction are paying off.The NPS is a metric used globally by brands to measure customer satisfaction and loyalty. We achieved this by consistently delivering exceptional quality and service. The NPS is based on a single question asked to customers: “How likely are you to recommend either Apple or DesignCafe to your friends and family on a scale of 1 to 10?” Customers who rate us 9 or 10 out of 10 are considered promoters, while those who rate us lower are detractors. Our focus on meeting and exceeding customer expectations has led to such remarkable scores.



WHAT IS THE DIFFERENCE BETWEEN DESIGNCAFE AND QARPENTRI?
Shezaan Bhojani - Qarpentri is our more affordable brand, offering kitchens starting at just 65,000 INR. It’s designed for people with rental flats or those buying their first homes who might otherwise consider options like IKEA. Unlike IKEA’s readymade solutions, Qarpentri offers made-tomeasure products with a 5-year warranty. DesignCafe, on the other hand, offers a premium experience with 10 to 20- year warranties, greater customization, personalization, and a wider range of color options. It caters to customers looking for more complex and bespoke solutions. Additionally, both brands offer services such as false ceilings, painting, basic electrical, and plumbing work. However, modular furniture accounts for 90% of our business, while services constitute the remaining 10%.

GIVEN THE CURRENT FURNITURE BUYING TRENDS IN INDIA, DO YOU THINK CONSUMERS PRIORITIZE BRANDED FURNITURE?
Shezaan Bhojani - Indian consumers are indeed value-conscious first and foremost. While they may not prioritize brands initially, they recognize and appreciate value when a brand consistently delivers it. Brands may be slightly more expensive, but consumers are willing to invest if they see long-term value. It’s a gradual process of building trust and demonstrating value.

IN THE REALM OF INTERIOR DESIGN, DO YOU BELIEVE ECOMMERCE IS THE WAY FORWARD?
Shezaan Bhojani - While eCommerce certainly has its place, especially in reaching a broader audience, to truly penetrate the heart of the market, engaging with the next set of adopters through conventional models remains essential. In some cities, we’ve observed that customers prioritize brand awareness over online presence. Approximately 80% of our business comes through organic search or performance marketing, highlighting the importance of online visibility. However, relying solely on designers wouldn’t suffice. While design is crucial, customers evaluate various factors, including product quality and price. Visiting our store allows them to experience firsthand the range and quality of our products, alongside interacting with our well-trained designers, which often seals the deal.

COULD YOU ELABORATE ON THE ROLE OF DESIGNERS IN THE PURCHASING PROCESS?
Shezaan Bhojani - Designers play a vital role as they guide customers through various parameters, conceptualize designs, and facilitate decision-making. We ensure our designers undergo comprehensive training before interacting with customers, lasting two to three weeks. This training equips them to understand Indian culture, handle contractors, and grasp design concepts effectively. While customers may explore options elsewhere, our standardized approach minimizes errors and offers a curated selection of colors and materials researched by our R&D team.

WHAT QUALITIES DO YOU SEEK IN FRANCHISE PARTNERS?
Shezaan Bhojani - Interestingly, most of our franchise partners have a background in design or related fields. They recognize the shift towards organized solutions and perceive the benefits of joining DesignCafe. We prefer franchisees with industry. knowledge, as they understand the nuances of the business. Whether they’re designers or retail owners, their understanding of the subject matter is crucial for success. Currently, around 30-40% of our outlets are company-owned, with the rest being franchises. Moving forward, we aim for a predominantly franchise-owned model to facilitate scalability. For a DesignCafe outlet, the minimum space requirement is around 2,500 square feet in metros and 1,500 to 2,000 square feet in non-metros. The average investment ranges from 35 lakhs in non-metros to 50-60 lakhs in metros. However, for the Qarpentri brand, we offer a franchise-owned, franchise-operated model with a lower investment of around 10 lakhs. We provide the necessary technology, software, and support, allowing franchisees to focus on customer engagement.



HOW DO YOU ENSURE TRANSPARENCY IN PRICING AND AVOID UNEXPECTED COST FLUCTUATIONS?
Shezaan Bhojani - Our software simplifies the process by offering instant 3D designs and built-in pricing engines. Customers receive accurate quotes on the spot, and the price remains unchanged once they finalize their orders. This eliminates uncertainties and ensures a transparent transaction process.

IN WHICH CITIES ARE YOUR STORES CURRENTLY LOCATED, AND WHICH ONE PERFORMS THE BEST?
Shezaan Bhojani - We are present in all major cities except NCR. While each store has its strengths, I’m particularly proud of our oldest store in Bangalore. Our Kolkata store, despite being recently opened, is also performing exceptionally well. Overall, we’re grateful for the success we’ve achieved across these cities.

HOW DO YOU SEE THE FUTURE OF INTERIOR DESIGN IN INDIA?
Shezaan Bhojani – I am optimistic about the future. As incomes rise and people become more designconscious, there is a growing demand for interior design services. We’re also witnessing advancements in technology that are making design more accessible and affordable. I believe that DesignCafe will continue to play a significant role in shaping the future of interior design in India.