In a strategic move to expand its portfolio, digital marketing startup WLDD acquires a majority stake in Mumbai-based D2C sneaker brand 7-10. This acquisition follows WLDD’s recent acquisition of ScoopWhoop from The Good Glamm Group, indicating the company’s growing ambitions to transform into a new-age media tech giant. The Bengaluru-based startup has picked up over 70% stake in 7-10 in an all-cash deal, making the sneaker brand its subsidiary.
7-10, founded by Shibani Bhagat in 2021, positions itself as a 100% homegrown sneaker brand catering to both men and women. Known for its customized sneakers and trendy designs, the brand is carving a niche in India’s growing sneaker market. On the other hand, WLDD, founded in 2018 by Arihant Jain, Jaidev Kesti, and Vivekanand Kilari, has gained recognition for its expertise in meme marketing, short-form video content, and influencer marketing. With over 120 brands served and more than 1,000 social media campaigns executed, WLDD boasts a thriving community of over 10,000 creators.
According to co-founder and CEO Jain, this acquisition aligns with WLDD’s broader vision of becoming a full-fledged media tech platform. As WLDD acquires Sneaker Brand. The company plans to acquire four more brands in the media. Tech domain to enhance its service offerings and better cater to emerging brands. WLDD is expected to cross the $10 million revenue mark in FY25, while ScoopWhoop alone is anticipated to generate INR 20 crore in revenue by FY26.
1. WLDD’s Working and Revenue Model
WLDD, short for Wubba Lubba Dub Dub, operates as a digital marketing platform that helps brands elevate their social media presence. Leveraging meme marketing, short-form video content, and influencer collaborations, WLDD helps brands create viral content that resonates with their target audience.
1.1 Revenue Model
WLDD generates revenue through multiple streams:
- Brand Collaborations: WLDD partners with brands for meme-based promotions, short-form video advertisements, and influencer-driven campaigns.
- Subscription Models: It offers subscription plans to brands, giving them access to WLDD’s extensive creator network and marketing strategies.
- Content Licensing: WLDD monetizes its viral content by licensing it to brands for wider distribution.
1.2 Funding and Financial Background
Since its inception in 2018, WLDD has witnessed rapid growth, fueled by its innovative approach to digital marketing. The company has received funding from prominent venture capitalists and angel investors in the Indian startup ecosystem. The recent acquisitions, including ScoopWhoop and 7-10, mark WLDD’s strategic effort to diversify its portfolio and increase its revenue channels.
2. Overview of 7-10: A Rising D2C Sneaker Brand
2.1 Origin and Founder’s Vision
Founded in 2021 by Shibani Bhagat, 7-10 emerged as a response to India’s rising demand for stylish yet affordable sneakers. Bhagat’s vision was to create a homegrown brand that resonates with India’s youth while offering customization options to make each pair unique.
2.2 Unique Value Proposition
7-10 differentiates itself by offering:
- Customization Options: Consumers can personalize their sneakers with unique designs and patterns.
- Sustainable Manufacturing: The brand uses eco-friendly materials, aligning with growing consumer preferences for sustainability.
- Affordable Luxury: 7-10 offers premium designs at competitive prices, making high-quality sneakers accessible to a broader audience.
3. Rationale Behind the Acquisition of 7-10
3.1 Strategic Vision
Commenting on the acquisition, Arihant Jain, CEO of WLDD, mentioned that acquiring 7-10 is part of their plan to better understand the nuances of running a D2C brand. This hands-on experience of WLDD that acquires Sneaker Brand will enable WLDD to offer more effective marketing solutions to its D2C clients.
3.2 Strengthening WLDD’s Portfolio
With the addition of 7-10, WLDD is not just expanding its service offerings but also gaining insights into the D2C sector. This knowledge will empower WLDD to offer comprehensive growth solutions to emerging D2C brands, positioning itself as a one-stop platform for media, marketing, and technology services.
4. Indian Sneaker Market: A Growing Opportunity
4.1 Market Insights and Trends
India’s sneaker market is witnessing rapid growth, driven by changing consumer preferences and the rise of streetwear culture. According to a report by Statista, India’s sneaker market is expected to generate a revenue of $3.1 billion by 2025.
4.2 Emerging Competitors
In addition to established players like Campus, Bata, and Liberty, several D2C startups such as Comet, Neeman’s, Yoho, and Solethreads are vying for a share of this booming market. WLDD’s acquisition of 7-10 positions the company to capitalize on this upward trend and gain a competitive edge.
5. WLDD’s Future Growth Strategy
5.1 Transforming into a Media Tech Giant
WLDD’s broader vision is to become a new-age media tech company. The company aims to acquire four more brands in the media and tech space, with one acquisition already in the due diligence phase.
5.2 Enhancing Service Offerings
By integrating multiple brands under its umbrella, WLDD aims to expand its capabilities and offer end-to-end solutions that encompass digital marketing, media management, and technology-driven growth strategies.
6. Impact of Recent Acquisitions on WLDD’s Growth
6.1 ScoopWhoop Acquisition
Last month, WLDD acquired ScoopWhoop, a leading digital media platform, from The Good Glamm Group. The acquisition is expected to generate INR 20 crore in revenue by FY26, contributing significantly to WLDD’s growth trajectory.
6.2 Potential Revenue Surge
With the acquisition of 7-10 and the anticipated addition of four more brands, WLDD is poised to surpass the $10 million revenue milestone in FY25.
7. Learning for Startups and Entrepreneurs
7.1 Diversify Offerings to Boost Growth
WLDD’s acquisition strategy demonstrates the importance of diversifying offerings to scale operations. Startups should explore complementary verticals to enhance their value proposition.
7.2 Leverage Industry Expertise to Strengthen Portfolio
By acquiring 7-10, WLDD gains valuable insights into running a D2C brand, which will help it serve its clients better. Entrepreneurs should leverage industry expertise through strategic acquisitions to strengthen their market position.
7.3 Focus on Long-Term Vision
WLDD’s consistent focus on becoming a media tech powerhouse highlights the importance of having a long-term vision. Startups should align their acquisition and growth strategies with their broader goals.
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