Melorra sees revenue bouncing back to pre-COVID-19 levels; expects up to 15 pc jump in FY21

Melorra - a lightweight online fine jewellery brand - on Monday said its revenue is bouncing back to pre-COVID-19 levels and expects up to 15 per cent jump in 2020-21 from about Rs 100 crore achieved last year, on sharp revival in demand after lockdown curbs were lifted.

Melorra - a lightweight online fine jewellery brand - on Monday said its revenue is bouncing back to pre-COVID-19 levels and expects up to 15 per cent jump in 2020-21 from about Rs 100 crore achieved last year, on sharp revival in demand after lockdown curbs were lifted.       Inspite of the pandemic hampering operations in the first quarter of this fiscal, the Bengaluru-based startup has been receiving significant orders after August on its online platform for lightweight and budget jewellery that it offers mostly below Rs 50,000 range, it said.       The four-year old firm expects good sales on Dhanteras on November 13 and Diwali as the company is receiving lot of enquiries from across India, it added.       Speaking to PTI, Melorra Founder and CEO Saroja Yeramilli said: "We have grown 20 times in terms of orders from April to October of this year. We see very strong demand in Diwali."     The company had achieved a peak in its revenue in February 2020 just before the lockdown. In the current month, Melorra is hoping to bounce back to that level, she said.     "Last fiscal, we achieved a revenue of about Rs 100 crore. We will actually post 10-15 per cent growth inspite of COVID-19 curbs hampering operations in Q1. But Q2 onwards, we are seeing very good demand," she added.       Melorra CEO said the strong demand was due to two reasons. One was the security of online shopping without stepping out of home in the pandemic and preference for lightweight jewellery in lower budgets because of high gold rates.      Delhi-NCR, Mumbai and Bengalure are major markets for the company. "But we are seeing a lot of traction coming from West Bengal, Bihar, Tamil Nadu and Kerala as well," she said.       A lot of first-time buyers who never purchased online are buying on the Melorra platform. The company is adding 30-50 new towns every month, she said and observed that the spurt in demand after lockdown curbs were lifted was "eye opening".     "The financial distress that was in April-June period has reduced to a large extent. I won't say it has gone completely but things are definitely bouncing back strongly," Yeramilli said.     Some companies are giving hikes and reversing salary cuts and have started hiring in a big way, she said, adding that Melorra too has reversed the salary cuts and is hiring people.     Even jewellery brands like Tanishq have posted good sales. People are spending "selectively" on jewellery along with consumer goods and electronics, she said.     Yeramilli said the company is attracting more consumers because it delivers to every single pincode in India with cash on delivery facility, offers quality certificates for gold (18,22 and 24 carat) and diamonds besides the return and life time exchange policy.     "All this has ensured that consumers from small towns buy from us. Over 50 per cent orders are coming from tier 3 and 4 cities and rural towns. The orders from small towns have rapidly risen after unlocking of COVID-19 curbs," she said.     Since inception, Melorra has raised USD 35 million, of which USD 12.5 million was raised in September. Much of the funds is being used for technology innovation, hiring people and brand marketing efforts.     The company, which was promoting its brand awareness through digital channels, recently launched its first TV campaign with actress Shraddha Kapoor as brand ambassador.