Kids
Shoe Brand
Season 3 Episode 6
| Brand | Aretto |
| Company Name | Satyajit Mittal |
| Founders | Sanosyzo Private Limited |
| Original Ask | 80 lakhs for 1% equity at the valuation of Rs. 80 crores |
| Deal | No Deal |
About the Product
Aretto Leaps, the go-to footwear solution for growing kids in India, ensures a combination of safety and style with its Anti-Skid & Enhanced Grip feature. Discover the best deals on kids’ footwear, offering a remarkable 3X Growth for parents looking to buy children’s shoes online in India. Aretto Leaps prioritizes sustainability by using materials that are eco-friendly, making them the top choice for those seeking sports-style shoes for kids.
Featuring Easy in-Easy out pull straps, these shoes are not just about practicality but also boast being the best toddler fashionable shoes in India. Breathable fabric ensures comfort, making these expandable and sustainable kids’ shoes in India lightweight and ideal for all-day wear. For parents looking to buy kids’ shoes at the best price, Aretto Leaps offers All Round Protection, ensuring the shoes grow with your child in India. They are highly durable, with the Aretto Fit being a unique feature broken down into 6 individual series, providing a perfect fit that’s neither too tight nor too loose expanding up to 3 sizes organically through Organic Adaptive Growth.
The Optimum Sole Thickness and Wide Toe Room contribute not only to comfort but also aid in cognitive development. Aretto Leaps truly stands out, offering a comprehensive solution for parents seeking the best in kids’ footwear in India.
Founders & their story
- Satyajit Mittal
Satyajit, a 31-year-old entrepreneur hailing from Pune, is the visionary founder and CEO of Aretto, a groundbreaking footwear company dedicated to addressing the unique challenge of rapidly growing kids’ feet aged 1-10. Recognizing the critical need for perfectly fitted shoes for this demographic, Satyajit embarked on a mission to revolutionize the industry.
Backed by two years of rigorous research and countless foot trials, Aretto introduces the world’s first brand featuring patented technology that organically grows up to three sizes with the natural progression of a child’s feet, eliminating the need for manual intervention. This innovation is made possible through the Super Grooves technology, which dynamically expands with the size of the feet. The shoes boast InfiKnit fabric, a cutting-edge 3D knitted material that offers exceptional stretchability and durability. Complementing this, the Squishy Foam technology provides optimal support for growing feet. With over 20,000 shoes sold in the past 11 months and a repeat rate of 8%, Aretto has already made a significant impact in the market.
Aretto’s exclusive brand outlet in Pune stands as a testament to its disruptive influence in the footwear industry. Satyajit, having founded the company in 2000, has accumulated multiple international design awards, showcasing his commitment to excellence in product innovation. The product line is thoughtfully designed with different sizing mechanisms, where sizes S0, S1, and S2 are equipped with Velcro for easy adjustment, while S5, S6, and S7 feature laces, empowering kids to tailor the fit according to their comfort. With 110 crores (1.1 billion) kids aged 1-10 worldwide, Aretto’s innovative approach not only addresses a pressing need but also ensures that children around the globe step into a future where footwear adapts seamlessly to their growth.
About the company:
Aretto stands as a prominent kids-focused footwear brand, deeply rooted in technological advancements, top-notch quality, and unparalleled comfort. As a proudly ‘Made In India’ label, they are poised to revolutionize the market with their distinctive offerings. At Aretto, the foundation is laid upon enduring values that nurture the inner child and drive the creation of intuitive solutions tailored for their young audience. The driving force behind their success is a collaborative work environment, fostering continuous learning, growth, and an enjoyable work atmosphere. The team is committed to delivering maximum value to consumers, actively assembling a group of dedicated, enthusiastic, and industrious individuals.
Extensive research, trials, and engagement with mothers through focus groups have fuelled a culture of innovation, leading to the creation of their flagship shoe – Aretto LEAPS. These shoes seamlessly blend aesthetic appeal with functional superiority and a commitment to sustainability at their core. Their profound passion for children’s growth fuels their commitment to technology development, particularly evident in the challenging task of crafting shoes that grow alongside kids. The pursuit of this technological breakthrough not only posed challenges but also stirred their hearts, prompting them to relentlessly pursue this innovative endeavour.
Revenue:
As of November 23, the company has achieved sales totalling 60 lakhs, with a corresponding burn or loss of 11 lakhs on the same date. Notably, there are no outstanding loans, and the inventory stands at approximately 50 lakhs. The average order value is 2,000 rupees. The sales distribution reveals that 50% of revenue is generated through the company’s own website, while 30% comes from physical store sales. The remaining 20% is derived from events and various online marketplaces. The gross margin is commendable at 57%.
In terms of financial management, the monthly outlet expenses are maintained at 3 lakhs. Looking ahead, there is a positive outlook for the fiscal year 2023-24, with a projected Annual Recurring Revenue (ARR) of 10 crores.
Founders’ Ask
80 lakhs for 1% equity at the valuation of Rs. 80 crores.
No Deal
Reasons for no deal:
Aman: Doubts linger regarding the founder’s credibility.
Piyush: The founder’s authenticity is questionable.
Namita: Children are indifferent to the longevity of shoes; it’s the parents who make the decisions. Additionally, there is a limitation in the ability to scale.
Vineeta: The pricing structure lacks coherence, resulting in an unjustifiably high production cost.
Anupam: The founder’s authenticity is questionable as he failed to provide clear cut answers.
No Deal