The House Of Rare

The House Of Rare is a vertically integrated fashion conglomerate redefining premium apparel for Indian millennials and Gen Z. Operating in the ₹1.2 lakh crore Indian branded apparel market, it serves 100+ cities through three core brands: Rare Rabbit (men’s wear), Rareism (women’s wear) and Rare Ones (kid's wear).

Core Products & Services

• Rare Rabbit (Men’s Wear): Bestsellers are ₹2,499 linen shirts, ₹3,999 tailored blazers.
• Rareism (Women’s Wear): Hero Product are ₹5,999 silk-blend sarees with detachable blouses. Size-inclusive ranges (XXS–4XL).
• Rare Ones (Kid's Wear): Pricing ₹799–₹1,999 for school/party wear. Sustainability 100% organic cotton lines.

Unique Value Proposition

• Vertical Integration: Controls design, manufacturing (via parent Radhamani Textiles) and retail, enabling 35–40% gross margins.

• Cultural Fusion: Blends Western silhouettes with Indian aesthetics (e.g., kurta-inspired shirts with Italian linen).

• Omnichannel Agility: 135+ stores (2024) + D2C platform driving 35% online revenue growth YoY.

Key Milestones

• FY24: Revenue surged 69% to ₹636 crore, profit doubled to ₹75 crore.

• 2024: Raised ₹200 crore ($24M) at $279M valuation from A91 Partners, Gruhas (Nikhil Kamath) and Manyavar’s Ravi Modi.

• 2025: Launched Japano Collection – minimalist designs inspired by Japanese aesthetics.

Business Model & Revenue Streams

• Offline Retail (65% of FY24 revenue): Average store revenue of ₹4.7 crore/year (₹38 lakh/month).

• Online Sales (35%): Sold via houseofrare.com (25%) and marketplaces like Myntra (10%).

• B2B Exports (Legacy): Radhamani Textiles’ ₹300+ crore export business (Zara, Inditex) funds new collections.

• Asset-Light Expansion: Franchise models for 30% of stores.

• Inventory Turnover: 5.2x annually (vs. industry 3.8x) via AI demand forecasting.

Customer Segmentation

• B2C: Urban professionals (25–40 years) earning ₹10–30 lakh/year.

• Geographic: 55% South India, 30% North, 15% West/East.

Top Clients & Partnerships

1. Strategic Investors:

• A91 Partners: 14.17% stake post-2025 funding; expertise in scaling D2C brands.

• Gruhas (Nikhil Kamath): Backing omnichannel tech stack development.

• Ravi Modi Family Office: Cross-promotion with Manyavar’s 800+ stores.

2. Key Partnerships:

• Myntra: Primary online marketplace partner (10% revenue share).

• UB City Mall: Flagship Bengaluru store drives ₹12 crore/year revenue.

3. Client Concentration Risk:

• Top 10 stores contribute 22% revenue (down from 35% in 2022), reflecting Tier 2/3 expansion.

Core Products

• Rare Rabbit (Men’s Wear): Bestsellers are ₹2,499 linen shirts, ₹3,999 tailored blazers.
• Rareism (Women’s Wear): Hero Product are ₹5,999 silk-blend sarees with detachable blouses. Size-inclusive ranges (XXS–4XL).
• Rare Ones (Kid's Wear): Pricing ₹799–₹1,999 for school/party wear. Sustainability 100% organic cotton lines.

Future Outlook & Strategic Priorities

1. Growth Drivers

• Store Expansion: Targeting 200+ stores by 2026, focusing on Rajasthan, Punjab, and Northeast India.

• International Foray: GCC market entry via Dubai franchise in Q4 2025.

• Tech Integration: AR virtual try-ons to boost online conversion by 40%.

2. Risks

• Competitive Pressure: Aditya Birla’s WROGN and TMRW scaling premium casual wear.

• Commodity Prices: 15–20% EBITDA sensitivity to cotton price fluctuations.