Wakefit’s IPO has brought India’s mattress sector into the limelight, a category that was earlier rarely discussed despite its growing relevance. The Indian mattress industry has evolved from an unorganised market dominated by basic cotton and coir products into a more structured, innovation-led space offering foam, hybrid, and orthopaedic sleep solutions.
Rising sleep deprivation and growing health awareness have changed how consumers view sleep, while organised and D2C players have made advanced mattresses more accessible and have standardised quality across the market.
Let us understand the sector in detail and identify the investment opportunity it presents.
Current State of India’s Mattress Market
India’s mattress market is valued at Rs 145 to Rs 160 billion in CY24 and has grown at a 7-9% CAGR since CY19, driven by rising awareness around sleep wellness and an increasing preference for branded products. Annual sales volume is estimated at 28 to 32 million units, indicating strong household demand.
The B2C segment accounts for about 82% of the market value and is growing faster than institutional segments such as hospitality and healthcare. Cotton mattresses dominate the market with nearly a 60% share due to their affordability and strong penetration in tier-2 and smaller cities.
Cotton mattresses account for about 60% of the market in CY24 but are expected to decline to around 49% by CY30.
Foam mattresses account for about 23% of the market and are steadily gaining popularity, while coir mattresses have lost market share following post-GST price increases. Latex, often used in hybrid designs, is the fastest-growing segment due to its superior comfort and durability.
Rise of Branded and Digital-First Mattress Players
India’s mattress industry is becoming increasingly organised as branded players strengthen their presence through better product quality, innovation, and wider retail and digital reach. The share of organised players has increased from around 20% in CY19 to nearly 30% in CY24 and is expected to reach about 45% by CY30. Consumers are increasingly preferring durable, warranty-backed mattresses, while improved supply chains have made branded products more affordable and accessible.
Organised players, including online brands, hold nearly 30% market share, while the unorganised segment continues to dominate with about a 70% share in CY24.
Digital channels are further supporting this transition. Online sales have grown from roughly 4% of market value in CY19 to about 8% in CY24 and are projected to reach nearly 13% by CY30. The rise of D2C brands offering roll-packed mattresses, easy delivery, and flexible trial and return options has increased trust in online purchases, especially in the mid-range and premium segments.
Despite this, offline retail continues to dominate, as many buyers prefer in-store testing for comfort and fit. Going forward, a combination of a strong offline presence and expanding online channels is expected to drive sustained growth for organised mattress players.
Growth Triggers for India’s Mattress Market
Rising Awareness: Consumers are becoming more conscious of how sleep quality affects overall health. This is driving demand for comfortable and supportive mattresses that help improve sleep and reduce issues such as back pain.
Increasing Disposable Incomes: As incomes rise, especially in urban areas, consumers are more willing to spend on higher-quality and premium products, including mattresses that offer better durability and comfort.
Urbanisation and Real Estate Growth: Expanding cities and rising homeownership are increasing demand for mattresses, as new households invest in home furnishings.
Expansion of E-commerce & D2C Brands: Online sales and direct-to-consumer models have made purchasing mattresses easier and more convenient through doorstep delivery, trial periods, and easy returns, thereby widening market reach.
Product Innovation: The market is shifting from traditional cotton and coir mattresses to foam, latex, and hybrid variants that offer better comfort, ergonomics, and performance.
Premiumisation: Demand for premium and luxury mattresses is rising due to lifestyle changes, a stronger focus on health, and the availability of specialised products with advanced features. This segment is expected to grow at a CAGR of 15–20%.
Institutional Usage: Hotels, hospitality chains, co-living spaces, and corporate accommodations are increasingly procuring quality mattresses as part of infrastructure expansion.
Challenges in India’s Mattress Market
High Operational & Logistics Costs: Many mattress players struggle with weak logistics networks, leading to high transportation and warehousing costs, as mattresses are bulky to move and store. This limits expansion, especially into smaller cities and remote regions.
Intense Competition & Fragmented Market: The market comprises numerous local and organised players. This crowded environment leads to price competition, squeezing margins and making it harder for brands to differentiate themselves.
Volatile Raw Material Prices: Raw materials such as foam, latex, and fabrics are subject to frequent price fluctuations. Rising input costs force manufacturers to either increase retail prices or absorb margin pressure, affecting competitiveness.
Changing Consumer Preferences: Brands that are slow to innovate or respond to growing demand for sleep wellness solutions, hybrid materials, and premium features risk losing relevance as consumer preferences evolve.
Price Sensitivity: A large section of buyers, particularly in rural and semi-urban areas, remains highly price-sensitive. This limits the adoption of premium offerings and slows growth in the mid-to-high value segments.
Dominance of Unorganised Players: Unbranded local manufacturers continue to hold a significant share of around 70%, offering low-cost products. This restricts organised players’ ability to standardise quality and maintain pricing power across markets.
Stocks to Keep on Watchlist
In the Indian mattress market, the organised segment has a few prominent players listed on the stock exchanges. Sheela Foam Limited has been listed for a long time, while Wakefit Innovations Limited debuted on December 15 with a flat listing. Shares of Sheela Foam have delivered negative returns over the past year.
Other major players in the organised market, though privately held, include Duroflex Private Limited, Peps Industries Private Limited, and Comfort Grid Technologies Private Limited.
Wakefit Innovations Limited ranks among the top three organised mattress companies by revenue in Fiscal 2024, alongside Sheela Foam and Duroflex.
Future Outlook of India’s Mattress Market
India’s mattress market is expected to grow at a healthy 10–12% CAGR and reach Rs 270 to Rs 300 billion by CY30. While the top eight metro cities currently contribute around 44% of market value, the fastest growth is expected to come from tier-2 and smaller cities, which are projected to expand at an 11–13% CAGR.
Within the broader home and furnishings space, mattresses account for nearly 5% of total market value. India’s home and furnishings market stands at Rs 2.8 to Rs 3.0 trillion in CY24 and is expected to grow strongly to Rs 5.2 to Rs 5.9 trillion by CY30. Low per capita spending on home and furnishings, at just $24–25 compared to much higher levels in the US, UK, and China, highlights significant long-term growth potential.
As consumer aspirations rise and purchasing power improves, spending on quality home products, including mattresses, is expected to increase.
*The companies mentioned in the article are for information purposes only. This is not investment advice.
*Disclaimer: Teji Mandi Disclaimer
