Mathew Joseph: The Visionary Behind India’s Sleepyhead Mattress Revolution

In the world of business, moments of transformation often stem from a relentless pursuit of innovation. Mathew Joseph, the marketing director of Duroflex, a renowned mattress brand in India, is a testament to this spirit of innovation. His journey to establish Sleepyhead, a pioneering online mattress brand, exemplifies his unwavering determination to bring a fresh perspective to an age-old industry. In January 2017, Mathew Joseph entered his office with a mission to present an unconventional idea to his board of directors. He aimed to launch an online-only mattress brand, targeting the digital-native millennials and Gen Z. However, the board’s scepticism questioned the need for such a venture when Duroflex, the family business, was already an established brand. Despite facing resistance, Joseph remained determined to create something unique and relatable for the younger generation.

As a promoter of Duroflex, Joseph decided to detach the new brand, Sleepyhead, from its mother branding. His intention was to provide a fresh identity to the brand, distinct from Duroflex’s legacy. Joseph was prepared to invest his efforts and capital into the venture, aiming to carve a niche in the competitive market. Despite facing doubts from the board, Sleepyhead secured a seed capital of ₹70 lakh from Duroflex, and Joseph’s journey to establish the brand began.

Sleepyhead’s journey was far from a smooth ride. The concept of selling mattresses online, bypassing traditional retail channels, presented a substantial risk. Joseph needed to prove that his vision could succeed. The first bout of challenges emerged when Sleepyhead went live in October 2017. In the initial months, the brand struggled to sell even a handful of mattresses. The move to online marketplaces was met with unexpected demand that exceeded the available stock, resulting in an eye-opening lesson about the unforgiving nature of the online space. Overstocking also proved to be a challenge, impacting cash flow and emphasizing the importance of maintaining a balance. Technical difficulties arose when the website received more traffic than anticipated, leading to a crash. Joseph and his small team had to spend six continuous hours resolving customer orders in February 2018.

Despite these early challenges, Sleepyhead persevered and began to find its footing in the market. Sales increased, and by FY20, the brand had achieved a remarkable sales figure of ₹84.84 crore, with estimates for FY22 projecting a closing figure of ₹150 crore. With investments totaling ₹200 crore and backing from investors like Lighthouse and Norwest Venture Partners, Sleepyhead is poised for a bright future. One of Sleepyhead’s key innovations was the introduction of the ‘bed-in-a-box’ concept. Joseph recognized that the mattress category needed excitement, both in communication and the purchasing process. By compressing foam mattresses into boxes, he provided customers with a unique unboxing experience, driving home the message that buying a new mattress should be an enjoyable process.

Another essential element of Sleepyhead’s strategy was staying lean in pricing, team size, and product portfolio. By offering a select range of mattress options that aligned with consumer preferences, Joseph reduced confusion and increased conversion rates. This approach has helped Sleepyhead maintain a gross contribution positive after customer acquisition costs, building a sustainable business model.