After an initial investment of US $ 50,000, Calm’s “dream” became a reality in November 2019, and today after 23 months of life, It has sold almost 18,000 mattresses, for about $ 700 million. “We have been incorporating good practices from consumers from other industries. We saw that there was a need, and I sent myself full ”, recalls the co-founder and CEO of Calm (his partner is Patricio Fiaschi, who handles the operational part).
The development of the project took eight months of work and Calm was released for Cyber Monday 2019, with an “exponential” sales response. “In that event we already made shipments to all the provinces. People cannot believe the personalized treatment we give them, the quality of the product and how quickly they receive it at home”recalls Burstein.
Based on innovative developments in the sleep industry in the world (the vacuum packaging of the mattress was born in 2006, but only became popular a few years ago in the US with the Casper firm), they created a mattress with two layers: one of 20 cm of high-density foam and another over 2 centimeters (Calm Original), and 6 centimeters (Calm Original Plus), which is called “soft”, So what “It adapts to the curves of the back, allowing the spine to be aligned and straight, without being too hard or too soft.”
Its design and texture allow it to be pressed and vacuum sealed: “By removing the air from the foam, the mattress is compacted as if it were a padding, and is inserted, for example, the 2-seater (1.40 meter x 1.90), in boxes of 1.40 meter high and 40 centimeters wide on each side ”, Burstein details. This entails great logistics and storage savings. “Today we have a warehouse of 800 square meters with about 1,500 mattresses. If we had the same stock, but open mattresses, we would need a warehouse of 15,000 square meters “, compare.
The experience to receive a new mattress is generally not good, and involves several people helping to get it into the homes. “That does not happen with Calm mattresses, since being vacuum sealed and stored in boxes, it can be used in any elevator and is easily moved. That is, the mattress arrives vacuum sealed in a relatively small box, easy to handle”, points out. To start using it, and after removing it from the box, you must carefully cut the plastic cover (Calm sends a scissors), open the mattress and let it expand to return to its original size.
The key to the product is that its creators they managed to capture how Argentines sleep and found the ideal point of comfort. “We have ingrained the idea that the orthopedic mattress is good, so you need to feel that the mattress is firm, while in the world it is much softer, memory foam is used much more (also known as memory foam, is a polyurethane foam), which allows the body to sink further. Thus, we managed to develop a 100% national product with the best suppliers to obtain a perfect mattress for everyone, at the price it should cost. They told us that it was impossible to sell mattresses online, without a physical store, but we are convinced that our proposal is insurmountable “Burstein argues.
Speed and zero cost in deliveries
At the same time, they offer deliveries in the day in CABA, when the market average is between 30 and 60 days, and the shipments are totally free to the whole country, when in other cases this cost usually involves 20% of the value of the product. Deliveries to large cities in the interior usually have a delay of two or three days, while for the rest of the towns of the country the delivery period is limited to eight days.
30 free trial nights and review leadership
But Calm, took the shopping experience very seriously, and understood that he had to redouble his value proposition to be competitive. Thus it became the first platform to offer 30 free mattress trial nights at customers’ homes. “To love your mattress, you can’t test it for 5 minutes in a store with a salesperson next to you looking at you. The mattress is tested at home while sleeping. The experience of testing it at home versus at a local in just 5 minutes is foolproof.”, highlights its CEO.
Now, what happens if in those 30 days the person is not satisfied? The answer is simple for Calm: returns the money, takes it from the home, and donates it. “Today we have only 1% returns of total sales. Half of the people who reject it tell us that it is very soft and the other half, that it is very hard,” he acknowledges.
Other Calm differentials are the verified user reviews. “We like to be able to show consumer feedback on the mattress. Today we have the best score in Argentina: we have more than 3,000 reviews, with almost 5 stars ”. The relevance of “virtual word of mouth” is reflected in the fact that 40% of people who buy a Calm mattress “read some of the reviews,” says Burstein.
Pandemic effect: they grew 400%
With the pandemic context, a large number of people were encouraged to make online purchases when they might not have considered it before, which accelerated the e-commerce phenomenon. “Changes in habits that could have taken years were changed in months. In our case, we managed to grow 400%. The pandemic challenged us to continue to have product stock and never have to stop distribution”, says the creator of Calm.
On the other hand, it mentions that there was a increased purchases of items to improve homes. “This responds to the same behavior that occurs in the mattress category every year in which the sales peak is in winter, the season where we spend the most time at home,” he adds.
Prices, promotions, warranty and useful life
The offer of the major players in the country’s mattress market is governed by large discounts of 50% -60%, which makes us lose sight of the price reference. “Our policy is not to have such discounts, but to offer real promotions”, highlights Burstein. Today Clam 2-seater mattresses have a cost of $ 54,250, while the single-seater ones cost $ 33,250, values that are in line with the prices of the most traditional companies in the sector.
The useful life of Calm mattresses is between 5 and 8 years, depending on the use, the weight of the person, and how much they rotate. On the other hand, and unlike the rest of its competitors, lThe company grants a 5-year warranty.
Other differentials: solidarity, sustainability and labor inclusion
In the search to generate a greater impact on people, Calm opted for three initiatives that today represent some of its values: solidarity, sustainability and labor inclusion.
The first is called Rested commitment. They propose that the buyer’s old mattress (his former mattress) be donated. Together with Small Steps NGO They are in charge of finding a new home for someone who needs it.
On the other hand, they seek to offer their clients the option of facilitate the recycling of excess packaging. With which, they promote a circular economy by providing the alternative of reuse and reconvert part of its box and plastic. Together with the initiative of #LetClean They recover materials from their clients in CABA and distribute them among the Cooperativa El Ceibo (cardboard) and Alma Reciclada (plastic) so that they can be recycled and reused aiming at the manufacture of new products.
Finally, each time a customer performs the purchase one of their pillows, receive a gift mask. To develop it, they proposed to join a social impact project with a focus on labor inclusion. This is how they met the “Mediapila” Foundation, a non-profit organization that works with a gender perspective, training women in vulnerable situations. For this reason, behind their masks, there is work of women who are getting ahead thanks to the work of the foundation.
Calm in numbers
- In 23 months they billed more than 700 million pesos.
- They are the first Argentine mattress brand to offer a 30-day trial.
- They have already sold more than 17,500 mattresses.
- $ 54,250 for 2-seater mattresses and $ 33,250 for single-seater.
- u $ s50,000 was the initial investment.
- They offer 18 installments without interest.
- Their mattresses are rated 4.78 / 5 by their users