Pepperfry Accelerates Expansion with 35 New Studios by August 2026

The furniture and home décor major is aggressively scaling its physical retail footprint to fortify its omnichannel growth strategy following a successful financial turnaround.

MUMBAI — Pepperfry, India’s leading omnichannel furniture and home goods marketplace, has announced an ambitious retail expansion plan to add 35 new studios to its network by the end of August 2026. This move marks a pivotal moment for the company as it seeks to deepen its reach into emerging urban markets and capitalize on the growing demand for "phygital" (physical and digital) shopping experiences.

The expansion comes under the parentage of TCC Concept Limited, which acquired a controlling stake in the brand in late 2025. Following a period of strategic restructuring focused on unit economics and operational discipline, Pepperfry is now pivoting toward a phase of accelerated growth, aiming to enhance customer accessibility and strengthen its position in India’s organized furniture market.

Scaling the Omnichannel Footprint

The planned 35 new studios are expected to follow Pepperfry's proven "asset-light" expansion model, which relies heavily on the Franchise Owned, Franchise Operated (FOFO) framework. By prioritizing smaller-format studios, the company aims to reduce capital expenditure while maintaining high visibility in high-traffic residential and commercial hubs.

According to TCC Concept Limited, these new touchpoints are designed to function not just as showrooms, but as "assisted buying" centers. In these spaces, customers can visualize room sets, receive personalized design consultations, and access the company’s massive catalogue of over 100,000 products. This strategy is central to the company’s goal of bridging the gap between digital discovery and physical validation, a critical step for high-ticket furniture purchases.

A Pivot Toward "Fashion for Home"

The expansion is aligned with a broader "Pepperfry 2.0" growth strategy, which includes a repositioning of the brand as a "fashion for home" destination. Ashish Shah, co-founder and CEO of Pepperfry, has noted that the company is diversifying beyond traditional furniture into high-frequency lifestyle categories such as home décor, tableware, and accessories.

"Our goal is to meet the evolving design awareness of Indian consumers," the company stated in recent filings. The studios serve as the physical anchor for this vision, allowing the brand to cross-sell decor items and modular home solutions while simultaneously providing the high-touch service required for large-scale interior projects through its new "Pepperfry for Business" vertical.

Strategic Operational Discipline

This growth phase follows a challenging period of restructuring that saw Pepperfry report its first-ever profitable quarter earlier in 2026. By narrowing its focus to operational efficiency, inventory optimization, and the integration of the "PepCart" logistics network, the brand has stabilized its bottom line even as it scales.

TCC Concept’s integration has provided the necessary capital and technological backing to fuel this expansion. By leveraging data-led replenishment and slot management in its studios, the company aims to improve throughput and reduce markdowns, ensuring that each new studio contributes positively to the firm's overall margins.

Key Facts at a Glance

• Expansion Target: 35 new retail studios to be added by the end of August 2026.

• Operational Model: Expansion primarily driven by the asset-light FOFO (Franchise Owned, Franchise Operated) model.

• Market Positioning: Broadening focus from pure furniture to a "fashion for home" destination, including decor and lifestyle accessories.

• Strategic Parentage: Part of TCC Concept Limited’s "Pepperfry 2.0" strategy to scale tech-enabled consumer platforms.

• Service Integration: Studios will support the "Pepperfry for Business" vertical, targeting large-scale commercial interior projects.

Frequently Asked Questions (FAQ)

What is the significance of the 35-store expansion?

The expansion is part of a strategic reset to increase the company’s physical presence, allowing more customers to experience products in person and driving higher conversion rates for the online platform through assisted buying.

What is the FOFO model used by Pepperfry?

The Franchise Owned, Franchise Operated (FOFO) model allows Pepperfry to expand its footprint rapidly across various cities without the full capital burden of company-owned stores, while maintaining uniform pricing and brand standards.

How does this fit into TCC Concept’s broader goals?

TCC Concept acquired Pepperfry to build a scaled, technology-enabled consumer platform. The store expansion is one of several growth levers—including B2B expansion and logistical optimization—intended to capture a larger share of the $30+ billion commercial interiors market.

Source: TCC Concept Limited Investor Relations, ET Retail, Architect and Interiors India