Interio by Godrej targets 10% sales CAGR in modular kitchens, banks on Tier 2-3 city demand
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Interio by Godrej is betting on India’s growing appetite for modular kitchens, especially beyond metros, as it targets a 10% compound annual growth rate (CAGR) sales in its kitchen business over the next five years.
The company, part of the Godrej Enterprises Group, said the shift is being driven by changing consumer expectations, with kitchens increasingly seen as lifestyle spaces rather than purely functional zones. According to Interio, 35% of its kitchen sales now come from Tier 2 and Tier 3 cities, up from 24% in FY24, signalling a sharp rise in demand from smaller towns.
“The Indian kitchen is no longer just a utility space; it’s becoming a lifestyle statement,” said Dev Narayan Sarkar, senior vice president and head of consumer business at Interio by Godrej. “Consumers today want modular solutions that blend design, functionality and long-term durability. Our growth is being fuelled by these evolving aspirations,” he added.
The company aims to reach ₹10,000 crore annually by FY2029, up from around ₹4,000 crore currently and is planning a ₹300 crore investment to fuel this growth.
Growth drivers
The company’s expansion push comes at a time when the overall kitchen and dining furniture market in India is projected to reach $251.32 million in 2025, growing at a modest 2.28% CAGR till 2030. Interio believes it can outpace this trajectory through new product launches, deeper penetration into smaller cities, and a larger retail footprint. It plans to expand its network of kitchen galleries to 250 locations across 120 cities.
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A key part of its strategy is the use of technology to simplify decision-making for customers. The company has introduced a 3D-based kitchen configurator on its e-commerce platform that allows users to visualise layouts, choose pre-configured modules, and connect with local dealers for site-specific customisation. Entry-level modular kitchens on the platform start at ₹1.25 lakh.
Interio is also leaning on its manufacturing scale. Its Khalapur facility in Maharashtra can produce up to 250 kitchens a day, giving it the ability to cater to rising volumes without long waiting periods. The company claims its modular CKD (completely knocked down) units can be installed within five to seven days, significantly faster than traditional carpenter-built kitchens.