Shantanu Deshpande: Building FMCG 2.0 with Bombay Shaving Company
Meet Shantanu Deshpande, Founder CEO of Bombay Shaving Company. Ex-McKinsey strategist building a 100Cr+ D2C brand backed by Colgate & Reckitt.
Shantanu Deshpande, the dynamic Founder and CEO of Bombay Shaving Company, believes passionately that the Direct-to-Consumer wave is reshaping the consumer goods landscape in India.
"D2C is the flavor of the season in India, but the opportunity for creating generational brands is very real. And today's D2C brands will become FMCG giants of tomorrow."
His venture, Bombay Shaving Company, is a testament to this belief, rapidly scaling and attracting strategic investment from global giants by focusing on building a strong brand and understanding the nuances of the Indian consumer.
This article serves as a comprehensive look into Shantanu Deshpande's journey and the rise of Bombay Shaving Company, drawing heavily on unique insights and metrics shared during his candid conversation on the Founder Thesis podcast.
Check out the video of the conversation here or read on for insights.
From Consulting Corridors to Startup Trenches 🚀
Shantanu Deshpande's path to entrepreneurship wasn't conventional. Born in Dallas while his father was setting up TCS offices in the US, Shantanu spent his early years moving around America before his family returned to Pune, India, when he was a teenager.
"My brother and I were very unhappy about the move back... US became a distant memory. So, you know, then after that... we acclimatized to India very well."
Following a well-trodden path for bright minds, he pursued Computer Science engineering at Visvesvaraya National Institute of Technology (VNIT Nagpur). Though academically capable, Shantanu acknowledges it wasn't his true calling.
"I was never an engineering enthusiast. It was just something that kids who are good at mathematics and science would do, so that's why I did it."
He set his sights on management, cracking the CAT and landing a spot at the prestigious Indian Institute of Management, Lucknow (IIM-L) for his MBA (2009-2011). He quickly identified with his new institution, a trait he carries throughout his career.
"I'm the kind of person who kind of really associates with the institution that I'm a part of."
It was at IIM Lucknow that his trajectory significantly shifted. Initially planning to join Nokia after a successful internship, a combination of factors – including encouragement from his now-wife (whom he met and started dating during the intense placement preparation!) – led him to target consulting. Despite initial self-doubt ("I always felt that consulting is way outside my league"), he discovered a natural aptitude during the rigorous preparation.
"As the preparation happened, actually, I realized I'm really good. I was just really good at it. Like, surprisingly good at it."
He secured a coveted position at McKinsey & Company in 2011. Shantanu spent over four years at McKinsey, rising from Junior Associate to Engagement Manager. He describes it as an invaluable, albeit intense, learning experience.
"Five years in McKinsey would be, like, fifteen years at any other place from a just from a intrinsic building standpoint... A lot of my the way I think, the way I plan, the way I do things professionally is guided by the way I learn to do things at McKinsey."
He worked on diverse, high-impact projects, gaining broad exposure. However, he also felt consulting had limitations for an aspiring entrepreneur.
"I think the consulting world teaches you to analyze a little more than needed and kills what I think is, maybe risk taking slash judgment driven decisions... Entrepreneurs need to follow instinct a lot on a lot of things."
Influenced by his father's own entrepreneurial leap at age 49 ("my dad's journey and seeing it so close from a young age was a big driver for me"), observing senior partners leave McKinsey for startup roles, and a growing interest in the D2C space, Shantanu felt the pull to build something himself. He saw a specific opportunity in the Indian market.
"I felt building a brand for men made sense because there weren't many around."
The Genesis of Bombay Shaving Company 🪒
In August 2015, Shantanu took the plunge and left McKinsey. His exit was uniquely supportive, embodying the firm's long-term view on talent.
"The partner[s] were so cool. You know, they they finally said that, look, you're not walking away from the farm. You're walking towards the dream of yours, and we will never hold you back. In fact, tell me how we can be a part of your dream."
An incredible 23 McKinsey partners invested in his vision even before the company officially launched. This, combined with his own savings, gave Bombay Shaving Company an initial kitty of approximately ₹4.6 - ₹4.7 crores.
Launched officially in June 2016, Bombay Shaving Company's initial strategy was bold and highly curated.
Initial Product: A premium, six-part shaving "experience" kit featuring a heavy metal razor, pre-shave scrub, shaving cream, post-shave balm, shaving brush, and Japanese blades.
Initial Price: A hefty ₹3,500.
Initial Channel: Exclusively sold through their own website.
"We were so arrogant... We were convinced that Bombay Shaving Company is the only sharing experience worth having. So we will only sell the whole kit."
The goal was to establish premium brand equity in the shaving category first.
Growth, Pivots, and Strategic Partnerships 🤝
The initial niche approach yielded some traction (reaching ₹15-17 lakhs monthly run rate within 6-7 months selling only kits via their website), but the customer acquisition cost (CAC) was unsustainably high (~₹2,000). This forced a period of crucial learning and adaptation.
"It took a long time to realize... People in the world are not as passionate about shaving as we are."
"A lot of things that you think, you know, your ego gets broken a lot, through the process."
Key strategic pivots followed:
Product Unbundling: Allowing customers to buy individual items.
Marketplace Expansion: Listing on Amazon and others. ("If the product is the same, the customer is the same, the customer wants to buy on Amazon... Why are you being stubborn?")
Price Competitiveness: Adjusting pricing while maintaining a premium feel.
Category Expansion: Launching into beard care and later, women's hair removal.
Offline Expansion: Recognizing the necessity of retail for mass reach in India.
"I'm a believer that Indian retail is built offline, sustainably... If you really want to be a household brand... you have to capture a shelf in a store and to capture every shelf in every store."
Bombay Shaving Company now reaches over 50,000 stores, generating ₹2.2 crores monthly from offline channels alone. This omnichannel growth attracted significant strategic investment:
Fireside Ventures (2017): Early D2C-focused investors.
Colgate-Palmolive (August 2018): The global entity invested, seeking to learn from BSC's D2C capabilities and providing invaluable mentorship.
Reckitt (formerly Reckitt Benckiser): Introduced via Shantanu's McKinsey network, Reckitt invested and partnered with BSC to run the D2C operations for Durex and Enfamil in India.
"We are a small business with two globally large companies as strategic investors sitting on the top table... It's an interesting cap table."
Bombay Shaving Company Today: Metrics & Vision 📊
Current Revenue: Doing ₹8.5 crores monthly run rate (approx. 100 Cr+ ARR).
Channel Mix: Marketplaces (50%), Offline + B2B Gifting (35%), Own D2C Website (15%).
Product Range: Expanded significantly to include men's shaving, beard care, face care, hair care, and a rapidly growing women's hair removal line (razors, foams, balms) contributing 20% of revenue.
Team Size: Around 120 people.
Market Position: A major player in men's shaving consumables, a growing challenger in beard care, and rapidly scaling in women's hair removal.
The D2C Philosophy:
"Good D2C, my view is a goal by a thousand passes... the process is one where the team continuously gets better and better and better. So continue the review and doing the small things, thousand small things really well, I think is what makes D2C work for us."
Future Vision: Shantanu aims to build Bombay Shaving Company into a ₹1000 crore business within the next five years, focusing on dominating the hair removal category for both men and women in India. On potential acquisition:
"Acquisition... should be a more practical decision than an emotional one... If the value is right, the time is right... I always feel that, self grown brands sometimes need a home to achieve their next, realm of growth... If it works for our investors, if it works for our employees, if it's good for the brand, we'll do it."
Beyond the CEO Chair: Shantanu's Other Roles & Passions 🎶⚽
While leading Bombay Shaving Company, Shantanu defines his own role clearly:
"I've realized as a CEO, I'm not as good an operator as I am a strategy guy. I'm able to see patterns much better than I able to execute..."
He focuses on setting mandates and vision, ensuring financial stability, and shaping culture. He also remains active in the broader ecosystem:
Advisor: To Advent International and McKinsey & Company.
Host: Of "The BarberShop with Shantanu."
Ambassador: For Olympic Gold Quest (OGQ).
Personal Interests: Loves new ideas, sports, music (plays the tabla), and is passionate about improving mathematics education in India.
Shantanu Deshpande's journey is a compelling case study in strategic pivoting, leveraging partnerships, and building a consumer brand in the dynamic Indian market. Bombay Shaving Company is more than just a grooming company; it's a front-runner in defining FMCG 2.0.
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