India’s D2C Revolution: The Hustle, The Growth, The Future

In our 94th edition of the Insider Digest, explore India’s D2C wave rewriting the rules of business—here’s your inside look at the bold brands, big funding, and breakout growth shaping the future.

In our Insider’s Digest, we bring to you the insider information from the D2C landscape. Our monthly newsletter is all about the month’s recap including the big business moves made, funding received by various startups, the hustle in the Indian startup ecosystem and updates from our D2C Insider community.

Read on to equip yourself with the biggest disrupting news from the previous month-

National Disruptors:

1. Snitch Raises ₹340 Crore, Valuation Soars to ₹2,500 Crore to Drive Expansion

Bengaluru-based fast-fashion menswear brand Snitch has secured ₹340 crore (approximately $40 million) in a funding round, elevating its valuation to ₹2,500 crore. This significant investment aims to bolster Snitch's growth trajectory and expand its retail footprint across India and beyond.

The funding round comprised ₹280 crore in primary capital and ₹60 crore in secondary capital, where early investors sold shares to accommodate new stakeholders. Led by 360 One Asset Management, the round also saw participation from Ravi Modi, founder of Vedant Fashions (operator of Manyavar), along with existing investors like Singapore-based SWC Global and IvyCap Ventures. This infusion of capital marks a 5x increase in Snitch's valuation since its Series A round in December 2023. The company plans to utilize the funds to expand its product range, enhance its offline retail presence, and initiate pilot operations in West Asia.

Founded in 2019 by Siddharth Dungarwal, Snitch transitioned from offline to online operations during the COVID-19 pandemic. The brand offers a diverse range of menswear, including shirts, jackets, hoodies, co-ords, sweaters, and innerwear, available through its website, physical stores, and e-commerce platforms. With a reported revenue of ₹243 crore for FY24 and expectations to surpass ₹600 crore in FY25, Snitch aims to achieve ₹1,000 crore in revenue by FY26. The company also plans to prepare for an IPO upon reaching a net profit of ₹100 crore, signaling its ambition to become a dominant player in the Indian apparel market.

Read more: https://d2ci.co/pulse-snitch

2. Miraggio Raises ₹55 Crore to Expand Premium Handbag Brand Across India

Miraggio, one of India's fastest-growing handbag and accessories brands, has raised ₹55 crore (approximately $6.5 million) in a Series A funding round. This funding marks a key milestone as the brand, which has already crossed over 1 million orders, looks to strengthen its position in the fashion accessories market.

The investment round was led by RPSG Capital Ventures and Client Associates Alternate Fund, with participation from Prath Ventures. The funds will be used to expand Miraggio’s product range, improve supply chain capabilities, and grow its retail presence—especially in Tier 2 and Tier 3 cities. The brand aims to offer globally inspired, aspirational designs at affordable premium prices, and build a strong omnichannel presence to cater to the evolving preferences of modern Indian women. Over the next 18 months, Miraggio plans to launch over 500 new products and diversify into more handbag and accessory categories.

Miraggio's leadership and investors see the brand as a key player in reshaping India’s fashion accessories landscape. With a unique blend of design innovation, strong execution, and a clear focus on quality and affordability, the company is well-positioned to become a go-to name in the premium handbag market—one that is projected to grow by $2 billion between 2024 and 2029. The new funding will help Miraggio scale rapidly while delivering on its vision to redefine affordable luxury for Indian consumers.

Read more: https://d2ci.co/pulse-miraggio

3. Nestlé's Investment Propels Drools to Unicorn Status in India's Pet Food Market

Drools, a leading Indian pet food company, has achieved unicorn status following a minority stake acquisition by Swiss conglomerate Nestlé S.A. While the financial details remain undisclosed, the investment has elevated Drools' valuation to over $1 billion. Nestlé emphasized that this is a financial investment, and Drools will continue to operate independently both strategically and operationally.

Founded in 2010 by Fahim Sultan, Drools has rapidly expanded its footprint in the pet food industry. The company boasts a 38% market share in India's pet food sector and exports to over 22 countries, including Australia, Israel, and the UAE. In 2023, Drools secured $60 million in funding from L Catterton, a consumer-focused investment firm backed by LVMH, which valued the company at $600 million. This investment was utilized to enhance manufacturing capabilities, expand retail presence, and bolster marketing efforts.

Drools' ascent to unicorn status underscores the burgeoning potential of India's pet care market, which is projected to reach ₹21,000 crore by 2032, growing at a CAGR of 19.2%. With a diverse product portfolio and a strong distribution network spanning over 34,000 retail outlets, Drools is well-positioned to capitalize on the increasing demand for quality pet nutrition.

Business Boosts:

1. Deconstruct Achieves 10x Revenue Growth in FY25; Sets Sights on Quick Commerce and Global Expansion

In a remarkable leap, Bengaluru-based skincare brand Deconstruct has reported a tenfold increase in revenue for the fiscal year 2024–25 (FY25), reaching ₹130 crore, up from ₹15.46 crore in FY24. This significant growth has also led the company to achieve EBITDA profitability, marking a major milestone in its business journey.

The impressive growth is attributed to strong demand for Deconstruct's high-performing core products and enhanced marketing efficiency. The brand has strategically focused on its hero products, such as its gel sunscreen, and streamlined its distribution by concentrating on key platforms. This approach has not only boosted sales but also improved customer acquisition costs and marketing ROI. Additionally, Deconstruct has ventured into quick commerce platforms, which now contribute 10–15% of its revenue, and has secured ₹65 crore in funding from investors including L’Oréal’s venture arm BOLD, V3 Ventures, and DSG Consumer Partners.

With plans to reach ₹500 crore in annualized net revenue by FY26, Deconstruct is gearing up for further growth by investing in product innovation, tech-driven customer engagement, and global expansion. The company's focus on making high-efficacy, gentle skincare accessible worldwide positions it well in the competitive skincare market.

2. Wellfa Partners with Tata 1mg and Reliance Freshpik to Expand Retail Presence

Wellfa, a prominent health and wellness brand, has announced partnerships with Tata 1mg and Reliance Freshpik to broaden its retail footprint across India. This strategic move aims to enhance consumer accessibility to Wellfa's range of health products, aligning with the company's commitment to promoting holistic well-being.

By collaborating with Tata 1mg, a leading digital healthcare platform, and Reliance Freshpik, a premium grocery retail chain, Wellfa seeks to integrate its products into both online and offline retail channels. This dual approach is designed to cater to a diverse customer base, ensuring that Wellfa's offerings are readily available to health-conscious consumers nationwide.

The expansion into these prominent retail outlets signifies Wellfa's dedication to meeting the growing demand for quality health and wellness products. By leveraging the extensive reach of Tata 1mg and Reliance Freshpik, Wellfa is poised to strengthen its market presence and reinforce its mission of fostering healthier lifestyles across the country.

Founders funded:

1. Farmley Secures $40 Million to Expand Healthy Snacking Offerings

Farmley, a leading Indian healthy snacking brand known for its makhana-based products, has raised $40 million in a Series C funding round led by global investment firm L Catterton. This significant investment aims to bolster Farmley's growth in the competitive healthy snacking market.

The fresh capital will enable Farmley to enhance its product range, strengthen its supply chain, and expand its distribution network. By focusing on natural and nutritious snack options, Farmley plans to meet the increasing consumer demand for healthier alternatives. The involvement of L Catterton, a prominent investor in the consumer sector, underscores confidence in Farmley's business model and its potential for long-term success.

With this funding, Farmley is poised to scale its operations and reinforce its position in the healthy snacking industry. The company aims to leverage the investment to innovate and cater to a broader customer base seeking nutritious snack options.

Read more: https://d2ci.co/pulse-farmley

2. Citykart Secures ₹538 Crore in Series B Funding Led by TPG NewQuest and A91 Partners

Citykart, a value fashion retail chain, has raised ₹538 crore in a Series B funding round co-led by TPG NewQuest and A91 Partners. This investment, comprising both primary and secondary transactions, elevates the company's valuation to ₹1,400 crore.

The fresh capital is expected to support Citykart's expansion plans, including increasing its store footprint and enhancing its product offerings. The company aims to strengthen its position in the value fashion retail segment, catering to the growing demand for affordable apparel in India.

With this funding, Citykart plans to accelerate its growth trajectory, focusing on reaching new markets and improving customer experience. The backing from prominent investors like TPG NewQuest and A91 Partners underscores confidence in Citykart's business model and its potential to scale in the competitive retail landscape.

D2C Insider updates:

1. Portfolio Founders and Super Angels united at D2C Insider Super Angels Fund’s first Annual Meet

D2C Insider, India’s largest D2C community, successfully hosted its inaugural Super Angels Founders Day on 17th May at UrbanWrk, Gurugram. The exclusive event brought together a vibrant mix of founders, super angels, and industry leaders, marking the first in-person interaction between D2C Insider Super Angels portfolio companies and their LP’s.

Among the notable attendees were fund’s LPs like Rohit Bansal, co-founder of Snapdeal, Hitesh Dhingra, founder of The Man Company, Sumit Baid, founder KeraGain, Atul Bhakta, Group CEO, One World Group, Mohit Garg, co-founder and CEO of Assembly, amongst other guests. The portfolio companies including Assembly, Basil, Business on Bot, Crest, Divine Hindu, Futwork, GoOat, Pikndel, Snackible, Samosa Party, Solved Skin, and Steam Pro got a chance to showcase their company’s growth graphs and their business moves made in the past one year.

A major highlight of the evening was a compelling fireside chat titled ‘The Operator Capital Revolution,’ featuring Rohit Bansal and Hitesh Dhingra in conversation with Abhishek Shah, Chief Evangelist of D2C Insider. The discussion explored how seasoned founders are redefining early-stage investments through an ‘operator-first’ lens.

Another key segment was the engaging panel discussion titled “From Guts to Graphs: What Founders Feel vs What Investors See.” The panel featured a dynamic mix of the portfolio companies and LPs including Gaurav Gupta (Shipway), Bhisham Bhateja (The Man Company), Snehil Khanor (TrulyMadly), Niranjan Nakhate (Futwork), Harshita Kejriwal (Basil), and Sumir Chadha (Steam Pro). The discussion dove into the nuances of founder-investor dynamics, how early-stage pitches are evaluated, and the emotional and analytical sides of building startups.

View more: https://d2ci.co/founders-day

2. Unlock Your Startup’s Potential with Elevate: Join Us for the Kick-Off Meet on June 7

Are you a new or early-stage founder ready to turn your big idea into a thriving business? This is your chance! Elevate, a hands-on startup growth accelerator, is back with Cohort 4 and it all kicks off on June 7 in UrbanWrk, Gurugram from 2 PM to 8 PM.

Elevate isn’t just another growth accelerator program. It’s a curated journey designed to take you from concept to scale, guided by mentors and industry experts who’ve built and exited successful ventures themselves. Past cohorts have seen founders refine their brand, find product-market fit, and gain real traction — all while building lifelong connections with fellow entrepreneurs.

The Kick-Off Meet is your chance to experience the Elevate vibe firsthand. Expect live founder stories, insights from operators who’ve scaled brands, and a community that gets the hustle. Whether you’re still refining your MVP or gearing up for launch, this event will give you the clarity, confidence, and connections you need.

Ready to see what it really takes to build a startup that works?
Register now: https://d2ci.co/registrationkickoffmeet

3. Get Your Brand in the Right Room – D2C Insider CXO Meet- West is Happening in Mumbai on 28th June

The most anticipated gathering of the D2C (Direct-to-Consumer) ecosystem in Western India is just around the corner! D2C Insider is thrilled to announce the Regional CXO Meet – West, taking place on 28th June in Mumbai. This exclusive, invite-only event will bring together the brightest minds and most influential leaders shaping the future of D2C brands in India.

At the heart of this regional CXO meet is a simple mission: to create meaningful connections among top founders, investors, and enablers in the D2C space. Whether you're looking to explore strategic partnerships, gain industry insights, or simply be part of a powerful network, this event promises unparalleled value. With over 100+ handpicked attendees, the event will feature high-impact conversations, curated networking opportunities, and a premium goodie bag showcasing emerging products from promising brands. If you're looking to get your product into the right hands or elevate your presence in the D2C community, this is your moment.

Don’t miss this opportunity to be where the D2C action is. Whether you're an established brand or an emerging player, the D2C Insider Regional CXO Meet – West is your gateway to growth, visibility, and powerful connections. Register now and join us in Mumbai on 28th June to be a part of a movement that’s redefining consumer commerce in India.

Register here: https://d2ci.co/Regional-CXO-Meet