Sharma expects high levels of funding activity in D2C space
Marwari Catalysts’ portfolio startup, Unwind Mind, will use the Rs.2 crore raised recently to venture into India’s Direct-to-Consumer (D2C) sector which is poised to become a US$100 billion addressable market by 2025.
“India’s D2C market has been buoyant due to several successful startups, and the sector is poised to become a US$100 billion addressable market by 2025, Unwind Mind Founder & CEO Surendra Rajpurohit said on 13 June 2022 from Jodhpur, after closing Rs.2 crore pre-seed funding round.
“In addition, the pandemic has accentuated the need for the D2C way of doing business. This has contributed to the emergence of horizontal and vertical e-commerce players, social media marketing and logistics options.”
Strategic investors, including Yogesh Chaudhary and Marwari Catalysts, participated in the round wherein the Jodhpur startup raised Rs.2 crore at a valuation of Rs.15 crore.
Unwind Mind will also use the funding to aid and enter into the D2C fashion super-specialized category to become a market leader, he said.
“Moreover, we anticipate robust consolidation activity in the D2C ecosystem in the upcoming years as the Millennials are coming up with exceptional ideas ready to disrupt the traditional market,” said Rajpurohit.
“Our purpose at Unwind Mind is to revolutionize the D2C space by scaling promising D2C brands by involving tech support and industry expertise.”
Sharing his viewpoint on the emerging D2C ecosystem, Sushil Sharma, the Founder & CEO of Marwari Catalysts, added, “Our experience in consumer tech has been remarkable after two portfolio startup acquisitions in consumer-tech categories in the past one year, and we’re very bullish about the industry.
“The robust Internet ecosystem and evolving customer acquisitions strategies have made new business models viable and have led to the emergence of the D2C distribution channel.
“Today, India is witnessing the rise of D2C brands across categories and the market is expected to flourish exponentially in the coming years.
“In addition, we expect high levels of funding activity in this space, increasing over time, as more successful D2C outcomes will validate the hypothesis for newer capital deployment,” said Sharma.
Jaipur Rugs Founder Yogesh Chaudhary, who invested in Unwind Mind, added, “India is definitely making a mark with the tremendous D2C disruption.
“With the pandemic accelerating the digital transformation and triggering the D2C and eCommerce turning point, Indian startups have been given a wider field to grow their customer base through digital penetration, followed by offering a diverse yet solution-based product portfolio.”
He elaborated, “The potential of the D2C market in India will only continue to grow, and Unwind Mind is well-positioned to effectively tap this industry while helping brands scale.”
“This year, we expect D2C businesses to gain momentum, expanding niche categories, new entrants and positive investments from investors.
“As we look ahead, D2C brands will continue to flourish, with leading brands also launching their digital-first arms. And technology and innovation will be key to building impactful brands as the market evolves,” said Chaudhary. fiinews.com
