In recent years, the direct-to-consumer (D2C) model has become increasingly popular in India as more and more consumers are turning to the internet to purchase products and services. As a result, many new D2C brands have emerged, offering a wide range of products and services to consumers. In this article, we will take a look at some of the D2C brands that are likely to see success in India in 2023 and discuss the strategies and tactics that have helped them to stand out in a crowded market.
D2C (direct-to-consumer) brands are companies that sell products or services directly to customers, bypassing traditional brick-and-mortar retail stores or third-party distributors. These brands typically use digital channels such as e-commerce websites, social media, and mobile apps to connect with their customers and sell their products or services. D2C brands have become increasingly popular in recent years, thanks to the growth of e-commerce and digital marketing.
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Source: SafaltaBy going directly to customers, these brands can bypass the high costs associated with traditional retail and distribution channels, allowing them to offer their products or services at lower prices.
- Fit and Glow (Wow skin science)- The initial goal of Arvind Sokke, Ashwin Sokke, Manish Chowdhary, and Karan Chowdhary was to achieve financial success in the skincare and lifestyle sector by making very small investments. 2019 has come and gone, and they are now the global darlings of Amazon. The company was able to establish a small offline presence while growing its business entirely online. Amit Agarwal, the head of Amazon India, has publicly stated that Wow, a Fit and Glow brand, is popular with all of its sellers. These friends' close to bankruptcy marked the beginning of the journey. However, the founders turned their misfortune on its head and made the obstacle the way. Their brand Fit&Glow and company are worth $50 million (Rs 350 crore).
- Mamaearth- When Ghazal and Varun Alagh were expecting their child, they wanted to take all reasonable precautions to ensure the child's safety. Like any responsible parent, the two searched the internet for advice on what to do and what not to do for the child as well as items they could buy to spoil their little bundle of joy. But when they saw the outcomes, they were stunned. There was nothing on the market that met the safety requirements. Every product they came across had chemicals that were bad for their infant. The couple felt let down. They were inspired by this experience to launch Mamaearth, a brand made by parents for parents. Using the best ingredients available, whether they be natural, derived from plants, or manufactured, the couple launched the brand in 2016 in Gurugram under the parent company Honasa Consumer Pvt Ltd. These ingredients are both certified safe and effective. Mamaearth became the first company in Asia to receive the MadeSafe certification for its toxin-free products in just four years. In more than 500 cities across India, the business has provided services directly to over 1.5 million customers as well as through online commerce.
- Bare Anatomy- Rohit Chawla scaled after leaving The Man Company as one of the co-founders thanks to his strategy to introduce a haircare line that matched consumers' needs. Rohit came up with the brilliant idea of Bare Anatomy to provide people with a customized haircare solution suitable for their hair type, texture, and environment. A startup in the beauty technology space called Bare Anatomy thinks that personalization will shape the future of the sector. It provides hair oils, hair serums, hair masks, shampoos, and conditioners. After receiving specific orders, all the products are freshly made and personalized to meet the individual needs of the customers. The company has gained 20,000 customers and experienced a 10x growth in just nine months.
- Noise Audio- Soon after completing his commercial pilot training in the Philippines, Gaurav Khatri decided to launch his own business. It was 2014, and Flipkart and Amazon India saw explosive growth in the consumer electronics market for smartphones, smartphone cases, and Bluetooth earphones. A market for smartphone accessories like cases and covers has developed alongside the smartphone market. Gaurav, who is based in Gurugram, wanted to enter this market. Gaurav, 30, tells SMBStory, "When I expressed interest in this, my cousin Amit contacted me, and we decided to team up." To launch Noise in 2014, the cousins invested their savings of Rs 7.18 crore ($1 million). The smartphone covers were created by Gaurav and Amit in collaboration with Chinese producers and sold in India.
- Zissto Sauces- When instant noodles first appeared on the market, our eating habits changed. Soon after came instant mixes, instant coffee, instant tea, hot chocolate, custard, and other items. Today, we have almost every type of meal covered by an instant food option. Zissto is one of the companies that serve this market. Kanhai Porecha introduced the ready-to-eat gravy sauce brand in Mumbai in 2017. After returning to India from the UK, where he completed his graduate studies, Kanhai founded Zissto. According to him, he wanted to introduce true Indian cooking sauces. A total of 50,000 sauce bottles are sold by the brand each day in Mumbai and Chennai via its website and other online retailers like Amazon and Flipkart.
- Everpret- Yashas Alur previously held a position at Bengaluru-based Dentsu Webchutney before starting his own business. He observed several female workers at the company carrying multiple bags. He began to consider whether a handbag could be altered to accommodate all the necessities, including a laptop, smartphone, wallet, bottle, set of keys, and makeup. There would be no need to carry multiple bags to work if a handbag could fit everything. Yashas developed two designs for work handbags after speaking with a Delhi manufacturer who imported vegan leather from China. His boss at Dentsu Webchutney, who invested Rs 8 lakh in Yashas' venture, provided financial support for his concept. Yashas officially launched Everpret in January 2018 after quitting his job in November 2017. Yashas started selling his designer handbags to working women in big cities via the Everpret website. Last year, the business reported a 3.5 crore rupee revenue. The cities with the highest sales are Delhi, Mumbai, Bengaluru, and Chennai. To increase brand awareness, the company may soon install kiosks in IT parks.
- Yayy! Naturals- Gaurav Singh and Ashutosh Singh first crossed paths while both were employed by the health and wellness start-up Joybynature. While working as a digital marketer and a sales manager, respectively, they became aware of the enormous profit margins of running a private company. Both quit their jobs and began looking for new employment opportunities. They decided to create a digital, direct-to-consumer (D2C), personal care brand for Generation Z, and they sought a name that would appeal to this market. Yayy! Naturals got their name from this. Yayy! For a variety of reasons, Naturals is counting on D2C to make a name for itself in the personal care industry. Ashutosh claims he wants to establish a relationship with the clients right away.
- Super Smelly- The market for perfume and deodorant in India has expanded significantly in recent years. The baby care segment is another area where the deodorant industry is advancing. While looking for a deodorant for her teenage daughter, Dipali Mathur became aware of the dearth of toxicant-free personal care items for teenagers. In 2018, Dipali and her friend Milan Sharma established the toxin-free product brand Super Smelly in New Delhi. All of the major e-commerce platforms, such as Purplle, Nykaa, Smitten, Bigbasket, and Amazon, as well as Super Smelly's website are where the company sells its goods. Through Amazon, the company additionally caters to US and UK customers.
- Upakarma Ayurveda- The ancient medical practice of Ayurveda has experienced a boom in recent years as a result of numerous young businesspeople highlighting its advantages. Marketing expert Vishal Kaushik recognized the enormous potential in this market and had the idea to modernize Ayurveda's age-old wisdom. He founded Upakarma Ayurveda with his younger brother Parag Kaushik. In just four years since its founding in Delhi in 2017, the business claims to be profitable. The entire Upakarma Ayurveda product line is offered for sale on e-commerce sites like Amazon, Flipkart, Nykaa, FirstCry, 1Mg, and HealthKart.
- Namhya Foods- Our ways of living and how we eat have significantly changed. Many of the foods we eat today are unnutritious. This, along with regular stress, insufficient sleep, and erratic work schedules, has contributed to an overall rise in lifestyle illnesses. These worries led Ridhima Arora to research Ayurvedic methods for making food therapeutic and nourishing. In 2019, she established Namhya Foods. The company's first few months were spent establishing infrastructure. In December, sales started. Jammu, Gujarat, and Delhi supermarket shelves carry Namhya Foods. Online transactions occur on the company's website, eBay, Etsy, and Flipkart. It has sold inventory worth Rs. 5 lacs over the last six months.
Why are D2C brands becoming more popular?
D2C brands are becoming more popular because of their ability to reach customers directly, cutting out intermediaries and allowing for more personalized and streamlined customer experiences. Additionally, the rise of e-commerce and social media has made it easier for these brands to reach and connect with customers.
How do D2C brands differ from traditional brands?
Traditional brands typically rely on retailers to sell their products to consumers, while d2c brands sell directly to consumers through their channels, such as their website or social media. D2C brands also have more control over the pricing and marketing of their products and can often offer more personalized experiences for their customers.
Are all D2C brands available online only?
No, not all D2C brands are online only. Some D2C brands have physical stores, pop-up shops, or showrooms in addition to their online presence.