Top 5 D2C Start Up Brands in India in 2022

With the advent of technology, the business world is becoming more competitive. The growth potential is increasing, and so are the brands. Global internet and e-commerce trends have increased the number of startups in India.

From a small-town boy to a big-net entrepreneur, many new brands are developing in different parts of India. They are ready to take on any challenge that comes their way!

There are many reasons for this trend. One of them is that D2C brands have a direct relationship with their customers. They can offer better prices and products. In addition, D2C business models are often more agile and innovative than traditional brands.

So, which D2C brands are expected to be in the top 5 startups in India in 2022?

Growth Jockey conducted a comprehensive survey, and here's the answer!

Traditional business models

There are many ways to start a business. For example, you could manufacture your product yourself or outsource it and then package it yourself. After that, you would have to go through the wholesaler-distributor-retailer chain to bring your product within customers' reach.

Before the product reaches the customer, a hectic cycle takes place. Manufacturers and brand owners develop their products; then, they find distributors. After this, they look for willing and able retailers to carry these products. And finally, they search for target customers!

Some brands start their stores by importing products from other countries and selling them through D2C e-commerce platforms. This approach can be expensive. So it's not always feasible for small businesses.

What is a D2C startup brand?

Before we get to Growth Jockey's top 5 D2C startup brands, let us learn about D2C startup brands.

A D2C startup is a company that sells its products through direct-to-consumer channels. This means there are no middlemen between the customer and the company. The d2c model is becoming increasingly popular as it allows companies to create more personal customer relationships. It cuts down on unnecessary costs associated with traditional business models.

D2C start-ups are growing as more companies choose this business model. Indian consumers have become comfortable buying products online. They are willing to try new brands. According to Growth Jockey, this makes India a fertile ground for D2C start-ups.

Some of the top D2C start-ups include Swiggy, Zomato, Oyo Rooms, and PhonePe.

If you want to start your own business, take inspiration from these top 5 D2C startup brands!

Top 5 D2C Start-Up Brands in India in 2022

Growth Jockey has conducted a comprehensive survey to create this list of India's top 5 D2C start-ups in 2022.

1. Country Delight

Founders: Chakradhar Gade and Nitin Kaushal

Year: 2015

Company valuation: $615 million in May 2022

Country Delight started by delivering fresh milk straight to customers' homes. It has recently expanded its reach into other essential items like bread and groceries. This D2C business model has cut out the middlemen by sourcing products directly from manufacturers and farmers. It sells products directly to consumers.

The business model of Country Delight is subscription-based, with customers ordering once and receiving daily deliveries. Customers can customize their daily/alternate-day milk subscription plans via the mobile app. _Additionally,_they can mark vacations and pay milk bills through the app. This business strategy has given Country Delight an advantage over its competitors.

The company's business model guarantees new deliveries in 24-36 hours owing to its fully integrated, just-in-time supply chain, and subscription-based model. Customers can renew their VIP memberships at reduced rates.

The company ensures that its products are the most nutritious and delicious, with no preservatives added. They provide a milk test kit to their customers to check the milk purity level.

Country Delight selects farms where animals are taken care of, and cleanliness practices are followed. The brand also checks for the adoption of technology and monitors milk quality. This way, they ensure better quality milk at its source.

2. Mamaearth

Founders: Varun Alagh and Ghazal Alagh

Year: 2016

Company valuation: $1.2 billion in January 2022

Mamaearth is an online cosmetics brand. It specializes in natural and eco-friendly skincare products. Their D2C business model started as a baby-care brand. Mamaearth has since expanded its business to sell personal care products. These include lotions, body washes, shampoos, hand creams, and face masks for men, women, and infants.

Mamaearth aims to raise awareness about the importance of using natural products that are safe and effective. It is Asia's first Made-Safe certified brand.

It can be hard to earn customers' trust in the market because many parents trust established brands when using products for their kids. Mamaearth earned that trust by selling directly to customers and focusing on different sales channels.

At Growth Jockey, we have professionals who conduct a comprehensive SWOT analysis to find such unique strategies. Reach out to Growth Jockey for expert help in developing effective plans for your business.

3. boAT Lifestyle

Founders: Aman Gupta and Sameer Mehta

Year: 2016

Company valuation: $1.4 billion in October 2022

Rather than selling offline and finding the right distributors, boAt uses the D2C business model and sells directly to customers. The brand uses an omnichannel strategy. Its product line includes wearable devices, speakers, smartwatches, and trimmers.

BoAt's success lies in its well-executed marketing strategy. It has worked with celebrity designer Masaba Gupta to launch a limited-edition collection of spunky headphones at the Lakmé Fashion Week 2020. boAt also offers durable audio products at an affordable price. The brand regularly innovates its product range and does promotions at various events.

4. HealthKart

Founders: Sameer Maheshwari and Prashant Tandon

Year: 2011

Company valuation: $370 million on December 6, 2022

HealthKart is part of Bright Lifecare Pvt. Ltd. It is India's largest online portal for dietary supplements and health devices. Its D2C business model includes selling a wide range of supplements and nutraceuticals sourced through native brands. It has 110 offline stores in 40 cities across the country.

HealthKart understands that maintaining quality across its product portfolio is essential for success. The company has grown quickly by leveraging scalability. It has used its e-commerce store to spread awareness about the benefits of food supplements. HealthKart has created a sustainable business model by busting myths and educating customers.

5. Postcard

Founders: Ashish Nichani and Sudarsan Metla

Year: 2019

Company valuation: $2.1 million in April 2022

Postcard is a specialist food company that focuses on popularizing lesser-known cuisines of India. Its D2C business model is built on serving genuine regional Indian food. It emphasizes the unique flavors and ingredients and the place of origin of cuisine.

Postcard gives local producers and the supply chain a chance to sell nationally. It seeks to empower local businesses. The dishes are made by skilled cooks who have been in the food industry for a long time.

The brand sells more than 40 namkeen (snacks), pickles, and sweets made with premium ingredients.

Growth of D2C brands in India

We have seen growth in D2C brands in India in recent years. There's no sign of that trend slowing down. At Growth Jockey, we believe that apart from these top 5 brands, many other startups are poised for success.

The recent outbreak of the COVID-19 pandemic has made many brands realize the importance of shifting towards a digital-first D2C business model.

Those with dedicated websites recorded an 88% rise in consumer demand in 2020 compared to the previous year. This growing trend shows just how important it is for companies to have a solid online presence if they want to stay competitive in today's marketplace.

In the past few years, over 800 new-age Indian brands have cut out the middlemen and adopted the direct-to-consumer (D2C) model. The direct-to-consumer (D2C) model allows brands to bypass intermediaries and reach consumers more quickly and cost-effectively.

The D2C e-commerce sector with the largest growth potential is fashion. It is predicted to reach $43.2 billion by 2025. By this year, apparel and footwear will likely make up roughly 77.6% of the online fashion business. Fashion was the most funded D2C brand in India between 2014 and 2021, raising $756 million in addition to its potential growth.

Conclusion

According to Growth Jockey, most brands today began their journeys as D2C business models. This approach allows for a less-invested early stage and rapid feedback. It promotes innovation and allows brands to navigate changing market conditions with ease.

The D2C startup trend is getting a boost, with more and more brands adopting this strategy. Using technology, the D2C marketing strategy can be improved to benefit both companies and their customers.

At Growth Jockey, we offer expertise and support to entrepreneurs in various industries. We provide specialist talent support so that you can focus on innovation and high-value-added activities.

Get in touch with us today to scale your D2C business !