Bengaluru, 16 April (IANS). India stood second in 2024 in the Direct-to-Consumer (D2C) sector funding globally. This information was given on Wednesday in a new report.
According to Traxon’s report, the country’s D2C sector has been ahead of China, UK and Italy last year. However, behind America.
The report said that in 2024, India’s D2C sector raised a total fund of $ 757 million.
According to the report, there are more than 11,000 D2C companies in India. Of these, more than 800 have been successful in raising funding.
There is an increase in funding of the initial phase and seed phase. The funding of the initial phase in 2024 increased by 25 percent to $ 355 million. Seed-phase funding has increased by 18 percent to $ 141 million.
Traxon co-founder Neha Singh said, “India’s D2C sector is constantly developing with priority to profit and development by investors. The increase in initial phase investment indicates continuous confidence in the long-term capacity of India’s D2C sector.”
The D2C organic beauty brand, online jewelery brand and D2C beauty brand were included in 2024.
There was a major increase in funding of organic beauty brand. These companies have got a funding of $ 105 million and it is 79 percent more than the funding received in 2023.
The report stated that in 2024 the largest funding was performed by Round Bluestone, which raised $ 71 million in series de funding at a $ 964 million valuation.
According to the report, Bangalore companies took $ 253 million, Gurugram companies gained $ 164 million and Mumbai companies took $ 99.8 million.
According to the report, Bangalore and Gurugram together contributed more than half of all the funds in this sector.
For the support of D2C Ecosystem, the Government of India has initiated several initiatives such as Digital India, Startup India and Open Network for Digital Commerce (ONDC).
Other efforts such as Export Promotion Mission, Government E-Marketplace (GEM) and Green Credit Program are helping D2C brands grow globally and adopt sustainable practice.
-IANS
ABS/
