“From our own portfolio, MamaEarth, BoAt, Vahdam Teas, among many others, have either already hit that mark or (are) very close.”MamaEarth is in talks to raise $10 million led by Sequoia Capital, sources said.Matrix Partners, a venture capital firm most associated with investments in technology startups such as Ola, Practo and Quikr, has racked up almost ten investments in earlystage consumer brands in the past 12 months.The firm says this is the right time to invest in the sector, which could add $1trillion in market capitalisation over the next decade.Its latest bet in the space, Mosaic Wellness, has been its most aggressive.
The fund, along with Sequoia Capital and SAIF Partners, has backed two prominent venture capitalists operating in stealth mode and building a slew of digital-first consumer brands in a $10 million maiden funding round earlier this year.“India’s favourable demographics will act as a key tailwind for consumer businesses.
India has a large portion of the young working segment with rapidly increasing purchasing power and an increased taste for premium products,” said Revant Bhate, cofounder and CEO of Mosaic Wellness.Fireside has evaluated over 1,500 investment opportunities in the space over the past two years.
This indicates that entrepreneurs, too, have realized that there is space in the market and have begun building ventures to fill the gap, leveraging not just online selling but also marketing online.“The growth of the new-age brands in the past few years has been largely fueled by the rapid growth of the digital universe, both as a medium of brand engagement as well as for consumer access.
The millennial consumers are very digitally connected, they are highly aware of global trends and very experimentative,” Singh said. | To read full story, visit https://startuparound.com/read/1577246408.942527/Digital-first-brands-took-just-three-years-to-hit-Rs-100-crore?ref=audio_experience