New age direct-to-consumer (D2C) brands could have a $100-billion addressable market by 2025. Avendus Capital, which has done a deep dive into this segment, said that low brand penetration and high customer reach provide significant headroom to scale up a brand. Currently, there are at least 100 plus D2C brands that have been funded in India.
The investment bank said India being one of the largest retail markets in the world is projected to surpass $1.75 trillion by 2025. Pankaj Naik, co-head, digital and technology investment banking practice, Avendus Capital, said: “The internet ecosystem and evolving consumer needs have made new business models viable and have led to the emergence of the direct-to-consumer (D2C) distribution channels…”