After a period of turbulence and skepticism, roll-up commerce startups are making a steady comeback, thanks to the rapid expansion of quick commerce as a critical sales channel. These startups, which acquire and scale small but promising brands through improved operations, marketing, and technology, are now seeing renewed investor confidence and revenue growth, even as their Western counterpart Thrasio collapsed in early 2024.
Domestic roll-up commerce leaders like GlobalBees and Mensa Brands have reported promising financial results in recent quarters. GlobalBees, a subsidiary of FirstCry, posted a 55% year-on-year revenue growth of Rs 432.5 crore in Q2 FY25. Similarly, in Q3 FY25, Mensa Brands’ operating revenue climbed 11.6% to Rs 557.66 crore, while its net loss decreased by 31% to Rs 155.8 crore.
This resurgence comes after a period of uncertainty that saw venture capitalists pull back from the segment. In 2021, roll-up commerce was one of the most hyped startup sectors, attracting around $800 million in equity and debt funding. However, within a year, profitability concerns emerged, causing a wave of shutdowns. Companies such as 10club and Upscalio shifted focus to specific niches like home and kitchen categories, while Goat Brand Labs, backed by Tiger Global, struggled with financial runway issues. The global model suffered its biggest blow when Thrasio, the US pioneer of the model, showed signs of bankruptcy in 2023 before collapsing in February 2024.
Despite Thrasio’s downfall, domestic roll-up commerce startups have adapted and diversified, avoiding the pitfalls that plagued their American counterparts. Experts attribute this to their multi-platform approach and early adoption of quick commerce.
“Thrasio relied heavily on Amazon, and when the market shifted, it couldn’t adapt quickly enough,” said Somdutta Singh, an e-commerce expert and investor at Karma Holdings. “Domestic startups, on the other hand, are selling across Flipkart, Myntra, Nykaa, direct-to-consumer (D2C) websites, and now quick commerce platforms like Blinkit and Zepto.”
Quick commerce, which initially focused on groceries and essentials, has expanded into categories such as beauty, personal care, and nutrition—areas where roll-up brands have been able to grow rapidly.
Mensa Brands has leveraged quick commerce to accelerate its expansion. “We have a multi-channel strategy, and quick commerce has gained significant traction over the past year. It now contributes about 5% of our total sales,” said Mensa’s spokesperson. Products from six of its brands are listed on various quick commerce platforms, and the company holds leading shares in categories like peanut butter (MyFitness) and party supplies (PartyProz).
Similarly, Goat Brand Labs has seen a positive turnaround. The company turned profitable in October 2024 and secured $21 million in a mix of debt and equity from investors including BlackRock, Mayfield, and NB Ventures in July last year. The company has focused its growth strategy on quick commerce, exports, and offline expansion. “Quick commerce is relevant for brands like Chumbak, Voylla, Nutriglow, PetCrux, Hipkoo, and Pepe J Innerfashion,” said Rishi Vasudev, founder of Goat Brand Labs, adding that the company’s quick commerce business has grown 5-6X in the last four quarters.
Evenflow, another roll-up commerce player, has expanded aggressively into quick commerce. It currently operates three business units: one focused on Amazon and Flipkart, another dedicated to quick commerce, and a third targeting US international sales. “We started on quick commerce in early 2024 and accelerated in October. Since then, we’ve launched on Blinkit, expanded our portfolio on Instamart and Zepto, and are preparing for Flipkart Minutes,” said Utsav Agarwal, founder of Evenflow. The company’s quick commerce business has grown 30% month-on-month since October 2024.
Evenflow has observed an active shift in consumer buying behaviour, with products priced under Rs 200 moving faster on quick commerce platforms. However, the company continues to focus on higher price ranges as well. “It’s always a balance between platform appetite and our brand offerings that drives growth,” Agarwal said, noting that the company aims to reach Rs 1,000 crore in annual sales by December 2027, with quick commerce, Flipkart, and its white-label business serving as key growth enablers in FY26.
While Thrasio’s failure served as a cautionary tale, the resilience and strategic shifts of Indian roll-up commerce startups indicate that the model can succeed when executed effectively. “The companies that are thriving today are doing so because they’re not solely dependent on quick commerce, but they have successfully integrated it into their operations,” Singh explained. “They are optimising logistics, enhancing fulfillment, and adapting to the growing demand for instant deliveries. The ability to move fast is proving to be a significant competitive advantage.”