Bengaluru— India has emerged as the second-largest recipient of funding in the direct-to-consumer (D2C) sector globally in 2024, trailing only the United States and surpassing countries like China, the UK, and Italy, according to a new report by Tracxn.
The report reveals that India’s D2C sector attracted $757 million in funding last year, underscoring the country’s growing influence in the global consumer market. Currently, India is home to more than 11,000 D2C companies, with about 800 of them having secured external funding.
Early-stage and seed-stage investments showed notable growth. Early-stage funding rose by 25% year-over-year to $355 million in 2024, while seed funding increased 18% to $141 million.
“India’s D2C sector is evolving rapidly, with investors increasingly focused on profitability and sustainable growth,” said Neha Singh, Co-Founder of Tracxn. “The rise in early-stage funding reflects continued confidence in the long-term potential of this space.”
Among the top-funded segments in 2024 were organic beauty brands, online jewelry platforms, and other D2C beauty companies. Organic beauty brands alone secured $105 million in funding—marking a 79% increase from 2023.
The largest funding round of the year went to jewelry brand BlueStone, which raised $71 million in a Series D round, pushing its valuation to $964 million.
Bengaluru led Indian cities in D2C funding, attracting $253 million, followed by Gurugram with $164 million and Mumbai with $99.8 million. Together, Bengaluru and Gurugram accounted for more than half of the sector’s total funding.
To support the D2C ecosystem, the Indian government has launched several initiatives, including Digital India, Startup India, and the Open Network for Digital Commerce (ONDC). Additional programs like the Export Promotion Mission, Government e-Marketplace (GeM), and Green Credit Programme are also helping D2C brands expand globally and adopt sustainable practices. (Source: IANS)
