Middle class is evolving, not shrinking

Today, we see at least 7-8 distinct middle-class segments. While value-seeking remains a core trait, preferences are diverging

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Fireside Ventures, which has backed brands like Mamaearth, Boat, Slurrp Farm, cult.fit, Pilgrim and The Sleep Company, believes the middle class isn't shrinking but evolving into multiple consumer personas.

Dipanjan Basu, co-founder and partner at Fireside Ventures, tells Anees Hussain that this transformation presents an opportunity for new brands that established players struggle to address. Excerpts:

Large FMCG firms often speak of a 'shrinking middle class'. Are brands in your portfolio experiencing this trend?

The middle class isn't shrinking; it's fragmenting into multiple consumer personas. Traditionally, large brands built for a singular middle-class archetype, but today, we see at least 7-8 distinct segments. While value-seeking remains a core trait, consumer preferences are diverging. Established brands aren't naturally equipped to navigate this shift.