FOOD D2C LEVELLING UP

D2C brands have taken the FMCG ecosystem by storm, removing middlemen and directly reaching the consumers. They start online and grow rapidly by giving higher benefit to consumers, offering early adopter strategies that capture a good loyal customer base, which also drives referrals

- ARITRA GHOSH

It is not an unknown fact that the Indian FMCG industry has been undergoing massive growth. According to a report, over the past twenty years, the FMCG industry in India has undergone a remarkable transformation and by 2025, the FMCG market is expected to reach $220 billion, with a 14.9 percent growth rate. With numerous D2C food brands such as VAHDAM India, True Elements, Wholsum Foods and Happilo gaining traction, it can be seen that the said segment is moving forward to disrupt the FMCG vertical.

FOOD D2C BRANDS - A RAGE

In an increasingly digital world, brands are empowering themselves to connect better with consumers. “Not only can the brands target specific consumer preferences, but can connect better with consumers, resulting in increased purchases and being scalable,” stated Bala Sarda, Founder and CEO, VAHDAM India.

These brands are further becoming popular because traditionally consumer brands used offline distribution channels to reach the end consumers, implying huge inventories in the pipeline leading to inefficiencies and a pile up of channel margins.