Akash Joshi

From Seed to Series B in less than 3 years Foxtale, an Indian D2C skincare brand, recently announced its $15M (Rs 125 Cr) Series B funding round. It raised $18M (Rs 150 Cr) in this round, but $3M out of this $18M were secondaries where existing shareholders sold their equity to new investors. The firm raised Rs 125 Cr ($12M) in fresh capital at a Rs 790 Cr ($96M) post-money valuation. This translates into a 12.5% dilution which is low for Series B rounds. The founders didn't have to dilute 20–25% equity because they got a high valuation. While the round size of Rs 125 Cr is average (neither large nor small) for a Series B startup in #India, the company's growth is spectacular. It was founded just 3 years ago in 2021. It raised its Seed of Rs 5.5 Cr in December 2021 and Rs 35 Cr Series A in June 2022. Skincare is a crowded category in India. Foxtale sells sunscreens and moisturisers where the competition from Indian and foreign brands is intense. So, how did Foxtale raise so much #money so quickly? The answer lies in Growth. VCs love fast-growing companies. Within 3 years, Foxtale's gross revenue run rate (Current Month's Revenue x 12) touched Rs 250 Cr. This gives us a valuation multiple of 2.7x which falls in the current market range of D2C valuations In India. Post-Money Valuation = Rs 790 Cr Fresh Capital Raised = Rs 125 Cr Pre-Money Valuation = 790 –125 = Rs 665 Cr Gross Revenue Run Rate = Rs 250 Cr Current Monthly Revenue = 250 / 12 = Rs 20Cr Valuation Multiple = 665 / 250 = 2.7 Its FY24 revenue was Rs 172Cr, more than 12 times its FY23 revenue. While the company burnt a lot of capital to achieve this, a Rs 172Cr revenue in its third financial year and Rs 20 Cr monthly revenue within 3 years is excellent #growth. The management also claims it's closer to EBITDA profitability, but I don't usually read too much into such claims because all #founders claim it. Nevertheless, the investors must be fine with the current burn to invest more money at an attractive valuation. Foxtale's high retention rate (More than 50% of orders are from existing customers) and a high share of website sales (More than 50%) convinced the investors that it's a good company to back. Most D2C brands rely on marketplaces for a majority of their sales. I agree with their hypothesis because skincare and body care are a crowded category in India. Dozens of #startups and FMCG companies sell hundreds of products. It's challenging for a new D2C brand to grow quickly even through cash burn. IMO, Foxtale has found its PMF for its existing products (Sunscreem and Moisturiser) in its current market. Its growth will depend upon how well it takes its existing products to newer markets and sells new products (Body care). It seems like an interesting company to follow. P.S. We are doing our next Founder Fundraising Workshop on the 22nd & 23rd of June. It's an 8-hour programme for first-time founders who want to raise #venturecapital.

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From near bankruptcy to one of India’s hottest consumer brands. Meet Wakefit, a brand launched by Chaitanya Ramalingegowda and Ankit Garg in 2015. Wakefit aims to improve sleep health with sleep-efficient products. The challenge like any other business was to capture attention & retain customers. But despite the pandemic hitting the business hard, how did Wakefit’s marketing become a success? → Wakefit understood the customers’ pain points, focused on educating them about sleep, and empowered them to research and decide. → They launched the Sleep Internship campaign, where interns will sleep 9 hours a night for 100 days on a Wakefit mattress and earn Rs. 1 Lakh as an internship stipend. → Wakefit focused on D2C sales and offered high-quality products at competitive prices. This attracted cost-conscious customers who want quality products within their budget. → Wakefit's presence across digital platforms helped them reach a wider audience. Their engaging and relatable content resonated and drove growth. While traffic was good with these strategies, new users and re-engagement for the existing users were not up to the mark. That's when they implemented the 3-point strategy & used an engagement platform, MoEngage, to enhance engagement. The 3-point strategy has three digital goals: 1️⃣ Acquiring new customers Wakefit launched survey campaigns and segmented visitors into buyers and non-buyers with MoEngage’s Custom Segmentation feature. Non-buyers received product-focused notifications through on-site messaging, emails, and push alerts. Using a content-first approach, buyers received product-related messages mostly through emails. 2️⃣ Re-engaging with existing users After a 100-day wait post-purchase, Wakefit re-engaged with existing customers, based on their purchase history and wishlist. It created campaigns to drive customers to the next purchase. Users who searched but didn’t buy were prompted to complete the purchase. 3️⃣ Product awareness Using a content-first approach, Wakefit launched targeted email campaigns to both buyers and non-buyers, highlighting sleep tips, home decor ideas, and product-line awareness. The continuous and relevant communication helped them reach more customers and improve digital growth. The results were impressive: ↳ 80% adoption rate ↳ Overall daily order volume jumped by over 40% ↳ On-site messaging led to a 20% conversion rate ↳ Over 4M personalized emails were sent with an average CTR of 11.79% ↳ Push notifications reached 700k users with a delivery rate exceeding industry benchmarks Key takeaway? Understand user intent and tailor communication consequently to foster stronger relationships and more sales. In this ever-evolving digital world, business growth is driven more by passionate and personalized engagement. ✨ Which brand would you like me to talk about next? 🔁 Repost this if it is useful. 🙎‍♂️ Follow ADITYA DAS for more such useful content. #wakefit #marketing #D2C

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The e-commerce startup Meesho has raised $275 million in a new funding round, pushing its valuation to approximately $3.9 billion. This funding, part of a larger round expected to exceed $500 million, includes secondary transactions. Notable investors like WestBridge Capital and Norwest Venture Partners are participating in this round, joining Meesho's impressive list of backers, including Meta, Fidelity, Peak XV, Prosus Ventures, B Capital, and SoftBank. However, Meesho faces increasing competition, with Amazon India recently launching Bazaar, a special store featuring affordable fashion and lifestyle products. Despite this, Meesho's focus on an asset-light model and lower fulfillment charges has helped it capture nearly half of India’s annual 3PL e-logistics shipment. For the latest secondary coverage and trading SaxonWeber | ShareWell #secondaries #saxonweber

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Raising 1 crore for my D2C business from a High Net-Worth Individual in Gurgaon turned out to be easier than I expected. It taught me an important lesson: raising funds isn’t about luck; it’s about timing and strategy. Startups are risky, and sometimes the best thing you can have is patience. Instead of rushing for fast growth, it's crucial to build a solid business foundation. I’ve learned that you shouldn’t raise funds only when you desperately need money. Instead, raise funds when your business is strong and investors are eager to invest in you. This reminds me of the story of Big Bazaar and Dmart in India. Big Bazaar expanded rapidly across the country, trying to grow fast. But this led to problems like high debt and inefficiency, which eventually caused its downfall. On the other hand, Dmart, founded by Radhakishan Damani, took a different approach. Dmart grew slowly and carefully, opening new stores only when it made sense. This strategy focused on efficient operations and understanding customer needs, leading to steady and sustainable growth. Dmart’s careful planning and patience allowed it to thrive, even when times were tough. Dmart’s success shows that real growth doesn’t happen overnight. It’s about expanding at the right time and in the right way. This story inspires me to focus on patient, thoughtful growth for my own business, ensuring it stands strong for the future. In short, my journey and the story of Dmart teach a valuable lesson: be patient, grow wisely, and let your business evolve naturally.

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🌟 Congratulations to Swiggy's 5,000+ new multimillionaires on your incredible ESOP success and IPO debut! 🎉 Welcome to the world of public markets, where the game is different, and opportunities—and risks—abound. With your hard-earned equity turning into wealth, the journey from startup growth to public market dynamics brings unique challenges and new ways to maximize your financial outcomes. 💼 As you navigate this transition, a tailored approach to wealth management can make all the difference in capital preservation, growth, and strategic planning. 📲 Connect with me to understand how personalized investment strategies can help you make the most of this exciting new chapter. Let’s explore how to protect and grow your wealth while capitalizing on the new dynamics of public markets. #SwiggyIPO #PublicMarkets #WealthManagement #ESOP https://lnkd.in/gzfBeZ5w

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Sujith Nair, Beckn's WhatsApp-averse, badminton-loving chief mover and shaker, gave us a peek into the world's first # e-commerce protocol. Imagine if Colgate wanted to sell a lot of toothpaste, would it open separate exclusive stores on every street? NO! Instead, it ensures its products are available in all stores where people come to shop, and not just toothpaste. Similarly, Beckn is a way for an online business to make its products and services available on other stores (popular daily-use consumer apps) instead of setting up its own store (its own consumer app) and waiting for customers to come in droves! The Beckn Protocol underpins Open Network For Digital Commerce (ONDC) and is a universal translator for e-commerce platforms. We would normally call it the Rosetta Stone for digital services, but now we have BHASHINI 😉 . It allows disparate systems to "speak" to each other seamlessly. The Beckn Protocol has become a verb in the tech world. "Just Beckn it!" has become a common phrase among developers when discussing open-source solutions for digital commerce. In fact, we like it so much that we are using Beckn use cases as our episode artwork (instead of our normal groovy cover art) to spread the word in our own little way. Some may even argue that the yellow and black in the artwork denote open mobility networks (read taxis) 😀. The even more nerdy might catch the movie reference in the title 🎬. So, is it an app? Is it an aggregator? Is it a platform? No. It is a Super Capability - #decentralised and #open. Listen, learn and use. sujith nair | Pramod Varma | Sanjay Purohit | Shankar Maruwada | Shireesh Joshi | T Koshy | Namma Yatri | FIDE | Antler | Bingepods (Ideabrew Studios) | OpenExO | Thinkers360 | IBM Alumni | Microsoft Alumni Network | The RSA (The royal society for arts, manufactures and commerce) | World Economic Forum | Digital India Corporation | nasscom | Abhishek Singh | Nilesh | Sheetal https://lnkd.in/dydrjnbU

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#HIRING It’s taken us over 10 years to build one of the largest bespoke matchmaking companies. We’re looking for a torch bearer to lead the way forward, as the founders take a step back. This is a full-time on-site role for a senior management role based in Mumbai, and will likely lead to a pathway for a D-CEO position. This person will be responsible for growing the brand’s global growth, managing teams, and overseeing the running of the company across functions (marketing, ops, tech) activities on a day-to-day basis. If you’re talented, as hungry as a dry sponge, and ambitious (to lead the growth phase of a profitable enterprise), this is a people-facing, ambassadorial position. A day at Sirf Coffee involves strategy, ideation, excellent office lunches, matchmaker intel and exciting new clients around the world. You will, also have to manage the less glamorous side of the business of love – fast-paced days could include interacting with high profile clients, engaging with media and other external stakeholders. If you have the gravitas to charm a rock yet are a stickler for work ethic, and have experience in managing high performing teams, this is the role could be the perfect match. Qualifications Excellent communication and interpersonal skills - this is a high EQ role in its very foundation. Between 7 to 12 years of work experience, with at least 5 in managing teams. Strong leadership and decision-making abilities, experience in managing a P/L Passion for running a people-oriented business, sales flow and marketing Proven management and problem solving skills Native level fluency in oral and written English. Bachelor's degree in Business or relevant fields Empathy and a burning desire to help people in their personal lives Genuine interest / grit for running a start-up that is not VC funded. Desirable * Previous experience in Lifestyle, Luxury Retail, Airlines, Private/Retail Banking, Executive Search, Media or Hospitality industries * International experience (academic or work-related) * Social media savvy * Master’s in Business / Marketing would be helpful. Please read this job ad to the very end *before* you apply. To save you some time (and for you to experience our dry humour), please do NOT apply if: 1) You have less than 7, or more than 18 years of work experience 2) You are not *currently* based in Mumbai 3) Your LinkedIn title starts with "CA" or "Dr." OR you describe yourself as an "Evangelist" / "Linkedin Top Voice" in your description OR do not have a profile picture. 4) If you are a pure play technologist / software engineer 5) Do not have genuine interest / grit for running a start-up that is *not* VC funded. Email: naina.hira@sirfcoffee.com. #Mumbai #Hiring #SirfCoffee

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Mamaearth's Stumble... from a Digital Darling to Challenging Times. I have been really impressed by Mamaearth's journey from a digital-only D2C brand to broadening into retail. Their growth story has been inspiring. But recently, there has been a slight fall... Mamaearth has reported a loss of ₹19 crores after a ₹40 crore profit just a quarter ago. It made me wonder—how did a brand that seemed unstoppable suddenly face hurdles? Here’s what I found: 1. Offline Expansion Struggles: In their push into retail, Mamaearth leaned heavily on superstockists, which led to inventory issues and, eventually, significant write-offs of expired products. 2. Overextension in Product Launches: They launched 122 new products in 2022, way above the industry norm. While ambition is great, such rapid expansion thinned their resources and complicated demand forecasting. 3. Marketing Overreach: Allocating 35-42% of their revenue to marketing (which is above the norm) worked online but did not hit the mark with offline buyers. The takeaway? Growth is essential, but not at the expense of solid fundamentals. Expanding too quickly without sorting out backend issues can lead to trouble. I have seen many startups rush to scale and overlook the need for systems. Mamaearth’s situation is one of those stories that even promising brands need to manage their growth carefully. Looking ahead, Mamaearth should: → Rework on their inventory management. → Narrow down their product range to focus on what sells best. → Change their marketing strategies to resonate with in-store shoppers. The journey from here is tough, but I'm cheering for them. Mamaearth's journey reminds us that all businesses have their ups and downs—it is how we handle the challenges and learn from them that truly matters. Thoughts? #Mamaearth #D2CBrands #RetailExpansion #StartupLessons #BusinessChallenges 

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India's D2C fashion space is booming like no other, with the country's growing middle class, increasing discretionary spend online. More than 40,000 D2C fashion brands have emerged in just the last two years, creating a vibrant and competitive market. utsav and I are building in the D2C fashion e-commerce x AI space. We are addressing discoverability challenges for both users and brands by enabling multi-modal search and comparison, making it easier for: (a) users to find and compare fashion items, and (b) for brands to be discovered Alongside Tech roles such as AI researcher, ML scientists, we're also looking to grow our business team and are hiring for roles in our Growth and Partnerships teams. If you’re passionate about fashion and want to be part of the coolest start-up in town 👀 😎 , apply now using the links below - a. Partnerships (CTC: 20-30 LPA): https://tally.so/r/3N0Y0W b. Growth (CTC: 25-40 LPA): https://tally.so/r/wA8DxW note: the CTC ranges are indicative and might vary basis experience and fit for the role. #hiring

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Manyavar also now delivering in 10 mins via Zepto Electronics, F&B, Clothing, health/wellness products being delivered in 10-30 mins Quick Commerce companies should also think of partnering with Kirana stores - Will save money on dark stores and also reach more pin codes! Zepto now delivers Manyavar in 10 minutes - So if the Groom’s jooti gets stolen and he gets money demand from the bride side, he can now order a new one from Zepto. Negative on Banks, Positive on Manyavar (Just on a lighter note)

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It was great to join Bob Pisani and Todd Sohn on CNBC to talk about #India and its thriving #ecommerce market including Blinkit, Zepto Swiggy. India has everything you could want in an Emerging Market: 1 - Largest Population - more that all other EM combined ex China 2 - Youngest Population - 700+ million under age 30 3 - Fastest GDP growth - 7% 4 - Growing Consumption - may pass #china at some point Add the best human capital and the India Stack and India stands alone. #investing #etfs #emergingmarkets #indianentrepreneurs #zomato #swiggy #zepto #blinkit #quickcommerce #qcommerce

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Reverse flips, a trending topic this season! On 9th September, MCA made key amendments to merger rules that will notably affect companies eyeing reverse mergers/flips like udaan.com, Meesho, PineLabs Demo, Razorpay, KreditBee, Zepto and more. Curious about what reverse flips are and how these changes will impact companies/startups mulling over relocating their #HQ back to India? In the video, also discussed a case of Pepperfry on their movement of HQ to India based on public information. #MnAwithChethan #Udaan #Meesho #Pinelabs #Razorpay #zepto #KreditBee #reversemerger #reverseflip

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The cost of treatment doubles every 5 years! Do you feel that healthcare costs are rising faster than your salary, feeling like a monster gobbling up your hard-earned cash? In a recent Karma Conversation at Turtle, we discussed a similar topic when Krishna - a freelancer, expressed her concern about the rising medical costs and how her parents keep saying their health insurance coverage feels inadequate these days. We discussed the reality of medical inflation in India and why is it important to have health insurance. We see that in the US, medical inflation sits around 4%, while India battles a staggering 14%, that’s more than China (12%), Indonesia (10%), Vietnam (10%), and the Philippines (9%). IMAGINE, EVERY YEAR YOUR MEDICAL NEEDS COST 14% MORE THAN THE PREVIOUS YEAR! But the concern is that most people in India pay 50% of healthcare expenses out of their pockets concerning the global average of 20%. Health Insurance is your shield 🛡 against this growing threat. But guess what only 15% of India's vast workforce receives health insurance support from their employers. Employee health should be the utmost priority of organizations in today's scenario but these statistics raise concerns about the long-term consequences for individual well-being and overall health outcomes. Due to escalating treatment costs, health insurance coverage becomes inadequate every five years. Without individual cover, they risk exclusion if they develop a condition. Keeping that in mind the importance of health insurance is abundant as we see that even a minor medical procedure can cost a significant amount these days. But health insurance here can absorb a large chunk of these expenses and prevent you from having to dip into your savings or go into debt. We also see an increase in average claims for infectious diseases, which rose at the rate of 26% CAGR between 2018-22. In metros like Mumbai, it's even higher. Keeping that in mind many health insurance plans offer features like automatic annual sum insured increases to help keep pace with medical inflation. Having said that health insurance isn't a magic bullet, but it's a powerful shield that protects your finances from the devastating blows of medical inflation. But don't go into this fight alone! A qualified insurance advisor can assess your unique situation and recommend the best strategies to combat medical inflation. If you are a #freelancer like Krishna, join us for a #KarmaConversation where we discuss concepts like these. Book your Karma Conversation from the link in the comment below! #Medical #Inflation #HealthcarePlanning #Insurance

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🍴 Swiggy - IPO Breakdown 🍴 Swiggy, India’s leading hyperlocal logistics platform, has redefined urban convenience and set its sights on a transformative future. Here’s what you need to know: -Founded: 2014 by Sriharsha M., Nandan Reddy, and Rahul Jaimini -Pre-IPO Valuation: ₹95,234 crores, with backing from Prosus Ventures, Accel Partners, and SoftBank Investment Advisers -Core Model: Delivering convenience through food delivery, quick commerce (Instamart), dining-out solutions, and lifestyle events -Key Markets: Operating across 653 cities in India, with a stronghold in Tier-2 and Tier-3 cities -Revenue Growth: ₹82,646M in FY23 to ₹112,474M in FY24 (+36%), driven by Instamart’s rapid growth Let’s explore how Swiggy is redefining urban living and shaping the future of India’s hyperlocal commerce ecosystem - https://lnkd.in/eEu5MMMF

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India's economic growth slowed to near two-year low of 5.4% in July-September quarter of the ongoing fiscal against 8.1% in the year-ago period, mainly due to poor show by manufacturing sector, according to official data released on Friday (November 29).

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🚀 Innovating Healthcare Access with Blinkit: Introducing GenMeds!💊 As a loyal user of Blinkit, I've always admired how it has revolutionized quick commerce in India. Today, I want to share an idea that could take Blinkit to the next level—introducing **GenMeds**, a new service under Blinkit for delivering generic medicines for everyday use. 🌟 Why GenMeds? - Market Potential:The generic medicines market in India is valued at approximately USD 25 billion and is growing rapidly. - Trust and Convenience:Blinkit is already a trusted name in quick commerce. Leveraging this trust for medicine delivery can address a critical need, making healthcare more accessible to everyone. - Focus on Essentials: Starting with OTC and common generics for everyday ailments, GenMeds can gradually expand to include a broader range of medicines, offering a quick, reliable alternative to traditional pharmacies. 🛡️ Challenges and Solutions: 1. Regulatory Compliance: Ensuring full compliance by partnering with licensed pharmacies and implementing AI-driven prescription verification. 2. Supply Chain Management:Advanced inventory management and strong supplier relationships will be key. 3. Customer Trust: Rigorous quality control and excellent customer service will ensure the safety and authenticity of medicines. 4. Competitive Market: Differentiation through speed, convenience, and Blinkit's established trust factor. 💡 The Vision: GenMeds can transform the way people access essential medicines, especially in emergencies or for those with limited access to pharmacies. This initiative could position Blinkit as a leader in healthcare delivery, making everyday healthcare more accessible for millions of Indians. Albinder Dhindsa I believe this idea has the potential to make a significant impact. Looking forward to seeing innovations that make a difference! ✨ #Healthcare #Innovation #QuickCommerce #GenericMedicines #Blinkit #GenMeds #Pharmaceuticals #India

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