Monday, 6 October

Monday, 6 October2025

D2C Startups Thrive Post-Acquisition, Yet Profitability Remains Elusive

D2C Startups Thrive Post-Acquisition, Yet Profitability Remains Elusive
Leading FMCG giants like Hindustan Unilever, ITC, Marico, and Emami have acquired or taken controlling stakes in over a dozen D2C startups in the past five years. While these acquisitions have accelerated sales and expanded distribution, profitability remains a challenge. For instance, Emami's The Man Company returned to losses, and Just Herbs saw its losses widen. Experts caution that high customer acquisition costs and integration complexities may hinder long-term gains.

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