👗😎 Bracketing and Deinfluencing
Blinkit's Numbers, MIXT and Marico Hunting
Hello! 👋
D2C Pulse is a newsletter written by the team at GlobalBees, curating happenings in the direct-to-consumer ecosystem of India.
Word of the day: Bracketing noun: Buying multiple items in different colors or sizes, only to return whatever doesn’t fit or work.
In India, about 25%–40% of clothes sold online are returned, which can be a third more than the apparel return rate in the U.S. Historically, online retailers in India prominently advertised free returns and longer return windows, extending up to 30 days, in order to encourage shoppers who would otherwise hesitate to buy from websites.
In recent months marketplaces like have been experimenting with cancelling free returns, adding a convenience fee for users with high return percentages and denying cash on delivery.
🗞️Marketplace Updates
Blinkit’s numbers are out. The quick commerce platform integrated with Zomato in August 2022, posted a loss in Q3FY23 at Rs 288.5 crore. Quarterly Numbers:
Gross Order Value (GOV) : INR 1,749 Cr up 18%
GOV per dark store: INR 5.24 Lakh
21% increase in order volumes
31 Lakh transacting customers
3.16 Crore orders
AOV: INR 568
Quick Farm: Zepto has launched a farmer engagement app (Zepto Bloom) that will help digitize supply chains for farmers the company works with and increase its offering of fresh fruits and vegetables. The farmer engagement app would digitise and streamline processes like onboarding, sowing, selling, supply of fresh yields and payouts.
Collection centres placed across villages will enable farmers to sell their produce directly through the app without the hassle of price auctions or lengthy credit transactions with buyers in the market.
Revenue and Points: Cred’s FY22 revenue from operations grew 4.4X to INR 393.5 Cr from INR 88.6 Cr in FY21. However, its losses for FY22 grew 2.4 X to INR 1,279 Cr from INR 524 Cr in FY21. Cred’s member community grew 50% to 11.2 Mn in FY22 from 7.5 Mn in FY21. The company has now moved to managed fulfilment for D2C players. Early days for Cred to evolve into a marketplace. One thing that’s missing in the app is the search bar. With a browse-based discovery, we wonder how many cross-brand products are in one basket.🤔
Trucking woes: D2C enabler Delhivery’s revenue from operations declined 8% year-on-year to INR 1,823.8 Cr for the December quarter. The company’s consolidated net loss surged 54.6% to INR 195.6 Cr during the Dec quarter from INR 126.5 Cr in the year-ago quarter.
ePharmacy Regulations: Over 20 e-pharmacies served DGCI notice for violating drug rules. The DGCI has said that even after the instructions from the apex regulator for compliance with the order of Delhi High Court, the e-pharmacies were found to be engaged in selling medicines online without license. Tata1mg, Flipkart Health+, and Amazon are among the ones who have been sent the show cause notice.
Nykaa Fashion introduced MIXT, a new Gen-Z-focused label to its house of brands. MIXT offers streetwear-inspired modern apparel options such as bodysuits, corsets, jumpsuits, jackets, cardigans, and footwear. Nykaa Fashion has built a portfolio of nine consumer brands including Nykd by Nykaa, Gajra Gang, Pipa Bella, Twenty Dresses, Likha, RSVP, KICA, IYKYK, and Gloot. (Whew! that’s a mouthful)
🍕D2C Bites
Profitable Noise: Gurugram-based bootstrapped startup Noise reported an 8% rise in its net profit to INR 35.5 Cr in the financial year 2021-22 (FY22) from INR 32.8 Cr in FY21 as its sales more than doubled during the year. The earphones and smartwatch manufacturers’ total income jumped over 2.2X to INR 804.9 Cr from INR 352.4 Cr in FY21.
Marico Hunting: Betting on rising digital commerce, Marico is scouting for D2C companies in the personal care and food segment. The company that acquired stakes in Just Herbs, Beardo and True Elements has witnessed a steady business increase and volume growth by D2C brands ahead of the set targets made during acquisitions.
📢Leader Speak
Get the latest on what D2C Founders and Leaders had to say this week!
“If you want to startup, figure out how you are going to survive for five years.” - Mukesh Bansal, Cofounder, Cult.Fit
Reads and Recommendations 📚
Here’s a list of all the new stuff launched by Shopify. Go ahead, plan out your website upgrades.
All about Sitemaps and how Google uses them
Influencers watch out. Now there’s a new trend on trend central( aka Tiktok) - Deinfluencing!
If there’s one thing you want to read today. Go through this presentation by Benedict Evan
🛀🏽Bamboo Bathrooms and Socks?
Here’s some awesome stuff that really got us excited. Bamboo fabrics are a rage. Mush has launched a bunch of awesome products (made from bamboo) and is offering amazing discounts to D2C Pulse readers.
20% OFF on Soak n Scrub Towels and Socks. Promocode : MUSH20PROMO
30% OFF on Innerwear , Bathrobes and Bathmats. Promocode : MUSH30PROMO
Bamboo is 40% more absorbent than even the finest organic cotton, wicking moisture away from the skin much faster and keeping you dry and comfortable easier. Bamboo can take in three times more water than its weight which once made into a fabric, means that it also is able to get rid of moisture faster.
That’s all for this week! Bye!
Stay tuned for more.
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