Amazon's own business lines and new policy changes coupled with the recession's impact on consumer spending finished Thrasio. They were primarily dependent on Amazon for identifying good D2C businesses, acquiring them and turning them into profit-making machines.
What's next for Indian D2C aggregators like Mensa?
Thrasio based startups raised millions on a billion dollar valuation. They have a readymade template on what they aren’t supposed to do next now.
Hard to see what they’ll pivot to now The valuations are already up there, to pivot and build something that fits into the valuation will be incredibly hard
They never owned their customers, always borrowed from the likes of Amazon.
Customer acquisition is the largest cost head for D2C startups (for some 2nd largest after delivery), if consolidation didn't help solve that it makes it tough to build a high repeat business, hence a poor LTV
This is the truth
Should have built own Channels and diversified into overseas markets
A lot of gyanis in this thread it seems who say things with all the benefit of hindsight.
At least the d2c aggregator model is somewhat viable unlike a ton of other models such as b2b e-commerce, fintech, ed tech and what not. The only issue I see is that valuations went up too fast too soon. That leads to lower interest in the next round of fundraising from new investors.
Fintech isn't viable? Since when?
Fintech, besides payment processing which is super low-margin, is essentially providing digital lending services on behalf of banks and NBFCs. Eventually the Fintech becomes an NBFC or a bank with enough scale/resources and reaches a steady state. Tough to grow beyond that point quickly because of a myriad of regulations.
But the founder of Mensa brands was very confident of the business model and were going to turn profitable it seemed 👀
Ab ho gya na fundraise? What's the point of saying these things now. You are not listed. You have already raised close to $1bn. It's not like this is bringing new customers. What's the point of all this PR now? Why not focus on executi...
I'm talking about new startups, as a founder who's trying to build an ecommerce platform currently.
I'm still very early, but it feels that the writing is on the wall. Flipkart, Myntra, Nykaa, Zomato, Swiggy etc. have all built great p...
Uber , AirBnb , SWIGGY, Zomato etc are "Comission" or "Bicholia" Companies. Why do they keep losing money? They should make money even if they are to provide attractive offers to drivers/delivery guys etc
Is it because they spent too mu...
Shopflo laid off 28% of the team today - still don’t understand how this company exists and is hoping to make any money.
Having no idea what to do next, they’re desperate to travel to US now to try and capture market there - reminder ...