- January 23, 2026
- Posted by: Renu Jangra
- Category: Opinions
In 2026, it takes not only speed but substance to build a successful brand in the Indian consumer ecosystem. The sector, which KPMG pegs at about USD 12 billion in 2022 and projects to cross USD 60 billion by 2027, is entering a more disciplined phase, one defined by profitability, operational control and repeat-led growth rather than rapid customer acquisition.
Across categories, founders are navigating tighter capital cycles, rising digital acquisition costs and a consumer who is far more deliberate about what they buy and why. Founders say these pressures are pushing brands to move beyond acquisition-led growth and focus instead on retention, operational discipline and sustainable unit economics.
For many founders, the biggest adjustment has been mental. “When we started ellementry, growth was often equated with speed – launch quickly, scale fast, acquire customers aggressively,” says Ayush Baid, Founder, Ellementry, a lifestyle and homeware brand. “Today, the environment is far more disciplined… every decision, from inventory planning to marketing spends, has to justify itself operationally and financially.”
That sentiment echoes across the ecosystem. Prithwi Singh, Co-founder of F&B brand Khetika, describes the shift as unavoidable. “The biggest shift has been from growth-at-any-cost to discipline-at-every-step. Two or three years ago, capital was easier, CACs were lower… Today, the environment demands restraint.”
Even old, well-established brands are now facing tight scrutiny. As Akhil Jain, CEO & MD of fashion brand Madame explains, the pressure is visible in how quickly brands are now expected to prove sustainability. “Capital is tighter, expectations are higher, and brands are being pushed to prove sustainable unit economics much earlier. Scaling is no longer about speed alone, but about scaling responsibly while staying profitable.”
A Consumer That is Harder to Convince
Founders are also unanimous about one thing: the consumer has changed.
“Early on, we assumed that good design and fair pricing would automatically translate into loyalty,” says Baid, adding, “What we’ve learned over time is that today’s consumer is emotionally intelligent, values-driven, and far less impulsive than before.”
This erosion of automatic loyalty has been particularly sharp in trust-led categories. “Building and scaling a D2C brand today is very different from even a few years ago,” says Rithish Kumar, Co-founder of hygiene and wellness brand, Pee Safe, adding, “Rising customer acquisition costs, platform saturation, and a far more discerning consumer have made trust and credibility critical.”
In beauty and skincare category, the bar is even higher. “The hardest part has been staying committed to longevity in a culture that celebrates instant results. People are exhausted from quick fixes… Loyalty comes when someone realises, six months in, that their skin just works better,” says Renita Rajan, Founder, CHOSEN by Dermatology
Channels Multiply, Complexity Rises
The D2C playbook has also become structurally more complex. Founders are now balancing their own websites with marketplaces, offline retail, quick commerce and even ONDC.
Quick commerce alone accounted for an estimated USD 6–7 billion in GMV in 2024 and now handles over two-thirds of India’s e-grocery orders. But with scale has come scrutiny. In January 2026, the labour ministry asked platforms to stop pushing “10-minute delivery” claims, signalling that speed is no longer just a growth lever, but a regulatory risk.
For brands, this means operational readiness matters more than messaging. “Managing multiple channels like D2C, marketplaces, quick commerce, and offline has added complexity compared to earlier, simpler D2C models,” says Kumar of Pee Safe.
Offline presence, once seen as optional, is making a comeback. “Customers still place immense value on physical presence,” says Shobhit Singh, MD & CEO, The Stone Sapphire India. “Online alone is no longer enough to build long-term scale.”
Operations Move from Backend to Brand Core
If there is one theme founders return to repeatedly, it is operations.
“Operational excellence is not a backend function; it directly shapes customer experience and brand perception,” says Baid. Rising logistics costs, higher return-to-origin rates on COD orders and expensive last-mile delivery have turned fulfilment into a strategic function.
“In fashion, speed, flexibility, and accuracy can make or break margins,” says Jain of Madame, adding, “Fulfilment expectations have also risen, making last-mile efficiency a critical part of the brand experience.”
For food and clean-label brands, sourcing has emerged as the hardest problem. “When you commit to zero preservatives and single-origin inputs, sourcing stops being an upstream activity and becomes the foundation of the entire business,” says Singh of Khetika.
Process discipline, once resisted by early-stage startups, is now unavoidable. “Approval checks and SOPs are often seen as bureaucratic,” says Shobhit Singh, “but in reality, they significantly reduce long-term risk.”
Marketing matures: from visibility to credibility
Marketing, too, is being rebuilt. Digital ad spends crossed INR 49,000 crore in FY25, while influencer marketing is now a INR 3,600-crore industry. But founders say performance marketing alone no longer works.
“The market has clearly moved away from vanity visibility to measurable outcomes,” says Jain, adding, “Every marketing decision today is evaluated on conversions, repeat behaviour, and retention.”
For Dheeraj Banswal, Co-founder, Recode Studios, this has meant rethinking loyalty itself. “We had been operating under the assumption that demand translated into loyalty, when in fact allegiance is something that needs to be won and nurtured on an ongoing basis.”
What Endurance Looks Like in 2026
Despite category differences, founders converge on a similar definition of endurance.
“Enduring D2C brands will be those built on fundamentals rather than hype,” says Shobhit Singh, “Strong unit economics, clear product–market fit and repeat-led demand will consistently outperform scale-at-any-cost models.”
For Baid, it comes down to patience. “The D2C ecosystem is maturing, and that’s a good thing. It’s no longer about who grows the fastest, but about who builds with intention, integrity, and resilience.”
As the sector moves into 2026, founders increasingly agree that the next phase of growth will not be driven by visibility alone. Instead, they point to operational discipline, consumer trust and repeat behaviour as the real differentiators in a market where capital is cautious and growth is being scrutinised more closely than ever.