In 2023, women-led direct-to-consumer (D2C) brands saw a remarkable increase, with transactions via Simpl’s Checkout Solutions expanding 54 times compared to the previous year, as noted in the Simpl Checkout Scan report. This surge is primarily fueled by consumers increasingly opting for online D2C brands to satisfy niche demands at competitive prices.
Khanaz K A, the Chief Experience Officer for D2C business at Simpl, emphasized the ongoing evolution within the Indian retail sector, observing that D2C brands are meeting the changing needs of consumers by providing dependable and affordable products. Simpl has introduced a range of solutions, such as 1-Tap Checkout, Simpl Checkout, Checkout Suite, and Early Settlement, to assist these brands, many of which are female-led.
Key categories driving growth for women-led D2C brands in 2023 encompassed beauty and wellness, apparel, artificial jewelry, supplements, and personal care. Noteworthy brands boosting this demand include Earth Rhythm, Inweave, Trubrowns, Raw Beauty Wellness, Dermabay, Estele, Fitspire, and Protouch Skin.
Although Gen Z and millennials represent primary consumers of D2C products, Simpl’s data indicated that about 65% of customers purchasing from women-led D2C brands hail from non-metro areas, illustrating an uptick in e-commerce acceptance in tier 2 and tier 3 cities.
The report further highlighted a 1.4-fold rise in the average order value (AOV) in 2023 compared to 2022, with women-led brands achieving an annual order checkout volume nearing ₹100 crore through Simpl’s platform. The Indian D2C market is forecasted to exceed $60 billion by 2027, with a compound annual growth rate (CAGR) of 40%, according to KPMG.
This rapid expansion is incentivizing women entrepreneurs to reinvest in their ventures, potentially resulting in increased job creation, the formation of manufacturing hubs, and greater investment in warehousing facilities.
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