Klub, India's leading growth enablement platform, has achieved a significant milestone by disbursing INR 100 crore to support brands during the 2023 festive season. The funding is aimed at improving sales on leading e-commerce platforms such as Amazon, Flipkart and Myntra. As part of its strategic growth plan, Klub plans to double this investment to INR 200 crore for the 2024 festive season. This increased funding will enable SMEs to maintain inventory and plan marketing activities in advance to meet the increased demand during the Indian festive season. Notably, Klub will provide funding of up to INR 300 crore in a single tranche and is committed to multiple capital structures that suit brands and founders, including term loans, credit lines and revenue financing. Klub's efforts are led by leading NBFCs such as U GRO Capital and are working with supply partners.
In 2023, Klub's investments were primarily directed towards sectors such as beauty & personal care, fashion & apparel, and cloud kitchens & restaurants. Notable brands that have benefited from these investments include Monrow Shoes, BRB Chips, Berrylush, and Potful.
Anurat Jain, Co-founder and CEO, Klub said, “Our mission has always been to enable D2C brands to realize their full potential. The festive season is a critical time for brands and our investments are designed to enable them to maximize sales. We are pleased to double our commitment to INR 2 billion this year to support a broader segment and drive significant growth for Indian retailers. This initiative comes as festive sales are expected to increase 10-12 percent, with the e-commerce industry expected to surge to $111 billion this year.”
Klub's ambitious plans for 2024 include pumping in Rs 2,000 crore into its D2C brands across 45+ sectors to ensure it is fully prepared for the upcoming festive season.
Sharing her experience, Veena Ashiya, Founder, Monrow Shoes said, “Klub's support has helped us scale our business, especially during the festive season across our own DTC and marketplaces like Myntra. Their investment not only provided us with the much-needed capital but also gave us the confidence to expand our reach and strengthen our product line-up. We look forward to continuing our partnership and achieving more milestones together.”
Klub's lending partner, UGRO Capital, also praised the initiative. “Our partnership with Klub enables us to support the dynamic growth of Indian D2C brands,” said Taniya Chadha, Chief Business Officer, Digital Business & Alliances, UGRO Capital. “Their innovative financing solutions are pivotal in providing these brands with the resources they need to thrive during peak sales times like the festive season. We are proud to be a part of this journey and witness the impressive growth of these businesses.”
In 2024, Amazon India and Flipkart experienced significant growth in their seller base. Amazon India introduced new perks to attract more sellers, and Flipkart reported a 30% increase in its seller base compared to the previous year. As more small and medium-sized businesses leverage these e-commerce platforms to scale their growth, Klub's strategic investment is poised to play a pivotal role in shaping the future of India's retail and e-commerce landscape.
