This is a user generated content for MyStory, a YourStory initiative to enable its community to contribute and have their voices heard. The views and writings here reflect that of the author and not of YourStory.

Will Investors ever turn an eye towards India's Retail Sector ?

Indian Startup Ecosystem is all about Tech & AI but will investors turn an eye towards India's Retail Sector is yet to be seen.

Will Investors ever turn an eye towards India's Retail Sector ?

Sunday July 16, 2017,

3 min Read


If You are a Startup working on AI,Health Tech or some innovation in Tech this are the best chances to approach fund raising because currently all investors are following each other towards this fields. Fund Raising is not at all easy but if the trends are towards your sector then you have a better chance to raise funds. Your timing should be right. Same was few years back in terms of E-commerce. Investors where looking for startups into this field & many raised funds just because their timing was right.

Now when the dust has finally settled for E-commerce firms the investors have burned lots of money with no near sights of profitability. Hence new e-commerce players are finding difficult to stand in the market as funds to this sectors have dried up.The hands are full of cash burns & customers expectations are rising day by day. Fierce competition is something every one wants to avoid but race for top is still on with no clear winner.

This was current & past scenario of Indian Startup Ecosystem but one sector that is vast,unorganized & profitable has not got on the tables of Investors. The RETAIL SECTOR is what we are talking about. Indian Retail sector is one of major sectors of our economy. Retail Sector is something that connects directly with the main consumer. Retail sector consists of small business that have their own set of customers loyal & trusted with very minimum customer acquisition cost. In terms of retail sector of Women's Apparel the sector is currently under stress due to GST confusions & cash flow. Women's apparel retail sector is highly unorganized so much that even to procure data is practically not possible. There are several startup trying to organize chains but very few have made impact on consumers due to touch & feel facility that customers demand which is not easy to fulfill. Retail Sector is highly asset heavy model with Women's Apparel are even more expensive to handle. Startups such are RUDRI are innovating retail sector with the approach but lack of investment to tackle early comers is big hurdle. Venture Capitals or Angel Investors are not willing to put hands into this sector due to Heavy Asset model & unorganized structure in fact knowing that once successful the sector is profitable & sustainable with regular cash flow & direct touch with the consumers.

Since the sector is struggling every startup into this is hoping that some investors would join this tedious task with expertise & create a Win - Win situation for everybody. The startup ecosystem in India is becoming to be dominated on heard mentality with investors eyeing one particular sector & industry. Retail is not easy field to be into but its on the base that drives considerable part of Indian economy.

The Wheel keeps on rolling lets see when its stops on Retail Sector being favorite choice.

Thanks For Reading