Newsnews

Accel Ventures Into New India Fashion E-commerce With Newme

accel-ventures-into-new-india-fashion-e-commerce-with-newme

Accel, a key investor in Indian e-commerce giants Flipkart and Myntra, is gearing up for a new venture in the Indian fashion e-commerce landscape amidst heightened competition from Mukesh Ambani’s Ajio platform.

Key Takeaway

Accel, a prominent investor in Indian e-commerce, is considering a substantial investment in Newme, an emerging fast-fashion e-commerce player in India. This move underscores the escalating competition in the Indian fashion e-commerce landscape, with established players facing challenges from both domestic startups and global partnerships.

Accel’s Potential Investment in Newme

Accel is reportedly in advanced discussions to lead a funding round of $15-20 million into Newme, an Indian fast-fashion e-commerce startup. This move comes shortly after Newme’s announcement of securing $5.4 million in seed funding led by Fireside Ventures. If the funding goes through, Newme could be valued at around $83-85 million post-money, positioning it as the “Shein for India” according to some supporters.

About Newme

Newme, often likened to “Shein for India,” specializes in its own rapidly-changing clothing lines available online and through offline channels. The startup, established in 2022, targets India’s Gen Z consumers with an average order value ranging between $18-30. It prides itself on serving 350,000 customers and introducing 500 new designs weekly, all at an average price point of $10.

Accel’s Interest and Previous Backing

Accel’s interest in Newme follows its prior support for Virgio, another Indian online fashion retailer that later underwent a pivot.

Competition in the Fast-fashion E-commerce Space

The fast-fashion e-commerce sector in India has been witnessing significant growth, with local startups drawing inspiration from global fast-fashion leaders such as Zara, H&M, and Uniqlo. While Flipkart remains a dominant player in this category, it faces increasing competition from Ambani’s Ajio, which has secured approximately 30% market share, as per research firm Bernstein. Additionally, e-commerce rival Amazon is also making strides to strengthen its fast-fashion operations, as indicated by recent job postings.

Shein’s Comeback

Shein, previously banned in India, is poised for a return through a joint venture with Reliance, as announced by the two companies last year.

Accel and Newme have not yet responded to requests for comments.

Leave a Reply

Your email address will not be published. Required fields are marked *

Recent Stories

How To Place Mushrooms In Minecraft

How Much Is Minecraft On Mac

How To Get Minecraft Bedrock For Free

How To Grow Sea Pickles In Minecraft

LoanDepot Cyberattack Exposes Sensitive Customer Data

FlowGPT: The New Frontier Of GenAI Apps