Why India Loves D2C Food Brands: 2025 Buying Trends
Think about the last time you bought food directly from a brand's app or website. For most Indians, it wasn't long ago. What once felt like a convenience-driven alternative has now become default behaviour.
NOV 06, 2025
TEAM RARE
India's D2C Ecosystem: A ₹8.5 Trillion Revolution
India's D2C ecosystem is now estimated to be worth ₹8.5 trillion ($100 billion USD) by 2025, with over 800 active brands; some already outrunning legacy FMCG giants by trillions. This isn't just a channel shift. It's a structural change in how Indians discover, evaluate, and buy everyday products.
What's fueling the change? Convenience is the obvious answer, but it's only the entry point. A McKinsey study shows that more than 30% of consumers across age groups now default to online grocery orders for sheer ease. Just as important, 60% of consumers opt for quick commerce platforms like Blinkit and Zepto to secure immediate access to daily essentials, reflecting a preference for speed and reliability in their shopping habits.
Quick commerce has intensified this shift. By 2024, instant delivery moved from being a value-add to being an expectation, resetting how customers define access. For many shoppers, waiting is no longer part of the equation.
But beneath the speed and ease lies a deeper story: consumers are choosing brands that align with how they want to live, whether that's sustainability, personalization, or the assurance of systems built around their needs.
These forces reveal the underlying behaviours driving Indians to choose D2C food brands, including the preference for convenience and time-saving solutions, and the growing demand for sustainability and personalised experiences. Understanding these patterns is critical for founders and brand leaders, as they signal not only how consumers shop today, but also how retail systems, brand positioning, and customer expectations will evolve through 2025 and beyond. Brands that recognise and design around these systemic shifts, integrating speed, trust, and cultural relevance into every touchpoint, will be the ones that scale efficiently and earn lasting consumer loyalty.
India's D2C Food Market in 2025: A Snapshot
The D2C food market in India has evolved from a niche segment into a dominant force reshaping how consumers interact with food brands. This transformation has accelerated at an unprecedented pace, creating new opportunities for both consumers and businesses.
Market size and growth projections
The numbers tell a compelling story. The Indian D2C food sector is experiencing explosive growth, with the overall D2C market expected to reach INR 8.5 trillion (USD 100 billion) by 2025 from ₹6.64 trillion INR in 2024. Food and grocery specifically are projected to account for approximately 33% of this expanding market. The pace of this expansion is particularly noteworthy with annual growth rates hovering between 25-30% show no signs of slowing as we move through 2025.
Raised by startups in recent quarters
The rapid growth of D2C food brands reflects more than changing consumer habits and better digital infrastructure; it signals a structural shift in how brands must operate to scale. Investors have recognised this potential, with food tech startups raising over ₹1.74 trillion INR as investment in recent quarters, demonstrating that capital is flowing toward ventures that combine product, systems, and brand clarity. The healthy food segment is emerging as a high-growth category, with organic and natural products achieving a CAGR of nearly 24%, highlighting that consumer demand is now as much about trust and wellness as it is about convenience.
Growth is no longer confined to metropolitan markets. Tier II and III cities now account for almost 40% of D2C food purchases, showing that scale requires brands to design systems that reach beyond early adopters and urban hubs, ensuring operational reliability and brand recall across a diverse demographic landscape.
Key sectors driving expansion
Role of digital-first brands
What's Driving the Shift to D2C Food Brands
Several powerful forces are reshaping India's food purchasing landscape. The shift toward direct-to-consumer (D2C) food brands reflects evolving consumer priorities and expectations that traditional retail models struggle to meet.
Desire for convenience and speed
Time has become the most valuable resource for Indian consumers, and this is reshaping how food is purchased. Research indicates that 76% of consumers cite convenience as the primary reason for choosing D2C food brands over traditional stores. This trend spans all demographics, with even older generations increasingly adopting online purchasing for its simplicity.
Quick commerce has reset expectations around delivery. Today, 68% of urban consumers expect food products to arrive within 30 minutes or less, driving brands to invest in robust logistics and micro-fulfilment centres across major cities.
Mobile-first shopping is now the norm rather than the exception:
of D2C food purchases occur via smartphone apps
Consumers spend daily browsing food-related content
of regular D2C shoppers enrolled in recurring delivery programmes
As a 28-year-old professional in Mumbai explained in a survey, "I don't have time to visit multiple stores hunting for specific products. D2C apps bring everything I need directly to my doorstep with minimal effort."
Need for healthier and transparent options
Health consciousness has emerged as a powerful driver behind D2C food brand adoption. 64% of Indian consumers now actively seek brands that provide detailed nutritional information and ingredient transparency, a 27% increase from just three years ago.
The clean label movement has gained tremendous momentum in India. Currently, 71% of D2C food purchasers regularly check ingredient lists before buying, and 59% express willingness to pay premium prices for products free from artificial additives. Products featuring "no artificial ingredients" claims experienced 43% higher growth rates than their conventional counterparts.
Food allergies and dietary restrictions have fuelled the D2C revolution. 38% of consumers with specialised dietary needs report that D2C brands better cater to their requirements than traditional retailers. The personalisation capabilities of direct-to-consumer models allow for easier filtering and discovery of suitable options.
Trust factors heavily into purchasing decisions. 67% of consumers trust D2C brands more than traditional food companies regarding ingredient quality and sourcing practices. This trust stems from the direct relationship these brands cultivate with their customers.
Avoiding middlemen for better pricing
Eliminating intermediaries is a fundamental economic advantage for direct-to-consumer brands. This model allows them to offer premium products at prices that are 15 to 30 per cent lower than those through traditional retail channels, making it highly attractive to Indian consumers who prioritise both value and quality.
However, the value proposition extends beyond pricing alone. Research shows that over half of consumers identify greater worth in direct purchases because of enhanced product quality, superior convenience, and personalised customer service—benefits that conventional retail often fails to deliver.
Fresh subscription models offering weekly deliveries of curated meal kits have gained traction, particularly in dual-income households seeking to balance convenience with home-cooked meals. Also, many Indian D2C brands leverage strategic offerings such as curated bundle deals and limited-period sampling packs to provide cost savings and flexibility. For example, speciality snack brands frequently introduce starter packs that enable customers to experience a diverse product range affordably, effectively bypassing retail markups.
Another critical advantage of the D2C approach is responsiveness. By maintaining direct consumer relationships without retail intermediaries, brands gain swift access to customer feedback, enabling rapid adjustments to product lines. This operational agility helps brands stay culturally relevant and deliver products better aligned with the evolving preferences of Indian consumers—an adaptability traditional retail frameworks struggle to match.
This model prioritises clarity, efficiency, and consumer-centric innovation, creating a sustainable competitive edge for founder-led brands aiming for long-term market impact.
Changing Trends in Consumer Behaviour
Consumer preferences across India are undergoing fundamental shifts that extend far beyond simple purchasing habits. These behavioural changes are reshaping the entire food landscape, creating opportunities for brands that can adapt quickly to evolving expectations.
Rise of conscious consumption
The Indian food market is witnessing a remarkable shift toward mindful eating patterns. 88% of consumers now express willingness to pay premium prices for healthier food options. This trend isn't confined to metropolitan areas, it represents a nationwide movement toward more intentional food choices.
Health-forward consumption has gained substantial momentum, particularly among younger generations. These consumers aren't just seeking tasty products; they want options that align with their values and priorities. The focus on nutrition has intensified dramatically, with 64% of global consumers now demanding more personalised nutrition products tailored to their specific lifestyles.
Preference for personalised experiences
Personalisation has moved from being a nice-to-have to becoming the core battlefield for D2C brands. According to McKinsey, companies that excel in personalisation generate 40% more revenue from those activities compared to competitors. That is why D2C food and wellness brands are investing heavily in technologies and strategies that bring hyper-customisation to the consumer experience.
Modern consumers no longer respond to one-size-fits-all offerings. Epsilon research shows that 80% of customers are more likely to purchase when brands deliver personalised experiences. In food and wellness, that translates into recommendations tailored to individual health goals, dietary needs, and lifestyle choices where personalisation makes or breaks the customer relationship.
Here is the rare POV: Personalisation is less about overwhelming customers with choices and more about curating relevance. By stripping away what does not matter, brands make decisions simpler, faster, and more trustworthy. This shift from "more options" to "fewer, smarter options" is what sets winning D2C players apar
D2C brands enjoy a natural edge because of their direct data relationships with customers. By leveraging feedback loops, they not only refine products but also anticipate new trends and identify underserved markets.
In India, Traya Health is a standout example. Operating at the intersection of food, wellness, and healthcare, Traya uses a deeply personalised approach to treat hair loss. Instead of offering generic products, the brand starts with diagnostic tests, understands root causes like nutrition or stress, and then delivers a customised treatment plan combining Ayurveda, dermatology, and nutrition. Every follow-up, every product recommendation, and every content touchpoint is tailored to that individual's journey, making customers feel seen, understood, and supported.
Beyond product personalisation, the frontier has expanded to:
Dynamic content shaped by browsing behaviour.
Personalised communication based on health and progress milestones.
Tailored customer journeys that adjust as individual needs evolve.
The result is that personalisation becomes more than a sales driver. It becomes the bridge of trust that turns customers into long-term believers.
Influence of social media and peer reviews
Social media platforms have fundamentally altered how consumers discover and evaluate food products. With over 90% of adolescents maintaining at least one social media account, food brands now view these platforms as essential marketing channels. The impact of these digital environments on eating habits is both profound and measurable.
Visual content particularly influences food choices. High-quality images and videos of appetising dishes rank among the most shared content on platforms like Instagram. Studies indicate that viewing food images activates the brain's reward centres, increasing hunger and the likelihood of impulsive eating.
Food influencers wield substantial power in shaping consumer preferences. With millions of followers, these content creators can significantly impact purchasing decisions through their reviews, recipes, and partnerships. Fast food brands increasingly collaborate with influencers to benefit from their authentic connections with audiences.
Peer recommendations have emerged as crucial decision-making factors. Research shows that 8 out of 10 millennials won't purchase a product without reading reviews first. This reliance on social proof drives D2C brands to actively encourage customer testimonials and user-generated content to showcase positive experiences.
Demographics of the Indian D2C Food Shopper
The demographic landscape of India's D2C food market reveals fascinating patterns that help explain the sector's explosive growth. Understanding who these digital shoppers are provides critical insights into the future trajectory of food retail in the country.
Millennials and Gen Z as primary buyers
Digital-first generations dominate India's D2C food ecosystem. Gen Z and millennials together constitute nearly 70% of quick commerce users, making them the primary drivers of direct-to-consumer food brand adoption. Indian Gen Z, the world's largest such cohort, makes up 27% of India's population and contributes approximately 17% of the nation's total consumption.
These younger consumers exhibit distinct shopping behaviours compared to previous generations. They're more experimental with food choices, rely heavily on social media for brand discovery, and make faster purchase decisions. Many young consumers now base their buying decisions on brand narratives first and products second. As one D2C founder noted, "People buy into the narrative of a young brand trying to challenge the status quo in a large market with a product that's fundamentally better than what exists".
Gen Z demonstrates a striking preference for digital payment methods, though those in tier II and III cities still favour cash on delivery options.
Urban vs. Tier II/III city adoption
The geographical distribution of D2C food shoppers has undergone a remarkable shift. Once concentrated primarily in metropolitan areas, adoption now spreads rapidly across smaller cities. Currently, three in five new online shoppers since 2020 come from Tier-3 cities or smaller, representing a significant change in the market's centre of gravity.
Shoppers in Tier-II+ cities demonstrate comparable spending power to their big-city counterparts. Average selling prices in these regions align with or fall only marginally below metros, particularly for electronics, appliances, and general merchandise. However, shopping behaviours differ, urban consumers prioritise speed and pay premium prices for quick delivery, whereas smaller-city shoppers focus more on deals and discounts.
The rapid expansion of quick commerce into smaller cities has been particularly impactful for niche D2C food brands. MyMuse, which sells intimacy products, now generates almost a third of its revenue from non-metro regions. Similarly, men's sexual health brand Bold Care derives over 40% of its total revenue from tier II and III cities.
Gender-based consumption patterns
Gender differences play a significant role in shaping India's D2C food landscape. With rising financial independence, women's shopping behaviour has shifted from being largely social and collective to increasingly individualistic. This evolution is especially visible in the food sector, where women are taking more independent purchasing decisions across geographies.
Consumer data highlights notable contrasts in category preferences. Although detailed food-specific breakdowns are limited, adjacent categories reveal clear patterns. For example, women show stronger interest in specialised haircare and health-oriented products, suggesting that similar differences likely extend into food and nutrition choices.
Social media influence also plays out differently across genders. Around 62% of consumers reported trying new products after repeated exposure on Facebook or Instagram, yet the impact of these platforms varies significantly between male and female audiences.
Subscription behaviour further underscores these distinctions. Women, particularly in urban markets, display higher loyalty to brands offering subscription-based services with personalisation built in. For D2C food brands, this points to a major opportunity: designing tailored subscription models and replenishment cycles that resonate with women's evolving preferences.
How Packaging and Brand Strategy Influence Buying
Packaging is the silent salesperson of the D2C food ecosystem. It often determines whether a product makes the leap from a digital shelf into a shopping cart. No longer just a protective wrapper, packaging in today's processed food industry has become a strategic communication tool—one that shapes perceptions and strongly influences purchase behaviour.
The psychological pull of packaging is hard to ignore. Research shows that design aesthetics and transparency are pivotal drivers of buying decisions, often carrying more weight than freshness alone. Take The Whole Truth Foods as an example: their clean-label bars and cereals use packaging that boldly lists every ingredient right on the front. This radical transparency transforms a design choice into a trust-building strategy, signalling honesty in a cluttered category.
The Visual Power of Packaging Design
Visual elements create immediate impressions, and in India's fast-expanding D2C landscape, these first impressions are critical. Studies suggest nearly 70% of buying decisions are made at the point of visual evaluation. For online-first brands, where touch and sampling aren't possible, packaging must do all the heavy lifting. Paper Boat has mastered this by turning beverages into emotional experiences—their playful typography, vibrant colours, and nostalgic illustrations instantly transport consumers to childhood memories. Here, design is not decoration; it is storytelling in its most powerful form.
Good packaging does more than attract the eye; it elevates perceived value. Indian consumers routinely pay premiums for products that "look" better, because packaging signals quality and aspiration. Forest Essentials demonstrates this brilliantly. Their use of rich textures, gold accents, and Ayurvedic-inspired motifs doesn't just communicate luxury, it creates a gifting appeal that elevates skincare into an indulgent ritual.
This explains why many Indian consumers are willing to pay a premium for products with thoughtful, appealing design. This is shaped by elements such as:
Colour psychology that signals health, indulgence, or energy in the very 1st sight
Typography and imagery that reinforce brand identity.
Textures and materials that suggest premium positioning.
Sustainable components that resonate with eco-conscious buyers.
In D2C, packaging is far from silent. It is the voice that convinces, converts, and creates loyalty, often before a product is even tried.
Brand storytelling and emotional connection
Brand narratives through packaging create powerful emotional connections with consumers. Packaging is often the first physical interaction a customer has with a D2C brand, making it a critical storytelling tool that communicates the brand's mission, values, and product benefits.
Emotional packaging engages consumers on psychological and sensory levels. Colours, textures, shapes, and materials can evoke feelings of trust, nostalgia, and well-being, influencing brand perception and purchase decisions. Neuroscience research shows that over 90% of purchase decisions are influenced by emotions and subconscious perceptions.
These emotional connections translate directly into business outcomes. Positive packaging experiences drive repeat purchases, enhance customer retention, and generate word-of-mouth referrals. Studies indicate that 52% of consumers are more likely to buy again from brands that deliver premium packaging, underlining its role in building long-term relationships.
Grannyways, a D2C brand dedicated to reviving traditional Indian foods, exemplifies this approach. Their packaging reflects a deep respect for heritage and purity, signalling quality and authenticity through carefully selected materials, earthy tones, and artisanal design elements that echo the age-old techniques they employ.
By combining storytelling, heritage, and thoughtful design, Grannyways demonstrates how strategic packaging can turn a simple product into an experience, reinforcing brand loyalty and sustaining growth in India's competitive D2C food market.
Trust and transparency in labelling
Transparency in labelling has become non-negotiable for Indian consumers. Shoppers increasingly favour transparent packaging that offers detailed product information, fostering trust and compliance with their values and expectations. This trend highlights the necessity for D2C brands to adopt clearer labelling practices and more informative packaging.
Trust in food labelling remains a central concern, with many consumers expressing scepticism about product claims such as "natural," "low fat," or "sugar-free," particularly when such claims lack third-party certification. To counter this scepticism, successful D2C brands are prioritising honest communication, providing detailed information about production processes, including sourcing, environmental conditions, and ethical practices.
To address this, successful D2C brands are prioritising honest communication. Only What's Needed by Food Pharmer sets a benchmark with its label featuring full ingredient transparency, Braille nutrition facts, and QR codes linking to regional language information, alongside a rigorous 7-step product testing process. This level of openness builds trust and reinforces authenticity.
The data demonstrates a pronounced willingness among consumers to pay a premium for products packaged in sustainable materials. Environmental considerations have become a significant factor in packaging design, with many consumers actively seeking brands that demonstrate environmental responsibility through their packaging choices. Sustainable materials and minimalist designs not only appeal to eco-conscious buyers but can also provide cost efficiencies in production and shipping.
Technology's Role in Shaping D2C Food Preferences
Technology serves as the invisible backbone of the D2C food ecosystem in India, fundamentally reshaping how consumers discover, evaluate, and purchase food products. Digital platforms continue to influence consumer behaviour in increasingly sophisticated ways, creating new possibilities for both brands and shoppers.
Use of AI and data for personalisation
Over 60% of D2C food brands utilise predictive analytics to anticipate consumer needs
AI-driven suggestions achieve 35% higher conversion rates
Consumers show 40% higher basket values with personalisation
Artificial intelligence has transformed how D2C food brands interact with their customers. Currently, over 60% of D2C food brands in India utilise predictive analytics to anticipate consumer needs and preferences. These algorithms analyse past purchases, browsing patterns, and demographic information to create hyper-personalised shopping experiences.
Recommendation engines have become a critical lever for D2C brands, with top-performing platforms achieving 35% higher conversion rates through AI-driven suggestions. By understanding consumer preferences, dietary needs, and health goals, brands can serve products that feel curated rather than pushed.
Personalisation goes beyond product recommendations. Forward-thinking D2C brands leverage customer data to customise:
Meal planning aligned with nutritional objectives
Recipe suggestions using previously purchased ingredients
Tailored shopping lists reflecting household consumption patterns
The results are tangible: consumers engaging with personalised experiences show 40% higher basket values. From a strategic perspective, personalisation is not just a convenience; it is a system that deepens trust, strengthens loyalty, and turns data into actionable growth, creating a measurable advantage for brands that use it thoughtfully.
Mobile-first shopping behaviour
Smartphones have become the primary shopping channel for food products, accounting for 78% of all D2C food purchases in India. This shift has made mobile optimisation essential, requiring brands to create seamless browsing, intuitive navigation, and fast checkout experiences.
The average Indian consumer now has 4-6 food-related apps installed, checking them 3-4 times per week and spending 12-15 minutes browsing before purchasing. Voice search is increasingly popular, with 42% of users using it to find food products, particularly older consumers who prefer hands-free navigation.
Social commerce is also reshaping discovery and purchase behaviour. 65% of Gen Z and millennial consumers discover new food brands through social platforms and buy directly through app-integrated features. Zepto exemplifies mobile-first excellence by continuously adapting its app interface and user experience based on seasonal, festive, and consumer behaviour patterns. For example, during Diwali or summer months, Zepto highlights relevant categories, bundles, and offers tailored recommendations, ensuring customers find what they need quickly. This dynamic UX approach not only enhances customer satisfaction but also drives higher engagement, repeat purchases, and loyalty, demonstrating how a mobile-first strategy can be a growth engine for D2C food brands
Subscription models and app-based ordering
Subscription services have revolutionised food purchasing patterns across India. Currently, 53% of regular D2C food customers participate in at least one subscription programme, with the average subscriber maintaining 2.3 active food subscriptions simultaneously. These models create predictable revenue streams for brands whilst offering convenience and cost savings to consumers.
Subscription retention rates vary significantly based on product category. Essentials like coffee, tea, and daily groceries maintain 76% retention after six months, whereas speciality items show more churn at 48% retention over the same period.
App-based ordering has evolved beyond mere convenience to include gamification elements that drive engagement. Features like loyalty points, streak rewards, and referral bonuses have proven effective, with gamified apps reporting 28% higher customer retention rates.
The future trajectory of India's D2C market appears increasingly technology-driven. Brands that effectively use data, mobile platforms, and subscription models will likely capture disproportionate market share as consumer behaviour continues evolving toward greater digital integration and personalisation.
Top Performing D2C Brands in India
The rapid expansion of India's D2C sector has created opportunities for innovative brands to capture significant market share by solving specific consumer problems. These success stories provide valuable insights into what drives success in food retail today.
boAt, Slurrp Farm, Country Delight, and Minimalist
Reimagined traditional milk delivery for modern consumers, solving fundamental trust issues in dairy consumption
Specialises in clean-label, naturally sourced personal care demonstrating transparency and purpose-driven offerings
boAt stands out as an interesting case study in category expansion. Founded in 2016 by Aman Gupta and Sameer Mehta, this audio-turned-lifestyle brand identified a critical gap for rugged, stylish, and affordable audio products. Today, boAt has become India's #1 wearables brand and ranks among the top 5 globally with over 8 million loyal customers.
Slurrp Farm represents success in the specialised health food category. Established in 2014 by Meghana Narayan and Shauravi Malik, this millet-based food brand focuses on nutritious options for children. Their "Real Food, Really Easy" approach resonates with parents seeking healthier alternatives to conventional packaged foods.
Country Delight has reimagined traditional milk delivery for the modern consumer. What started as a small delivery service has evolved into one of India's most recognised names in fresh milk and grocery delivery. They've solved fundamental trust issues that plagued dairy consumption for decades.
Minimalist specialises in clean-label, naturally sourced personal care and wellness products, demonstrating the growing consumer preference for transparency, simplicity, and purpose-driven offerings.
These brands show that true D2C success comes from seeing what others overlook and turning insight into impact.
Key insights from their growth strategies
Learn and iterate rapidly through customer data
Lower barriers for trial whilst maintaining quality perception
Encourage authentic sharing to build credibility
Country Delight redefined trust by giving consumers the power to verify milk purity themselves, creating emotional bonds far stronger than any campaign could.
boAt built a movement by understanding its audience, blending rugged, stylish products with youth-driven branding and cultural relevance, turning everyday wearables into a lifestyle statement.
Slurrp Farm transformed a neglected segment—children's nutrition—into an opportunity for meaningful engagement, pairing healthy products with educational guidance to empower parents.
Minimalist elevates transparency and simplicity into a strategy, proving that clean, purpose-driven products not only win consumer trust but also shape a new standard for conscious consumption.
Several strategic patterns emerge from studying these success stories. Direct consumer relationships allow brands to learn and iterate rapidly. Country Delight, for instance, uses customer data to personalise promotions and optimise delivery logistics, turning everyday interactions into actionable insights that enhance both experience and operational efficiency.
Smart pricing strategies also play a critical role. By offering entry-level promotions without compromising quality perception, such as Country Delight's "4+4" offer, brands lower barriers for trial, accelerate adoption, and build trust simultaneously. Thoughtful pricing becomes not just a tactic but a strategic lever for sustainable growth.
Finally, authentic community engagement drives long-term loyalty. Encouraging consumers to share real experiences, such as families using Country Delight's testing kits, creates credibility and word-of-mouth far more persuasive than traditional advertising. These patterns underscore a broader principle: brands that solve real problems with transparency, purpose, and insight cultivate trust and become enduring market leaders.
