Niche consumer product startups witness interest revival from VC, PE investors

Date posted: Tuesday 17 July 2018

After the funding boom in the e-commerce and fintech space in 2014 and 2015, investor interest in niche consumer brands, has revived. Since 2015, PE and VC investors have put in $613 million in food and beverage consumer brands. Investors say rising demand for differentiated brands and improved access have created the opportunity for new brands to flourish. However, while the macros might indicate an opportunity in the consumer space, the sector presents its unique challenges to investors, as well as entrepreneurs. Achieving scale, cracking the distribution model and tackling changing consumer preferences and tastes, are only a few headwinds they have to deal with.

(DealStreet Asia)

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