Outzidr, a Fashion Startup for Gen Z Women, Secures Rs 30 Crore in Seed Funding
Outzidr, a burgeoning direct to consumer (D2C) fashion startup aimed at Gen Z consumers, has successfully raised Rs 30 crore (around $3.5 million) in a seed funding round led by Stellaris Venture Partners. The funding round also attracted participation from angel investors, including Ramakant Sharma, co-founder of LivSpace, and Ghazal Alagh, co-founder of Honasa Consumer, the parent company of Mamaearth.
Founded earlier this year, Outzidr is carving out a niche as a trend-driven, fast-fashion platform catering to young, style-savvy women in search of occasion-specific clothing, ranging from party attire to vacation outfits. The startup plans to utilize the new funds to enhance its design to launch supply chain, develop its technology infrastructure, expand its team, and improve brand development and inventory management.
"With countless trends emerging daily, attempting to launch products for all of them using a traditional fashion manufacturing model leads to an unmanageable inventory burden," explained Nirmal Jain, co-founder of Outzidr.
The founders of Outzidr include Nirmal Jain, who previously served as the founding CEO of Landmark Group’s Styli, where he scaled the brand to Rs 800 crore in annual revenue; Mani Kant Mani, who directed digital and omnichannel strategy at Max Fashion; and Justin Mario, who has held leadership positions in supply chain management at Aymakan and Styli.
Outzidr's business model is centered around a "test and react" strategy for trend adoption, which involves launching new styles in small batches, tracking early demand signals, and scaling only the most successful products. The startup currently operates on an inventory cycle of less than three weeks and claims to have introduced over 3,000 styles since its inception, with 2,000 new designs added each month.
“Successfully implementing the test and react model at scale necessitates robust capabilities in demand sensing, product development, sourcing, and automated merchandising," Jain stated. "We believe this is our key differentiator, enabling us to be first to market with a broader range of trend-right products.”
The startup aims to transition 90% of its manufacturing base to India within the next two years, aligning with its goal of establishing a fast, locally responsive, and sustainable supply chain.
As Gen Z emerges as a significant consumer segment in India's fashion market, investors recognize the potential for platforms that can offer rapid style turnover, affordability, and category specificity. “The attractive market for affordable fashion targeting Gen Z, combined with the team’s unique and differentiated ‘test & quick react’ approach and a strong founder-market fit, are the three key pillars of our investment thesis,” said Mayank Jain, Principal at Stellaris Venture Partners.
In addition to scaling its proprietary D2C platform, Outzidr plans to enhance its distribution across online marketplaces such as Myntra, Nykaa Fashion, and Ajio. The startup is aiming for an annualized revenue run rate of Rs 100 crore within the next 6 to 8 months.
Founded earlier this year, Outzidr is carving out a niche as a trend-driven, fast-fashion platform catering to young, style-savvy women in search of occasion-specific clothing, ranging from party attire to vacation outfits. The startup plans to utilize the new funds to enhance its design to launch supply chain, develop its technology infrastructure, expand its team, and improve brand development and inventory management.
"With countless trends emerging daily, attempting to launch products for all of them using a traditional fashion manufacturing model leads to an unmanageable inventory burden," explained Nirmal Jain, co-founder of Outzidr.
The founders of Outzidr include Nirmal Jain, who previously served as the founding CEO of Landmark Group’s Styli, where he scaled the brand to Rs 800 crore in annual revenue; Mani Kant Mani, who directed digital and omnichannel strategy at Max Fashion; and Justin Mario, who has held leadership positions in supply chain management at Aymakan and Styli.
Outzidr's business model is centered around a "test and react" strategy for trend adoption, which involves launching new styles in small batches, tracking early demand signals, and scaling only the most successful products. The startup currently operates on an inventory cycle of less than three weeks and claims to have introduced over 3,000 styles since its inception, with 2,000 new designs added each month.
“Successfully implementing the test and react model at scale necessitates robust capabilities in demand sensing, product development, sourcing, and automated merchandising," Jain stated. "We believe this is our key differentiator, enabling us to be first to market with a broader range of trend-right products.”
The startup aims to transition 90% of its manufacturing base to India within the next two years, aligning with its goal of establishing a fast, locally responsive, and sustainable supply chain.
As Gen Z emerges as a significant consumer segment in India's fashion market, investors recognize the potential for platforms that can offer rapid style turnover, affordability, and category specificity. “The attractive market for affordable fashion targeting Gen Z, combined with the team’s unique and differentiated ‘test & quick react’ approach and a strong founder-market fit, are the three key pillars of our investment thesis,” said Mayank Jain, Principal at Stellaris Venture Partners.
In addition to scaling its proprietary D2C platform, Outzidr plans to enhance its distribution across online marketplaces such as Myntra, Nykaa Fashion, and Ajio. The startup is aiming for an annualized revenue run rate of Rs 100 crore within the next 6 to 8 months.
