Archive · 20 Jan 2026
VC Interest Revives in Beauty Startups
After a slow period, beauty startups in India are getting more attention from investors again.
Seven startups recently raised money, showing that investors are more confident.
However, investors are now more careful and prefer companies that spend money wisely and have a clear plan to make a profit.
Two companies, Pilgrim and Foxtale, have doubled their sales, but they are also spending more on marketing and expanding their stores.
Foxtale is doing well in smaller cities and is spending less on discounts.
Investors like the beauty sector because people buy beauty products often and the companies make good money from each sale.
The sector is growing in a smarter way now, not just by spending a lot of money.
Seven beauty startups raised funding between November 2023 and January 2024, indicating revived VC interest.
Investors now focus on repeat-led growth, cost control, and profitability rather than aggressive marketing.
Pilgrim's revenue doubled to Rs 408 crore in FY25, but net loss widened to Rs 68.7 crore.
Foxtale's revenue doubled to Rs 199 crore in FY25, with cash burn declining to Rs 37 crore in FY26.
Foxtale targets Rs 400 crore revenue in FY26, with 80% of sales coming from tier-2 and tier-3 cities.
- Who
- Direct-to-consumer beauty startups and investors
- What
- Revived venture capital interest in the beauty sector
- When
- Between November 2023 and January 2024
- Where
- India
- Why
- Improved market dynamics, consumer behavior, and operational maturity
- Startups Funded
- Moxie, Skininspired, Conscious Chemist, Fae Beauty, Krieya, Antinorm, Secret Alchemist
- Funding Period
- November 2023 to January 2024
- Pilgrim Revenue FY25
- Rs 408 crore
- Pilgrim Net Loss FY25
- Rs 68.7 crore
- Foxtale Revenue FY25
- Rs 199 crore
- Foxtale Cash Burn FY26
- Rs 37 crore
- Foxtale Revenue Target FY26
- Rs 400 crore
- Foxtale Repeat Purchase Rate
- 50%