In October 2024 I posted a series of LinkedIn updates that synthesize my observations from a field visit to Kaya skincare outlets in Lucknow and from a founder‑VC perspective. The posts cover geographic growth opportunity, consumer mindset shifts, strategic implications for brands, VC capital‑efficiency, funding philosophy, growth mindset, founder‑VC relationship insights, and personal definitions of success.
Tier 2 and 3 cities are where India's next wave of growth is taking shape—and my recent visit to Kaya outlets in Lucknow was proof of that.
Witnessing the enthusiasm and growing demand for high‑quality skincare in cities like Lucknow is a strong indicator of how quickly consumer mindsets are evolving.
Smart move: Scale‑ups that keep burn rates low while strategically expanding raise just enough to grow quickly, keeping both the top line and investors happy.
Misstep: Pulling back too much for early profitability kills momentum.
VCs operate on cycles: A newly raised fund behaves very differently compared to one near the end of its investment period.
Fund size signals performance targets: Larger funds need bigger exits to justify their investments.
Execution over ideas: It's not just about having a great idea—VCs care more about your ability to execute.
VC funding isn’t for every founder or startup.
From these observations I decided to target Tier 2/3 cities with a quiet‑growth strategy, raise only the capital needed to keep burn low, and prioritize execution track‑record when speaking to VCs.