Quick fashion delivery startups attract investor interest amid mixed signals

Quick fashion delivery is drawing interest from both startups and investors, despite ongoing concerns about the model’s long-term sustainability. Recently, KNOT and Zulu Club raised new funding, joining a growing group of companies targeting 60 to 100-minute fashion delivery.

KNOT raised $3 million, while Zulu Club secured $250K. These investments follow earlier rounds in the segment. In June, Zilo raised $4.5 million from Info Edge Ventures and Chiratae Ventures and Slikk raised $10 million in May from Nexus and Lightspeed. Newme, which entered the quick fashion category last month, has secured $23 million across two rounds last year.

Snitch, a D2C menswear brand, also plans to expand into this space. It raised $40 million in a Series B round and is piloting fast delivery services in select cities. The startup is backed by 360 ONE Asset, IvyCap Ventures, and others.

This comes at a time when funding for fashion startups has been gaining momentum over the past three years. According to data from TheKredible, fashion focused startups raised $148 million in the first half of 2025, surpassing the $130 million raised in 2024 and $102 million in 2023.

Quick commerce platforms such as Zepto, Blinkit and Swiggy Instamart helped set the stage by introducing apparel in their delivery mix. Their offerings, however, are limited to essentials like innerwear, gym wear and basic tees through partnerships with brands such as Jockey, Puma and Adidas.

While quick commerce platforms cater to functional fashion needs, startups like Newme, Slikk and Zilo are building fashion-first models with faster delivery and trend-based inventory. These companies are betting on impulse-led buying and instant gratification among Gen Z and young urban consumers.

At the same time, the segment has also seen early challenges. Blip, one of the first quick fashion startups in India, shut down operations last week. The company’s co-founder Ansh Agarwal cited capital constraints and delayed go-to-market execution as key reasons for winding down.

Despite setbacks, larger fashion platforms are entering the space. Myntra has expanded its express delivery service to more cities through its M-Now feature. Nykaa and AJIO are also piloting ultra-fast delivery models in select markets to tap into consumer demand for speed and convenience.

While the model could work for high-frequency categories such as t-shirts, accessories and partywear, unit economics remain a concern. Fulfillment costs, inventory turnover and returns management are critical factors that will determine the success of this format.

One also has to wonder how much of a role the success of Tata-owned Zudio has played in the new rush. Zudio carved out the low priced fashion segment like No one else before, and opened the way for other brands to try and ride the same. The advent of quick commerce seems to have been taken up as a god sent opportunity to go up against the established players.

With both new and established players testing the waters, the next 12 to 18 months will be crucial in determining whether quick fashion delivery can scale sustainably in India. While predicting trends or eventual success in the segment is always a mugs game, we will still stick our neck out and say that, unfortunately this rash could die out sooner than many imagine, unless the business model finds a much more efficient way to deliver and handle returns. One possibility might be strong regional plays, but the numbers are not in yet to go further down that prediction yet.