BUSINESS CHANGE NATIONAL
BENGALURU, KARNATAKA, INDIA
By IFAB MEDIA - NEWS BUREAU - October 9, 2023 | 29 3 minutes read
In a significant strategic shift, Virgio, the fast-fashion startup founded by former Myntra chief Amar Nagaram, is undergoing a transformation less than a year after securing funding at a valuation exceeding $160 million. Multiple sources familiar with the matter have revealed that the startup is planning to cease its fast-fashion operations.
Virgio's official website now carries a message that reads, "The fast fashion brand that you have come to love is no longer available." In response to this change, Amar Nagaram, the founder and CEO of Virgio, addressed the situation in a LinkedIn post, expressing his thoughts, "Never thought that we'd come to these crossroads in exactly a year of the launch of Virgio," and described this move as a "turning point" for the startup.
Intriguingly, Virgio's recent announcement suggests a pivot towards "sustainable clothing," and the company has explicitly expressed concerns about the harmful impact of fast fashion. This strategic shift comes amidst evolving consumer fashion preferences and growing awareness about the environmental impact of the fashion industry.
It's worth noting that Virgio had successfully raised $37 million in a Series A funding round in December of the previous year. This funding came from prominent investors, including Prosus Ventures, Accel, and Alpha Wave Global, valuing the startup at $161 million.
The startup's original premise was rooted in addressing the changing tastes of consumers, particularly among Gen Z and older millennials, who found existing fashion options inadequate. Virgio aimed to streamline its design, manufacturing, and procurement processes to respond more rapidly to these evolving preferences. The company's catalog featured a wide range of clothing options across casual, festive, and traditional categories, with fresh additions introduced weekly.
As Virgio embarks on its pivot towards sustainable clothing, it seeks to align with shifting consumer values and the growing emphasis on environmentally conscious fashion choices. This strategic transformation underscores the startup's commitment to responsible and sustainable fashion practices, reflecting its vision for a circular fashion brand in India. Virgio aims to lead the way in making circular fashion a mainstream choice, promoting style that is accessible, responsibly made, and pro-planet.
Amar Nagaram emphasized on his LinkedIN page, the transformative journey ahead, acknowledging the support of visionary investors from Prosus, Accel, Alphawave, and other angel investors. This shift represents a bold step toward reshaping the fashion industry in India, with a strong focus on sustainability and conscious consumption. Virgio is determined to redefine its role in the fashion landscape and contribute positively to the global fashion ecosystem.