R for Rabbit, an Indian direct-to-consumer brand, just landed $27 million in a new funding round. Filter Capital and 3one4 Capital co-led the investment.
Xponentia Capital, an early investor, sold its shares after putting about $4.5 million into the company in 2021. This deal shows that investors are very interested in premium direct-to-consumer brands in India that are growing quickly and gaining customer trust.
R for Rabbit plans to use the money to grow its business, strengthen its distribution network, launch new products, and focus on digital strategies.
Kunal and Kinjal Popat, the husband-and-wife team who founded R for Rabbit, have built it into one of the fastest-growing baby care brands in India. They sell a wide range of products, like strollers and car seats, to parents who want safe, high-quality items. With over 2,000 offline partners and more than 5 million customers, R for Rabbit has a strong distribution strategy.
Kunal Popat mentioned that the Indian baby care market has huge potential because people have more money to spend and are looking for premium, safe products. This trend is perfect for the direct-to-consumer model, which emphasizes high-quality products, storytelling, and flexible distribution.
R for Rabbit has seen revenue growth of over 35% per year since fiscal year 2021. In fiscal year 2025, the company’s annual revenue reached $30 million. Revenue grew by 31% to ₹170 crore, and profits reached ₹2.21 crore. This makes R for Rabbit one of the top-funded direct-to-consumer brands, potentially leading to an IPO in the future.
This investment shows that venture capital firms are paying close attention to direct-to-consumer brands in India. Filter Capital and 3one4 Capital are investing in the company and betting on the future of the direct-to-consumer market. Investors are closely watching how quick commerce, influencer marketing, and different retail strategies are changing the market and looking for potential acquisitions.
R for Rabbit’s success reflects the trends in the Indian direct-to-consumer market. By focusing on safety, new ideas, and a wide reach, the company is becoming one of India’s most trusted premium brands. As direct-to-consumer funding news and consumer trends continue to evolve, R for Rabbit is a good example of how direct-to-consumer startups are changing the game in India in 2025.
