Branding is often an afterthought for startups, yet it can define their long-term success. Harsh Pamnani, author of From Unknown to Unforgettable and senior director & marketing head at T-Hub, has spent years studying how Indian startups carve out unique identities in competitive markets. In this conversation with Mint, he shares insights on branding mistakes, cost-effective marketing strategies, and AI’s growing role in startup marketing.
Edited excerpts.
What are the most common branding mistakes startups make?
Many founders struggle to articulate why they started their business. Like those on Shark Tank, the most compelling startup pitches start with a strong narrative—why and how the company was founded and the problem it solves. This emotional connection is key for both investors and customers.
Another mistake is expanding too soon. Startups should focus on product-market fit before diversifying. Epigamia, for example, started with Greek yogurt before expanding into other dairy products. Copying established brands is another misstep. Lenskart differentiated itself through an enhanced online shopping experience and a home trial service, making it stand out from traditional retailers.
How should early-stage startups market with limited budgets?
Narrowing focus is crucial. Licious initially concentrated on Bengaluru’s Whitefield area, running hyper-local tasting events to generate strong word-of-mouth. Providing an exceptional product and experience encourages organic referrals—Ola grew by incentivising existing users to refer new customers rather than relying on deep discounts.
Balancing brand-building with sales-driven campaigns is also key. FirstCry engages parents through content and community-building while running targeted promotions to drive sales. Sampling, when done strategically, is another effective tactic—Epigamia placed its yogurt at health-focused events, ensuring the right audience engagement.
Strong unit economics should guide pricing. A loyal customer base willing to pay a fair price helps reduce acquisition costs. Startups that rely too much on discounts weaken profitability, while those that build brand trust can command premium pricing.
Is storytelling still the most effective way for startups to build their brand identity?
Yes. Startups lack the recognition established brands enjoy, so storytelling helps them build trust and differentiation. Ritesh Agarwal often spoke about his struggles to find budget-friendly accommodations, which led him to start OYO. The founder’s journey can be a powerful brand-building tool. Still, compelling stories don’t always have to be personal—they can also be philosophical or cultural as long as they resonate.
What marketing strategies work best for startups in India?
Emphasising value and affordability is key in India’s price-sensitive market. BoAt built a strong brand by offering quality, stylish, and durable products at competitive prices.
Purpose-driven branding also works. Consumers today prefer brands that align with social and environmental causes. Mamaearth built credibility by launching toxin-free baby care products and promoting sustainability through tree-planting and recycling initiatives.
Understanding India’s diverse consumer base is another success factor. Stage OTT targeted dialect-based audiences, carving out a loyal user base in an otherwise crowded streaming market.
What major marketing trends are shaping Indian startups today?
Digital-first marketing is dominating. Startups like BoAt and Mamaearth leverage Instagram and influencer collaborations to connect with younger, digitally-savvy audiences.
Purpose-driven marketing is also growing. Millennials and Gen Z consumers expect brands to align with social causes. Zerodha’s Rainmatter initiative supports climate-focused startups, positioning the brand as socially responsible.
Personalisation is another rising trend. Swiggy uses AI to recommend meals based on past orders, enhancing customer experience and engagement.
What are the biggest customer acquisition challenges for startups?
Brand awareness is a major hurdle, and creative distribution strategies can help. Paper Boat, for instance, lacked the retail presence of competitors like Tropicana, so it used Indigo Airlines as a key distribution channel.
High customer acquisition costs (CAC) also pose challenges. Razorpay built credibility early by being part of Y Combinator and MasterCard’s Start Path programme, which helped it gain trust with banks and businesses.
How much does investor funding shape a startup’s marketing strategy?
Funding allows startups to invest in advertising, influencer partnerships, and customer acquisition. However, branding often shifts to appeal to investors, emphasizing market size, differentiation, and revenue potential. The challenge is to balance this without losing authenticity—investors see through exaggerated claims, and a weak foundation can hurt credibility.
What are the three key marketing lessons for startup founders?
Price wars are unwinnable—there will always be someone cheaper. Instead, focus on creating brand desirability.
A brand isn’t built in isolation. Strong associations with trusted partners, investors, and media add credibility.
Advertising can bring customers once, but repeat purchases come from a great product experience.
How are AI and automation changing startup marketing?
AI is transforming marketing by automating customer interactions through chatbots and virtual assistants. It’s also streamlining content creation, optimizing ad targeting, and enhancing customer insights.
Predictive analytics lets brands anticipate demand patterns and customer behaviour, improving campaign effectiveness. AI-driven automation tools help startups execute email marketing, social media scheduling, and sentiment analysis at scale.
How do startups navigate corporate partnerships while maintaining their brand identity?
Corporate collaborations offer access to larger markets and established credibility. Startups must ensure their messaging remains distinct while aligning with the corporate brand’s audience. Joint marketing efforts should integrate seamlessly but allow the startup’s unique identity to shine.
Which marketing channels should Indian startups focus on in 2025?
Go where your customers are. As consumer behaviour shifts, marketing must follow. Instead of competing on overcrowded platforms, brands should explore niche channels—Paper Boat’s Indigo Airlines partnership and FirstCry’s focus on maternity hospitals are prime examples.
Are there any underrated marketing tactics that startups should explore?
Trust-building is essential. Instead of trying to sell high-priced products immediately, start with a low-cost entry product that customers can try risk-free. Once trust is established, it becomes easier to introduce premium offerings over time.
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