Does Coolmate fit the unicorn model?

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Hello reader,

Buying clothes here in Vietnam has always been a challenge for me.

It’s not just because I’m taller (and these days, wider) than the average Vietnamese man but also because of a dearth of mid-range options in the country.

It’s easy to spot clothes from quality but expensive brands like Nike, and just as easy to find cheap but low-quality off-brand items. However, it’s always been hard to get something in the middle, except for those offered by a few streetwear brands. I think I’m getting a bit old for streetwear, though.

Direct-to-consumer men’s apparel brand Coolmate is betting it can fill this gap in the market, and it’s achieved some solid results so far. The startup hopes to hit unicorn status by 2030 – an ambitious goal in an ecommerce sector increasingly dominated by foreign firms.

Today we look at:

• Coolmate’s D2C unicorn ambitions
• Indian electric vehicle firm Ultraviolette Automotive’s recent funding deal
• Other newsy highlights such as Singaporean platform Omni HR’s latest funding round and VinFast’s plan to put up a second EV plant in Vietnam.

Premium summary

Is this Vietnam’s next unicorn?

Image credit: Timmy Loen

Foreign players like Shopee, TikTokShop, and Lazada may be dominating online retail in Vietnam, but smaller domestic companies are not backing down from their big ambitions.

Coolmate, a D2C men’s apparel brand, is one such example. The startup is aiming to achieve unicorn status by 2030.

• Niche: Launched in 2019, Coolmate has recently secured US$6 million in funding from Vertex Ventures Southeast Asia and India. The firm sells men’s essentials, including shorts, activewear, T-shirts, polos, and underwear. It targets consumers who are unable or unwilling to pay the big bucks for brands like Nike or Adidas but prefer quality over low-cost options from China.
• Meeting consumers where they are: The company designs all of its products in-house and does not operate any physical stores to keep prices low. Most of its sales still come from marketplaces like Shopee, Lazada, and TikTok Shop, though co-founder and CEO Pham Chi Nhu doesn’t see this as a major drawback.
• By the numbers: Coolmate has enjoyed strong traction so far, with its revenue growing from US$11.5 million in 2022 to a projected US$23 million in 2024. The firm’s runway is a potential cause for concern, though its recent fundraise appears to have soothed these worries in the near term.

Read more: Coolmate wants to be Vietnam’s next unicorn

Charged with funding

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