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Fundraising · D2C

5 questions investors ask D2C founders

Investors who back D2C companies ask a familiar set of questions. Here are the five that come up most, why they ask, and what a strong answer looks like on a slide.

Write my investor story freeSee the questions
INVESTORWhat happens to your margins when ad costs rise?
KINDRED CO.Contribution margin 31% after ads · 38% of orders from organic
INVESTORHow many customers come back within 90 days?
KINDRED CO.42% of March buyers reordered within 90 days

The five questions

Each answer is shown for our fictional D2C company, Kindred Co., which makes small-batch home fragrance sold online. The numbers are illustrations. Swap in your own.

01

What happens to your margins when ad costs rise?

Why they askMany D2C brands are profitable only while ads are cheap.
A strong answer showsContribution margin after ads and shipping, and channels not tied to paid social.
KINDRED CO.

Contribution margin 31% after ads · 38% of orders from organic

Sample slide line · illustrative numbers
02

How many customers come back within 90 days?

Why they askRepeat purchase is what makes a D2C brand worth funding.
A strong answer showsRepeat rate by cohort, and the product that drives it.
KINDRED CO.

42% of March buyers reordered within 90 days

Sample slide line · illustrative numbers
03

Which channel can scale beyond paid social?

Why they askOne channel is a risk, not a strategy.
A strong answer showsEarly proof in marketplaces, retail or quick commerce.
KINDRED CO.

Live on 3 quick-commerce apps · 18% of revenue

Sample slide line · illustrative numbers
04

What is your hero product?

Why they askInvestors back brands with a product people ask for by name.
A strong answer showsThe hero SKU, its share of sales and its repeat rate.
KINDRED CO.

Hero candle = 54% of revenue, 48% repeat

Sample slide line · illustrative numbers
05

How do you manage inventory and cash?

Why they askInventory eats D2C cash.
A strong answer showsInventory days, sell-through and supplier terms.
KINDRED CO.

45 inventory days · 60-day supplier credit

Sample slide line · illustrative numbers

The four numbers they check first

Before the questions, investors scan for these. Show each one by month, with dates, so the trend is easy to read.

Metric 1Average order value
Metric 2Repeat purchase rate
Metric 3Contribution margin after ads and shipping
Metric 4CAC payback period

The gap that costs D2C founders meetings

Gap

The most common gap in D2C decks is showing revenue without margins, which hides whether each order makes money. Fix it before you send the deck.

Know your buyer

Your customers are online shoppers who buy direct from your site or marketplace store. Name the first group you will win, and show why they pick you today.

Prepare the appendix

  • Monthly metrics for the last 12 months
  • Unit economics by customer group
  • Your answer to each question above, with sources

Questions

What do investors look for in a D2C startup?

They start with these metrics: average order value, repeat purchase rate, contribution margin after ads and shipping, cac payback period. Then they test the five questions on this page.

What is the most common gap in D2C pitch decks?

Showing revenue without margins, which hides whether each order makes money.

Are the numbers on this page real?

No. They are illustrations for a fictional company, Kindred Co., to show what a strong answer looks like. Use your own numbers.

Can Astitva build my pitch deck?

Yes. Astitva writes your investor story from a short brief, in the order investors expect, and designs every slide in your brand. The written story is free.

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