Brands 3.0: Gen Z, AI-first Brands, Bharat Consumers will Drive 2026 In an exclusive conversation, Fireside Ventures' Vinay Singh outlines why Gen Z, AI and emerging India will dominate consumer trends in 2026, as the firm closes its INR 2,265 crore Fund IV

India's consumer landscape might be entering one of its most accelerated phases yet, with Gen Z consumers, Tier-II and III markets, and AI-native brands at the centre of the next wave of disruption, says Vinay Singh, Co-founder and Partner at Fireside Ventures, in an exclusive conversation following the firm's press briefing in Bengaluru today.

Speaking about what founders should prepare for in 2026, Singh said brands must rethink how they design, formulate and communicate for Gen Z, a cohort emerging as one of India's strongest consumption drivers.

"Right from product formulation and price points to communication and packaging: you need a mix that appeals to the emerging consumers of India," he said.

At the same time, he added, millennials are entering a new consumption phase shaped heavily by preventive health, self-care, and lifestyle-related deficiencies. "Millennials are fast aging; the oldest millennials are going to hit 50 pretty soon… they will increasingly look at health and wellness, and how you preventively solve for issues like gut health, muscle building, menopause, bone and joint health, liver health, and respiratory health," he said.

Brands 3.0

Singh emphasised that founders cannot afford to ignore AI's widening influence on consumer businesses.

"You also can't ignore AI in your business model, in how you engage with consumers, and in how you run your corporate model… functions like demand planning, supply chain, accounting, customer service, and even training and development will need to be reimagined. It might feel inefficient or like an investment right now, but it's going to pay off," he said.

Much of this aligns with Fireside's broader thesis shared earlier in the day while announcing the final close of its INR 2,265 crore Fund IV. The firm noted that its recent deal flow increasingly features AI-native teams and brands that think omnichannel from the outset, a shift Fireside describes as "Brands 3.0".

This aligns with its latest study with Redseer, The Indian Consumer at 2030, which outlines how consumption is expanding across four fronts: new consumer cohorts (Gen Z, Gen Alpha, Silvers), new channels (quick commerce, omnichannel), new geographies (India II and III), and new sectors beyond traditional FMCG.

Emerging D2C categories

Singh said health and wellness, especially nutraceuticals, is entering a new phase in India.

"I think the time for nutraceuticals has come in India. Protein has been a story for the longest time… but protein is now moving from powders to chips, chocolates, beverages. And in the nutraceutical category itself, Omega-3, magnesium, iron, and calcium are emerging deficiencies," he said.

He added that fertility, gut health, performance nutrition and respiratory health will also see significant growth, especially with pollution levels among the world's highest.

Among discretionary categories, Singh said Gen Z fashion remains grossly underserved, creating room for innovation.

"Aspirational global fashion brands have not solved for fast supply chains or for price points. There is a recapturing of the idea of being 'Indian' in ethnic wear. How do you interpret ethnic wear for the emerging generation? That's a big, sitting-duck opportunity," he said.

Importantly, Singh added that Fireside remains open to categories they may not have identified yet: "Entrepreneurs come and teach us — here's a white space, here's an underserved consumer that you haven't looked at."

Fireside's Fund IV

Fund IV will continue focusing on seed to Series A, with room to participate in slightly later rounds when the playbook aligns. About one-third of the fund will go into new deals, with the remaining set aside for follow-on investments, allowing Fireside to support founders through two to three rounds.

The fund's structure also allows Fireside to stay with brands longer as they scale, supported by a larger team that works closely with companies function-by-function. This multi-cheque, platform-oriented approach has helped the firm raise the proportion of positive-return companies from Fund I to Fund II, a model they believe is more sustainable than relying on unicorn-style outliers.

Fireside Ventures today formally announced the closing of its fourth fund at INR2,265 crore, marking the completion of its latest investment vehicle.

Asked how Fund IV differs from previous funds, Singh pointed to three major changes they're seeing, "We are seeing entrepreneurs embracing omnichannel from day one. We're seeing teams deeply embedding AI. And we're meeting founders who have spent three, four, five years just getting the product right and are now ready for scale."

He added that Gen Z founders are increasingly building for Gen Z consumers. "The authenticity they bring, because they live that life, flows very organically into the soul of the brand."