New Delhi, July 3 -- A growing number of direct-to-customer startups are focusing on setting up their own manufacturing facilities instead of relying on third parties to gain greater control over product quality, inventory levels and sales.

Startups following this approach include snacking brand Eat Better Co, fashion and footwear company LittleBox India, travel gear seller Assembly Luggage and skincare startup Minimalist.

Launching a D2C brand has become significantly easier today, thanks to marketing channels, online marketplaces and quick commerce platforms, investors said. The real differentiator, though, is no longer launching a brand but building capabilities that are difficult to replicate.

"Owning manufacturing gives you some s...