'Being first is not important; it’s more important to be the last': Groww's Lalit Keshre

Groww Co-founder Lalit Keshre attributes the company's success in the Indian market to its customer-centric approach and focus on simplifying finance, despite not being the first to enter the space.

Speaking at TechSparks 2024, YourStory's flagship startup-tech event, Keshre said, "Being first is not important; it’s more important to be the last," emphasising how staying power and customer loyalty matter more than early entry.

Founded in 2017 by former Flipkart executives, Groww has emerged as one of India’s leading platforms for mutual funds and stock investments. The company was co-founded by Keshre, Neeraj Singh, Harsh Jain, and Ishan Bansal, with a simple goal: make financial services simple and accessible to millions of Indians.

The end-user has been central to Groww's strategy from day zero, according to Keshre, even while the founding team was still debating which direction to take in the financial services space.

"We spent hundreds of hours talking to customers, trying to figure out what they need," he said, revealing that he even approached customers waiting in cinema hall queues to get feedback for his platform.

"The best way to get feedback is talking to people you don't know. Indians are very nice, we don't like being rude, so you have to focus on smaller things like their facial expressions etc to figure out what their true reaction is," he added.

Groww also leveraged online communities, particularly WhatsApp groups, to stay in constant dialogue with users.

“The beauty of our community is that people are very vocal,” Keshre shared, describing how customer feedback fueled the development of their product. The result? A staggering 70-80% of their users were acquired organically, through word of mouth.

Delayed monetisation

While customer-centricity was front and centre, Keshre also addressed the company’s approach to revenue generation, revealing an unconventional strategy.

For the first four years of its existence, Groww operated without generating revenue. “There’s something called delayed monetisation,” Keshre explained, adding that this patience aligns with Groww’s long-term vision.

“We’re not building this company for today or next year—it’s a multi-year revenue plan,” he said.

To that end, Groww’s internal focus remains on customer satisfaction metrics rather than hitting financial targets. The team’s mindset reflects a larger belief that India’s vast, underpenetrated market offers immense potential for growth in the coming years, Keshre added.

NBFC aspirations

Looking ahead, Keshre hinted at a future where Groww could play a bigger role in India’s financial landscape. “You need to deserve to be a bank,” he said, alluding to the company’s ambition of building a strong non-banking financial company (NBFC).

However, he emphasised that any future plans would be grounded in customer needs rather than corporate aspirations.

“You don’t do what you want; you do what customers want,” he concluded, driving home Groww’s guiding principle.

As Groww continues its expansion, the company’s approach appears clear: build a product that resonates deeply with users, and the rest will follow.

The startup last raised $251 million in a Series E round led by ICONIQ Growth, as well as Alkeon, Lone Pine Capital, and Steadfast. It has raised a total of $393 million over eight rounds, according to data website Tracxn.