TMRW, a house-of-brands venture backed by the Aditya Birla Group, raised ₹437 crore from US-based ServiceNow Ventures. The company will use this money to bring ServiceNow’s agentic AI and automation tools into its operations. TMRW wants to use these tools to make faster decisions, improve its product range, and give customers more personalised experiences.
The deal shows how the fashion industry now depends on advanced technology to grow quickly. With this move, TMRW aims to become a leader in India’s digital-first fashion market.
TMRW’s Strategy with ServiceNow’s Agentic AI
TMRW builds and scales multiple fashion brands under one umbrella. The company focuses on digital-first, youth-focused labels and runs them with a strong technology backbone. By joining hands with ServiceNow Ventures, TMRW gains direct access to the investor’s agentic AI platform.
Agentic AI combines automation, machine learning, and decision-making capabilities. TMRW’s management believes this technology can cut down manual work, make supply chains faster, and help the team respond to customer trends almost instantly.
Prashanth Aluru, co-founder and CEO of TMRW, says the partnership with ServiceNow will strengthen their technology-first approach. He explains that AI will help TMRW speed up product launches, improve stock management, and design marketing campaigns that connect better with the target audience.
ServiceNow also believes in TMRW’s potential. Philip Kirk, Senior Vice President at ServiceNow, says the company wants to support TMRW’s goal of changing how fashion brands operate in India. He points out that AI can make a big difference when used in retail, especially in an industry where trends change quickly.
Strong Revenue Growth but Rising Losses
TMRW’s financial performance in the first quarter of FY26 shows both progress and challenges. The company increased its revenue by 38% compared to the same period last year. Revenue grew from about ₹143 crore to nearly ₹197 crore.
E-commerce sales went up by 28%, showing that customers continue to buy more from TMRW’s online platforms. The company also opened new physical stores, taking the total count to 25 exclusive stores across nine cities. This expansion shows that TMRW wants a balance between online and offline presence.
However, losses also increased during the same period. TMRW’s EBITDA loss grew from ₹46 crore in Q1 last year to ₹63 crore this year, a jump of 37%. The company spends heavily on marketing, brand building, technology, and store openings. These investments aim to increase market share but put pressure on short-term profits.
The parent company, Aditya Birla Fashion and Retail Ltd (ABFRL), also saw a rise in losses despite revenue growth. ABFRL reported a 9% rise in consolidated revenue to ₹1,831 crore but posted a net loss of ₹233.7 crore, compared to ₹214.9 crore in the same quarter last year.
TMRW’s Brand Portfolio
TMRW manages several popular fashion brands, each with its own unique style and customer base. These include:
- Bewakoof – Known for casual wear and graphic prints.
- Wrogn – Co-created with cricketer Virat Kohli, focusing on trendy streetwear.
- The Indian Garage Co – Specialises in fast-fashion menswear.
- Nobero – Offers athleisure and casual wear.
TMRW works closely with the founders of these brands. It provides them with technology tools, marketing expertise, and access to its supply chain. This model allows each brand to keep its unique identity while benefiting from TMRW’s shared resources.
The company wants to grow to 30 brands within three years of its launch in mid-2022. It plans to add more categories and expand into tier-II and tier-III cities, where demand for fashionable yet affordable clothing is rising quickly.
Why TMRW Invests Heavily in AI
TMRW sees AI as a key driver for its growth. In the fast-fashion market, trends change quickly, and brands must move from design to store shelves in weeks, not months. AI can help in several ways:
- Product Design – AI can study fashion trends and predict which styles will sell.
- Inventory Management – AI can help avoid overstock or stockouts by forecasting demand accurately.
- Personalisation – AI can suggest products to customers based on their browsing and buying history.
- Marketing – AI can analyse customer data to create targeted campaigns.
By using ServiceNow’s agentic AI, TMRW can automate many of these processes. This will free up human teams to focus on creativity and brand building while AI handles repetitive and data-heavy tasks.
Offline Expansion Plans
While TMRW started as a digital-first platform, it now invests more in offline stores. Physical retail still plays an important role in India, especially in smaller cities where customers prefer to see and try products before buying.
In Q1 FY26 alone, TMRW opened new stores for its brands in nine cities. The company plans to add many more in the coming quarters. ABFRL, the parent company, aims to open over 300 new stores across all its brands in the next 12 months.
This expansion will help TMRW connect with new customers, build brand visibility, and strengthen its presence in markets where e-commerce is still growing.
The Challenges Ahead
TMRW has strong revenue growth, a growing brand portfolio, and now a powerful AI partner. But it still faces challenges:
- Profitability Pressure – The company must control costs while expanding rapidly.
- Competition – The fashion market in India has many players, from global brands to local startups.
- Consumer Trends – Fashion preferences can change overnight, making it important to react quickly.
- Economic Factors – Inflation and changing consumer spending habits can impact sales.
To succeed, TMRW must use its AI tools effectively to become faster, more efficient, and more customer-centric than its competitors.
Looking Forward
TMRW’s ₹437 crore funding from ServiceNow Ventures marks a new chapter for the company. It has the money and technology to scale up, improve operations, and deliver better customer experiences.
The company’s growth will depend on how well it balances expansion with cost control. If it can use AI to make smarter decisions, cut waste, and speed up product cycles, TMRW can become a leading force in India’s fashion industry.
The combination of strong brands, a data-driven approach, and AI-powered operations gives TMRW an edge. Now the company must prove that it can turn this advantage into sustainable growth and long-term profitability.
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