Why we only back AI-resilient consumer companies
As capital rotates into AI, the opportunity in consumer has rarely been clearer — if you back the right kind of business. Here is the filter we apply.
Most venture capital is rushing into AI. We think that creates one of the most attractive windows for disciplined consumer investing in a decade — provided you back the right kind of business.
Our filter is simple. We back businesses where AI expands margins and scale, not products that can be rebuilt by an LLM and a prompt.
What we seek
- Distribution moats — brand, community, locations and embedded channels that compound over time.
- Proprietary data flywheels — a unique, real-world signal that no model can synthesise.
- Real-world execution — supply chain, services, hardware and regulation that are hard to copy.
- Network effects — marketplaces, trust and liquidity that strengthen with every user.
- AI as a margin lever — technology that improves CAC, retention and operations.
What we avoid
- Feature-based tools vulnerable to prompt or agent replication.
- Low switching costs and limited distribution.
- Commodity or public data with no proprietary edge.
- Shallow workflows that are easy to bundle or replace.
- Businesses exposed to pricing compression as model costs fall.
The rule of thumb
If the core value of a business can be replicated by a model and a weekend, we pass.
Consumer markets remain large and resilient — the European B2C e-commerce market alone is worth roughly €887bn. AI is set to add hundreds of billions in value to retail through better marketing, personalisation and operations. The companies that win will use AI to widen their advantage, not to define their entire reason to exist.
That is the kind of company G-FUND is built to back.
By G-FUND