India, an economy too ripe to miss
The combination of India’s huge population, large economy, and innovative startup ecosystem makes this country the optimal place for startups to market their business. Don’t believe us? Here’s why:
- • According to the World Bank, India’s Gross Domestic product (GDP) grew over one trillion dollars within the past decade, totalling to $2.72 trillion, with a $5 trillion GDP target by 2025.
- • YourStory reported that India is the third largest startup ecosystem with 39,000+ startups and 33+ unicorns -- it’s estimated to have a total market value of $500+ billion by 2025.
- • According to Boston Consulting Group, India’s domestic consumption is set to be $4 trillion by 2025 -- all thanks to India’s rising middle class.
Global companies such as Amazon, IKEA, and Netflix have made use of these statistics and shifted their focus to market in India, and it’s paying off. These companies have seen this market’s ability to reflect tremendous growth in both their consumers and revenues. And it’s not just major companies. Startups have gained traction through growth, acquisition, and branding due to participating in India’s market.
Let’s take a look at three of them --
Udacity, an online education company, based in Silicon Valley, expanded their operations to India in 2018. With English as the second-largest used language after the United States, moving and adjusting to India’s market has been nothing but positive for the company. By locating and marketing themselves in the New Dehli, they were able to closely cooperate with industry leaders in developing educational courses and saw 200% growth in their operations, according to Udacity’s Managing Director Ishan Gupta.
Flipkart, an Indian e-commerce company -- think Amazon’s competitor -- was founded by Sachin and Binny Bansal whose company transformed from a small house in Koramangala to a $20 billion e-commerce unicorn over the past decade. With the expansion of India’s consumer base, Flipkart appealed and succeeded in growing their company all across India, to the point where their revenues and consumers caught the eye of Walmart, a multi-billion dollar American company. In 2018, Walmart acquired Flipkart for $16 billion, increasing their valuation to $22 billion. This deal made history in being India’s largest acquisition and the world’s biggest purchase of an ecommerce company according to the Economic Times.
Indorse, a Singapore-based human resources startup launched in India in July of 2019 with our investment of $6.5 million. Branding their company through us provided them the resources and connections to gain traction for their primary goal -- new employees. We were able to enhance the quality of Indorse’s job candidates while driving down the hiring costs, according to CEO and co-founder Gaurang Torvekarm. With new employees, Indorse has been able to grow their company with qualified employees located in India, and will utilize India’s biggest media conglomerate to expand their customer base and increase their revenues in 2020.