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"What does the rest of the world not get about India?"
A question I asked founders of 15 hyper growth Indian companies.
The answers spelled out what is driving the velocity behind India’s rise as a startup ecosystem.
Here were my 10 favorite insights:
A question I asked founders of 15 hyper growth Indian companies.
The answers spelled out what is driving the velocity behind India’s rise as a startup ecosystem.
Here were my 10 favorite insights:
Insight 1: Cultural Assimilation
This generation of Indian founders grew up watching Friends, Seinfeld and Big Bang Theory.
They are equipped to build products for the rest of the world.
“We know American culture better than Americans, because we wanted to be Americans.”
This generation of Indian founders grew up watching Friends, Seinfeld and Big Bang Theory.
They are equipped to build products for the rest of the world.
“We know American culture better than Americans, because we wanted to be Americans.”
Insight 2: Business Model Arbitrage
Indians are building business today that are profitable and operate at razor thin margins.
When Indians expand outside of India, it will be difficult for the rest of the world to compete because the cost structure was different from Day 1.
Indians are building business today that are profitable and operate at razor thin margins.
When Indians expand outside of India, it will be difficult for the rest of the world to compete because the cost structure was different from Day 1.
Insight 3: Outsourcing from vs. to India
Gen 1 Indian companies scaled because they offered labor arbitrage.
Ideate in the US, build in India.
Now Indian companies are building for the world from India.
Ideate in India, build in India.
Gen 1 Indian companies scaled because they offered labor arbitrage.
Ideate in the US, build in India.
Now Indian companies are building for the world from India.
Ideate in India, build in India.
Insight 4: Indian markets are massive
Treating India as the “developing world” is a misplaced mindset.
This may be the most attractive market in the world.
- 500M under 25
- 125M speak English
- 580M to be in middle class by 2025
- 830M on the Internet
Treating India as the “developing world” is a misplaced mindset.
This may be the most attractive market in the world.
- 500M under 25
- 125M speak English
- 580M to be in middle class by 2025
- 830M on the Internet
Insight 5: Scale can happen much faster
Because of the demographics (in Insight 4), companies can grow much faster. Implication: when it clicks, it really clicks.
@mamaearthindi started as a niche brand and quickly went from $0 to $100M in 3 years.
Because of the demographics (in Insight 4), companies can grow much faster. Implication: when it clicks, it really clicks.
@mamaearthindi started as a niche brand and quickly went from $0 to $100M in 3 years.
Insight 6: India is 30 countries in 1
International expansion isn’t daunting for Founders because of the complexity in launching just inside India.
Outsiders look at India as a monolith.
In reality each territory is incredibly different (festivals, languages, cultural norms).
International expansion isn’t daunting for Founders because of the complexity in launching just inside India.
Outsiders look at India as a monolith.
In reality each territory is incredibly different (festivals, languages, cultural norms).
Insight 7: The relevancy of "X for India" is fading
830M Indians have come online over the last 3 years and 500M people are <25.
These people need products that are natively built for them / their use cases.
The biggest opportunities going forward will not be "X for India".
830M Indians have come online over the last 3 years and 500M people are <25.
These people need products that are natively built for them / their use cases.
The biggest opportunities going forward will not be "X for India".
Insight 8: India: YouTube :: US : Google
The US is a “text search” culture; India is a “video search” culture.
Bringing trust / quality to trending YT ideas = a formula for great startups in India (e.g. hydroponic farming, physiotherapy, yoga, pet care, etc.)
The US is a “text search” culture; India is a “video search” culture.
Bringing trust / quality to trending YT ideas = a formula for great startups in India (e.g. hydroponic farming, physiotherapy, yoga, pet care, etc.)
Insight 9: Indians are hungrier than ever
This generation of Indian founders is going for gold. They are focused on building the next great company out of India.
No interest in being a "successful local player."
@rajanbajaj_ told me this succinctly the first time we met:
This generation of Indian founders is going for gold. They are focused on building the next great company out of India.
No interest in being a "successful local player."
@rajanbajaj_ told me this succinctly the first time we met:
Insight 10: Network Effects have been unleashed
India had 50+ unicorns in 2021 (!!).
Implication?
- More capital
- More expertise
- More future founders
India will have 10x as many unicorns in 2030.
India had 50+ unicorns in 2021 (!!).
Implication?
- More capital
- More expertise
- More future founders
India will have 10x as many unicorns in 2030.
Of all the sectors, I think fintech = biggest opportunity
Everybody is coming online + consumer purchasing power is soaring.
There’s a need for better:
- Payments
- Savings
- Access to asset classes (public, private, equity, debt)
Opportunity at every element of the stack.
Everybody is coming online + consumer purchasing power is soaring.
There’s a need for better:
- Payments
- Savings
- Access to asset classes (public, private, equity, debt)
Opportunity at every element of the stack.
Shout out to all the India founders that allowed me to be on their journey
The way you're building is inspirational!
@sliceit_ & @rajanbajaj_
@JarAppHQ & @misbahspeaks , @agNishchay
@ShiprocketIndia & @saahilbigfoot
@snapdeal & @1kunalbahl
The way you're building is inspirational!
@sliceit_ & @rajanbajaj_
@JarAppHQ & @misbahspeaks , @agNishchay
@ShiprocketIndia & @saahilbigfoot
@snapdeal & @1kunalbahl
I'm dropping a new project around India very soon - excited to share 👀
