As the words Unicorn and Decacorn catch up in the global startup industry, there is a momentum in similar manner in India. As of April 2021, there are 600 unicorn companies worldwide, and India contributed around 4.9% in the unicorn segment. However, the country is yet to open account with Decacorn.
According to NASSCOM, the trade association of Indian IT BPM industry, India added 12 unicorns in 2020, bringing the total Unicorn to 39, making it the third largest in the world. Startups raised approximately $12.1 billion in private capital (2020), exceeding last year’s fund-raising by more than $1 billion. By the end of 2021, the number of unicorns is expected to surpass 50 according to the above trade body.
NASSCOM further reports that 39 unicorns in India have a total of revenue of over $15 billion, and employee over 3.3 lakh people. Here are the sector wise unicorns in India.
Seven of these unicorns have more than 10,000 employees each. Cumulatively, these companies have raised over $51 billion in funding, with 18% of them have raised over $1 billion each. In term of their incorporation, 75% unicorns were incorporated in the last 11 years (2010 and onwards) out of which more than 50% were incorporated in 3 years. About 90% of startups turned unicorns in 10 or a smaller number of years from their year of incorporation. However, out of which 70% turned unicorns in less than 5 years.
According to NASSCOM, e-commerce, SaaS (Software as a service) and fintech firms account for more than 60% of the total unicorns in the country, as well as 60% of the total cumulative funding. In terms of the number of unicorns, these sectors were followed by EdTech and logistics.
Another interesting factor is that 50% of India Unicorns are in the business-to-business (B2B) sector. While business-to-consumer (B2C) firms account for 24%. 16% of unicorns serve both B2B and B2C.Bengaluru has the maximum number of unicorns with one-third of country’s unicorns headquartered in the southern city, followed by Delhi-National Capital Region with 20%.
A good scrutiny of the above data points give indication about the business landscape while planning for new project reports. While formulating new business ideas, one needs to go by the market intelligence as available more than emotional decision. The segment, type, location, business model are a few such factors n while formulating business plan for new venture.