Download - Start-ups Landscape Report14
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S u p p o r t e d b y G o o g l e F o r E n t r e p r e n e u r s
A BRIGHT FUTURETECH START-UPS IN INDIA
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22
The Indian Technology Start-up landscape has evolved to become the fourth largest base across the world. Since 2010, there has been a significant rise in the number of technology start-ups and today, our country hosts more than 3,000 tech/digital start-ups. If the landscape continues to evolve at this pace, then by the end of 2020 more than 11,500 start-ups are expected to get established in India, generating employment opportunities for over 250,000 people.
Key indicators such as opportunities existing in the domestic market, access to capital/mentors, and increased M&A and consolidation activities clearly point towards the new evolution of the ecosystem. Several founders are leveraging emerging technologies like big data& analytics, augmented reality, internet of things and cloud computing to come up with some of the best-in-class technology-based start-ups.
This report, titled Tech Start-ups in India: A Bright Future is a rst-of-its-kind report undertaking an in-depth analysis of the various aspects of the start-up ecosystem. The report clearly identi es the current scale and size of the start-up landscape, factors that are impacting the growth of the overall ecosystem and steps that need to be taken to make the environment more conducive for start-ups.
We hope this report would be useful to you and we welcome your feedback and comments at [email protected]
Pari NatarajanCEO, Zinnov
R. ChandrashekharPresident, NASSCOM
Foreword
A BRIGHT FUTURETECH START-UPS IN INDIA
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3 A BRIGHT FUTURETECH START-UPS IN INDIA
Executive summaryThe start-up ecosystem is often described as young, innovative, aspirant and futuristic. India, home to a new breed of young start-ups, has evolved to become the fourth largest base of technology start-ups in the world. Since 2010, the Indian Technology Start-ups landscape has seen a sharp rise in the creation of new start-ups and this number is expected to cross 3,100 by the end of 2014. It is a hyper growth in ection point for the Indian start-up ecosystem, with growth, capital and acquisitions all coming together to create a perfect storm.
The whole ecosystem is evolving and becoming more and more vibrant and multiple indicators are pointing towards this direction. The Indian middle class is becoming a voracious consumer of digital solutions. eCommerce, marketplaces and mobile apps are increasingly driving people online. Many start-ups are incorporating emerging technologies in their solutions and building global digital solutions from India.
Start-up funding is maturing signi cantly in deal value and in diversity of focus areas, and start-ups today have access to multiple sources of funding. While start-ups are betting high on the ecosystem, demand for supportive government policies continue to exist.
NASSCOM and Zinnov are delighted to present the rst-of-its kind report titled Tech Start-ups in India: A Bright Future, which examines various dimensions of the Indian start-ups ecosystem. This report is the result of a comprehensive three-month study, during which detailed research was carried out by the team at Zinnov to gather quantitative and qualitative data and insights through primary and secondary sources. The whole process involved personal interviews with various start-ups, VCs, Angel Investor and Incubator/Accelerators, and extensive desk research.
Some of the key findings presented in this report are:
India currently boasts of over 3,100 start-ups with an addition of 800+ new start-ups in 2014 alone. If the landscape continues to evolve at this pace then by 2020 more than 11,500 start-ups would get established in India, generating employment opportunities for over 250,000 people
The major growth drivers like large domestic market, access to capital/mentors, whitespace opportunities and increased M&A activity are accelerating the start-ups growth. Indian start-ups, with their unique solutions, are witnessing increased traction in global whitespace opportunities such as internet of things, augmented reality, smart hardware, big data & analytics, cloud computing, etc.
Domain solutions emerging Ad-Tech, Edu- Tech and Health-Tech and other niche solutions emerging for healthcare, agriculture, etc.
Bengaluru and NCR are the top 2 start-ups destinations and cumulatively these two geographies account for over 50 per cent of the start-up
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4 A BRIGHT FUTURETECH START-UPS IN INDIA
base. Looking at recent rounds of funding, NCR
tops as the investment destination. Over 59 per
cent of start-ups are focused on B2C categories
which is dominated by eCommerce and online
marketplaces; B2B segments are dominated by
big data & analytics, ERP & marketing solutions
Young entrepreneurs dominate the start-up
landscape with over 73 per cent of founders in
the age bracket of less than 36 years. Most of
these founders with a strong consumer-centric
approach, have come up with some of the best-in-
class B2C start-ups. Women entrepreneurs have
also started to leverage the innovation economy
Scaling up and growth hacking-are key priorities for
start-ups. Start-ups are able to hire best-in-class
talent from the industry by offering above average
compensation, stock options, enhanced growth
opportunities and exible work culture
Start-ups today have access to multiple sources
of funding from VC/PE, angel investors,
banks and financial institutions as well as
incubators. Funding is maturing signi cantly in
deal value and in diversity of focus areas. During
2010-14 timeframe close to USD 3 billion is expected to be invested in Indian start-ups
The innovation imperative leading to a rise in collaboration and partnerships product rms with platform players, IT services, global MNCs, CIOs
Given the vibrancy in the ecosystem, the M&A activity is on the rise in India. Acqui-hiring, technology acquisition, market consolidation and customer acquisitions are the primary drivers for increase in M&A of Indian start-ups
While start-ups are betting high on the ecosystem, there is constant need to nurture this ecosystem. Demand for supportive government policies (ease of doing business, tax incentives, participation in government contracts, availability of risk capital, etc.) continue to exist. While the new government has made the right announcements, there is a need for directional efforts to see them implemented
Future of products devices at the edge, logic at the core, fusion of IOT, SaaS, mobile solutions, data analytics are leapfrog opportunities for India
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`
Key unmet needs &expectations of start-ups
Start-up supportecosystem in India
VC/PEinvestment trends
Technology focusareas and whitespaces
Technology product/digitalstart-up landscape in India
Angel investorecosystem in India
Scope of the reportTo understand the evolution of the technology product and digitalstart-up landscape in India
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Inception yearOrganisation with inception year of 2010 or later
HeadquarteredAn organisation that isheadquartered in India
Has founding teamwith Indian origin ANDproduct developmentlargely in India
DistributionUndertakes the packaging,selling and marketing of theproduct/platform itself orthrough channel partners
Intellectual propertyThat has developed and/or ownsthe technology IP (includes IP-ownedthrough acquisitions) and/or
That provides digital/technologyplatform for transactions and/orcustomer engagements
Technology product/digital start-upDe nition considered for the report
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7This report has been co-developed by NASSCOM and Zinnov through a comprehensive three-month study to understand the technology product & digital start-ups landscape in India.
The preparation of this report has been facilitated by a number of organisations and people who have extended great help to the NASSCOM and Zinnov teams. We wish to sincerely thank all of them for their valuable contributions without which this report would not have been possible.
First, we would like to thank all the industry members and other colleagues, who went out of their way to provide detailed inputs and perspective of their services/clients/markets, etc. They offered great support to this project by providing the requisite data and insights as required by the team. This study has been greatly enriched by the valuable insights and detailed inputs provided by various investors, angels as well as other key stakeholders in the ecosystem.
We would also like to acknowledge the special contribution made by Google for supporting us on various policy-related aspects as well as formulating and nalising the numbers.
Finally, we would like to specially acknowledge the support offered by NASSCOM research team for their efforts and contribution towards the execution and completion of this report.
Acknowledgement
A BRIGHT FUTURETECH START-UPS IN INDIA
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Start-up Landscape Founders Profile
Growth Drivers Global Reach of Organisations
4th LargestIndia emerges as the
start-up location globally73%Foundersless than36years of age
48%have
MNCworkexperience
36%Founderssolely engineers
6%Womenfounders
28%of start-ups continue to
be the technology hotspots
Catching up
FastDelhi-NCR
Bengaluru
3,100+201411,500+
65,000+
250,000+By 2020
Large
Domesticmarket
WhitespacesEvolving
43%product/digital
organisationshave focus onglobal market resulting in more
exits for investors
Increased
M&A
Focus Areas
ecosystem ofinvestors and mentors
59%B2C:
4%B2C/B2B:
37%B2B:
SECTION I LANDSCAPE/SCORECARD
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Strong Growth Indicators - India
Start-ups created every year> 800
Funding** since 2010USD2.9+ billion
Active VCs/PEs in 2014
Angels in India550+
Incubators/Accelerators
Avg. valuation of start-ups
Ease of doing business ranking
No. of investors residing in the country
80+
*in India ~68 per cent of total start-ups listed on Angel List are tech. product/digital start-ups, same ratio has been applied to the total number of start-ups listed on Angel List for a country to arrive at the No. Tech. Product/Digital Start-ups**Includes projected investments by VCs, PEs, angels, incubators/accelerators during 2010-14 in start-ups incepted during 2010-14***Data from Angel List and World Bank Group (Ease of Doing Business rankings are benchmarked to June 2014)Source: Microsoft Ventures, Zinnov Product/Digital Start-up Database, Angle List
70+
Tech. Product/Digital
Start-ups by Key Countries*
US
41,500+ 3,500+ 3,300+ 3,100+ 2,700+
UK Israel India Canada
US
USD 4.2million
7th
25,000
India
USD 2.3 million
142nd
770
Still a Lot of Ground to Cover***
1 4
421 3 5
3,100+ start-ups in India; fastest growing community; 4th largest in the world
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Growth Drivers
Large domestic market for tech and proximity of start-ups
Leverage India as test bed before going global
A number of whitespaces within consumer internet, big data, cloud and IOT, etc.
Evolving ecosystem of inves-tors and mentors
Entrepreneur peer group is supporting the development of other start-ups
As M&A is witnessing increased momentum in India, investors are getting more exit opportunities
Multiple drivers supporting the Indian start-up ecosystem to reach its hyper-growth in ection point
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Technology Start-ups by Inception Year
Total number of start-ups
Total number of jobs created
Year 2020 is expected to see a remarkable rise in the base of start-ups, and the total number of start-ups are projected to grow at a CAGR of ~24% between 2014 and 2020This will equally impact the growth of Indian start-ups jobs, which is expected to grow at a CAGR of ~25%Note : P = Projected; E = EstimatedSource : Angel List, Zinnov Product/Digital Start-up Database; Venture Intelligence, YourStory.in
2020P
2014E
2013E
2012
2011
2010480+
525+
590+
680+
805+
2,000+
11,500+
3,100+
250,000-300,000
65,000-75,000
2020P
2014E
2020P
2014E
Further acceleration expected base is likely to expand four-folds by 2020
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Top focusareas ofstart-upsby location*
*For Directional purpose onlySource: Zinnov Product/DigitalStart-up Database
Start-ups by Location(Total = 3,100+)
Hyderabad
8%Pune6%
Chennai
6%Bengaluru
28%
Mumbai
Top 6 locationsaccount for 90% of thestart-up activity in India
Kolkata, Ahmedabad,Cochin, Jaipur andThiruvananthapuram are the next emerging locations15%
Delhi-NCR
24%
Delhi-NCR Mumbai Hyderabad Pune ChennaiBengaluru
eCommerce/Aggregators
Big data & analytics
ERP
Productivity & collaboration
Education
Marketing & advertising
Bengaluru and Delhi-NCR emerging as start-up hotspots; reasonable traction in other locations
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Discernable shift observed towards the B2C segment, dominated by eCommerce and online marketplaces; B2B dominated by big data & analytics, ERP and marketing
Overall
Focus Areas of Start-ups
2014 2010
B2B B2C B2C/B2B
Cumulative
Across years
B2Cfocus ofstart-ups
B2Bfocus ofstart-ups
B2C/B2B: 4%
Note: Analysis based on a sample of 521 start-ups across years*Others include Communication/Collaboration, productivity, gaming.HW and other consumer internet**Others include apps/web dev, infra mgmt solutions, content mgmt,data recovery, gaming, HW, mobility solutions, security and others Source: Zinnov Product/Digital Start-up Database
2010 2012 2014 Overall
eCommerce
Aggregator & online marketplace
Education
Social media
Travel
Others*
2010 2012 2014Big data& Analytics
ERP
Marketing& advertising
Communication /Collaboration
Productivity
Others**
45% 42%22%
39%
5% 21%
26%
21%18%
6%16%
11%13% 7% 10% 7%5% 4% 6% 7%
15% 19% 19% 16%
23% 30% 27% 28%
33% 26% 23% 26%
6% 16% 13% 10%6%
9%13% 9%
8%5% 7% 8%
24% 14% 17% 19%
5%
26%
69%
8%
40% 52%
B2B
37%B2C
59%
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~73% Young founders (age
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With a major focus on emerging opportunities around B2C segment
Note: Analysis based on a sample sizeof 613 start-ups across yearsSource: Zinnov Product/Digital Start-up Database
Aggregator
Gaurav MunjalFounder & CEOB.Tech from NMIMSSingle round of funding
Aggregator
Rahul YadavCo-Founder & CEOB.Tech from IIT BombayMultiple rounds of funding
eCommerceGaurav Kushwaha
CEO & FounderB.Tech from IIT Delhi
Multiple roundsof funding
Recruitment PortalSantosh Yellajosula
Co-Founder & VPM.Sc from BITSSingle round of
funding
Business AnalyticsArjun PillaiCo-Founder & CEOB.Tech from Cochin UniversitySingle round of funding
ERPManasij GanguliCo-Founder & CEOB.E. from BIT, MesraSingle round of funding
58%founders focus
on B2C segment
MajorFocus Areas
36%founders focus
on B2B segment
MajorFocus Areas
6% founders focus onB2B/B2C segment
MajorFocus Areas
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16%
68%
16%0%
26%
7%37%
30%
Co-Founder & CEOMasters from NMIMSUSD 9 million in funding
Successful Women Entrepreneurs
Top Focus Areas of Start-ups
Founder & CEOBE from CRSCESingle round of funding
eCommerceB2C
Aggregator
Education
Marketing platform
84%Age Wise Break-Up ofStart-up Founders
36-45 Years
Others* BE/B. Tech
MBA
ME/M.Tech/MS/MCA
45+ Years
26-35 Years
Up to 25 Years
Education Break-Up ofStart-up Founders
Note: Analysis based on a sample size of 31 start-ups *Others include: Other Undergraduates, Others Masters and Doctoral degreeSource: Zinnov Product/Digital Start-up Database
Women entrepreneurs in start-up landscape
Aggregator
~6%
Sreepriya Koppula
Ruchi Garg
Richa Kar
FounderCertificate Programme from Stanford UniversitySingle round of funding
B2B13%
B2B/B2C
3%
Women entrepreneurs are starting to leverage the innovation economy
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Large enterprises are collaborating with start-ups to enhance future growth
Collaboration driversServing unmetneeds of clients
Thrive for innovation
Business transformation
Global market access
High business valueto clients
Extended support
Branding/sales & marketing
Access to lients
Competencies offered
Benefits achieved
Collaboration modelsCorporate accelerator Programme
Intrapreneurshipprogramme
Enterprise partnership
Corporate fundsprogramme
New businessopportunity
Client connects
Product credibility
Support in solution integration
Supportinginfrastructure
Goodwillenhancement
Deeper clientengagement
Transition toa solution provider
Bundle servicesaround aninnovative product
Start-upsEnterprise
Innovation
Harvest new ideas
Compact productdevelopment cycle
Competencies offered
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The global competitiveness of Indian technology start-ups is accelerating
Global Success Stories from India
43% product/digital firmshave focus onglobal markets
Young start-Ups Big data & analytics Marketing &
advertisement Mobility ERP Comm/Collaboration Cloud computing Niche use cases
Set Up 2010 Onwards
Growth firms Enterprise security Application software Analytics Productivity Emergence of B2C
Set Up Pre 2010
Early movers B2B enterprise products BFSI vertical focus
Set Up Pre 2000
More and more start-ups are exploring global marketsSince 2010 there has been a significant growth in the spectrum of firms that have focus and presence at a global levelSource: Desi Products Videshi Markets: Indian Software Products Building Global Business NASSCOM & Zinnov
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with the huge domestic market driving demand
Largeenterprises
Public listed organisations
Organisations in Forbes 2000
Internet users
Mobile phone connections
Smartphone users
Tech-ready SMBs
SMBs with PCs
SMBs with mobile phones
Large enterprises
1
Customers
3
5,000+
10+ million
3,500+
5+million
100%
250+ million
115+millionn
900+ million
65+
Small & medium businesses
2
India domesticmarket
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Global Market (USD) Opportunity
Easy Access to Capital
US & EU represent over two-third of the global technology market
US domicile opens more doors for VC & M&A activity (50-100 times bigger early stage funding ecosystem than India)
Business Environment/Laws in India
Anecdotal evidence of low adoptionof products by Indian firms
& long sales cycles
Global WhitespaceOpportunities
Over USD 100 billion+ of SMAC*led level playing opportunities** in
global markets for Indian firms
Many start-ups leverage India as the test market and then start focusing at the global marketStart-ups with a global focus are setting their units outside India as well, as they want to be close to their customers*Social, Mobile, Analytics & Cloud;**by 2015Source:Desi Products Videshi Markets: Indian Software Products Building Global Business NASSCOM & Zinnov;
Key factors for Indian start-ups to focus on global markets
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Start-ups adopting innovative approaches to attract and retain best-in-class talent
InternshipsCollegerecruitmentHR
agenciesHackathons & meetupsReferralsSocial
networkJobportals
Hiring Channelsused by Start-ups*
Technology function
Sales function
opportunity to grow
82%start-ups pay more than the market median**
83%start-ups use stock options for long- term incentives**
63%start-ups have definitive link between performanceand compensation**
*Based on NASSCOMs analysis of 529 start-ups (http://10000startups.com/skills-infographic/)**Based on analysis of 40 start-ups across four business sectors, by Hay Group in partnership with Canaan Partners from the report titled How Indian start-ups are building to last
57%
25% 20% 16% 9% 7%7%
interesting work
Operations
open culture
A Value Propositionsby Functions toAttract Top Talent**
C
Monetary Benefits are Getting CompetitiveB
Talent
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Hiring technology professionals is a top priority for start-ups
Source: http://10000startups.com/skills-infographic/
Top Skills Start-Ups are Looking For
Product management
Sales business
Marketing
Operations
Finance
HR
Technology
Others
66%
66%
20%
30%
14%
7%
80%
14%
20%
14%
14%
22%
22%
25%
41%
57%
61%
Others
C/C++
Ruby on rails
Python
PHP
AJAX
CSS3
HTML5
Java
Top programming
skills
Top marketing
skills
9%
25%
35%
38%
38%
70%
Others
Community management
Online advertisement/PPC/PPM
SEO/SEM
Growth hacking
Inbound marketing
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Start-Up Landscape Delivery Platforms
Start-upsAddressing
Whitespaces/Emerging
Technologies
>25%start-upsleveragecloud asthe deliveryplatform
350+ Start-upsBig Data & Analytics
Security
AdTech
HealthTech
EduTech
Gaming
35+Start-ups
100+Start-ups
30+Start-ups
190+Start-ups
100+Start-ups
50+Start-ups
30+Start-ups
35+Start-ups
30+Start-ups
800+Start-ups
Analytics& ERPemerge as keycloud workloads
>7%start-upsprovideenterprisemobilityplatforms
>26%start-upsuse mobileapp as aprimarydelivery mode
Cloud
Mobility
Payment Solutions
Hardware
IoT
AugmentedReality
Cloud
SECTION II EMERGING TECHNOLOGY TRENDS
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Ingenious start-ups are emerging in futuristic technology areas and delivering domain-speci c solutions
*Analysis based on a sample of 521 start-ups across yearsSource: Zinnov Product/Digital Start-up Database
Internet of Things
Big Data & Analytics
Founder worked with Veritas
(part of Symantec)
Co-founders worked with MindTree for
10+ years
Augmented Reality
Founder worked with Intel & AMD
Cloud Computing
Founder worked with Realcom Inc.
Security
Co-Founder worked with Philips
Electronics India Ltd.
Payments
Founder worked with
PayPal
EduTech
Founder worked with
Cisco Systems
>25% start-ups leverage cloud as the delivery platform
>7% start-ups provide enterprise mobility platforms
Analytics & ERP emerge as key cloud workloads
Many start-ups indifferent to location of cloud datacentre
>26% start-ups use mobile app as a primary delivery mode
Cloud* Mobility*
Gaming
Founder worked with DreamWorks
Animation
Hardware
Founder worked with Intel
AdTech
Co-founders worked with Bain & Company
HealthTech
Co-founders worked with
Sun Microsystems
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Augmented/Virtual reality is already being touted as one of the most signi cant marketing transformations
Source: *Juniper Research, Zinnov Product/Digital Start-up Database
Major Use Cases: Marketing & Advertising, Healthcare and Visualisation Solutions
Quick Facts
Hyderabad2011
Chennai
2012Bengaluru
2012
Mumbai
2011Growth in AR is largely driven by improvements in computing
hardware and internet connectivity
Consumer mCommerceis emerging as one of the top growth areas for augmented reality
Globally, the market size of augmented reality based solutions is expected to grow to
USD 2 billion by 2015*
30+Augmented reality start-ups in India
Healthcare Communication Virtual Trial Room
Virtual Jewellery Trial Solution Marketing & Advertising
Customer Engagement Platform Marketing & Advertising
Virtual Home Design
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Internet of Things is opening up signi cant whitespace opportunities for start-ups
Source: *Machina Research; Zinnov analysis, Cisco, Zinnov Product/Digital Start-up Database
Major Use Cases: Wearable Tech, HomeAutomation and Fleet Management
Quick Facts
Ahmedabad2012
Kochi
2012
Pune
2013
Mumbai
2014USD 1 billion+ investment committment by Indian Government on building
100 smart cities
IESA (India Electronics & Semiconductor Association) and
TiE Bengaluru have signed a MoU to promote IoT start-ups
India marketopportunity of
USD 10-12 billionby 2020
35+IoT start-ups in India
Wearable technology for a healthier lifestyle
GOQii
A wearable device to control any smart device
A connected car platform for remote monitoring
A connected c
GPS vehicle tracking & fleet management solutions
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Hardware is the new software and start-ups are targeting niche areas with HW offerings
Source: Huffington Post, Tech Crunch, Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: 3D Printing, Payment Solutions and Automation
Quick Facts
2013
2013
2013
2011
30+HW start-ups in India
Mobile payment solutions
An HDMI dongle that connects all the media to the TV wirelessly
Warehousing and distribution automation products, fleet of mobile robots
Bengaluru
NCRHardware firms such as Nest, GoPro, Beats, Jawbone, Oculus have recently accorded a multi-billion dollar valuation
Low-cost (
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Over 300 BD&A start-ups offering huge opportunities in both global and Indian market
*Big data and analytics**Source: NASSCOM and Crisil, Zinnov Product/Digital Start-up Database
Major Use Cases: Big Data and Social Media Analytics
Quick Facts
Kochi2011
2010
2012four-fold growth inanalytics start-ups in India in the last four years
IBM innovation centre in Bengalore to partner with100 big data and Internet of Things start-ups in India
Big data & analytics market in India to reach~USD 1 billion in 2015,growing 83% annually**
350+BD&A* start-ups in India
Machine-to-machine big data analytics platform
Data visualisation and analytics tool
Real-time predictive analytics based on machine data
2011
Social media analytics platform
Chennai
Bengalure
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With over 800 start-ups, cloud computing is emerging as the fastest growing technology
Source: *EMC and Zinnov; NASSCOM, Zinnov Product/Digital Start-up Database
Major Use Cases: BD&A, ERP, Comm./Collaboration and Productivity Solutions
Quick Facts
2012
2011
2012
In India, the cloud market isestimated to grow toUSD 4.5 billion by 2015*
>25% of start-ups inIndia are already using cloud as the primary delivery medium
By 2020,at least80% of IT industry growth would be driven by cloud and modern IT solutions
800+cloud computing start-ups in India
Cloud-based healthcare CRM solution
Self-service platform for big data analytics
Cloud-based video conferencing software
Bengaluru
2011
Chennai
Cloud-based billing platform for subscription business
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35+ start-ups in security domain; new delivery models are emerging
Source: CRN, Economic Times , Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: Cloud-based Security and Mobile Security
Quick Facts
2011
2013
2012India IT securitymarket is expected to double by 2016
BYOD trend is fuellinggrowth of solutions in the areas of data security and authentication
Enterprise security market in India is expected to reachUSD 234 million by the end of2014, growing at about 16% compared to 2013
35+security firms in India
Enterprise mobilesecurity firmworking in the space of "Bring Your Own Device"
Enterprise cloud security solutions, focusing on cloud security and accessibility
Cloud-based mobile security to secure mobile applications from getting hacked
2010
Provider of innovative pattern-based two factor Authentication Solution
ChennaiBangalore
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Advances in technology and increased penetrations of smartphones and internet are driving the payments market growth trajectory upwards
Source: IAMAI, Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: Online Payment SolutionsQuick Facts
2011
2011
2011
2010
800 million online transactions made in India in 2013
Delhi, Mumbai, Kolkata and Chennai contributed about60% of the totaldigital payment gateway market size in 2013
Digital payments in India is expected to touch USD 19.8 billion by December 2014, a40% increase from previous year
50+payment solutions firms in India
Payment device with a card reader which can be plugged into any smart device or phone
Online payment solutions firm
Bengaluru
Mumbai
NCR
Payments platform to solve payment issues faced by eCom. firms
Comprehensive web and mobile payment solutions for merchants as well as consumers
t d i
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With ~200 innovative start-ups, opportunities under Edu-Tech are booming
Source: Yourstory.in, Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: Technology Platform, Educational Content and Skills Development
Quick Facts
2013
2013
Mumbai2013
Cloud based knowledge management platform
Bengaluru2012
Tablets for education
Social learning network for science for partici-pants from academia to corporate research
Haryana
All-in-one software for managing schools
190+Edu-Tech start-ups in India
Indiasonline education market size is predicted to grow to USD 40 billionby 2017
K-12 sector is expected to reach USD 50 billion in 2015growing at an estimated Compound Annual Growth Rate (CAGR) of 14 %
Over 150 millionstudents in India have access to internet via their mobile phones
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33 A BRIGHT FUTURETECH START-UPS IN INDIA
Ad-Tech is disrupting the niche analytics market
Source: IBEF, Livemint, Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: Mobile Advertising, Marketing Analytics and Ad Campaign Management
Quick Facts
2014
2012
2013
2012
eCommerce, telecom and FMCG and consumer durablesare the top three verticals
Digital advertising market in India whichwas USD 503.56 millionin 2013, will witness35% growth by the end of 2014
Ad spending on mobile devices growing at an annual average rateof 46% while that onsocial media growing at an annual rate ofof 41%
100+Ad-Tech start-ups in India
Bengaluru
Pune
NCR
Ad platform for retargeting users over mobile and social ad ecosystem
social referral ad campaigns
i l f l
Software ad campaigns & marketing analytics
AdTech product for advertising & marketing analytics
-
34 A BRIGHT FUTURETECH START-UPS IN INDIA
Tremendous opportunities exist in the Health-Tech domain for start-ups
Accelerators dedicated solely tohealthcare start-upsare getting incepted in India
Source: Economic Times, Zinnov Analysis, Zinnov Product/Digital Start-up Database
Major Use Cases: Search, ERP and Records Management
Quick Facts
Indian health-techstart-ups are proving their capabilities in the global market as well
India'shealthcare ITmarket is expected to grow toUSD 1.45 in 2018, more thanthree times the USD 381.3 million reached in 2012
30+Health-Tech start-ups in India
2012
2012
2012
Cloud-based managementsoftware for doctorsand patients
Bengaluru
Durgapur
2013
Patient records management software
Doctor and hospital search and information portal
Pune
Online healthcare search
-
35 A BRIGHT FUTURETECH START-UPS IN INDIA
Gaming market in India provides huge opportunity for digital gaming start-ups
Source: IBN Live; Zinnov analysis, Zinnov Product/Digital Start-up Database, FICCI-KPMG report
Major Use Cases: Casual and Mobile GamesQuick Facts
2011
2012
2010
2011
2011
Bengaluru
Pune
Mumbai
Online and mobile games for various platforms iOS and Android game
developer/publisher
A game development studio creating realistic, casual and social video games for tablets and smartphones
d l
Develop casual and mobile games
100+Gaming start-ups in India
Casual gaming in India is expected to grow at aCAGR of 32% over2010-15 period
Mobile casual gaming revenue expected to grow at aCAGR of 27.5% over2010-15 period
7 to 8 million people inIndia claim to play on a console regularly
-
36 A BRIGHT FUTURETECH START-UPS IN INDIA
2010 2014
VCs/PEs Incubators/Accelerators
3
USD13 million
5
100+
5+ 25+ 50+
80+
USD1,818 million
70+
Investmentsonthe Rise
3/4 of TotalVC/PE Funding
2010 2014
Angel Investors
3
USD4.2 million
8+
73+
USD32.2 million
90+ USD524 million
USD1,574 million
Bengaluru
Delhi-NCR
SECTION III FUNDING LANDSCAPE
-
37 A BRIGHT FUTURETECH START-UPS IN INDIA
An evolving ecosystem of VCs/PEs/angels/ incubators/support networks is accelerating the growth of Indian start-ups
VC/PE funds
Support Ecosystem
Angel Investors/Networks
Incubators/AcceleratorsAEvent Platforms/ Support Networks B
Academic/Training ProgrammesC
Management Programme for Women Entrepreneurs
Indian Institute ofEntrepreneurship
Wadhwani Centrefor Entrepreneurship Development
Banks/Financial Institutions D
133 Member Lending Institutions
-
38 A BRIGHT FUTURETECH START-UPS IN INDIA
70+ VCs/PEs have invested over USD 2 billion in Indian start-ups in the past ve years
No. of Active Investors
13
2010 2011E 2012E 2013E 2014P
2010 2011E 2012E 2013E 2014P
265 217
549
1,818
9
138 101 207
743
5 28 41 83 70+
3 37 55 101 100+
USD 4.2million
USD 7.2million
USD 3.9million
USD 5.4million
USD 7.7million
USD 8.9million
USD 2.5million
USD 3.3million
USD 5.7million
-
USD 4.2million
USD 6.9million
USD 4.9million
USD 7.8million
USD 9.4million
Total No. of Deals
Average Deal Size (B2C)
Average Deal Size (B2B)
Average Deal Size (Overall)
Year-on-Year Investment Commitment in Start-Ups**(in USD millions)
Investment Commitment in Start-ups Excluding eCommerce**
Quick Facts*
*Average Deal Size (Overall)/(B2B)/(B2C) is based on publicly available deal values (In the public domain deal value is not available for every deal), excluding deals >= USD 100 million; (E): Estimated, (P): Projected**Total Investment Commitment is estimated based on Avg Deal Size (excluding deals >= USD 100 million) and Total No. of Deals; For the year 2014, Investment Commitment is projected for the whole year based on the run rate so farSource: Zinnov Product/Digital Start-up Database
-
39 A BRIGHT FUTURETECH START-UPS IN INDIA
VCs/PEs are making heavy investments in the expansion stage
Year-on-Year VC/PE Investments by Stage of Funding*
Start-up Inception Time
1,818 (P)
13
94 13
Seed Stage(USD 5-20 million)
Early Stage(>USD 1-5 million)
Expansion Stage(>USD 20 million)
77
259
1,470
USD 0.5million
2010 2014
Illustrations of Start-up by Stage of Funding Received Across Years
*Investment by stage of Funding is based on Avg Deal Size (excluding deals >=USD 100 million) and Total No. of Deals, and using the Total Investment Commitment projected in the previous slide as base; (E): Estimated, (P): Projected Source: Zinnov Product/Digital Start-up Database
Seed Stage Early Stage
Growth Stage Expansion Stage
(in USD million)
USD 0.8million
USD 4million
USD 4million
USD 5million
USD 3.5million
USD 0.8million
USD 0.5million
USD 15million
USD 17million
USD 19million
USD 210million
USD 65million
USD 627million
USD 45million
USD 17million
-
40 A BRIGHT FUTURETECH START-UPS IN INDIA
Average VC/PE investment sizes have more than doubled for younger start-ups
VC/PE Investments (USD million) by Start-up Inception Time**
Average Deal Size by Start-up Inception Time*
Average Investment/Investor by Start-up Inception Time*
Start-up Inception Time
1,1818 (P)
186
1,632
13
2010 2014
*Average Deal Size and Average Investment/Investor is based on publicly available deal values (In the public domain deal value is not available for every deal), excluding deals >=USD 100 million; (E): Estimated, (P): Projected**Investment by Start-up Inception Time is based on Avg Deal Size (excluding deals >=USD 100 million) and Total No. of Deals, and using the Total Investment Commitment projected in the previous slide as base; (E): Estimated, (P): Projected Source: Zinnov Product/Digital Start-up Database
-
41 A BRIGHT FUTURETECH START-UPS IN INDIA
VC/PE funding has evolved over the years and is now a lot more holistic in B2C & B2B segments
Marketing &advertising
Big data& analytics
Productivity
ERP
Communication/Collaboration
Others**
eCommerce
Aggregator & online marketplace
Travel
Social media
Education
Others*
100%34%
64%
1%
67% 61%40%
53%
33%
11%
16%15%
14%
4%
20%12%
11%11% 9%2%
11%2%9%
Share of No. of VC Deals by Start-up Type
B2B B2C B2C/B2B
Cumulative
Across Years
Shareof B2C focused VC deals
B2C/B2B
5%
Note: Analysis based on a sample of 237 deals across years*Others include comm/collaboration, productivity, gaming, and other consumer internet; **Others include apps dev/web dev, security solutions, HW, content mgmt, infra mgmt solutions, mobility solutions & others. Source: Zinnov Product/Digital Start-up Database
B2B32%
B2C63%
2010 2012 2014 Overall
2014 2010
Overall2010 2012 2014
21% 16% 20%21% 16% 18%14%
14%
16%18%
7% 16% 9%8% 7%
21% 28% 28%Share
of B2B focused VC deals
-
42 A BRIGHT FUTURETECH START-UPS IN INDIA
VC/PE funding is maturing signi cantly in deal value and in diversity of focus areas
CRM Aggregator
Communicationtool
*Top 5 Investors based on total amount invested during 2010-14 in start-ups incepted during 2010-14 in B2B and B2CSource: Zinnov Product/Digital Start-up Database
Travel
Business Resiliency& Service Availability CRM
BusinessAnalytics
ContentManagement
RoboticsCRM
eCommerceeCommerce eCommerce
Travel
Communication tool
Illustrative
eCommerceSecuritySolutions
Location BasedServices
eCommerceTravel
Major Investments
by Top 5 Investors inB2B firms*
(Illustrative List)
Major Investments by
Top 5 Investors in B2C firms*
(Illustrative List)
-
43 A BRIGHT FUTURETECH START-UPS IN INDIA
NCR & Bengaluru continue to attract a large part of VC/PE investments
Year-on-Year VC/PE Investments by Location* Total VC/PE Investments by Location*
Over the past two years, NCR has seen the highest investments by VCs/PEs, followed by MumbaiChennai and Pune are also catching up fast*Investment by Location is based on Avg Deal Size (excluding deals >=USD 100 million) and Total No. of Deals, and using the Total Investment Commitment projected in the previous slide as base; (E): Estimated, (P): Projected Source: Zinnov Product/Digital Start-up Database
Others Pune Chennai Mumbai Bengaluru NCR
1,574
524
109 93 48
513
97% of funding in NCR is towards B2C start-ups
NCR and Bengaluru account for ~3/4 of the total investment
4
52
9
80
221
38
333
9
62
374330
0.1 1.50
50
100
150
200
250
300
350
400
2010 2012 2014
NCR Bengaluru Mumbai ChennaiPune Hyderabad Others
1,200
1,128
Am
ount
Inve
sted
Includes ~USD 950 million investment in Snapdeal, Hike and Jabong
Includes ~USD 250 million investment in Olacabs
Quick Facts
(in USD million) (in USD million)
-
44 A BRIGHT FUTURETECH START-UPS IN INDIA
A number of VCs/PEs are maturing signi cantly in the Indian context
Avg: 3.6
Ran
k ba
sed
on A
mt
Inve
sted
**
*Rank Based on No. of Deals: Percentile rank (on a Scale of 0-10) of 20 Investors based on the number of investment made during 2010-14**Rank Based on Amt Invested: Percentile rank (on a scale of 0-10) of top 20 Investors based on total amount invested during 2010-14, The top investor is ranked 10, second one is ranked 5 and rest of the investors are given percentile ranksSource: Zinnov Product/Digital Start-up Database
0
1
2
3
4
5
6
7
8
9
0 1 2 3 4 5 6 7 8 9 10
No. of Deals: High, Amt Invested: High
No. of Deals: High, Amt Invested: LowNo. of Deals: Low, Amt Invested: Low
Softbank
Avg: 2.1
Tiger Global
CDC Group
Bharti SoftbankeBay &Saama Capital
Steadview Capital BessemerVenture Partners
Ru-NetHoldings
Intel CapitalCannanPartners
IDG Ventures India
SAIF Partners
IndoUSVenture Partners
Kalaari Capital
Matrix PartnersNexus Venture Partners
Helion Venture PartnersSequoia Capital
Accel Partners
Analysis of Top 20 VCs/PEs (Based on Total Amount Invested)
Rank Based on No. of Deals*
No. of Deals: Low, Amt Invested: High
-
45 A BRIGHT FUTURETECH START-UPS IN INDIA
550+ angel investors focusing on India market, ~8X growth in total investment since 2010
*Average Deal Size (Excluding Outliers) is based on publicly available deal values minus deals where an individual/Angel network has invested >=USD 1 million; (E): Estimated, (P): ProjectedAmount Invested is projected for each year based on Average Deal Size (Excluding Outliers) and Total No. of DealsFor the year 2014, Total No. of Deals and Amount Invested is projected for the whole calendar year based on the run rate so farSource: Zinnov Product/Digital Start-up Database
Number ofActive AngelInvestors(Individuals)
Total No.of Deals
1:1
AmountInvested
Average DealSize(Excluding Outliers)
8+
3
USD 4.2million
USD 9.1million
USD 23million
USD 33.9million
USD 32.2million
29+
19
48+
45
112+
95
90+
73+
Total 550+ AngelInvestors Focusedon India Market
Angel Investors Ecosystem in India*
2010 (E) 2011 (E) 2012 (E) 2013 (E) 2014 (P)
USD416,000
USD476,000
USD312,000
USD368,000
USD80,000
-
46 A BRIGHT FUTURETECH START-UPS IN INDIA
Angel investments are accelerating for mature start-ups
Start-up Inception Time
32.2 (P)
2010 2014
10.6
21.7
4.2
Angel Investments ($ Mn) by Start-up Inception Time**
Average Deal Size by Start-up Inception Time*
Angel investment is not restricted to select areas, investors are ready to bet on innovative ideasPast four years have seen a gradual shift in investment from the earlier dominant sectors to new upcoming sectors in both B2B and B2C*Average Deal Size is based on publicly available deal values (In the public domain deal value is not available for every deal), excluding deals where an individual/Angel network has invested >=USD 1 million; (E): Estimated, (P): Projected**Investment by Start-Up Inception Time is estimated based on Avg Deal Size (excluding deals >=USD 1 million) and Total No. of Deals, and using the Amount Invested projected in the previous slide as base; (E): Estimated, (P): ProjectedSource: Zinnov Product/Digital Start-up Database
Inception Time: 2-5 YearsInception Time:
-
47 A BRIGHT FUTURETECH START-UPS IN INDIA
Similar to VC/PE funding, angel investments are also getting a lot more holistic
Share of No. of Angel Deals by Start-up Type
B2B B2C B2C/B2B
Cumulative
Across Years
B2C/B2B6%
Note: Analysis based on a sample of 200 deals across years*Others include comm/collaboration and other consumer internet; **Others include apps dev/web dev, security solutions, HW, content mgmt, & others. Source: Zinnov Product/Digital Start-up Database
Big data& analytics
Productivity
Marketing &advertising
ERP
Communication/Collaboration
Others**
eCommerce
Aggregator & online marketplace
Travel
Social media
Education
Others*
5%
B2B34%
B2C60% 100%
48%
16%37%
19%
16%
20%
19%
16%
14%
10%
21%
13%5%
26% 3%5% 13%
2010 2012 2014 Overall
38%56% 67%
33%
2014 2010
Overall2010 2012 2014
20% 6% 19%
13%18%
14%
13%6%
14%100%
13%
12%
13%
20%
12%
11%
20%
47%29%
Share of B2C focused
angel deals
Share of B2B focused
angel deals
-
48 A BRIGHT FUTURETECH START-UPS IN INDIA
Over 80+ business incubators and accelerators are providing seed stage support to start-ups
Incubated 60+ Start-ups
Consumer Internet Big Data & Analytics Productivity GIS LocationUnified Communication
Incubated 160+ Start-ups
Incubator/Accelerator Ecosystem in India
Top Focus Areas in 2014
Incubated 230+ Start-ups
Apart from on premise guidance and support, some incubators are also providing virtual incubation to start-upsIncubators/Accelerators with exclusive focus on specific/niche areas are emerging in IndiaSource: Zinnov Product/Digital Start-up Database
50+Public
Incubators
25+Private
Incubators
5+ MNC
Accelerators
-
49 A BRIGHT FUTURETECH START-UPS IN INDIA
Successful entrepreneurs are coming forward to support other emerging start-ups
Guidance from entrepreneurs who have already done it before Help in building connections with other mentors, investors and customers Act as a potential customers and test the product in beta stage Provides much needed encouragement and motivation
*Source: The Economic Times
GSF has roped in redBusfounder Phanindra Sama to deepen mentoring and support infrastructure
GGGG
Indian entrepreneurs are mentoring start-ups through various channels
Dorai Thodla, founder of iMorph, Inc., providesmentorship throughTiE Chennai
The Bansals of Flipkart made seed investment in News in Shorts & are mentoring the start-up
In Mobi's co-founder and CTO Mohit Saxena is mentoring App Virality
1
4
3Mentoring through
Incubators/ Accelerators
Mentoring through support
platforms
TTT
Entrepreneurs turned Angel Investor &
mentoring the investee start-up
2Mentors
from Networks
How P2P mentoring helps start-ups
-
50 A BRIGHT FUTURETECH START-UPS IN INDIA
Business incubators and accelerators provide the much needed hand holding to the start-ups
Connect entrepreneurs to peers, mentors and potential long-term advisors to the firm
Connect with local venture funds and angel investors to raise funds
Source: GSF India, Microsoft Ventures India, Startup Village
Mentorship & Networking
Help start-ups build partnerships and business relationships to launch products in their target markets
Partnerships
Start-ups which are a part of the incubation programme are offered office/workspace, shared administrative services and some even offer seed fund
Workspace/Funds
Start-ups have
graduated from the
Accelerator Programme
Conferences/Events
have been organised
toshowcase start-uptalent
Angels are associated with GSF
Accelerator programme
Start-ups have
graduated from the
Accelerator Programme
Mentors associated with the
Accelerator
Average funding
received by start-ups
part of the Accelerator programme
$215 K
Start-ups are
supported by
including virtual
incubatees
Regular incubatees
Partners including
VCs, angels, banks
650+ 45+50+
1506436 6 18
-
51 A BRIGHT FUTURETECH START-UPS IN INDIA
Event platform and support networks are fuelling start-up growth
2014 >122009-10 2-3
Number of National Start-up Events
Smaller group meetings happen almost every weekend
Start-ups get access to mentors and experts; access to incubators is also fast tracked
Hands-on-experience where entrepreneurs and aspiring entrepreneurs find out the viability of their start-up ideas
Source: The Economic Times, National Entrepreneurship Network, Yourstory.in, Start-ups Unplugged
Mentorship & Idea Viability
Technology/Start-up conferences organised where start-ups showcase their talent and ideas to potential investors
Connect start-ups with other entrepreneurs and thus help them build a network oftheir own
Networking& Funding
Events were
organised in 2014
eWeek:EntrepreneurshipWeek, Annual Event
Member Academic Institutions& partners
supportaspiring & growing
entrepreneurs
Participants took part in the events in
2014
Entrepreneur stories have been profiled by YourStory
Niche readers
from India and
acrossthe world
Entrepreneurs provided
networking opportunities
via conferences and meetups
50,000
Entrepreneurs have attended
the event
Fund has beenraised
Start-ups have been launched
7,000 75$120 Mn
3,000,00014,0005,000 450 700,000
-
52 A BRIGHT FUTURETECH START-UPS IN INDIA
Multiple start-up speci c academic/training programmes are providing mentorship to entrepreneurs
Provide consultancy and monitoring service to MSMEs/potential entrepreneurs and enhance employability of participants
Source: Start-up Leadership, NSRCEL
Consultancy
Design and organise training activities for different target group and undertake research in the areas relevant to entrepreneurship
Training
The training and academic institutions may also provide incubation support to start-upsIncubation
Incubatees till date
Partners which include academic
institutions, government agencies &
industry experts
Events have been
organised till date to promote
entrepreneurs
35+ 7 167
Start-ups have been trained in
India
Faculty are a combination of mentors who are
entrepreneurs, investors and world experts,
and professors from business school
150+ Faculty
-
53 A BRIGHT FUTURETECH START-UPS IN INDIA
Increased M&A Activity
Favouring Factors toBranch Out from India
Enterprises acquiring start-ups
Start-up
Talent acquisition Technology gains to existing portfolio
Enterprises
Start-up consolidating with Start-ups
Start-upStart-up
Accelerate consolidation Enhanced customer base
Key Asks from the Government
A
BClear transparent framework for disbursement of thestart-up fund
Eligibility relaxation to participate in large scaletechnology projects
Revised TDS laws
Relaxation from banks to secure financing/funding
Tax saving schemes on funding
Special Regulatory Zones (similar to SEZ) to testindustry products
C
Easy Access toCapital in the US
Global Market(USD) Opportunity(
SECTION IV EMERGING TRENDS AND RECOMMENDATIONS
-
54 A BRIGHT FUTURETECH START-UPS IN INDIA
Given the vibrancy in the ecosystem and its potential, the M&A activity is on the rise in India
Large firms are acquiring Indian start-ups for talent and embedding innovative technology in the existing portfolio
Start-ups are acquiring start-ups to accelerate consolidation and extend reach to existing customer base
Acqui-hiring There's growing interest from Facebook, Google and Yahoo! in acqui-hiring from India
TechnologyAcquisition
Oracle acquired Bitzer Mobile in 2013. Bitzer augments Oracles portfolio and is expected to be a core component to its mobile security strategy
Consolidation
Consolidation wave sweeping the consumer internet space GoGrab.in merged with AnyCommerce in 2014 Flipkart acquired Myntra in 2014 Zovi acquired Inkfruit in 2013 Flipkart acquired Letsbuy in 2012
CustomerAcquisition
Goozop a global digital agency, acquired Red Digital, an Indian social media agency to increase revenue from Indian operations
-
55 A BRIGHT FUTURETECH START-UPS IN INDIA
As M&A is witnessing increased momentum in India, investors are getting more exit opportunities
Tech M&A in India(Illustrative List)
201420132011
USD 136 million
USD 31million
USD25 million
Not disclosed
Not disclosed
USD135 million
USD62 million
USD43.4 million
Not disclosed
Not disclosed
>USD10 million
USD 300-330 million
USD15 million
USD15 million
USD9 million
Source: Venture Intelligence, YourStory.in, NextBigWhat.com, Others
2012
US3
5
USD
-
56 A BRIGHT FUTURETECH START-UPS IN INDIA
Start-ups are betting high on evolving ecosystem, however, a number of challenges are constraining the growth
With long sales cycles, customer acquisition is a major pain point
High likelihood of receivables turning into bad debt (5-10% probability)
Source: Zinnov, NASSCOM
Despite maturing ecosystem securing funding is tough
Start-up funding is perceived as one of the most important success criterion
Complex and stringent government policies are a major cause of concern
Lack of execution clarity on existing policies creates state of uncertainty
Growth Barriers
-
57 A BRIGHT FUTURETECH START-UPS IN INDIA
Clear and transparent framework for disbursement of the ` 10,000 crore start-up fund
Risk capital for first gen entrepreneurs, growth capital for serial entrepreneur and sector-specific allocations
Key Policy Related Asks from the Government
Preferential treatments/relaxation of eligibility criterion by government for start-ups to participate in large scale technology projects
Re-imagine TDS and allow start-ups to pay taxes at the end of the year (instead of tax being deducted at source)
Guidelines to public sector banks for relaxation on debt financing terms/ collateral/invoice requirements for working capital asks
Provide tax saving schemes on return on VC/angel investments in start-ups and build ecosystem excitement
Create Special Regulatory Zones (on the lines of SEZ) with regulatory flexibility to test best products in industries such as VOIP, Healthcare, BFSI, etc.
11
4444
55 66
22
33
Though the Government is making right efforts to make the start-up ecosystem more conducive to growth, there is still a need for clear and transparent guidelinesSource: Zinnov, NASSCOM
Demand for supportive government policies continues to exist
-
58 A BRIGHT FUTURETECH START-UPS IN INDIA
About NASSCOM 10,000 Start-ups
10,000 Start-ups is an ambitious attempt by Indias premier IT industry body NASSCOM to scale up the start-up ecosystem in India by 10x. The programme is supported by Microsoft, Google, Intel, Verisign & Kotak. 10,000 Start-ups aims to enable incubation, funding and support for 10,000 technology start-ups in India over the next 10 years.
The programmes vision is to:
Foster entrepreneurship
Build entrepreneurial capabilities at scale
Strengthen early stage support for tech start-ups
To meet these objective, the programme has brought together key stakeholders of the ecosystem including start-up incubators/accelerators, angel investors, venture capitalists, start-up support groups, mentors and technology corporations. With 10,000 Start-ups NASSCOM aims to build a vibrant ecosystem for technology entrepreneurship in India.
Indias largest platform to connect with the tech entrepreneurship community
Under the aegis of 10,000 Start-ups, NASSCOM organises and supports workshops, meet-ups, hackathon, pitches for technology entrepreneurs building solutions for web and mobile in order to build a vibrant tech start-up ecosystem in the country. Since its launch in April 2013, the 10,000 Start-ups has done about 350 events in 22 cities of the country which were attended by a whopping 25,000 attendees.
In the last one and half years, 10,000 Start-ups has built a vibrant social community for more than 100,000 followers and an opt-in mailing list of about 30,000 existing and aspiring entrepreneurs. The programme has also hosted some of the global icons of the technology world like Eric Schmidt, Michael Dell, Vinod Khosla, Sundar Pichai and more recently, Satya Nadella.
Indias biggest tech start-up programme in terms of impact.
After it was launched in April 2013, the 10,000 Start-ups programme has received over 9,000 applications from various parts of the country and about 500 tech start-ups have been shortlisted in 2 phases. These start-ups have got the opportunity to pitch to more than 30+ partners of the programme including leading accelerators, angel investor networks and venture capital rms.
These rms received access to a pool of mentors including technology leaders, successful founders, domain experts, angel investors, etc. Beyond this, they also received platforms to meet large enterprises, system integrators and strategic who could potentially be customers and strategic partners. With the support of the Government of Karnataka, NASSCOM also established a co-working facility called Start-up Warehouse exclusively for tech start-ups right in the heart of the city.
Through various initiatives, the programme has been able to successfully impact 150+ technology start-ups out of the 500+ who have been shortlisted under the programme. These rms have raised funds, got into acceleration programmes, found customers and on-boarded mentors through the programme.
We look forward to scaling this number drastically in the days to come!
-
59 A BRIGHT FUTURETECH START-UPS IN INDIA
Accel Partners Freemont Partners Norwest Venture Partners Abhishek Goyal GSF SuperAngels Ratan Tata
Ascent Capital Google Capital Ojas Venture Partner Amit RanjanIndian Angel Network Ravi Gururaj
Avalon Ventures Greylock Partners Omidyar Network Anand Ladsaria Kanwaljit S Bombra Ravi Kiran
Bertelsman Helion Venture Partners Qualcomm Ventures Anand Lunia Kishore Ganji Ravi Trivedi
Bessemer Venture Partners IDG Ventures Ru-Net Holdings Angel Prime Krishna Motukuri Rehan Yar Khan
Bharti Softbank IndoUS Venture Partners Saama Capital Anupam Mittal Krishnan Ganesh Sachin Bansal
Blackrock Intel Capital SAIF Partners Bhupen Shah Manav Garg Samir Sood
Blume Ventures InterWest Partners Sequoia Capita Bimal Shah Manoj Menon Sasha Mirchandani
CDC Group Inventus Capital Partners Softbank Binny Bansal Mumbai Angels Sharad Sharma
Cisco Ventures Kalaari Capital Steadview Capital Calcutta Angels Murali Venkat Rao Sunil Kalra
Clear Stone Venture Partners KITVEN Funds Telstra Ventures Ccube Angels Naveen Tewari Umang Kumar
Draper Fisher Jurvetson
Lightspeed Venture Partners Tiger Global Chennai Angels Nitin Aggarwal Urrshila Kerkar
eBay Matrix Partners Unilazer Ventures Deep Kalra Nitin Singhal Venkat Vallabhaneni
Epiphany Ventures Mayeld Fund Vertex Venture Holdings Dinesh Aggarwal Rajan Anandan Vikash Taneja
Fidelity Growth Partners India
Nexus Venture Partners
Walden International
Girish Mathrubootham
Rajesh Sawhney Vishal Gondal
VCs/PEs Angel Investors/Networks
Illustrative list of VCs/PEs and angel investors/networks
-
60 A BRIGHT FUTURETECH START-UPS IN INDIA
Incubators/Accelerators
5ideas Kyron Target Accelerator Program In50hrs
91Spring Board MICA Incubator: MICA-EDC TBI BITS Pilani LetsVenture
BitChemy Ventures Microsoft Ventures TBI IIT Delhi
T-TBI (Technopark TechnologyBusiness Incubator)
Microsoft BizSpark India Startup Challenge
Boot Up Factory 10,000 Startups: NASSCOM Manipal Institute of Technology Innovation Centre
NASSCOM Product Conclave/Emerge Awards
Catalyzer National Design Business Incubator (NDBI) - NID AhmedabadTBI - NDRI Karnal
NEN
CIE - IIIT Hyderabad NSRCEL (IIM Bangalore)
TBI VIT
NextBigWhat
CIIE - IIM A PayPal Incubator
The Fabric
SME Joinup
Citrix Start-up Accelerator PitneyBowes Accelerator Program
Tlabs - Times Internet Group
StartDunia
Freemont Partners RTBI - IIT M
TSC (The Startup Centre)
STARTOHOLICS
Growth Story SAP Startup Focus
Veddis Advisors
Startup Festival
GSF SEED MDI
Venture Centre
Startup Weekend
Health Start SIDBI Innovation & Incubation Centre - IIT KanpurVenture Nursery
Startups Unplugged
IIITB Innovation Centre - IIIT Bangalore SINE - IIT Bombay Villgro Startups.in
Indian Angel Network Incubator Startup Oasis
Wadhwani Center for Entrepreneurship Development- ISB Hyderabad
TIE
Khosla Labs Start-up Village Zone Startups Yourstory
Event PlatformsSupport Networks/
Illustrative list of incubators/accelerators and support networks/event platforms
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61 A BRIGHT FUTURETECH START-UPS IN INDIA
DisclaimerMethodology and assumptions for the Analysis of Top 20 VCs/PEs in Page No.43
1) This analysis is based on publicly available deals done by VCs/PEs. It is not exhaustive in nature as this list may not include some top investors as all their deals may not be available in public domain
2) For ease of analysis, in deals involving multiple investors, the total deal amount is split equally among investors. In deals where the amount invested by each investor is available from public sources, then in such cases the amount is allocated accordingly
The slides including names and logos of Start-ups/VCs/PEs/Angel Investors/Angel Networks/Incubators/Accelerators/Event Platforms/Support Networks/Academic/Training Programs/Banks/Financial Institutions and pictures of start-ups Founders/Co-Founders/CEOs are illustrative in nature, and the logos, trademarks and pictures are owned by respective companies
The M&A deal values included in slide No.53 are sourced from publicly available sources. In some cases this may be an approximate value (not the actual deal value) as at times the deal value available in public domain is based on analysts or industry leaders estimates
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62 A BRIGHT FUTURETECH START-UPS IN INDIA
ZinnovRepository:
Public Sources:
NASSCOM 10,000 Start-up Database
Angel List
Yourstory.in
Techcrunch/Crunchbase
Venture Intelligence
Start-up Websites
VC Websites
Angel Networks Websites
Media Articles
Zinnovproduct/digitalstart-updatabase
PrimaryInteractions:
35+Technologyproductcompanies/start-upsInteractionswith VC &AngelInvestors
List of Sources
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International Youth CentreTeen Murti Marg, ChanakyapuriNew Delhi 110 021, IndiaT 91 11 2301 0199 F 91 11 2301 [email protected]