india: a rising saas powerhouse

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India: A rising SaaS Powerhouse

December 2016


# 2

India Has Technology, Talent Pool And Cost Advantage To Build Globally Competitive SaaS Businesses

Anshu Sharma

I have added a new slide next. Can we just say that?

Manu Rekhi

what slides numbers. we can have our designer work on it.you and dinesh should connect and be on the same page as wellagain, thank you so much for doing thismanu-- Manu [email protected]*Inventus Capital Partners <http://www.inventuscap.com> | **Blog<http://manurekhi.wordpress.com/>*


# 3

India Has The Largest Pool Of SaaS Ready / Skill Ready Software Developers, UI/UX Designers And Product Managers Outside Of US

in thousands

Source: Google-Accel SaaS Report

India has the talent pool in SaaS to replicate Israel’s success with Security space


# 4

Rich Pool Of Mentors Available To Indian SaaS Entrepreneurs Who Have Experience Of Creating Businesses Of Global Scale

Satya NadellaMicrosoft

Nandan Nilekani Ex-Infosys

Amit Singhal

Ex-Google

Rajan Anandan

Google

Sridhar Vembu

Zoho

Dheeraj PandeyNutanix

Ravi VenkatesanEx-Microsoft

Reggie Aggarwal

Cvent


# 5

India's Inherent Cost Efficiencies In Support, Engineering, Desk Marketing & Sales Result In Edge Over Developed World Players In SaaS Unit Economics

costs as % of total revenue for a typical SaaS company


Better EBITDA

Margins by 3-4x


# 6

Thanks To These India Advantages A Vibrant SaaS Ecosystem is Emerging in India


# 7

India has 400+ SaaS companies with >30 with $5mn+ ARR and >10 with $10mn+ ARR

Source: Venture Intelligence; Signal Hill and Industry Estimates

~$150mn

Bootstrapped

~$115mn

Numbers indicate funding raised till date

~$125mn

Bootstrapped

~$75mn

Bootstrapped

~$21mn

~$28mn

~$36mn

$50M

~$105mn

~$38mn

~$30mn


# 8

$740 mn+ VC/PE Capital Invested In Last 2 Years (CY15 & YTD CY16) - 105% Growth Over Prior 2 years

Note: (1) YTD as of Nov’16Source: Venture Intelligence

in USD mn

$360mn+ across 72

deals

$740mn+ across 74

deals

2x$90

$60

$55

$51

$50

$45

$30

$23

$15

$15

Top 10 India SaaS Deals in Past 2 Years (USD mn)


# 9

Global Technology Majors Have Taken Notice of B2B Tech In India, Approaching $1B Software M&A Tipping Point

Chinese Investor

ConsortiumAcquiredAcquired Acquired Acquired Acquired Acquired

AcquiredAcquired Acquired Acquired Acquired Acquired

$900 mn$130 mn $30-40 mn ~$10 mn

~$9 mn$10-15 mn ~$30 mn $200 mn$136 mn


# 10

Indian SaaS Businesses Can Capture Disproportionate Share Of World SaaS Market


# 11

Two Significant Global Trends That Favour Indian SaaS Businesses

SMB Contribution to World SaaS Market

Rise of Asia & Its Increasing Contribution to Global

Growth


# 12

Asia Is One Of The Largest And Fastest Growing Economic Zones

Asia’s share in Global GDP (real US$ PPP) will increase further

2015 2025

Source: Delloite, Oxford Economics


# 13

SMB The Most Under Penetrated But Fastest Growing SaaS Segment

Revenue % for global SMB Software Market


3.2x

SMB SaaS Revenue in USD bn


# 14

Indian SaaS Companies Are Expanding Addressable Market In SMBs and Asian Enterprises By Offering Compelling Product At A Competitive Price

$40per agent /month(1)

$100per agent /month(2)

$300-700

per month(6)

>$1000per

month(7)

Note: (1) Estate Plan billed annually (2) Enterprise Plan billed annually (3) Professional & Enterprise plan billed annually (4) Lightening Professional & Enterprise plan billed annually (5) Price comparison for a 100 room property billed annually (6) Pro & Advance plan billed annually (7) Base PlanSource: Company websites; Industry reports

$20-35per user /month(3) for CRM

$75-150per

user/month(4) for CRM

$100-120per month(5)

for Channel Manager

$150per month(5)

for Channel Manager


Thank You!

Nitin BhatiaManaging Directornbhatia@signalhill

.in

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