Indian Consumer Technology Sector Expected to Hit $300 Billion by 2027
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Synopsis
A recent report forecasts the Indian ConsumerTech market will reach $300 billion by 2027, with a CAGR of 25%. The report identifies key growth areas such as health foods, pet care, and athleisure, along with opportunities in lab-grown diamonds and Ayurveda, highlighting a dynamic landscape for new-age brands.
Key Takeaways
- Indian ConsumerTech market to reach $300 billion by 2027.
- Health foods and pet care are rapidly growing sectors.
- Athleisure market projected to hit $7 billion by 2028.
- Emerging brands are reshaping distribution models.
- Substantial export potential in innovative product categories.
Bengaluru, Feb 7 (NationPress) The Indian ConsumerTech market is on track to achieve $300 billion by 2027, with a robust compound annual growth rate (CAGR) of 25 percent, as detailed in a report released on Friday.
This analysis emphasized promising sectors within the domestic landscape, including health foods, pet care, and athleisure, a fusion of athletic apparel designed for everyday wear.
Health foods are expected to grow at a CAGR of 20 percent, while pet care is forecasted to expand at 17 percent, marking them as rapid-growth subsegments in the emerging brands category, according to the report by Chiratae Ventures in partnership with Google and 1Lattice.
The athleisure market could potentially reach $7 billion by 2028, presenting exciting opportunities for new startups.
Additional highlighted categories include lab-grown diamonds, millet-based foods, and Ayurveda. These sectors are viewed as having substantial export potential, driven by technological advancements, research and development, as well as brand positioning for the global market.
“India has witnessed nearly 5-6 years of a surge in new-age brands, establishing a clear framework for success in targeted categories,” stated Anoop Menon, ConsumerTech lead at Chiratae Ventures.
The report indicates that the ConsumerTech sector presents significant prospects for creating influential brands that meet unaddressed consumer demands while utilizing innovative business models.
Traditionally, India's supply chain and distribution have been regarded as highly efficient, ensuring sourcing, manufacturing, and product delivery to the most remote areas of the country.
However, with the emergence of proactive brands that swiftly identify and adapt to early trends, a deeper insight into the profit margins at each value chain stage is crucial for entrepreneurs. This understanding can enhance their capacity to capture value and scale operations effectively, as noted in the report.
“As customer expectations rise and the dynamics of brand-consumer interactions evolve, distribution in India no longer follows a universal model. Today’s D2C brands are setting new industry benchmarks by introducing more flexible and effective models,” remarked Abhilasha Jaju, Director of Financial Investors at 1Lattice.
