Market Insights Financial Capital Raising Digital Capital Raising

Crowdinvesting - India

India

The total transaction value in the Crowdinvesting market in India is expected to reach €13.78m in 2024.
When compared globally, the United Kingdom leads with a transaction value of €564m in 2024.
In India, Crowdinvesting in the Capital Raising market is gaining traction among tech startups seeking alternative funding sources.

Key regions: Europe, Australia, Brazil, China, Israel

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

India is experiencing a rapid growth in its Crowdinvesting market, driven by customer preferences for alternative investment options and the country's favorable economic conditions.

Customer preferences: Indian investors are increasingly seeking alternative investment options to diversify their portfolios and maximize returns. Crowdinvesting provides a unique opportunity for individuals to invest in startups and small businesses, which were previously inaccessible to retail investors. This allows them to support innovative ideas and potentially earn high returns on their investments. Additionally, the younger generation of investors in India is more open to taking risks and investing in early-stage companies, further driving the demand for crowdinvesting platforms.

Trends in the market: The crowdinvesting market in India is witnessing a surge in the number of platforms and investments. This can be attributed to the growing startup ecosystem in the country and the availability of digital platforms that connect investors with entrepreneurs. These platforms provide a streamlined process for investment, making it easier for individuals to participate in crowdinvesting. Furthermore, the government's initiatives to promote entrepreneurship and ease regulations have created a conducive environment for startups, attracting more investors to the crowdinvesting market.

Local special circumstances: India's large population and increasing internet penetration are key factors contributing to the growth of the crowdinvesting market. With over 1. 3 billion people, India has a vast pool of potential investors. The increasing internet penetration, especially in urban areas, has made it easier for these individuals to access crowdinvesting platforms and participate in investment opportunities. Additionally, the rise of mobile technology has further facilitated investment activities, as investors can now access these platforms on their smartphones.

Underlying macroeconomic factors: India's strong economic growth and rising disposable incomes have also played a significant role in the development of the crowdinvesting market. As the country's economy continues to expand, more individuals have disposable income to invest in various asset classes, including crowdinvesting. Furthermore, the government's initiatives to promote financial inclusion and digital payments have made it easier for individuals to invest in crowdinvesting platforms. The ease of transferring funds and the availability of online payment options have further fueled the growth of the crowdinvesting market in India.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.