What industries should excite you in 2020?
Are you planning to start your new business venture?
You must be wondering if you have your eye on the right industry or not?
Starting your own business is not easy. There are so many things to consider, from market demand to competition, but it will all be worth it.
To help you drive the wheel towards the road to success, we’ve rounded up 5 fastest growing industries to start your business in 2020:
1. Ed-tech
Data Points for the Industry:
- From 2014 to 2019, more than $1.8 Bn has been invested into Indian ed-tech startups.
- The sub-segment of test preparation has the highest capital inflow & the greatest demand in India.
- India’s tech economy growth has also pushed the demand for skill development solutions.
If educating people is something that you’re passionate about, Ed-Tech or Educational Technology may just be the startup industry for you.
The growing popularity of online learning has provided a major push to 3 of the top subsectors in the edtech market:
- Test Preparation (from k-12 to entrance exams)
- Online Certification
- Skill Development
What’s the upside of Ed-Tech industry in India?
Fundamentally, India is one such market where there is a lot of focus on education. Most parents aspire to see their children aim high in education, and hence, people are willing to pay for these services.
- As per a study conducted by KPMG, the estimated market size for the ed-tech industry i.e. online certification and the reskilling industry is estimated to be $463 Mn (2021) growing at a CAGR (compounded annual growth rate) of 38% since the year 2016.
- The key theme and major advantage for the ed-tech industry is: Personalisation and Inclusion
.
Ed-tech is considered as one of the fastest growing industry in India.
2. HealthTech
Data Points for the Industry:
- Indian Health-tech sector recorded a total funding of $586.93 Mn in the year 2019
- Indian healthcare market to be valued at $372 Bn by 2022.
- Some of the popular healthtech startups are CureFit, PharmEasy, Practo, etc.
Increase in population, changing lifestyles and environmental instability pose newer challenges, as new diseases appear. To tackle these challenges and focus on mass scale solutions, it is important to encourage technology & automation in the Indian healthcare sector.
What’s the upside of HealthTech industry in India?
- Indian healthcare industry is growing at tremendous pace and is considered as one of the fastest growing industry due to increased penetration of technology, improved connectivity and enhanced healthcare policies.
- Indian healthcare market is expected to grow threefold to Rs.8.6 trillion by 2022.
3. FinTech
Data Points for the Industry:
- India is experiencing a ’FinTech Boom’ by emerging as the world’s second largest fin-tech hub.
- Indian Fintech sector received a total funding of $3.18 Bn in the year 2019
- Some of the popular Fintech companies are Paytm, PhonePe, Google Pay, Cred, etc.
For years, FinTech (or Financial Technology) has been a hot startup sector and one of the best industry for business in India. The digital payment space in India is set to witness interesting times as WhatsApp
, the global messaging app, is coming in a phased manner with its payment services.
What’s the upside of FinTech industry in India?
- As per Deloitte & CII’s Vision 2020 report, India is speedily heading towards becoming a digital economy with over a billion mobile phones, 330 million internet users, and 240 million smartphones.
- B2B startups in FinTech industry are climbing the ladder
- Some of the other areas where Fintech businesses are moving in 2020 includes taking insurance to the masses & a new wave of Fintech in education.
There is no doubt that competition in the fintech industry will intensify in the year 2020, however, it will still remain one of the fastest growing industries in India.
4. Gaming
Data Points for the Industry:
- Smartphones accounts for a majority of online gaming revenues in India
- India fantasy sports operators witnessed a 7 times growth since 2016, while the user base grew 25 times in India
- 250 Mn online gamers and game developing companies were recorders in the year 2018, while the numbers were 20 Mn and 25 Mn, respectively in 2010.
Today, gaming industry has grown to become one of the biggest in the entertainment sector in the world and is considered as one of the fastest growing industry.
With smartphone penetration at its peak, the Indian gaming market ranks 5th among the world’s top mobile gaming markets.
What’s the upside of Gaming industry?
- Gaming industry was estimated at more than $150 Bn in 2019, and this figure is anticipated to grow to nearly $200 Bn by 2022, with a CAGR of over 9%.
- The impact of mobile gaming is nowhere more evident than in India, where it always has always been considered a niche form of entertainment.
Games such as PlayerUnknown’s Battlegrounds (PUBG), FarmVille, Candy Crush Saga, and Clash of Clans, with social and multiplayer components, only furthered the trend, making gaming one of the fastest growing industry.
5. Data Security
Data Points for the Industry:
- The Indian business ecosystem’s poor data security is no secret
- The BYOD (Bring your own device) work culture is now prevalent across many offices and workplaces in India
- India business & enterprises don’t have adequate visibility into their cybersecurity health
The more time people spend online, the more they are exposed to data breaches & violations of digital privacy.
Due to major data privacy thefts & scandals like Cambridge Ananlytica, companies and consumers have now become more aware of these risks.
What’s the upside of Data Security industry?
- Data privacy breach makes Cyber Security one of the fastest growing industries and creates endless opportunity for entrepreneurs and business owners willing to bet on cybersecurity and data protection as a business.
- According to a report by PwC, the cyber security market in India is expected to grow from USD 1.97 billion in 2019 to USD 3.05 billion by 2022, at a CAGR of 15.6%
Though Data Security is one of the fastest growing industries, but starting a cyber-security company is no easy feat but the starting point could be by offering consultancy services to local companies.
If you’re thinking about starting a business soon, be where there is enough sunrises. Be a part of those sectors where the next wave of growth will come from.
We have given you a lowdown of the 5 best industries for business in 2020 and should be well considered when establishing a new business