The rise and rise of India SaaS

The confluence of pandemic-induced large scale digital adoption and the rise of ambitious, dynamic Indian entrepreneurs assure promising growth for the Indian SaaS industry.

In the past few years, Indian SaaS companies have not only caught up with their global counterparts but have also showcased the potential to surpass them and become trendsetters in this space.

The Indian SaaS market is expected to account for almost 7 to 10% of the global SaaS market, from 2-4% at present, according to EY-CII Research Report.

SaaS revenues in India are already witnessing an annual growth of 20%, with a rising uptake in software-as-a-service solutions from Indian SMBs and enterprises across sectors, as well as vigorous growth from global markets.

ET reported on April 20, that according to a report by Zinnov, titled ‘India SaaS: Punching through the global pecking order’, overall funding for Indian SaaS startups is expected to touch $6.5 billion this year, from $4 billion in 2021 – an increase of 62.5%.

According to data from research platform Venture Intelligence, SaaS companies raised $2 billion across 93 deals in the first quarter of 2022.

Despite the funding winter that hit the Indian SaaS sector between 2012 and 2018, almost 15 SaaS companies have achieved unicorn status in the past four years alone, signaling an uptick for the Indian SaaS story.