In a groundbreaking revelation, a joint report by Enmasse and Praxis Global Alliance unveils that India hosts a staggering 247 million entrepreneurial households, positioned as a key catalyst for the nation’s upcoming economic surge. These households are anticipated to generate an impressive transaction value of $8.8 trillion in the financial year 2022-23, showcasing their pivotal role in shaping India’s economic landscape.
Entrepreneurial Households and Economic Wave: Projections indicate that entrepreneurial households will spearhead India’s economic wave, with their core transaction value (CTV) expected to witness an annual increase of 12.7%. The CTV is anticipated to reach $95.2 trillion by the fiscal year 2042-43, underscoring the transformative potential of this dynamic economic segment.
New Metric: Core Transaction Value (CTV): The report introduces a significant new metric, the core transaction value, shedding light on a vast market with untapped potential. These households, known for diverse income streams, effectively convert earnings and curated borrowings into a portfolio rich in high-priority goods, services, and business expenditures.
Insights from Jyotsna Krishnan: Jyotsna Krishnan, Managing Partner at Elever Equity and Co-founder of Enmasse, emphasizes the significance of this investigation into core transaction value, identifying 247 million entrepreneurial households as a vibrant economic segment poised for transformative growth.
Brand Success and Returns on Capital Employed (ROCE): The report highlights that brands targeting entrepreneurial households have showcased appealing Returns on Capital Employed (ROCE) in FY23, comparable to those of the Nifty50. This signifies the attractiveness of engaging with this burgeoning economic segment.
Madhur Singal’s Perspective: Madhur Singal, Managing Partner and CEO at Praxis Global Alliance, emphasizes that the $8.8 trillion core transaction value signifies not just a number but a testament to the untapped potential and vibrant economic activity of these households.
