It may seem like a tough time to be a tech entrepreneur or even a tech professional. The recession in the US is just starting and has many in the Indian tech startup space (rightly) worried.
But I remain very optimistic about the long term prospects of India's SaaS startup space, for some very good reasons:
1. Tech will continue to remain the dominant disruptor of our lives. The Covid-related tech boom might have slowed down, but tech-induced disruptions will continue to take place. Each new one stands on the shoulder of the earlier ones, causing exponential change.
Mobile, Cloud, AI/ML, Blockchain, Quantum Computing, the list goes on. These technologies will continue to be adapted globally and will drive growth, independent of the market corrections that will take place from time to time.
2. SaaS is the prominent mechanism for deploying these new technologies. Across industry verticals, customers have seen tremendous value in the ‘pay-as-you-go’ SaaS model.
Other things that work in its favour — continuous improvements rather than big-bang changes, the option to adopt new features and even stop use as and when needed; and finally, setting up infrastructure as and when required.
3. Over the last few decades, India has steadily built a reputation for being tech savvy. It manifested first as the hugely successful services industry. Organisations here mainly built bespoke solutions for customers in the West.
Then the B2C startups made a big splash by meeting the needs of billions in India. And now, B2B SaaS startups have also come to the party. Unlike B2C, the B2B products have a global opportunity as the use-cases remain the same in India and outside. So, the prime strategy for B2B products is to build and validate them at a low cost in India then sell and deploy them anywhere in the world.
These are my interpretations of historical trends in the SaaS industry. But there are exciting developments we are seeing first-hand in India's SaaS space at present. But that’s for next time!