Looking to build a product or service for Indians? Zerodha CEO Nithin Kamath shares 1 risky assumption for founders

economictimes.indiatimes.com:

Currently, the country's population stands at 1.4 billion, which is about 18 per cent of the global total. Businessman Nithin Kamath, who recently made it to the Forbes World's Billionaires List of 2023 with his business partner and brother Nikhil, shared a dangerous assumption that can hamper the founders and investors in the country. The assumption that a certain percentage of India's population will become customers due to a similar trend in developed countries is risky for founders and investors.

Sharing his views with the people and aspiring entrepreneurs on social media, the founder and CEO of Zerodha wrote, "'India has 140 crore people, and if X% can become customers because of Y% in a developed country', is a dangerous line of thinking for founders and investors." While catering to around three per cent of affluent English-speaking Indians is manageable, Kamath said expansion beyond that becomes challenging. «Something we are pondering at Zerodha as well,» he added. India's diversity means that success in one region might not apply to another, making it crucial to recognise its varied segments, explained Kamath.

«I guess the right way to think of this is, India is many countries in one. What works in one state or region may not work in another,» he concluded his post alongside a graphic image of India's map. India's population compares its states and union territories to countries around the world with similar populations.

Kamath's post caught people's attention and got more than 77K views. Replying to Kamath's post, Nearbuy founder Ankur Warikoo said that he was shocked to find out Uttar Pradesh is 2.5 per cent of the world's population. «Shocks me each time I hear it,» he wrote.