Indicorns: India’s New Benchmark for Startup Success

Did you ever think that a billion dollars or a valuation determines a startup’s milestones? India is redefining business with a startup culture that has brought the term Indicorns into play, which changes the lens through which we view a business or a company. While unicorns focus on the valuation of over a billion dollars, Indicorns focus on wealth generation and profitability. This shift places emphasis on more sustainable factors like revenue, unlike high valuations that receive undue attention. This blog captures the essence of Indicorns and elucidates why they are potent enough to become India’s new measure of startup success.

What is an Indicorn?

An Indicorn describes Indian startups that reached profitability along with earning revenue of ₹100 crore by the end of the fiscal year 2023. Unlike “unicorn” startups that are valued at over $1 billion, Indicorns are more focused on sustainability and profitability rather than high valuations. The term Indicorn was coined by Kunal Bahl, the co-founder of Snapdeal and Titan Capital. When Bahl gave a speech during TechSparks 2024, one of the biggest startup events in India, he said this term was created to help acknowledge startups that build profitable businesses instead of focusing on high, unsustainable valuations.

Who is Kunal Bahl?

Kunal Bahl is an entrepreneur and investor, and he is Indian by nationality. He was born on 1st January 1984 in New Delhi and is known as one of the most famous e-commerce platforms in India. He studied at Delhi Public School R.K. Puram for his primary education. He completed his higher studies at the University of Pennsylvania, where he graduated from The Wharton School and the School of Engineering and Applied Science. He also took classes at Kellogg School of Management Executive marketing program. Kunal Bahl was a co-founder of Snapdeal in 2010, and soon after, it became one of the largest Indian online marketplaces. He is also a co-founder of Titan Capital, which is an investment firm that has invested in over 250 startups, including Ola Cabs, Urban Company, and Mamaearth, its first investment in the consumer sector. Apart from these entrepreneurial activities, Bahl has been active in business associations like NASSCOM and the Confederation of Indian Industry (CII).

Kunal Bahl’s Perspective on ‘Indicorns’

At TechSparks 2024, Kunal Bahl, co-founder of Snapdeal and Titan Capital, introduced the term “Indicorns” to highlight the importance of profitable and sustainable business models in India’s startup ecosystem. He emphasised that the traditional focus on “unicorns”—startups valued over $1 billion—often overlooks the significance of profitability and long-term viability. Bahl suggested that India should celebrate “Indicorns,” startups that have achieved profitability with revenues exceeding ₹100 crore, as a more appropriate benchmark for success.​ Bahl questioned India’s emphasis on creating a limited number of unicorns and advocated for nurturing thousands of Indicorns instead. He argued that building enduring businesses with sustainable growth should be prioritised over simply achieving high valuations.

Number of Indicorns in India

As of the end of the fiscal year 2023, India has identified numerous startups that qualify as Indicorns, having achieved profitability with revenues over ₹100 crore. The exact number is not specified, but this new classification aims to recognise and celebrate startups that focus on sustainable growth and financial health, aligning with Bahl’s vision for a more robust and resilient startup ecosystem.

Titan Capital’s ‘Indicorns Index’: Showcasing India’s Profitable Startups

In 2024, Kunal Bahl, co-founder of Snapdeal and Titan Capital, introduced the term Indicorns to highlight Indian startups that have achieved profitability with revenues exceeding ₹100 crore. To officially recognise these companies, Titan Capital launched the Indicorns Index— a dedicated platform that lists profitable startups across different sectors. This index aims to shift the focus from high valuations to sustainable business success.

What is the Indicorns Index?

The Indicorns Index is a curated list of startups that have met the Indicorn criteria. Unlike traditional unicorn lists, which prioritise billion-dollar valuations, this index highlights companies that are profitable and earn substantial revenue. It recognises startups that are not only growing quickly but also financially strong and self-sustaining.

Key Features of the Indicorns Index

• Index List of Profitable Startups – The index features startups that have in excess of the mark of 100 crore in revenue and prove their financial robustness.

• Focus on Sustainability – It motivates businesses with a strong foundation as opposed to those that depend on funding to remain operational.

• Sector Wise Breakdown – Indian fintech, e-commerce, SaaS, logistics, and many other industries are represented by these startups showcasing India’s most powerful corporations.

• Data-Backed Insights – The index reveals information on the profitability of these firms and their contributions towards the economy.

Why is This Important?

Kunal Bahl stressed that India needs thousands of Indicorns instead of a few hundred unicorns. The objective is to focus on financially independent startups and not those that need endless investor support. The Indicorns Index is a step in this direction by acknowledging successful businesses that focus on sustainable growth.

Final Words

Indicorns are reshaping the paradigm of measuring the success of a startup in India. Instead of focusing on high-dollar valuations, these startups aim to make real profits through sustainable growth strategies. Consequently, with the Indicorns Index, the focus shifts towards enabling sustainable business model development. This, in turn, will strengthen India’s startup ecosystem.