How SaaS industry in India has seen growth with a rise in startups

The software-as-a-service (SaaS) industry in India has witnessed accelerated growth in the past couple of years, with 75 per cent of the demand for Indian SaaS products coming from overseas markets. India’s burgeoning startup landscape and its rapid strides in digital adoption are considered key contributors to the growing SaaS adoption in the country.

As of 2020, India has seen the emergence of six SaaS unicorns, and is expected to see many more by 2025, according to a recent Nasscom report. The report said Indian SaaS players are clocking a compounded annual growth rate of 30 per cent — 1.5 times the global average. In 2019-20, SaaS companies — including pure-play SaaS companies, global SaaS vendors and Indian service providers — generated $3.5 billion in revenues in India.