India stands out among major global economies for its rapid growth. The World Bank projects India's economic growth rate for the 2026-2027 fiscal year at 7.1%. A particularly fast-growing sector in India is fintech, which is expected to grow at an average annual rate of 16.4% from 2027 to 2032. As the economy accelerates, the financial sector is racing ahead even faster. Appinit is also experiencing growth in this environment, with first-half revenues reaching 112.3 billion won, a 45.8% increase from the previous year, marking a record for the period. This difference in growth rates highlights where new demand is emerging.
Why is the financial sector thriving in India? The expansion of income and consumption is meeting digital infrastructure. Last year, India saw smartphone shipments reach 152 million units. By March of this year, the number of credit cards in circulation rose to 118.63 million, an increase of 8.75 million in just one year. However, the sale of a single smartphone does not necessarily translate to a new customer. The key point is that within these devices, payment, credit, and insurance are interconnected, broadening the options for economic activities. Small business owners can secure funding when needed, and consumers can plan their spending and choose new products. Expanding financial accessibility is not just about increasing transaction numbers; it is about enhancing the possibilities for daily life and business.
If changes in finance lead to consumer opportunities, financial companies must also explore the next market. This is why Appinit supported market research in India for entrepreneurs in the fragrance and cosmetics sectors through its 'Free Unicorn India' program last October. Participants in the fragrance, skincare, aesthetics, and lip product sectors met with ten local companies and institutions over six days and interviewed consumers. Appinit employees also participated in surveys and interviews to gauge local workers' reactions. On the final day, they presented their products and business directions to over 100 local university students and gathered feedback. This was a chance to identify pricing, preferences, and purchasing pathways that cannot be gleaned from reports showing growth rates alone. Finding reasons for consumers to spend money is more important than simply hearing positive feedback. This program aimed to transform the vast Indian market into a space where each participant has their first customer.
Opportunities in India should not be viewed solely through the lens of large corporations or massive investments. In the first half of last year, South Korea's exports of cosmetics to India increased by 44.7% compared to the previous year. This signals that even small brands that can read consumer preferences have opportunities. Of course, the 1.4 billion population does not immediately translate to a customer base. Lifestyles vary by region, income, and language, and the pricing and sales methods that worked in Korea must be re-evaluated. Therefore, what is needed is not vague optimism but quick on-the-ground verification. Rather than targeting all of India from the outset, it is more realistic to solve a specific inconvenience for a particular city or customer. It is essential to ask local customers about the standards of 'good products' that are familiar in Korea. Appinit, which started as a small startup 12 years ago, also began its business by understanding customers in the vastly different Indian market.
Entrepreneurs seeking growth opportunities in larger markets should keep an eye on India. The data accumulated from interactions with small business owners and consumers in the fintech sector can provide insights into unmet demand. Questions such as 'As economic activity and consumer intent grow, are there sufficient products and services to support them?' and 'What do customers want that is not yet available or is difficult to access?' should guide entry into the Indian market. For entrepreneurs looking to create new markets by identifying unmet demand, India presents an attractive stage. If market size indicates the scale of opportunity, the daily lives of customers reveal where to seize those opportunities. What is needed is not mere expectations about the population but more specific hypotheses about the customers. It is hoped that South Korean startups seeking the next growth opportunity will directly verify this potential in the field.
Why is the financial sector thriving in India? The expansion of income and consumption is meeting digital infrastructure. Last year, India saw smartphone shipments reach 152 million units. By March of this year, the number of credit cards in circulation rose to 118.63 million, an increase of 8.75 million in just one year. However, the sale of a single smartphone does not necessarily translate to a new customer. The key point is that within these devices, payment, credit, and insurance are interconnected, broadening the options for economic activities. Small business owners can secure funding when needed, and consumers can plan their spending and choose new products. Expanding financial accessibility is not just about increasing transaction numbers; it is about enhancing the possibilities for daily life and business.
If changes in finance lead to consumer opportunities, financial companies must also explore the next market. This is why Appinit supported market research in India for entrepreneurs in the fragrance and cosmetics sectors through its 'Free Unicorn India' program last October. Participants in the fragrance, skincare, aesthetics, and lip product sectors met with ten local companies and institutions over six days and interviewed consumers. Appinit employees also participated in surveys and interviews to gauge local workers' reactions. On the final day, they presented their products and business directions to over 100 local university students and gathered feedback. This was a chance to identify pricing, preferences, and purchasing pathways that cannot be gleaned from reports showing growth rates alone. Finding reasons for consumers to spend money is more important than simply hearing positive feedback. This program aimed to transform the vast Indian market into a space where each participant has their first customer.
Opportunities in India should not be viewed solely through the lens of large corporations or massive investments. In the first half of last year, South Korea's exports of cosmetics to India increased by 44.7% compared to the previous year. This signals that even small brands that can read consumer preferences have opportunities. Of course, the 1.4 billion population does not immediately translate to a customer base. Lifestyles vary by region, income, and language, and the pricing and sales methods that worked in Korea must be re-evaluated. Therefore, what is needed is not vague optimism but quick on-the-ground verification. Rather than targeting all of India from the outset, it is more realistic to solve a specific inconvenience for a particular city or customer. It is essential to ask local customers about the standards of 'good products' that are familiar in Korea. Appinit, which started as a small startup 12 years ago, also began its business by understanding customers in the vastly different Indian market.
Entrepreneurs seeking growth opportunities in larger markets should keep an eye on India. The data accumulated from interactions with small business owners and consumers in the fintech sector can provide insights into unmet demand. Questions such as 'As economic activity and consumer intent grow, are there sufficient products and services to support them?' and 'What do customers want that is not yet available or is difficult to access?' should guide entry into the Indian market. For entrepreneurs looking to create new markets by identifying unmet demand, India presents an attractive stage. If market size indicates the scale of opportunity, the daily lives of customers reveal where to seize those opportunities. What is needed is not mere expectations about the population but more specific hypotheses about the customers. It is hoped that South Korean startups seeking the next growth opportunity will directly verify this potential in the field.
* This article has been translated by AI.
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