Gone are the days when startups and businesses were relegated to metro cities. Today, around 50% of the identified startups in India are based in Tier 2 and Tier 3 cities. The ongoing technological revolution seen in Tier 2 and Tier 3 cities is driving the growth of the karena in the country and bring about social change on a global scale.
Delphin Varghese, Co-Founder & Chief Business Officer, Adcounty Media said that improved infrastructure support, faster internet, better living conditions, better transport connectivity, and accessibility to talent pool is a major contributor to the development of small business startups. city.
In addition, the change in consumer behavior, due to the increase in access to the Internet, has created opportunities to open up the local market, he added. A BCG report revealed that 50% of online shoppers are from small towns. This number is expected to reach 60% by 2030.
Pushkar Limaye, co-founder and CTO of Mahindra& Mahindra-funded Carnot Technology said, “There is a lot of potential for startups in Tier II & Tier III cities that need to be tapped. Entrepreneurs dare to dream to dream. big in small cities. Every time we visit small towns, rural areas, or agricultural exhibitions, we are amazed by the talent and innovation. behind technology and access to the Internet with confidence updated.”
According to Dinesh Pratap Singh, co-founder, WoodenStreet, India’s growth has extended beyond metros and reached Tier 2 & 3 cities in the country.
“Solving local problems and providing solutions in various sectors such as health care, education, agriculture, agriculture, etc. is the main reason for the growth of startups from these these parts of the country,” said Dinesh Pratap Singh.
In addition, 2 major cities such as Jaipur, Ahmedabad, Indore and Surat recorded an economic growth rate of more than 40% due to the perception that there is more space at affordable and affordable prices. , allowing startups to operate at a larger scale, he added.
“Tier 2 & 3 are facilitating good infrastructure at low cost. Cost of living and living in these cities is also coming down. People’s general mindset is changing, about startups in “these cities. The presence of skilled and unskilled people at a cheaper price compared to the first-tier cities,” said Dr. Vishesh Kasliwal, Founder, Medyseva.
The rising cost of living in metro cities and exorbitant rents deter companies from investing in such locations.
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