Unicorns in India
The term “unicorn” in the context of startups refers to a privately held startup company valued at over $1 billion.
This term was coined to represent the rarity of such highly valued startups.
What is the Unicorn Company?
A unicorn startup is a private company that’s worth more than $1 billion.
The term was made up by a person named Aileen Lee, who’s into investing in new businesses.
They picked the name “unicorn” because these super successful startups are pretty rare.
These unicorn startups are usually really creative and shake things up in different areas like technology, online shopping, money stuff, health, and more.
They grow really fast and get a lot of money from investors.
These companies use fancy technologies, smart business plans, or special ways of reaching customers to be better than their competition and grab a big piece of the market.
The term “decacorn” is an extension of this concept and is used to describe startups with valuations exceeding $10 billion.
These are considered even more rare and impressive in the startup ecosystem due to their substantial valuation.
Examples of well-known unicorn startups include BYJU’s, Swiggy, OYO Rooms, Dream11, Razorpay, and Ola Cabs.
According to Forbes, List of Startup Companies with Unicorn Status in India (Latest)
| No | Company | Sector | Entry Valuation ($B) | Entry |
|---|---|---|---|---|
| 1 | Zepto | Quick commerce | 1.4 | Aug-2023 |
| 2 | Molbio Diagnostics | Healthtech | 1.53 | Sep-2022 |
| 3 | Shiprocket | Aggregator | 1.23 | Aug-2022 |
| 4 | OneCard | Fintech | 1.3 | Jul-2022 |
| 5 | Leadsquared | SaaS | 1 | Jun-2022 |
| 6 | Purplle | E-Commerce | 1.1 | Jun-2022 |
| 7 | PhysicsWallah | Edtech | 1.1 | Jun-2022 |
| 8 | Open Financial Technologies | Fintech | 1 | May-2022 |
| 9 | Games24x7 | Gaming | 2.5 | Mar-2022 |
| 10 | Oxyzo Financial Services | Fintech | 1 | Mar-2022 |
To become a unicorn, startups in India usually need a mix of key factors.
In 2011, Inmobi was India’s first unicorn.
These include bringing something new and disruptive to the table, being able to grow big, meeting high market demand, having strong leaders, securing successful funding, and hitting milestones for rapid growth.
These unicorns often use advanced technologies, grab a big part of the market, and show they can stay successful and profitable for the long run.
Decacorns Companies
Decacorns are startups with an even higher valuation than unicorns. While unicorns have a valuation of over $1 billion, decacorns have a valuation exceeding $10 billion.
BYJU’s, Swiggy, Flipkart, PhonePe, Nykaa are examples of decacorn.
The term “decacorn” reflects the rarity and exceptional success of startups that have achieved such significant and substantial valuations.
Just as unicorns represent a select group of highly valued startups, decacorns stand out even more, signifying a level of success and impact that goes beyond their already impressive unicorn status.
These companies are often major players in their respective industries, wielding substantial influence and shaping the business landscape on a large scale.
The classification of startups into categories like unicorns and decacorns helps to convey their exceptional status and success in the business world.
The terms “cheetah” and “gazelle” are sometimes used metaphorically in the startup world to describe companies with different growth rates and time frames to potentially reach unicorn status.
- Cheetah: A startup referred to as a cheetah is one that has the potential to become a unicorn in approximately four years. This suggests a fast-paced growth trajectory, drawing a parallel with the speed of a cheetah, which is the fastest land animal.
- Gazelle: On the other hand, a Gazelle startup is one that could achieve unicorn status in about two years. This term implies an even quicker pace of growth, likening the startup’s speed to that of a gazelle, which is known for its agility and swiftness.
These terms are not widely standardized and may be used informally in discussions about startup growth and potential.
They serve to illustrate different levels of ambition and timelines for startups aiming to achieve significant valuations within specific periods.
references:
forbesindia.com/article/explainers/unicorns-india-list/85309/1
