Business

India’s retail market has experienced remarkable growth over the past decade, expanding from ₹35 lakh crore in 2014 to ₹82 lakh crore in 2024, reflecting an annual growth rate of approximately 8.9%. 

This growth highlights India’s economic progress and rising consumer spending. The retail sector is set to expand further, with estimates suggesting it could exceed ₹190 lakh crore by 2034.

A report titled “Winning in Bharat: The Retail Kaleidoscope”  by Boston Consulting Group (BCG) and the Retailers Association of India (RAI) attributes this growth to India’s strong economy and its diverse, evolving consumer base. Economic Times

This growth offers huge opportunities for retailers who can understand India’s diverse shoppers and changing buying habits.

4 key Factors Driving India’s Retail Growth

Several key elements have contributed to this robust expansion:

1. Economic Prosperity: India’s consistent GDP growth has elevated disposable incomes, enabling increased consumer spending across various retail segments. The number of affluent households in India is expected to triple by 2030, creating significant opportunities in premium and luxury retail segments.
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2. Urbanization: The rapid shift towards urban living has driven the growth of modern retail stores, offering city shoppers more convenience and variety.
3. Evolving Consumer Demographics: The increasing participation of women in the workforce and the prominence of Gen Z and millennials are reshaping consumption patterns, leading to heightened demand in categories like beauty, personal care, and fashion.
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4. Digital Adoption: The expansion of urban centers and the rise of digital technology are shaping shopping habits as consumers embrace online and offline retail experiences. The report also emphasizes the increasing significance of an omnichannel approach fueled by the growth of digital payments and online shopping. However, more than 58% of purchases still occur in physical stores.

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Global Influence Meets Local Pride

Global trends and brands increasingly inspire Indian consumers. However, a strong sense of local pride also influences purchasing decisions and brand preferences. The report highlights that retailers who understand and adapt to India’s diverse demographics and contrasting consumer behaviors will have the greatest growth opportunities.

Retailers that combine deep consumer insights with sharp execution—whether online, offline, or both—can keep up with India’s rapid retail expansion and set new benchmarks for the next decade of growth.

Opportunities and Challenges

The path forward is filled with both opportunities and challenges:

• Tier II and III Cities: These regions are emerging as new retail hubs, contributing over 50% of e-commerce transactions. Consumers in these areas exhibit a blend of aspirations and value-consciousness, prompting brands to expand aggressively beyond metros.
  
• Omnichannel Strategies: The modern Indian consumer no longer distinguishes between online and offline shopping. Retailers are adopting omnichannel strategies, integrating physical stores with digital platforms to provide a seamless shopping experience.
  
• Sustainability: With rising environmental consciousness, consumers actively seek eco-friendly products and ethical sourcing. Brands launching recyclable packaging and sustainable supply chains are attracting environmentally conscious shoppers.
  Economic Times Retail

Conclusion

India’s retail market is set to grow further, with estimates suggesting it could cross ₹190 lakh crore by 2034—more than double its current size. This growth offers huge opportunities for retailers who can adapt to India’s diverse consumers and changing shopping habits.

Reaching ₹82 lakh crore in 2024 shows the retail sector’s strength and ability to adapt. As it grows further, businesses must stay flexible, inclusive, and innovative to meet the needs of India’s diverse and ever-changing consumer base.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

FAQs

In the bustling streets of India, a culinary revolution has been simmering, transforming a modest Himalayan dumpling into a colossal ₹30,000 crore industry. The momo, once a humble snack, has become a national obsession, captivating taste buds and carving a significant niche in the fast-food sector.

The Momo’s Journey: From Niche to Nationwide

In the late 1990s, momos were a rare delicacy found primarily in small eateries run by Tibetan refugees and Nepalese migrants. These establishments served traditional steamed dumplings filled with meat or vegetables and spicy chili sauce. Fast forward to today, and momos have become a ubiquitous street food, available in myriad variations across the country. Whether roadside stalls, high-end restaurants, or packaged frozen food aisles in supermarkets, momos are now integral to India’s food scene.

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The Rise of Organized Momo Chains

The momo industry in India remains unorganized mainly, with street vendors and small businesses dominating the landscape. However, Wow! Momo has emerged as a benchmark for gauging the industry’s growth, setting the standard for organized momo retail and expansion.

Leading the charge is Wow! Momo was founded in 2008 by Sagar Daryani and Binod Homagai with a modest investment of ₹30,000. From a single kiosk in Kolkata, Wow! Momo has expanded to over 680 outlets across 30 cities, offering innovative momo varieties that cater to diverse palates. The company’s success has attracted significant investments, including ₹130 crore from Tiger Global Management in 2019, valuing the chain at ₹860 crore. By 2024, Wow! Momo’s valuation soared to over ₹2,400 crore, following a ₹410 crore funding round led by Khazanah Nasional Berhad and OAKS Asset Management (Livemint).

The success of Wow! Momo has inspired many other food startups to follow a similar business model, creating more structured and scalable momo businesses. This has resulted in the emergence of brands such as Prasuma, which focuses on high-quality frozen momos, catering to the growing demand for ready-to-eat products.

Expansion into the FMCG Sector

Recognizing the growing demand for ready-to-eat options, momo brands have ventured into the fast-moving consumer goods (FMCG) sector. Wow! Momo’s FMCG division, launched in 2023, achieved ₹60 crore in revenue within its second year, offering frozen momos and cup noodles through retail channels.

Similarly, Prasuma, a Gurugram-based brand known for its frozen momos, has gained popularity for providing convenient, high-quality products. In February 2025, ITC Ltd. announced plans to acquire Prasuma, aiming to strengthen its presence in the frozen foods market, which boasts an annual size of over ₹10,000 crore (Livemint).

This shift toward the FMCG sector signifies the momo industry’s transformation beyond street food. The ability to reach supermarket shelves has allowed momo brands to tap into India’s evolving consumer habits, where convenience and quality play a crucial role. It also signals potential global expansion, as Indian brands may begin exporting frozen momos to international markets.

Cultural Integration and Regional Adaptations

The momo’s widespread appeal can be attributed to its adaptability. Vendors and restaurants have introduced variations tailored to regional tastes, incorporating local spices and ingredients. From tandoori momos in North India to chocolate-filled momos for dessert enthusiasts, the versatility of this dish has endeared it to a broad audience. Momos have become an integral part of the street food culture in cities like Kolkata, with establishments like Blue Poppy Thakali serving hundreds of plates daily (Livemint).

The Road Ahead

As the momo industry continues to flourish, companies are exploring new avenues for growth. Wow! Momo, for instance, plans to go public within the next two years, aiming to replicate the success of global fast-food giants. The brand also seeks to expand its store count to 1,000 and double its revenue to ₹1,000-1,200 crore by 2027. With the increasing popularity of frozen and ready-to-eat momos, the industry’s trajectory points toward sustained expansion, driven by innovation and an ever-growing consumer base (Livemint).

In essence, the momo’s evolution from a regional delicacy to a national sensation exemplifies the dynamic nature of India’s culinary landscape. Its journey reflects changing consumer preferences and the potential for traditional foods to achieve commercial success on a grand scale.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

FAQs

SpiceJet, one of India’s prominent budget airlines, recently announced a return to profitability in the third quarter of the financial year 2024-2025, reporting a net profit of ₹26 crore. This marks a significant turnaround from the ₹300 crore loss recorded during the same period the previous year. 

Despite this positive development, the airline’s shares experienced a 6% decline on 27th February 2025, leaving investors puzzled. Let’s delve into the factors contributing to this unexpected market reaction.

Financial Turnaround Amidst Challenges

The December 2024 quarter showcased SpiceJet’s resilience, with total revenue surging by 35% to ₹1,651 crore. This growth was primarily driven by robust passenger demand and enhanced operational efficiency. Notably, for the first time in a decade, the company’s net worth turned positive, underscoring the success of its turnaround strategy. Economic Times

SpiceJet’s Financial Highlights

Quarterly Comparison	In the previous quarter ending September 2024, SpiceJet had reported a loss of ₹441.7 crore.
Revenue Decline	Revenue from operations fell 35% YoY to ₹1,140.7 crore from ₹1,756.6 crore last year.
Quarterly Revenue Performance	For Q3FY25, operational revenue stood at ₹817.1 crore.
EBITDA Growth	EBITDA surged to ₹210 crore from ₹3 crore; excluding forex impact, it rose to ₹316 crore from ₹30 crore.
Net Worth Improvement	The company achieved a net worth of ₹70 crore, turning positive for the first time in a decade.

Market Reaction: A 6% Share Decline

Despite the encouraging financial results, SpiceJet’s shares fell by 6% following the announcement. Several factors may have contributed to this decline:

1. Profit Margins and Sustainability Concerns: While a ₹26 crore profit is a positive sign, it remains modest relative to the airline’s revenue base. Investors might be cautious, questioning whether this profitability is sustainable in the long term, especially given the competitive nature of the aviation industry.
2. Historical Financial Instability: SpiceJet has faced financial turbulence, including delayed earnings announcements and significant losses. This history may lead investors to adopt a “wait and see” approach, affecting immediate market confidence. LiveMint
3. Operational and Legal Hurdles: The airline has been entangled in various operational challenges and legal disputes. For instance, two former pilots recently approached the National Company Law Tribunal (NCLT), seeking insolvency proceedings against SpiceJet over unpaid dues. Such legal issues can raise concerns about the company’s financial health and management practices.
4. Broader Market Sentiments: The overall stock market environment is crucial in individual stock performances. If the broader market is experiencing volatility or bearish trends, even companies reporting positive results might see their share prices decline as part of a wider market movement.

Operational Highlights 

In January 2025, SpiceJet reintroduced its first grounded Boeing 737 MAX aircraft into service to enhance operational capacity and cater to high-demand routes such as Jeddah and Riyadh. This move was anticipated to boost revenue and improve market share. LiveMint

However, the airline continues to grapple with challenges, including resolving disputes with lessors and vendors. The airline mentioned that approximately 70% of claims with lessors and vendors have been settled, indicating progress and highlighting ongoing financial obligations. Moneycontrol

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Investor Considerations

For current and potential investors, it’s essential to weigh both the positive strides and the existing challenges:

• Return to Profitability: The shift from a substantial loss to a profit within a year showcases effective management strategies and operational improvements.
• Positive Net Worth: Achieving a positive net worth after a decade signifies a strengthened financial position.
• Areas of Caution:
  • Modest Profit Levels: The relatively small profit margin may raise questions about long-term profitability and growth prospects.
  • Ongoing Legal and Financial Issues: Pending disputes and financial obligations could impact future earnings and operational stability.

Conclusion

SpiceJet’s return to profitability in Q3 FY25 is a significant achievement, reflecting the company’s resilience and strategic efforts amidst a challenging environment. However, the subsequent 6% decline in share price underscores the complexities of investor sentiment, influenced by factors such as profit sustainability, historical financial instability, ongoing legal challenges, and broader market conditions. 

As the airline navigates these challenges, stakeholders will keenly observe its strategies to maintain and enhance profitability, resolve outstanding disputes, and strengthen its market position in the competitive aviation sector.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

FAQs

The Indian media landscape is undergoing a seismic shift, with traditional Direct-to-Home (DTH) television services losing ground to over-the-top (OTT) streaming platforms. 

According to the Telecom Regulatory Authority of India (TRAI), India’s active DTH subscriber base fell from 62.17 million in June 2024 to 59.91 million by September 2024. Meanwhile, the number of OTT users in India is expected to surpass 500 million by 2025, fueled by affordable data and shifting viewer preferences towards on-demand content (Statista).

Amid this disruption, two of India’s biggest DTH players, Tata Play and Airtel Digital TV, are reportedly in the final stages of a merger deal. The move signals a consolidation effort to survive in an industry where consumers increasingly favor streaming services over traditional satellite TV.

Merger Structure and Strategic Goals

The proposed merger is expected to be executed via a share swap arrangement. Bharti Airtel will likely acquire a controlling stake of around 52-55% in the new entity, while Tata Sons and Disney (existing stakeholders in Tata Play) will retain 45-48%.

The combined entity will create a DTH powerhouse with over 35 million subscribers and annual revenues exceeding ₹7,000 crore. The key objectives of this merger include:

• Strengthening market share amid declining industry revenue.
• Expanding bundled service offerings that integrate telecom, broadband, and DTH.
• Improving financial stability through operational efficiencies.

Why Tata Play and Airtel Digital TV Want to Merge

Tata Play and Airtel Digital TV have struggled with subscriber losses, increased regulatory burdens, and growing competition from OTT platforms. The DTH industry in India has been experiencing a notable decline, with the active subscriber base decreasing from 62.17 million in June 2024 to 59.91 million by September 2024. 

This trend is primarily attributed to the increasing adoption of OTT platforms, which offer on-demand content accessible via the Internet. These platforms have led to a shift away from traditional satellite television services.

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For Tata Play:

• The company’s valuation has declined from $3 billion pre-pandemic to approximately $1 billion.
• A merger allows Tata Play to leverage Airtel’s telecom infrastructure and broadband penetration to retain users.

For Airtel Digital TV:

• Bharti Airtel is focusing on growing its non-mobile revenue streams, and integrating DTH with broadband and telecom services can drive synergies.
• The merger allows Airtel to acquire 19 million Tata Play subscribers immediately.

The merger with Airtel Digital TV is anticipated to create a combined entity with over 35 million paid subscribers and annual revenues exceeding ₹7,000 crore. This consolidation may enhance operational efficiencies and provide a more robust competitive platform against OTT services.

Pros of the Merger

1. Enhanced Market Share and Subscriber Base: The merger will position the combined entity as a dominant player in the DTH sector, commanding a significant share of the market and a substantial subscriber base.
2. Operational Synergies: Combining resources and infrastructure may lead to cost efficiencies, streamlined operations, and improved service offerings.
3. Bundled Service Offerings: The integration allows for the bundling of services, including telecom, broadband, and DTH, providing consumers with comprehensive and potentially more cost-effective packages.
4. Strengthened Competitive Position: A unified entity can better compete with OTT platforms by leveraging combined content libraries, technological advancements, and marketing strategies.

Cons of the Merger

1. Regulatory and Licensing Challenges: Both companies face significant pending license fee liabilities, with Bharti Telemedia’s dues amounting to ₹5,580 crore and Tata Play’s at ₹3,628 crore. These financial obligations could impact the merger’s viability and require careful regulatory landscape navigation.
2. Technological Integration Issues: The two companies utilize different satellite technologies, necessitating substantial investment to harmonize systems and ensure a seamless customer experience.
3. Market Contraction Risks: The overall decline in the DTH subscriber base, influenced by the rise of OTT platforms, presents a risk of a shrinking market, potentially limiting long-term growth prospects.

Implications for the OTT Industry

The merger signifies a strategic effort by traditional DTH operators to counteract the growing influence of OTT platforms. The merged entity aims to retain existing customers and attract new ones seeking integrated solutions by offering bundled services that combine traditional television with internet-based content. 

This move could prompt OTT platforms to reassess their market strategies, potentially leading to more competitive pricing, diversified content offerings, and partnerships with traditional service providers to expand their reach.

Future Prospects

While the merger presents opportunities for enhanced competitiveness and operational efficiencies, the combined entity’s success will depend on its ability to adapt to the rapidly changing media consumption landscape. 

Investing in technology to integrate services seamlessly, proactively addressing regulatory challenges, and innovating content delivery methods will be crucial. 

Additionally, understanding and responding to consumer preferences, particularly the growing demand for on-demand and personalized content, will be vital in sustaining relevance in an increasingly digital market.

Conclusion

Bharti Airtel’s potential acquisition of Tata Play signifies a strategic response to the evolving dynamics of India’s broadcasting industry. Traditional DTH operators must adapt through consolidation and service diversification as consumer preferences shift towards OTT platforms. 

While challenges persist, particularly concerning financial liabilities and operational integration, the merger offers Airtel a pathway to strengthen its market position and deliver enhanced value to consumers in a rapidly changing digital landscape.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

In a significant move within the financial sector, American private equity firm Bain Capital is on the verge of acquiring a controlling stake in Kerala-based non-banking financial company (NBFC) Manappuram Finance. This potential $1 billion deal is poised to reshape the landscape of India’s gold loan market.

The preferential allotment of shares is expected to be priced at a 12.5-15% premium to the current market price. Meanwhile, the secondary share sale will be executed at a higher premium, estimated at 22.5-25% over Friday’s closing price. The blended price for the transaction is projected to be in the range of ₹237-240 per share. Economic Times

Market Response

The news of the deal has positively impacted Manappuram Finance’s stock performance. Shares surged by nearly 2% on the NSE and 4% on the BSE on February 24, 2025, reaching a high of ₹209.  Source: BSE/NSE

Current Shareholding and MCap

Discussions between Bain Capital and Manappuram Finance commenced in November 2024, focusing on Bain acquiring a substantial portion of the promoter’s stake. The promoter group, led by Managing Director and CEO V.P. Nandakumar, currently holds 35.25% of the company’s shares. With Manappuram’s market capitalization recorded at approximately ₹17,000 crore (based on a share price of ₹200.85 as of February 21, 2025), this transaction represents a significant investment.

Manappuram Finance Ltd Financial Highlights

Market Cap as of 24th Feb 2025	Promoter Group Share	Public Share	CMP	ROCE %	ROE%
₹17,393 Crore	35.2%	64.8	₹205	13.8	20.6

Manappuram’s AUM Growth and Business Shift

Manappuram Finance’s consolidated assets under management (AUM) rose by 9.5% year-on-year, reaching ₹44,217 crore by the end of December. However, on a sequential basis, AUM declined by 3.3%, primarily due to regulatory restrictions on expanding its subsidiary, Asirvad Micro Finance.

Gold Loan Segment Drives Growth

The company’s core gold loan business continued to expand, registering an 18.8% year-on-year growth to ₹24,504 crore. This segment now accounts for 55.4% of Manappuram’s total AUM, reaffirming its stronghold in the gold loan market.

Asset Under Management (Q3FY25)
Gold Loans	MFI	VEF	MSME	Onlending
55%	21%	12%	7%	4%

Challenges in the Microfinance Sector

Asirvad Microfinance, like many of its peers in the microfinance sector, remains under financial stress. Manappuram’s management has indicated a strategic shift towards secured lending to mitigate risks and ensure stability in the company’s financial portfolio.

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Key Details of Bain Capital-Manappuram Deal 

Structure of the Agreement

The deal between Bain Capital and Manappuram Finance involves an infusion of fresh capital through a preferential allotment and a secondary share sale by the promoters. This transaction is expected to significantly increase Bain Capital’s stake in the company, potentially up to 46%. Economic Times

Regulatory Green Signal

The Reserve Bank of India’s (RBI) recent decision to lift restrictions on Manappuram Finance’s subsidiary, Asirvad Micro Finance, is a crucial factor facilitating this deal. This regulatory clearance, granted a month ago, strengthens Manappuram’s position and makes the transaction more viable.

Expected Management Changes

Bain Capital will likely introduce management changes as part of the acquisition. A new CEO is expected to be appointed, and there will be an initial phase of joint operations to ensure a smooth transition.

Implications for Shareholding and Control

Post-transaction, Bain Capital could emerge as the largest shareholder in Manappuram Finance, potentially holding up to 46% of the company’s shares after an open offer. This significant stake would grant Bain substantial influence over the company’s strategic decisions and operations.

Regulatory Considerations

A notable development preceding this deal is the Reserve Bank of India’s (RBI) decision to lift restrictions on Manappuram’s subsidiary, Asirvad Micro Finance, in January 2025. This regulatory clearance enhances the attractiveness of Manappuram Finance as an investment opportunity, potentially facilitating smoother transaction proceedings.

Potential Management Changes

With Bain Capital poised to acquire a controlling stake, changes in Manappuram’s management structure are anticipated. Industry insiders suggest the appointment of a new CEO to lead the company, with an initial phase of joint operations to ensure a seamless transition and integration of Bain’s strategic vision.

Conclusion

The impending acquisition of Manappuram Finance by Bain Capital marks a significant milestone in India’s financial sector. This strategic investment underscores the growing appeal of India’s gold loan market to global investors and signals potential shifts in the competitive dynamics of the NBFC landscape. As the deal approaches finalization, stakeholders and industry observers will keenly monitor its execution and subsequent impact on the market.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

FAQ

Tesla Inc., the global leader in electric vehicles (EVs), is making definitive strides toward entering the Indian market. This move aims to reshape India’s automotive industry, presenting opportunities and challenges for existing players. This article delves into Tesla’s motivations, the economic implications of its entry, and the strategies competitors might employ to maintain their market positions.

Tesla’s Entry into India: A Long-Awaited Move

After years of speculation and halted plans, Tesla has accelerated its efforts to establish a presence in India. The company has selected prime showroom locations in New Delhi’s Aerocity and Mumbai’s Bandra Kurla Complex, each spanning approximately 5,000 square feet. 

These showrooms will focus on retailing imported EVs, with service centers to be established subsequently. This development follows a significant meeting between Tesla CEO Elon Musk and Indian Prime Minister Narendra Modi, where discussions centered on space, mobility, technology, and innovation. Post-meeting, Tesla has posted job openings for 13 mid-level positions in India, signaling its commitment to the market. reuters.com

Economic Significance of Tesla’s Entry

Tesla’s foray into India carries substantial economic implications:

1. Market Expansion and Consumer Choice: India’s EV market, though nascent, is on a growth trajectory. In 2024, EVs accounted for 2.5% of the 4.3 million cars sold, with projections aiming for 30% by 2030. Tesla’s entry is expected to accelerate this adoption rate by offering consumers premium EV options, stimulating demand across various segments. reuters.com
2. Supply Chain and Manufacturing Investments: Tesla’s presence could catalyze local manufacturing and supply chain investments. The Indian government has introduced policies to attract global EV manufacturers, including reduced import duties for companies committing to significant local investments. This initiative aims to bolster domestic production and create employment opportunities.  indiatoday.in
3. Technological Advancements and Infrastructure Development: Tesla’s advanced technology could set new industry standards, prompting competitors to elevate their offerings. Additionally, Tesla’s entry may expedite the development of charging infrastructure, a critical factor for widespread EV adoption.

Challenges and Considerations

Despite the potential benefits, Tesla faces challenges in the Indian market:

• Import Duties and Pricing: High import duties, ranging from 70% to 100%, could make Tesla vehicles less price-competitive. While the government offers reduced duties for manufacturers investing locally, establishing production facilities requires time and substantial capital.
• Infrastructure Limitations: India’s EV infrastructure is still developing. The scarcity of charging stations and service centers could deter potential buyers concerned about vehicle maintenance and convenience.

India’s EV Market

India’s electric vehicle (EV) market is experiencing significant growth, marked by increasing sales and substantial investments in infrastructure. Below is a summary of the current status of the EV industry in India, accompanied by data suitable for graphical representation.

Status of India’s EV Industry

• Total EV Sales: In 2024, EV sales in India reached approximately 1.94 million units, a 27% increase from the previous year. autocarpro.in
• Market Penetration: EVs accounted for about 8% of the total vehicle market in 2024, up from 6.8% in 2023.
  jmkresearch.com
• Segment-wise Sales: Two-Wheelers: Dominated the market with 1.14 million units sold, representing 59% of total EV sales. Three-wheelers sales grew 18% year-on-year. Passenger Vehicles (Cars) sales marked a 6.9% increase from the previous year, while bus sales showed 39% growth. jmkresearch.com 

This data underscores India’s EV industry’s rapid expansion and evolving landscape, highlighting the opportunities and challenges ahead. With Tesla’s entry into the market, competition is expected to intensify, pushing domestic automakers like Tata Motors, Mahindra, and Ola Electric to accelerate their EV strategies. 

India’s EV industry is growing rapidly. Tesla’s entry will increase competition, forcing domestic automakers to adapt. The growth of India’s EV sector depends on overcoming challenges like infrastructure, battery costs, and policy support.

Projected Market Growth

• Market Size: The Indian EV market was valued at USD 14.18 billion in 2024 and is projected to reach USD 101.41 billion by 2030, growing at a compound annual growth rate (CAGR) of 38.8% from 2025 to 2030.
  grandviewresearch.com
• Government Targets: The Indian government aims for EVs to constitute 30% of passenger car sales by 2030, up from the current 2.5% in 2024. reuters.com

Competitor’s Response

As Tesla sets up operations in India, its impact on pricing, technology adoption, and local manufacturing will be key factors to watch. Tesla’s entry will intensify competition, prompting Indian automakers to reassess their strategies:

1. Tata Motors: As a market leader with a 62% share in India’s EV sector, Tata Motors is investing $1.5 billion in a local battery manufacturing facility set to commence operations in 2026. It plans to more than double the number of EV charging stations to 400,000 by 2027, addressing range anxiety and supporting the anticipated growth in EV sales. This move aims to reduce import dependence, lower production costs, and enhance supply chain resilience. reuters.com
2. Mahindra & Mahindra: Anticipating increased competition, Mahindra is accelerating its EV plans, focusing on launching new models with extended ranges and advanced features. The company is also exploring collaborations to strengthen its technological capabilities and market reach.
3. Maruti Suzuki: Suzuki Motor Corporation’s president has announced plans to make India a global production hub for EVs, with exports targeting markets like Japan and Europe. Maruti Suzuki aims to double its production capacity in India to 4 million units annually by 2031, investing over $4 billion. The company plans to launch its first EV, the e-Vitara mid-sized SUV, and is expanding its charging infrastructure to support EV adoption. reuters.com

What’s next for Automakers in India? 

To mitigate Tesla’s impact, Indian automakers are likely to adopt several strategies:

• Product Diversification and Innovation: Developing a range of EVs across different price points can cater to a broader audience. Emphasizing research and development will enable the introducing of models with competitive features and performance metrics.
• Localization of Supply Chains: Investing in local production of key components, such as batteries, can reduce costs and improve supply chain efficiency. This approach enhances profitability and aligns with government initiatives promoting domestic manufacturing.
• Infrastructure Development: Collaborating with stakeholders to expand charging networks will address one of the primary concerns of potential EV buyers. Improved infrastructure enhances the convenience and appeal of owning an electric vehicle.
• Strategic Partnerships and Alliances: Forming alliances with global technology firms can facilitate access to cutting-edge innovations, enabling domestic manufacturers to enhance their product offerings and remain competitive.

Conclusion

Tesla’s impending entry into the Indian market signifies a transformative period for the nation’s automotive industry. While it introduces heightened competition, it also presents opportunities for growth, innovation, and collaboration. 

The dynamic interplay between Tesla and established Indian automakers is poised to accelerate the evolution of India’s EV landscape, ultimately benefiting consumers and contributing to sustainable economic development.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

Bira 91 has built a strong reputation in the craft beer industry, winning over beer lovers with its unique flavors. However, its parent company, B9 Beverages, is now making headlines for corporate decisions that have caused major financial setbacks.

B9 Beverages, a potential 2026 IPO candidate, faced heavy losses after dropping “Private” from its name. The shift from B9 Beverages Private Ltd to B9 Beverages Ltd led to compliance issues, forcing a months-long sales halt and an ₹80 crore loss. As a result, losses surged by 68%, and sales fell by 20% in FY24—all from what seemed like a small rebranding change.

This article delves into how a simple name change affected Bira’s earnings, the factors contributing to the financial challenges, and the company’s strategies moving forward.

The Decision to Rebrand Backfires

As Bira 91 planned for growth and a future public listing, its parent company, B9 Beverages, changed its name from B9 Beverages Private Ltd to B9 Beverages Ltd. This wasn’t just a cosmetic change but a strategic step to align with its expansion goals. However, the move triggered unexpected regulatory hurdles that soon disrupted operations.

The name change required B9 Beverages to re-register in multiple states, updating manufacturing licenses and labels. This process took 4-6 months, forcing Bira 91 to pause sales. Even though demand remained strong, products were unavailable, causing the company to miss out on potential revenue.

Changing Market Dynamics & Financial Struggles

While Bira 91 paused, the craft beer market became more competitive. Microbreweries, other craft beer brands, and global brewers introduced premium options for Indian tastes. This increased competition made Bira 91’s absence more noticeable. The company also faced policy and market changes in key regions like Delhi NCR and Andhra Pradesh, which comprise more than a third of its sales. As a result, the company’s sales declined to 6-7 million cases in FY24, down from 9 million in FY23.

The operational standstill directly and severely impacted Bira 91’s financial health. In the fiscal year ending March 2024, the company reported a net loss of ₹748 crore, a staggering 68% increase from the previous year. This loss overshadowed the total sales of ₹638 crore, which had declined by 22% compared to FY23. 

According to its latest annual report, the company reported a negative cash flow of ₹84 crore and accumulated losses of ₹1,904 crore, which have wiped out its entire net worth. The auditor noted that these issues could raise doubts about the company’s ability to continue its operations.

Total Sales in FY24	Net Loss	Accumulated Losses	Negative Cash Flow
₹638 crore	₹748 crore	₹1,904 crore	₹84 crore

Fundraising Plans

The company explained that the beer segment requires significant capital expenditure and working capital to grow. In response, B9 Beverages is actively working on raising fresh funds to support its growth plans. 

A decade ago, Bira 91 began by importing Hefeweizen-style beer from Belgium. Later, the company shifted to brewing in India to take advantage of lower costs, although it eventually expanded by adding half a dozen third-party breweries.

Earlier Strategic Moves 

Recognizing the need to adapt, Bira 91 undertook several strategic initiatives:

• Supply Chain Overhaul: Collaborating with the Boston Consulting Group (BCG), the company revamped its supply and sales planning processes. This overhaul aimed to correct market inventory and streamline operations to prevent future disruptions.
• Capital Infusion: Bira 91 secured investments from notable entities to bolster its financial position. Japanese beverage giant Kirin Holdings invested $25 million to acquire an additional minority stake in the company. This capital infusion was crucial for sustaining operations and funding strategic initiatives during challenging times.
• Acquisition for Market Expansion: To enhance its market presence and reach, Bira 91 acquired The Beer Cafe, India’s largest alcobev chain, in an all-stock deal. This move aimed to integrate retail operations, provide direct consumer engagement, and strengthen brand visibility nationwide.

Looking Ahead: Plans for Public Listing

Despite the setbacks, Bira 91 remains committed to its growth trajectory. The company has set its sights on tapping into the capital market with a planned public listing in 2026. This move will provide the necessary funds to scale operations, innovate product lines, and compete effectively in the burgeoning craft beer market.

Lessons Learned and the Path Forward

The challenges faced by Bira 91 underscore the intricate balance between corporate restructuring and regulatory compliance. While the name change was a strategic decision aligned with long-term goals, the immediate operational disruptions highlight the importance of thorough planning and stakeholder communication.

As Bira 91 navigates its path forward, the company is likely to focus on:

• Regulatory Navigation: Establishing dedicated teams to manage compliance and foresee potential regulatory hurdles in various markets.
• Market Re-engagement: Reconnecting with their consumer base through targeted marketing campaigns and ensuring consistent product availability.
• Product Innovation: Continuing to diversify its beer portfolio to cater to evolving consumer preferences and stand out in a crowded market.

In conclusion, while the name change presented unforeseen challenges, Bira 91’s proactive strategies and commitment to its brand ethos position it well to reclaim its fizz in the competitive craft beer industry.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

FAQs

The wait is over. Today, February 14, marks the debut of JioHotstar—the new streaming giant born from the merger of JioCinema and Disney+ Hotstar. This partnership, driven by JioStar, a joint venture between Reliance Industries Ltd and The Walt Disney Company, promises to change how millions of Indians experience streaming content.

With a more than 500 million user base and over 50 million paid subscribers, JioHotstar is stepping into the market with ambitious goals, innovative strategies, and a refreshed content library. Here’s a closer look at what’s changing and how you can navigate the new platform.

1. Unified Platform for Seamless Streaming

JioHotstar combines the best of JioCinema and Disney+ Hotstar into a unified app. The merger goes beyond content integration; it aims to simplify the viewing experience across devices, from smartphones to large smart TVs. The app features a streamlined interface designed to make navigation intuitive, regardless of device type.

2. Extended Free-View Period for All Users

To attract a wider audience, JioHotstar is offering an extended free-view period. This window allows users to explore content, including live sports and popular Hollywood titles from Disney, HBO, Paramount, and Peacock, without immediate subscription requirements.

Unlike the typical 10-15 minute free preview standard in streaming services, JioHotstar will let viewers watch for a more extended duration each month. The idea is to allow users to develop a viewing habit before opting for a paid plan.
Source: Livemint

3. Subscription Plans: What Changes for You?

If you are an existing Disney+ Hotstar subscriber, your current plan will remain unchanged:

• Mobile: ₹149 for three months
• Super: ₹299 for three months
• Premium (Ad-Free): ₹499 for three months

For JioCinema Premium subscribers, the transition will be seamless. Your subscription will be automatically upgraded to the JioHotstar Premium plan for the remaining duration of your existing plan.
Source: Economic Times

4. New Content Strategy: Originals, Sports & Regional Expansion

JioHotstar is set to redefine its content library, focusing on originals, sports, and regional programming.

• Originals: The platform plans to release two to three new original shows monthly and premiere at least two major films every quarter. Popular franchises like Criminal Justice and Asur will feature prominently.
• Live Sports: The launch timing strategically aligns with the ICC Champions Trophy, starting on February 19. Expect an upgraded live sports experience with personalized feeds and tailored recommendations.
• Regional Content: South India is a major focus, with plans to increase content in Tamil, Telugu, Malayalam, and Kannada. The platform is set to deliver 1,100 hours of programming in these languages, doubling its current output.

5. Introducing Spark: JioHotstar’s Foray into Short-Form Content

JioHotstar is launching Spark, a new content format that competes with Instagram Reels and YouTube Shorts. Spark aims to engage younger audiences who prefer short-form, snackable content. The feature will offer tools for content creators, encouraging user-generated videos to enhance community interaction.

6. Personalized Viewing Experience

The platform introduces advanced personalization features. By analyzing user preferences, JioHotstar will provide tailored content recommendations across genres like movies, TV shows, and sports. The app’s micro-adaptive technology ensures smooth streaming across devices, regardless of screen size.

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7. Step-by-Step Guide to Get Started with JioHotstar

If you are ready to dive into the new world of JioHotstar, here’s a quick step-by-step guide:

Step 1: Download the JioHotstar App

• Visit the Google Play Store (for Android) or Apple App Store (for iOS).
• Search for “JioHotstar” and download the app.

Step 2: Sign In or Create an Account

• Open the app and sign in using your Jio number or existing Disney+ Hotstar credentials.
• New users can create an account with a mobile number and OTP verification.

Step 3: Explore Free Content

• Browse various categories like Live Sports, Originals, Movies, and TV Shows.
• Enjoy the extended free-view period without needing to subscribe immediately.

Step 4: Choose a Subscription Plan (Optional)

• Navigate to the “Subscription” section in the app.
• Select from available plans: Mobile (₹149/3 months), Super (₹299/3 months), or Premium (₹499/3 months).
• Make the payment using your preferred method.

8. The Bigger Picture: JioHotstar’s Long-Term Vision

JioHotstar isn’t just combining content libraries; it’s laying the groundwork for a more significant streaming revolution. The platform aims to reach 1.4 billion Indians by breaking price and technology barriers. From micro-adaptive apps to diverse programming, the objective is to make quality content accessible across urban and rural markets.

As the ICC Champions Trophy kicks off on February 19, JioHotstar is betting on cricket to draw audiences into its new ecosystem. With a hybrid revenue model, a commitment to regional content, and an interactive creator platform in Spark, JioHotstar is set to reshape India’s digital entertainment landscape.
Source: Economic Times

Conclusion:

The launch of JioHotstar marks a transformative moment in India’s streaming landscape. With its innovative approach to hybrid content delivery, commitment to regional programming, and user-friendly features, the platform is positioned to redefine how India consumes digital content. As JioHotstar expands its reach with compelling content and competitive pricing, it sets the stage for a more dynamic and inclusive streaming experience for millions of users nationwide.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

Zomato Rebrands as ‘Eternal’ to Embark on a New Corporate Journey

In a significant move reflecting its evolving business landscape, Zomato, the renowned food delivery giant, has announced a rebranding of its parent company to ‘Eternal Ltd.’ This strategic decision underscores the company’s ambition to diversify beyond its core food delivery services, encompassing ventures like quick-commerce, live events, and kitchen supplies.

The Rebranding Unveiled

On February 6, 2025, Zomato introduced ‘Eternal Ltd.’ as its new corporate identity, accompanied by a minimalist logo symbolizing infinity. This rebranding aims to encapsulate the company’s expanded portfolio, which now includes:

• Zomato: The flagship food delivery and dining-out platform.
• Blinkit: A quick-commerce service offering rapid grocery deliveries.
• District: A live events venture.
• Hyperpure: A supplier of kitchen essentials to restaurants.

Founder Deepinder Goyal emphasized that the rebranding reflects the company’s growth beyond its original scope. He stated, “We thought of publicly renaming the company when something beyond Zomato became a significant driver of our future. Today, with Blinkit, I feel we are here.” reuters.com

Rationale Behind the Change

The rebranding to ‘Eternal’ serves multiple strategic purposes:

1. Reflecting Diversification:As Zomato ventures into areas like quick-commerce and live events, a new corporate identity helps represent this broader scope.
2. Strategic Clarity: Establishing ‘Eternal’ as the parent entity allows for clearer differentiation between the company’s various businesses, each with its own leadership and objectives.
3. Long-Term Vision: ‘Eternal’ signifies the company’s commitment to enduring growth and innovation across multiple sectors.

Here’s a look at their revenues before the change of name

Industry Perspectives

The rebranding has elicited varied responses from industry experts:

• Harish Bijoor, a brand expert, views the change as more administrative than consumer-focused, suggesting it primarily serves internal organizational clarity.
• Lloyd Mathias, an angel investor and business strategist, interprets ‘Eternal’ as a signal of the company’s growth ambitions, effectively delineating its diverse business arms.
• Samit Sinha, founder of Alchemist Brand Consulting, notes that the rebranding facilitates diversification, moving beyond the company’s strong association with food delivery.

Public Reaction and Social Media Buzz

The announcement of Zomato’s rebranding to ‘Eternal’ has ignited a flurry of discussions across social media platforms, reflecting a spectrum of opinions from consumers, industry observers, and stakeholders.

Consumer Sentiment

Many long-time users of Zomato have expressed a deep emotional connection to the original brand name, viewing it as an integral part of their daily routines. The rebranding to ‘Eternal’ has elicited mixed feelings, with some users expressing discomfort or dissatisfaction with the new name. Comments such as “Zomato was an emotion, this sounds ewww” encapsulate the sentiment of those who feel a sense of loss with the change. financialexpress.com

On platforms like Twitter and Instagram, discussions have been vibrant, with hashtags related to the rebranding trending shortly after the announcement. Memes, polls, and opinion threads have proliferated, indicating a high level of engagement from the online community.

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Industry Observations

Industry experts have noted that rebranding initiatives can often lead to initial resistance from consumers, especially when the original brand holds significant sentimental value. The mixed reactions observed on social media are not uncommon in such scenarios. Experts suggest that the success of this rebranding will depend on how effectively ‘Eternal’ communicates its expanded vision and value proposition to its user base.

financialexpress.com

Potential Implications of the Rebranding

The transition from ‘Zomato’ to ‘Eternal’ carries several potential implications for the company:

1. Brand Equity and Recognition: Zomato has built substantial brand equity over the years. Transitioning to ‘Eternal’ may pose challenges in maintaining the same level of brand recognition and loyalty. The company will need to invest in comprehensive marketing strategies to familiarize consumers with the new identity.
2. Market Perception: The rebranding signals Zomato’s ambition to diversify its business model. While this can be viewed positively as a forward-thinking move, there is a risk that the company may be perceived as losing focus on its core competencies. Clear communication about how the rebranding aligns with enhanced services will be crucial.
3. Operational Integration: With the establishment of ‘Eternal’ as the parent entity overseeing multiple ventures, the company may face challenges in integrating operations across its various businesses. Implementing a cohesive corporate culture and ensuring seamless collaboration between different units will be essential for sustained success.
4. Investor Confidence: Investors closely monitor how companies manage significant transitions like rebranding. A well-executed rebranding strategy that leads to business growth can bolster investor confidence. Conversely, if the rebranding is perceived as unsuccessful or leads to operational challenges, it could negatively impact investor sentiment.

Conclusion

Zomato’s rebranding to ‘Eternal’ represents a bold step in its corporate evolution, aiming to encapsulate its diversified business ventures under a unified identity—the mixed reactions from the public underscore the challenges inherent in such a significant transition. 

Moving forward, the company’s ability to effectively communicate the rationale behind the rebranding, maintain the quality of its core services, and demonstrate the benefits of its diversified offerings will be pivotal in determining the success of ‘Eternal’ in the marketplace.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.