WHAT ARE FUTURE MARKETS?
Future markets are those industries, businesses, emerging economic opportunities where changing technologies, consumer habits and shifting societal needs are creating significant business potential.
Sectors that will grow in 5 years
Technology & AI-driven sectors
Artificial intelligence stands out as a groundbreaking force. AI In healthcare is estimated to grow from $21.66 billion to $110.61 billion. AI is expanding towards healthcare, manufacturing, urban planning with the capability to contribute $500 billion to India’s economy by 2025.
Cybersecurity: Amidst rising digital threats, demand for cybersecurity has increased substantially. Cyber-related frauds escalated to 1.7 Indian billion Rupees. Due to this, business setups in India increased investment in cybersecurity solutions.
5G Technology & Infrastructure: This sector is poised for rapid expansion with a CAGR of 36.8% by 2030.
Healthcare & Biotechnology
The biotechnology sector is experiencing a renaissance post AI integration, changing drug discovery and clinical trials. AI in pharmaceuticals is expected to see significant growth, touching $16.5 billion by 2034, transforming the way medicines are developed and tested.
Green Technology & Renewable Energy
Environmental concerns and policy mandates are driving massive growth in clean energy. India is targeting 450 GW of renewable energy by 2030. This includes solar, wind, biofuels etc., displaying a global trend of expansion. Companies are increasingly manufacturing EV batteries to meet the growing demand of electric vehicles.
With several legislative reforms taking place, the Indian real estate sector has undergone consolidation in recent years. With a large number of people migrating to urban areas, demand for homes and offices will increase manifold.
Due to increasing urbanization, increase in purchasing power, Indians have become more conscious and aware about what they are eating. Therefore demand for healthy & chemical-free products have skyrocketed.
HOW CONSUMER BEHAVIOUR IS CHANGING?
Indian consumers are not merely changing, they are bringing a fundamental shift in the world’s largest consumer market which has implications beyond our country’s borders.
RURAL REVOLUTION
In rural areas, the share of food in monthly consumption declined to 46.4% in 2023 from 53% in 2011-12 whilst non-food consumption jumped to 53.6% from 47%. Simultaneously, spending on beverages and processed foods more than doubled, increasing from 4.19% to 9.62% while spending on durable goods tripled from 2.62% to 6.89%. This clearly shows transformative shift from survival-based consumption to aspiration based consumption.
The Hybrid Shopping Revolution
Indian consumers are bringing a unique hybrid shopping revolution. 56% are relying on physical stores for brand discoverability, consideration and purchase while 47% are using social media for shopping. This shows pragmatism where people are integrating physical experience and social media discovery, creating global standards for omnichannel retail.
The Sustainability Imperative
72% of Gen-Zers value sustainability in second-hand shopping, portraying that sustainability can’t just be a premium aspect but has to be a core business principle. This demand is forcing firms to reshape their value chains.
The Premiumization Paradox
Despite seeing an upward trend in disposable incomes, Indian consumers are becoming more value-conscious. They are willing to pay a premium if the product has demonstrable value. This has lead to a ‘premiumization paradox’ where brands must offer quality and appropriate value proposition simultaneously.
Regional Advantage
Every region has a distinct culture, language, and identity. The connection with their roots is instant. Brands which understand this are customizing their strategy and are improving their sales.
Innovation
Due to increasing aspirations and a global outlook, consumers are diversifying their brand selection which includes many international brands. Companies are now compelled to spend more on research and development in order to meet the unique proposition of high-quality, budget-friendly, sustainable and valuable products.
How is the Government supporting future markets?
1. Governance First Digital
Platforms like Aadhaar, UPI, DigiLocker, and ONDC are spearheading India's drive for Digital Public Infrastructure (DPI), which is laying the groundwork for markets that are prepared for the future. These platforms provide startups and established companies with the means to grow effectively by democratizing access to identification, financing, and commerce.
The India Stack, which facilitates easy onboarding, loan access, and market entry, is now a global case study for leapfrogging digital inclusion.
2. Ease of Doing Business 2.0
Now India is moving from ‘starting a business’ to ‘supporting and scaling a business’ with measures like:
- Decriminalization of business laws
- Unified logistics platforms (ULIP)
- Single-window clearance systems
- Faceless tax assessments
Are reducing bureaucratic friction and increasing predictability — key for investor confidence in future-facing industries.
3. Industry 4.0 and Emerging Tech Policies
- National AI Mission
- Quantum technologies
- Space tech liberalization
- Green Hydrogen Mission
- Semiconductor PLI Schemes
4. Sustainability as Strategy
Future markets are green. India’s policy posture reflects this with:
- Net-zero by 2070 target
- National Green Hydrogen Mission
- Battery Swapping & EV policies
- Mandatory ESG disclosures for listed companies
5. Global Market Integration
India’s trade diplomacy is becoming sharper, seen in:
- FTAs with developed economies (UAE, Australia, EU in progress)
- Strengthened IP regimes
- Start-up diplomacy under Startup20 and G20
This is making Indian businesses export-ready and resilient to global shocks.
6. Start-up Ecosystem & MSME Empowerment
Future markets are all for innovation. India's proactive support for startups — via SIDBI funds, Startup India, and reduced compliance burdens — is cultivating risk-taking. For MSMEs, formalization via GST, e-invoicing, and digital credit access is unlocking scale and structure.
7. Decentralized, Co-operative Federalism
Through initiatives like Aspirational Districts Program, PM Gati Shakti, and NITI Aayog’s role as a catalyst, governance is becoming data-driven, collaborative, and outcome-focused — enabling faster experimentation and policy feedback loops essential for dynamic market transitions.
In a world of relentless change and market volatility, future focused businesses must evolve boldly and Narayan Bhargava Group will be your unwavering partner turning every opportunity and obstacle into a goldmine. Visit https://www.narayanbhargavagroup.com/ today.
SOURCES
Artificial Intelligence (AI) in Healthcare Research Report
India: cyber fraud losses 2024| Statista
10 Global Industries That Will Boom in the Next 5 Years
AI in Pharma and Biotech: Market Trends 2025 and Beyond
6 Sectors in India that are Likely To Perform Well in Future
Consumer Products Industry Insights & Analysis | Deloitte US
