Understanding India's real market potenetial

💡 Founders & Marketers: Knowing the market size is crucial but unfortunately there is so much bad data out there which means marketing plans are never accurate.

So I decided to do something simple:

✅ Use Income Tax Return (ITR) data to break down India's real TAM (Total Addressable Market).

The ITR deadline just passed, and nearly 80 million returns were filed (likely to go up to 85–90 million).

But here’s the real breakdown:

🟡 ~50 million = Zero taxable income

🟡 12.5–20 million earn ₹5–10L

🟡 7-9 million earn ₹10–20L

🟡 2–2.5 million earn ₹20–50L

🟡 0.6-1 million earn ₹50L-1 Cr

🟡 ~0.36 million earn ₹1 crore+

( the data is from different sources , formatting is with AI)

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What this tells us:

1. Lack of disposable income for majority :around 65 million earn below 10 lakh.

2. Why India looks booming to some of us
If you know a lot of people earning ₹20L+, it’s easy to assume that’s what “India” looks like. It’s not. That’s just our bubble of 3 million people, most of them concentrated, but which also means when 30000 people get laid off its 1% of that population, which runs the economy.

for the rest, including D2C, Luxury and mass market opportunity,

click here

By - Saurabh, Fractional CMO

Who is Saurabh? https://outstandingspeakersbureau.in/speakers/saurabh-parmar/