How women in India are already changing the consumption landscape of India

Couple of posts back I had written on how the impact of ladies coming into the workforce will change the whole economy in India.

Over the last 2-3 weeks after writing the posts I noticed a few trends which I wanted to share.

I happened to go to eat at Pizza Hut in Connaught Place, New Delhi last weekend. My wife loves the pizzas there. There were at least four sets of girls only groups who had come to eat there. It’s quite common to see boys and girls in some restaurants, it’s quite common to see families in restaurants but on that one afternoon I saw at least four different sets of girls come and have food there. And its not they were there just to have a quick meal.  They were out there having a good time and had ordered quite an elaborate lay-out.

The week before that in the PVR at Logix Mall in Noida I had gone to see a movie and in the IMAX screen there were nothing less than at least 7-8 girl only groups who had come to see the movie.  The reason for pointing the IMAX is that it has I think the most expensive seating out of all the PVR screens.

And the last was the visit to showroom of Maruti cars – this was there Nexa showroom. Out there were women, who had come with their husbands or families to select the cars, what was astonishing was that it was the women who were signing the documentation for car leases or giving the cheques

Now on the face of it none of this has any significance.  People in general and women have been going out to have lunch or to meet friends or going to movies.  What is significant however is that all these things that I mentioned above were happening at above average locations or at places which are probably considered premium and in “ladies paying” situations.

When I started doing some fishing around to see if these trends are observed at other places I also came to know that there are high end bars who offer “women only” nights, on somedays of the week.  Premium lingerie ads are all over the cyber city corridor on metro pillars in Gurgaon.

If Indian women are empowered and are going to be spending at such premium locations whether it is to buy cars or to have pizzas or have wine then it suddenly throws up so many opportunities for someone who would like to just sit back and passively watch their income grow

If there are funds or there are companies who are going to benefit from this consumption boom which is taking place in metros because of Indian women, then those investments well grow dramatically fast

So from a pure selfish interest I think we males need to figure out ways to empower women to grow so that when 400-500 million women in India come into the workforce people who are invested in this consumption theory for women will get dramatically rich.

Carpe Diem!!!

 

Quarter Century

This is my 25th post….. its been quite a journey over the last few months…..never thought would ever reach this figure.

First of all getting me started to take my own domain name and then take the WordPress subscription and then figuring out what to write was a major effort.   For the last 2-3 years that I have been wanting to take this activity but some issue or another kept cropping up.

I read blog posts and heard podcasts  from Tim Ferriss, I took a course with Ramit Sethi and I read others across the board but did not get the “ignition”

Even after taking the domain name and the WordPress subscription I wrote about four or five posts but after that I did not know on the topics that I could write.

Then I read Gary Vaynerchuk and one thing which struck me was he wrote and I paraphrase “why not first make a list of topics that you could possibly write on and then go on writing against each of them. If you come across something in-between you could add to the list”

I took Gary”s advice to heart and over the last few months I have consistently written whether it was a topic which was from the list I had made or there was a topic which I read in the magazine or a video I saw on the internet.

Even then sometimes I had a writer’s block and as I had written in one of my blogs couple of weeks back, it was the podcast from Tim Ferriss with Daniel Pink that got me started on just writing and things falling in place….now I am consistently started doing that.

I started the blog post with the idea that at some point of  time if I will be able to monetize it.  I will use part of the earnings to ensure that we are able to feed impoverished kids and enhance the life of women in India…..lets see when I am able to reach that stage.

The content of the blog was meant to be for young Indians who are at the age of around the age of my son, but what I found is that I have had more followers joining from countries as far as the US and Canada than from India itself.

Thanks to all of you for taking time to read my posts and liking them.

Till next time then….

 

How women in India can change the destiny of the country – part 2

Continuing where I left last, when more women come into the workforce there is money in more hands.
First this money goes to ensuring that the basic necessities of life are taken care of.

The good thing about basic necessities however is that once they are taken care off, there is not too much more that needs to be done , so once you have had three meals you can’t have one more meal during the day.

Once people have more money than they need to take care of their basic necessities they do 2 things – one they try to save and two they like to move up in life by doing discretionary spending.
When discretionary spending starts to happen the GDP growth starts to multiply. In India from the time the per capita rose from $1000 to $1700 one major trend that is seen – last year the growth of Air Traffic has been faster than the growth in rail traffic. The per capita is expected to in the next 7-8 years hit $3000/-.  That is considered the poverty line in countries like the US& Canada for a family of 5.  But adding $1300 per capita into more than 1 billion people can mean such a huge uplift for India.
Just with the addition of $700 per capita (from $1000) even though the Indian economy does not seem to be doing very well, still you have most Metro airports and all the Planes and flights which I have taken recently completely full. Whether it is low cost Airlines like Indigo and Go air or full service Airlines like Air Vistara or Air India you don’t see empty seats. There is a waiting list for cars and 2 wheelers.  People are wanting to move up in life.  They have aspirations to be better than what their parents were.

So what does this have to do with financial freedom….

If more women come into the workforce they will add to the per capita income. Once they take care of the part of the burden of the basic necessities of the house, then they will end up spending on better education and health of their children and better quality products for themselves.

If you see trends like these and you invest in countries like India, which have a such a young demographic, you can be picking gems which can make you rich many times over.  Invest through SIPs in mutual funds or invest in Emerging Market funds, but systematically go about investing in growth stories and the growth momentum can propel your finances into a different orbit…

Till next time

Keep identifying trends

How women in India can change the destiny of the country

Last few days I have had a writer’s block .  Since my last blog, last weekend, I had been thinking on what should be my next topic but it just wasn’t getting structured

And then today I was listening to the podcast at the Tim Ferriss( tim.blog .)  He was interviewing the author Daniel Pink.

There were many Aha moments…but this post is not about that podcast.During the interview Daniel mentioned that one of his professors once told him that sometimes you just need to start writing and things will get figured out.

That suddenly hit a chord with me.  So here we go….

I was reading the Entrepreneur magazine’s India edition and here I saw couple of very interesting facts.  One of them was an article by Nobel prize winner Muhammad Yunus. He is the man behind the concept of micro finance which has empowered so many women .

One of the things he mentioned in the article is that if illiterate and poor women can transform themselves into entrepreneurs imagine what would happen if millions of high school and University graduates are empowered.

This got me thinking. If we discount for about 30% of India’s population to be children and old people, then out of the remaining 1 billion people you have 50% of them as women. What would happen if these 50% women came into the workforce- either as entrepreneurs or as workers, what would happen to the GDP of our country.  About 400-500million more people in the workforce, which is expected to be the youngest workforce by 2030.

Last year I was in Canada during their 150 year celebrations and I realised that its GDP is close to two and a half trillion dollars, while India’s GDP is also close to 2.5 trillion dollars. However Canada’s population is less than the population of one city in India -Delhi NCR, about 3 crores (30million). India’s population is more than 125 crores(more than 1.25 billion).

In the same issue of the Entrepreneur there is another report which says that if women’s participation in the Indian economy goes up the country’s GDP is likely to go up by 60% that is an amazing figure

If only our women believe in themselves and if we can give them a supporting hand there is massive prosperity which can be created in this country.  Right now for a lot of families in India, buying 3 meals is the biggest outgo of money.  Once each family has multiple earners and expenses on food become a minor part of the spend, then families will educate their kids, they will take better care of them.  and people will spend more on non-food items.  These are exciting times if we take our destiny in our own hands.

Capre Diem!!!