India Consumer Finance Market is projected to post robust growth by 2024, owing to factors such as increasing per capita income, high economic growth, rapid urbanization, and a rise in consumer spending power. Growing consumer preference towards the use of credit cards owing to the associated benefits related to it such as reward points and a host of promotional offers like movie tickets, discounts on flight bookings, etc., is likely to drive the growth of the consumer finance segment in India during the forecast period.
Additionally, the rising number of consumers opting for Equated Monthly Instalments (EMIs), available at 0% interest or low-interest rates will further propel the India Consumer Finance Market by 2024. Moreover, the easy availability of different loans like home loans, car loans, and education loans across a variety of public sectors as well as private banks or financial services and the easy processing of loan requests is likely to have a positive impact on the growth of the market.
Demonetization also had a major positive impact on the shift of consumers towards the use of digital transactions however it had a moderate long-term effect on the use of plastic money. Additionally, the ease of obtaining Consumer Durable Finance at chained large format electronic stores like Croma and Vijay Sales that collaborate with financial service providers like Bajaj Finserv, and Tata Capital will propel the growth of the market during the forecast period.
Based on the type, the secured consumer finance segment dominated the market in 2016, due to rising auto loans. The Unsecured Consumer Finance segment is expected to lead the market by 2024 owing to the increasing number of credit card users across the country.
Years considered for this report:
Historical Years: 2014-2017
Base Year: 2018
Estimated Year: 2019
Forecast Period: 2020-2024
The objective of the Study:
- To analyze and forecast the market size of the Consumer Finance Market, in terms of value.
- To classify and forecast India Consumer Finance Market based on type, company, and regional distribution.
- To identify drivers and challenges for India Consumer Finance Market.
- To examine competitive developments such as expansions, new product launches, mergers & acquisitions, etc., in India Consumer Finance Market.
- To conduct the pricing analysis for Consumer Finance Market.
- To identify and analyze the profile of leading players involved in the India Consumer Finance Market.
Some of the leading players in the India Consumer Finance Market are Bajaj Capital Limited, Birla Global Finance Limited, Housing Development Finance Corporation, ICICI Group, LIC Finance Limited, L & T Finance Limited, Mahindra & Mahindra Financial Services Limited, Muthoot Finance Ltd, Cholamandalam, Tata Capital Financial Services Ltd, etc.
To perform the study, TechSci Research conducted primary and exhaustive secondary research. Initially, TechSci Research prepared an exhaustive list of Consumer Finance companies and service providers operating in India. Subsequently, TechSci Research conducted primary research surveys, which include primary calls, email responses, etc., with the identified companies. While interviewing, the respondents were also asked about their major competitors. TechSci Research analyzed product offerings, services, and regional presence of all major Consumer Finance companies in India.
TechSci Research calculated the market size for India's Consumer Finance market using a bottom-up technique, wherein sales value data of different finance companies was recorded as well as a forecast for the future years. TechSci Research sourced these values from industry experts and company representatives and externally validated them by analyzing historical sales data of consumer finance companies to arrive at the overall market size.
Key Target Audience:
- Consumer Finance Companies
- Banking Sectors
- End users
- Industry associations and experts
- Research organizations and consulting companies.
- Research Institutes
The study is useful in providing answers to several critical questions that are important for the industry stakeholders, end users, etc., besides allowing them in strategizing investments and capitalizing on market opportunities.