The Rise of Subscription Models in Rural India: A Glimpse into the Future

In recent years, subscription-based services have become immensely popular in urban India, driven by convenience, affordability, digital infrastructure, and a shift towards services over ownership. While metros like Mumbai and Delhi have been early adopters, a surprising transformation is unfolding in rural India, pointing to the increasing relevance of subscription models beyond urban boundaries.

Shifting Aspirations and Evolving Preferences

Rural India, often stereotyped as traditional and slow to embrace change, is now undergoing a
dynamic shift. As digital penetration increases through smartphones and affordable internet, rural consumers are displaying aspirations similar to their urban counterparts. A desire for better lifestyles, higher productivity, and seamless access to services is driving behavioral shifts. This trend is reflected in the growing success of models like Shunya's fodder-as-a-service subscription, where small dairy farmers benefit from timely delivery of high-quality green fodder without needing to maintain large inventories or make capital investments.

Convenience Meets Reliability

For rural consumers, the appeal of subscription services lies in the predictability and reliability they offer. Farming communities, for instance, value a steady supply of essential products like livestock feed. Services such as Shunya's daily delivery of hydroponic fodder align perfectly with rural needs by automating recurring tasks, freeing up time for other productive activities. This mirrors the urban trend where subscription services save consumers time, allowing them to focus on other priorities.

Affordability through Small Recurring Payments

The affordability factor is a major reason subscription models are gaining traction in rural areas. Instead of large, one-time purchases that strain household budgets, these services break down payments into smaller, recurring installments. Shunya's subscription model ensures that farmers pay manageable fees, making it easier to access premium products without financial burdens.

Digital Infrastructure as an Enabler

The growth of digital infrastructure in rural areas—fueled by increased UPI adoption and improved mobile connectivity—has simplified payment processes. Autopay options, digital wallets, and seamless payment gateways now enable rural consumers to subscribe to services with the same ease as their urban counterparts, fostering trust in these models.

The Road Ahead: A Service-Oriented Rural Economy

The success of subscription models in rural India signals a shift towards a service-oriented economy, where access matters more than ownership. As rural aspirations continue to grow, this trend points to a future where convenience, affordability, and technology-driven solutions become integral to rural lifestyles, laying the foundation for economic empowerment and sustainable growth.

Read more here on Shunya's experience on subscriptions in Bharat. 

Is hydroponically grown green fodder India's hope?

The largest producer of milk in the world is facing an ever increasing crisis of fodder and animal nutrition. We discuss how severe is the issue of deficit of fodder and how it is impacting the lives of small farmers. 

In the space Shunya is offering fodder-as-a-service. Is the a possible solution? Listen in and share your views. 

Agricultural greenhouse gas emissions of an Indian village.

This episode reviews the research paper, "Agricultural greenhouse gas emissions of an Indian village - Who's to blame: crops or livestock?", & examines the environmental impact of the Green and White revolutions on a village in Gujarat, India.

Using a novel methodology that combines Life Cycle Assessment (LCA) and agrarian diagnosis, the study analyzes greenhouse gas (GHG) emissions from both crops and livestock, considering the diversity of farms in the village.

The authors identify the main sources of emissions, comparing them to national and international averages, and ultimately determine that livestock contributes significantly to GHG emissions due to a combination of low milk yields and high-emission feed sources.

The paper concludes by discussing the potential implications of livestock intensification for GHG emissions, environmental sustainability, and social equity in the context of the Indian agricultural sector.

Listen to the episode here

Challenges in the Indian Livestock Industry and Shunya's Solution

There are several challenges confronting the livestock industry in India:

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Fodder Scarcity: India faces significant deficits in both green fodder (32-35%) and dry fodder (23-25%). This shortage is driven by factors such as rising livestock populations, limited land availability for fodder cultivation, and increasing urbanization. The scarcity of nutritious fodder leads to lower milk and meat yields, significantly impacting farmers' incomes.

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Water Scarcity: Traditional fodder cultivation methods require significant amounts of water, a resource that is becoming increasingly scarce in India.

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Low Productivity: The fodder shortage contributes to Indian cattle having a milk yield 50% lower than the global average, while meat yields are 20-60% below global standards. This low productivity directly impacts the income of millions of farmers who rely on livestock for their livelihoods.

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Fragmented Landholdings: With shrinking and fragmented landholdings, dedicating land for fodder cultivation becomes less viable, especially for smallholder farmers.

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Climate Change: Extreme weather conditions and unpredictable rainfall patterns further exacerbate the challenges of fodder production, making it difficult for farmers to ensure a stable supply.

Shunya's Fodder-as-a-Service (FaaS) Model:

To address these challenges, Shunya has introduced a "Fodder-as-a-Service" (FaaS) model, utilizing a combination of hydroponic farming and a digitally-enabled platform. Here's how it works:

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Hydroponic Fodder Production: Shunya establishes "Growth & Logistics Centers" (GLCs) equipped with hydroponic vertical farming units to produce high-quality green fodder. Hydroponics uses significantly less water (up to 95% less) and land compared to traditional farming methods, making it a more sustainable and resource-efficient approach.

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Mobile App for Ordering: Shunya provides a mobile app for farmers to conveniently place orders for green fodder, either on an ad-hoc basis or through subscription-based models. This digital platform ensures easy access to fodder and allows farmers to plan their needs effectively.

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Efficient Logistics and Delivery Network: Shunya partners with local entrepreneurs (Shunya Partners) to manage the last-mile delivery of fodder to farmers' doorsteps. This network ensures timely and reliable delivery, a critical aspect for fresh fodder.

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Focus on High-Need Areas: Shunya prioritizes its operations in regions with high fodder demand, low rainfall, frequent droughts, and high livestock populations. This strategic approach ensures that the solution reaches those who need it most.

Benefits of Shunya's Model:

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Reliable Fodder Supply: The FaaS model guarantees a year-round supply of fresh, nutritious, and chemical-free fodder, addressing the critical challenge of fodder scarcity.

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Increased Income: Access to high-quality fodder improves livestock health and productivity, leading to increased milk and meat yields and higher incomes for farmers.

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Land Optimization: Farmers can use the land previously dedicated to fodder cultivation for more profitable crops, further enhancing their earnings.

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Reduced Costs: By eliminating the need for traditional fodder farming, farmers save on expenses related to seeds, fertilizers, irrigation, and labor.

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Environmental Sustainability: Hydroponic farming significantly reduces water consumption and land usage, contributing to environmental sustainability.

By addressing the fundamental challenges of the livestock industry, Shunya's FaaS model has the potential to transform the sector and significantly improve the livelihoods of millions of Indian farmers. The early success of Shunya's subscription model, as noted in source, suggests a potential shift in rural commerce towards reliable, technology-driven solutions for essential agricultural needs.

Shunya: A Tech-First Business Model with Physical Extensions

Notes to self, but anyone is welcome to read, comment, refine or trash. 

I am not a religious person, but Gita has always fascinated me (and the world) for its depth. Every time I read a para it grips me for its deep meanings and possible interpretations - and fortunately it allows for interpretation as per "me". 

In the Bhagavad Gita, it is asserted that man is primarily a soul with a body, rather than a body possessing a soul. This profound insight flips the common perspective, emphasizing the primacy of the soul, with the body being a mere instrument through which the soul experiences and interacts with the world. 

This helped me self-clarify in my mind the vision that we had for Shunya (my agritech start-up). Shunya's vision must reflect this wisdom, positioning itself not merely as a physical business that incorporates technology, but rather as a tech-centric enterprise where technology is the driving force—the “soul”—with physical operations and processes serving as its body and senses.

Technology as the Soul: The Core of Shunya’s Identity

Just as the soul is eternal, pervasive, and central to the existence of an individual, technology should be the core of Shunya’s identity. Every business decision, operational process, and customer interaction must be rooted in technology. This means that tech is not an add-on or a support system but the foundation upon which the business is built. It is the source of innovation, efficiency, and scalability, ensuring that Shunya remains agile, forward-thinking, and resilient in an ever-evolving market landscape.

Physical Operations as the Body: Enabling Interaction and Execution

The physical aspects of Shunya’s business—such as manufacturing, logistics, and customer service—are analogous to the body in the Gita’s analogy. They are the tangible manifestations of the business’s tech-driven soul, enabling it to interact with the real world. These physical operations must be designed and optimized to execute the strategies and insights derived from the technological core. For example, production processes should be guided by data analytics, and customer engagement should be driven by AI-powered platforms.

Processes as the Senses: Facilitating Perception and Response

Just as the senses allow the body to perceive and respond to the environment, the processes within Shunya should act as conduits through which the business interacts with its market, customers, and stakeholders. These processes—ranging from supply chain management to customer relationship management—should be deeply integrated with technology. This integration ensures that the business is not only responsive but also proactive, anticipating needs, trends, and challenges with precision and speed.

Shunya’s Ambition: A Holistic Tech-Driven Entity

The ambition of Shunya should be to become a fully integrated tech-driven entity. This means that all physical aspects of the business—whether they are products, services, or customer interactions—should be seamlessly connected to the technological core. The physical body of the business should serve to actualize the potential of the tech soul, delivering value that is informed by data, enhanced by automation, and personalized through AI. This approach will allow Shunya to transcend the traditional limitations of a physical business, creating a dynamic, scalable, and future-proof enterprise.