Insights from EPIC World survey on Entrepreneurial Households shows that over 80% of Entrepreneurial Households are willing to pay more for quality healthcare and education services, if delivered locally. This article explores the widening disconnect between demand and delivery, and why purpose-built, locally rooted solutions are critical to unlocking socio-economic growth for India’s fastest-growing segment.
Across India’s small towns and villages, a quiet transformation is underway. Households once reliant on a single, often unpredictable source of income (predominantly agriculture) are now earning through multiple channels - be it a combination of farming and freelancing, shopkeeping and gig work, or tailoring and tuition classes. These are India’s Entrepreneurial Households (EHs), resilient, resourceful, and deeply aspirational.
They are part of the unseen middle. Many of them send their children to private schools. They use smartphones not just for social media, but for supporting their businesses, and stay connected with customers and communities. And their growing income footprints are fueling demand for better goods, services, and opportunities, right where they live.
But there’s a catch.
When growth outpaces access
As their economic ambitions rise, the world around them often lags behind. A good school still means hours of travel. A doctor’s appointment? Even farther.
EHs have outgrown the infrastructure meant to serve them - and the consequences are more than inconvenient. They’re limiting.
The numbers are telling:
- 60% of EHs say they have limited access to quality local healthcare and education.
- They have to travel over an hour to get access to these basic services.
The real cost? Not just in kilometers.
It’s lost time. Lost earnings. Lost momentum.
The demand is clear. So is the willingness to pay.
Here’s what’s interesting:
- 78% of EHs say they’re willing to pay more for healthcare and
- 74% would do the same for education, if it were available closer to home
Willingness to pay is even higher for people who are travelling over an hour away from home for these services:
- 86% are willing to spend more for quality local healthcare.
- 81% say the same for better education.
These families don’t view healthcare and education as costs. They see them as investments - in their family, their stability, and their future.
Despite this, a significant gap exists, with few businesses offering services that meet the standards these families aspire to and are willing to pay for.
This isn’t a passive segment waiting for help. It’s an active market - ready, willing, and able to invest in relevant, reliable services. The only question is: who’s ready to meet them there?
What’s holding us back? Outdated models.
Most private providers still design for cities, then try to shrink those offerings down for smaller towns. The result? Stripped-down “lite” versions that these households don’t fully trust or value.
What will it take? Purpose-built solutions.
To truly bridge the gap, we need more than urban repackaging or cost-cutting. EHs don’t need cheaper services. They need more relevant ones - designed for their reality.
Some businesses are getting it right and here’s what they have in common:
- Phygital models: Physical touchpoints build trust; digital layers bring scale and efficiency.
- Community-rooted delivery: Local agents, health workers, and educators who speak the language, and the culture.
- An enterprise view of households: Solutions that reflect how EHs earn, spend, and make decisions as a unit.
- Asset-light infrastructure: Hub-and-spoke systems, tech-enabled platforms, and local partnerships that extend reach without bloating cost.
- Custom solutions: Flexibility in payments, bundled offerings, and services tailored to their unique needs and cash flow cycles.
From gap to growth
The gap between aspiration and access is one of the defining challenges of India’s development journey. But it’s also one of its greatest opportunities.
The intent is already there. The willingness to pay is already strong. What’s needed now is delivery - thoughtful, contextual, and built to last.
This isn’t just about fixing a system. It’s about unlocking potential.
The gap is real. But so is the opportunity.