There is an over-cluttering of startups in the market fighting an uphill battle against each other to maintain a good position. According to the recent statistics, more than 50% of the startups fail within the first four years of being launched. Some of the most common causes of failure include incompetence, lack of experience, and poor managerial performance but the foremost is the absence of market knowledge.
Irrespective of the industry you are approaching, you need to bring some innovative value to your digital marketing business in order to ensure that it can survive the tough competition in the market. Some statistics published by SPA revealed that 78% of startups survived their very first year but by the end of the fifth year, 95% of them failed.
Every budding entrepreneur needs to understand that he needs to dig deeper into the market and on the basis of his research, he will be able to take prolific decisions for his initiative. Here are some of the DIY tactics which anyone can opt for to ensure that they are stepping into the right market and going for the correct strategies:
1.Go to Expert Communities
While there exists online expert communities like Quora and Reddit where you can find a bunch of people ready to answer your queries in the finest ways, there are other ways of approaching the expert entrepreneurs too. There are social news sites, Q&A forums and networks, and slack groups which can guide and help the promising entrepreneurs in starting up their businesses.
The co-founder of Y Combinator, Paul Graham, created Hacker News in 2007 and his sole purpose was to provide a forum where the current and the future Y Combinator founders could exchange some wise words and ideas. The website boasts 100,000 unique visitors and 1.6 million page views on any weekday. Being featured on the home page of this website means that you should be ready to receive thousands of views on your own website just like Peiter Levels received when his blog was ranked#1 on Hacker News.
2. Find Your Startup Relationship
There is absolutely no chance of succeeding in a business which you don’t love or don’t have any passion for. As Richard Branson says, “When you believe in something the force of your convictions will spark other people’s interest and motivate them to help you achieve your goals. This is essential to success.”
So Branson’s advice for you is that if you don’t feel for an idea and don’t really get to enjoy the ‘aha’ moment, it is better to go back to the scratch and start working on something which truly appeals to you. It is your vision and passion which takes you forward just like the idea of a store which sold everything made Jeff Bezos quit his job and come up with Amazon.
3. Analyze and Reach Social Media Audience
Social media has a major influence on the purchasing decisions of people with 57% of consumers saying that they think highly of a business when the read a positive online review about it. One-third of the millennials claim that social media is their preferred medium for business communication. 71% of consumers are likely to recommend a brand to others if they have had a good social media experience with it.
All this data reveals the significance of social media in today’s business world so people make sure to dig deeper into it and introduce themselves through this medium. This helps them in gaining initial recognition especially through platforms like Twitter, Instagram, and Facebook. In 2015, Facebook alone influenced 52% of consumers in making online and offline purchases.
4. Dig into Startup Discovery Platforms
As per 2015 Kauffman Index on startups, it is estimated that approximately 530,000 new business owners are surfacing every month. Yet, the rate of failure of these startups is very high. This is the reason that startup support programs have been initiated to combat the failures met by these entrepreneurs. 93% of business incubators are small non-profits throughout North America as per the information revealed by the International Business Innovation Association.
Apart from these small organizations, it is actually the big multinational companies which are playing their part in encouraging innovation and new talent in the industry. For example, AOL came up with its very own accelerator Fishbowl Labs and Samsung’s Strategy and Innovation Center is an amazing platform for the promotion of promising entrepreneurs. These companies are exhausting their finances and resources to support new talent so entrepreneurs should take their help to defy all the odds which come with setting up a company.
5. Take Deep Business Insights
The biggest known database consisting of tons of information pertaining to business and individuals is Crunchbase. It has information about more than 105,000 companies in its database along with 14,000 distinct individual profiles. An insight into the details of these companies and people can help you in learning a lot about the market you are about to step in.
When it comes to businesses and markets, data matters a lot and plays a key role in determining the future trends. It is through strong business insights that one is able to learn from the mistakes without actually making them and applying successful formulas in their own struggle. Even the established firms are relying heavily on Big Data and analytics to determine their strengths through the market and data analysis and applying successful strategies then.
Every startup wants to become a member of the $100 million companies club. Over the past 20 years, the number of such companies produced by the US has remained stable with 125-250 each year reaching the markdespite the changes in the economy.
As said by Roman philosopher Seneca, “Luck is what happens when preparedness meets opportunity.”
A perfect combination of persistence, perseverance, innovation, determination, hard work, and luck are required for any startup to move forward. The base of this success is a strong ignition which is only possible through a thorough and comprehensive market research.