Today we're looking at trends shaping startups and reasons for some of their failures as I bring you another article and infographic from Josh Wardini.
Check out the fascinating statistics on startups that he has discovered.
5 Trends Shaping the Startup Landscape in 2019
The popularity of startups has grown immensely over the years, with many sharing their success stories online and on business and news outlets. However, many statistics show that the road to startup success is often a bumpy one, regardless of the chosen field. In fact, according to statistics compiled by SmallBizGenius 75% of venture capital-backed businesses eventually failed and 20% of new ventures didn’t make it past their first year. So, as an entrepreneur, how can you prevent your business from becoming just another statistic?
One effective approach is to capitalize on business trends which have the potential to increase your chances of success. With the startup landscape continually evolving, it’s not easy to predict which trends will make an impact, but by keeping yourself updated, you’ll be better equipped to handle potential pitfalls and seamlessly navigate the competitive market.
The Rise of Artificial Intelligence
AI is already being integrated into businesses and companies in a wide variety of sectors — from finance and banking, in the form of sophisticated deep learning systems created to spot potential frauds, all the way to retail where chatbots and virtual assistants are being utilized in order to achieve a more customer-centric approach to business.
As an impactful new feature in a number of different industries, it comes as no surprise that a lot of venture capital investors are interested in funding AI startups, with one report revealing a record $9.33 billion in total venture capital investments in 2018 alone.
Hyper-Personalized Marketing For Startups
Hyper-personalization takes personalization to the next level, as it incorporates the use of artificial intelligence to collect and analyze real-time data, which helps businesses effectively deliver their message to a selected target audience. This provides an innovative way to attract and engage with potential customers, as well as make your business ready to offer solutions which fit their needs.
Adopting hyper-personalized marketing as a strategy provides opportunities for startups to move forward with a customer-centric approach to business and stay one step ahead of the competition in terms of brand awareness and customer engagement.
The digitization of office tasks and the availability of online tools made it possible for entrepreneurs to opt for remote work. While many startups still need traditional workspaces, others find it convenient and cost-efficient to work from home.
They also hire employees who can work remotely as this could help them save on rent and resources. Additionally, outsourcing employees provides founders the flexibility to choose the right candidates from a diverse range of talents from around the world.
The Use of Voice Technology
Today’s fast-paced lifestyle is what’s driving this emerging trend. Voice search is quick and convenient to use, and more and more people are relying on this technology to perform everyday tasks such as performing web searches and operating smart speaker devices.
According to statistics, 50% of all online searches will be performed using voice technology by 2020. Clearly, entrepreneurs should adapt to these changes if they want to tap into the customer base that has already incorporated voice technology into their day-to-day lives.
Utilizing Blockchain Technology
Applications of blockchain technology are already being used in many different fields such as healthcare, finance, and retail. Corporations utilize blockchain to make operations secure and efficient. But how exactly can startups benefit from this technology?
Startups are already exploring the potential of blockchain-based projects in hopes of attracting more investors and staying afloat in the highly competitive business market. Entrepreneurs are also incorporating blockchain applications to speed up business transactions and add transparency and efficiency to everyday operations.
Trends shaping startups – Conclusion
It is vital for startups to be flexible and adapt to trends in order to keep up with the industry that is continuously undergoing technological, operational, and economic changes. Startup founders and entrepreneurs who are always on the lookout for new strategies and trends that could impact the way they do business have an advantage over those who are afraid to take the leap and bring their small venture to new heights.
The above-mentioned startup trends do not guarantee success, but having an open mind for new ideas and ways to overcome challenges could definitely benefit your business in the long run. For more startup facts and statistics, check out the infographic below.