Have a unique idea? Want to be your own boss? Want to start your own company? If yes, there will be plenty of sources motivating you to be brave and go ahead. Your business won’t be a success just with a unique idea. You should learn a lot before you even think of launching your startup idea into the real world. Market evaluation, demand, target audience, location-wise strategies are some of the important considerations to take care of to launch and grow your startup.
A Sneak Into Startup Stats
- There are a total of 472 Million entrepreneurs globally.
- Total number of startups annually is 305 Million.
- 135 is just tech startups.
- The funding received by startups is $17,830,705,214.
- 69% of US entrepreneurs start their businesses at home.
Who is Starting a Business These Days?
73% of startup owners are male.
25% of startup owners are female.
Age Group of Startup Owners:
- 35% of the startup’s owners are between the age group of 50 to 59 years.
- 25% of the startup’s owners are between the age group of 40 to49 years.
- 18% of the startup’s owners are between the age group of 60 to 69 years.
- 14% of the startup’s owners are between the age group of 30 to 39 years.
- 4% of the startup’s owners are between the age group of 18 to 29 years.
- 4% of the startup’s owners are of 70+ years.
Education of Startup Owners
- 33% of startups owners are High school graduates.
- 18% of startup owners have an Associates Degree.
- 29% of them have a Bachelor’s Degree.
- 16% of them have a Master’s Degree.
- 4% of them are a doctorate.
Reasons For Launching a Startup
- 26% of people wanted to be their own boss.
- 23% of people wanted to follow their passion.
- 19% of people got an opportunity at their door.
- 12% of people were not satisfied with corporate America.
- 6% of people were not ready to retire.
- 6% of people laid off or outsourced.
- 3% of people have some major life-altering events like death or divorce.
Fun Fact: 82% of the successful entrepreneurs were not in doubt whether they had enough experience or education to run a business.
Failure Rates of Startup
Out of the businesses initiated in 2014:
80% made it to 2015.
70% made it to 2016.
62% made it to 2017.
56% made it to 2018.
The startup failure rate at 4 years is about 44%.
Top 10 Reasons for Startup Failure
1) 42% of them failed because of no market demand.
2) 29% of them exhausted the cash.
3) 23% of them didn’t recruit the right team.
4) 19% of them got outcompeted.
5) 18% of them had pricing or cost issues.
6) 17% of them didn’t have a user-friendly product.
7) 17% of products didn’t have a business model.
8) 14% of them failed because of poor marketing.
9) 13% failed because of the mistimed product.
10) 14% failed because they ignored their customers.
How To Make Your Startup A success?
There is no sure shot to make a business successful. The closest way to survival is to make your business digital with a mobile app. The users are consuming everything with apps and hence mobile app startup is the best way to pursue. From a business perspective, almost 52.2% of online traffic comes through mobile devices. Since the past few years, the time invested in using mobile devices boosts by 57%. Here is the list of some of the most popular apps which have now proved to be successful startups.
4) Angry Birds
With increased business opportunities, high use of mobile devices and apps, every entrepreneur is looking forward to developing a mobile app. App development is a huge investment and several questions pop into their heads. Here are some of the top questions answered to move ahead with a clear mind and make an informed decision.
Top 5 Frequently Asked Questions
1) What is the purpose of building an app for your startup?
While the fame and money are the standard answers. But, they are proper reasons to develop your app. You must have a clear vision and a mission to achieve that vision through your app. The purpose of the app will also allow you to know and set your target audience.
2) How to safeguard my app idea?
Getting unique ideas at this stage where everything is said and done is difficult. It’s important to have the surety that your ideas will not be disclosed, stolen or used before the actual launch. To avoid such things, make your iPhone app development company to sign the NDA (non-disclosure agreement). Such an agreement will allow the entrepreneurs to securely discuss the idea and its execution.
3) Which is the best platform for your startup?
Android is the first choice for all the apps with the biggest App Store. It is also perfect when you want features that are not supported by iOS. Now, if you are looking to develop customer-oriented apps, iOS is apt. iOS users have core demographics needed by the early-stage ventures. iOS users spend more time using the apps and keep engaged in the long run. Also, iOS apps earn better revenue than Android apps.
4) What will be the time and cost of building an app?
Features and functionality of the app, platforms you are targeting, and hiring models are the factors deciding both the time and cost of the mobile app. Building any feature-rich quality app will take a minimum of 3 to 4 months.
5) Is there any way to prevent failure?
App development is a complex process and even if you manage to consider everything, external factors still remains unpredictable. You manage to raise the fund, hire the right app development team but at times startup companies forget it’s not just an app. It is the source of getting the business and given equal importance.
On the contrary, at times they do the exact opposite of adding features that are just filling the app without any actual use. These apps are not solving any of the user’s issues but are cluttering the app. This can hamper the growth of the app and cause app failure.
It must be cared like a business focusing on customer approach, analytic, and marketing tactics to prevent failure.
Reasons Why Mobile App is Needed To Grow Your Startup
1) Brand Presence
Digital presence is very important these days. Especially when apps have become the hub to consume information and take actions. Representing your business through an app is very important. You can meet your clients at their convenient platform. So, hire a startup app development company and build your brand.
2) Push Notifications
This is the best way to inform your users about any offers or sales or discounts. This is one of the easiest ways of marketing your business. You can also inform them about any new product launch or about adding a new feature in your iPhone mobile app development.
3) Added Revenue Channel
Having a business from a store or home is quite common. Adding a room of innovation with a mobile app is something to look forward to. A whole new segment of people attracts to your startup with an app. You can make more money than you invested in iPhone mobile app development.
4) Track Users
With the use of mobile apps, you can use heat mapping, data recording, check the bounce rate, and make use of many such functions. You can track which feature of the app is most used and which one is not used. With a mobile app, you can know your user’s likes and dislikes, implement the good things into your app and fuel your startup with success.
5) Target Younger Audience
The younger generation does most of the things online. Order food, book salon services, order laundry, buy products, and every other thing is done online. So, you can drive these customers towards your startup with apps.
If you are on the verge of starting a business, learn about the trending startup industries.
- Business services – 11%
- Restaurant/food industry – 11%
- Beauty/Fitness/Health – 10%
- Retail – 7%
- Home services – 6%
We cannot deny the risk involved in a startup but, the reward is attractive as well. With everything going digital, having a mobile app for your startup is mandatory. It might ask for an investment at the beginning. However, the return is much higher compared to the investment. If you are having trouble with your budget, you can start with MVP (Minimum Viable Product). It includes only the basic features which are extremely necessary for the app. There is always room for updates with time and success though.