2016 is already promising to be a big year for business and entrepreneurship and seems as though it’s going to get bigger and bigger as time passes. There is a massive influx of new technologies and ideas from across the world and entrepreneurs are jumping at the chance to make their ideas a reality as venture capital funds and angel investors look to support the best and brightest, for a healthy return of course. Here are three trends that will influence entrepreneurship to keep an eye on in this coming year.
- “Unsexy” businesses will rise to the top: While there is definitely a certain allure to being an entrepreneur and it’s seen as a “sexy”, albeit risky, profession, the fact of the matter is that “sexy” doesn’t necessarily mean successful. The truth is that businesses deemed “unsexy” actually have the highest chance of succeeding and as more and more entrepreneurs realize this, there will be more and more of these companies starting and joining the global economy. Expect to see fewer social media and e-commerce websites and more sites dealing with B2B, compliance, and other industries that have been resistant to change.
- Early and constant focus on revenue: Getting funding is all well and good but any money you receive, along with the good will and trust that comes with said money, will dry up quickly if you can’t make a profit sooner rather than later. For any startup relying on VC funding to make it, you need to prove time and time again that your business model is scalable and you’re constantly keeping your eye on the prize that is revenue and profit. Too many companies see fundraising as a sign of success and it isn’t — it’s simply a sign that you’re on the right path to success. Even when the funds are secured, don’t lose sight of the finish line, a self-sustaining and profitable business that can grow with demand and as times change.
- Quality products and sales tactics: As technology progresses, the products being offered are going to simply increase in quality and ingenuity. To match the quality of the products being sold, sales tactics and technology is going to increase as well, making for a powerful duo of sales and product going hand-in-hand and supporting each other. No longer will entrepreneurs be able to rely on a good idea and a strong brand. Everything needs to be backed up by something tangible and there needs to be a feedback system for improving the products being sold. As more and more quality products and companies exist, consumers will become more and more discerning with who gets their money.
These are just three trends to watch for in what promises to be an exciting year for entrepreneurs and new businesses. If you’d like to read more, the link is here.
