This is Part 2 of 2 in our Graduate Startup Series. Part 1 can be found here.
So Part 1 of this post covered why recent college graduates are perfectly poised for success. The time is ripe, Investors like recent college students, you’re mind is fresh with current and up-to-date information. Plus you’re part of the hip market – the coveted 18 to 30 year old demographic.
The top 5 highest valued privately held startups (the so-called Unicorn companies, valued at over $1billion) were all founded by recent college graduates; this includes AirBnB (Joe Gebbia & Brian Chesky) and Uber (Travis Kalanick and Garrett Camp). Heck, even Facebook was founded by a college graduate.
So the funding is there, the time is ripe, but what about some inspiration? What are some markets that are waiting for a newcomer, a newcomer who can make some money? The rest of this post will sketch out a key market for the up and coming entrepreneur, but first, a clarification:
Sometimes ideas strike like a bolt of lightning. Sometimes, like with Travis Kalanick and Garrett Camp, it’s just the cold-driven realization that technology provides new solutions. Something like getting a ride can be as simple as tapping a button. For those ideas, you just need a development partner – and SDI can help. Contact us now to get started.
Social Media Websites and Apps
Social media websites and apps may seem overplayed, but this is still a burgeoning market. Often people get turned off by the idea of going up against Facebook or Twitter; but there’s a simple solution to this: don’t go up against them.
Facebook has a very specific market: the planet earth. They try to t cater to everyone, offering services oriented towards a general public. This isn’t to knock Facebook. Obviously they have an excellent service that satisfies the vast majority of its users. But with its wide net, the network tends to miss the little guys, the small niche networks.
Targeting a smaller niche market doesn’t mean you won’t be successful, or that you won’t make money. Take LinkedIn as an example: they targeted a smaller network (business professionals) and have built a successful social media empire out of it.
The key to a successful social media app or website is to find an underserved market. Maybe you played College Football; that gives you an in with an interested population (for marketing) and subject expertise (for brand imaging). All you need now is the help of an expert development team!
But let’s cut to the chase: why Social Media? First off, social media sites covering subjects you love are fun. Passion is the most crucial element to the success of any startup or enterprise venture. Secondly (and most importantly!) they can make a god awful amount of money.
Social media companies focusing on niche markets provide a tantalizing morsel for retailers and brand builders. One of the hardest parts of selling speciality items or services is researching a market. With niche social media companies, there’s an interested and engaged market, all ready to go. Monetization can happen in 2 fundamental ways:
1. By driving in-app or website purchases for applicable products. In our football example, this can be everything from memorabilia (i.e. jerseys) to equipment (especially for kids, since it won’t be too long before your old buddies all have families!);
2. Marketing for other companies. Say you’re a football training camp for kids, or even for adults looking to have some fun. You probably don’t have the time or the funds to research and organize a whole marketing campaign. But a Social Media website like our example; well that’s a guaranteed market, instantly accessible for not all that much.
So social media, far from being dead, actually represents a burgeoning market waiting for the right disruptive startup. Want to talk more about this (or any other idea!)? Get in touch now! Call at 408.802.2885/408.621.8481 or click to contact us!