One of the things I really love about this gig is I get to see all the awesome ideas that are about to become a reality, and with that goes hand in hand with meeting great people – likeminded individuals that are always striving to achieve their dream. Unfortunately I also get to see that sometimes lot’s of people share the same dream – like EXACTLY the same dream. For most of the people sharing the same dream, it is the ones who enter the market first that capture it and make the headlines.
I thought that I would share with you 3 of the areas I think people should be avoiding in the startup space right now, I have based this on the sheer number of press releases I have been receiving from people over the past few months. If you are starting up a business in these areas though and are truly passionate about it – feel free to tell me to go jump …
1. Group Buying
I honestly don’t know how many more niche versions of group buying we can try and force upon the world, seriously. The guys that did it first, did it well – they rode the wave, captured the base and pretty much blocked out anyone else from gaining the critical mass needed to sustain an operation like this for a long period of time. I think there are still some developments to happen in B2B Group Buying before it reaches it’s full potential – but I definitely think anyone about to enter is walking into a crowded room.
Yes they are nice, yes they may smell good and yes it is a VERY crowded space. I can see that it may be a fun side project and you may be able to sell them into a few small gift shops around the joint and make some quick cash, but it is getting to a point where there are more people out there manufacturing candles than there are small businesses to sell them. I have lost count of how many people contact me to tell me about their new soy, lentil scented creations – good on you for starting something, but it’s no longer innovative.
3. Photography Applications
Unless you are doing something new and cutting edge that isn’t seen in current web based or smartphone based apps like Instagram or Camera + etc at the moment, it is not going to be a profitable space to get yourself into. People that do enter this space will need to blow these social based photo apps out of the water to gain any traction and so far all those that have launched anything in the last 6 months have never been heard of. Though if you look at what Auto -Tune is doing to Video applications at the moment and can really tap into that different offering, you may get some interest – if you want to make money though -it’s a no go.
Agree? Disagree? Shut up Mathew? Let us Know!