India has swiftly risen up as the most promising Internet market in the world. It has been drawing a global venture capital of over $20 million from all around the world, the star attraction being the Silicon Valley. India has clinched the title of the third hottest start-up nation in the world and has witnessed the establishment of over 4,000 start ups with bigshots like Google, Facebook and WhatsApp willing to take a bigger bet on the Indian market.
With so much growth, one might think that India might be receiving billions of initial public offerings and an exuberant exit system. But yet, we are not.
Because slowly as you look at the current start up scenario, you will notice that the picture has turned quite dark and bleak. Slowly and one by one start-ups have quietly disappeared into the night without much to be said for itself or the countless jobless personals like techies, sales people, couriers and co-ordinators.
One of the attributes to this downfall might have been due to ‘hitting a glass ceiling,’ where what appeared to be the pinnacle of current e-commerce players also indicated that that was the beginning of their stagnation. Their customer base would grow no more. And this realization was not at all welcomed. The other attribute might have been due the ‘one market concept.’ More often than not, almost all start-ups compare themselves to the likes of Google, Facebook and WhatsApp, thinking they will be the next big thing. But that’s not the case. All three of those work on a whole other set of dynamics where their customer base does not determine their success, it’s the advertisers who are their true customers.
But there’s hope!
The first will be to bridge the gap between the various consumer markets within India itself. Providing what they need, how they need in a way that is acceptable to each consumer base.
The second is to create a new market, start-ups should not go by what is accepted but rather by what is needed. They need to understand that when you create something that is needed which also happens to be affordable, failure is no longer a dominant probability.
The last technique is to inform, empower and entertain. Here instead of creating start-ups that concentrate on particular main-stream consumer base, concentrate on the numerous others that could benefit from start-ups of a whole other kind. For example like agriculture based or learn from brands like Patanjali.