One of the first questions you ask yourself while starting a business is, Does my company fulfill an actual market need? Success as an entrepreneur requires bringing solutions to the market, and too many startups today are just solutions in search of a problem.
The industry which your startup defines is also an important aspect to check while starting a business. To help you with this, we’ve compiled a list of the top 7 industries that show the most promise for startups in 2020. With the right combination of determination, passion, and creativity, your profitable business is just around the corner.
1. Food and Beverage Industry
Food as they as is a necessity. And with the world literally running on their toes, food has become their primary surviving point. In today’s strong economy, more people save time by turning to delivery services, fast-casual dining, and full-service restaurants, making it a great time to break into the food and restaurant industry.
You can open a cafe, restaurant, food truck, or a cart at a corner to serve your customers with fantastic food. Depending on your country and food preferred by the people, get into that type of food business.
2. Health and Medical
They say health is wealth. And without a healthy body, there’s not much you can do. With every 3rd person suffering from health issues, the health and medical industry thrives in the market. Here are a few projections made by the healthcare industry -
- Global health care spending is expected to rise at a CAGR of 5 percent between 2019 and 2023
- Medical cost trends have been flat over the past two years, but are expected to increase by 6 percent in 2020
You can leverage these data points and get into the healthcare sector in your country.
3. Technology
It’s no secret that technology has exploded in popularity—establishing itself as the backbone of companies like Apple, Samsung, and JP Morgan. With technology, businesses have instant access to customer data and can conduct meaningful research that keeps them a step ahead of competitors.
Now, how can you get into this industry? Well, differentiating yourself in the tech industry can seem like a daunting task, especially if you compare yourself to a company like Apple. When starting your business—think specialized and targeted. Instead of capturing the entire market with a unique idea, try targeting an underrepresented customer or industry.
4. Cybersecurity
Cybersecurity is an essential element of the digital world. The more time we spend online, the more we’re exposing ourselves to data breaches and violations of our digital privacy. And after the significant opt scandals exposed to the world like Cambridge Analytica, companies and consumers have become more aware of these risks.
This state of affairs creates endless opportunities for entrepreneurs willing to bet on cybersecurity and data protection as a business.
Sure, starting a cybersecurity company is no easy feat. You probably can’t do it 100% online, sitting on your living room couch. But you can start by offering consultancy services to local companies, for example, running tests, updating their systems, and just educating them about cybersecurity best practices. Then, as you grow your team, you’ll be able to cover even more ground.
5. Education
If education is something that you’re particularly passionate about, EdTech – or Educational Technology – may just be the startup industry for you. It’s a lucrative industry, with global investments reaching a staggering 16.3 billion USD in 2018.
Just think how many students and teachers you could help by coming up with a disruptive idea and carrying it through. We need so many new solutions for integrating learning with our digital lives, automating processes, making learning more accessible worldwide via online courses and training, and so on.
6. Travel and Lodging
It’s safe to say that just about everyone (or someone they know) has thought a good way to retire would be to open a Bed and Breakfast. And as it turns out, it is!
With younger generations looking for out-of-the-box experiences and older generations with more to spend on luxury accommodations, consumers are opting for boutique lodging experiences. IBIS reports this sect of the travel industry has seen almost five percent growth over the last five years and is expected to continue to perform well. Even if becoming the purveyor of a quaint inn isn’t in your future, the travel industry has room for growth and innovation in technology, food, and wellness.
7. E-Commerce
E-commerce is one of the fastest-growing industries in the world. In 2019, global e-commerce sales amounted to 3.53 trillion USD, and this number is forecasted to nearly double by 2022.
Thanks to e-commerce giants like Amazon, consumers have got used to the convenience of online shopping. All it takes is a click or a tap, and you can get anything delivered in days and sometimes minutes. As the trust towards online retailers and digital transactions grows, it’s becoming harder to find someone who’s never bought anything online.
There’s no denying that the global e-commerce market is super competitive. Don’t even try to outrun the big guys – find a niche to specialize in! If you nail the product-market fit, you’ll be on the right track to building an e-commerce empire.
We these and many such growing industries worldwide, it’s hardly challenging to choose your niche and start a business. Even so, if you need any help, we can assist you.
Get in touch with Commitbiz for all your company incorporation related issues.
