Aspiring entrepreneurs frequently approach me being an angel investor, touting their revolutionary concept for still another online site that is dating. We agree the necessity is offered, with more than 91 million singles that are interested the chronilogical age of 19 and 45 throughout the world. Yet very little one in e-commerce makes anything, because it is sold with a more substantial listing of challenges than almost every other possibilities we see.
Hence, we encourage one to evaluate these challenges as truth checks on your own company concept -- dating or else -- before spending all your valuable some time somebody money that is else’s vain.
1. The marketplace has already been oversaturated with rivals.
In accordance with data, there are many more than 5,000 sites that are dating with 1,000 new ones showing up each year. I suggest you look for another opportunity where the number of competitors you can find is less than 10 if you check your market on Google and find numbers like these.
2. This company is suffering from the 'Facebook model' startup issue.
Numerous work at home opportunities, like this 1, require thousands or an incredible number of current users before brand brand new users and advertisers have an interest to cover real cash. Therefore, the investment in money and time needed before payback is huge. Facebook invested $150 million before good cashflow.
3. Obstacles to entry are hard to establish
For an innovative new startup, the easiest way to make sure survival would be to register patents or other intellectual home to help keep future rivals from copying your success. Dating just isn't a process that is highly scientific plus the first-mover benefit had been taken. Look at this challenge for the most readily useful concept.
4. Separation from current major companies is tiny.
The truth is, dating is a type of social network, so Facebook could effortlessly improve their services in this way, in the event that market traction of other people had been obvious. Read more