Ever wondered why there are so many consumer startups? My guess: It’s because it’s easy to find a “problem” to solve (as we all are consumers). Thing is — a ton of these companies are actually not solving a problem; or the perceived problem isn’t a real problem; or the market is too small… Lots and lots of dragons lie in the land of consumer startups.
“It’s usually so much harder to figure out a problem in the B2B space — which makes it the perfect space for your startup.”
Why not try to solve an enterprise/B2B problem instead? Yes — it’s not quite as sexy and it usually requires more work to figure out the problem space (unless you happen to work in the space already). But the rewards are rich: Companies actually pay for a solution to their problems (and we all know that consumers love to get their stuff for free). Companies are often very helpful in identifying problems and offer guidance on the solution (as they have a huge interest in you solving it for them). Markets tend to be much more transparent and organized (there are official stats and trade organizations). The list goes on and on…
Over the years I have met countless entrepreneurs in the B2B space. Most of the time I have never heard of their companies. And I was always blown away when they talked about the size of the company, their revenues and their market position. They truly are hidden giants.
Why not aspire to become one of them?