Are you planning to start your blockchain-powered businesses? Well, with blockchain creating ripples in every industry out there, it is obvious to get tempted to jump into the bandwagon. However, there are many floating delusions around this nascent technology. And as an entrepreneur, you must know the nitty-gritty of the blockchain before taking the plunge. Also, it is further essential to have a clear idea because a single mistake can doom your business before it surfaces. But if you are still clueless about what it really takes to build a blockchain company from the ground up, pick on these few points.
Focus On Solving a More Micro-Issue
First, look for the common pain points and see how blockchain can solve the issues. Don’t try to solve a problem that doesn’t exist. Instead, make sure there are enough people out there craving for your solution. Also, don’t aim too high to solve large-scale issues. For instance, the education sector needs many fixes. But you can’t solve all of education’s problems with blockchain. It may fix one or two issues so focus on that one issue instead of spinning your wheels trying to solve it all.
Finally, make sure if blockchain technology is the right solution for the issue. Many companies throw blockchain at any problem, and they end up spending a lot of time and money and ultimately frustrating their customers. This doesn’t mean they didn’t have the knowledge of blockchain, it’s just that they used blockchain for a use case for which it was ill-fitted. So, while starting a blockchain technology business, focus on a more micro-issue rather than having a lofty goal.
Look For Better Funding Option
Once you have a great business idea that you think your target customers will love, you will need funds to move your vision forward. Raising funds is a common pain in the neck for beginning entrepreneurs and traditional venture capital is extremely tough to get. This is where blockchain technology’s initial coin offerings (ICOs) can help. ICO is a way for aspiring entrepreneurs to democratize startup funding. Here you can raise funds from individual investors. All you need to do is just pitch your idea, set up the blockchain for your new token and get seed capital to fund your new venture.
Generate Revenue from the Alpha Stage
You should be generating revenue even in your alpha stage. You don’t need to wait till you have a perfect product. In fact, you can start by charging minor fees to platform users. Once revenue starts rolling in, it will keep your project moving forward at a sound pace. Meanwhile, you can also get ideas and suggestions from loyal users to improve your product. But remember having just large initial revenue doesn’t guarantee continued success. Your blockchain startup is more likely to succeed if you earn more users. So, also invest in attracting new customers.
Run Your Ads with Crypto
Next comes the challenging part—promoting your business. In this attention-grabbing era, marketing a business is just as challenging as running it. Bombarding customers with tons of newsletters, countless numbers of ads, how-to guides and coupons is hardly going to work if you don’t have any idea of what your customers exactly want. A study from Dun & Bradstreet reveals that 4 percent of marketers are clueless about their customer preference. Using crypto to run ads will help you target key customers with messages that resonate with them. Having a great level of tracking and transparency, blockchain can enable you to collect more accurate user data. Altogether, crypto can offer an optimal frequency of ad display for each customer.
Final Words Plunging into the blockchain technology business is actually easier than a lot of people think. Although there may be no magical strategy to build a successful blockchain company, understanding the potential blockchain has to offer is the key. When you have the right mindset and strategy in place, success is not so far. Keep the above key points in mind and kick start your blockchain business to reap the potentially huge profits.