Future Outlook: New Dawn for Startup Ecosystem in 2024
In this sea-like business world, startups are aiming to create fresh and new templates using innovative and cutting-edge technologies. Startups are showing the world how a business should look like and business should work to prosper rapidly. They are always charged up by their innovative thought process called iteration in which they continuously improve products through feedback and usage data. Unlike the way people used to do business in past, startups are redefining the ways by constantly improving and updating their products to rapidly expand their customer bases. At the dawn of 2024, startups are energizing themselves with a fresh hope encountering floods of challenges and difficulties. The entrepreneurs are articulating their high expectation and aspirations for the upcoming years and putting vibrant colors in the fresh canvas of this New Year.
According to Sanjeev Bikchandani, a member of National Startup Advisory Council and Co-Founder of Info Edge India Ltd, ‘Top 7 Success Mantras for startups’ are-
1. Importance of leadership and team building in transitioning to newer markets - Being a magnet while creating trust for talent is a key requirement for entrepreneurs.
2. Focus on getting the customer first and solve their problems - Best business ideas come from observing customers. Leverage customer feedback to continuously improve your product and stay competitive.
3. Investor money is not a guarantee of a viable business, but the customer money is.
4. Having a product-market fit and viable economics is crucial for a viable business - survive competition by managing costs well.
5. To scale profitably, a company must discover its repeatable profitable unit.
6. Networking is important for entrepreneurs to establish valuable connections.
7. It's better to raise money when investors come to you rather than actively seeking investment. It is important to under commit and over deliver in business plans.
According to him, 30-40 years back a middle-class family cannot hope to achieve a successful business because, they preferred to have a financial security for future. Very few businesses could affront which had a business background. But now, the scenario has been changed, the business aspirants are getting supports from different pillars like government, investors, and venture capitalists.
Market report by Financial Express says that, startup funding in 2023 has reached a new height and created a milestone. The top gainers in the funding deals are the Fintech and Financial Services companies (123), followed by Retail and E-commerce companies (99) and EdTech companies (84). InCred(fintech startup) is the second unicorn of the year, after e-commerce platform Zepto with a valuation of 1.04 billion dollars.
According to Inc42, altogether 10 Indian startups were listed in the unicorn list of 2023.
Rohit Bansal, Co-founder, Titan Capital has shared his thoughts about recent and upcoming trends for 2024.
•Startups are expanding in diverse industries and a huge number of business sectors like manufacturing, logistics, B2B supply chain, and agriculture are getting recognized.
•The new booming business enthusiasts are exceptionally driven and focused to their work. They are embarking on the new journey with their sharper ability, and perfect knowledge and skill to fit into the market.
•The number of student entrepreneurship is propelling and starting a business has become the mainstream career opportunity for many youngsters. Business schools are backing these innovative and extraordinary talents with proper guidance and funding.
•The buzzword for 2024 is ‘capital efficiency’. In the upcoming days the companies will focus more on smarter resource allocation, leaner operations, and a strategic approach to growth.
“The innovation wave is spreading far and wide” – Rohit Bansal
Upcoming Trends & their Market Demand
E-commerce with Niche Products.jpg)
Though system of e-commerce is old, but after the splash of pandemic it grew to a large extent and got an unprecedented growth. The contemporary e-commerce landscape is incorporating new concepts and ideas in this year. Now-a-days startups use algorithms and machine learning to provide personalized shopping experience. Early-stage startups are leveraging AI and uniquely crafting shopping experiences for each customer. The report of Accenture shows that 91 % of consumers prefer brands offering relevant offers and suggestions. Famous e-commerce startups are Zepto,Purplle, Udaan, and Meesho. Mordor Intelligence report says, the market size of the Indian e-commerce sector is $112.93 billion in 2024 and it will further reach to $299.01 billion by 2029.
Smart Home Solutions & Appliances.jpg)
The word Smart home is a buzzword now like smart phones. Technology became an integral part of every business, and when technology conjoins with interior and architecture it gives birth to a smart home. Innovative technologies like AI-based automation systems, energy-efficient appliances, and security solutions are leveraged to make homes smarter and more efficient. Noida based startup Aliste Technologies has fushioned climate consciousness with luxury. It provides motion sensing devices, smart gate solutions, security devices like CCTV cameras, and touch-enabled switchboards that can be controlled with a mobile application. According to the report of Statista, the smart home appliance market is expected to reach $6.5 billion in 2024, and it will go up till $9.2 billion by 2028.
Personalized Fashion & Styling
Luxurious customization is the key to succeed in the world of fashion and styling. Small startups and business enthusiasts are entering to this fashion industry with new and innovative beauty products and dedicatedly offering personalized fashion recommendations, styling services, or custom-made clothing. In today’s era, in this vast corporate world, your body language, or how you carry yourself anywhere you go is of utmost importance. If your outer beauty persists well, you will feel more confident. These days, people are very much keen about maintaining their body from head to toe. A lot of hair and skin treatments are coming forth which are personalized. Apart from designer clothing studios many startup companies are working in this industry and providing beauty salon, nail art studio, make up studio.
In India, the beauty and wellness market is expected to reach Rs. 2,463.49 billion by 2024, expanding at a CAGR of 18.40 percent during the 2019-2024. Skincraft is a Hyderabad based startup which recommends and create product according to your skin after having an interactive session. Bewakoof is a Mumbai based fashion clothing brand, whose customized printed t-shirts and tops, became the new trend. M2 Zion is a Bangalore based beauty salon startup which provides customized services within budget.
Virtual Event Management.jpg)
Virtual Event, conferences or livestream experiences involves people interacting in an online environment on the web, rather than meeting in a physical location. Popular uses of virtual events include webinars, live streams, virtual trade shows, online classes, online tours and company events. Hybrid events have also become popular in recent years, mixing in-person events with virtual content that can be accessed online. After the deadly destructive pandemic, this kind of virtual events have become very much popular and it is one of the most convenient way to connect from any corner. Virtual event management companies set-up the required environment beforehand with the visuals, navigation and sessions added to the virtual events platform to create the online experience. It became a trend in a very short period because of its cost-effective and time saving nature. Gurgaon based startup ExpoSim is a virtual event management company which arranges virtual, hybrid or metaverse event using a simple-to-use DIY dashboard. The demand of virtual events platforms is expected to reach to $30.6 billion by 2027.
Generative AI-based Solutions.jpg)
Through this new technology Artificial Intelligence is being used to create new content, like text, images, music, audio, and videos. Generative AI can perform multiple out-of-the-box tasks. it can be used in different fields like in business world it empowers customer interactions through personalized chat and interactions, in software industry it explores vast amounts of unstructured data through conversational interfaces and summarizations. Xylem AI is a Bangalore based Generative AI solution startup which delivers instant, accurate, and contextual answers to any query, and offering scalable solution to the workplace search problem. They are using deep learning models of Generative AI and utilizing LLM-powered vectors and personalized embeddings. India is ahead of the US in terms of AI adoption by businesses. Therefore, the market demand of Gen AI in India will grow 15.4x in the next seven years.
Finally, startups are progressing in the business landscape with their sharp knowledge and daunting and ever energetic nature. Embracing digital trends, contributing to sustainability, or catering to niche markets, their key is identifying a unique value proposition and delivering exceptional products or services. Startups are messengers of this new advanced era and commencing Digital Renaissance. Their ever enthusiastic nature and restless zeal will help them to stay attuned with cutting-edge tools, trends and customer demands and help them to proceed in the path of success with a wide bright smile.
According to Sanjeev Bikchandani, a member of National Startup Advisory Council and Co-Founder of Info Edge India Ltd, ‘Top 7 Success Mantras for startups’ are-
1. Importance of leadership and team building in transitioning to newer markets - Being a magnet while creating trust for talent is a key requirement for entrepreneurs.
2. Focus on getting the customer first and solve their problems - Best business ideas come from observing customers. Leverage customer feedback to continuously improve your product and stay competitive.
3. Investor money is not a guarantee of a viable business, but the customer money is.
4. Having a product-market fit and viable economics is crucial for a viable business - survive competition by managing costs well.
5. To scale profitably, a company must discover its repeatable profitable unit.
6. Networking is important for entrepreneurs to establish valuable connections.
7. It's better to raise money when investors come to you rather than actively seeking investment. It is important to under commit and over deliver in business plans.
According to him, 30-40 years back a middle-class family cannot hope to achieve a successful business because, they preferred to have a financial security for future. Very few businesses could affront which had a business background. But now, the scenario has been changed, the business aspirants are getting supports from different pillars like government, investors, and venture capitalists.
Market report by Financial Express says that, startup funding in 2023 has reached a new height and created a milestone. The top gainers in the funding deals are the Fintech and Financial Services companies (123), followed by Retail and E-commerce companies (99) and EdTech companies (84). InCred(fintech startup) is the second unicorn of the year, after e-commerce platform Zepto with a valuation of 1.04 billion dollars.
According to Inc42, altogether 10 Indian startups were listed in the unicorn list of 2023.
Rohit Bansal, Co-founder, Titan Capital has shared his thoughts about recent and upcoming trends for 2024.
•Startups are expanding in diverse industries and a huge number of business sectors like manufacturing, logistics, B2B supply chain, and agriculture are getting recognized.
•The new booming business enthusiasts are exceptionally driven and focused to their work. They are embarking on the new journey with their sharper ability, and perfect knowledge and skill to fit into the market.
•The number of student entrepreneurship is propelling and starting a business has become the mainstream career opportunity for many youngsters. Business schools are backing these innovative and extraordinary talents with proper guidance and funding.
•The buzzword for 2024 is ‘capital efficiency’. In the upcoming days the companies will focus more on smarter resource allocation, leaner operations, and a strategic approach to growth.
“The innovation wave is spreading far and wide” – Rohit Bansal
Upcoming Trends & their Market Demand
E-commerce with Niche Products
Though system of e-commerce is old, but after the splash of pandemic it grew to a large extent and got an unprecedented growth. The contemporary e-commerce landscape is incorporating new concepts and ideas in this year. Now-a-days startups use algorithms and machine learning to provide personalized shopping experience. Early-stage startups are leveraging AI and uniquely crafting shopping experiences for each customer. The report of Accenture shows that 91 % of consumers prefer brands offering relevant offers and suggestions. Famous e-commerce startups are Zepto,Purplle, Udaan, and Meesho. Mordor Intelligence report says, the market size of the Indian e-commerce sector is $112.93 billion in 2024 and it will further reach to $299.01 billion by 2029.
Smart Home Solutions & Appliances
The word Smart home is a buzzword now like smart phones. Technology became an integral part of every business, and when technology conjoins with interior and architecture it gives birth to a smart home. Innovative technologies like AI-based automation systems, energy-efficient appliances, and security solutions are leveraged to make homes smarter and more efficient. Noida based startup Aliste Technologies has fushioned climate consciousness with luxury. It provides motion sensing devices, smart gate solutions, security devices like CCTV cameras, and touch-enabled switchboards that can be controlled with a mobile application. According to the report of Statista, the smart home appliance market is expected to reach $6.5 billion in 2024, and it will go up till $9.2 billion by 2028.
Personalized Fashion & Styling
Luxurious customization is the key to succeed in the world of fashion and styling. Small startups and business enthusiasts are entering to this fashion industry with new and innovative beauty products and dedicatedly offering personalized fashion recommendations, styling services, or custom-made clothing. In today’s era, in this vast corporate world, your body language, or how you carry yourself anywhere you go is of utmost importance. If your outer beauty persists well, you will feel more confident. These days, people are very much keen about maintaining their body from head to toe. A lot of hair and skin treatments are coming forth which are personalized. Apart from designer clothing studios many startup companies are working in this industry and providing beauty salon, nail art studio, make up studio.
In India, the beauty and wellness market is expected to reach Rs. 2,463.49 billion by 2024, expanding at a CAGR of 18.40 percent during the 2019-2024. Skincraft is a Hyderabad based startup which recommends and create product according to your skin after having an interactive session. Bewakoof is a Mumbai based fashion clothing brand, whose customized printed t-shirts and tops, became the new trend. M2 Zion is a Bangalore based beauty salon startup which provides customized services within budget.
Virtual Event Management
Virtual Event, conferences or livestream experiences involves people interacting in an online environment on the web, rather than meeting in a physical location. Popular uses of virtual events include webinars, live streams, virtual trade shows, online classes, online tours and company events. Hybrid events have also become popular in recent years, mixing in-person events with virtual content that can be accessed online. After the deadly destructive pandemic, this kind of virtual events have become very much popular and it is one of the most convenient way to connect from any corner. Virtual event management companies set-up the required environment beforehand with the visuals, navigation and sessions added to the virtual events platform to create the online experience. It became a trend in a very short period because of its cost-effective and time saving nature. Gurgaon based startup ExpoSim is a virtual event management company which arranges virtual, hybrid or metaverse event using a simple-to-use DIY dashboard. The demand of virtual events platforms is expected to reach to $30.6 billion by 2027.
Generative AI-based Solutions
Through this new technology Artificial Intelligence is being used to create new content, like text, images, music, audio, and videos. Generative AI can perform multiple out-of-the-box tasks. it can be used in different fields like in business world it empowers customer interactions through personalized chat and interactions, in software industry it explores vast amounts of unstructured data through conversational interfaces and summarizations. Xylem AI is a Bangalore based Generative AI solution startup which delivers instant, accurate, and contextual answers to any query, and offering scalable solution to the workplace search problem. They are using deep learning models of Generative AI and utilizing LLM-powered vectors and personalized embeddings. India is ahead of the US in terms of AI adoption by businesses. Therefore, the market demand of Gen AI in India will grow 15.4x in the next seven years.
Finally, startups are progressing in the business landscape with their sharp knowledge and daunting and ever energetic nature. Embracing digital trends, contributing to sustainability, or catering to niche markets, their key is identifying a unique value proposition and delivering exceptional products or services. Startups are messengers of this new advanced era and commencing Digital Renaissance. Their ever enthusiastic nature and restless zeal will help them to stay attuned with cutting-edge tools, trends and customer demands and help them to proceed in the path of success with a wide bright smile.
Startup entrepreneurs are carving out new and innovative technologies & pushing the boundaries to revolutionize and customize the way we live in budget.
