As the new year is knocking at the door it is time to look back at the most impressive success stories among startups. The global IT industry in 2019 is estimated to have a value of $5 trillion and thus shows how competitive the field really is. Beating the competition from major players, smaller IT companies are actually coming in to make big success stories in many tech niches. A successful mobile app development company now primarily caters to such innovative ideas. This is why we are here to pick some of the most promising startups that created history in 2019.
Beginning in 2016 Faire has become successful in bringing in $116 million worth in equity. The idea that this company builds its business is simple. When online retail is booming, it is a company to connect artisans and individual producers with online retailers who will take responsibility for selling their products. The model is a great success because of the growing number of consumers who prefer small vendors and eco-friendly purchases. Faire has been a company to deliver to this audience what they need at the right time.
Although so-called Mom’s Shop like stores no longer can compete on a global scale, Faire comes as an intermediate and viable solution. All that artisans need to do is to apply online and after the Faire team reviews these applications, the on-boarding of approved suppliers begins. The platform generates revenue in the way of commissions. Artisans paying a good 28% commission on each sale and brands paying a 25% commission for the first sale that subsequently drops to 15% make good revenue for the platform while creating a win-win situation for all stakeholders.
As for managing risks for wholesalers, Faire provides a free return for products within 60 days that fail to sell. With the use of this model, the company already has grown exponentially and has been able to supply 5,000 brands across 35,000 stores.
Swiggy beginning it’s food delivery startup from Bengaluru’s Koramangala neighborhood in 2014 grown from covering 25 partner restaurants with 6 delivery persons. Now it has emerged as the leading food delivery service providing a comprehensive food ordering and delivery solution presenting a wide range of restaurants for the urban population across Indian cities. Having more than 2.1 lakh active delivery partners who cater to 1.4 Mn food orders per day, SWIGGY emerged as the leading food ordering app solution in India.
Last October, it fulfilled its vision of launching operations across 500 cities and it has plans to extend its service up to 600 cities by the end of this year. Recently it received big funding from Naspers and Tencent Holdings amounting to $1 Bn.
Flipkart founded by Sachin and Binny Bansal way back in 2008 with a miserly sum of $6,000 as initial investment become one of the leading eCommerce brands in India. It is now worth a whopping $20 Bn in valuation. Flipkart after creating too many milestones in these ten years of operation received $16Bn investment by global retail giant Walmart which became the world’s largest eCommerce deal.
The company also made promising growth with its online payment solution PhonePe. Now, Flipkart is also diversifying its business by launching Flipkart Videos and coming into food retail with Flipkart FarmerMart.
Patreon was established with a unique concept by musicians Jack Conte and Sam Yam way back in 2013. It only rose to fame in 2016. Starting from the start, the company raised $166 million equity investment and garnered an estimated revenue of $35 million, as per data received up to 2018. Bringing in an innovative idea, the company actually flourished by patronizing arts in the modern age. Since internet-based content and their creators have already given birth to a great industry that even outsmarted film and television have been the main source of inspiration behind this concept.
By focusing on a new and innovative kind of media distribution, Patreon has also given birth to a crowd-sourcing method for generating income involving social media personalities and content creators. Patrons taking part in the process of patronizing content can pledge monthly amounts to content creators they like, and on the other hand, content creators can build tiers to reward pledgers of higher value with perks that may include the paid content.
The content creator is paid based on their respective fanbase and following. By taking advantage of this model many top content creators earn thousands of dollars in profit every month while most earn way below $100 every month. Patron as a platform earns from taking a commission from the monthly pledges and it ranges between 5% to 8% based on the service package.
ODEM starting its journey in 2017 had the vision of revolutionizing online education by utilizing the Ethereum blockchain technology. The company has raised $2.8 million in equity value already earned an estimated $1 million up to 2018. The company responsible for the first ‘On-Demand Education Marketplace’ of its kind works basically as a decentralized education and learning space accommodating students, educators, and service providers for delivering a custom educational experience.
The platform by using artificial intelligence and the Ethereum Blockchain smart contracts is able to organize groups all around the globe with little cost to the students. Asa platform addresses the lack of attention to individual learners common in traditional education systems. The platform known for providing intermediary-less live connections between learners and teachers creates a direct model where everything is taken care of as per need and without intermediaries.
The platform earns revenue through a program called Program Revenue Sharing (PRS) framework that can distribute funds to ODEM platform partners automatically as per the technical whitepaper published by the company. By embracing disruptive blockchain technology as one of the first adopters, the company provided an innovative platform for learners and educators.
All these innovative and successful startups have few things in common. They have a unique core idea validated by target audience and demands and a very impressive business model powered by modern technology. They are designed and developed to excel.