Many times, we hear friends, family members or colleagues asking about the right kind of business to invest in. Recognizing a good business opportunity doesn’t necessarily require talent or a special skill set. It all comes down to scanning your surroundings to find a gap that you can then plug in and turn into a successful business.
Let’s have a look at approaches you can use to identify a business opportunity
Turning your talent, skill or passion into a business
Are you good at something? Cooking? Website design? Taking care of young children? Do you like to write? You are sitting on a business opportunity! With your passion, you can start and grow a business to its full capacity. Of course, you will require some capital and a well laid out plan to make it work. Look at Churchill Show, a business idea born of a passion to make people laugh! Quite possible, don’t you think?
Addressing an existing gap or need
It is a hot day and you feel like grabbing a cold blended juice. But wait! The guy who sells it just closed shop! Now thirsty and no juice? There is an opportunity for you. Take a walk to think about that thing you, your friend or your family wants but are unable to get because either it hasn’t been brought to your neighborhood or it runs out before you even get a hold of it. Do some research, talk directly to the target market. After all, the best way to see if people are going to be interested in your business is to ask them.
Providing a solution to an existing pain-point
Some of the best businesses were created out of the frustrations of the entrepreneurs while seeking a given product or service. Let’s use the case of Uber which came in at a time when you had to get taxis from designated parts of town and thereafter haggle over the pricing for the ride. Uber brought convenience to both taxi drivers and the clientele. Today, from the comfort of your office or home, you can easily hail a cab, even estimating the cost of the ride beforehand. Amazing!
Improving on an existing idea
Inventing a completely new product is no easy feat. However, with the addition of an extra feature to an existing idea, you can turn it into a more competitive product that addresses the need of your target market. Let’s say you specialize in developing house locks. Adding extra features to your lock, for example, to include an alarm and notification of the nearest security company makes it stand out from all other locks in the market. Whereas the lock, in this case, is not a new product, the additional features makes it a lucrative business venture.
Whereas there’s numerous ways through which one can come up with a business idea, sustaining the idea will depend on the quality of products and services, great customer service and how well the business idea is executed. The right team that goes out of their way to deliver consistently to clients need is also key.
Do you have more tips on how to identify business opportunities? Let us know what has worked for you.