Searching a good Business Model? If yes, here we can help you!
The study has no age limit. And same implies when you have a passion for starting and implementing a business venture. Even records show us that 36% of successful entrepreneurs start their business venture while pursuing their studies only. So, this article presents idea regarding a business model for a young student of various universities and colleges.
A brief introduction with example
Staying fit has actually become a new religion in this second decade of the twenty-first century. And in this smart growing technology, we all have smartphones with smart applications in related to it. And like everyone, I too became a follower of this trend. Yes, I have an application on my phone which can count my calories intake, take care of my diet and nutrition intake and many more. Even it never misses a number of steps I take in a day.
Isn’t it groovy? But it made me a suspicious. In this era, where your hired consultants don’t behave so well with you but then what causes a mobile app to give a pop-up notification to have a glass of water?
There is nothing like conspired occult powers behind this unsolicited advice. It is also not related to some elusive concept. But it’s all just a boom triggered to maintain a good platform with healthy traffic in it. Such application became a personal trainer in our pockets which cost nothing initially.
So everyone can afford it. It acts as a small packet in our pockets which can report us about numerous records such as our activity tracking, calories intake, calories burned and a lot more. But as they attain a good traffic in it, it can be customized with deals and offers on it. For instance, in the case of fitness application apart from giving the user a report of his health and making him conscious about not losing enough calories, it also shows details about health consultants. Elaborating on this, the application asks users if they want to book an appointment with them or buy the health related product.
Further anything relevant to a mainstream business can be added to sales. And in all this mathematics, what an application owner with good traffic earns is a commission from such kind of sales. Or we can say that application owner now becomes an affiliate.
Become an Affiliate!
In a more explained way, we can say, this above-discussed process as affiliate marketing. Affiliate marketing, which has tremendously nailed the online marketing technology and now has attained a firm grip in the online advertising world.
I state this terminology in two lines as:
Have product? Want to sell more? Hire an affiliate.
No product? How to make money? Become an affiliate!
Even in the case of fitness application, the application owner was not some health consultant or a trainer and nor he was serving some social service to make people healthy. He was just an affiliate in between users and professionals, creating a platform with heavy traffic and owing a good amount of profit in his business. In 2014 fitness application market was worth $4 billion which has become $ 26 billion by the end of 2017. And these facts show that such concept can prove out to be a lucrative business model.
Let’s talk about pretty benefits for selling someone else’s product as an affiliate:
- You don’t have to invest the time and money into creating a new product
- You don’t have to deal with customer questions since the product creator takes care of that in most situations.
- You can start earning passive income with right strategies!
Moreover, in all this, you can earn that vast experience to sell your own product or you can say that you can make self-hosted affiliate programs.
What you need to focus on?
But the sad part is not all of these affiliate business has capability to become a gimmick in the digital market. As they are not planned with an effective strategy and their brand slowly became the less searched keyword, which influences churn rate. Or we can say, your customers are no more your customer. Note that this steady increase in churn rate won’t ever alarm to any of business model at once. And you never know what kind of drastic effect it will frame up to be in future. Your audience will gradually start not to believe in you. And a good platform at such a viscose point can’t effort this gradual dwindling. And further, it fourfold in no big period as believing in flaws is a tradition, which humans imbibe so quickly.
It’s all because people are battling in this gold rush market with traditional strategies. They are unwilling to change their mindsets and apply the most important acronym for success that is ADP – Adapt, Develop and Progress.
Why prefer mobile applications?
Every age, every demographic and every country consumed in mobile devices. People at coffee shops, malls etc. all are virtually there. Or we can say every third person is checking out something new. Moreover, it turns out to be most scalable one. We can reach the whole globe with no inventory and least overheads.
Talking about sheer facts about mobile application revenue, it is accounted that worldwide mobile application revenue was 90 billion US dollars by starting of 2017 and which is supposed to reach 189 billion US dollars in 2020. Moreover, we can compare user adaptability toward mobile applications with desktop trend then also mobile apps are stealing the show. The year 2013 witnessed more inclination of users in mobile apps. And further, it is supposed to increase drastically.
All what matter is appropriate strategy and approach towards an appropriate model. Assessing market and stepping forward by making business plan will help you to achieve your goals. There are many university entrepreneurial loans as well to help us if your plan actually works out. But for this we need to bring that spirit of student entrepreneur.