Naturally, there are many markets that tech startup businesses can explore and profit from. In this particular blog post, we will spotlight the five specific top markets for tech startups to look into today.
With the advent of technology, digital transformation is taking over many different industries, perhaps even already taken over. Technologies like artificial intelligence, machine learning, the Internet of Things, and the like are disrupting procedural norms. These trends present various opportunities for entrepreneurs to probe.
However, each market has its unique set of challenges and opportunities. So, it is important for tech startups to understand the dynamics of each market before entering it.
Top Markets for Tech Startups
One might think that tech is only present in the software engineering or IT industries. But today, tech-based products and services flock to different fields. For this listicle, we will outline the top tech markets that tech startups can profit from.
The first market we will discuss is the healthcare industry. The healthcare industry is a multibillion-dollar industry, and it is only growing. Healthcare spending is expected to grow over the next decade as it is the largest and fastest-growing industry in the US and globally. This presents a huge opportunity for tech startups to develop innovative solutions that can help improve the quality of care and reduce costs.
One way tech startups can approach the healthcare market is by developing health IT solutions. Health IT refers to the use of information technology in the healthcare sector. There are many different applications for health IT, such as:
- electronic health records
- patient portals
- disease management systems
- check-up/appointment schedulers
- online consultations
- monitoring vitals, and more
Tech startups that develop these kinds of solutions can help improve the efficiency of healthcare providers and make it easier for patients to access their records and get the care they need.
Moreover, cutting-edge technology, such as image processing and artificial intelligence, is making some breakthroughs in the field of medicine. These technologies mobilize most modern-day apparatuses and equipment that clinics and medical professionals use.
Another market that tech startups can explore is the education market. The education market is huge, with projected revenue of $1.72 billion for 2022. And it is, of course, expected to grow in the coming years.
With the increasing costs of college tuition, many families are looking for alternatives to traditional schools. This presents an opportunity for tech startups to develop innovative solutions that can help make education more affordable and accessible.
One way tech startups can approach the education sector is by developing online learning platforms. Online learning platforms provide a convenient and cost-effective way for students to access course material and get the education they need. These platforms can also be used by teachers to deliver instruction and track student progress.
Sales and Retail
The next market to focus on is the eCommerce sales and retail industry. The retail industry is a trillion-dollar industry. Currently, there is a changing landscape in terms of consumer behavior impacted by the limitations at the peak of the pandemic. The pandemic has forced businesses in the industry to provide online access to their consumers.
In the present situation, there is an opportunity for tech startups to develop innovative solutions that can help make shopping more convenient and enjoyable for consumers. US online retail sales alone are expected to reach $1.6 trillion by 2027.
One way tech startups can approach the retail market is by developing mobile applications. Mobile applications can provide a convenient way for consumers to browse and purchase items from their favorite stores. These apps can also offer features such as coupons and loyalty programs, which can help increase customer loyalty and sales.
The fourth market that tech startups can penetrate is the automotive industry. The automotive industry is recovering from a dip in 2020. The global market rate of the industry last year was $2.86T, and it is expected to grow to $2.95T by the end of 2022.
With sure growth, tech startups can develop innovative solutions that can help make driving more convenient and safer. One way tech startups can approach the automotive market is by developing more advanced technology behind self-driving cars.
Self-driving cars are a type of vehicle that uses sensors and software to navigate without the need for a human driver. These vehicles have the potential to revolutionize the automotive industry and make driving safer and more efficient.
Food and Beverage
Finally, one of the top markets for tech startups is the food and beverage industry. It is a trillion-dollar industry expected to grow at a 9.7% rate, from $5.8T in 2021 to $6.4T by the end of 2022. This growth in the industry demands technology that can help make food and beverage production more efficient and sustainable. So, this is a great market for tech startups to explore in some fashion.
To approach the food and beverage market, tech startups can look into the supply chain of food products. One example would be vertical farming systems. Vertical farming is an agricultural model where crops are grown in vertically stacked layers in a controlled environment. This type of farming can be used to produce food with less water and land, which makes it more sustainable than traditional methods of food production.
In controlled environments, the role of technology is to monitor the elements that impact the health of the produce. Image processing, IoT, and AI are helpful technologies that tech startups can develop in this area.
Find the Market for Your Startup Today
These are just a few of the markets that tech startups can explore and profit from. In this blog post, we have only scratched the surface. There are many other markets out there with vast potential for tech startups.
So, we encourage you to do your own research and find the markets that are right for you and your business. It will also help if you explore a market that is already close to your heart or expertise. With the right market insights, you can take your startup to new heights!
Build Your Software Development Team with Us
Regardless of the path you choose, it always helps to have an excellent team to develop your software project. And that is what Full Scale is here for.
We are an Inc. 5000-listed company recognized as the 878th fastest-growing company in America. Based in Kansas, we provide tech services through our offshore arm in the Philippines.
Our team follows a meticulous recruitment process that filters the best software professionals in the market today. We have surpassed more than 2 MILLION HOURS of client services through our years of working with clients in different industries.
Also, if you’re looking for more startup advice, tune in to Startup Hustle — a podcast for entrepreneurs by entrepreneurs. We talk about the ever-changing landscape of technology in multiple markets and industries. So, ready to work with our dedicated industry experts?