With so many startups coming up every day in each corner of the world, competitiveness in the market is rising to its peak.
Businesses are opening and closing on the daily basis, and honestly saying nobody cares!
But, what is the actual reason that only 1% of the startups have been able to create an impact on the consumers’ mind?
How can startup actually take management and marketing lessons from the big players?
Regarding the same, we are today going to discuss the learning startups can attain from a known name in the social media industry; Snapchat.
Whether it’s a subtle change of name from Snapchat to Snap, to the avant-garde release of Snap Lenses, Snapchat has been a live example as a startup, which has taken bold steps in its marketing strategy.
It is this forward thinking ability of Snapchat that has paved its way to becoming the defining social media platform for Generation Z.
In this blog, we are going to learn some of the basic aspects that startups can learn from Snapchat.
Let us first see a brief history of Snapchat.
What is Snapchat?
You all must have heard about it till now.
Snapchat is a mobile app that enables you to send videos and images, both of which get self-destruct post few seconds of a user viewing them.
Started in 2011, Snapchat has been the talk of the social media sector in recent years. Refusing a whopping offer of $3B offer from Facebook, Snapchat’s founder has clearly mentioned that he is not going to go for the short-term gain.
Let us see what we can actually learn from this $18 billion company and how can startups actually plan their own action using this.
Snapchat has been able to cover up the younger generation in an effective and highly efficient manner.
To nobody’s surprise company is actually looking to be listed as an IPO very soon.
The launch of Snapchat Lenses was considered as a dicey move from many marketers.
In our opinion, Snapchat made an extremely smart move by launching Lenses. This insanely smart move had made Snapchat stand ahead of its competitors such as Instagram and Facebook.
By launching the Snapchat Lenses, the company has been able to enter the camera market quite phenomenally.
The camera market, which has been dominated by players such as Cannon and GoPro has got a new competitor now.
So, what is the lesson that all startup should look up to?
Snapchat has shown us all that being a big fish in the small pond is very important to outright the competition.
The company has straight away transformed its marketing strategy instantly by shifting its focus to the camera industry.
It might sound good to say that you are another app in the social media sector, but it is not a winner’s game anyway.
Snapchat has clearly shown that there exists a much more niche audience than social media audience. It has also shown that the spoil of any industry goes directly to the leading players in that space.
Hence, we recommend that as a startup, your exclusive thinking should be avoiding competition and creating a winning zone for yourself.
You don’t have to cover the entire customer pool
We agree that Snapchat Lenses are an innovative idea, yet we think that it will not take off as it is expected.
These Lenses do not have a broader user base. Point is, it is just “another” product, which already exists in the market with their design and high pricing.
This kind of products is not meant for the general populace and has very limited targeted prospects.
You will be surprised to know that this is completely ok.
It is not essential that each product of your company should cater to the entire customer base or even to your whole market.
Snapchat has made it extremely clearly by rendering the retro look and the sizzle reel (that gives a roguish young feel) that has planned to squarely focus on the hipsters and teens only.
Snapchat is just ensuring to make the app extremely firm and hassle free, in order to make it a strong part of their lives.
Likewise, as a startup owner, you should not think about extending each product that fits with your whole customer base.
You should actually try to enable some attributes that cater only to a niche segment of the customer base. Those enthusiastic supporters will even love your product more than ever.
There is an old saying regarding any new business; it is highly important to make a smaller section of people love you for making a bigger crowd to like you.
Often utilized in the context of a general market, the above-mentioned statement fits perfect in the case of snapchat.
It is always better to make a smaller corner of market love you than the whole market sort of like you.
All that is important for a startup is that what sort of value they are providing to the customers; nevertheless what sort of size they contribute to the market.
Previously, it was thought and assumed the Snapchat is giving direct competition to Facebook, Twitter, and allied social media players.
Experts also said that Snapchat has been stealing a huge chunk of the young audience from Facebook.
However, Snapchat by launching the Lenses has proved that it is thinking of future and social media is not their major concern anymore.
The future here we are talking about is AR or augmented or virtual reality.
Their latest Snapchat Lenses are able to record video with 115-degree field of view, which means that one day it could be used to play back Snapchats.
Snapchat is thinking of the future and is merely concerned about what competitors are doing by refusing to compete against Facebook.
Startups are sometimes known for losing their sight of goal and concentrate on what the competitors are doing.
This is a very traditional way of thinking. However, Snapchat has clearly depicted that the most important thing is to make future market instead of being driven by competitor’s strategy.
You may say that Snapchat is no longer a startup; still, there are numerous lessons that can be learned from this business via its transformational way of doing things.
Lessons such as zoning to win, the relevance of building an innovative product to care for you most loyal customers can be learned by today’s startup.
We wish all the best for all the new startups and hopefully, Snapchat’s strategy proves as an inspiration to all of us.