The term startup, startup company is increasingly being heard lately. Moreover, there is already plenty of evidence of success from those who founded this startup.
In Indonesia, let’s say Gojek, Traveloka, Tokopedia, or Bukalapak are quite successful as startups.
Like the startup business in general, the business model is run more to provide services to consumers. Not a product that can be directly enjoyed such as clothing or food. Consumers will use the services of these startup providers to get what they need in their daily lives. Of all the business models that exist today, there are 6 business models for startups that are favorite and worth living. Here’s the explanation.
1. Subscribe
Have you ever heard of the JOOX, Spotify, Netflix or other music streaming services? Yes, it is a subscription application that is used continuously by consumers such as streaming music, movies and so on.
This business model is usually used by those who provide interesting content. Like e-books, digital magazines, music streaming, and films. Consumers will be charged monthly to annual rates to be able to enjoy this service. The tariff is relatively cheaper when compared to buying printed products from the desired magazine.
For streaming music, Spotify also applies a monthly subscription fee for consumers. There is a discount to consumers who pay in full for one year.
An example of a startup in this model is Scoop. This startup provides digital magazines that can only be accessed if consumers pay subscription fees. In addition, there are Label 2.0, Scrooge Strategy and Netflix.
2. On-Demand
An example of a startup in this model is Scoop. This startup provides digital magazines that can only be accessed if consumers pay subscription fees. In addition, there are Label 2.0, Scrooge Strategy and Netflix.
The on-demand business model is now widely used in big cities in Indonesia such as Jakarta, Bandung, Surabaya, Makassar and Denpasar because people in big cities tend to be busier and more technology than small cities. So that almost all residents utilize this application to help their daily activities.
Examples of on-demand services are Grab, GO-JEK, Seekmi and others.
From the start of online transportation services such as Gojek, or Grab that are needed by people in urban areas. To on-demand services that provide household needs such as Ahlijasa, Seekmi, or Beres.
This business model is quite sustainable because of the increasing needs of the community. Costs can be further reduced, because the infrastructure is already available. Startups only need to find ways to develop products.
3. Marketplace
The marketplace has become a business model for startups, including favorites. You simply provide a place to bring together sellers and buyers. In a way, you are an intermediary alias broker in this business model. In general, this business model is divided into two categories. Namely a Business-to-Business (B2B) marketplace that targets fellow entrepreneurs and sells products on a large scale.
The marketplace is a business model where related websites help customers not only facilitate financial transactions but also help merchants to promote their merchandise.
You could say that this business model brings the seller and the buyer together like a traditional market, the difference here is that the buyer does not incur transportation costs, but is replaced with shipping costs, but the buyer cannot see the goods directly so the buyer cannot check the quality of the goods directly.
Then there is the Business-to-Consumer (C2C) or Business-to-Consumer (B2C) marketplace that gives producers or sellers the opportunity to meet directly with buyers.
Examples are Tokopedia and Bukalapak.
4. E-Commerce
This business model looks very old-school. The pattern has been applied since the era of the internet in human life. Sellers will immediately benefit from the products they sell on their site to the public. However, this model is still carried out by a number of startups even though it is classified as heavy. This is mainly done by a number of startups with limited capital, or by producers who want to expand their markets in ways that don’t require a lot of money. When you enjoy it, creativity will usually appear more easily. So that your startup business can develop and survive the increasingly fierce competition.
Before you launch a startup, clearly set a business model that will be the core (core) in running your online business. Incorrectly determining the business model will affect the sustainability of your online business either because the customer feels that he is not benefiting from the money spent or because there are already many similar products available for free so that the customer is not eligible to buy our service products.
5. Direct Sales
In this online business, you are only tasked with making and producing things that are of interest to the market.For sales and marketing will use the services of others in exchange for a commission from the sale.The condition is indeed similar to reseller or dropshiper. Manufacturers will be helped in marketing their products because they are assisted by these freelancers.With a non-binding work system, casual workers generally work to earn extra income.
6. Customized Items
Creativity is a point that is “sold” by startups on this one. They provide basic products which can then be customized by consumers.Then the startup will provide variations of these basic products which of course have different prices.Items that are usually customized to include frames and photo albums, calendars, or other printed products. Even now T-shirt business is rife with a personal touch.Without having to buy a lot, consumers can get an exclusive design at a relatively affordable price.
The business model for startups is indeed very diverse. From the simple start to the most complicated one. But basically, all startup businesses can run well if you really enjoy doing it.When you enjoy it, creativity will usually appear more easily. So that your startup business can develop and survive the increasingly fierce competition.
Boxme is the premier cross-border e-Commerce fulfillment network in Southeast Asia, enabling world-wide merchants to sell online into this region without needing to establish a local presence. We deliver our services by aggregating and operating a one-stop value chain of logistic professions including: International shipping, customs clearance, warehousing, connection to local marketplaces, pick and pack, last-mile delivery, local payment collection and oversea remittance.