When it comes to business, it’s survival of the fittest. According to the Small Business Administration (SBA), more than 75% of startups last a year. The percentage, however, falls sharply after that.
By the time the fifth year rolls in, about half of them survive. By the tenth year, only one in three can celebrate the decade. Unlike in science, natural selection doesn’t work here. It’s a matter of knowing which factors can increase the likelihood of success. Here are five must-haves for any startup:
1. Different Payment Options
Customers these days can choose among the different payment options, but three of them are famous. These are cash, debit card, and credit card.
The preferred choice by the majority depends on where they plan to use it. The U.S. Consumer Payment Study showed most people utilize their credit cards in department stores. They then grab their debit cards when they’re shopping in the supermarket and discount shops. Cash is the way to go if they’re in the coffee shops and fast food restaurants.
Startups, therefore, can benefit from offering at least these three payment options. For those having a hard time getting an okay from a financial institution, they can consider a credit card processing service.
2. Premium or Sustainable Packaging
The saying “Don’t judge the book by its cover” might not hold true for shoppers. A 2018 study showed that over 70% of consumers believe packaging can influence their purchasing decision.
That’s not all! They can be selective of the type of material used for the packaging. About 68% will go for boxes made of cardboard or paper instead of plastic. These materials also tend to give the illusion of premium, at least for 63% of the consumers.
3. Efficient and Flexible Shipping Options
The popularity of Amazon and on-demand delivery services now made it imperative to have flexible and efficient shipping choices for the buyers.
A 2016 Temando report revealed that not less than 77% of the consumers liked to have after-hours or guaranteed weekend shipping. Over 40%, meanwhile, were willing to spend more for faster delivery time.
Granted, many shipping options can make the operations difficult for any startup, but you have ways to manage the logistics. One, you can pass on the cost of faster shipping to the consumers. Second, you can distribute your goods to many fulfillment centers. Lastly, you strive your best to meet the delivery time. After all, 53% of online shoppers still opt for regular shipping, according to Statista data in 2018.
4. A Mobile-optimized Website
Any business that wants to capture their target audience quickly needs to have a website, but these days, the traditional ones won’t do. You also need one that can run well on mobile.
Analytics from Google between June and September 2017 showed around 40% of transactions occurred using mobile devices. The company also shared that close to 75% of mobile shoppers will switch to another website that’s easier to use.
To win in the business, you need to have grit, foresight, and passion. You also need to have a growing team behind you. These are not enough, though. You need these must-haves to help set you apart from your competition.