Why Startup Apps Fail: The Market Need for App Ideas

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Why Startup Apps Fail: The Market Need for App Ideas



The sad truth is that most startup businesses and startup apps fail.  Startups need a proper budget plan and a firm understanding of their market need in order to succeed.  Time after time startups launch and grow, but fade out due to poor planning and running out of funds.  Marketing agencies with connections to VC (Venture Capital) firms can aid in keeping a startup business or app a float in their given market.  

Major Mistakes In Startups and Startup Apps

About 90% of startup firms don’t make it, and for apps, only about 1 out of 10,000 really succeed.  There are few key reasons as to why these businesses and apps start up and fail so quickly. The top reason for such a high percentage of startups failing is because they run out of money.  Heavy budget planning is the only way to avoid this, but other factors can influence the outcome of how a business will do. 

Other major problems startups would face include not doing enough market research and not knowing enough about their product.  Businesses can fall victim to creating a good or service and advertise it to the wrong market.  Know your app’s/business’s demographic and how you will reach them. This should go without being said, but you have to be an expert on what you are trying to sell. 

Research the Market Need of an App

Why do startup apps fail? Well, in reality most apps fall short of their goals when hitting the market, but this doesn’t mean all is lost.  There are ways to have your app thrive on the app market and it all starts with researching. You need to know everything that revolves around your app; its target audience, its goal purpose, and how it will fulfill its goal. According to Business Of Apps, apps lose about 77% of their users just three days after installation; showing that user retention is difficult to sustain. 

Your app must have a definitive market need and fulfill that need in the most efficient way as possible.  Apps fail constantly because they either don’t perform well, make it too difficult to carry out its purpose, or never reach its users.  Extensive market research is required in order to avoid these major reasons for an app’s failure on the market.  

App Development and User Feedback 

Like said before, your app has to be ready before it hits the market.  Bugs, flaws, and subtle problems can turn off users from your app very early on.  Your number one priority when developing an app should be user experience.  Make the app easy to use and don’t over complicate it with features it doesn’t need.  Find a balance between its core features and its complementary ones, making the app’s purpose as efficient as possible. Don’t look to add features for the sake of adding them; if it doesn’t add value, scrap it. Best way to know what’s wrong with your app is to listen to user feedback and adjust your app accordingly; user retention is a priority.  

Importance of App Marketing Before App Launch 

The average price to develop, build and launch an app is around $270,000, putting a lot of weight on the app being able to perform on the market.  Advertising your app strategically is the determining factor in whether your app will survive on the marketplace.  Steps to carefully consider when beginning your app’s launch would be to find the correct market (it may even be in a foreign country), advertise on the right platforms (Facebook, Google Ads, Apple App Store), study data and allow it to determine the direction of your ads, and seek out help from experienced marketing agencies if you can.

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