3 Innovative Startups (and Lessons You Can Glean from Them)
While there are many startups out there, only a small fraction of them will succeed. Startups, by their very nature, start off small but can grow quickly. Some grow faster than others, and it’s those that we need to learn from. Here we’ll look at a few of the hottest startups happening right now, and what you need to copy from them.
1. Retention Science
We’ve long been looking for that silver bullet that would help us keep customers longer. Retention Science has found the magic formula in data. It helps companies like Honest Company improve customer retention by tailoring promotions based on the customer data it receives.
The fact that the company has been put on lists like Top 10 Coolest Big Data Startups, Fast Company Innovation Agent, and Entrepreneur Top 100 Brilliant Companies—as well as the fact that the company has received $9.5 million in funding from investors—is making the industry stand up and take notice.
The Lesson You Should Take: Retention Science has succeeded where others have failed because it solved a problem (assessing and improving customer retention) and solved it well. The company has spent a lot of money and time to come up with the right analytics that would actually get results, and the fact that top retailers are hiring Retention Science is a testiment to that.
2. Warby Parker
Though online glasses retailer Warby Parker has all but grown out of its startup diapers, the company is still agile like a startup. Selling glasses online isn’t unique by any means, but the company’s approach—a company currently valued at $1.2 billion—sets it apart.
Warby Parker learned early on what makes glasses wearers tick. They buy glasses locally because they want to see how they look in glasses before making a purchase. To fix that issue with its e-commerce, Warby Parker sends customers five of their favorite options from its online store to try on. That way, customers can get feedback from friends and choose the pair they like best.
The Lesson You Should Take: Breaking the mold—in this case, the way glasses are purchased—doesn’t have to be more complicated than the original method. Warby Parker took a fairly simple transaction (buying glasses online) and made it even simpler, while still offering customers options.
3. Slack
We all hate it when email floods our inbox, so Slack decided to do something about it. This collaborative messaging platform is changing how businesses use email and messaging. Within 24 hours of launching, the company had 8,000 companies signed up. Now there are 360,000 users each day, and brands like Walmart and Blue Bottle Coffee rely on it.
The Lesson You Should Take: Slack solved a problem people didn’t realize there was a solution for, then educated the market on how it could fix that problem. Sure, we all get frustrated with our email, but who would have known there was an alternative?
Every company has some secret sauce that we can learn from. Pay attention to companies in the news, and see what resonates with you. Do you like that a company like Zappos heavily stresses customer service? Find ways to amp up your own efforts in that department. Do you admire the fresh approach to products at Starbucks? Consider testing a few new items on your own menu. Inspiration in business can come from just about everywhere, so make sure you’re paying attention.
