Business has so many models and impact goals. It could be a beautiful boutique business that aims to serve niche segments and on the other hand, there’s a scalable business that aims to deliver value to a big market. At Sativa Investments we believe in creating impact through data driven strategy. This article will guide you through identifying scalable business ideas and step by step to make it a reality backed with insight on the Indonesian market.
Understanding Scalability:
Scalability refers to a business’s ability to grow and manage increased demand without compromising operational excellence and promptly, customer satisfaction. A scalable business can expand its operations and increase profits while keeping costs relatively stable. This is an important variable for a start up to attract investors and achieve long-term success.
Key Characteristics of Scalable Business Ideas:
- Digital Products and Services
With increasing internet users in Indonesia, 202 million internet users to be exact, digital products have a superb potential with a projected value of $124bio by 2025. This could be varied from mobile apps, software, to digital arts.
One of the examples is cloud-based Travel Manager, where you create an itinerary & solutions for all travel related needs of the customers: Ticket, hotel/ stay, to Visa application. Business to business (B2B) or Business to Government (B2G) model also could be a potential, the tips here is to pay attention to the new regulations and how your solutions can make the adjustment seamless.
- Subscription-Based Models:
This model provides recurring revenue streams, making it easier to predict and scale revenue. This model can be applied for digital and physical products. One of the examples is subscription box service delivering eco-friendly products to customers monthly, catering business, and fitness class.
- Marketplaces and Platforms:
Indonesia’s e-commerce market still shows promising trend, expected to grow to $82 billion by 2025 . Platforms like Tokopedia and Bukalapak exemplify scalable marketplace models and platforms like Liberty Society which serve B2B market for sustainable gifting option is also a great inspiration to look at.
Creating a platform that connects buyers and sellers, service providers and customers, or other user groups can scale rapidly as the network grows. Example: An online marketplace for sustainable fashion brands connecting eco-conscious consumers with ethical producers.
- Automation and AI:
AI and automation are becoming increasingly important in Indonesia, particularly in sectors like customer service and logistics. Leveraging automation and artificial intelligence can help businesses scale by reducing manual tasks, increasing efficiency, and giving recommendations for a study case. Example: An AI-driven customer support chatbot that can handle thousands of inquiries simultaneously.
- Sustainable and Impact-Focused Ventures:
Businesses that address social and environmental challenges tend to attract more attention and support, which can aid in scaling efforts. Example: A company developing affordable solar-powered home lighting solutions for off-grid communities, other than that, shipping solution with EV like the one Dash Electric serve, also could be an option.
Steps to Develop a Scalable Business Idea:
- Identify a Problem:
Start by identifying a pressing problem that needs solving. The more significant and widespread the problem is, the higher the potential for scalability. Example: Limited access to clean water in developing countries.
- Research the Market:
Conduct thorough market research to understand the needs, preferences, and behaviors of your target audience. This will help you create a product or service that resonates with them. The other way you can do is to look at the competitor and find the gap in their offering.
- Leverage Technology:
Utilize technology to create innovative solutions. Technology enables efficiency, reduces costs, and opens up new avenues for reaching a larger audience. With a high smartphone penetration rate, mobile-based solutions are particularly effective in reaching Indonesian consumers.
- Build a Strong Team:
Assemble a team of skilled and passionate individuals who share your vision. A strong team is essential for executing your idea and scaling your business. Indonesia has a growing pool of tech talent, with many local universities offering strong engineering and IT programs.
- Secure Funding:
Seek funding from investors who believe in your mission and understand the scalability potential of your business. Present a solid business plan and growth strategy to attract investment. The Indonesian startup ecosystem is vibrant, with increasing interest from local and international investors in impact-driven ventures, Like Sativa Investments.
- Focus on Customer Experience:
Deliver exceptional customer experiences to build loyalty and encourage word-of-mouth marketing. Satisfied customers are more likely to recommend your product or service, driving organic growth. Providing excellent customer support and engaging with users to gather feedback and improve your product.
Conclusion:
Scalable business ideas have the potential to transform industries and create lasting impact. At Sativa Investments, we are committed to supporting startups founders who are determined and problem solver. By focusing on scalability, you can position your business for long-term success and make a positive difference in the world.
If you have a scalable business idea that aligns with our mission, we would love to hear from you. Let’s work together to create a brighter, more sustainable future.