Start writing business plan. Ugh! I hate these things. I’ll come back to this. File articles of incorporation with state. Wait.
Just because every business has an app, doesn’t mean that every app is a business. Think of more than one single way to monetize the app (no, advertising doesn’t count). If you can’t think of it and it doesn’t exist, it’s not a business.
Conduct more research now that the app is done, since it took so long it’s all out of date now. ARRGGGH! Why is it so darn hard to find any information?
Where is my assistant when you need her? Oh yeah, I let her go. What numbskull does that? K. I’ll have to do it myself. Search. Search. Search. S-e-a-r-r-r-c-h.
Search terms:
- “how big is x industry?”
- “how many people use x services?”
- “how much money does x make in a year?”
- “how many units of x are in the US?”
- “how many people are registered to x in 2016”
This is dragging! And I can’t find any… hold up. What’s this? I found it! Saints be praised! I finally found some great websites full of stats and whatever else my little heart desires to know about this industry.
No competition! Whew! First into the marketplace. I’m gonna be first – Oh snap! ten pages into Google and I find them. Only three, thank God!
Anyway, back to stats. Okay, nearly all stats for this industry are grossly outdated. Hmmm… how to come up with a number… Cowboy math it is!
If there are 222m registered people, and they spend $1300/person per year. Double-check. Triple-check. Quadruple-check. Hmmm. This website claims it’s only $9.5bn. And their chart on the same page says it’s $10.633bn.
Something’s not right. Go do something else. Keep doing it. Maybe, it’s apples and oranges. Keep doing something else.
Quintuple-check. Check apples and oranges. High probability, but no guarantees without paying $900 for their full report. Not paying $900. Every other source I’m finding validates my calculations. I’m satisfied.
Calculate Target Available Market (TAM) using data acquired and rigorously validated. Calculate Service Available Market (SAM) using all data and calculations made so far. I am only launching in four major cities at first, so the TAM is not a realistic number for me to aim for. Dig out data on people using this service in those cities and add them together.
No wonder they get upset on Shark Tank whenever someone quotes the enormous size of any industry! It’s not the real number, and by quoting it, it’s clear they have an inexperienced entrepreneur.
Hmmm. App. Entrepreneur. Appreneur. I’m an Appreneur. It’s official. I’m an entrepreneur building a business around an app. Appreneur. I like it.
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