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Startup Growth Pattern: Why Most Nigerian/African Startups Fail and Best Solution

Gudtalent Chrisent

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entrepreneur Nigeria

Startup Growth Pattern: Why Most African Startups Fail and Best Solution

Stop the madness and get sane with reality. The name ‘Launching a startup” makes most Nigerian/African entrepreneurs forget their ground and before they know it, they fail and shut down business operation and move to the next thing, leaving their investors in pain.

Even though the concept of running a successful company in Nigeria has been ‘create a great product that solves a pressing need’, the Startup Growth Pattern discussed in this article have been one of the major reasons why most Nigerian startups fail after few years of being in business.

communication skills entrepreneurs should master

The new trend right now is startup raising millions of dollars from seed funding, releasing either App on Play store and Apple store or releasing a web platform and in few months’ time, go into extinction.

Let’s not let history repeat itself during the early days of Web 1.0 (1999 and early 2000s) where many people rushed into starting an internet-based company because of the boom and failed to look at what market value and problems their startups is solving.

According to Andrewchen,

Here was How Startups worked in 1999

  • Raise millions of dollars in funding with an idea and impressive founders
  • Spend 9 months building up a product
  • Launch with much PR fanfare
  • Fail to hit product/market fit
  • Relaunch with version 2.0, 6 months later
  • Repeat until you run out of money

launch a startup that can grow fast

Still, on same tense, between 2002-2009, entrepreneurs learned a lot of great ways to work quickly, deploy code a few times a week, and get very iterative about proving out their product. At the end of the day, the process led to many startup failures in during the early and middle days of the internet.

Fast forward to how things seem to work right now in 2018, it still looked much similar to the same failed startup approach which many founders are adopting.

Here is how things (startup growth pattern) seem to follow with respect to the pattern that failed most startups in 1999 even after smartphones become readily available.

  • Raise funding with an idea and impressive founders
  • Spend 6 months building up a product
  • Submit to the app store and launch with much PR fanfare
  • Fail to hit product/market fit
  • Relaunch with version 2.0, 6 months later
  • Add Facebook Open Graph
  • Try buying installs with Tapjoy, FreeAppADay, etc.
  • Repeat until you run out of money

Not much different, unfortunately.

Related: Major startup funding challenges and how to solve them

Having spotted out the problems, it’s great I pitch possible Startup growth pattern that will help entrepreneurs become successful with their businesses.

Startup Growth Patter Solution

The Below StartUp Growth Pattern Will outperform the Old

  1. Pick a passionate team and build a product.
  2. Release version one and push with zero funds, Search Engine Optimization, social media marketing and cheap email marketing services will do a lot of good here. (Staying away from Investors will take away pressure from you at this unprofitable stage. This is the exact approach we’re using in our company Satowallet and Sumo Bank)
  3. Track your conversions/analytics from the little you have done and make corrections from users/customers reviews/feedback/.
  4. Release version 2 of the product whether the platform is becoming a little bit profitable or not.
  5. Rebrand and build a reputable profile for founders.
  6. Evaluate and go for a seed funding (trust me, this will give you better stance and allow you have control over what Investors are asking (shares) for any amount invested.
  7. Use the money raised for High PR, field Marketing and possible partnerships. At this point, you will get full traction.
  8. Scale and expand to become a successful company.

Related: 6 Major challenges startup founder face after launch

NOTE: if you have a great product, this system surely works. If you don’t, it won’t.

Don’t forget the success of your startup depends on how well your user/customers can connect with your company.

The best marketing strategies for startups must be applied in the course of using this proposed new model to grow a startup idea into a successful company.

Planning on starting a business/travel/raise money for emergency reasons, etc? you need to start saving ahead for it. Sumo Bank is the best place to do that.

Save as little as $1-$100 either daily, weekly or monthly, everything is automated and easy to use.

Sign up at www.sumobank.com and start saving.

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Market research

How to Get Started with Internet Business in Nigeria

Gudtalent Chrisent

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a career at entrepreneur nigeria at www.entorm.com Internet Business in nigeria

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The Lucrative Way To Start An Insecticide Production Company In Nigeria

Ossi Samuel

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insecticide production company

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About 10000 Nigerians Want to Buy Benz With Pants Every Month

Gudtalent Chrisent

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Benz of a Nigerian Yahoo boys

10000 Nigerians Want to Buy Benz With Pants Every Month

It’s no news that there have been a trend recently in Nigeria where Internet fraudsters popularly known as Yahoo Boys are stealing/robbing ladies underwears at gunpoint.

It’s believed that these Nigerian Yahoo boys steal pants from ladies for charms which will help them make quick money from their fraudulent internet activities online.

Read: How to make Legit money online from Affiliate Marketing

Yahoo boys in Nigeria are popularly known to own Benz cars and live flamboyant lives on social media.

On a quest to know the rate at which Nigerian boys are eager to go about how to buy benz with pants from ladies and the number of people interested in taking that path, we carried out quick research online and discovered that about 10,000 Nigerians are searching for the following words on Google every month.

number of yahoo boys buy benz with pant

  • what can i use to buy benz pant
  • How to buy benz with pant
  • Buy benz with pants
  • how to become a yahoo boy
  • How to become a successful yahoo boy
  • Yahoo boy format
  • Latest yahoo format

And a host of other terms people are using to search for how to become a Nigerian yahoo boy.

Benz of a Nigerian Yahoo boys

Taking a closer look on similar words searched by Yahoo boys in Nigeria,

Below are the terms and their statistics

Word/Phrase Searched Number Of People Searching for It Per Month
yahoo format for dating 100-1000
scammer format message 100-1000
date format online 100-1000
latest dating format 100-1000
format used by Yahoo boys 10-100
military date format 1000-10000
yahoo dating site 100-1000
dating format for man 100-1000
dating format message 100-1000
latest scamming format 100-1000
yahoo boy dating format 100-1000
dating format 1000-10000
scam format 1000-10000
how to become a yahoo boy 100-1000

the result for the table above is different from the screenshot posted above, meaning, if the numbers are summed up, we will arrive at a whopping number of 4000-40000.

However, the number given here is not the exact results, as there are other terms not recorded in this table and some overestimated from the table.

Read: How to make money and save better this year

But on average, we have about 5000-50000 Nigerians wanting to become Internet Fraudsters (Yahoo Boys) every month.

Looking at this figure we could tell that the Bad image of Nigeria with respect to Fraud and cyber crimes isn’t going to stop anytime soon, but then, there is a remedy.

On solving this issue of stopping Nigerians from getting involved with Internet fraud activities, the Government should not just create well-paying jobs, but also create friendly policies that will enable the private sector to thrive in the country.

That way, a lot of business will perform well and employ the jobless graduates off the streets who are getting involved with these scam activities because they have nothing to do and needs to survive.

Nigeria is rich in human and natural resources and should be among the most well talked about nations in the world.

  • There is cheap human labor in Nigeria
  • There is good topography and land for agriculture and industrialization.

We have the creativity and unique minds, but then, the government still have a lot of things to fix which will go a long way to impact the depreciated moral values of Nigerians who hypocritically act holy out there but very corrupt to deal with.

Let me know your thoughts in the comment section.

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