Do you want to venture into the tech industry? If yes, then you have a reason to rejoice.
According to the latest State of Swyft Industry Report, the technology industry witnessed 27.3% year-over-year growth in new business formation between 2018 and 2019. Considering last year’s negative growth for the same, this is a significant increase.
For those who want to start their tech businesses, the finding of the State of Swyft Industry Report can work as a booster. You can incorporate your tech business as the market is favorable to tech products and services.
2019 Industry Growth Statistics
Swyft Filings analyzed new businesses incorporated between 2018 and 2019 to prepare its annual the State of Swyft Industry Report.
The company looked at the following three parameters to list industries in its report.
1. Year over Year (YoY) Growth
Percentage change in new business formed in 2018 versus new businesses incorporated in 2020.
For example, 700 new businesses were formed in industry X in 2018 and 800 new businesses were incorporated in the same industry in 2019. Then, industry X saw 10% growth.
2. Growth Rank
If industry X witnessed the largest percentage increase in new businesses incorporated in 2019 as compared to 2018, then the company X would get the rank #1
3. Volume Rank
Volume rank denotes the overall volume of new businesses formed in 2019. #1 rank of industry X means, this industry has the largest volume of new businesses formed in 2019)
Based on the above three parameters, here is the report on industry growth in 2019:
The top performer growth-wise (year over year) was the wholesale industry. However, it didn’t get the top ranking for volume.
Thanks to the growth of eCommerce, it has become easier than ever to start an online retail store. And online stores fall into the retail sector.
So there is no surprise that the retail industry got the #1 volume rank, meaning that it received the largest volume of new businesses formed in 2019.
It is evident from the data that the tech industry saw good YoY growth (27.3%) in 2019 with growth rank #15 and volume rank 10. Last to last year (in 2018), the tech industry’s performance was gloomy. Then, what propelled growth this year?
56% of business owners in the technology industry, as found by Swyft Filings in its survey, said that increased demand for products and services pulled growth in 2019.
So it can be a good time to start your tech business this year if you have a perfect product/service to remove the pain points of your target audience.
How to Grow Your Tech Business
Starting a tech business is one thing and makes it a success is another. You need to make more efforts to build awareness for your business if you’re bringing a new concept in the market.
The following are some tips that can help you grow your business:
- Leverage the power of content marketing and social media to build awareness
- Learn from your industry insights to reach consumers efficiently
- Use customer empathy map to serve your consumers better
- Include paid marketing to give your business a quick boost
- Implement inbound marketing to grow
Also, you should try to build your authority in your niche. Your tech business will eventually grow if your audience considers you a thought leader in your industry.
So working toward building your personal brand and continually sharing useful content with your audience can go a long way to boost your business growth.
About the Report
Swyft Filings analyzed around 85,000 new businesses between 2018 and 2019. To determine new business growth in each industry mentioned in the report, the company looked at the number of new businesses that started out in 2018 versus 2019.
Click here to know more about the methodology of the State of Swyft Industry Report.
Get the latest headlines from Small Business Trends. Follow us on Google News.