Source | Entrepreneur : By Dr.Diwan Rahul Nanda
In a developing nation, people work for 45-50 hours a week and get less time for leisure, family and even to do household chores.
Imagine yourself returning home after a tiring day at work to find out your kitchen tap is not working or your driver hasn’t shown up for duty? Such scenarios cannot be predicted and we often find ourselves faced with a lack of handymen during late evenings, or even at night.
However, with the advent of hyper-local service apps, these needs are being taken care of in a jiffy, at any time.
Nowadays one can book a plumber, a driver or any other service at just the click of a button. Hyperlocal startups are a boon since they provide convenience to customers, which is of prime importance to them. Digitization has also played a major part in the growth of this segment as people have begun to resort to hassle-free cashless transactions.
Making a Mark is Tough
Urban India has seen a considerable increase in the disposable income and decrease in the amount of leisure time among working professionals. As a result, convenience is the top priority for consumers. This is an opportunity which many entrepreneurs have recognized and launched various on-demand startups for delivery of food, home, cab, cleaning and even niche services like party planning, nannies, etc.
Most of these are founded by younger generations, who although have lesser market experience but bring innovation to the table. These new age entrepreneurs are also not afraid to break the conventional barriers of business.
Many of these startups began as bootstrapped and eventually the successful ones find investors based on their market performance. However, not all have been successful in making a mark in the industry.
A major roadblock has been the segmentation of the market by the entry of bigger corporates with brick and mortar setups.