Startups for the Rest of Us episode 147 from 1:02-5:06 had an interesting discussion/warning on how a lot of the easy pure software startups have been done, and that a model which offered software and services together might be more successful from now on:
“I think [this] is the future trend because so many of the low hanging fruit Saas apps are being built and they’re done. How much more can you do with invoicing and accounting and these other things? I think that over the next few years we’re going to see these hybrid approaches because most software developers don’t want to do them because they’re messy. We want everything to be code. We want everything to scale.”
“So adding that human powered side to it, you just have such a chance to grow revenue faster and to offer so much more value like exponentially more value to your end customers than you can just do with code.”
I’m sure almost everyone here listens to their podcast, but I thought this point was worth posting as it might lead to some good thought experiments or even actionable ideas, which understandably people might not want to share:
How would you add services to one of your businesses which is currently purely software?
I guess for my Chinese app, I could set up a service where people capable of handwriting Chinese are paid to offer sessions where they write characters from the set the app user is studying. The handwritten version of a character appears in the app and the user has to guess what it is. If they guess the wrong character, they are sent the handwritten version of the character they guessed and can see it side by side with the first handwritten character. Wildly impractical, but an interesting thought experiment.