Tech Industry Sees Significant Growth in New Businesses in 2019

0

Do you want to venture into the tech industry? If so, then you have a reason to rejoice.

According to the latest State of the Swyft Industry Report, the tech industry saw 27.3% year-over-year growth in new business start-ups between 2018 and 2019. Considering last year’s negative growth for the same , this is a significant increase.

For those looking to start their tech business, the findings of the State of Swyft Industry report can serve as a reminder. You can integrate your technology business because the market is favorable for technology products and services.



Industry Growth Statistics 2019

Swyft Filings analyzed new companies formed between 2018 and 2019 to prepare its annual State of Swyft Industry report.

The company looked at the following three metrics to list industries in their report.

1. Year-over-year growth (year-on-year)

Percentage change in new businesses created in 2018 compared to new businesses formed in 2020.

For example, 700 new companies were created in Industry X in 2018 and 800 new companies were incorporated in the same industry in 2019. Then Industry X grew by 10%.

2. Growth rank

If Industry X saw the largest percentage increase in the number of new businesses incorporated in 2019 compared to 2018, then Company X would take the top spot.

3. Volume rank

Volume rank refers to the overall volume of new businesses created in 2019. Industry # 1 rank (X means this industry has the highest volume of new businesses created in 2019)

Based on the above three parameters, here is the report on the growth of the industry in 2019:

Image Source: Swyft Deposits

The wholesale sector was the best performing sector in terms of growth (year over year). However, it did not get the top spot for volume.

With the growth of e-commerce, it has become easier than ever to start an online retail store. And online stores fall into the retail business.

It is therefore not surprising that the retail sector was ranked first in terms of volume, which means that it received the highest volume of new companies formed in 2019.

It is clear from the data that the tech industry experienced good year-over-year growth (27.3%) in 2019 with growth rank No.15 and volume rank 10. Last year (in 2018 ), the tech industry’s performance was bleak. So what drove the growth this year?

56% of tech business owners, as Swyft Filings found in their survey, said increased demand for products and services drove growth in 2019.

So, this can be a good time to start your tech business this year if you have a perfect product / service to take out the weak spots in your target audience.

How to grow your tech business

Starting a tech business is one thing and making it successful is another. You need to put more effort into promoting your business if you introduce a new concept to the market.

Here are some tips that may help you develop your business:

  • Leverage the power of content marketing and social media to boost your brand awareness
  • Learn from your industry knowledge to reach consumers effectively
  • Use the customer empathy map to better serve your consumers
  • 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 sees you as a thought leader in your industry.

So working on building your personal brand and continually sharing useful content with your audience can go a long way in boosting the growth of your business.

About the report

Swyft Filings analyzed approximately 85,000 new businesses between 2018 and 2019. To determine the growth of new businesses in each industry mentioned in the report, the company looked at the number of new businesses that started in 2018 compared to 2019.

Click on here to learn more about the methodology of the State of Swyft Industry Report.

Image: Depositphotos.com


Share.

Comments are closed.