6 Essential Considerations for Launching an AI B2B Startup
In workplaces across the world, AI has now become a major talking point. People are keen to use it for themselves, something we’ve seen demonstrated by the fact that over 100 million users signed up with ChatGPT within two months of its launch.
This means the circumstances are ripe for strong AI B2B start-ups to get off the ground.
Why AI is the future for business
There is good reason for businesses to stay ahead of the curve when it comes to AI. It is likely to become a staple of business in much the same way as the internet has done over the next 10 years. Chris Knowles, Chief Digital Officer at RSM UK says:
“For businesses smart enough to act quickly and consider how AI solutions such as ChatGPT can be integrated into their existing operations or products, they will reap the rewards. It can significantly enhance employee productivity, improve accuracy, and provide a more detailed level of insight using data that already exists within the business.”
AI has potential uses in all different fields and sectors. To take an example from the sales sector, research has found that it can increase leads by up to 50% and reduce call times by 60-70%. It can also reduce the costs to the business by up to 60%. These statistics speak for themselves.
Six things to consider when launching your B2B AI Startup
When beginning to think about the practicalities of using AI for your B2B startup, there are a few core things to think about:
In the long run, your AI business could be a major investment for you. So embark on pilot projects (allowing 2-3 months for each) to generate some data and see where you need to make changes.
Recognise that most businesses in your target market will also want to start with a test-and-learn approach. This means your AI product should make it easy for them to launch small pilot studies of their own. Free trials and low-commitment payment plans are more likely to entice them.
Find a niche
Rather than getting too excited and trying to spread yourself thinly across multiple sectors, research carefully. Then choose one specific market and pain point to target. Use your pilot test data and conversations with specialists from various sectors to determine what your niche will be.
Prove that your AI product can increase a client’s ROI, and you could be on to something good!
Create content first, sell later
Spend some time strengthening the content on your website, blog and social media platforms before you go in too hard on the selling. Use data to create interesting articles and posts that give business owners the evidence they need to be convinced.
This one goes hand-in-hand with content creation. Engage in polite interactions with people who comment and ask you questions about your start-up. Make sure you’re prioritising the platforms where your audience is, such as LinkedIn (always a big one for the B2B market).
See if you’re eligible for a financial boost
When you’re crunching the numbers to see what budgets you should be setting, don’t forget that the UK government may be able to provide a loan to help you get your business off the ground.
Consider legal implications
While the regulations that govern AI development and usage are still under development, there are still plenty of things AI start-ups need to be aware of, with GDPR being among the most obvious.
To future-proof your business, look into the potential new EU AI Act to get an idea of the regulations your business may be subject to. Though the UK is no longer under EU rule, the Act could influence similar regulations passed in other countries.
These are exciting times for AI start-ups. Make sure you research your field carefully and your business idea could take you to new heights.