Ready for launch: the rise of digital-forward startups in 2022

by Startacus Admin
Alejandro Turell, CEO & Founder of LastBasic shares insights on how moving to digital-forward business models will be essential for startups in the year ahead.
2021 has been a tale of two halves for the startup community. We’ve all felt the social and economic impacts of the ongoing pandemic, being forced to completely change our ways of doing business, for many of us at a very early stage of our company’s journeys. Business plans have been shifted and strategies have had to change, but it doesn’t have to be a change for the worse.
Investment in the global startup ecosystem has increased significantly this year, with a record-breaking $158bn raised in Q3 alone. Even with the impact of ongoing uncertainty, the future looks bright for startups looking to progress beyond the doom and gloom of the past two years in 2022. It is time to consolidate what we have learned from this very difficult time and take a step in the right direction to an increasingly digital business model in the new year.
A goldmine of untapped technological potential
When initial public health measures were implemented in March 2020, many businesses entered into ‘survival mode’ when it came to daily operations. Forced to immediately adapt away from the physical office, leaders grasped for online tools that came as close to the real thing as possible. By October of the same year, Microsoft Teams had grown 50% to 115 million daily active users, with applications such as Slack and Skype for Business also being adopted by many companies for the first time.
The use of these platforms has had widespread bad press since their first adoption almost two years ago. So-called ‘Zoom Fatigue’ has resulted in many experiencing increased exhaustion and feelings of burnout as a result of long hours spent on videoconferencing platforms to replace traditional boardroom meetings. Even startups, which as businesses tend to be more tech-forward than older companies, have fallen victim to this digitally adapted approach. 2022 will be the year that we move beyond this and unlock the potential of a new digital-forward business model.
Moving towards a digital-forward approach
As we accept that the digitally adapted approach is far from the most effective one, more and more startups will begin to build their platforms with a fully remote and digital workforce in mind. This agile organisational mindset leads to smarter decisions about what technology to build and adopt, helping to futureproof a business for technological developments in the future. Even now, as conversations around NFTs, AI, and AR begin to hot up, startups that try to be ahead of the curve and implement these innovative technologies can more easily beat out competitors and achieve highly.
Embracing digital transformation not only leads to more success with customers but can also be favourable with investors. VCs are largely shifting away from the traditional mindset of meeting physically with founders to hear their pitch and taking a more digital approach to investment. At the same time, the amount of funding available is greater than ever before, as Silicon Valley opens itself up to the world and business creation becomes possible for a wider range of people. Perhaps in 2022 we may even move beyond virtual meetings for our funding pitches, allowing startup leaders to showcase their businesses in more creative and engaging ways. New digital technologies have given ample opportunity for growth that should be taken advantage of by leaders.
Keeping your eye on the prize
In such a fast-moving environment where the possibilities of doing business are expanding faster than ever before, it can be easy to get distracted and lose sight of goals. There are always some disadvantages associated with any significant change, however advantageous the benefits. When it comes to digital transformation, the main risk is distraction. There are so many new technologies and concepts out there that it can be difficult to select what is relevant for your business. It seems exciting to try out new ideas, but if they are not right for your industry, it will always cost you both time and money. It is important to remain resilient as a startup leader in 2022, and think critically about what your business need to grow, and not just what is the hottest new technology on the market.
2022 should be seen as an opportunity for growth and development for the startup community as funding availability continues to expand. Leaders must take advantage of this golden moment to develop their businesses in a way that is logical, efficient, and effective, using technology in a selective way to spur on sustainable growth.
ABOUT THE AUTHOR
Alejandro Turell founded LastBasic with the goal of democratising the traditional engineering consultancy industry. After studying mechanical and industrial engineering, then working as an industrial engineer in a consultancy himself, Alejandro realised that many of the processes within traditional engineering consultancies were old-fashioned and there was little opportunity for employees to develop their skills and work on a variety of projects. He created LastBasic as a sharing economy platform, bringing together experts and inventors so that everyone has a chance to contribute to innovation.
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Published on: 6th January 2022
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