The list is long and growing; those companies that have set their aim at disrupting the corporate structures of many blue-chip companies by offering affordable and accessible opportunities to consumers. Looking at Airbnb, do you see the next Hilton? Why not, they have outpaced the hotel giant in terms of rooms rented this past year. Their market share includes every livable room on the planet while the hotel industry stands and watches as the rug gets pulled out from under their feet. Forbes took a close look at their model. Many would agree, the hotel industry is here to stay, but their margins are getting cut, and their customer base has been disrupted and more to come.
Many new companies are approaching venture capital firms with a business plan that is less focused on generating revenue and more about creating a way for large companies to lose the ability to complete. Rather than focusing on building a company, these start-ups are seeking ways of disrupting the giants. Urban taxi services will be the first to toss their two cents in the argument over Lyft, and Uber. There is very little the taxi industry can do to combat the creative genius behind the city car share and car for hire business models. The companies were not designed to make money, these companies were designed to disrupt the normative corporate designs.
With the access to information and expanding networks, the disruptive model can now stand on its own feet. The corporate giants, Walmart vs. Amazon, Yellow Cab v. Uber and Hilton vs. Airbnb- where does this lead to? In every way possible it leads right back to you… the consumer. What do you want and how can it be best delivered to you? Disruptive businesses are looking at how to answer this question and it is refreshing. Rather than businesses telling us what we want, it is nice to know that creative processes are underfoot to better understand the consumer and fighting to provide. VC is on the lookout for disruption… even if there is not revenue targeted, increases in market share are extremely attractive as corporate business models are being re-shaped. If you are looking for more information on the business growth opportunities follow us at WSconsultingSF on Twitter and on William Scott Consulting on Facebook.
