Top Five Profitable Business Ideas for 2021

There are opportunities even during a crisis and few industries have optimistic scope for this year. The learnings during the lockdown have been tremendous, from online classes to work from home culture enabled through the internet – technology has touched all of us in every possible way. Most of the industries have been disruptive, video conferencing application Zoom, had a revenue surge of 355% with a market cap higher than that of IBM.  Multiple other non-tech-based businesses have mushroomed but technology enables is undoubtedly the gamechanger in the post-pandemic economy. 

Top five business of 2021 is set to become a profitable venture with a recent business trend and be a powerful start for the new-age entrepreneurs. 

A Digital Avatar

With the shift to online business alongside the new paradigm of online education, the demand for gadgets has witnessed a boost from smartphones, tablets, laptops to earphones and even modems. This brought about a great deal of profits to the manufacturers in the sphere of electronics. An online store specialising in these products could harness great sales. Online education has been given even more room than before, therefore starting an online platform showcasing an advanced knowledge of a subject professed could prove to be lucrative. The importance of a digital presence in the form of both business and education has never been so hard-pressed. 

The online education market was valued at $214 million and is expected to reach $1.96 billion in 2021. A robust increase in online customers enrolment to 9.6 million provides a huge scope for online learning platforms, especially in the non-urban areas. The penetration of internet and telecom services has largely bridged the digital divide. However, the current brands are yet to percolate completely into the rural and semi-urban markets. A localized, regional version flexible for the users with a nominal pricing strategy will most likely be a successful business. 

Investment Level: Moderate

Skill Level: Moderate

Home Care Services and Home Kitchen

Being accustomed to hospitality and a background in care could go a long way in times like these. This is a great time to provide home-bound care to seniors since most guidelines have advised seniors to refrain from venturing out A service that could assist seniors in running errands, to handle repairs, to manage their doctor’s appointments, and refilling their medicines would be meeting quite the need of the hour. Urban company is the biggest brand delivering home care services, the service is yet to reach the other untapped market in tier two cities and towns. With the fear of second strain COVID, online delivery based service application would solve the problem caused by physical distancing rules. 

In addition to home care services, a new trend is the boom of the home kitchen industry. While we have adopted many new measures with the tide of the pandemic, this new business will help the elderly and bachelors who are unable to prepare fresh meals. Being stuck at home sans any domestic help working their 9-5 jobs beyond the 5’o o’clock norm leaves people tired and reluctant to cook. A great idea would be to order in food which satisfies the craving yet provides a homely comfort. Also, this gives home cooks an opportunity to use their honed skills to lure in patrons with selective and delectable specialties. 

The existing online delivery apps such as ZOMATO, SWIGGY, and DUNZO will be the complimentary service to begin the home kitchen business. This business model has the potential to cut down on the regular fixed cost that a restaurant would incur. By just working on scale, a complete delivery /take away based home kitchens would reduce the cost thereby making a profitable venture. Although many home kitchens are blooming, a brand with supreme quality and a well-defined market strategy can be the market leader in 2021. 

Investment Level: Low

Skill Level: Moderate

Inventory Management/Warehousing for E-commerce

Inventory management is a growing business for entrepreneurs with large capital at their disposal. Amazon, a giant eCommerce platform, has invested close to INR 11,400 crores in India.  The growing e-commerce industry is more interested in signing contracts with fleeting warehouses and inventory management houses. A wholesale brand setting up its own distribution channel might not be feasible. To bridge this demand, entrepreneurs with real estate properties in peri-urban areas could receive good returns from the warehousing business. Moreover, a technology-driven management system would give a competitive edge to the business. 

As the retail demand is pent up and is easing with the unlocking, a business to address the movement of products would be a viable industry. 

Inventory management involves building software and hardware practice to reduce costs and maximize sales. Moreover, the reduced labour cost and efficient system in place make this business very attractive for medium to large e-commerce sellers. 

Investment Level: High

Skill Level: Moderate

Digital Marketing

The importance of the internet and social media couldn’t be more felt more at this point. With businesses turning to online shores it’s important to advertise businesses and make their presence even better known. These services are usually in demand, for any new venture or small enterprise; It would be more pocket friendly to outsource than setting up a full-time team in-house.

Digital marketing including social media marketing is the most relevant skill in 2021. The branding and marketing of a product have undergone various changes and a television advertisement is costly and not very effective. To reach every potential customer, brands have to reinvent their marketing strategy. Not every entrepreneur has a concrete marketing plan, digital marketing/consultancy firms are approached to build a marketing strategy.  With a team of content writers, creative heads, designers, and SEO specialists, digital marketing would indeed be a fun business for someone who loves social media. 

Most of the small and medium scale businesses link up with digital marketing agencies. The consultancy offered by a digital marketing business is highly valuable 

Investment Level: Moderate

Skill Level: Moderate

Blockchain Ledger and Cybersecurity

With increasing demand for IT sector services more  resources are required to protect the data, which implies the data and software have to be distributed among many people,instead concentrating among few people,this sector has the potential to grow tremendously. 

The global blockchain market is expected to grow to $39.7 billion by 2025. The technology has been around for some time and cryptocurrency trading is the primary beneficiary. If you are a techie with an interest in blockchains, there are a plethora of business opportunities. 

Although many skeptics think it is overhyped technology, there are some attractive features that make it a disruptive technology. From banking, healthcare, insurance, trading, blockchain offers an exclusive peer to peer transaction. This enables the user to create smart contracts and gives little scope for any discrepancy. Every transaction is made on the blockchain technology with a stamp of details to ensure transparency. The decentralized public ledger can be used by the government to conduct elections as well. 

Cyber security is another exclusive arena for tech geeks with a special interest in systems engineering. As the online business is growing, there rises the threat to cyber attacks for collecting sensitive information. A business working on cyber security can form a base of clientele like banks, insurance companies. 

Investment Level: Moderate

Skill Level: High

Inputs are given by Anandita Das and Tanvi Bagadiya