Get your free personalized podcast brief

We scan new podcasts and send you the top 5 insights daily.

Instead of searching marketplaces, a better acquisition strategy is to first offer a niche service using AI to firms in your target industry. This allows you to learn the business from the inside, build your AI agents on real work, and establish trust with owners, making you the obvious choice when one is ready to sell.

Related Insights

Instead of building a full-fledged AI product first, launch a manual service for a target industry, using local AI tools behind the scenes. The recurring problems you identify and solve manually become the proven, high-value checklist for your future software product.

The quickest path to market is a pilot where you sell the desired outcome, not the software. Initially, perform the work manually with AI assistance behind the scenes. This validates customer value and pinpoints the most repeatable patterns to productize.

Instead of selling AI tools to incumbents (e.g., law firms who bill by the hour), build an AI-first service that delivers the end result directly to the customer. This avoids conflicts of interest and captures more value.

Industries like law firms, insurance, and real estate are ideal first customers. They are eager to adopt AI to solve significant operational pain points but lack the in-house talent. This creates a strong market pull for an outsourced agent-building service. Avoid highly regulated fields like healthcare initially.

A powerful go-to-market strategy is for an AI company to buy a legacy business (e.g., a debt collector) with existing clients but declining revenue. This allows the startup to bypass the difficult early sales process, immediately deploy and refine its AI, and use the acquired firm's client roster as a launchpad.

Instead of immediately building an AI agent, founders should first manually perform the target workflow as a service. This process allows them to deeply understand the pain points, map edge cases, and acquire initial clients. Only after mastering the job manually should they incrementally add vertical agents to automate specific steps.

A massive opportunity exists for service-based startups that help traditional companies become AI-native. The winning strategy is to niche down by industry (e.g., dentistry), function (e.g., marketing), and company size to create replicable workflows.

The most profitable way to leverage AI tools without code is to package their output as a managed service. Instead of selling access to an AI, sell lead generation, process automation, or financial analysis on a monthly retainer, with the AI doing the heavy lifting behind the scenes.

A major new business model is creating pre-configured AI agents for specific industries (e.g., HVAC). Instead of selling a horizontal tool, agencies can provide a productized service, managing these 'AI employees' for clients at a high monthly retainer.

Startups building AI agents to automate work should first target outsourced services. It is easier to win business by swapping an existing third-party vendor with a ready budget than it is to persuade a company to undergo internal reorganization and headcount reduction.