Business Idea

Start A Data Science Company

About

Starting a data science company requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell data science , or selling data science online, you can use this page as a guide for everything you'll need to know.

Key stats

market size
$133B
revenue (monthly)
$100K
starting costs
$15.8K
gross margin
90%
time to build
7 months
growth
Direct sales
business model
Advertising
time investment
Full time

About

Starting a data science company requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell data science , or selling data science online, you can use this page as a guide for everything you'll need to know.

Key stats

market size
$133B
revenue (monthly)
$100K
starting costs
$15.8K
gross margin
90%

 

time to build
7 months
growth
Direct sales
business model
Advertising
time investment
Full time

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $750 $7,000
Employee & Freelancer Expenses $150 $250
Equipment & Supply Expenses $500 $5,000
Website Costs $303 $7,015
Business Formation Fees $600 $4,700
Software Expenses $162 $2,894
Advertising & Marketing Costs $0 $1,400
Other Expenses $0 $800
Total Startup Costs $2,465 $29,059

Successful Businesses

Business URL Rank
Anaconda anaconda.com #9,481
Coding Bootcamp codingdojo.com #32,861
Chartmetric: A Music Data Analytics Tool With Insights Driven by Data Science chartmetric.com #34,729
Altmetric altmetric.com #44,526
NASSCOM nasscom.in #55,875
Jigsaw Academy jigsawacademy.com #66,834
Galvanize galvanize.com #67,701
Airbnb Engineering & Data Science airbnb.io #77,607
Verily Life Sciences verily.com #125,973
Gramener: Data Science Consulting and AI Company gramener.com #158,077
Vernier vernier.com #172,236

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Little startup costs required The cost to start a data science company costs significantly less money than most businesses, ranging anywhere from 2,465 to 29,059.
Rewarding work Starting a data science company can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
No overhead costs To get your data science company started, there are no costs associated with overhead, storage, packaging, etc. This will save you a lot of time and money!
Cons Description
Crowded Space Competition is high when it comes to your data science company, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
Longer Sales Process A data science company can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
Work can be inconsistent As a data science company, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.
Lack of benefits With a data science company, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming.
Isolation Often times, as a data science company, you typically work alone and do not have much face-to-face interaction with other team members.
Taxes As a data science company, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.

Marketing Ideas

  • 1

    Affiliate program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Direct Sales

    Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.

    For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.

  • 3

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.