A question that often comes back: Can I enter <insert saturated market here>? The answer is it depends :-) There are lots of successful project management apps

A question that often comes back: Can I enter <insert saturated market here>? The answer is it depends :-) There are lots of successful project management apps. The advantage of an established market is that people already know they have a problem and are looking for solutions online. On the other hand you have to really differentiate your product in order to get customers who could just use Basecamp or any other PM tool. You can't just go and copy Basecamp and expect people to switch. So the real question here is what can you make better than Basecamp? You don't need to make it better in every aspect (and you will burn yourself doing it). Just find a corner use case where Basecamp doesn't work well enough. There are probably lots of use cases for which Basecamp sucks. Don't try to solve them all though. So it means doing your research. Interviewing people is a good way. Mining online forums with data is another good one. Find out one strong pain that is not addressed by Basecamp, and that you could solve yourself. Then build it.