Every startup founders should consider these 5 as the prime driving factors of their product
Over 92% of the business and startups fail after the first year of being founded. What do you think all the founders do after their failure?
They start again and they fail again, till they find success. It is a bitter but well known fact for the startup world. These failures act as the stepping stones of the success of an entrepreneur.
Starting from the ancient times, people failed to succeed. The pain points led to the success.
The Pareto principle or the 80/20 rule is applicable in these situations more than anything else. For most of the events or many events, roughly 80% of the effects come from the 20% of the causes. Kind of an awkward connection right?
Most of the modern marketers use this principle in their marketing strategy to execute it. That explains why it’s not just a fad that people tend to lean on the failure of their career to define success. The bible of startups, “The lean startup” by Eric Ries explains the clear cut concept of fail fast.
Because it’s needed for a startup to thrive in the competitive world. Where small companies lock horns with the big ones. If they want to win, they should fail fast, and learn from it.
This doesn’t mean everything you do will result in failure. The world is binary and the other side of success is failure. So, make sure you’re pointing your arrows in the right direction before you go launch your dream product.
Find your market before you launch
Do you have a proven market? If you don’t, find one. Or most of the startups make one. Not that it’s easy to make one, but see what Buffer did to create their market segment.
That’s the first question that comes into mind when you first see a founder. Because beyond every product you create with your mindset and assumptions, can you sell it? Because selling is the only thing that matters in business.
Everything converges to your annual sales report. This comes really handy when you use SEO strategies for your marketing.
That’s why there is this concept of minimum viable product. To test whether there is a market or not. Making sure that we fail fast. An MVP can be a landing page, a concept explanatory video or even a smaller version of your product.
Send it out to the market and test whether your audience is interested in it. These days even content marketers and writers do so. Send a poll out for the demand of the content. Then decide to work on that piece or not.
This is one of the most important concepts with respect to a startup.
Iterate and repeat
Does fail fast mean, fail and quit?
No !! Absolutely not. You’ll have to keep going. Failure is just a step and there might be a thousand more steps in your journey. But you don’t quit. You learn.
Then repeat the steps with a better version of yourself, your product. Some might think the better version of your product always mean more features.
Does better always mean more? Not essentially.
Better might be removing some unwanted features or maybe adding some. Decide with the data, iterate and give a better version on every iteration. Data is the most important thing you get from your product. Data powers the word, so does your product.
Learn from the mistakes. Repeat. Fail better. That’s what a lean methodology would suggest.
Pivot when necessary
One of our beloved mentors were really worried about our frequent pivots we had in our early stages. We changed our course once in a while. Not because we’re always digging for gold in the wrong plains.
But we’re listening to our customers. The patterns we follow shows the path. Are we sure about it? No. If we knew everything, we might have had an absolute path to success.
But there is not and we know there won’t be. We experiment as we always do and find the right thing in course.
Pivot whenever necessary. Change your course, vision or even your product if it’s not working. Just because it’s your dream idea and you need it doesn’t mean your market is envisioning that as well.
Do what the market require you to do, not what you think you should.
I hated agile when I first heard about it. But then I started experiencing the change.
Agile development is one of the best things happened in the world. Agile focuses on business values rather than outputs and allows for a change whenever necessary.
The one that best understands the product will be the one who guides your product. If not, make sure you change the structure to that way. They should know every market vibe, the minds of your customer and transform that into the product market fit.
For a corporate the product manager is the one who understand the business need and convert the effort of the developers to the requirement. When it comes to a startup, the CEO will be the one or the one who has the best knowledge about the product and the market should be the one doing it.
Even if you don’t evaluate your developers, just use the method to know the effort your developing team put in to create the value you require. It might be useful in the future.
Business model canvas
The business model canvas is a global standard used by millions around the world. it focuses on the whole business and can be expressed in a single page. You will get a simple snapshot from the single page you have created.
The BMC includes every detail about the customers, infrastructure and finances of your business.
And the template includes every key factor required in a business model. Key resources, key activities and partner networks which will give you the infrastructure of the business model.