To start your business, you are probably thinking about the practicability of your ideas; can your conceived product be produced with the available resources? But wait a minute!
Eric Ries, the proponent of ‘Lean startup,’ a methodology to help entrepreneurs grow their business fast, taking advantage of the nimbleness of startups, suggested that the most important questions are not about how realizable your ideas are. Rather, they focus on the desirability to consumers and the business potentials of the conceived product.
1. Should the product be built?
The ‘product-centric’ days are long gone. Now, the modern economy demands that startups produce what people want and will buy. To keep in business, entrepreneurs need to adjust to the taste, mood and needs of the consumers. So, the most important question is to determine whether your conceived product should be produced at all. If they will satisfy specific needs of consumers, maybe they should be produced.
2. Can a sustainable business be built around the product?
To complete the cycle of questions, you need to know if you can build a business around your product, and for how long. These questions may not be answered effectively without carefully designed market research. However, it is not necessary to deplete your fund conducting one. Ries suggested that one learns on the go with his Build-Measure-Learn tenets and the investigative development methods.
All you need do is come up with an MVP (Minimum Viable Product) to be taken to market. Gather feedback from the early adopters and improve your product in line with the feedback. But complete indifference from consumers could be a pointer that your product should not have been produced initially.
A well applied ‘lean startup’ principle could help channel your resources in the right directions and minimize waste. Your product will also benefit from early adopters, who could later become your brand ambassadors.
Do you have any important questions for startups in mind? Follow us on Twitter @Excellaid and share your thoughts with us with the hashtag #TweetChatExcellaid in your tweet.