Are You Too Confident In Your Start-Up? Don’t Fall Into These Obvious Traps
When you start putting together your business, it’s no surprise the odds are stacked against you. How do all of these people build a business and then forget to make sure people will buy the product?
To truly thrive, successful founders will keep their would-be customers’ problems at the top of their mind at every step to avoid falling into this common curve.
Start-ups that fail usually miss their market expectations due to them sourcing their ideas from the wrong places. After all, start-ups can’t generate problems to solve their own, they have to consider what the potential customers want or need. You should ask your market about their problems and come up with a solution based on their findings.
We’ll be showing you three mistakes that you need to avoid so that overconfidence won’t kill your start-up.
- Misunderstanding the buyers status quo
Before you start listing off ideas, you need to understand who the customers are. You need to think about how the customers are going to transition from their current solution to your proposed solution. If your customers are unable to consume your new solution over time in volume, it won’t work if you’re unable to generate a consistent revenue.
You need to put your time and effort into completely understanding what your potential customers are looking for. Don’t assume that you automatically know what they want, you need to conduct research and listen to them for you to fully understand whether or not your solution is in demand.
- Competing on too many levels
Feature-rich products that completely ignore the current solution chain can generate a huge amount of buzz before they eventually fail. A lot of businesses just starting up lose focus as they try and design solutions and end up creating new products at every turn. You need to remember that your buyers don’t want to take multiple risks at once, they want to use a product that’s as easy as possible to use and simple to adopt.
To help solve this issue you need to build a complete understanding of the problem at hand first and what the current solution is. Then you can identify where your company can add the most value, then fit your disruption to the existing solution chain. By doing it this way, you’re able to leverage customers from your competitors by presenting your simpler product/service.
- Falling in love with your solution
Start-ups succeed because they understand a problem, not because they create solutions. You shouldn’t start piecing together something, only later down the line after spending a lot of time, effort and money that there’s no market for it. You can avoid this issue by starting with the market and then try to keep the needs of this market in mind as your solution evolves.
You need to remember the market you want your product/service to go into and keep going back to it so you don’t go off on a tangent and create something that nobody will buy. By sticking to what you know your business will become a success a lot faster.