Seminar 2: Testing The Water: Market Research and Validation

market research & validation

Presented by:Stewart McTavishDirector, ideaSpace

there is no right answer

a startup is not a small version of a

big company waiting to grow up

a startup is a business in search

of a business model

you don’t find a business model

by writing a business plan

you need to get out the building

and talk to potential customers

an invention

something you sell

productvalue > productprice > productcost

Well understood product management process


someone to sell it to

customerltv > customerac + customerrc


Customer Development - Steven Blank



“Inside the building”

“Outside the building”

Build-Measure-Learn Loop - Eric Reis

validatedlearning

testable hypothesis

minimum viableproduct

test with

customers

documentresults

design experiment to reduce biggest risk

start here

Business Model Canvas

Key Partners Value Proposition

Customer Segments

Key Activities

Key Resources

Unfair Advantage

Channels

Cost Structure Revenue Streams

by Alex Osterwalder and Yves Pigneur

www.businessmodelgeneration.com

Lean Startup Canvas

Problem Unique Value Proposition

Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


by Ash Maurya

www.leancanvas.com


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels



Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


do it in one go

approach it from the customers pov

be concise

be precise

stay in the present

it’s ok to say “I don’t know”


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels



Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


Product Risk

Customer Risk

Market Risk


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


Product Risk

Customer Risk


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels



Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


Market Risk


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels



“Outside the building”

Start UpsYoung

Enterprise

Product MarketFit

Start UpsYoung

Enterprise

http://pmarca-archive.posterous.com/the-pmarca-guide-to-startups-part-4-the-only

Domain knowledgeThe market

Lifecycles and trendsYour competitors

The expertsResearchInterviews

Who are you after?Turning data into results

Sales and marketingFast to market

Early CustomersLaunch

Problem / SolutionFit

Product / Market Fit



Understand Problem Define Solution Validate Qualitatively Verify Quantitatively


Get out the building and talk to people

Start with people you know but quickly move beyond

Talking to people is hard

Pay attention to what people do, more than what they say

The first thing to learn is what questions you should be asking

Then you move on to trying to find the answers

Remember to document for your team, communicate with your prospects


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


www.leancanvas.com

WELCOME2 min - Set the Stage

TELL A STORY2 min - Set Problem Context

PROBLEM RANKING4 min - Test Problem

EXPLORE CUSTOMER’S WORLDVIEW15 min - Test Problem

WRAPPING UP2 min - Hook and ask

DOCUMENT RESULTS5 min

COLLECT SEGMENT DATA2 min - Test customer segment

Problem Interview Outline

Segment Data




?

?


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


price is a feature


TELL A STORY2 min - Set problem context

TEST PRICING3 min - Revenue Streams

DEMO SOLUTION15 min - Test Solution

WRAPPING UP2 min - The Ask


COLLECT SEGMENT DATA2 min - Test customer segment

Segment Data

Solution Interview Outline




?

?


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


MVP

visual mock up

wizard of oz

a story

functional

working (just)


DO THE PITCH2 min - Test UVP

SHOW THE PRICE2 min - Set the Stage

DEMO15 min - Test Solution

WRAPPING UP2 min - Open Feedback Loop


MVP

MVP Interview Outline

MVP

MVP




?

?

?


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


Dave McClure - Startup Metrics for Pirates




?

?

?

Start UpsYoung

Enterprise

you need to get out the building

and talk to potential customers


Start with people you know but quickly move beyond

Talking to people is hard

Pay attention to what people do, more than what they say

The first thing to learn is what questions you should be asking

Then you move on to trying to find the answers

Remember to document for your team, communicate with your prospects

Build-Measure-Learn Loop - Eric Reis

Lean Startup Canvas


Customer Segments

Solution

Key metrics

Unfair Advantage

Channels


by Ash Maurya

www.leancanvas.com

Start UpsYoung

Enterprise

[email protected]

Seminar 2: Testing The Water: Market Research and Validation

Education

Transcript of Seminar 2: Testing The Water: Market Research and Validation