5 Conversations That Will Save You Years
How To Validate Your Idea
Step 1: Start With Real People, Not Your Idea
Most business owners start with ideas, and this effectively blindsides them to real opportunities that exist all around them in the form of people’s unmet problems, frustrations, needs, and desires.
The key is to keep an open mind because you’ll be dealing with real people and things will undoubtedly evolve.
Rather than put good time and money into developing an untested offering you hope will work, start instead by investigating what people experience in their daily lives in the area of your offering. Get out and talk to different people you might like serving. Don’t talk about your specific idea, but about the area you’re hoping to serve as it relates to their lives.
If I was doing this for my own business, it would go like this:
“Could you help me out with a bit of research I’m doing? I know you’ve started a business recently. How did you find that experience? What do you find difficult about business for someone like you? What do you wish was different? What would have made things easier? What’s the biggest thing on your agenda right now?”
Take note of any friction in their responses and try to tease more information about these areas.
Other things to look for:
• What frustrations, unnecessary costs, or unmet desires can you find?
• How often does this occur?
• How seriously does it impact them?
• What is the current solution?
• Who else they know who might be experiencing the same thing?
Step 2: Find the Patterns
Lots of people will say what you’re doing is great but take no action. The best target customers are not those who like your solution, but those who need it.
Beginners often try to appeal to everyone. A tighter focus, a specific industry, geography, or lifestyle, lets you craft messages that cut through and stretch limited resources further.
Once you’ve talked to a number of people, ask yourself:
• What patterns do you see?
• What similarities or differences exist?
• Can you group people by demographic, psychographic, and where you’d find them offline or online?
• Who do you clearly not want to serve?
Don’t assume. If you do, test those assumptions early and regularly by talking with people. The feedback will be clear.
Step 3: Test Willingness and Ability to Pay
A customer who feels the pain but can’t afford your solution is a poor target. You want people who both value what you offer and have the means to buy it.
Ask:
• Do they currently spend money to solve this problem?
• If so, what are they paying competitors?
Once you have had 10 validating conversations and you feel confident enough to tell them about the offering your developing, find out:
• Is the value on offer worth the price to them?
A market with spending power is often easier to enter than one that needs extensive education about why they should pay.
Next Steps?
Identify 5-10 conversations you could have next week using the advice above.
If you need professional support to help you validate your ideas, I’m always happy to help. Let’s start with a free clarity call.
Ciaran