Measuring the viability of new business ideas
Posted: Sat Dec 28, 2024 3:56 am
There are more and more entrepreneurs with an idea, a lot of enthusiasm and limited resources who are encouraged to launch a new business idea . That is why now more than ever there is a strong emphasis on how important it is to measure the viability of new business ideas.
For some years now, there has been talk of the “ Lean Startup ” method based on validated learning that allows for a scientific orientation through frequent experiments in which the idea is tested. While it is true that everything is born from an idea, it is necessary to develop that concept and give it shape. Once the product or service has evolved, it is necessary to measure the response of consumers to verify that the initial planning is correct or, if it is not, to have the ability to “pivot or persevere,” as its author Eric Ries says .
Without a doubt, the “Lean Startup” approach has been a turning point for us. In fact, as we have already mentioned, it has been the driving force behind starting to collaborate and create this company. Based on the concept of the MVP (Minimum Viable Product), we have created a methodology to measure the viability of products or services before they are launched on the market. To do this, we combine research techniques and digital marketing tools. In this way, we are able to calculate an estimate of the real demand through a pilot test with little time, investment and risk.
However, just as Eric Ries insists, we believe that we should not stop when bosnia and herzegovina telegram phone numbers the result of the demand is negative. On the contrary, we must take advantage of that information, move forward and use that feedback, close the circle ( create-measure-learn ). For us, it is essential to know why, to obtain information about what does not work in that prototype or initial development and to be able to reorient or redefine it.
Based on this approach, we have developed STAR Project, a standardized methodology that can be adapted to each client and type of need . The work structure is based on four consecutive phases, although this set may not be necessary in all cases. After completing each phase, a report is delivered with the results obtained so that the client is aware of the research process and the evolution of the launch.
The recommendation of which phases and techniques should be used in each case will depend on the sector and the product being analysed. However, the central phases are necessary in all situations. On the other hand, the previous phase (phase 0) and the plus phase (phase +) are presented as value-added services, but which can sometimes be a very necessary extra piece of information.
The phases that make up the "Star Project" methodology are the following:
Phase 0: Dreaming the idea . This phase is interesting when the product idea is not finished and there are unknowns to be resolved about the current market situation or the characterization of demand. The objective is to identify trends, styles and values of demand by defining market segments or niches.
Phase 1: Laying out the route. There is a fairly advanced and defined hypothesis or initial idea of the product to be launched on the market. Once the market and target audience are defined, the current market situation is analyzed in depth in order to define the marketing and distribution strategy. The objective is to validate the viability of a new product for its real and potential audience.
Phase 2: Approximate the product . The product, the market and the consumer segments have been defined. The next step is to implement the MVP (Minimum Viable Product) to test the real operation of the new product. The objective is to measure the effectiveness of an initial test.
For some years now, there has been talk of the “ Lean Startup ” method based on validated learning that allows for a scientific orientation through frequent experiments in which the idea is tested. While it is true that everything is born from an idea, it is necessary to develop that concept and give it shape. Once the product or service has evolved, it is necessary to measure the response of consumers to verify that the initial planning is correct or, if it is not, to have the ability to “pivot or persevere,” as its author Eric Ries says .
Without a doubt, the “Lean Startup” approach has been a turning point for us. In fact, as we have already mentioned, it has been the driving force behind starting to collaborate and create this company. Based on the concept of the MVP (Minimum Viable Product), we have created a methodology to measure the viability of products or services before they are launched on the market. To do this, we combine research techniques and digital marketing tools. In this way, we are able to calculate an estimate of the real demand through a pilot test with little time, investment and risk.
However, just as Eric Ries insists, we believe that we should not stop when bosnia and herzegovina telegram phone numbers the result of the demand is negative. On the contrary, we must take advantage of that information, move forward and use that feedback, close the circle ( create-measure-learn ). For us, it is essential to know why, to obtain information about what does not work in that prototype or initial development and to be able to reorient or redefine it.
Based on this approach, we have developed STAR Project, a standardized methodology that can be adapted to each client and type of need . The work structure is based on four consecutive phases, although this set may not be necessary in all cases. After completing each phase, a report is delivered with the results obtained so that the client is aware of the research process and the evolution of the launch.
The recommendation of which phases and techniques should be used in each case will depend on the sector and the product being analysed. However, the central phases are necessary in all situations. On the other hand, the previous phase (phase 0) and the plus phase (phase +) are presented as value-added services, but which can sometimes be a very necessary extra piece of information.
The phases that make up the "Star Project" methodology are the following:
Phase 0: Dreaming the idea . This phase is interesting when the product idea is not finished and there are unknowns to be resolved about the current market situation or the characterization of demand. The objective is to identify trends, styles and values of demand by defining market segments or niches.
Phase 1: Laying out the route. There is a fairly advanced and defined hypothesis or initial idea of the product to be launched on the market. Once the market and target audience are defined, the current market situation is analyzed in depth in order to define the marketing and distribution strategy. The objective is to validate the viability of a new product for its real and potential audience.
Phase 2: Approximate the product . The product, the market and the consumer segments have been defined. The next step is to implement the MVP (Minimum Viable Product) to test the real operation of the new product. The objective is to measure the effectiveness of an initial test.