Category: Market Research

“More than 65% of new products fail. If we switch over to startups, the failure rate takes huge leap to 90%.” – Rob Adams

Even the pros bat less than .500.  And the pros have marketing departments that conduct research and focus groups.  They can afford advertising.

Niche markets are a great strategy for startups.  They tend to have unique needs that are not being met by the big companies.  They are more accessible, generally more forgiving and usually very loyal; all things that favor the startup.

Read “If You Build It, Will They Come?” by Rob Adams

 

BloggingGazelle is published daily by Shawn Carson

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“You need to allocate 60 days effort before you start building your product and 10% of your budget to get the Market Validation work done.” – Rob Adams

This is bold advice from “If You Build It Will They Come?”  and it flows in parallel with the customer discovery process.  Rob Adams just put some numbers on it.

Understanding your value proposition and market is important.  So important that Adams recommends two full months of effort to nail it down.  Allocating budget means get out of the office and talk to people.  You can’t Google your way through customer discovery.  Go to trade shows.  Talk to industry experts and leaders in your market segments.  You may consider buying a market research study from one of the leading research firms.  They aren’t cheap.

Doing this before you develop the product helps reduce the risk that you make something no one wants to buy.

It’s cheap insurance.

Read “If You Build It, Will They Come?” by Rob Adams

 

Blogging Gazelle is published daily by Shawn Carson

“Take your best shot at analysis, place your bet on the table, work your ass off, and don’t look back. That’s how you build a great company.” – Guy Kawasaki

Planning is important.  Analysis is as well.  It is useful to search for patterns that could reveal some repeatability and predictability.

You need to do the market research and you need to pour over your financials, but as Pete Seeger wrote, there’s “a time for every purpose under Heaven.”  Planning and analysis must soon end because neither generates cash.

Confirm your instincts, get the data for the pitch and make sure the numbers tie together.  Then go get your product in your customer’s hands!

 

Read Reality Check by Guy Kawasaki

Blogging Gazelle is published daily by Shawn Carson