It is hard to find a Startup idea but it is harder to find an idea that will sustain in the market and will generate requisite revenue.
It will be better to validate the need for your idea and whether it will sustain in the market than to spend considerable time and effort on it and later realize it is of no use. So before diving into it, let’s first know what Market Validation actually means.
Market validation is the process of determining whether your product will be sustainable in the market and fulfill the needs of your target audience or not.
A good startup idea is one that:
- Has a huge target audience
- You’re passionate about
- Has a unique selling proposition
- Has a demand in the market
- Is cost-effective and generates needed revenue
Following are some essential steps to follow while validating a startup idea:
Something as obvious as research is often overlooked by people. Look up similar projects on the internet and gain information on them. Find out whether the other people who did something similar are successful or not. If not, what mistakes do they make and how can you avoid them?
Making sure the demand exists:
There will be no use of launching a product on the internet if the market has no demand for it. Make sure you solve a real problem and for a sufficiently large number of people. To estimate the demand for your startup, you can use the following tools and get to know the trends of that problem, similar products, etc.
Discuss with your potential audience:
Nowadays, thanks to the various social networking sites, it is very easy to engage and network with people. You can create polls to ask people’s opinions, create a post or ask questions on quora to get accurate answers. Moreover, if you have a sufficient budget, you can conduct surveys within your targeted audience with the help of data analytic companies.
Analyze your competition:
If you have never released a product or worked in that niche, you may surely find other companies to gain experience or inspiration from. While researching about them, you may know how they are aiming to solve a similar problem and you can learn from them.
Does your product provide a better solution to the problem? If not, try thinking about how you can satisfy their problem faster easier, and even more conveniently. You can release a product in a competitive niche and still be unique at the same time. It all depends on your approach to solution implementation and how you can add value to your customers.
Assess whether your product is profitable:
Your product will not suffice in the market if you keep on investing your own money all the time. It does not make sense to start a business if it can’t generate any revenue. In the long run, it won’t work. Thus, before starting your new startup you must assess whether your product is profitable or not and how exactly you aim to generate revenue from your product.
Announce your product on Platforms:
Product Hunt is a great platform for all entrepreneurs. It is a platform where founders can share and discover Startup ideas and people can vote for their favorite lifting them to the top.
It is also a great place for founders to gain advice for their projects and realize whether their product will be sustainable in the market or not and how can they make their product better. Your product can reach thousands of people if it gets famous on the project hunt.
Other platforms like Betelist can also help your product to get listed and brought in front of their community.
Find the value proposition:
A value proposition is the estimation of the gains your customers would receive from your product. It shows how your product is different from the others in that niche. It can be either quantitative or qualitative. Your value proposition is the ultimate key that will decide whether your product is validated or not.
Build and release an MVP:
MVP stands for Minimum Viable Product. It is that version of a product that has just enough features that allow it to be used by early customers who in turn give feedback for the development of the product in the future.
Instead of creating a full-fledged product and releasing it with a high risk, MVP allows companies to release a cost-efficient basic version of their product. The main motive of an MVP is to collect feedback from users regarding their product and test whether a certain product is feasible in the market or not.
Moreover, the feedbacks also help founders to enhance or upgrade their product as needed. Once your product is validated using the early and methods it is best to release an MVP version of your product and see whether it is sustainable in the market.
Creating a startup is exciting. Idea validation is done to minimize the risk of creating a product no one wants. Always make sure to validate your startup idea before actually starting to build the product. It is better to validate your startup idea than to build a product and realize that no one actually wants it.
By validating your idea you can save thousands of hours that you would have implemented to create a product that would not have sustained in the market.
Save yourself the heartache, headache, time, and effort that comes with it. And if you validate your product before launching it you create the best version of the product which amazes the customers and increases your sale.
Thus it is always better to validate your startup idea before actually starting to create the product.
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