IT Track Module 1
- 1. Float like a butterfly Sting like a bee By Camilo Lopez New Venture Challenge
- 2. Tonight’s Points • Introduction 1min • Personal Story 4 min • Motivation to Start a Company 5 min • Idea Generation 10 min • Customer Development 30 min • Lean Canvas 30 min • Go do it!
- 3. @camiloalopez camilo@influentialforce.com 720.333.7473
- 9. Customer Intelligence that Matters Looking for an software development intern
- 11. Product Development 18 Months Market IPO Good Execution Team VC Contacts Research $800 million Break in funding Even 5 Qrts Great Idea
- 12. Product Development Vs Customer Development
- 13. Steve Blank http://steveblank.com/ Ash Mauraya
- 14. Customer Development NVC
- 15. Any Ideas?
- 16. Idea 1 Idea 2 Idea 3 What Economics Competitors Personal Passion
- 17. Idea 1 Idea 2 Idea 3 What Economics Competitors
- 18. Nice to Have vs. Must Have
- 19. • Reading • Team Sports • Watching TV • Shopping • Family Time • Traveling • Going to Movies • Sleeping • Fishing • Socializing • Computer • Sewing • Gardening • Golf • Renting Movies • Church Activities • Walking • Relaxing • Exercise • Playing Music • Listening to Music • Entertaining • Hunting
- 22. Idea 1 Idea 2 Idea 3 What Economics Competitors
- 23. How big is the market TAM = # of Potential Customers X Value of each customer
- 24. How big is the market Number of Potential Customers X Value of each customer = Total Available Market
- 25. Top Down Bottom Up Number of customers I Total Available Market can get today Attainable Market Growth Share Projected Customers Projected Customers with target share with expected growth
- 26. Idea 1 Idea 2 Idea 3 What Economics Competitors
- 28. Idea 1 Idea 2 Idea 3 What Economics Competitors Motivation
- 29. What How You
- 32. Idea 1 Idea 2 Idea 3 3 1 2 Rank What Economics Competitors Motivation
- 33. ✓ Validate Idea
- 34. Adjust Ideas Learn Build Measure It is about Learning You must go through the cycle 2 to 3 Phases
- 35. Customer Development NVC
- 36. Problem Solution Fit State your assumptions: • The Product Hypothesis • Customer Hypothesis – ROI • Channel and Pricing Hypothesis • Demand Creation Hypothesis • Market Type Hypothesis • Competitive Type Hypothesis
- 37. Product • Problem you are solving • Product Features • Product Benefits • Intellectual Property • Product Delivery Schedule – MVP • Total cost of ownership/adoption
- 38. Customer • Types of customers – Decision Maker – Economic Buyer – Recommender – Influencer – User • Customer Problems • A day in the life of your customer • Customer Influence Map • ROI Justification – Cost of Problem vs Cost of your solution • Minimum Feature Set
- 39. Distribution • System Integrators • Direct Sales Force • Value added resellers • Dealers • Distributors • Retail • Online / Direct
- 40. Demand Creation • How would you create demand for your product to your chosen channels – Advertising – Social Media – PR – Promotions – Spam – Web Site – Word of Mouth – Seminars – Telemarketing – Partners – INFLUENCERS
- 41. Market Hypothesis • Existing vs Resegmented vs New High Benefit Low High Low Cost
- 43. Unique Value Proposition Easily explain why you exist “We help X do Y by doing Z”
- 45. Lean Canvas
- 46. New Co. Great Idea New Co. Clear message of what you do, tag line Problem Solutions Unique Value Unfair Customer Top 3 features Proposition Advantage Segments Top 3 Problems Can NOT be easily copied or Single, clear compelling, bought Target customer message that states why you are different and worth buying Metrics Channels Key activities you measure Path to customers Cost Structure Revenue Streams -Customer acquisition -Revenue model Distribution cost Lifetime value Hosting Revenue People Gross Margin
- 47. Execute
- 49. Wireframe
- 51. Customer Engagement 1. Start showing the site to potential customers, testing customer segment and value proposition 2. Use Ads, textlinks or Google AdWords, Facebook ads and natural search to drive people to your Minimally Viable web site 3. Use your network to find target customers – ask your contacts, “Do you know someone with problem X? If so, can you forward this message on to them?” and provide a 2-3 sentence description 4. For B2B products, Twitter, Quora, and industry mailing lists are a good place to find target customers. Don’t spam these areas, but if you’re already an active participant you can sprinkle in some references to your site or you can ask a contact who is already an active participant to do outreach for you. 5. Use Mailchimp, Postmark or Google Groups to send out emails and create groups 6. Create online surveys with Wufoo or Zoomerang 7. Get feedback on your Minimum Viable Product (MVP) features and User Interface
- 52. Next Steps • Test hypothesis by talking to customers – Start Building a landing page – Make progress toward your MVP – Talk to customers – Collect Data – Ask for Money • Iterate
- 54. Tools Must Read Blogs • Fred Wilson – A VC • SK Murphy • Marc Andreessen • Paul Graham • Hacker News • Brad Feld • Chris Dixon • OnStartups-Dharmesh Shah • Both Sides of the Table – Mark Suster • 37signals • Eric Ries – Startup Lessons Learned • Venture Hacks and http://twitter.com/venturehacks • Andrew Chen • Dave McClure • Venture Made Transparent
- 55. Co-founders • TechCoFounder - directory of developers • Foundrs - recruit co-founders • StartupLinkup - recruit co-founders • FoundersHookUp - Invite-only find a co-founder • CoFounder Network • PartnerUp- • Meetup – go to a Meetup!
- 60. $8 Billion
Editor's Notes
- #11: The secret sauce for success is motivation and teamWhat drive you?You have a problem that you want to solveYou are passionate about a particular issueYou want to explore, see what is out there
- #12: 9 out of 10 startups failThe ones that succeed change plans and direction along the way.
- #16: The secret sauce for success is motivation and teamWhat drive you?You have a problem that you want to solveYou are passionate about a particular issueYou want to explore, see what is out there Where will your idea come from?Personal problems you have Reading the news, TC, VBFriends and FamilyDon’t fall in love with your ideaBe willing to changeMake a list, do market research, down select
- #35: Learning Loop
- #44: If you can’t easily explain why you exist, none of the subsequent steps matter. A good format is “We help X do Y by doing Z”.Once you have a statement in that format, find a few other people (doesn’t matter if they’re your target market) and ask them if it makes sense.If not, give them a longer explanation and ask them to summarize that back to you. Other people are often better than you at crafting an understandable value proposition.
- #49: Put yourself out there Get a domain name for your company. To find an available domain quickly, tryDomize or DomainrThen use godaddy or namecheap to register the name. (RetailMeNot usually has ~ $8/year discount coupons for Godaddy You may want to register many different domains (different possible brand names, or different misspellings and variations of a brand name.) Depending on your product, this may be as simple as a splash page with: your value proposition, benefits summary, and a call-to-action to learn more, answer a short survey, or pre-order.)For surveys and pre-order forms, Wufoo and Google Forms can easily be embedded within your site with minimal coding.
- #57: Launched in 2005Twitter, launched in 2007