What to Do Once You Have an Idea
1 FA S T S TA R T S T U D I O SERGEY SUNDUKOVSKIY PH.D.
Introduction
2
Background
3
Agenda
4
Visualizing Your Idea Putting Together a Deck Finding Co-Founders/Mentors/Advisors Building a Prototype
Startup Progression
5
Idea is not a product, product is not a company
Visuals
6
Idea Description Idea Visualization Wireframes Mockups (UI) Clickable Prototype (UX)
Videolize
Mind Mapping
Idea Description
7
Idea Description Success Calculator: Inventor (cloud over the head). Many factors represented by circles (founder experience circle, previous startup experience circle, competition circle, funding circle, customer circle, market size, industry circle, board of directors circle, product development experience, advisers circle) go into the SourceIgniter Predictor Engine box, what comes out is a Success Score
Idea Visualization
8
Wireframes vs. Mockups
9
Clickable Prototype
10
Prototyping Tools
11
Videolize
12
Videolize aka video scribe – Same as visualize only better
Putting Together a Deck
13
10-20-30 Rule Show Do Not Tell Taxicab and Elevator Pitches Target Customer Market Analysis
Differentiation and JUD
Pressure Testing Competitive Advantages
Business Plan vs. Business Deck
14
Business Plan as we knew it in the Business School is dead
Putting Together a Deck
15
Deck Rules
16
10 slides In reality it is 3 (others are used as reference) 20 min In reality it is 5 (at most) 30 point font Last guy from the end of the table Too much information
Deck Rules
17
Picture is always better !!!!! It is worth 84.1 words
Taxicab Pitch “Facebook for teenagers”, “Flicker for Video” Elevator Pitch What do we do? Who are we doing it for? How are we different? “ConferenceByWire is an event streaming solution that brings live and on-demand events directly to the remote viewers over the Internet. Unlike other solutions it does not require significant infrastructure investment”
Pressure Testing
23
Have your idea and the pitch pressure tested Do not insist on NDAs. Nobody cares
Market and Customer
24
Differentiation
25
Distinction without difference
Differentiation
26
Features Business Model Target Audience
Differentiation and JUD
27
What Investors Are Looking For? JUD – Just Enough Difference Different Enough Not Too Different Valid Question “Why existing competitors are not focused in „this‟ area?”
Prices We are just like that only cheaper Differentiation We are just like that with following differences Niche We are just like that only verticalized
Competitive Advantages
29
Not Easy to Overcome Original Content Execution Loyal Customer Base Brand Awareness Easy to Overcome Patents First Mover Obscurity
Which picture do you think is right?
Hint: They are not identical
Product Analytics
48
If you can‟t measure it you can‟t improve it
Analytical Tools
49
Traction Points
50
Sample Traction Points CTR Number of sign ups Number of sign ins Number of video uploads Number of product configurations Number of store deployments
User Testing
51
ABT – Always Be Testing
A/B Testing
52
Less the data, louder the opinion
What Can Be A/B Tested?
53
Headline Lead (first sentence) Hero Shot Font Color
Call To Action
Number of Steps in the Funnel Algorithm
Sample Business Metrics CPA (Cost Per Acquisition) Churn Break Even Duration TOC (Total Cost of Ownership) LTV (Live Time Value) Average Support Contracts
Prototype Starting Point
59
Find open source starter product to build upon
Prototype Features
60
Prototype Features
61
Features need to prove business hypothesis aka core
evolutionary prototype. You might have to settle for throw away prototype
Too much technical debt to remedy Too expensive to evolve Can‟t find needed resources