Market validation, before the really expensive part of idea commercialisation, was DuncanLedwith’s message to
What pain point do you address was his rhetoric question put to university and CRIcommercialisation people at a recent Wellington forum?
The Auckland
By asking 15-25 relevant people if what is being proposed is a problem, by the 10th person “youshould have some form of resonance.”
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A draft value proposition – “what do you plan to do for the person whohas the problem’ – can provide a quantum for the issue that is intended to be solved is next.From this, the $ value, market share and volumes can be estimated.
Constructing the offer, with a ‘minimum viable product’ feature comes next says Ledwith.
“At every stage, the intention is to fast fail,” he says.
He also made the point that this market research come market validation part should take amaximum of 90 days. For some of the products and services he’s been involved with, this stage hastaken four days!
It was all good pragmatic (as you’d expect from a Scotsman) stuff.
The end result of such a market process reduces the risk of any new product launch, and means thestartup team can focus on executing a product launch, and a branding and marketing campaign tosupport the new product release.
It also launches the sales phase with a set of pre-qualified leads!
