“Facts live outside the building, where future customers live and work”
For the next couple of weeks I’m going to be writing about some of the KEY learning’s I have made while trying to create the next billion dollar company! These are learning surrounding Customer Development.
There is a repeatable path that has been discovered by some of the greatest serial entrepreneurs in the world – little did they know, they were living and breathing what is now coined, customer development.
“A Startup is not a smaller version of a large company”
I know what you’re saying, What do you mean a start-up isn’t a smaller version of a large company? Well, let me explain it like this – A Start-up is a temporary organisation in search of a scalable, repeatable, profitable business model. This statement is key, the founders of a start-up are searching to validate their hypothesis… What does that even mean? To tie back in with the quote at the top – You are searching to validate your vision, as a founder to turning those hypothesis into FACTS. These facts, give you the information to either pivot or continue on your path to which your next set of hypothesis are created and tested.
“Pivot is the change of one or more business model canvas components”
You have a bunch of CRAZY guesses, what you must do though is -Take everyone of those guesses and kick its butt around the country or the world, testing whether you have been hallucinating *more than likely* or whether you were correct *had a vision*. You do this, many times, through many pivots
“CUSTOMER DEVELOPMENT, this is the process of the founders getting out of the building and turning those guesses into facts”
I tell you know, that one best learning milestones I have ever had – is to write down your business vision, and all of your guesses – go out and validate those guesses and turn them into FACTS.
No business plan survives first contact with customers.
One fact that I will tell you – that is relevant for all start-ups DON’T waste your time on business plans! GET OUT OF THE BUILDING
Now you are motivated to get outside, BUT WAIT – before you do, go and check out the godfather of Customer Development, Steve Blank!