This document discusses validating that a startup's solution fits the problem it aims to address. It emphasizes the importance of validating assumptions about customers and their problems early in the design process. Customer interviews and surveys are recommended to test the hypothesis that a solution solves a problem customers care about and are willing to pay for. If validation fails to confirm the problem-solution fit, the startup may need to iterate its solution or pivot to a new problem. The goal is to avoid building something nobody wants by continuously validating assumptions with customers.
AIA2019 - Ali El Amrani - Problem - Solution Fit & Idea Validation
1. ibtiquar – Ali E. Amrani
@amrani @ibtiquar
PROBLEM SOLUTION FIT
& IDEA VALIDATION
ALI E. AMRANI
IBTIQUAR ابتكار
January 3, 2019
ARAB INNOVATION
ACADEMY
2. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Context
2
Day 1: Teams, Problem Canvas, Ideation
Day 2: Problem Solution Fit
Market, Customer dev.
Day3: Customer validation …
3. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Context
3
36%
18%
13%
12%
21%
Building something nobody wants
Hiring
Focus
Sales and Marketing
All Other
Top mistakes by startups
Source: illumination C
4. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Context
4
What are we trying to do?
Trying to prove, with evidence, that you have a solution for a
problem (pain/potential) that customers care about.
A problem is anything that is causing pain, or preventing the
customer from a potential gain
A good problem is one that many customers have, and occurs often
Customers are wiling to pay to get rid of the problem
5. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Context
5
Evidence
that you
have a
solution for
a problem
Problem is
causing
pain
Many
customers
with
problem,
and occurs
often
Customers
willing to
pay
6. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Context
6
You need to validate whether your solution will solve a
specific problem
The earlier you ensure problem-solution fit, the better is
it for your product/service and startup
Know and involve the customer earlier in the design
phases
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PROBLEM – SOLUTION FIT
Example
7
Example 1: Phone camera
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PROBLEM – SOLUTION FIT
Example
8
Example 2: Transportation solution
Company moving its HQ from SF to the SV
Car loan to buy a car: buying a car is not the right solution!
Public transportation
Corporate transportation
Mileage reimbursement
… other solution?
9. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
9
By the end of this exercise:
Is the problem well defined?
Can the problem be solved with your solution?
Who is the customer? Willing to pay for it?
Remember, at this point, your solution is not
necessarily the product/Service!
10. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Framework
10
•Future behavior
•Current solutions,
alternatives
•Behavior
•Constraints/Limits
•Improvement 1
•Improvement 2
•…
•Customer 1
•Customer 2
•…
Target
customers
Improvements
Future
situation
Current
situation
Problem
• Problem
description/
Pain
Solution
• Solution
description
11. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Problem Questions
11
Which problem do you solve for the customer?
How often does this problem occur?
What is the cause of the problem?
What does the customer do about the problem?
Can you quantify the impact of the problem?
Do many customers have the same problem?
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PROBLEM – SOLUTION FIT
Problem
12
Remember,
It is easier to sell Aspirin, than it is to sell
Vitamins.
A ‘Pain’ vs a ‘nice to have’
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PROBLEM – SOLUTION FIT
Assumptions
13
Customer assumptions
Who is the customer, and customer segments?
Customer indicators?
Do they care about the problem?
Problem assumptions
Is the problem worth solving?
How often does the problem occur?
Is it a problem that many others have?
Try to root/cause the problem
14. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Hypothesis Validation
14
If we develop this solution;
It will solve that problem;
And customers will no longer have to…
By doing…
And the improvements are…
Now: you need to test and validate the Hypothesis
15. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Hypothesis Validation
15
Validating the Hypothesis
Is the identified problem real?
Will the solution deliver value to customer using it?
Will the problem be solved?
Will the customer pay for it?
16. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Hypothesis Validation
16
Do not validate the hypothesis only by assumption!!
Validate directly with customers.
The reality is different that the assumptions …
The problem is an assumption
The solution is an assumption
The fit is an assumption
… multiply the probabilities and you will be at risk without validation
17. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Hypothesis Validation
17
Validation leads to Problem Solution Fit
In reality, you will be validating this hypothesis throughout the
design of your solution, MVP, and product release
The more you validate at early stages, the more successful your
product/service will be
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PROBLEM – SOLUTION FIT
How to validate Problem – Solution Fit
18
PROBLEM – SOLUTION – CUSTOMER
• Market research and data
mining, analysis (data alone is
not enough)
• Surveys
• Customer interviews
• Market tests
• Events
• Customer commitment
• …
PRODUCT – SERVICE
• Simulations
• Demo pitches
• Prototypes
• MVP
• Competitor analysis tools
• Transaction
Focus here for now
19. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Customer Interviews
19
Interview example:
What problems do you encounter when you…?
How often the problem arises?
How do you currently solve this problem?
How much do you spend on trying to solve it?
Questions about the specific solution
Distinguish between customer complaining, and active problem
solving…..
20. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Validation
20
•Future behavior
•Current solutions,
alternatives
•Behavior
•Constraints/Limits
•Improvement 1
•Improvement 2
•…
•Customer 1
•Customer 2
•…
Target
customers
Improvements
Future
situation
Current
situation
Problem Solution
Validation approach
Analysis
…
Conditions
21. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Validation
21
What are the results? Satisfied?
Decisions
New insights about the customers
New insights about the problem
Iterate (minor change)? Pivot (major change)?
Validate again
22. ibtiquar – Ali E. Amrani
PROBLEM – SOLUTION FIT
Questions
22
Thank you
ALI E. AMRANI
IBTIQUAR ابتكار
@amrani @ibtiquar
ARAB INNOVATION
ACADEMY
Hinweis der Redaktion
Feeling side of idea , to rational side
Draw spectrum, car example… apple pc…
Transportation example
Focus on the main problem, main solution, main features.
How do they deal with it now?
You will fill your customers canvas, and market canvas today
Limits: spending, available devices and resources