The document summarizes the evolution of startup tools and methodologies over time. It describes four main eras: the Golden Age from 1970-1995 where startups required millions to start and had long development cycles; the dot-com bubble of 1995-2000 where the goal was to quickly flip businesses; Lean Startups from 2001-2010 where startups could launch with under $500k and use agile development and customer feedback; and the current era from 2010-present where businesses aim to rapidly acquire millions of customers and pursue acquisitions or IPOs. The document also outlines Lean Startup principles like the build-measure-learn loop and minimum viable products which aim to minimize time to validated learning about customers.

1. Startup tools
Luiz Borba - http://borba.blog.br - @luizborba

2. Startup history
Golden Age Lean Startups
1970-1995 1995-2000 2000-2011 2011-?
dot.com bubble The new bubble

3. Golden Age (1970-1995)
‣ Building a business
‣ $ Millions to start (proprietary hw/sw)
‣ Long product dev cycle (waterfall)
‣ Thousands Customers
‣ Liquidity=IPO
‣ No repeatable methodology

5. dot.com bubble (1995-2001)
‣ Flipping a business
‣ 10's $ millions to start (get big fast)
‣ Long product dev cycle
‣ Millions of customers
‣ no profits IPO
‣ Repeatable methodology

7. Lean Startups (2001-2010)
‣ < $500k to start
‣ Short product dev cycle (agile development)
‣ 10's millions customers
‣ M&A (revenue & network of users)
‣ Repeatable methodology

8. $41 millions

9. The new bubble (2010-????)
‣ Flipping a built business?
‣ Short product dev cycle (agile development)
‣ 10's/100's millions customers
‣ M&A & IPO
‣ Repeatable methodology

10. Building a Business

11. Lean Thinking

12. Identify value from standpoint
of the end customer

13. Map the value stream

14. Create flow by eliminating waste

15. Understand the customer demand

16. Pursue perfection

17. Customer Development
The search for the business model
The Search for a Business The Growth of a Business

18. ‘ Startup is an organization formed to
search for a repeatable and scalable
business model
- Steve Blank

19. Customer Discovery

20. Customer Discovery
‣ Stop selling, start listening
‣ Test your hypotheses
‣ Continuous Discovery

21. Get out
of the
building

25. Coming soon

26. Type of Market
Changes Everything
• Market • Sales • Customers
• Market Size • Sales Model • Needs
• Cost of entry • Margins • Adoption
• Finance
• Launch type • Sales cycle
• Ongoing Capital
• Competitive Barriers • Chasm width
• Time to profitability
• Positioning

27. Customer Validation

28. How to Validate?

29. Minimum Viable Product
(MVP)
The minimum set of
features needed to learn
from early adopters

30. The Pivot

31. Change directions but
stay grounded in what
we've learned

32. ‘ A startup is a human institution
designed to deliver a new product or
service under conditions of extreme
uncertainty.
- Eric Ries

33. The Lean Startup Principles
‣ Entrepeneurs are everywhere
‣ Entrepeneurship is management
‣ Validated Learning
‣ Innovation Accounting
‣ Build-Measure-Learn

34. Traditional product development
unit of progress: advance to next stage

35. Agile product development
unit of progress: a line of working code

36. Product development at Lean Startup
unit of progress: validated learning about customers ($$$)

37. The Loop

38. Minimize the total time
through the loop

39. Build faster
‣ Unit tests ‣ Cluster immune
system
‣ Usability tests
‣ Just-in-time
‣ Continuous
scalability
integration
‣ Refactoring
‣ Incremental
deployment ‣ Developer sandbox
‣ Free & open-source ‣ Minimum viable
product
‣ Cloud computing

40. Measure faster
‣ Split tests ‣ Funnel Analysis
‣ Continuous ‣ Cohort Analysis
deployment
‣ Net promoter score
‣ Usability tests
‣ Search engine
‣ Real-time marketing
monitoring & alerting
‣ Predictive
‣ Customer liaison monitoring

41. Split tests
if (setup_experiment(...) == CONTROL) {
// new way
} else {
// old way
}

42. Continuous deployment

43. Funnel analysis

44. Learn faster
‣ Split tests ‣ Product owner
‣ Customer ‣ Accountability
development
‣ Customer archetypes
‣ Five whys
‣ Cross-functional
‣ Customer advisory teams
board
‣ Semi-autonomous
‣ Falsifiable teams
hypotheses
‣ Smoke tests

45. Reality Check
http://slidesha.re/kexf1L

46. Q&A

47. Thank you