Talk to the Business and IT Interface class at JCU a couple weeks ago. The presentation covers these topics:
- What is a Startup?
- Search x Execution
- Speed of Change: faster than ever!
- What people think is important for a startup
- What really matters
- Starting points: Idea x Market Need
- Two Main Hypotheses: Value and Growth Engine
- Tool: Value Proposition Canvas
- Customer Segment
- Value Proposition
- Revenue Model (Monetisation)
- Tool: Business Model Canvas
- Tool: Experiment Board (Javelin)
- Case 1: Wannadoo (Brazil)
- Case 2: JESI (Australia)
- VCs: Most important factors for raising capital
- Pitch Deck Template
- Further reading
- Townsville Startup Weekend
9. Idea
• Too many ideas, challenge is focus
• No ideas, challenge is creativity
• How to turn creativity into innovation: The
Inventure Cycle
• Imagination is envisioning things that do
not exist
• Creativity is applying imagination to
address a challenge
• Innovation is applying creativity to
generate unique solutions
• Entrepreneurship is applying innovation,
bringing ideas to fruition, by inspiring
others’ imagination
• Getting personal - best ideas involve
emotion: love or hate
11. Market Need
• Most startups fail due to
market risk, not technical risk
• Many entrepreneurs are moved
by solving problems
• So instead of pivoting the
Customer Segment to fit your
idea, you pivot the Value
Proposition until you find one
that solves a market need
• Niche markets are prolific
sources of unserviced needs
• Niches became global!
12. Whatever the Case, Two Main Hypotheses
Growth (Engine)
• Paid
• Sticky
• Viral
Value
Minimum
Viable
Product
13. What next? The Value Proposition Canvas.
http://businessmodelgeneration.com/canvas/vpc
14. Customer Segment
• Get Out Of The Building and
interview 50-100 customers
I. Customer Discovery
1. Three-Point Interview:
• Have you ever had [problem]?
• Tell me a story about the last
time you had [this problem]
• For you, what is the ideal
solution for that situation?
2. Create a Persona
• Gather both quantitative data
and qualitative insights
15. Value Proposition
No product development, yet
we’re still GOOB
II. Pitch: try to sell* the product /
service (*only as validation)
III. Concierge of Oz: deliver the
product as a service, in person,
in a manual or "fake" manner
• Focus and empathy are key
• Less is more
• Always define the VP from the
customer perspective
17. Revenue Model
(Monetisation)
• Simple & Straightforward
• Focus on 1 revenue source,
even if there may be others
• Revenue model heavily
dependant on Growth Engine
• Paid
• Sticky
• Viral
• Multi-sided markets = complex
• Experiment with price points
18. Get Out of The Building - The Experiment Board
21. Most Important Factors
1. MKT Size: TAM / SAM / Target Market
2. Product (P/M Fit) - demo if possible
3. Team (Bio, Skills, Execution Capacity)
4. Progress: Validated Learning /
Evidence-BasedTM
5. Scalability & Traction
• Growth Engines: Paid / Sticky / Viral
• Know thy metrics!
What Investors Are Looking For
22. Pitch Deck
1. The Market Need
2. Product-Market Fit
3. Product Demo
4. TAM / SAM / Target Market
5. Revenue / Monetization Model
6. Growth Strategy
7. Traction / Biz Development
8. The Team (who will execute)
9. Call to action: Investment needs
10. <More details as requested>
23. Further reading
• Lean Thinking - Daniel T. Jones, James P. Womack
• The Lean Startup - Eric Ries
• The Four Steps to The Epiphany & The Startup Owner's Manual -
Steve Blank (& Bob Dorf)
• Business Model Generation & Value Proposition Design - Alexander
Osterwalder
• Lean Software Development (& sequel) - Mary & Tom Poppendieck
• Rework - Jason Fried & David Heinemeier Hansson
• Seth Godin on community marketing & doing things that matter
• Like a Virgin - Richard Branson
• And so much more!