Post by wsannhbz on Dec 5, 2023 4:58:15 GMT -5
6 steps to product-market fit
Here another question arises: how to look for and build a product-market fit?
Dan Olsen also provides us with answers. In his opinion, the entire process can be boiled Email List down to six steps, the first three of which are the most important. If you want Dan Olsen’s “first-hand” opinion, watch this video. Below is a brief summary.
Step 1. Identify your target audience. If you take the need called “transportation,” you will find that a mother of three has a different need than a 19-year-old man. And consequently, they are both looking for a different solution. That’s why it’s so important to select a group of potential customers.
The double-narrowing method can be helpful in this regard. For example, programmers are a general market. Java script programmers are less general – the first narrowing. The second narrowing, more specifically, is junior java script programmers.
Step 2. Identify unconscious needs. What do customers need? They often don’t know themselves. Some time ago, the head of Hagen Comm, the PR agency in Poland, said that clients usually have a sense of what result they want, but often have no idea how to get there. You have to help them figure that out.
And once that problem is out there and solutions are emerging, say you find two alternatives, which one should the customer choose? Why does solution A solve the customer’s problem better than solution B? Looking at the solution in this way helps to identify the real problem.
Step 3. Define the value proposition. The value proposition can be boiled down to the benefits a customer receives by using your product or services. According to Dan Olsen, at this stage, you should answer the question, “What will you do better than your competitors, and what will differentiate you in the marketplace?” and then list these benefits.
Next, you should rank them according to three categories: performance (better, faster, stronger), must-have (quality factor, everyone has it, like seat belts in a car), and wow effect (which benefit will delight the customer). Do the same with your competitors – make a list. And then think about in which areas you are better than your competitors – that is your value proposition.
Here another question arises: how to look for and build a product-market fit?
Dan Olsen also provides us with answers. In his opinion, the entire process can be boiled Email List down to six steps, the first three of which are the most important. If you want Dan Olsen’s “first-hand” opinion, watch this video. Below is a brief summary.
Step 1. Identify your target audience. If you take the need called “transportation,” you will find that a mother of three has a different need than a 19-year-old man. And consequently, they are both looking for a different solution. That’s why it’s so important to select a group of potential customers.
The double-narrowing method can be helpful in this regard. For example, programmers are a general market. Java script programmers are less general – the first narrowing. The second narrowing, more specifically, is junior java script programmers.
Step 2. Identify unconscious needs. What do customers need? They often don’t know themselves. Some time ago, the head of Hagen Comm, the PR agency in Poland, said that clients usually have a sense of what result they want, but often have no idea how to get there. You have to help them figure that out.
And once that problem is out there and solutions are emerging, say you find two alternatives, which one should the customer choose? Why does solution A solve the customer’s problem better than solution B? Looking at the solution in this way helps to identify the real problem.
Step 3. Define the value proposition. The value proposition can be boiled down to the benefits a customer receives by using your product or services. According to Dan Olsen, at this stage, you should answer the question, “What will you do better than your competitors, and what will differentiate you in the marketplace?” and then list these benefits.
Next, you should rank them according to three categories: performance (better, faster, stronger), must-have (quality factor, everyone has it, like seat belts in a car), and wow effect (which benefit will delight the customer). Do the same with your competitors – make a list. And then think about in which areas you are better than your competitors – that is your value proposition.