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Lean startup - Startup Weekend Tucson

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A quick presentation Warner Onstine and Aaron Eden presented for Startup Weekend Tucson participants on Lean Startup.

A quick presentation Warner Onstine and Aaron Eden presented for Startup Weekend Tucson participants on Lean Startup.

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  • Ask people to raise their hands if they have started a business. Ask them to keep them up if the plan they had in mind for the business changed after launching
  • Give descriptions of our businesses. IT: Basecamp Web-based project management application Non-IT: Residential Wind Turbines
  • Based on lean manufacturing
  • Wouldn't it be better to know that customers will be willing to buy your product after the weekend instead of the reverse after spending months building your product?
  • Focus on your customers What are the problems you think they have?
  • Keep segments SMALL A customer is someone that pays for your product
  • We are a Tucson based energy company and are currently working on a new service to help single family home owners reduce their energy costs. We are specifically looking to build small wind turbines. I would love to get 30 minutes of your time to help us understand your current green energy use. I'm not selling anything, just looking for advice. Intro Demographic Questions Tell a story (problem context) Rank / validate needs (rank, don't need, nice to have, must have) Ask for referrals
  • Wind Turbine team learned: Bigger turbine Market education Neighbor's Approval
  • Transcript

    • 1. Lean Startup Aaron Eden @aaroneden Warner Onstine @warneronstine
    • 2. What is Lean Startup?
      • A way to go from Plan A to a plan that works 1
      • 1 Yes I stole this from Ash Maurya's book Running Lean
    • 3. Not just for IT
        • Easy to take the basic methods in Lean Startup to apply to any non-software business.
        • Every business has customers that you will be selling to.
    • 4. The basic tenets
        • Avoid waste wherever/whenever possible
        • Lean does not mean cheap
        • Only build what you need when you need it
        • Learn directly from your customers as quickly as possible
    • 5. The basic building blocks (for software projects)
        • Customer Development (CustDev)
          • What problem are you solving?
          • Who is your market?
          • What is your solution?
          • Do they NEED it?
        • Commodity Hardware/Software
          • Use off-the-shelf whenever possible, until it's no longer viable
          • Cloud computing
        • Agile Development
          • Build/Measure/Learn
          • Iterate often
          • Gather feedback/metrics
    • 6. The basic building blocks (non-software projects)
        • Customer Development (CustDev)
          • What problem are you solving?
          • Who is your market?
          • What is your solution?
          • Do they want it?
        • Outsourced services
          • Use off-the-shelf whenever possible, until it's no longer viable
          • Utilize vendors / partners
        • Agile Business Development
          • Build/Measure/Learn
          • Iterate often
          • Gather feedback/metrics
    • 7. What can I possibly do with LS in a weekend?
      • Quite a bit
        • Initial problem you are solving
        • Initial market you are solving it for
        • Do they need it?
      • All of these questions can be answered over one weekend using CustDev
      • We will be focusing on using CustDev during this presentation 
    • 8. What are the 3 problems you are trying to solve?
      • Basecamp (PM Tool)
        • Proj Mgmt too complicated
        • It's difficult to share status with clients
        • It's difficult to get clients involved in the process
      • Residential Wind Turbines
        • Wind Energy Too Expensive
        • Green status symbol
        • Short ROI
    • 9. Who are your customers?
      • Basecamp (PM Tool)
        • Small creative businesses
        • Medium-sized businesses that manage multiple projects
        • Their clients
      • Residential Wind Turbines
        • Single family home-owner
        • House rental groups
        • Home remodelling contractors
    • 10. Interview early adopters
        • First degree contacts
        • Ask for introductions
        • In person or over the phone
        • Learn / don't SELL
        • Pair up
        • No surveys
        • No statistical significance
        • Would they pay?
      “ Customers don’t care about your solution. They care about their problems.”  - Dave McClure (500Startups)
    • 11. When your problem isn't big enough
        • Is there another related, larger problem for your target market?
        • Is this a solution for a different market?
        • Is there are a similar problem but for a smaller market?
        • Is there a piece of your solution that might be a product on it's own?
        • Or, if all else fails you can ditch it all together and try something else
    • 12. What about after Startup Weekend?
        • Startup Drinks
        • LS Lunches
        • Additional Lean Startup presentations 
    • 13. Resources
      • Books
        • 4 Steps to the Epiphany by Steve Blank
        • Entrepreneur's Guide to Customer Development by Brant Cooper and Patrick Vaskovitz (http://custdev.com)
        • Lean Startup by Eric Ries 
        • Running Lean by Ash Maurya
      • Free
        • http://steveblank.com
        • http://ashmaurya.com
        • http://startupslessonslearned.com