Economy: Innovation Machine <ul><li>100s of thousands of entrepreneurs </li></ul><ul><li>Startups serving narrow segments </li></ul><ul><li>End of the dominance of the “Big Win” mentality </li></ul><ul><li>You don’t get $ because you got a great idea </li></ul><ul><li>Prove business model prior to ramping </li></ul>
<ul><li>The vast majority of startups fail NOT because they couldn’t build a great product/technology, but because no one wanted the product. </li></ul><ul><li>One of Steve Blank’s Big Ideas </li></ul>Lean Startup Big Idea #1
<ul><li>“ Not only are the market applications for disruptive technologies unknown at the time of their development, they are unknowable. ” </li></ul><ul><li>-Clayton Christensen, The Innovator’s Dilemma </li></ul>Lean Startup Big Idea #2
Runway = # of c ycles through business model Eric Ries’ Big Idea How many pivots before the money runs out? Lean Startup Big Idea #3
Customer Problem Team Solution Team Validate Customer, Problem, Solution Hypotheses Build MVP Measure Usage Validate MVP Iterate Investigate Funnel Build Funnel Measure Conversions The Lean Startup A Lean Startup is a series of tests on the market, solution, and growth assumptions.
CustDev Meta-Rules 1) Question Your Assumptions 2) “Get Out of the Building” 3) Test & iterate