Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
1
STARTUP
SECRETS
MICHAEL J SKOK
A...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
3
Agenda
Evaluate Build
Gain Pain
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
4
Value Proposition Template
• For...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
5
Apperian (simplified)
• For Mobi...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
6
Where might you start?
Evaluate ...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
7
Ideas … free floating?
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
8
Agenda - Problem
Evaluate Build
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
9
Problem
• Unworkable
• Unavoidab...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
10
Unworkable
• Broken business pr...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
11
Unavoidable
• Accounting
• Regu...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
12
Urgent
• Relative to other need...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
13
Underserved – business…
• You w...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
14
Underserved – consumers…
• Exam...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
15
Qualify the problem
Is it “blac...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
16
& white…
• Is it addressing a “...
897MM monthly audience (uniques)
353MM monthly active users (participating)
5.8 Billion monthly page views
1.8MM web prope...
1 2 3
HOW DISQUS WORKS
Easy install for all platforms
Sites are part of the Disqus network
Sites integrate Disqus Users en...
THE
DISQUS
ECOSYSTEM
A COMMUNITY
ECOSYSTEM is the
foundation of our business.
USERS
GOALS
Discovery
Community
ADVERTISERS
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
20
DISQUS – Value prop for publish...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
21
Problem - Summary
• Is it 4 U?
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
22
Ideas… can now be applied!
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
23
Ideas – fit to problem…
4 U
Bla...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
24
Agenda - Solution
Evaluate Buil...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
25
Solution
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
26
Startup opportunity?
• Faster
•...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
27
What is your compelling breakth...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
28
Breakthrough opportunities…
• D...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
29
Startup Secret: Pick a BIG figh...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
30
Agenda - Evaluate
Evaluate Buil...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
31
Qualitative evaluation
Before A...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
32
Qualitative evaluation
Before A...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
33
DISQUS – Value Prop for Publish...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
34
uTest
• For companies with web ...
|
Before & After
Before: Test In The Lab & Hope
Testing inside the lab is vital. But today‟s web & mobile apps require a n...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
36
Quantitative Evaluation
• Intro...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
37
“Gain/Pain ratio”
• The gain de...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
38
Gain
Gain Pain
• Revenue
• Cost...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
39
Pain
Gain Pain
• Find (See)
• T...
|
• Gain from uTest:
– Scale infinitely and immediately
- From 3 testers, to 30, to 300, and back to 0
– Lower total cost ...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
41
Inertia
Gain Pain
• Switching c...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
42
What‟s the right ratio?
Gain Pa...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
43
“Gain/Pain ratio”
• > 10 to ove...
| 44
• Tough to quantify precisely, but here’s what we’ve learned
Gain vs. Pain Ratio
Gain Pain
Cost Savings: 10X
Lower Es...
| 45
• Test latest version of Google Chrome across 300
highest trafficked URLs on the web
Traditional Outsourcing vs. uTes...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
46
Gain/Pain ratio
• Revenue
• Cos...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
47
Example - Apperian
 Increase r...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
48
Startup Secret…
• Disruptive in...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
49
Akiban - Value Prop
• For Softw...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
50
Akiban – Gain Pain
• 10x -> 100...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
51
Agenda – Build
Evaluate Build
G...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
52
Value Prop
• For (target custom...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
53
Diagnostics For All (DFA)
• For...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
54
DFA
Before
Need
After
Solution
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
55
DFA Gain / Pain
• NO current so...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
56
DFA Example
At-risk pregnancy
L...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
57
Build around - YOU...
• What pr...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
58
Summary
1. Define,
– 4U Need (U...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
59
Thank you…
• Apperian
• Akiban
...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
60
End Note
Most of the value of t...
Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok
61
START UP
SECRETS
MICHAEL J SKOK...
Upcoming SlideShare
Loading in...5
×

Building a Compelling Value Proposition - Competitive Advantage for Startups

48,451

Published on

Developed for the Harvard Innovation Lab workshop series on Startup Secrets.

This is part 1 of the 5 part series by Michael J Skok on how to get competitive advantage as a startup.

Michael's slides are the agenda for the workshop, and are NOT self contained. For fuller coverage of the slides, visit Michael's website http://www.mjskok.com/

Published in: Technology, Business
7 Comments
125 Likes
Statistics
Notes
No Downloads
Views
Total Views
48,451
On Slideshare
0
From Embeds
0
Number of Embeds
33
Actions
Shares
0
Downloads
0
Comments
7
Likes
125
Embeds 0
No embeds

No notes for slide
  • In the real world you’d iterateToday we’re going to do a workshop to allow you to build a value proposition
  • For (target customers—beachhead segment only) Who are dissatisfied with (the current market alternative) Our product is a (new product category) That provides (key problem-solving capability). Unlike (the product alternative), We have assembled (key whole product features for your specific application).Moore, Geoffrey A. (2009-03-17). Crossing the Chasm: Marketing and Selling Technology Project (p. 154). Harper Collins, Inc.. Kindle Edition.
  • EGSilicon Graphics in Hollywood For post-production film engineers Who are dissatisfied with the limitations of traditional film editors Our workstation is a digital film editor That lets you modify film images any way you choose. Unlike workstations from Sun, HP, or IBM, We have assembled all the interfaces needed for post-production film editing.Moore, Geoffrey A. (2009-03-17). Crossing the Chasm: Marketing and Selling Technology Project (p. 154). Harper Collins, Inc.. Kindle Edition.
  • In the real world you’d iterateToday we’re going to do a workshop to allow you to build a value proposition
  • Customer problem or need
  • Defining the problem….
  • NOT, faster, cheaper, betterNOT Incremental, marginal!3D !Initially at the expense of whole product is ok, partner, or provide professional services to fill in gaps
  • NOT, faster, cheaper, betterNOT Incremental, marginal!3D !Initially at the expense of whole product is ok, partner, or provide professional services to fill in gaps
  • That is not surprising and the manufacturers and carriers are counting on it. ABI says we may see $133 billion in data revenue worldwide by 2014To me, given that even the old stogy medical industry is mobilizing quickly, I think that number might be conservative.I further base that statement on the fact that 40% of uTest’s business is now Mobile app related and that number is not restricted to games or consumer appsWe are seeing significant increases in apps for business, productivity and collaboration across all of the major device families.Now, I grant you that many of these apps start as outsourced projects for point solutions, but they are now becoming strategic, coming in house and becoming mission critical.
  • For (target customers—beachhead segment only) Who are dissatisfied with (the current market alternative) Our product is a (new product category) That provides (key problem-solving capability). Unlike (the product alternative), We have assembled (key whole product features for your specific application).Moore, Geoffrey A. (2009-03-17). Crossing the Chasm: Marketing and Selling Technology Project (p. 154). Harper Collins, Inc.. Kindle Edition.
  • For (target customers—beachhead segment only) Who are dissatisfied with (the current market alternative) Our product is a (new product category) That provides (key problem-solving capability). Unlike (the product alternative), We have assembled (key whole product features for your specific application).Moore, Geoffrey A. (2009-03-17). Crossing the Chasm: Marketing and Selling Technology Project (p. 154). Harper Collins, Inc.. Kindle Edition.
  • DiscontinuousDefensibleDisruptive
  • Transcript of "Building a Compelling Value Proposition - Competitive Advantage for Startups"

    1. 1. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 1 STARTUP SECRETS MICHAEL J SKOK An insider‟s guide to unfair competitive advantage Hi Harvard innovation lab Building a Compelling Value Proposition twitter: @mjskok mjskok.com North Bridge Venture Partners
    2. 2. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 3 Agenda Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    3. 3. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 4 Value Proposition Template • For (target customers) • Who are dissatisfied with (the current alternative) • Our product is a (new product) • That provides (key problem-solving capability) • Unlike (the product alternative)
    4. 4. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 5 Apperian (simplified) • For Mobile Enterprises • Who are unable to deliver Apps to users bringing their own devices to work • Our Enterprise App Services Environment (EASE) • Provides for users to securely access Apps and Information • Unlike (MDM), our patented Cloud based (MAM) solution is instantly turned on and scales to tens of thousands of users
    5. 5. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 6 Where might you start? Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    6. 6. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 7 Ideas … free floating?
    7. 7. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 8 Agenda - Problem Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    8. 8. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 9 Problem • Unworkable • Unavoidable • Urgent • Underserved Problems worth solving are usually 4U …
    9. 9. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 10 Unworkable • Broken business process • Consequences ? If the consequences are costly or painful, so much the better. EG who gets fired if this doesn’t work?
    10. 10. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 11 Unavoidable • Accounting • Regulation Is the problem so fundamental you can’t avoid it and just have to comply?
    11. 11. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 12 Urgent • Relative to other needs … • Priority – Determines resources allocated If you’re not at the top of the list, are you at least in the top 3? If not will you get moved up or down over time and why?
    12. 12. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 13 Underserved – business… • You will compete in a zero-sum game • Finite: – $ – Time – People – Attention
    13. 13. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 14 Underserved – consumers… • Examples… • Social – Find – Connect – Communicate – Meet – Share – Entertain – Date • Needs… • Social • Security • Physical • Economic • Recognition • Responsibility • Achievement • Growth
    14. 14. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 15 Qualify the problem Is it “blac” & white? • Blatant • Latent • Aspirational • Critical Blatant Latent Aspirational Critical Blatant Critical
    15. 15. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 16 & white… • Is it addressing a “white space” in the market? – an open area of opportunity – which you can capture – and defend – uniquely
    16. 16. 897MM monthly audience (uniques) 353MM monthly active users (participating) 5.8 Billion monthly page views 1.8MM web properties in network 75% marketshare for commenting platforms #1 distributed social application (comScore, Quantcast) BUSINESS POLITICS NEWS MUCH MOREENTERTAINMENT SPORTSTECH DISQUS is the most ubiquitous discussion platform on the web.
    17. 17. 1 2 3 HOW DISQUS WORKS Easy install for all platforms Sites are part of the Disqus network Sites integrate Disqus Users engage with Disqus Users discover new content & sites across Disqus Sites see tangible benefits, including increased traffic on their pages Audience development made easy. Millions of users use Disqus to participate online and we make that valuable for publishers in a way that they can measure.
    18. 18. THE DISQUS ECOSYSTEM A COMMUNITY ECOSYSTEM is the foundation of our business. USERS GOALS Discovery Community ADVERTISERS GOALS Acquisition Retention PUBLISHERS GOALS Engagement Growth Revenue
    19. 19. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 20 DISQUS – Value prop for publishers FOR · Publishers, like online media or bloggers WHO CARE ABOUT · Building more engaged, loyal audiences directly on their sites OUR PRODUCT IS · The most widely used discussion platform online THAT PROVIDES · An “engagement management platform” for publishers, and · direct reach into millions of engaged community participants online UNLIKE · Social networks, which don‟t properly serve the needs of publishers · Or white-label software, which doesn‟t provide the wide network reach of users
    20. 20. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 21 Problem - Summary • Is it 4 U? – Unworkable – Unavoidable – Urgent – Underserved • Is it blac and white?
    21. 21. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 22 Ideas… can now be applied!
    22. 22. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 23 Ideas – fit to problem… 4 U Blatant Critical
    23. 23. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 24 Agenda - Solution Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    24. 24. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 25 Solution
    25. 25. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 26 Startup opportunity? • Faster • Cheaper • Better
    26. 26. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 27 What is your compelling breakthrough? Break something! 3 D
    27. 27. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 28 Breakthrough opportunities… • Discontinuous innovation • Defensible technology • Disruptive business model 3 D‟s
    28. 28. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 29 Startup Secret: Pick a BIG fight! • It‟s often as much work going after a small fight… • Big problems often = Big opportunities At North Bridge we look for “Game Changers”
    29. 29. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 30 Agenda - Evaluate Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    30. 30. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 31 Qualitative evaluation Before After Acute Pain  Absolute Joy 
    31. 31. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 32 Qualitative evaluation Before After Acute Pain  Absolute Joy  Vitamin vs. Penicillin
    32. 32. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 33 DISQUS – Value Prop for Publishers BEFORE AFTER NEED SOLUTION · Generic or white-label community software · Or using social networking integrations · A way for publishers to own their users · Control, privacy, and monetization ability · Community platform that is connected in a network · Publisher-centric platform that allows for max control · Easy to use Disqus integration · Community platform plus revenue potential
    33. 33. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 34 uTest • For companies with web or mobile apps • Who are dissatisfied with apps that work as expected in the QA lab, but not in the hands of end users • Our in-the-wild testing • Enables them to test their apps under real-world conditions • Unlike outsourced testing, which merely moves the QA lab to a cheaper part of the world, but doesn‟t actually improve app quality 34
    34. 34. | Before & After Before: Test In The Lab & Hope Testing inside the lab is vital. But today‟s web & mobile apps require a new approach to augment lab testing: in-the-wild testing After: Test Where Your Users Are
    35. 35. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 36 Quantitative Evaluation • Introducing the gain/pain ratio Gain Pain
    36. 36. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 37 “Gain/Pain ratio” • The gain delivered to the customer vs. • The pain and cost for the customer to adopt Gain Pain
    37. 37. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 38 Gain Gain Pain • Revenue • Cost savings • Time • People • Competitive advantage • Reputation • Etc..
    38. 38. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 39 Pain Gain Pain • Find (See) • Try • Buy • Implement • Deploy • Own – eg TCO
    39. 39. | • Gain from uTest: – Scale infinitely and immediately - From 3 testers, to 30, to 300, and back to 0 – Lower total cost of testing - EG: SMBs - unlimited testing for ½ the cost of one FTE – Test under real-world conditions - Live testers, real devices, imperfect conditions… in-the-wild • Pain from uTest: – More testing reports, creating more work - Takes time to re-produce, vet and rate 50+ bugs – More collaboration, creating more oversight - Coordination between in-house & crowd testers • Goal: – Maximize in-the-wild testing, while minimizing overhead uTest: Gain vs. Pain 40
    40. 40. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 41 Inertia Gain Pain • Switching costs? • Default = do nothing • Alternatives? • Good enough = good enough! • RISK on a startup Inertia, RISK
    41. 41. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 42 What‟s the right ratio? Gain Pain Inertia, RISK
    42. 42. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 43 “Gain/Pain ratio” • > 10 to overcome – Inertia – RISK Inertia, RISK Gain Pain >10
    43. 43. | 44 • Tough to quantify precisely, but here’s what we’ve learned Gain vs. Pain Ratio Gain Pain Cost Savings: 10X Lower Escape Rate by 75% Make Testing Mirror User Base Launch Confidence Higher Quality Apps vs. Increased Overhead 5:1 on cost basis 20:1 on cost + value basis
    44. 44. | 45 • Test latest version of Google Chrome across 300 highest trafficked URLs on the web Traditional Outsourcing vs. uTest Testers 8 Testers 30 Hours / Tester 40 Hours / Tester 10 # of Days 5 # of Days 2 # of URLs Tested 300 # of URLs Tested 300 # of Discovered Issues 19 # of Discovered Issues 129 Price $15,000 Price $10,000 Price-per-Issue $789 Price-per-Issue $78 Sample Customer ROI
    45. 45. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 46 Gain/Pain ratio • Revenue • Cost savings • Time • People • Competitive advantage • Reputation • Etc.. • Inertia • Switching costs? • Default = do nothing • Alternatives? • Good enough = good enough! • RISK on a startup • Find (See) • Try • Buy • Implement • Deploy • Own – eg TCO Inertia, RISK Gain Pain >10
    46. 46. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 47 Example - Apperian  Increase revenue by 40% at counters  Roll out 17,000 iPads  Deliver worldwide no IT touch required  Saved $2.5M+ in direct IT costs
    47. 47. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 48 Startup Secret… • Disruptive innovation Yet.. • NON disruptive adoption
    48. 48. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 49 Akiban - Value Prop • For Software-as-a-Service (SaaS) providers • Who are dissatisfied with their DB performance and its inability to manage new and complex data • Our product is a unique database leveraging a patented „SQL‟ and „NoSQL‟ architecture • That provides 10-100X performance, compelling new search features and real-time actionable insights. • Unlike NoSQL solutions that require a re-write,
    49. 49. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 50 Akiban – Gain Pain • 10x -> 100x performance improvement • NO change to applications • NO risk deployment (replicated data) • Customers Gain/Pain ratio = 10 to 100 – Case study: • Doubling revenue with Akiban • Unworkable alternatives – rewrite and lose revenue, with unsure outcome
    50. 50. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 51 Agenda – Build Evaluate Build Gain Pain Value Prop Define Ideas Problem Solution
    51. 51. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 52 Value Prop • For (target customers) • Who are dissatisfied with (the current alternative) • Our product is a (new product) • That provides (key problem-solving capability) • Unlike (the product alternative)
    52. 52. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 53 Diagnostics For All (DFA) • For those in the developing world • Who are dissatisfied with limited access to diagnosis • Our product is a patterned paper-based diagnostic technology • That provides low-cost, easy-to-use, point-of- care diagnostics • Unlike no diagnosis
    53. 53. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 54 DFA Before Need After Solution 53% of Rwandan women cannot afford healthcare 26% of Rwandan women live too far from a hospital [1] National Institute of Statistics of Rwanda (NISR) [Rwanda], Ministry of Health (MOH) [Rwanda] http://www.measuredhs.com/publications/publication-fr259-dhs-final-reports.cfm Point-of-care Minimal training required Cost = 1¢ Diagnosis by telemedicine Image: http://www.trust.org/alertnet/news/alertnets-top-20-big-ideas-that-dont- cost-the-earth/
    54. 54. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 55 DFA Gain / Pain • NO current solution => huge • NO infrastructure required • NO training required • NO time required • Customers Gain/Pain ratio = ∞
    55. 55. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 56 DFA Example At-risk pregnancy Liver function • 8 million affected globally • conducting ~700 person trial in Vietnam • test for ALT/AST enzymes • cost: $14 v. 1¢ (DFA) Child nutrition Small farmer support Customer ‘pain’ is real pain
    56. 56. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 57 Build around - YOU... • What problems do you understand uniquely well? • What solution can you deliver uniquely well? • What kind of disruptive business model can you bring?
    57. 57. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 58 Summary 1. Define, – 4U Need (Unworkable, Unavoidable, Urgent, Underserved) – 3D Solution (Discontinuous, Defensible, Disruptive) 2. Evaluate – Gain/Pain >10 3. Build – Around YOU!
    58. 58. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 59 Thank you… • Apperian • Akiban • Disqus • DFA • uTest Follow online www.mjskok.com @mjskok /mjskok linkedin.com/in/mjskok bit.ly/mjskok-google bit.ly/mjskok-youtube
    59. 59. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 60 End Note Most of the value of this presentation is in the talk track on www.mjskok.com in the resource http://www.mjskok.com/resource/building- compelling-value-proposition Comments and questions are welcome on the site. 60
    60. 60. Harvard innovation lab : Michael J Skok : Startup Secrets : Value PropositionHi @mjskok 61 START UP SECRETS MICHAEL J SKOK An insider‟s guide to unfair competitive advantage Hi Harvard innovation lab Building a Compelling Value Proposition mjskok.com twitter: @mjskok North Bridge Venture Partners

    ×