Leanspark Sofia 2011 - Rob Fitzpatrick on Customer Development

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Leanspark Sofia 2011 - Rob Fitzpatrick on Customer Development

  1. 1. Customer development(and how its going to saveyou money)robftz@gmail.com
  2. 2. Lean is about eliminating waste
  3. 3. The biggest waste is building a productnobody wants to pay for
  4. 4. Very few startups have trouble buildingtheir product
  5. 5. The most common problem is anabsence of customers
  6. 6. Customer development helps in 2 ways1. If youre building the wrong thing, it helps you learn that sooner2. Once youre building the correct thing, it helps you find customers before you launch
  7. 7. Its very simple1. Talk to lots of customers2. Deeply understand their needs3. Write down what you learn
  8. 8. But its not sales
  9. 9. Its about learningThere are lots of possible ways to learn what yourcustomers want
  10. 10. What you need to learn depends on thestage of your company Illustration from custdev.com
  11. 11. 1. Discovery
  12. 12. Who is your customer?How do they work?How do they spend money?
  13. 13. What are their biggest problems?How do they solve those problems?How much are the problems worth?
  14. 14. Would your idea solve their problems?
  15. 15. 2. Validation
  16. 16. But they might be lying to you!
  17. 17. Build a simple version of the productProve they were telling the truth bygetting them to buy it
  18. 18. 3. Efficiency & scale
  19. 19. Figure out the sales channelStart finding lots of customers
  20. 20. But companies who skip to this stepperform much worseCreate a solid foundation beforescaling
  21. 21. Tricky questions:Money and ego
  22. 22. Understand how they spend moneyWhich budget does this type of purchase comefrom?What do you already buy that is similar?Who would be most excited to buy this?
  23. 23. "Would you buy this product?"
  24. 24. "Would you buy this product?"Avoid questions that make them feel guilty aboutanswering honestly.
  25. 25. You want find ways the business wontwork
  26. 26. Write down what you learn
  27. 27. You get interviews by asking andwanting to learn
  28. 28. Not everyone is worth talking to
  29. 29. Its a casual conversation, not a salespitch
  30. 30. Youre offering them the chance to bean expert and learn what youreworking on
  31. 31. The founders and product ownersshould do the interviews themselves
  32. 32. To summarize:Who is your customer?What is their big problem?How do they spend money?What else matters to them?
  33. 33. When you find something wont work,update the business and keep learning. Illustration from custdev.com
  34. 34. Thanks!robftz@gmail.comthestartuptoolkit.com

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