Wise words from Steve BlankThe greatest cause of failure—in startups is notin the development of a new product but in thedevelopment of customers and markets.1 out of 10 startups succeed, so play the gamehard and smart.
Just because it makes logical sense doesn’t mean it will work.
Product Development DiagramSKETCHY for early stage startups
It’s natural to go backwards. It’s a valuable part oflearning and discovery.Keep cycling until you achieve “escape velocity” –where you generate enough success to carry you outinto customer creation.
Speed at which a company moves through CustomerDevelopment depends on market type.Startup in an existing market should be able toaccomplish customer validation sooner.Company creating a new market has an open-ended setof questions that may take a year or even longer.
Important: It is the founders thatthen define the first product. Thejob of customer development is tosee where there are customers anda market for that vision.
If you know the answersIf you really do know the answersto the customer developmentprocess, it will go quickly andreaffirm your understanding.
ConclusionStartups don’t fail becausethey lack a product; they failbecause they lack customersand a proven financialmodel.