Fake Doors - How to Test Product Ideas Quickly - Hustlecon 2013

16,291 views

Published on

At Polyvore, we test our product ideas quickly using Fake Doors.

Published in: Technology, Business

Fake Doors - How to Test Product Ideas Quickly - Hustlecon 2013

  1. 1. FAKE DOOR TESTING How to Test Product Ideas Quickly Jess Lee, CEO & Co-founder, Polyvore
  2. 2. Jess Lee HONG KONG / STANFORD CS 2004 / GOOGLE MAPS PM / POLYVORE CEO / DRAWING / BACON / SCI FI & ACTION MOVIES / jessyoko.com @jesskah jess.polyvore.com
  3. 3. The Evolution of Shopping INFORMATION SPECS / FACTUAL REVIEWS / PRICE INSPIRATION TASTE / TRENDS / ASPIRATION
  4. 4. Mix & match products you love • Shop looks created by tastemakers
  5. 5. POLYVORE.COM POLYVORE APP
  6. 6. The Great Startup Rollercoaster TIME EFFORT/ANXIETY 1ST HIRE FUNDRAISING FIRST N USERS PRODUCT-MARKET FIT LIKELIHOOD OF HEAVY DRINKING SOURCE: HTTP://BLOG.ELADGIL.COM/2010/09/ARE-YOU-ALCOHOLIC-YET-OR-GREAT-STARTUP.HTML
  7. 7. Product-Market Fit Being in a good market with a product that can satisfy that market
  8. 8. Market Whose problem are you trying to solve? How many people have this problem?
  9. 9. Product What solution will best serve this market? How can I build this solution?
  10. 10. Ask friends / family CONVENTIONAL WISDOM Talk to Users
  11. 11. Ask Industry Experts / Entrepreneurs / VCs CONVENTIONAL WISDOM Talk to Users
  12. 12. THE UNFORTUNATE TRUTH People are bad at predicting what they want
  13. 13. People are good at reacting to things that exist THE SAVING GRACE
  14. 14. THE ONLY SOLUTION Build & test it quickly
  15. 15. HOW TO BUILD & TEST QUICKLY Fake Door Testing
  16. 16. Only build the important bits. Fake the rest. Test on real users. HOW TO BUILD & TEST QUICKLY Fake Door Testing
  17. 17. EXAMPLE #1 App Notifications
  18. 18. EXAMPLE #2 Universal Shopping Cart
  19. 19. EXAMPLE #3 App Internationalization
  20. 20. EXAMPLE #4 Outfit Sales
  21. 21. List key assumptions Identify the biggest unknowns Build the unknowns, fake the rest Measure your success Steps for Fake Doors
  22. 22. •  People will buy more items if they get a bigger discount •  We can establish partnerships with retailers for this idea List Key Assumptions IDEA: Shop user-generated outfits and get a sliding discount based on the # of items you buy •  People are interested in shopping outfits •  We can scalably create outfits with products from partners ASSUMPTIONS: •  We can handle payment, fulfillment, shipping, returns
  23. 23. Identify Biggest Unknowns •  We can establish partnerships with retailers for this idea •  We can scalably create outfits with products from partners •  People will buy more items if they get a bigger discount •  People are interested in shopping outfits BIGGEST UNKNOWNS: •  We can handle payment, fulfillment, shipping, returns SEEMS LIKE A SOLVABLE PROBLEM:
  24. 24. •  We can establish partnerships with retailers for this idea •  We can scalably create outfits with products from partners •  People will buy more items if they get a bigger discount •  People are interested in shopping outfits BIGGEST UNKNOWNS: •  We can handle payment, fulfillment, shipping, returns SEEMS LIKE A SOLVABLE PROBLEM: Build the Unknowns, Fake the Rest Build outfit sale UI Handle shipping ourselves Show it to real users Fake the partners Make the outfits ourselves
  25. 25. Build outfit sales UI
  26. 26. Show it to users
  27. 27. Fake the Partners
  28. 28. Make the outfits ourselves
  29. 29. Handle shipping, fulfillment, returns ourselves
  30. 30. Measure Your Success RESULTS AFTER 3 MONTHS, 63 OUTFITS, $3722.16: •  1.89% conversion rate •  2.93% checkout rate •  2.32 items / order •  21% return rate LESSONS LEARNED •  People will buy more if the discount goes up •  Our checkout flow with Amazon Payments is terrible •  Needs further improvements to be highly profitable
  31. 31. Need to be tolerant of failure Define clear metrics & constraints Don’t betray your users’ trust Not a replacement for ideation Tips for Fake Doors
  32. 32. Tolerance for Failure
  33. 33. Clear Metrics & Constraints
  34. 34. Don’t Betray Users’ Trust
  35. 35. Not a Replacement for Ideation
  36. 36. Thank You!

×