1) Introduction to lean startup Link to agile developmen2) Lean startup as business design methodology3) What are the challenges in applying lean startup methods?4) Benefits of applying lean startup methods5) Final conclusion
How to successfullylaunch NEW products and services?
”There is surely nothing quite so uselessas doing with great efficiency what should not be done at all” - Peter Drucker -
”By focusing on functional efficiency, we lose sight of thereal goal of innovation: to learn that of which is currently unknown” - Eric Ries -
Research conducted on new product success and failure indicates that ittakes 58 new product ideas to deliver a successful new product.
Building product according tospecification, but failing to address customer need
Market type influenceseverything a startup does
What are you aiming to do with your product?1. Bringing a product into an existing market with a known business model2. bringing a new product into an existing market3. bringing a new product into a new market4. bringing a new product into an existing market and trying to: 4.1. re-segment that market as a low-cost entrant or 4.2. re-segment that market as a niche entrant5. cloning a business model that’s successful in another country
Problem-Solution Fit Optimizing product PRODUCT/MARKET FIT
Pivot or persevere”A pivot is a structured course correction designed to test a new fundamental hypotheses about the product, strategy and engine of growth”
Minimum Viable Product1) Not a product but a test to attract early customers2) Get as much feedback as possible, as soon as possible3) that version of a new product which allows a team to collect the maximum amount of validated learning about customers with the least effort.4) The challenge is to understand what not to ship5) requires judgment to figure out, for any given context, what MVP makes sense
Lean Startup and MetricsQualitative and quantitative metrics.• Qualitative metrics are unstructured, anecdotal, revealing, and hard to aggregate;• quantitative metrics involve numbers and statistics, and provide hard numbers but less insight.Vanity and actionable metrics• Vanity metrics make you and your investors) feel good, but don’t change how you’ll act.• Actionable metrics change your behavior by helping you pick a course of action.Exploratory metrics and reporting metrics• Exploratory metrics are speculative, and try to find unknown insights that can give you the upper hand,• focusing on the interesting and unexpected and on trying new things,• while reporting metrics keep you abreast of the!normal, managerial, day to day operations.
”A startup is a human institutiondesigned to create a new product or service under conditions of extreme uncertainty” - Eric Ries -
Attitude1. Are you entrepreneurial enough?2. Is there a visionary startup founder in you?3. Is your # 1 goal to build a product or launch a business model for a vision?4. Do you have a role in a startup team or are you just there to do a task?
1) that you really understand what your customer wants,2) have a discipline for finding it out, and3) that you don’t start building a core product until you’ve tested your business model (hypothetical or real)
Accept business design as your biggest challenge
Talk to customers and launch ideas early and often!