Most startups fail, that's a given. But they don't fail because they had a bad product - they fail because they didn't find a Product/Market fit. This presentation is an intro to Lean Startup - a methodology you should use in order to validate that your great idea is truly great before you even write a single line of code.

1. Lean Startup
Turning an Idea into a Product
(the right way)
Tal Atzmon
@talatzmon

2. How do you validate
your Idea?

3. Product Manager
Worked at Startups and
Enterprises
Lecturer
Startup mentorAbout Myself

4. The
story

6. Licensing and Payment Plan Management

7. Things were great!
- Accepted to the 1st Elevator Fund cycle
- Raised $300K within 3 months
- Got our first customer
And what did we do with all
that money?

8. We built an
Awesome Product!

9. We built an Awesome API!

10. We assumed
startups are our
Customers

11. But the feedback was not so good…

13. Most
Startups
Fail
Not because they have
a bad PRODUCT…
…but because they
didn’t find a
PRODUCT/MARKET FIT.

14. We Failed Because We Didn’t Validate Our
Assumptions

15. Waterfall Development
We assumed we
know the problem
We started a long
development process
We discussed with our
potential customers only
after we launched

16. Waterfall Development is the Wrong Process
for Startups

17. What is a Startup?

18. Since startups are in Search mode, they need
a faster, low-risk development method

19. Lean Startup
Search for Business Model
Minimize Risk
Document
Plan A
Customer
Discovery
Customer
Validation
Verify or
Pivot
Test the
Problem
Test the
Solution

20. Problem
Top 3 problems
Solution
Top 3 features to solve the
problem
Unique Value
Proposition
The promise.
Single clear message that
states why are you worth
buying
WHAT does it do?
WHO is it for?
WHY is it needed?
Customers
Target customers
Cost Structure
Customer acquisition cost, hosting, distribution, people, etc.
Revenue Stream
What is your revenue model
Key Metrics
Key activities to measure
Unfair Advantage
Can’t be easily copied or
bought
Channels
Path to customers
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot Document “Plan A”
Lean Canvas Business Model

21. Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot
We had a
Business
Model
Canvas…
But we
never
validated it

22. How do you test the Problem?
The story of Buffer
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

23. Validating the Problem*
- Build a landing page
- Gather insights
- Speak with customers
*before you write a single line of code
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

24. Validating Customers
are Willing to Pay*
*before you write a single line of code
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

25. Test the Solution
Launching Buffer’s MVP, Dec 2010
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

26. “The Sean Ellis Test”
How would you feel if you could no
longer use this product?
- Very disappointed
- Somewhat disappointed
- Not disappointed
- I already stopped using
Validating P/M Fit
http://www.startup-
marketing.com/using-survey-io/
+40%
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

27. The Pivot
A substantive change in the
business model
Document
Plan A
Test the
Problem
Test the
Solution
Verify or
Pivot

28. A Pivot is what’s gonna save your business
For example…

31. Key Takeaways
Idea is not a Product
Product is a Solution to a Problem that is worth solving
Don’t spend too much time on Development
Listen to your potential customers
“The only thing that matters is getting to product/market fit” Marc
Andreesen
Paying for

32. Recommended Reading
How to Create Your Lean Canvas
https://leanstack.com/LeanCanvas.pdf

33. Thank You
@talatzmon
/talatzmon
tala233@gmail