product ideation and customer development

You’ve got an idea. Now what?Product Ideation & Customer Development

Hiten ShahStartup Roots - Pier 38, San Francisco, CA • June 30, 2010

The Startup PyramidThe Race to the Top

Product / Market Fit

Transition to Growth

Growth

Sean Ellis: Startup-Marketing.com

• Low burn, focused on product, no VPs / sales people

• Customer Development (Steve Blank, Four Steps)

• Minimum Viable Product (Eric Ries, The Lean Startup)

• Pivots (Eric Ries, The Lean Startup)

Product / Market Fit

…the life of any startup can be divided into two parts – before product/market fit and after product/market fit.”Marc Andreesen, Founder of Netscape

“

• It’s all about learning and discovery

• Outlined by Steve Blank in Four Steps to the Epiphany

Customer Development

STOPCustomerDiscovery

STOPCustomerValidation

STOPCustomerCreation

STOPScale

Company

Pivot

• Coined by Eric Ries as part of The Lean Startup

• Lean Startups are a series of MVP’s

• Each designed to answer a specific question (hypothesis)

Minimum Viable Product

The minimum viable product (MVP) is often an ad on Google. Or a PowerPoint slide. Or a dialog box. Or a landing page. You can often build it in a day or a week.”Nivi, Venture Hacks

“

If Apple can launch a smartphone without Find or Cut-and-Paste, what can you cut out of your product requirements?”Lance Glasser, former CTO KLA-Tencor

“

The first version of Gmail was literally written in a day”Paul Buchheit, Google / Friendfeed / Facebook

“

My hypothesis is that twitter power users have a problem tweeting interesting things.

4,900+ tweets & 24,000+ followers

1 day1 developer

7,500 Twitter followers

Minimum Viable Product - Landing Pages

Landing Page Call to Action Survey

Landing Page

Call to Action

Survey

CrazyEgg Heatmap =)

I L♥ve Surveys

Market Intelligence

What are you up against?

Market Intelligence

Straight from the horse’s mouth!

Idea Validation

People will tell you what they want,you just have to ask!

Idea Validation

Qualifying Leads

Use key questions to filter your respondents

Lead Generation

People want to help you. They really do.

1 week1 developer

Saved 2+ hours per week

What’s next?

• Landing Pages

• CSS/HTML, Performable, Google Sites, Webs.com, etc...

• Survey Creation and Data Collection

• Wufoo, SurveyMonkey, FormStack, SurveyGizmo, etc...

• Traffic Sources

• AdWords, StumbleUpon, Twitter, Craigslist, Forums, etc...

• Analytics

• Google Analytics, KISSmetrics, ChartBeat, CrazyEgg etc...

Tools

Thank You!

hshah@kissmetrics.com

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