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But is is actually a pretty successful way of doing it because you are pre- you can never completely take risk out of the equation. You know, your products could always fail. But if you go in having ticked off, I could reach an audience.
I could recent probably. And I know the pricing like yourself to and I know that I am able to produce my widgets or services or whatever it is for less than that is the I’m selling to them.
Then, you know, the 80-20 is that you’re going to be successful. Have you had any experiences with these kind of build it before validation or validation before building either. Either way.
Yeah, a lot. By failing. As for some aren’t. Lesson learnt. So actually. So it’s you will fail.
When starting companies. So that’s. That’s for sure. But it’s better if you learn from other once someone else’s mistakes. So sorry. It will be less costly at least. So you should do your research, which is basically what you were saying, and you will be surprised. Many entrepreneurs don’t do that. So you should first of all, identify who, if if there’s any others out there, what are they doing? How do you compare differentiate from them? And but yeah, also maybe there is no one out there doing that and that that’s not necessarily a good thing. That could be a bad thing because it may mean that it’s not feasible or economically viable. So that’s also maybe there is not a company at the moment doing that, but there was before and they failed. So you should yeah. You should take your time research on for sure. Try to test the market or the audience first. That’s highly recommended. Yes, of course.
It depends on the products and on your circumstances. So how much money would you have to, you know. By advertising dollars. So for how long? ET cetera. So how much time do you allow yourself or your business to to be, you know, losing money or not making money?
So all those factors will influence a lot. Maybe you have like a very long term plan on something that you are doing as a side business. Then over time, probably. Yeah, you are. You are most likely to get there. But if you don’t have much time or much budget, which is usually the case, the best would be to do your research or test the market, just offer the products or a mock of the products or or whatever without having it and see if there is a month in social media for free. And then if there is, you can tell them to pre-order or this or that and go build it. Yeah, hopefully at a profit.
I would I would as as a piece of advice to anyone who’s kind of pre starting, I would choose your path based upon what your inspiration is or what away your interest lies if you’ll primarily motivated by making money and you’re inspired by making money. And so you’re less kind of wedded to either a market or a product idea. Then I would definitely go community first, audience first. Otherwise, find a group of people, work out what their problems are, and then develop products and services for them, because that’s the that’s the most solid path. If you are inspired or passionate about a particular audience or a group, people then again take the same path. But do it because you are motivated by. That group, you’ll you might already be doing that as a hobby, or it might be people you already sort of get along with or something like that. And so that makes my sense. If you’re most motivated by the product or the idea or the inspiration or creating like an inventor sort of tinkering, then I would take the approach of flesh out what your idea is just on paper and then go and as you suggested, do your research, find the audience, find the market and do your validation at that point. So so for the first two is like backing products and services out of an audience. The second one is validating an audience for I just paper idea that you’ve come up with before you start coding anything, before you start creating anything for you start spending too much money. That’s, that’s what I would said.
Yeah. Another shortcut maybe that could be useful for entrepreneurs that I’m sure that they have just as well is. So once you have the idea on what you want to build first, just exchange that idea with your inner circle. But there needs to be those would need to be maybe not your friends that you need to talk to. You need to talk to people that know that at least build a business before in that industry. And so that ideally they or there will be people, you know, in that industry, friends or colleagues or whatever, then better feedback broadly or a more qualified feedback will be entrepreneurs. So someone who is on or has to be an entrepreneur, especially if it’s in that industry that does how qualified opinion. Then after that, if you if your idea is still standing, then go create a pitch deck and start talking to investors, because all this is they have their own teams doing research and they know a lot. So that’s what I do for a living professionally. So after you pass their first filters through, like qualified feedback from entrepreneurs on criticism. So if you’re still alive, then you go presented to VCT, to some of them, just some burn out. All your options right away. Just don’t talk to too many of them, but talk to five or you in less so until them your idea. Let’s um. From what they tell you. Ask feedback you will get after all that you will get a pretty good impression if you have something there or not. And then yeah. You can take action accordingly on what are your next steps. Prolly test the market. Yeah.