In order to carry out a project, it is necessary to trust the method, which will be able to carry it out and promote it. Lean startup, a method of running companies for visionaries, can help in this. The key objective is to find the shortest route to achieving a given vision.
What is a lean startup?
Usually, entrepreneurs focus on creating a product, application, purchasing machinery, equipment, or renting premises while forgetting that it is the customer who is most important. The lean startup model places great emphasis on adapting company strategy to changing market conditions and customer needs. Modification implies adopting successive hypotheses about the expected development of a product or service and experimenting.
So what exactly is this system? It is an iterative business model, i.e., one that assumes that a detailed action plan is created only for the near future. In subsequent phases, it is adjusted to the current economic and market situation. It allows to minimize costs, thanks to the fact that the entrepreneur limits, e.g., purchase of goods, technology, which later resulted from changed situations were not used, wasted.
Reasons for Implementing the Method
The lean startup methodology is useful when the creator of a new business cannot predict what direction the product development will take. Creating a new digital product is not easy and certainly not predictable. However, at Boldare, we are convinced that the lean startup methodology will bring us far less uncertainty.
You just have a new idea, and you want to make it a reality. The lean startup methodology gives you a framework for creating certainty: clear goals, concrete hypotheses, targeted testing, and feedback. You can review it at each stage and be confident about the next step. Another reason to think about implementing a lean startup methodology is increased productivity.
The methodology makes digital product development less risky because it resembles a structured process, complete with testing and feedback. Flexibility in running your business is another plus of using the method. You finally have the opportunity to focus on implementing the idea and adapting methods of action to it rather than adapting the vision to a predetermined strategy. In addition, you can count on cost reductions due to ongoing implementation. Let us add that lean principles are widely applicable in both the private and public sectors.
How to Take Full Advantage of Lean Startup Methodology and enhance the chances of success of your Business?
Here are a few tips on taking full advantage of lean startup methodology and enhancing the chances of your startup’s success.
- Expose your maximum employees to your customers
- Develop feedback loops between sales and other teams
- Thoroughly go through the customer service interactions.
- Chat, call or meet in person with your customers
- Carefully monitor your social interactions.
- Pay significant importance to improve your web analytics.
- Include data gathering into your product
- Ensure that the feedback is clearly visible all over the organization
Benefits of Implementing Lean Startup Methodology
The following are some of the less-known benefits of implementing lean startup methodology.
· You Get Closer to Your Customers
As a startup, you have direct access to input from your customers and have the ability to implement the changes based on the input from your customers. You can work on making improvements much quickly and efficiently. That’s something big companies crave and sorely miss.
· It Allows You to Focus on a Target Niche Market
Big organizations often experience difficulty when it comes to finding time to focus on a particular niche market. Their objective is to sustain their growth and develop products aimed at several customer segments using distribution approaches.
Contrarily, a new startup can devote all its time and focus on targeting a particular niche market and master that particular market. That’s a big advantage a small startup has over a big organization.
· You Can Maximize from Small Opportunities
Big organizations are always after larger opportunities. They can never target a smaller market which creates a significant opportunity for small startups to fill these gaps and capitalize on smaller opportunities.
The objective of a small startup should be to identify and attack demographics that are small for now but have an upward trajectory and space for growth and development.
