Startup Sales: What Value does your Product or Product feature bring to the market? Is it Medicine, Vitamin or Laughing Gas
Is it medicine, vitamin, or laughing gas? How do you convey the value of a feature or product concept to your team or get them to discuss it based on market value? One way is labeling.
As an entrepreneur, there always is another shiny object to chase. With a talented development team at your disposal, you can very easily chase any of these flashy baubles. The secret is for you and your team to stay focused on those few features or overall solution that your target customer needs. If you discuss your product features or product as to whether it is a medicine, a vitamin, or laughing gas, it helps your team focus on the value the market will place on it.
Many in the startup world simplify the entrepreneur journey into three stages – Build, Scale & Exit. However, it helps the entrepreneur to look at the process more granularly - more definition provides more direction. For this post, we break the startup lifecycle into six actionable stages from ideation to value realization, with each being an essential part of the journey on a company's growth curve.
By delineating and defining the steps along this curve, the entrepreneur can better understand where they are on their journey, where they must go, and what must get done. In turn, this assists her in acting and communicating more succinctly and clearly with her team, investors, and other key constituents about what steps to take to achieve her goals. This engagement then helps the company build a stronger foundation from which to scale the business, deploy capital, and create value for investors.
The Gap Stage: Between Market Fit and Scaling or The Blood, Sweat & Tears of Selling Your Ass Off to Get to Sustainable Growth
The Gap Stage
The first significant group of customers you sell your product or service to is special. They set you on your way to sustainable growth. I’m not talking about signing up an early adopter or two. I am talking about that first sizable group that you work your ass off trying to and then selling. They become your company’s foundation for growth. They create the forward momentum needed to move your business to the next level. As an entrepreneur, signing up your first 50 customers who pay $2000 per year or the 20 that pay $20,000 is a distinctive stage in the evolution of a startup. I label it the Gap Stage. It’s the stage after you determining market fit, but before you press the gas pedal down in order to scale the business. It’s the messy stage. It’s a hard but transformative stage. It is here that you birth your business.