Somehow I find lot of people interested in product ideas end up meeting me and the ideas often surprise me either with the uniqueness or lack of it. The lack of skills and the reluctance of pick it up seems to be common trait in most of the cases. But then some people understand it and try finding mentor’s and succeed. Perhaps this will be a good idea to share some of the thoughts from personal experience.
Find a niche
I think this is one of the important aspects of succeeding with a startup idea in any area. But care must be taken to make sure that the niche will grow enough to provide the return to sustain the idea (product or service whatever the idea is). The second point it should be possible to generate enough revenue to keep going.
There 2 personal experiences of finding a niche segment and then not able to scale up : though there was a rock solid team, timelines were met etc etc.
Find a niche, boot strap and run after MONEY !
In the first example, we had a photo agency where we catered to a niche – sports photography and within the segment we focused on football. This was during the time i-league was started and we even had AIFF as client.We had a super cool name :
We had award winning photographers across the country, we probably managed to publish photos faster the best, we trained photographers to upload photos, process them & we paid them probably 3 times what they used get paid. All were happy. Though all were happy, we had issues with collecting payments. After an year of operations throughout which we were break even, we had to wind it up.
Why we didn’t take off ?
I think we lacked in collecting the payments. Personally, I was too shy to ask for payments. I don’t think we were ready with money! Technically, though we had found a niche and managed to bootstrap, we couldn’t generate enough revenue to keep going. Having right skills in finance is very important. This is one point often Entreprenures overlook as they get carried away by passion. For us this was the best thing, as photography was our passion
Find a niche, but make sure that there is enough growth in demand
This is a particularly interesting case as this was novel & the first of its kind. We launched India’s First Web TV – IndiaVibes.TV
Once again everything was uber cool, India was about to witness a massive upgradation in internet connectivity, the magical 3G was about to get launched. Our timing looked good. We had enough programs, impressions everything looked good. But one assumption failed – the high speed internet wave didn’t take off the way we expected. This was something we never expected as projections regarding internet speed & availability at low cost miserably failed to meet the expectations. Years down the down even now the 3G connectivity is poor across the country. The writing on the wall was clear. We had wind up the show in sometime.
This was unfortunate, but I think this can happen to anyone even if everything looks good. Finding a niche & then making sure that there is enough demand is very important. If there is not enough demand, we MUST pivot and move ahead.
Find the niche, follow the Lean startup approach & launch fast. I think this needs an elaborate post & will talk about this in another post.
Raising funds are easier now with the token based economy and its a good idea if you can make use of the current Eco-system to find seed money.