By Mr. Shachin Bharadwaj
In the recent past, India has rapidly evolved as start-up nation. The constant progress in our country’s start-up landscape has created a plethora of opportunities for many young entrepreneurs to start businesses focusing on solving consumer problems, creating innovative products/services that would eventually make the lives of the people easier. An increase in the use of digital media and a rapid influx of technology has caused a disruption in the thought process of the masses, thus giving rise to many people choosing the path of entrepreneurship. Starting your own venture is a once in a lifetime experience and it requires a lot of thought, right attitude and good leadership qualities. Considering this, I feel following are the tips to identify a great business idea for your start-up.
Be realistic about the idea
Creating a new business is important, but it is equally important to stay grounded and be realistic about it. The vision that you have for your start-up should echo with others as well. Your idea should not be too ahead of its time and the market should be ready to accept what you are offering to them. Depending too much on the future of the idea and ignoring the rate of its saleability is not advisable. Starting a new business always requires a lot of planning and it is beneficial if you first start in a small way and then strategise to expand your business.
Does your start-up idea solve a problem?
It is important that you should come up with an idea, which is helpful to the people. If the idea is coming from a personal experience, then it is going to be most effective, as you will have your own experience of dealing with the problem. Before finalising your idea, always assess your ability to put that idea into action. One should always have enough passion and drive to fulfil the need that you are building your start-up on.
Does your start-up has a sizeable niche market for it?
While starting a new business, one should always keep in mind if your idea has a sizeable niche market for it. Before starting a business, you should be prepared for the kind of response your start-up is going to get. It is always advisable to first research about the market that you are going to step in. One can research about the market by studying the recent industry trends, consumer response, investment patterns, etc.
Testing your idea before fully starting the operations
Testing or piloting your idea before actually rolling out the plan makes it easier for you to sense customer’s interest and you can even make some modifications/changes as per the feedback which you will receive from the pilot. One should analyse their current competitors and sketch out a plan for future goals and way forward. This helps you to move forward with a strong agenda, as you will be able to better define how your idea stands out from others. Testing the idea first with your friends and family gives you an honest review and then you can work on it accordingly to take it to the mass level.
Improve an existing product or service and be open for feedback/advice
If you are setting foot in a market that has many players like you, be sure that you come up with an innovative product or offering. With the changing market dynamics, it is important to continuously innovate and revamp the service or the product that you are offering. Consumers get attracted towards a service which offers them something unique and more on the same platform. Doing thorough research on your competition gives you an idea as to how you can deliver the same service/product in an innovative way.
One should always stay open to receiving feedback as that is one major thing that will help you improve. Before fully rolling out your plan of the start-up, share the idea with people who will give you genuine feedback of your service. One major thing that you should learn before becoming an entrepreneur is that you should learn to take criticism in a positive manner and try to use it to improve your product. Open mindedness is what makes you a long-term player.
Understanding the need of the marketing
One of the best ways to identify a great start-up idea is to understand the insights from your marketing team. You should be able to define your ideal customer who will be interested in your offerings. Doing surveys and interviews help you analyse your customers better. Use of social media marketing helps you to understand what works best with whom. Social media campaigns and online marketing is necessary to understand your target audience.
Shachin Bharadwaj is the co-founder and CEO of SMINQ, a customer relationship management startup.