In this session at the ideas factory, will be with Will Taitt from Hethel Innovation advising on researching our ideas and things to consider when setting up our own creative business, or to venture into the world of freelancing. this session has helped me understand the journey from an idea to a successful business.
Demand can come from four types of audiences:
Underserved = Knowing my Competitor landscapes
Pressing problems =Knowing my Customer challenge
Someone =Knowing my Customer segments
Will pay to solve =Knowing my Customer buying power
The question to ask is: Should I do something that has already exist, but could I better than them? What do people want?
Speed | cost | service | extra | performance | style | reliance | reputation
Doable is Key
- SCOPE: feasibility?
- Costs: are there enough money?
- Time: are there enough hours in your day?
The way to understand customers is to ask them questions. talking to them is important. There are three key areas to think about before diving into the business model.
JOBS: what are they trying to get done?
– Functionality: when your customers try to perform or complete a specific task or solve a specific problem.
– Social: when your customers want to look good or gain power or status
– Personal /Emotional: When your customers seek a special emotional state.
PAIN: what stops them from doing it?
– Obstacles: any facts or issues that impair a customers’ ability to do their jobs
– Undesired Outcomes: these can be functional social or personal, or just something about a job your customer doesn’t like
GAINS: What do customers want to get from it?
– Requirement: these are gains without which a solution wouldn’t work.
– Expectation: these are the basic gain that we expect from a solution
– Desire: these are gains that are more than what we expect from a solution but we would love to have them
How do we understand our business?
The Inner Working
Value proposition is what makes your offer attractive to customers, by helping them gain desirable outcomes or get rid of undesirable ones.
The channels you reach customers through relates to communication purchase + delivery + customer support.
The types of relationship you build to acquire and retain customers can include Personal assistance, Self-service, User communities.
How you going to charge, what you going to charge? All parts of your offer can be sources of Revenue through methods like sales, subscription, licensing. Part of making a revenue stream successful is setting the right price.
Key activities are what you need to Do to run your business, relating to Bringing in Resources, Core Business or Sales + Marketing
Key resources are what you need to have to run your business. Some key resources needed include: Physical Aspects, Intellectual aspects, Human Aspects, Financial Aspects
Place, equipment, cost of operation, design, brand, designers, engineers, investors, top management, ambassador, etc.
Working with partners can help me carry out key activities or get key resources more effectively, quickly or cheaply.
Your cost structure describes all the cost your key activities and key resources require.
Fixed and variable: What costs me money all the time, what cost me money some of the time? Etc.
Test the business structure! The best way is to go out talk to people.
As discussed during the session the business structure was based on the LEAN start-up model, which has helped me not only better understand what it takes to develop a good creative service/product, but also understand what drives my business and how I could test my business model. I have learnt about researching my market and consider how I can adapt my ideas based on my research.