Starting a business is risky...
You have an idea. A concept. You’re inspired and want to see this dream come to fruition. So what should you do now? Should you just run with this idea head-first into the unknown?
Not so fast.
Sure, everyone wants the validation that something will succeed before they bravely set forth on capturing a dream. However, finding that validation involves research and risk. Experience.
There are surefire steps that you can take, like gathering data and using cutting edge simulation to lower the risk. These steps can help make sure that your dream business idea can become a solid reality.
I have a business idea. Now what?
The first thing you need to do when building a new business from scratch is to define what it is you are creating.
- What is your product?
- What is the service that your business provides?
Let’s be honest, there isn’t much that hasn’t been done before, but that’s ok. You don’t need to dump your product or idea just because you think it may already exist. Instead, find your own core value.
Discover what it is that makes your vision unique, and highlight that. Research the competition. Competition is healthy in business. Use it.
- What works for your competitors?
- What doesn’t work for your competitors?
- What issues exist?
- How can you solve these existing issues in the market to find your niche?
Once you get to the heart of what your true vision is, you can clearly define what makes your business unique.
Define Your Customer
First, you need to define your customer.
Who is your business specifically created for? To answer this, create a user persona. In user-centered design and marketing, fictional characters are created to represent the type of person (customer) that could be a valid user of your brand/product. This is your audience.
How to gauge the interest and lower your risk
Successful entrepreneurs say that knowing your audience is key. Strike while the iron is hot. Seize the moment.
Simulations can help find your customer, but how can you lower the risks involved?
Startup Wars has the perfect solution to answer these questions and to mitigate the risks when forming a business. This is done by providing an immersive experience that allows students, entrepreneurs, and teachers an opportunity to test drive a startup with realistic simulation, without the financial risk.
Cutting edge simulation provides a never before seen mix of life-like experiences through learning Modules. These modules include:
- customer discovery
- financial management
- team management
- workload planning
- maximizing revenue
Questions are answered, such as: how is consumer panel data collected during the test marketing phase of a new product introduction?
Why validation is important
Having validation for a business idea is critical for its success. This validation process begins with having the correct tools, allowing the creator to take their first steps.
Startup Wars allows a professor to give a young creator the knowledge needed to validate their new business idea.
This validation plan includes running a preliminary analysis, testing a business hypothesis, customer discovery, customer testing, and writing up a plan for investors for a market validation. These steps are done by using a Minimum Viable Product (MVP).
The future of the business idea
Most entrepreneurs get the ideas for their products and services from a flash of inspiration. Over 2.14 million college students in the United States attempt to bring these ideas to the world each year, yet only 10% of them succeed.
Startup Wars is on a mission to help the success rate grow by validating product ideas through lean user research in their life-like simulations. 434 students became business owners this past fall with the help of Startup Wars.
The next generation of founders is sure to benefit by utilizing these tools, and Startup Wars is helping to redefine the education of these future business leaders.