if you have an idea for a new business, to seize the customer to verify whether the real pain points? Here is a simple way: ask yourself, if you can use a few sentences to describe: what is your company to solve the pain point? Why do people need to care about this matter at the same time? And whether you can use this simple explanation to one of your potential customers to buy your
4. what does my team need,
3. how do you explain ideas to others?
when you have an entrepreneurial idea or business philosophy, you don’t know if it works. At this point, there are ten questions that will allow you to assess your business or business philosophy. You need to ask yourself these ten questions at the start of your business:
everyone of his own motives, as entrepreneurs must understand each person, as long as everyone can find the motivation to find resonance, to struggle together, also can put a person to the right position. And some people should achieve a high degree of strategic, ideological and pace of unity, a clear division of labor, power and responsibility clear, each of their own, and seek their political, and then unified management, unified supervision, unified implementation. If this core does not achieve a high degree of unity, the following team building and organizational structure design, there are risks and pitfalls, or not perfect. How these people can achieve unity, in fact, is simple, that is communication, >
despite the rapid growth in the number of users of listed SaaS companies, most of them did not achieve profitability, even before the listing, only 29% of the company realized profitability. Investors tend to focus more on their earlier trends and think the situation will make the company profitable at last. Many companies adopt a "step-by-step" strategy, they will be based on existing products for existing customers to introduce more functions and services, and lower prices. It’s an up sell model that brings in a sustained profit for the company. As shown in the following figure, despite the relative profitability of the company
high expected growth rate of
according to the historical data, from the median point of view, the establishment of the time of SaaS company for 10 years, the number of employees is about 530 people, the annual turnover of $100 million, a growth rate of 48%, and is still operating at a loss. Of course, with a market capitalisation of more than $600 million, shares rose 32% on the first day of closing, which would inspire founders, early employees and investors alike. The following table shows some of the data for these companies.
, the SaaS company with a market capitalisation of more than $1 billion in IPO, has had a median growth of 85% in the past 12 months, which will lead to greater valuations. These companies tend to exceed their IPO market value, and share prices will rise by around 64% on the first day of closing. Even on a large scale, these companies can maintain a high growth rate, and can create a new market, or in the existing market share more.
1. who is my target audience?
if you are a founder, an early employee, or a SaaS investor in the development phase, the word "market withdrawal" will not be new to you. In general, market withdrawal is nothing more than two ways: being bought or listed. The former is a viable option, while SaaS’s stock market is relatively immature. Salesforce became the first publicly traded company 2004, with stock prices 30% higher than expected, and stock prices up by 56% at the end of the first day. The success of the company means that the market fully accepts SaaS class companies. In the following months, Blackbaud and RightNow went public. At present, the listed SaaS company has more than 75.
compared to other areas, the stock market investors in the field of science and technology have higher demand for revenue growth, while the SaaS sector is higher. After all, one of the biggest advantages of these companies is that they can change their products more freely. In contrast, management can put more resources into new users to obtain and expand sales. As shown in the following picture, the larger the SaaS company, the higher the growth rate.
makes your thoughts visible. That means you need a product prototype or a business plan to show people your ideas, your business logic, and your profit model.
what is my product’s competitiveness? Actually, this is the first thing all entrepreneurs should consider before they start their own business. The core competitiveness of products determines the direction of product promotion, determines the market positioning of product marketing, so the refinement of product core competitiveness is particularly important in business planning. Specific analysis of specific issues, this sentence is really very reasonable. Refining the core competitiveness of products really need to depend on the specific product form and market competition and so on.
2. what is my product competitiveness?
, think of the most successful companies in the world, the ones that have been our benchmark. You might be quick to say what these companies do, and that’s often the pain they’re dealing with. If you can’t explain the pain in your soothing customer, is this a fatal fact? It might eventually happen, but it might just mean that your entrepreneurial idea hasn’t been fully formed yet. Many good entrepreneurs want to know the best use of their products through numerous iterations.