4. Winners
Those who
continuously create
new value for
new customers.
5. Lean Entrepreneurs
Surf Uncertainty
The culture startup you
Business plan
Old school around
Your company culture
Lean Startup
Business model
6. What is Lean?
• Elimination of waste in the production
and delivery of value to customer
7. Value Stream
• Producing a known product (mini-van)
for a known consumer (soccer mom)
• Value-add activities (assemble part)
• Non value-add activities (forklift parts
across warehouse)
8. Lean Objective
• Lose waste:
– Make value-add activities more efficient
– Eliminate non value-add activities (if
possible)
– Must maintain value to customer
24. your market
• Product-Market ft is driven by nailing core value
proposition for hyper segmented markets
• Growth is determined by pursuing multiple
segments over time.
• Size of opportunity is determined by size &
number of segments
27. segmentation clues
• Different level pain or passion
• Seek to solve problem differently
• Require different marketing
• Require different distribution
• Require different sales
• Not necessarily demographic-based
• Not “verticals”
28.
29. Segment Matrix
Criteria Depth of Market Time to
Budget Reach Values
Segment Pain Size MVP
Sole Chef H M M H M H
Team ind. H H M H M H
Small Corp M H H M L M
Big Corp M H H L L L
30. Pain or Passion
Who Impact of
Influences
Market addressing
them? Segment pain/passion
Where do they
“hang out?”
32. Business Model
Passionat
Passionat Convince
Convince
Satisfed
Satisfed Hopeful
Hopeful Trusting
Trusting Intrigued
Intrigued Aware
Aware
ee dd
Growth
MVP Conversion Funnel Acquisition
Engine
33. Why
Company Customer Desired
Activity Behavior
State
Metric
34. CUSTOMER is
passionate because:
Own business grows
Having used the product for
several months, the customer is
seeing her own company grow.
Your product has helped her
COMPANY: achieve this.
CUSTOMER
Over achieves
BEHAVIOR: She is PASSIONATE about your
on value prop; Passionate Refers product; product.
Offers referral
resubscribes She resubscribes to your product
incentive
AND takes you up on your offer
to get a month free if she refers
the product to others and they
buy.
METRIC:
Referrals;
MustHaveScore
Lifetime value (LTV)
35. CUSTOMER is satisfed
because: is able to see
market signal for own
product
The customer is using the product
COMPANY: on a regular basis and it is doing
RESULTING what was promised.
Provides
BEHAVIOR:
wizard, survey She is SATISFIED with your
Continues to
tool, Satisfed use the product
product.
dashboard;
in a specifc way She uses the assumption wizard,
“instruments” the survey tool, and the dashboard
over time
product on a regular basis.
METRIC:
Engagement -
Sends survey every 2 wks;
Views dashboard daily
36. CUSTOMER is hopeful
because: wants specifc
problem solved, eg
wants to track
market signal
The customer has purchased. She
is eager to get started, but also
may have feelings of regret,
COMPANY: wondering if it was the right
Overcome RESULTING decision.
‘blank slate’; BEHAVIOR:
Offers free Hopeful Uses wizard,
She is HOPEFUL your product
works as promised and addresses
‘getting started’ sends survey her need.
support
To test, she logs in, documents her
assumptions, creates survey, and
sends it out.
METRIC:
Activation
Creates and Sends survey
37. CUSTOMER is convinced
when:
Has demo’d the product
and believes it is a good
ft
COMPANY: The customer successfully demo’d
Allows customer the product and believes the
to use demo RESULTING product will work for her.
features; Convinced BEHAVIOR: She is CONVINCED your
FAQ allays last Purchases product will work.
minute fears;
She buys the product.
Final phone call
METRIC:
Pays
38. CUSTOMER is trusting
when:
Impressed with
testimonials and reference
was glowing.
COMPANY:
Inside Sales
RESULTING The customer reads testimonials
calls customer; and TRUSTS your business.
BEHAVIOR:
offers reference; Trusting Wants to try She wishes to demo the product.
talks about
product
demo program
METRIC:
Signs up for trial
39. CUSTOMER is intrigued
when:
Product sounds like it’s
positioned for her;
Benefts sounds right
Having read the messaging that
states that this will help her
business grow, she believes the
product might be a good ft.
COMPANY: RESULTING
Messaging/ BEHAVIOR: She is INTRIGUED about the
Positioning Intrigued Requests product.
Video Contact She would like to speak with a
sales person and talk to a
reference.
METRIC:
Sales Call
40. CUSTOMER:
Reads frst learns product
reading about it on a
blog.
Having discovered the product via
COMPANY: a blogger she respects, she is
BEHAVIOR: INTRIGUED about the product.
Reach out to
3rd party Aware Visits company
She visits your web site to read
Web Site
blogger more.
METRIC:
Unique Visitors by
referral
41. Thank You!
• Twitter/Facebook/LinkedIn: @brantcooper
• email: brant@marketbynumbers.com
• Blog: Market By Numbers
• Book site: http://leanentrepreneur.co
41
Editor's Notes
Why now? Show people who are doing this stuff, in all sorts of places Here is how. New tools. Canvas.
Internet and mobile devices. Entrepreneurial Education. Transactions costs. Startups are everywhere. Power of individuals to create value. Everything is changing. Faster than ever before. Faster than we can predict or know. Software is eating the world. New hardware manufacturing processes like 3D printing.
The new entrepreneurship is scary but rife with oppportunity.
The Internet + smartphones and tablets • 3D printing and scanning technologies • Crowdfunding/crowdsourcing • Free agents & on-tap workforce • Education
Lean Entrepreneurs need speed, agility, instant feedback. Decisive action. Powered by the wave.
Ask audience if they are doing a Lean startup. And ask them why.
The biggest risk you face is building something no one wants.
The biggest risk you face is building something no one wants.
The biggest risk you face is building something no one wants.
By now, you know what it is. Customer Development + Agile Development.
