So many times, people come up with great idea, but nonetheless it falls flat and their business goes to nothing. They could very well have a great idea. The problem, however, is that these entrepreneurs base their business around an idea, as opposed to a market need. Having a good idea is one thing. Making people want to buy a product is something else entirely. I recently came across an article talking about the six reasons why you want to start with a market need, as opposed to an idea. I thought I would share them with some of you.
Many times, people tend to start companies that satisfy their own needs or experiences. Let’s say, for instance, that you enjoy sewing and history, so you create a line of blankets based on historical events. This might not be a bad idea, but it’s still important to create a product that is representative of a market that’s large enough to support the idea. It could very well be an excellent idea, but ultimately there isn’t too much of a need.
You might have a great idea that people would be interested in, but unfortunately you don’t have enough resources to make this idea work successfully. For instance, there is probably a great demand to do moon shuttles, but you don’t necessarily have the billions of dollars necessary to start a moon travel agency. Likewise, you could have a great idea, but people aren’t willing to pay for it, or pay enough for it to make the idea profitable. One example of that is the Iridium phone. A phone that allows you to call from anywhere to anywhere is an awesome idea. The problem is that nobody was willing to pay the ridiculous amounts of money required for this to succeed.
Your product could have a solution for no known problem, and therefore seem unnecessary to people. Let’s just say you read the New York Times, and you think, “gee, the New York Times would be so much better if-” and then start thinking about an improved newspaper. The problem with this is that the New York Times not only has the name recognition, but also a lot of people like the New York Times as it already is.
In this day and age, a lot of people expect instant results. When something takes longer than a few minutes to do, people tend to get impatient and lose interest. But people forget that creating a business, like so many other endeavors in life, takes time. Once you have a great idea, the next challenge is going out and finding customers. If you start with a market need, then the customers are already there.