Every great business first started as an idea, but what makes up a great business idea? How do you know that you have an idea worth pursuing?
Your idea should still important after a long period of time. What’s the point of starting out a business that will lose its relevance after a short period of time?
You should be able to defend your idea because you would definitely have a lot of explaining to do to investors and even your customers that your business is created to satisfy.
Your idea should have the capacity to be fulfilled over a period of time.
There are a lot of business ideas, thanks to the endless problems we experience in our society today. And in this article, I will be showing you just how to get great and profitable business ideas.
Without further ado, let’s get down to the business of getting business ideas. 🙂
How to Get Great Business Ideas
1. Think about a problem around you that need a solution
Look around you now, even if you do not particularly notice any, there are a whole lot of problems that need solving. One way to notice them is with the way people complain about certain things, or even issues you have personally experienced.
2. Solve a problem you are passionate about
There are skills that you may have at the moment that you just enjoy doing – that you’re just passionate about engaging yourself in. Why not think in that aspect, and draw out a unique idea or approach to that skill, and then create a business out of it?
3. Growing markets
There are a lot of profits to be made in huge existing markets, but industries go through cycles and you want to start a business right on time. Not when the market is at its peak or in the declining phase. Check out stock market analysis to get the numbers about an industry’s growth level. Bai Brands and HelloAlfred are perfect examples of businesses that started in a growing market.
Take out time to think about the tips I just gave you critically, and then proceed to the next point which is testing that idea out. You want to be sure that there are people out there that would be accepting of your products or services and could pay to get your solution.
Always put your customers in mind with every decision that you make. Disobey this rule, and you’re bound to regret it later on in your journey.
How to Test Your Idea
Congratulations on getting your business idea, now it’s time to test the profitability of that idea. Because it is important that you know your business idea’s chance of success. You may be in love with it, but not everyone may share into your enthusiasm. Also, understand this before you proceed;
In a startup, no facts exist inside the building, only opinions. – Steve Blank.
So, it’s important to note that whatever results you get from testing out your idea could contain some errors and an idea may be in fact profitable even when analysis says no. You would be making a lot of assumptions, and assumptions breed risk, but how then do you minimize risks you’d be taking on your business with the least amount of resources possible?
Read Also: How to Get Startup Capital
1. Access the Market
One of the best ways to ascertain a business’ probability for success is to access the market.
Think about whatever product or services you will be rendering and then define your target market. Know who your ideal customer is and then perform seek validation on your product or services.
Your business is going to be created to fill a void, you want to be sure that there are actually people who are willing to pay you to get that void filled. You do that effectively by performing a market analysis on a small group of your ideal customers first. You want to test and re-test your idea before going all in with the information you gathered from the testing phase.
2. Test your idea with your target customers
Once you have identified your target customers, you would want information from them. You could do this in so many ways, but we will be narrowing it down to just two ways;
* You do this successfully by asking questions like;
– If they would pay for your solution.
– How much they would pay for your solution (You want to know how much your product or services is worth to your customers).
* By making them test out your solution and then giving you feedback on;
– How they see your product or service.
– What they love about it (You need to know your strengths).
– Things they dislike about your product or service (Encourage them to be as honest as possible).
– The overall ease in the use of your product or services, and how you could do better.
What other ways have you experienced that it looks like we’ve missed? Let’s discuss in the comments section.