PS has worked as a freelance writer since 2012. When she's not traveling and writing, she helps people with web design and development.
An aspiring entrepreneur possesses the same major goal for their startup business to become the next multi-millionaire brand. It may sound a little awkward, but there’s no doubt successful entrepreneurs like Mark Zuckerberg, Bill Gates and Steve Jobs were also in the same dilemma before they achieved their big success.
This is a hard truth that many companies fail to uplift themselves from the tag of startup and ultimately shut down. The idea generation for your startup must be dealt with equal dedication as any other work-related job. Don’t expect the ides to generate in the middle of the night or while walking across the road and looking at the fruit-seller. It only happens in stories. To come up with the feasible idea, it takes lots of planning, research and brainstorming session with potential users or partners.
Are all Business Ideas Feasible and Competitive?
Business ideas are not a child’s play. Transforming them into reality requires efforts, time, cost and lots of other difficulties.
- It might be possible that your idea is just spontaneous i.e. born in your mind while driving, chatting with friends or taking shower. It seems unique, but when you search it online, there are tons of companies and professionals already marketing the same idea. You contact your friends and family and discuss your thoughts with them. No doubt, they will ask you to leave it and make you understand there is no scope for it, many companies tried it and ultimately, failed. Then, it slowly vanishes away and you totally forget about it. Well, that could be the best thing, because it wasn’t well-researched.
- You are working in a company where you observe a few loopholes, which need to be fixed to build a better product. But none of your senior officials are interested in listening to you because they have already tried it through inside-help or third-parties, but it wasn’t of any use. So, you grasp a strong idea of how to deal with it and decide to build it on your own. That’s a great plan because you are already knowledgable enough to work upon it. Good luck, if this is your case.
- Most of the entrepreneurs are a result of circumstances. They, initially, do not have a firm business idea. Indeed, they want to be their own boss and have a desire to start on a new challenging venture. If this is you, then read on. Hope this article will help you with your startup business idea.
How are Business Ideas actually Generated?
The main motive for digitization is to simplify our lives in every situation possible. The Internet plays a central role in helping us meet our requirements, also benefiting us by inspiring to do something new and innovative.
Consequently, it also has plenty of resources to inform us about successful business ideas. You can find lots of millionaire entrepreneurs sharing the stories of their journey and hardships. They also offer advice to the newbies. Consider their points, note down what worked and what didn’t.
Here are a few points to help you in startup idea generation:
1. Identify Goal
Not everyone starts a new business to take it to the level of companies like Google, Apple or Facebook. Indeed many of these are just side gigs or part-time businesses. Which of the following is yours?
- Hobby or Fun based Startup such as making handcrafted products to sell on Retail websites such as Etsy, Amazon and so on.
- Part-time business such as running a membership club.
- Full-time startup such as a tech company, retail outlet or housing business.
- B2B business involving large cash flow such as import, export, and delivery of goods.
- Networking business and educating others for industrial credibility such as online training.
Create a spreadsheet and begin writing your specific goal in the first tab. It may sound sluggish, it is indeed helpful to reach to the specific point where you can start with your idea.
2. Identify Problems
If we look at the case study of Domino’s, then the major problem was delicious food at a lower cost. They filled that gap and developed the plan to deliver pizzas with reasonable costs at the doorstep. Brainstorming is an important exercise and a core of generating innovative ideas for entrepreneurs.
Now, the question arises, how to begin with brainstorming?
Here are a few points that can help:
- Create a list of potential customers, partners, and relevant pricing models.
- Examine the possibilities where the list may overlap.
- Conclude the list through a brainstorming session.
- Evaluate it with real customers, partners and other relevant agents.
After collecting the essentials from the brainstorming session, this is the time to do self-evaluation.
Write the possible customer categories in your spreadsheet, such as young entrepreneurs, college students studying at a specific location, artists looking for a change in their career or anything else.
Write targeted demographics, age groups, and gender. Also, include the pricing models for specific services such as subscription, online training fees, marketing costs, and so on.
3. Identify Trends
As a new entrepreneur, you must have thought about a specialized niche to work upon based on future potential and past experience. Take substantial time to understand the falls and downs of that nice as you progress in your business. If you are struggling to find the successful strategy, then here is a book named "The Business Idea Factory" by successful business coach Andrii Sedniev.
4. Identify Network
Networking is the source of a successful business. Join the membership of the entrepreneurial organization and attend business conferences and events. It helps you reach like-minded entrepreneurs and how they tackled the downside of their business. There are high chances that you may also find a potential partner to work on your new business venture.
5. Identify Market
Despite having a solid business plan, most of the time it doesn’t work due to lack of market. Do a market analysis and find the scope of your business idea. Your idea may be repetitive and inspired by already existing brands, but it might still have the potential to flourish because in the past many companies have overpowered the already existing organizations, such as:
- Google over Altavista, Yahoo
- Facebook over MySpace, Orkut
- Gmail over Hotmail, AOL
- iPhone over Blackberry, Nokia
6. Identify Skills
What skills make you confident enough to start on a new business? Is it sales, marketing, finance or writing skills? Identify your strongest skills and consult with other startups side by side. You can ask for tips related to marketing or catch up with other similar entrepreneurs. Starting a blog or website is also a good option to market your skill set.
7. Identify Gaps
Certainly, the vision you developed for your idea is full of great potential. There are high chances you are missing out on something. An idea is not enough to build a successful startup. Find the gaps, think about the tools and resources that can be used to fill those gaps. It will make your life easier and future-proof.
8. Identify Potential
Startup business owners develop a robust strategy in building relationships with potential clients. This emotional affinity can result in a noticeable difference, especially when you are working locally. Also, it is equally important when you are working in conducting events and need to have face-to-face communication.
Consider the questions that an investor may ask you if your business reaches to a noticeable level. What makes your idea worthwhile and unique? Are you looking for help? If yes, then what kind of? Thinking about these relevant questions will help you determine the true potential of your idea.
It doesn’t matter if your idea is just to run a side job or develop it into a full-time business. The best way is to start small. Start with considering the gaps you face in your life.
Coming up with the potential business idea is the foremost challenge you need to cross and this is just the beginning of a very long journey. The efforts required to turn that idea into reality are not feasible for many entrepreneurs and that’s why 9 out of 10 startups shut down.
Take time to find out that idea, which can potentially turn into a true business. Remember, it’s better to arrive late than to arrive ugly.
© 2019 Prachi Sharma