Exploring your business idea comes after brainstorming. Choose one idea out of the many you have written. Then establish it as a product or a service. How does your product/service benefit your customers?
When choosing your best business idea, ask yourself these questions:
- Would my customers keep patronizing me?: You won’t want your customers to buy from you just once without having the intention to buy again.
- Do I have a high-profit margin?: Whatever strategy you are adopting to make sales, be sure your profit margin is high so you won’t be at loss.
- Is my team strong enough?: When there is the need to come up with new ideas in the future, is your team reliable?
Also, be certain your business idea is something you enjoy doing and it comes to natural or you learnt the skill/technology easily. Do you always engage the whole of your attention on this idea? It should be that idea that you are willing to pitch at any given opportunity.
Validating Your Business Idea
You can validate your business idea by:
- Identifying Your Target Market: Who are your prospective customers? What is your market size? i.e the size of your target market you want to serve. Identify your competitors and the hold they have over your prospective customers. What value will your product/service offer to gain their loyalty?
- Getting Feedback: This is the part where your speak to different people about your idea. Ask them questions to get their honest feedback. It’s either you get positive feedback or negative feedback. If you get negative feedback don’t be discouraged. All you need to do is to modify your idea. Having positive feedback is good, so put in more effort to become better.
- Solving Problem: Your idea is good but what problem is it solving for your customers? If after talking to people and you realize your idea isn’t their problems, you can make provision to develop an idea to solve those problems.
- Putting a Price: How do you put a price on your product/service? You can include this in your feedback form or anytime you get to pitch to them. Ask your potential customers what price is fair to them. Conclude from the feedback. Be careful with this because you can be underpriced from their feedback. You should have an ideal price in mind before their feedback. The feedback is to guide you in settling for the right price.
Enroll in the Ideation Course on Bizskills Academy to get deep insights.