How 11 founders validated their ideas before building businesses that last
How 11 founders validated their ideas before building businesses that last
Having a killer idea is an important first step in , but an idea alone doesn鈥檛 guarantee success. Before investing significant time or money in bringing your idea to life, you鈥檒l first want to confirm there鈥檚 a market for what you鈥檙e offering, room to set yourself apart from competitors, and customers who will be eager and ready to buy when you launch.
In other words, is there demand for your idea? Validating a business idea can feel like a Herculean task standing in the way of building your business, but the feedback and insights you鈥檒l gain will strengthen your plan and help you bring a better product to market. talked with 11 business owners about the strategies they used to validate their business ideas, so you can use them for yourself.
Know your market
It can be tempting to start in on product design right away, but take the temperature of the market first. Before launching the clean hair care brand Briogeo, founder Nancy Twine did a ton of research on the industry. She was thriving as a Wall Street professional and wanted to know what she was getting into before leaving her job.
鈥淚 launched a clean beauty product line before the clean beauty movement had really taken off,鈥 she . 鈥淪o I did a lot of research to understand was clean beauty just going to be a short-lived trend? Or was it here to stay? And is that how the industry was going to evolve?鈥
Twine pored over trend reports and expert insights to help her predict if the industry had real longevity鈥攁nd if there were customers out there who were going to want what she was selling. 鈥淚 wanted to make sure that I was launching in an industry that was growing and that had a large addressable market so that I had people to sell my products to,鈥 she says.
It turns out there were. She felt comfortable enough to start building Briogeo, but kept her finance job for almost three years as she did so.
Connect with customers in person
Even if you plan to , validating your idea with potential customers in person can help you gather useful feedback and allow people to put a face to your brand.
鈥淔or me, it鈥檚 been really important to test things鈥攂ut test things in real life, not test things online,鈥 Danielle Close, founder of My Skin Feels, says on 鈥.鈥 She spent several years bringing the sustainable beauty brand to pop-ups and markets throughout the United Kingdom. 鈥淵ou could have all these amazing ideas and put it online and expect people to understand the message, but you need to ask them if they understand it.鈥
While at these in-person markets, Close showcased her product and tried different pitches to see what landed with consumers and what didn鈥檛. Sock Candy founder Mary Gui took it a step further, asking her early customers for direct feedback.
鈥淚 have also done customer interviews in the past where I will interview a customer face-to-face on Zoom for half an hour, and I find that tremendously helpful,鈥 . This is how Gui discovered which sock designs and styles people actually wanted.
You can also get valuable information directly from retailers. When the bike helmet company Thousand was just getting started, founder Gloria Hwang sought feedback from businesses she hoped would stock her helmets by showing up in person.
鈥淚 would just go to stores that I liked and just talk to buyers,鈥 . 鈥淚 think as a business owner, it helps you understand direct customer feedback when you're going to consumer-facing events, but also you get a good experience to understand what wholesale customers are looking for too. And that helped us build the business because that helped shape our products.鈥
Gauge interest with presales
Securing preorders can establish customer anticipation, help you predict demand, and generate revenue to help fund your initial production run. It can also confirm that people want what you鈥檙e selling before you buy the inventory.
Mike Xhaxho, cofounder of the hydration brand Waterboy, had a feeling that he and his cofounder, Connor Saeli, were on to something when people responded strongly to their videos on TikTok鈥攂ut they needed to feel confident that attention would convert to actual sales.
鈥淲e had an SMS list of about 18,000 to 20,000, so then we knew we had the product market fit because it鈥檚 shown by all this inbound interest,鈥 . But they were unsure if people were ready to buy or just curious. Launching a presale clarified things pretty quickly. 鈥淭hat鈥檚 when we sold what would have been the entire first production run in the first hour.鈥
Use data to your advantage
Data can be a powerful growth tool in any stage of business, but it can be especially helpful to uncover opportunities in the validation stage. Sock Candy used Instagram comments and website analytics to make sense of early customer behavior and determine which styles were most in demand. Gui quickly learned that one style was majorly outperforming the others.
鈥淲hen I first launched, I actually didn't have the idea for it to be sheer-socks specific. I just knew that I wanted to make super fashionable socks that were affordable,鈥 she says, adding that she launched with seven cotton styles and three sheer ones. 鈥淚mmediately, the sheer styles started selling way faster than the cotton styles.鈥
That鈥檚 when Gui started to iterate, focusing on what was in demand and pivoting her designs to more sheer socks.
The sustainable products marketplace Zero Waste Store, which originally launched under the name Earthy Shop, uses Google Ads and search engine optimization (SEO) tools to better understand what their target audience is searching for online鈥攖hen they design their product line around items that have strong search volume. They used the same hack to discover that the phrase 鈥渮ero waste store鈥 was being searched for about 10,000 to 15,000 times per month, which inspired them to change their name to capture that traffic.
鈥淧eople were actively looking for that keyword and variations of that keyword,鈥 . 鈥淚'm like, 鈥業 think there's a really strong play here. So why don't we rebrand as Zero Waste Store?鈥欌
The move was worth it鈥攖he business went from $6,000 in sales in its first year to $2 million in year two.
Create content that resonates
The content you put out鈥攚hether that鈥檚 digital ads, website copy, or social media posts鈥攕hould be created intentionally. The goal? To engage your audience and encourage them to take action. High engagement rates can help validate your business idea, provide feedback, and drive sales.
鈥淵ou just have to think about the customer, what they care about,鈥 , cofounder of True Classic, whose first product was a better-fitting men鈥檚 t-shirt. 鈥淯ltimately, the best content early on is always the content that revolves around problem-solving. I was solving three problems, ultimately, and I had to get that across in the early content to sell t-shirts.鈥
True Classic accomplished this through direct response ads, which nudge viewers to take an immediate, measurable action. A business might use these to inspire customers to click on a link to sign up for emails or claim a discount, for example. This type of advertising is easy to track, allowing you to see how many people are interested enough to opt in.
Have real people demo your product
You may know your product inside and out, but having real people interact with it can reveal snags you didn鈥檛 know were there鈥攁nd help you adapt as needed. Julie Carty, the founder behind LatchLight, took this approach when creating the brand鈥檚 wearable light for breastfeeding moms. She wanted to be certain the product was the best it could be before launching.
鈥淚 got working prototypes made and gave them to new parents and lactation consultants and doulas and new moms and also grandparents and dads; anyone that was going to take care of a baby at night, whether it's breast- or bottle-feeding or diaper changes,鈥 .
After receiving their feedback, she knew her product was solving a real problem and was ready for market after a final redesign incorporating their responses.
Consider crowdfunding
A lot of new businesses have their roots in crowdfunding. A well-executed campaign can raise capital, build brand awareness, and validate whether your product is in demand. This was a game changer for David Levy, who founded Bola Grills. Before launching, he dipped his toes in the water with an Indiegogo campaign that brought in about $22,000 in just 30 days. He also sold 94 grills. Though, he stresses that a successful campaign takes effort.
鈥淭here is a lot of work that goes into crowdfunding,鈥 . 鈥淵ou basically have to sell your product and sell yourself. So people that find you, they know that they're buying an idea, but they also have to be able to trust you enough to be able to purchase this product and believe that they're actually going to get it.鈥
Crafting a clear pitch to explain the problem you鈥檙e solving, how your product differs from competitors, and who you are can help your idea succeed on crowdfunding platforms.
Founder Jing Gao also used crowdfunding to test Fly by Jing鈥檚 first product, the Sichuan chili crisp. She says that crowdfunding is a 鈥渞eally time-consuming process, but it is rewarding.鈥 Unlike other forms of funding, 鈥渁t the end of it, you get your base of potential future customers.鈥
As a bonus, crowdfunders 鈥渁re actually quite understanding of any delays and mishaps that happen when you are first starting out,鈥 Gao says, adding that it鈥檚 good practice for when you .
Go with a soft launch
If you鈥檙e still finding your footing, a soft launch can allow you to gather feedback and fine-tune things. This involves selling your product to a limited group of people to see how it鈥檚 received鈥攁nd if there鈥檚 indeed a market for it. That worked for Claudia Snoh, cofounder of the premium coffee concentrate brand Kloo. They used a soft launch to test things out among friends and family, as well as folks who came across the brand on a review platform or through word of mouth.
鈥淭oward the end of the soft launch, we also did a pretty extensive survey as well,鈥 . 鈥淔rom there, we really learned a ton about who our target customer is and their behavior, and we did actually end up making big adjustments to our branding, packaging, and pricing.鈥
When done right, a soft launch can prevent you from entering the market before really understanding your .
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