There are lots of important things to consider when running a startup. One of the most important is when to launch your product. Many founders try to strike a balance between getting to the market quickly and releasing a quality product. Unfortunately, this is also something that most founders get completely wrong. Let's take a look at some of the common mistakes founders make in launching their product and why it's best to get to market as soon as possible.
Tinkering into Insolvency - Why most people wait to launch their product
The reason most people founders wait to launch their product is obvious. The answer: FEAR! Most founders are afraid that if they rush their product to market it won't be good and no one will want to buy it. This is a very real concern, but if you have done your homework and understand your market, then it is much smaller than what most founders think it is. Founders need to spend time talking to customers to figure out what they want, but once this initial level of research is complete it's time to give them something to react to. It's ok if customers don't like your initial product, you can change it. It's ok to iterate your product while it's in the market, this is expected for a startup. What's not ok, is spending months and months trying to make the perfect product and wasting valuable time. Running a startup is a race against insolvency, and if you waste your time tinkering with your product, then insolvency will almost certainly be your fate.
Launch Your Product - Don't Let the Perfect Get in the Way of the Great
By now, you probably understand why it's important to launch your product early, but there are additional benefits beyond customer feedback. Once you launch your product, your odds of fundraising go up exponentially. There are investors, called pre-seed, that will invest in ideas or pre-product companies, but these are few and far between. Most investors want at least a product as a minimum before they entertain the idea of putting their money into your business. If you have a product, investors can also give you feedback or advice on how to approach potential customers. This advice might come pre-product, but it's difficult for investors to give you decent advice if they don't even have a full grasp of what you have. In addition to investors, launching your product also helps you get PAID by your customers. No customers are willing to pay for a half-made product. They might do a beta or trial period, but it's unlikely they will write a check until you have a "finished" product. This doesn't mean you can't iterate it, but you need to have something that meets their needs and addresses their major problems.
Summary
Walking the line between launching a quality product and getting into the market early can be difficult for startups. Take all the second guessing out, and get your product into the market early. This is the only way you can determine if you are on the right track. Give your customers and investors something to react to and work to constantly iterate and improve. If this is something you are having trouble with, reach out to us at InfleXion Point. We are happy to help!
Comments