Starting a new Venture?
Here are the Top 10 Questions You Need to Answer!
By Leslie Carter You have a great idea for a new business or a new product line within your organization. What should you be asking yourself? Here are the Top 10 questions you need to have solidly answered in your own mind to ensure your success… plus one more. 10. Who else is already in this business? How are they doing? Is there room for another player? You’ve got to know your competition if you’re going to beat them. Have you looked really closely at their strengths and weakness and their vulnerabilities? How does your own idea line up against those factors? 9. What are you offering your prospective customer? In other words, what is your value proposition? Is your idea a nice-to-have or a necessity, and how does it answer or solve your prospect’s problem or need? 8. Describe your target customer. Who would be the perfect buyer of your new product or service? Are there influencers in the purchase decision or is the prospect also the one who also writes the cheque? Think back to Grade Nine, and do a “character sketch” of your ideal customer. Where does he or she live and work? Age, demographics, psychographics, star sign, the whole 9 yards. You need to know your customers as well as you know yourself. 7. How many of these target customers are out there? What is the market opportunity and how big is it? Where is it geographically? Is it a brand new market or a growing market, and what’s propelling that growth? Is it sustainable?
6. Detail your new product or service. How does it solve a problem or meet a need – be very specific. And how does it do this better than the competitor? Are there options or variables and how can you manage them to optimize profits? What’s so special about your idea? 5. What are your sales channels? Describe your sales process from start to finish. What is your sales, marketing and distribution strategy. How can you shorten up the sales pipeline? Who are the key stakeholders in the sales cycle? 4. How will you make money? What is your revenue model and how will you be and remain profitable while still being competitive? Can your competition undercut you? Is your idea scalable? 3. Are your timelines realistic? What are your key milestones? Who and what do you depend upon to meet those goals? What is your fallback position if they’re not met? 2. What are the deal breakers? What are the critical components for the project to succeed? Can your competitors make a pre-emptive strike? Are there potential impacts from new technology, legislative changes or regulations? 1. How will you finance your plans? What funds have already been raised or w hat budget has already been allocated? How much more will be needed to bring the vision to fruition? How will the money be spent and what are the key milestones for financing?
And the bonus question …
What is your elevator pitch? (you know, the one where you have 15 seconds to make a big impression). How would you describe yourself and your goals in a way that excites the listener? Where will you be in the future?
Leslie Carter is principal of Brand-Aide, a company she founded to help clients evaluate and enhance Return on Marketing Investment. Most recently Vice President, Marketing at one of Canada’s largest quick-service restaurants, Leslie is an analytical, fact-based marketer, who believes that the “science” of marketing should lead the “art” of marketing. You ca reach her at 416-543-5413 or email lcarter@brand-aide.ca