Market Research
- Identify your target audience: Define demographics, interests, and pain points.
- Analyze competitors: List 3–5 competitors and assess their strengths/weaknesses.
- Check market demand: Use tools like Google Trends, surveys, or keyword research.
- Look for industry trends: Is the market growing, stable, or declining?
Problem-Solution Fit
- Define the problem: Clearly state the pain point your idea solves.
- Validate the problem: Interview potential customers; do they confirm the issue exists?
- Assess your solution: Does it effectively address the problem?
Feasibility & Viability
- Evaluate costs: Estimate startup and operational expenses.
- Assess revenue potential: Can you price competitively while making a profit?
- Check legal/regulatory requirements: Are there permits, licenses, or restrictions?
Prototype/MVP Testing
- Create a simple version: A landing page, mockup, or basic product (Minimum Viable Product).
- Gather feedback: Share with a small group of potential customers.
- Iterate: Refine based on feedback before full-scale launch.
Financial Validation
- Run break-even analysis: How many sales are needed to cover costs?
- Test pricing: Experiment with different price points (e.g., pre-orders, surveys).
- Explore funding options: Bootstrapping, loans, investors?
Early Traction Signals
- Pre-sales or waitlist signups: Do people show interest before launch?
- Social media/SEO interest: Are people engaging with your content or ads?
- Partnership interest: Are suppliers, distributors, or collaborators interested?
Final Go/No-Go Decision
- Review all data: Does evidence support moving forward?
- Identify biggest risks: What could go wrong, and how will you mitigate it?
- Make a decision: Proceed, pivot, or shelve the idea?
Bonus Tips
- Use free tools like Typeform (surveys), Google Keyword Planner (demand), or Canva (mockups).
- Talk to 10+ potential customers as their feedback is gold!
- Stay lean—avoid over-investing until validation is solid.