Rockets attempting to escape from the gravity need to move fast and follow the precise route. It is no different for startups aiming to get to the Fortune 500 one day. They are as fast as their execution and as precise as their ability to adjust strategy based on learnings from the market.
There are two key components of the fast growing products:
1. Right speed
2. Right direction
Both of them are indispensable to success.
In physics speed is distance by time.
For startup – it is progress made divided by time.
In other words – how fast it iterates.
Progress is every successful iteration of your business model.
Confirmed value proposition, new channel of acquisition or revenue stream.
Out of ten iterations only few will turn out to be successful.
Sad fact is that we are all subject to the uncertainty.
But thanks to learnings from each iteration you can increase the chance of success.
Thinking about speed you must remember three things:
- Organic speed > paid speed
Some of the fastest growing startup pretend they are skyrocketing thanks to fuel called VC funding. But you need more than unlimited money to make a sustainable model of growth. Try to prove it before asking for external financing.
- Being busy doesn’t necessarily mean moving fast
You can be busy doing irrelevant things. It is a matter of direction.
- Big projects put yourself at risk
They consist of a lot of hypotheses that are very likely to turn wrong. Small chunks with continuous learnings works much better.
What’s slowing you down is:
- development time (coding, deploying, maintaining)
- overheads (research, meetings, plannings).
To minimize the development time you build MVPs instead of full products and focus on ‘doing and learning’ from it rather than talking, planning and analyzing.
You never know the right direction.
Who knows how should evolve products like Foursquare or Uber?
You explore the right way through countless iterations.
When you see the metrics going up and hear voices of delighted users – you are on the right way.
From the thoughts above we can derive 5 tips that can help your startup succeed:
- Excellence in product operations – minimise time to market.
- Do not assume you can predict the future – go out and test your ideas with users.
- Have bandwidth to process new ideas – do not block them or put into icebox.
- Limit overheads – avoid too long data discussions and planning.
- Divide big projects into small chunks and test each of them on the way.