If you’re considering starting a new business, you probably already know that the world of products is vast and complex. For example, there are more than 1 million active products on Amazon right now (and that number’s been growing by more than 100,000 per month). This means that there are a lot of opportunities out there, but also a tough competition. So, follow the below mentioned 4 steps for finding your first profitable product.
Step 1: Find a Problem Solving Product
This is a critical step many entrepreneurs miss in creating their first product or service. Don’t worry about other people’s goals or how you can help them to achieve. Your only concern should be to find a problem solving product for yourself and your target customer group.
Step 2: Build a Community Around Your Solution
Social media is one of the best ways to reach a large audience, so use it to get your message out there and introduce yourself to potential customers. Email marketing is another great way to start building relationships with people who are interested in what you’re doing. They may even become loyal customers!
If you want to go beyond social media and email marketing, then forums are also an excellent way to connect with potential customers while building trust and respect within your target market. A blog can also help build an audience interested in what you have to say. Once they start reading your blog posts regularly, those readers will be more likely than not to go back through them again later on down the line when they need more information about products similar or related to yours.
Step 3: Get Feedback and Insights Early to Validate Your Idea
By now, you should have a pretty good idea of your target market’s needs. This can help you validate ideas before you start building them. Get in touch with them. They are the ones who will buy the product, so they are the most important part of the process. Talk to them about what they do and don’t like about competing products, how they use their devices and apps, etc., then ask them which features would benefit them if they could get those features in one product that does everything else.
Step 4: Keep It Simple
A product that doesn’t work won’t be used by your customers and won’t make you any money. No matter how fancy or complex its features are. So don’t try to add unnecessary features just because they sound cool or will improve your sales page copy. The best product ideas are often those with simple designs and functions that solve a single problem sufficiently for a large target audience of users (or meet multiple needs for one specific user). For example:
- MailChimp uses an email platform to help people send newsletters and automated messages through their email accounts instead of using software like Microsoft Outlook or Apple Mail.
- Basecamp provides project management software so that small businesses can create team plans quickly.
- Slack lets teams communicate in real-time via text messages sent through email (instead of having separate emails).
We believe the four steps outlined here are essential to helping you find your first profitable product. They’ll also help you to avoid the common pitfalls of new entrepreneurs who try to build a business from scratch and give you a better chance of success in this competitive market.
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