With in-person classes canceled, we’re about to start our online versions of Hacking for Defense and Hacking for Oceans (and here). The classes are built on the Lean Startup methodology: customer discovery, agile engineering and the business/mission model canvas. So how do our students get out of the building to do customer discovery when they can’t leave home? How do startups do it?
Talking to customers seems like a simple idea, but most founders find it’s one of the hardest things they have to do. Entrepreneurs innately believe they understand a customer’s problem and just need to spend their time building a solution. We now have a half-century of data to say that’s wrong. To build products people want and will really use, founders first need to validate the problem/need, then understand whether their solution solves that problem (i.e. finding product-market fit).
Finally, to have a better chance of a viable enterprise, they need to test all the other hypotheses in their business/mission model (pricing, demand creation, revenue, costs, etc.).
The key principles of customer development are:
- There are no facts inside the building, so get the heck outside.
- All you have are a series of untested hypotheses.
- You can test your hypotheses with a series of experiments with potential customers.
Now with sheltering-in-place the new normal, we’ll add a fourth principle:
If your business model still looks like your original assumptions a month ago, you’ve been living under a rock. Every part of your business model — not just product and customer — will change now.