Are you a start-up stuck in a slow process of planning, approving, strategizing and launching a new product? If yes, you need to read this. If your marketing game is facing similar pitfalls, it’s high time you minimize this market uncertainty. Eric Ries introduced the concept of Lean Marketing in his book called ‘The Lean Startup’. It encourages experimentation over strategizing in the process of developing a more efficient marketing strategy.
Most start-ups these days are failing due to lack of money, talent, intellectual property and access to distribution. The idea of running a lean start-up is that you constantly learn and apply these lessons to the business.
In the book, Eric puts forward 5 key principles that will form the lean start-up method. The five methods are:
- Entrepreneurs are everywhere.
- Entrepreneurship is management
- Validated learning
- Innovation accounting
In this blog, we will discuss the three main principles of lean marketing.
- One thing at a time: In a small business with limited resources, committing to building one feature means that others cannot be developed. If you plan to incorporate another feature in your mobile app, you need to review you overall marketing spend. A great example of a start-up that followed the lean marketing model well is Instagram. Their entire mobile-app based social network was built around sharing photos and experiences. If they would have devoted all their resources to as many features as they wanted, the app would have been a flop. By directing the opportunity cost in the right direction, they app became a success.
- Conduct simple market tests: Once you develop a product, just keep testing. Testing on how users interact with a product or service is a great idea and key part of the learn start-up approach. Market viability can also be tested by creating landing pages. Sometimes quick experiments before the launch of your product can help in the long run. Though tests do help in ensuring the success of your business, they cannot always be relied on. When tests do not help, try genuine conversations with users and generate qualitative feedback.
- Align the entire organisation: As against large and established businesses, start-ups have an advantage. They can align their entire organisation across a given goal marketing. Every decision can contribute to the end goal if planned out right.
These three principles aren’t the only ways to keep your start-up lean. However, they are extremely useful keeping in mind new product development decisions.