In the previous blog I discussed about how scalability of product is an important aspect. There is a significant difference between Scale and Scalability. Any company that has grown from scratch or from being very small to being very large today is known to have Scaled. Scale basically refers to “size” of an organization. Scalability is when input and output are disproportional. Any startup may not have scale in the beginning but the model should be scalable!
In this blog, I will be briefing you about the Growth part that is associated with the product.
A startup is always growth focused. What does being growth focused exactly mean? The idea behind a startup is to grow as quickly as possible and in a market that is already large and is still growing.
Example: Food delivery market is already big and the market is also growing so there are more and more people who are actually stepping in the target market over a period of time, so that is another thing that defines a startup that you are operating with a growth focus in a target market that in and off itself is also expanding.
So one thing that needs to be kept in mind is that not just you are growing in your target market but your target market itself is also growing.
Same is the case with Unacademy, it is a place where you can get online courses and there are more and more people who are buying online courses now than there were previously so they exist and they are currently serving a market which in and off itself is also growing.
From the above examples we conclude that startup should operate with a growth focus in a target market that in and off itself is also expanding.
Having a strong founding team is extremely essential. If the team has got diverse set of experiences then that is amazing as well. I was lucky enough to find two co-founders for my company, both having diverse set of experiences. It meant that even if we did not have employees, we could slowly but surely move forward towards our vision.
Having a virgin market is not a necessary condition but if you have it then it is better. Having a market that has not been conquered before for the product that you are offering. There will be no competition on price.
Example- When Flipkart started, they were existing in a market where there were no players for the service that they were offering so they got early mover’s advantage.
Execution of the idea is an important aspect. Ideas have got zero value, value comes from your ability to build more things on the top of the idea. It is important to plan things as well as build things on top of it.
It is all about GETTING THE STARTUP IN MOTION!
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Stay tuned and wait for other blogs! Happy reading!
Until next time,