Do you have ideas for a new business? Starting from small investors to millennials, everyone nowadays looks for good business ideas, but it is only a few of them who end up on the right path. So, how can you know if your business idea is worth the time and investment?
If you want to check your business idea and see if it is a solid solution for earning the good income, follow these 10 tips and tricks:
Browse Top Sellers
Look at websites such as Amazon to get some idea of what is selling. If you have a product or service in mind, take a look around to get an insight of whether this particular item will sell or not.
The first thing on your list is seeing if the category you are considering is existent on this website. If it is, your next step is to check whether this category of products has a wide number of competitors. The more companies there are, the bigger the demand for the product is.
Use Google Trends
Google Trends can help you get a bigger picture of the business idea you are considering. By checking out the latest trends, you will easily validate the demand, which is a key factor in your decision about starting the business.
Build an MVP
A minimum viable product or MVP is the simplest way to check your business idea. According to Eric Ries, an entrepreneur and author of "The Lean Startup", an MVP is 'the simplest form of an idea that you can actually sell as a product'. Having a simple version of your product for testing in the early development process is crucial if you want to make the necessary changes before the big investment.
Build a List of Customers
Use various tools and methods to build a list of potential customers that will purchase your product or service. This will not only help you determine if your business is worth giving a shot, but will also prove to be very beneficial once you decide to launch.
Run the Idea by Your Target Customers
Once you have an established for business, make a prototype and take it to the potential audience. Select the most appropriate method – speak to acquaintances that would be interested in the product, conduct a survey or even ask for help on the social media groups with the goal to check your business idea. "Identify people in that target you know to be skeptical and critical." says Chip Bell, the founder of The Chip Bell Group.
Test the Product on the Social Media
According to Susan Solovic, one of the key things to take into consideration when making a business plan is the importance of social media. Once you get the word out about the product or service, you will get information on how much interest this produces with your target audience. You have to make engaging social media profiles with high-quality content. In this case, you can use such tools as Pocket, Hemingway App, Admission service.
Get an Expert's Opinion
A wrong investment can present a serious failure, which is why you must check your business idea carefully. When in a struggle with various ideas, get the opinion of experts who can advise you on which business to start and how to promote it.
Use Landing Pages to Check Your Business Idea
Test out how well you can reach the target market and convert them into your customers. Conversion rates' market testing is the best way to establish how your numbers will work with people and if these numbers are actually viable.
Ask People to Pay
If you test your product or service on friends and acquaintances or even people you randomly found on the Web, they are very likely to give you an email address or subscribe to your website. However, the best way to establish if they are really interested in a product is if you ask them to pay you money for the product or service.
Know the Competition
Of course, big competition indicates high demand for a product or service, but this can be a cause of many headaches that are about to come. Research and study the industry to analyze the best way to present your product since big competition means that only the best marketers make sales. Once you establish how to promote your product or service in the best way, you are ready to beat the competition.
Starting a business is a scary thing to do, especially if you are not experienced or trained in business planning. Even if you are, chances are your idea will fail due to a small number of customers, bad marketing strategy or enormous competition. However, if you make sure that your business idea is solid and you know how to make it happen, you are only a few steps away from becoming a rich man!