By Eric Koester

CREATING

Evidence-based Entrepreneurship

MVPs

MVP Series Become an Evidence-Based Entrepreneur

Use Data to Make Key Early Startup Decisions Create your first Minimum Viable Product(s)

Welcome to the…

MVP SERIES Sept. 25 -- MVP 101: Lean Entrepreneur: Applying the principles

of lean Oct. 22 -- MVP 102: Creating a Minimum Viable Company: Lean

Naming, Lean Logoing and Lean Teaming Nov. 12 -- MVP 103: Building your MVP: How to create a product

without (or with minimal) technical skills Dec. 9 -- MVP 104: Workshop: Creating MVPs on Web and Mobile

Evidence Welcome to

Based Entrepreneurship

It works… The National Science Foundation has been running

a 2 year experiment of the effectiveness of this process.

The results? Control group - funding rate 18% I-Corps group - funding rate 60%

ERIC KOESTER I’m an Entrepreneur.

I’m going to be your Sherpa.

Hi. I’m

GET Let’s

Started

RECAP: MVP 101/2/3 1.  History of “Lean” and “Evidence Based Entrepreneurship” 2.  Idea Generation & Customer Discovery 3.  Data-Drive Decisions + The Crowd 4.  MVPs, MVPs and More MVPs

VIDEO AVAILABLE AT: bit.ly/mvp103wksp

Lean Entrepreneurs Our tools:

1.  Idea Generation (MVP 101) 2.  Customer Discovery (MVP 101)

3.  Data-Driven Decision Making (MVP 102) 4.  Tapping the Crowd (MVP 102)

5.  Minimum Viable Products (MVP 103) 6.  Customer Development (MVP 104)

MVP 104 1.  MVP Recap 2.  How to Test 3.  MVP Workshop: Let’s Try This Out!

Your Concept… Inspiration

Light Idea Validation Idea Selection

Customer Discovery Okay, Let’s Go

Setting the Stage You’ve settled on an initial concept // approach

You’ve hopefully talked to 40-50 potential customers You can clearly state the problem

You’ve researched competing solutions and don’t think they cut the mustard

You’ve got a decent theory about a unique solution You’ve got some good feedback from customers that they’d buy

Business Model Canvas

Let’s MVP… Once you’ve gotten confidence that “the dogs will eat the dog food” you need to start creating MVPs

to test.

Every Test is a MVP!

The Minimum Viable Product

Pivot

Customer Discovery

Customer Validation

The smallest feature set that gets you the most… Orders… Learning… Feedback… Failure

The Minimum Viable Product

To Pivot (Try Again)

MVP: Your Test(s)

to Learn… To Continue On

Example MVPs Interviews * Reports * Consulting * Blogs * Email * Facebook Page * AdWords * Existing

Tools * Wordpress * Social Media

Building It The smallest feature set that gets you

the most… Orders… Learning… Feedback… Failure

Test What

Should You Run?

Lots of MVPs… 1.  Interviews

2.  Sketches/Mockups 3.  Adwords Campaign

4.  Explainer Video 5.  Competitor Usability Tests

6.  Landing Page 7.  Existing Tools or Hacks

(Etsy, Ebay, Amazon) 8.  Concierge MVP

9.  Wizard of Oz MVP 10.  Blog First / Wordpress

11.  Email List 12.  Crowdfunding

13.  Other (Gumroad, Social Media, Etc.)

Organizing MVPs 1. Coverage: The number of reached customers. (An

interview is done with few people, an Ad-Words campaign may reach thousands).

2. Product Fidelity: How similar is the MVP to the end product? (A software prototype has a higher fidelity

than a paper mockup). Source: Stefan Roock

Organization of MVPs

Picking a Strategy Early On: Low Coverage & Low Fidelity

Head Nodding: Higher Coverage OR Fidelity Good Results: Flip It

Wow, this Might Work: Go Up & Right

Where Do You Fit?

Building Get Out of the

& search for the Model

HOW TO TEST Evidence-based Entrepreneurship

1 2 3

HUNCH CERTAIN CONFIDENT

You’re Looking For •  Research •  Experience

•  Close Contacts / Experts •  Anecdotes •  Gut Feel

GOAL: Your gut is telling you to go for it...

1.

HUNCH

You’re Looking For •  People you don’t know

•  Understanding of the Problem •  General Thoughts

•  Enough Feedback to share with your mom or your spouse

GOAL: You are hearing good things...

2.

CONFIDENT

You’re Looking For •  Double and Triple Digits of Feedback

•  Repeatable Input •  Fidelity with the approach

•  Enough insight to tell your grandmother

GOAL: You’re hearing good things from LOTS of people

3.

CERTAIN

Why Does This Matter? As you move from a hunch and being “confident” into

wanting certainty (you are quitting your job, bringing on a partner, trying to raise money, etc.), you need to

design tests that will deliver that ‘certainty’.

CREATING MVPs Evidence-based Entrepreneurship

Let’s Stop Talking About It

It’s time to design your MVP.

1 2 3

WEB COMMUNITY MOBILE

“Kickstarter” Bonus

Volunteer?

So you wanna build a site… •  You don’t need a developer

•  Unbounce •  Godaddy •  Tumblr •  Wordpress

GOAL: Get something up there – fast & simple

1.

WEB MVP

Volunteer?

Case Study Sumo Jerky

www.appsumo.com/sumo-jerky 9 hours: $3K revenue / $1K profit

So you think you need an app… •  Don’t build an app (yet) •  Build a mobile optimized site •  Try Text Messaging

•  Try Instagram or Snapchat

GOAL: Get people to “act” with their phone in their hands

2.

MOBILE MVP

Volunteer?

Case Study Uber

Text me for a ride…

So you’d like to build a place for likeminded folks… •  Sites don’t build communities;

communities build sites •  Try Facebook •  Try Meetup.com •  Write Blog

•  Host a conference

GOAL: Build a community, not a site

3.

COMMUNITY MVP

Volunteer?

Case Study Secret London

FB Group to 180,000 members to Startup

So you think this could be sold in every Walmart… •  Pre-sales are the new sales

•  Kickstarter •  Indigogo •  Quibb

GOAL: Design & build your prototype, then start selling it

Bonus

KICK- STARTER

MVP

Volunteer?

Case Study Pebble Watch

$10M in pre-sales without a product

What? So now

Ready?

THANK YOU! Watch the videos Build your MVPs Send me updates

ERIC KOESTER WWW.EKOESTER.COM

@ERICKOESTER