how to build a startup?

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How to build your startup?

By Abdullah AlshalabiDate: 25th of March

Event: StartupQ8 the 6th

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The light bulb moment

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Everyone has these moments

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The challenge is how to move from

An idea A great business

into

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Old School method

Plan Build Wait and Pray1 2 3

Launch

Time3-4 months 9-12 months

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Plan Build Wait and Pray

Spend a lot in marketing

1 2 3

Launch

Time3-4 months

Business Plan

9-12 months

Things we used to do Things we used to do

Keep it a secret

Things we used to do

Refuse to change

Things we used to do

Old School method

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The NEW Startup schoolSteve Blank Eric Ries Alex Osterwalder

The four steps to the epiphany The lean startup Business Model Generation

The Startup Owner’s Manual

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Plan Build Wait and Pray1 2 3

Build

Test and Measure

Learn and pivot

The old School method

The NEW school method

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Build

Test and Measure

Learn and pivot

A continues process

Fake Product phase MVP phase

Final Product phase

1 2 3

Three phases

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Fake Product MVP Final Product1 2 3

Is a non functional product:- A prototype - A landing page- A video- A drawing- Power point slides- A drawn story

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Buffer fake landing page

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MVP = Minimum Viable Product

MVP has just those features that allow the product to be functional, and no more.

You should be embarrassed to show it to people

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Fishfishme 1st MVP

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Final product

Is your beautiful product that you want everyone to see and you are very proud of

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Fishfishme now

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Fly or Die Cycle

$$

Time1 week – 4 months

0 - US$5,000

0 - US$1,000

1 week to 4 weeks

US$10,000 - ∞

Die Die

Fly

Die$$

3 months - ∞

FakeProduct Phase

MVP phase Final Product Phase

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Phase 1: Fake Product

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Why we need a Fake product?

To test demand

To get feedback

The fastest way….

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How to build it?

Build it yourself or get help from a friend

Avoid spending money as much as

you can

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How to test?

Start with friendsThen friends of friendsThen people you don’t know

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How to test?

Use Instagram or other social networks

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How to test?Another great way to test is via Google

AdWords

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Step 1: Buy a domain name for $12 from GoDaddy.com

How to test?

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Step 2: Create a landing page using Wix.com, Unbounce.com, or power point!!

How to test?

Choose a country

Choose a country:

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Step 3: Buy Adwords from google (Fishing in Spain, Fishing boatsFishing Trips…etc) Will cost ≈ US$0.3 per click

How to test?

Set your daily budget at $5 or $10Wait and enjoy the show!!

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Step 4: Track and measure using Google Analytics, Google adwords or unbounce.com to check the results

How to test?

• I got 30 clicks everyday• I learned how many people are searching for fishing boats

around the world• I learned that people in UK are searching for fishing trips in

Spain

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How to make decision?

One advice, Never give up

Use what you learned to modify your idea and to build a better MVP

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Phase 2: MVP

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What is an MVP again?

MVP has just those features that allow the product to be functional, and no more

MVP Phase Real Product Phase

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Why we need an MVP?

You need MVP to test if people are willing to pay for your

product and everything else

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What is everything else?

Who’s your customers?

How you are going to make?And your pricing?

How much it will cost you?

How are your partners?

What should you have to deliver?

What you should you be good at?

What is the value to your customers?

What are you going to use to reach your customers?

How you should manage your clients?

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How to build it?

If not, then go there and find yourself a programmer (try Odesk.com)

If you are a programmer then you are lucky, build it yourself

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How to test?

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Step 1: Write your assumptions

Assumptions?!?!?!?! Assumptions

?!?!?!?!Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

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Step 2: Build a crappy version

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Step 3: Drive traffic

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Step 4: Test your assumptions

Begging for feedback

Meeting your clients

Always be ready to change (Pivot)

Getting out of the office

Understanding their needs

By….

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Step 5: Measure your numbers

Using Google Analytics, your mind and your calculator

Is there a market for my product?

How much it costs to acquire one customer?What is the conversion rates?

How much I should charge my customers?

Is there enough value in my product?

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Step 6: Revisit your canvas



Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

✓

✖✓

✓ ✓✖ ✖

✓✓

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And then redo everything

Build

Test and

Measure

Learn and

pivot

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Until you reach this



Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

Assumptions?!?!?!?!

✓

✓

✓ ✓

✓✓

✓

✓✓

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And this what we call PMF

Product Market Fit

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Now go build your final product

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Phase 3: Final Product

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1- Domain guy (the guy with the idea)

2- Programmer3- Designer

Form your team

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Build your beautiful product

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Now go crazy with getting more and more customers

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Remember……

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You still need to do this for every new

feature

Build

Test and

Measure

Learn and

pivot

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If you do this……

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You’ll be a millionaire

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Feel free to ask any questions :)