Once you have started to get an idea of which is the exact problem that you are trying to solve and why it is important for your customer segment the next step is to understand your customers and their situation even better.
The next round of questions starts by asking:
- How expensive is the actual problem?
- How much does it harm the customer?
- Which chunk of the market goes to this?
- How much money are they spending on trying to solve this problem?
- Which chunks of other possible markets could go to trying to solve this problem?
How will the market change?
Here we have to think not only of how important it is but also about where the resources to cover the expenses for this are going to come from.
No matter what kind of product you offer it is going to imply a change in expenditure for the customer, so where does this capital come from and why would they be willing to give it?
How many markets are interested in trying to solve this problem? Which markets might want to solve this problem in the near or long term future and how can you make it appealing to them?
Why would this number grow? Which would be the possible root causes? What would make your customers have a change in perspective?
Approaching the problem
How can you approach it to make the change the easiest it can be for them? How can you solve the problem in the most simple way?
We all know that there is resistance to something new, especially when there is capital involved so how can you make this change as smooth as possible?
How can you give a disruptive solution without disrupting their way of spending?
The value proposition is the core of the business model but no company can work without the rest of its parts.
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