Great ideas aren’t enough

Nowadays, nearly every young person, whether they’re still studying, fresh graduates, or even experienced professionals, dreams of launching a startup.

I don’t currently have a startup myself, so what I share here are simply my personal observations and reflections on my journey working for startups and product companies. These views might resonate or differ depending on your experiences, and I’d love to hear your thoughts.

Why do only a few succeed?

The primary reason many startups fail is their lack of clarity in vision and goals. Often, even by the time the product launches, the founders haven’t fully understood or validated the real value their product offers to customers.

The core value of a startup is the Product

Firstly, your product must provide genuine utility. This doesn’t mean your product has to be groundbreaking, but it must solve a real problem or deliver tangible value that excites and benefits users. 

For example, when Dropbox was launched, cloud storage wasn’t new, but Dropbox simplified file synchronization and made sharing effortless. Its early users found immediate practical value, driving rapid organic growth through word-of-mouth recommendations.

Secondly, you need to adopt a long-term vision early on. Clearly define the value your product aims to deliver over time. Only when you’ve validated this value through feedback and real-world use cases will your effort and resources be justified.

Airbnb began with a simple vision: to help people rent out their extra space. They continuously refined their service through user feedback, staying closely aligned with the initial vision and ensuring the product’s value was clear and enduring.

If no one wants your Product, move on quickly

Users often don’t initially recognize their own needs clearly. However, any successful product requires early adopters, those adventurous users eager to experiment and provide critical early feedback. If your product can’t attract these early adopters organically, pouring money into marketing won’t save it.

Slack gained rapid adoption among early tech-savvy users through word-of-mouth and intuitive functionality. It required minimal marketing expenditure initially, as it effortlessly resonated with users who were dissatisfied with traditional email communication.

An attractive design can’t save a useless Product

A beautiful interface on a useless product remains useless. Investing significantly in aesthetics without ensuring the core product offers substantial value leads to rejection, frustration, and wasted resources.

Juicero raised substantial funds to create a beautifully designed, premium juice-pressing machine. However, consumers quickly discovered that squeezing juice packets by hand was equally effective, rendering the expensive design pointless. The company ultimately failed because it lacked genuine value.

Startups should prioritize building genuine core value rather than relying on superficial attraction. Temporary appeal can’t compensate for a lack of substance.

Amazon initially had a plain and unassuming website. Despite the lack of visual allure, its deep understanding of customer convenience, fast delivery, and broad product selection ensured lasting success.

The Power of Word-of-Mouth

You saw me mention “word-of-mouth” multiple times in this post. Word-of-mouth remains one of the most effective forms of marketing, especially critical in a startup’s early stages. Unlike paid advertising, word-of-mouth relies on authentic experiences shared by satisfied users. This type of marketing generates trust naturally, as potential users are more likely to believe recommendations from friends, colleagues, or peers.

All the successful case studies I mentioned achieved immense growth through word-of-mouth. By ensuring your product genuinely delights and exceeds user expectations, word-of-mouth can rapidly amplify your startup’s reach and reputation at minimal cost.

Closing

Remember, while ideas are plentiful, creating a successful startup fundamentally requires a product with undeniable value. Success also hinges on countless other factors like finding the right team, but that’s a topic for another time. If you have more insights on what makes startups thrive, feel free to share your thoughts.