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05-06 Value_Proposition_and_the_Minimum_Viable_Product

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    Let's take a look at value proposition.
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    Value proposition is not something you're building in isolation.
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    While the value proposition is about solving a customer problem or need,
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    it really consists of 3 components.
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    The easy one for most entrepreneurs to talk about is what product features you have
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    or what product services you're providing.
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    But there's actually 2 more important components to value proposition:
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    What gain are you creating for customers?
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    And what pain are you solving for them?
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    Alexander Osterwalder, when he drew the business model canvas,
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    really emphasized this. It's not just about your product.
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    And especially if you come from a technical background, it's really easy to say,
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    "Oh, look at all these features."
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    And if you find yourself doing that, you need to complete the sentence and say,
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    "Yes, but here's what we make people be able to do better,
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    "and here are the problems we solve for them."
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    So the real goal of you figuring out the value proposition
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    is understanding what we call the minimal viable product.
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    You're trying to figure out, "Now that I kind of understand my product and service
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    "and what I'm gaining for customers and the pain I'm solving,
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    "what's the smallest possible feature set I could be shipping on day 1
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    "that solves these pains and creates gains for them?"
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    And this really is an interactive process
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    because there is no way, no possible way, sitting in your office you could figure this out.
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    And the default for great engineers and great entrepreneurs is,
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    "Oh, I understand customers' problems and needs,
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    "so don't worry about it. We'll just spec the entire product on day 1."
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    Your real goal here is to figure out what's the smallest thing you could build and develop
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    that actually gets you users or sales or whatever
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    and get out to market as quickly as possible.
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    And so the goal of you getting out of the building for value proposition
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    is understanding gains and pains so you can figure out what's the MVP,
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    or minimum viable product.
Title:
05-06 Value_Proposition_and_the_Minimum_Viable_Product
Description:

05-06 Value_Proposition_and_the_Minimum_Viable_Product

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Video Language:
English
Team:
Udacity
Project:
EP245 - Lean Launchpad
Duration:
02:03
Udacity Robot edited English subtitles for 05-06 Value_Proposition_and_the_Minimum_Viable_Product
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