Showing Revision 2 created 09/30/2015 by Udacity Robot.

1. Title:
   05-01 Value_Proposition
2. Description:

   05-01 Value_Proposition

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   On today's lecture, we're going to cover value proposition.
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   What is it you're building and for who?
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   What pains and gains are you creating for what customer segments?
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   And more importantly, what's the minimum viable product that results from all this knowledge?
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   So you're all familiar with the business model canvass and hopefully by now
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   you've actually taken a shot and tried to fill out the canvas for your own idea and your own startup.
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   But today, we're going to talk about the first box, value proposition.
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    Value proposition is just a fancy word in the business model canvass
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    for what is it that you're building.
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    What product or service are you building?
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    And by the way, we're going to ask later for who are you building it
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    and what exactly does it solve for those people?
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    So let's take a look at value proposition.
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    As I said, it's not just about your idea or product.
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    One of the things that's hard for founders to realize is there's actually a customer
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    at the other end and so while you're thinking this is the greatest thing since sliced bread
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    the whole idea about customer development is to get you out of the building
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    and tell me whose need or problem you're solving.
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    It's about satisfying a customer need and not just you thinking what a great idea.
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    And that can't be repeated enough.
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    So today, while we're talking about value proposition, value proposition works hand in hand
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    with who your customers are, which we'll be talking about in the next lecture.
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    Understand that this relationship between what you're building, the value proposition,
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    and the customer is what makes startups succeed or fail on day one right there.
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    And we give those two boxes, those two relationships, a special name.
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    We call that product market fit.
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    And when you hear the phrase product market fit, just simply visualize the canvass and go,
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    "Oh that's another fancy word that says is what I'm building needed or wanted
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    or passionately desired by a set of customers on the other end? And if I don't have that,
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    then the good news about the customer development process is it allows us
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    to keep searching without going out of business and so what you'll find is
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    we'll be iterating back and forth doing things called pivots and iterations
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    as we kind of discover what customers really want versus what we think we're building for them.