Reducing risk of selling by PRE SELLING
I love the concept of always selling something before you build a big startup around it, so you can prove that people actually want the product first.
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Image Description
The image is a tweet by Adam Robinson, outlining three steps to reduce risk in business: 1. Sell before you build, 2. Build as little as possible, 3. Do things that don’t scale. It concludes with "That's the formula for the 4% club."
Positive Aspects
The tweet effectively summarizes a strategic approach to entrepreneurship that emphasizes testing the market demand before investing too much into product development. It’s a concise and impactful way to communicate a potentially complex concept.
Key Takeaways
- Pre-Selling Validates Demand: Selling before building ensures there's genuine interest in your product, reducing the risk of failure.
- Minimal Viable Effort: Focus on building the essentials first, avoiding unnecessary features that can drain resources.
- Non-Scalable Actions: Engage in personalized, unscalable activities to build strong customer relationships and gather feedback.
Additional Insights
- Real-Life Applicability: Many successful startups, like Dropbox, used pre-selling to gauge interest before fully developing their product.
- Avoiding the Trap: It's easy to get caught up in creating the 'perfect' product. Remember, perfection is often the enemy of progress.
- Humorous Analogy: Think of pre-selling like making a reservation at a restaurant before you decide to cook a five-course meal. You want to ensure people are actually coming to eat!
