To formulate your business idea, you have to think about what you shall sell and who to sell it to. Maybe you already have a product in mind after the exercise of finding your calling, or perhaps your whole journey started from that you have created a fantastic product you now want to show the world. No matter which, it is time to give some thought about what this product is and who should buy it.
The product in this discussion can be a product or a service you perform or mediate for your customers. In either way, think about what you sell as a packaged product, especially when you will find your customers through digital means.
With product development and the question about selling someone else product or create your own, a later post will discuss it further.
Play with your product virtally first
Let’s say you have a product you want to sell. It is now time to do some exercises to get a feeling for if this will work, as well as define who will buy it.
We start with something as simple as the name of what you are planning to sell. The name must reflect what you plan to deliver and be easy for your potential customers to understand. It is also not wrong to give some thought about how the name will behave when people search for it online. For example, if it matches specific words that your customer will type into Google.
The name itself is not important in this stage, but it brings you into a way of thinking – how, when and who it is that will search for your product. It is not enough to have the world’s most revolutionary product if the road from a buyer to the product is clear and understandable. The idea of that anything you do on the internet will go viral and spread on its own is unfortunately only an idea. There are many people who put huge amounts of hard-earned money into building apps that they believe will make them millionaires, but only resulted in a few downloads. Or started e-commerce businesses with huge inventories that never moved.
Where will your customer search?
So you need to have an idea of not only who your customer is, but also where this customer will search for the product you sell, and how this person does the search. Even if what you sell never existed before and has no name, you will have to think about which search terms your customers are using when they are open to be exposed to your product. It is possible to completely skip this step, but then it is likely that your marketing budget will have to compete with international multi-million dollar companies far from the fight that any aspiring digital nomad wants to pick as their first.
It is not necessary to define the exact name, target audience, ideal customer and marketing budget in this stage. But you should have a few ideas in your head and have given some of it enough thoughts to know how you will succeed with what you are now about to dive yourself into. You must also define a rough market to act within, to have all the components for completing the business idea in itself.