By Kevin Hood 

 

 

If there is one simple but extremely important message that I could provide to new entrepreneurs, it is to focus on the market from the beginning of your venture. I have seen so many new ventures spend almost all of their initial time and effort focused on the creation of the product or service with little attention paid to a true understanding of the end user and the actual market potential.

 

There is no better source of information about the potential of your new products and services than from the customers themselves. Interview and survey as many potential end users as possible to determine if there is demand for your products and services, what the "pain" is that you are solving or the "gain" is that you can help them achieve. Use this knowledge to guide your business strategy going forward.

 

So much of marketing is about finding the right words to convey your value proposition. Customers need to know what the benefits, results and ROI are from your product or service before they will spend any time finding out more about it. In other words, if they see no upside in using your product or service, chances are low that they will investigate further and ultimately buy. Understanding and communicating the benefits of your products/services to end users is a major step in ensuring long-term success.

 

That is just the beginning of the shift in focus to the market. Many businesses need to engage directly with customer prospects to get a sale done, but if you are like most entrepreneurs, you are uncomfortable with the idea of selling. You probably don't realize you've been selling all your life. Trying to get your way with others (often family members!), get a job, keep a job, and convince a group that your approach is the best one - all of these required you to sell yourself and your ideas. The difference in business is that you get paid for what you sell!

 

There are many factors that influence customers' buying decisions, but one critical element should not be underestimated - who they are buying from. Customers will only buy from you when they trust that you can deliver the results they want. If you are not confident in a sales role, it will be very difficult to demonstrate the thorough professional approach needed to help customer prospects make that buying decision. Your attention to their needs, your ability to fix a "pain" or help them make a "gain" will create the basis for a long-term customer relationship. Your goal should be to have "repeat" and "referral" customers as the vast majority of your business which is a direct result from the sales relationships that you develop. The value of your business increases with the strength and retention of your customer base.

 

If you focus on the market as well as the marketing and sales requirements of your business from the very beginning, you will get an important understanding of your marketplace, the words you will need to get your customer's attention and then the trust building sales relationship that will close the deal to secure them as a long-term customer.

 

At the Accelerator Centre, and through the Accelerator Program, we are dedicated to ensuring that new entrepreneurs have this focus and make the best decisions possible on their path to market.

 

By Ignacio Mongrell

 

FedDev and the Accelerator Centre are now accepting applications for JumpStart's third and final cohort. JumpStart is a mentorship and business acceleration program designed to assist STEM entrepreneurs with the commercialization of new products and the development of new businesses. The program provides selected companies with mentorship and matching seed financing up to $25k.

 

The deadline for sending us your application is July 31, 2013. You are invited to come to the Accelerator Centre and see our finalists pitch in front of an audience and judges on Wednesday, August 14th from 3:00 to 5:00pm.

   

During its first two cohorts earlier this year, JumpStart funded and mentored 23 companies in the KW Region and contributed to the creation of over 60 jobs. These companies have been receiving mentorship in marketing & sales, PR & communications, HR, technology, and finance, as well as legal and accounting advice.

 

If you wish to find out more about the application process, selection criteria or have any other inquiries regarding JumpStart, please contact Ignacio Mongrell at imongrell@acceleratorcentre.com