One of the most challenging things (in almost everything that comes without instructions) is to know where to start. For that reason, I will cover some of the most important aspects of choosing a Business in this post, and by saying business, I’m referring to the whole concept of generating a business idea, value proposal, and model from scratch. Like everything in this blog, I will try to keep it short. Let’s go to see it:
Brainstorm ideas that align with your interests or passion
The best business idea it’s closer than you think. Most successful businesses are related to the passion of their owners. That is because when you’re in love with your ideas, you will find a way to make them work. If you don’t think so, look Elon Musk. Look into yourself. Is there is something you love and can use to make the life of people better? If there is a skill, product, or knowledge that fulfill these two criteria, we have a winner.
If you’re not convinced about this, think it in this way, would you want to start a business to continue feeling the same as in your worst job? I hope you don’t because that wouldn’t have sense. Start a business thinking in making money is never a good start, and we will explain why in the next point.
Filter your ideas and focus on the ones with more potential
In the case of web-based businesses, it’s easier to measure if an idea has potential or not. One way to do this is by using tools like Google Insights and Google Ads Keyboard planner (Soon, I’m going to write a post on how to do this).
What you need to do is go to Google Ads Keyboard Planner and type a word that is related to your business idea. Then select the location you’re more interested in. For example, type snowboards and select on the filters USA, country.
Next, Google Ads Keyboard planner will show you many variants of the word you typed in. Look throughout the list and select those with more impressions. You can add them to a personalized list by clicking Add Keyword. Then look at them and see the competition level and cost per click. I recommend you to register everything in an Excel spreadsheet. Impressions are more useful than searches, so you would like to focus on that. As more impressions more possibility of clicks, more clicks mean more opportunities to catch the customers you’re looking for.
Extra tip: The Business Seasonality
Something extra I do is to search for the seasonality of the business because that also affects your business finances. To do this, go to Google Insights (or Trends) and type the word you’re looking for and select the location as you did before with Google Ads. Then you will see a line chart showing how many searches the word you typed has throughout the year or period you selected. That will help you see patterns in the demand of your business idea over time.
Once you did this, stay with the ones that performed better in impressions and, depending on if it’s important for you, the constant volume of searches. Then you can add other filters as your budget and the level of competition you feel ready to face.
Define your product or service
Have clear what you have to offer and why people would need your product or service. The best way to create good-quality products or services, it’s to put in the shoes of your potential customer and try to offer something you wouldn’t doubt in pay for. This step is when you should investigate a bit more to know your potential customers, their needs, and what your competition is offering that you can make better. Once you have decided what to offer, it’s time to see how to offer it.
Choosing the appropriate business model
With your product defined, you can investigate business models that can get the best from your products. There are plenty of business models. To choose the right one, try to be realistic with your situation and also conscious of your goals. Measure how much time and money you’re able to invest. Think of the partners you will need to run your business if you depend on someone to complete specific processes of your business (shipper, provider, etc.). Then decide based on the option you consider fits you and your product better.
Once you choose a business model, you can start filling your plan where you put everything in order. I recommend the canvas business plan because it lets you see your business all at once. No matter what you choose, always keep an open mind and pay attention to what is working for you and what doesn’t. You can improve your business model and, consequently, your business.
Following this order will simplify the way you pass from a bunch of ideas to a detailed business plan with high chances to succeed. High competition levels are positive sometimes because it shows there’s a great demand for that product or service. Also, with competition comes faster adoption of a brand new product or service. The best way to open yourself space in a highly competitive market is innovation and an excellent added value that makes you different from your competitors.
You can start testing a business idea using an affiliate business model and after learning about the market, launch your own product. That will save you money and reduce many risks that come with starting a business. I hope you found valuable information!