Our ego wants to tell you that no one has considered your idea before. But it’s a likely reality that a public company is considering it and has already declared something about it. What would it look like if your idea succeeded? asks Sachin Karpe This hypothetical question–if you ask it to outsiders who’ll be objective about your prospects–can help you envision your strategy, unforeseen competitors, possible exits, and possible road blocks.
For example: Right now, your supplies might have a certain cost. How would that cost change, if a large competitor began to buy the same supplies at astronomical volumes? You also might have a genius programmer who’s doing the brunt of your brilliant work. The 4 Ps are the target population of your product or service; your planned pricing points; your expected purchasing frequency (i.e., how often will this target population pay for the product); and the required market penetration you’ll need to achieve plausible revenue goals. With this five-minute exercise, you can quickly create an easy reference sheet of talking points about your idea’s potential monetization says Sachin Karpe