Find Out If Your Business Idea Is Worth Pursuing
BY: MARIIA LVOVYCH ON FRIDAY, OCTOBER 27, 2017
Coming up with a business idea is pretty easy. If you are asked about coming up with an idea that's worth pursuing then that’s where the challenge comes in. Distinguishing a good idea from the ones that aren’t so good can be hard. Fortunately, we have listed down all the signs that you should look out for to know whether your business idea will pay off in the future.
No one is doing it
This might seem obvious: if there's no other person who’s proposing the same business idea as you, then what you have is worth pursuing as you have an excellent proposition on your hands. According to the co-founder and COO of Medigo, Pawel Cebula, many business frameworks can be used in evaluating business ideas. However, a good indicator is asking a simple question: why is this not on the market yet?
Cebula used this question when he was working for Medigo which is an online platform dedicated to connecting patients to physicians from all around the world. When he presented the idea to his physician father, he was shocked when he found out that no one thought of it yet.
Someone else is already doing it... but in a different manner
Not all business ideas have to be unique and the first of their kind. There are lots of successful businesses that are based on old, re-imagined ideas. Take for example Men in Kilts. It's an exterior cleaning and window washing franchise based in Canada.
The company, founded in 2010, sets the business apart by injecting humor into the business model. Compared to other window washers, the workers of the company climb ladders and get to scrubbing while wearing kilts! Yes, kilts – those long skirts that are known as the leg cover for bagpipers. As it turns out, the strange business strategy got the public’s attention.
Thanks to this idea, the company has expanded to 10 other locations across the US.
It's a solution to a problem
If wearing a skirt is not your thing, you don't have anything to worry about. A business idea does not have to be silly in order to be successful. Many businesses are successful because they solve a specific problem. A good example of this is CFD Trading which is offered by CMC Markets. The brokerage provides a financial instrument, Contract for Difference, for people who are already experienced when it comes to risk management, stock market trading, and leveraging. A CFD offers a very efficient way to make money as the outlay of capital has been lowered compared to conventional trading.
For people who see themselves as tech-savvy and aren’t afraid of presenting ideas for other people to judge, there’s a good way of testing a business concept: running a crowdfunding campaign.
If you are successful in raising money on Indiegogo or Kickstarter, then there’s definitely a demand for the service or product that you have in mind. If, by chance, the crowdfunding campaign doesn’t succeed, don't give up on it yet. All you have to do is reconsider your approach to prospective investors and customers. Also, see the aspects of your business which can be improved.
It’s filling a niche
Do you have a business idea that fills a niche? If so, then you're onto something huge. The founder of ARTISURN, Irina Jordan, learned this lesson when the launch of her business became successful. She sells handcrafted urns for cremation remains. According to Jordan, you have stumbled upon a successful niche if you've experienced something that's lacking in your life. In her case, she wasn't able to get a hold of a unique urn for her friend's ashes, so she started her own company. Because the need has been addressed, ARTISURN became very successful even up to this day.
Businesses that serve services or goods to a certain portion of the population have to ensure that there's a good number of people who can be considered as customers. If you tap a specific demographic, however, you will be shocked to find a market that's been left untapped for a long time.
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