Startup Studio Indonesia Boosts Local Startup Competence Through a “Product Market Fit” Approach

Prediction of the value of Indonesia's digital economy which will continue to grow rapidly up to hundreds of billions of dollars, in fact in line with efforts to boost the growth of the digital startup industry in the country. In the midst of an internet market share that reaches almost more than 200 million users, the Indonesian startup industry has great potential.

In addition to having spawned several "unicorn"-valued startups, the Indonesian startup industry has also  already has 43 startups with “centaur” valuation (a company with a valuation above USD 100 million), which of course also has the potential to become the next unicorn startup. However, behind the brilliant potential, of course there are challenges that we need to face together, one of which is related to the competitiveness of local startups. This deserves attention, because, in a report released by the Startup Genome Report, 70 percent of startup failures are caused by premature business scaling plans, with one of the factors being the startup's unpreparedness in formulating products and failure to respond to market needs.

So how should the industry respond to these challenges? The method of strengthening products and business models through a "product market fit" approach can be a method adapted by startup actors. Marc Andreessen, a seasoned investor from the well-known Silicon Valley venture capital, Andreessen Horowitz defines, product market fit is a scenario (situation) where the business (startup) is in a good market position, with products that can satisfy that market. Product market fit considered not going well if the market response to the services or products offered does not provide value, the absence of organic promotion by word of mouth, to zero reviews from consumers. For prospective founders of successful startups, this is certainly a homework that must be tackled early on - or at least since the startup is in its infancy phase. early stage (beginning).

This challenge is the background for many entities within the technological and economic ecosystem to drive incubation program initiatives that target the birth of local startups with global competitiveness. As presented by the Ministry of Communication and Information (Kominfo) in launching Startup Studio Indonesia, an intensive incubation program that focuses on developing the competence of startups that are in the early stage. 

Initiated to answer the various challenges above, the Startup Studio Indonesia incubation program opens greater access for startups that are in the initial phase, to develop and strengthen their business, so that they are able to compete both locally and globally.

Director General of Informatics Applications, Ministry of Communication and Information of the Republic of Indonesia, Semuel Abrijani Pangerapan, B.Sc said “Kominfo is consistently committed to continuing to advance Indonesia's startup ecosystem. Through the Startup Studio Indonesia program, Kominfo provides access facilities for early stage startups develop their business potential that focuses on product strengthening (product market fit) and access to business networks.”

Carrying the concept of “More Brainstorming, Less Classes”, Startup Studio Indonesia's incubation program focuses on providing knowledge and practical insights. Among other things; deepening of competence in methods product market fit, talent development, to providing guidance and consulting support by mentors and coaching who come from more than 60 active and leading startup founders and practitioners in Indonesia such as from; Sayurbox, Gojek, Xendit, Moka, Halodoc, Sociolla to businesses from East Ventures, as well as other leading companies committed to advancing the country's startup industry.

Besides that, Startup Studio Indonesia too always play an active role in fostering a spirit of collaboration between startup players, in building a strong digital economy ecosystem through knowledge transfer.

Italo Gani, Board of Curators of Startup Studio Indonesia, and Managing Partner of Impactto appreciate Kominfo's support for the community early stage startups. According to Italo, the startup industry in Indonesia needs more founders who have the ability to create product innovations that answer the problems that exist in society, and execute these ideas very well. "Indonesia still lacks" product person that can map local market needs and develop customer traction consistently. Whereas the strength of the product is very important in ensuring business continuity. Startup Studio Indonesia is expected to produce strong startup founders in this aspect.” 

In the three-month incubation program, the founders of early-stage startups will participate in a series of activities mentoring and coaching in a program called Founder's Camp and 1-on-1 Coaching by more than 60 active and prominent startup founders and practitioners from various business sectors. 

Startups who attend can consult, discuss, too brainstorming to find solutions to problems faced by startups. At the end of the program, each startup that joins will be given the opportunity to present their startup business to the participants stakeholders who attended the Milestone Day event, namely from government institutions, venture capitalists, corporations and the media, so as to provide opportunities for future connections to every stakeholder present.

Startup Studio Indonesia is open for all early stage startups that currently in funding stage Bootstrap, Angel, Pre-seed, to seed, as well as those who are looking for funding Seed, Pre-Series A, to Series A. There are a number of terms and conditions that should be considered for prospective participants, including startups that have traction for 3 to 6 months, have legal entities, have a founding team (founder) on a full time basis, and last but not least, prospective participants are also able to show their potential towards product market fit and market scale-up.

There is no doubt about this program from Kominfo, Startup Studio Indonesia is able to bring 2 startup graduates to get investment from Venture Capital, namely Justika and Feedloop. The first batch of alumni, Verihubs, a verification platform startup for fintech, was selected as one of the startups from Indonesia that had the opportunity to be accelerated by one of the best accelerators in the world from America, Y Combinator. In fact, around 40% of Indonesian Startup Studio graduates have more than 20% month-to-month traction growth, above the industry average.

After successfully helping 20 startups develop their businesses in batch 1 and 15 startups in batch 2. Startup Studio Indonesia is here again to open registration for batch 3 to provide equal access to knowledge, competence, and connections for all. early stage startups in Indonesia. Registration is open 15 July - 15 August 2021 and is free without collecting fees from participants. Find solutions to your business problems now. Register now at https://startupstudio.id/.