How to Validate a Service Business Idea in the style of Sribu's CEO, Ryan Gondokusumo

Idea validation is an important step in building a business, including a service business. However, unfortunately, this step is often missed and makes business ideas fail to be realized.

To avoid this, you need to understand and apply the right steps in validating a business idea. But, before that, let's first look at the meaning of idea validation the following endeavors.

Understanding Business Idea Validation

Business idea validation (idea validation) is the process of gathering evidence by conducting experiments to assess whether an idea is feasible or not. The word 'feasible' here means whether the business idea answers the need target market or not.

Validating a business idea has many benefits for those of you who just have a business idea and plan to make it happen, including reducing the risk of failure and minimizing costs.

Service Business Idea Validation Steps

To be able to validate your service business idea, you certainly need to know what the steps are. This time, the CEO of marketplace services Sribu, Ryan Gondokusumo, shared information on steps to validate service business ideas. Here is the summary.

Determine TargetMarket

After getting a business idea, make sure you determine target market your efforts. target market This will also help you in taking the next step, which is the survey market.

To help determine target market, you can use information about how you will market your business and know the needs of consumers.

Survey Market

According to Ryan's description, the survey market is the most appropriate way to validate a business idea, especially a service business. Why? As explained above, he thinks this method can help you find out whether the business we offer is needed or not by the target market.

In conducting a survey market, Ryan mentions there are five points that must be noted and questioned, including:

• is target market need your services?
• How to target market get your services?
• How much Painful the process?
• What price can beallow by target market?
• How big is the market?

Questioning these five points will help you find out a few things about the feasibility of your business idea.

“Why, anyway, these five things are important? Because if we don't do it, a lot might happen. For example, the effort we make is not that many fans, the effort we make turns out to be nice to have and not something that is point bread (needs) for them, the effort that we made turned out to be not worth the price budget them, or the efforts we made, it turns out that there are already a lot of players, even though there are many who need it,” explained Ryan.

Then, the CEO of Sribu also gave tips on conducting surveys market. First, try a survey with a minimum sample size of 100. Second, don't do a survey on the closest people around you because the closest people are not necessarily target market your efforts.

What to Do After Validating a Service Business Idea?

After carrying out the survey market To validate your business idea, Ryan also explains what steps you should take next, which is to do product testing and realizing business ideas The.

ProductTest

product test is a step that is taken after your service business idea is declared feasible through business idea validation. Although the previous business idea has been judged feasible, product testing still need to be done before realizing the business idea.

According to Ryan, product testing or prototyping is a test performed to find out whether your product or service complies with the PMF (Product MarketFit). In doing product testing, Ryan also gave tips so that it should be done at the lowest possible cost and in the fastest possible time.

Build Portfolio

Building a portfolio is the first step you need to take to realize a service business idea. Previously you may have determined the price of your services, but you will certainly still receive negotiations from customer.

For starters, you can receive orders at prices below what you set. The most important thing is that you can build your portfolio first.

If you then have the skills and portfolio as proof, you will get more clients and can choose to receive orders at the right price as you set.

Tips for Finding Service Business Ideas

Above you have learned how to execute an idea that is considered feasible through business idea validation. But, what if your idea turns out to be not viable? The answer is that you can always look for other business ideas.

In addition to providing information on how to validate business ideas, Ryan also shared some tips for finding service business ideas. Check out the summary below.

Looking for Areas of Expertise

The first tip in looking for service business ideas is to look for areas of expertise. However, you should focus on what service areas you are good at.

"Back to us again. Actually, what kind of service provider are we?” said Ryan.

Building and running a service business that matches your expertise will certainly be easier and have a greater chance of success.

Doesn't Have To Be Unique

Unlike a physical product business that needs to be unique and different from others, you don't need uniqueness in building a service business. Then, how to compete with other similar service businesses?

To be able to compete with other businesses, you need to focus on expertise, portfolio and experience.

"The more we add to the experience, the better the results and we can" charge higher prices, and getting more clients.”

Tips for Running a Sribu-style Service Business

Successfully realized your business idea? Next, check out some messages and tips on running a CEO-style service business from marketplace Sribu's services.

Explore Medium Industry Booming

It doesn't have to be unique doesn't mean you don't have to explore. So that you can recounts With today's market, exploration is necessary. You can explore emerging industries booming then you apply it to your service business.

For example, let's say you want to run a business in the field of writing and currently the financial industry is being discussed. You can offer writing services about the financial industry according to what is needed by today's society.

Improve Focus and Ability

According to Ryan, today the world is increasingly supporting service providers who produce digital products like you. With the rapid development of digital and the existence of marketplace services contains many projects, such as Sribu, will certainly help you to be able to make money anywhere.

Ryan also shared the story of several service providers in Sribu who were able to get projects from big clients in Jakarta even though they were outside Jakarta.

"Because what we provide is everything digital goods yes. So, we don't need to office but we can get projects. Like many of our freelancers, we can projects from big clients from Jakarta even though they live in the regions.”

Now, with the easier access to running a service business, Ryan believes that increasing focus and ability is very important in order to be successful in running a service business.

You can improve this ability as you get more projects and experience.

"Instead of being consistent, we must keep growing yes. So, the more we get job, we have to learn more and more. Moreover, technology and digital matters are constantly changing nowadays, "explained Ryan.

This is the information shared by Ryan Gondokusumo as the CEO of one of the companies marketplace Indonesia's largest service provider, Sribu, in validating and seeking service business ideas.

After knowing and understanding the steps, make sure you no longer skip the business idea validation step to reduce the risk of failure in realizing your service business idea.

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