When scaling up, respond to what your customers do rather than say.
You know how your English teacher always said to show, not tell? Well, following that well-worn piece of advice can help give you a leg up in the world of scaling a startup.
Mark Zuckerberg created Facebook exclusively for Harvard students. When he announced that he would extend it to Yale, Princeton, and other schools, the initial users expressed their dismay – but it didn’t stop them from using, and growing, the service.
Though they said they wanted exclusivity, Facebook users were actually more inclined to stay on when the network expanded.
Fashionistas claimed they loved designer Jason Wu after Michelle Obama wore his clothes. However, Jennifer Hyman noticed that her customers weren’t gravitating toward Wu’s ensembles when choosing designer outfits from her site, Rent the Runway. Turns out, Wu’s designs didn’t match their daily needs. Hyman took this revelation to Wu, and the two of them ended up collaborating on a very profitable – and more wearable – line for Rent the Runway called “Jason Wu Grey.”
Hyman didn’t stop there. She noticed that her customers would rent an outfit for a cocktail party on Saturday night but hold on to it until Monday morning; they’d wear it again with a blazer to work. This was costing Hyman quite a bit in repair and cleaning costs – but it was also an opportunity. Hyman switched to a subscription service that allowed her customers to rent several outfits at a time and rotate them – and voilà, business grew even more.
How can you find out what your customers are doing? Many founders conduct their own focus groups, which lead them to interesting and profitable observations. When Mariam Naficy of bespoke stationery company Minted learned that men today are more involved in the wedding-planning process, she began to incorporate less overtly feminine designs into her offerings.
网友评论