Startup marketing mistakes and key points of startup Evolution Curve by Donatas Jonikas (PhD), the author of Startup Evolution Curve.
Startup Evolution Curve (https://goo.gl/hDKP0t) is a startup marketing manual based on global research of 1,447 startups and nearly 500 in-depth interviews. This practical book was highly evaluated by 30 international experts.
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
Hands on Startup Marketing by Donatas Jonikas (PhD)
1. STARTUP MARKETING
Top 10 mistakes to avoid & how
to transform your idea into
successful startup
Most dangerous mistakes and how
to avoid them
Dr. Donatas Jonikas
2. AGENDA
1. Global RESEARCH on startup marketing
2. Top 10 most dangerous MISTAKES
3. HOW TO create a successful startup
STARTUP MARKETING
9. Startup Evolution Curve is in the same league with The Four
Steps to the Epiphany by Steve Blank and The Art of Start by Guy
Kawasaki.
Denis Todirica,
Start-up Chile Entrepreneur. Forbes 30 under 30
Donatas' book is like an IKEA guide for building your next startup.
Michal Tomek,
Co-founder & Editor at Slovak STARTUP
I don’t know any book that sums up better the startup evolution
and growth than the Startup Evolution Curve by Dr. Donatas
Jonikas.
Velimir Tasic,
Co-founder of ESAA entrepreneurship incubator in Singapore
If I could have read this book before creating my first startup, I
would have avoided many pitfalls and tons of frustration.
Ariel Mizrahi,
Serial Entrepreneur & Mentor at StartupMexico
11. Creating the product first,
thinking about marketing later
#1
STARTUP MARKETING: MISTAKES
12. Fousing on product creation is a business mindset
that was popular and very effective in... 1960s
1960s
21st Century
You have to create products that will be loved and
used by customers, not you!
STARTUP MARKETING: MISTAKES
13. Offering “nice to have,” but
not essential value
#2
STARTUP MARKETING: MISTAKES
14. • 106 repair shops in 5 countires interviewed
• Some of them interviewed 5 or 6 times
• 26 prototypes built in PowerPoint
• $5,000 experiment with 3 of 3
AutoPixie
STARTUP MARKETING: MISTAKES
16. • €20,000 in government grants
• contract for a small government investment
• shortlisted onto one of the world’s top accelerators
• Silicon Valley angel syndicate prepared to invest
$500,000
AutoPixie
STARTUP MARKETING: MISTAKES
17. Lack of market verification: saying is
not the same as paying!
#3
STARTUP MARKETING: MISTAKES
18. are trying to address really serious problems and
create tremendous value but don’t test it in the
market or they do it in the wrong way
42,6%
STARTUP MARKETING: MISTAKES
You’ll never have real market verification until customers
give you their money for your product.
19. STARTUP MARKETING: MISTAKES
Location 124.5 million households in USA
Food gardening
31% of all US households (estimated at 36 million) did food gardening in 2008
(2015 data is available under paid subscription at National Gardening
Association)
Climate zone 22% of the 36 million households (or 7.92 million) are cold climate gardeners
Gardening purpose
Vegetable gardeners are 23% of
7.92 or 1.7 million households
Herb gardeners are 12% of 7.92 or 0.95
million households
Target market size 1.7 + 0.95 = 2.6 million households
Campaign goal
2,000 households, which is less than 0.08% of the estimated target market
size
Modgarden
20. Anything to please investors
instead of customers
#4
STARTUP MARKETING: MISTAKES
21. can bring money, their network, and quick solutions to
some of the challenges of a startup, but only if you
have a valuable and verified solution.
Investors
STARTUP MARKETING: MISTAKES
If they are happy, many things follow automatically,
including the investors standing at your door to provide
you needed funds.
Customers
22. Thinking that “we have no
competitors”
#5
STARTUP MARKETING: MISTAKES
23. have evaluated their micro and macro business
environment, while others hadn’t even thought about it
33,9%
STARTUP MARKETING: MISTAKES
Ask Yourself
“How can we find out with whom we are competing”
24. We have brilliant idea and it
will go viral by itself
#6
STARTUP MARKETING: MISTAKES
25. Why should anyone recommend your service or
product? What’s in it for them to do so?
“Hope marketing”
STARTUP MARKETING: MISTAKES
3 Engines of Growth
Take action to implement at least one of those engines:
viral, sticky, paid
26. A good growth hacker is all we
need!
#7
STARTUP MARKETING: MISTAKES
27. Good growth hacker will kill your startup if you are
not well prepared!
Death by Growth
<20%
Only 20% of startups have developed their up-sell and
cross-sell strategies
STARTUP MARKETING: MISTAKES
28. Marketing needs a huge
budget, therefore we’ll take
care of it after fundraising
#8
STARTUP MARKETING: MISTAKES
29. were already on the market, but only 39.4% had
developed their brand and positioning and only
17.4% had a consistent marketing plan
47,9%
Crafting positioning statement and marketing
strategy as well as creating a marketing plan
requires effort, not money!
STARTUP MARKETING: MISTAKES
30. We’ll enter the market with
“big boom” launch
#9
STARTUP MARKETING: MISTAKES
31. Big launches might be a strategy for the well-
established, traditional business, but for startups,
it usually just causes failure in the form of wasted
money and insufficient sales.
WRONG!
STARTUP MARKETING: MISTAKES
33. Allways know hos wast you are “burning” your
money. Does it create tangible value?
Cash Burn Rate
STARTUP MARKETING: MISTAKES
See the Difference
between fundraised and earned money and which
milestones you can achieve with current “cash burn” rate
34. • $11 million fundraised
• Entered into 13 country markets
• Team of more than 150 people
• Millions of users!
• Run out of funds!...
Expensive Mistake
STARTUP MARKETING: MISTAKES
38. Value Proposition
STARTUP MARKETING: HOW TO DO IT...
Osterwalder Alexander, Pigneur Yves, Bernarda Gregory, Smith Alan. Value Proposition Design: How
to Create Products and Services Customers Want (Strategyzer). Wiley; 1 edition (October 20, 2014)
39. Target Market
STARTUP MARKETING: HOW TO DO IT...
Name: Anna Gender: Female Age: 30
Occupation: accountant, secretary Education: college degree
Work location: business center in city Living location: condo in suburb
Monthly income: $ 1,500 Family status: married, 2 children
Other details:
Family monthly income $ 2,000 – 3,500
Have one or two family cars, but uses public transport as well
Number of similar
customers:
42,500
Potential revenue
in segment:
$ 1,000,000
Description:
cares about healthy lifestyle of the family
goes to the gym at least 2-3 times a week
loves gardening, but has no garden at home
loves cooking on weekends
reads professional and lifestyle magazines, romantic novels
Motivates Demotivates
natural source of vitamins and minerals
fresh vegetables and herbs for weekend
cooking
aesthetics and modern look of furniture
being proud about home-grown
Doubts about durability and maintenance
New furniture needs additional space
Price
40. Business Model
STARTUP MARKETING: HOW TO DO IT...
Maurya Ash. Running Lean: Iterate from Plan A to a Plan That Works. O'Reilly Media; 2 edition
(March 9, 2012)
42. 1. Promblem
2. Solution
3. Segment
4. Price
5. Channels
Main Hypotheses
STARTUP MARKETING: HOW TO DO IT...
43. Marketing Srategy
Purpose
Target customers enroll in comprehensive online courses at a
price range of $997 - $2,999
How to achieve it
Lead magnets will generate sign ups to free online mini-courses
that will solve one or more painful problems related to startup
marketing and will deliver tangible value right during the course.
Then I will show them what other problems could be solved in my
comprehensive online courses and how these courses help
startups to build a profitable and scalable business faster.
Strategic calls (video conference via Skype) could be used for
onboarding high ticket customers at the final stage.
Target market
Early stage startups who have innovative ideas, but are still
searching for how to build a profitable and scalable business, and
have no resources or don’t want to spend them on hiring
professional marketers or consultants at this early stage.
Marketing weapons
Lead magnets (templates and spreadsheets for startup
marketing, free online courses, webinars), virality boost tools (for
example Maitre App, Pay with a tweet), social media advertising,
contextual advertising, blogging and guest blogging, guest
speaking at startup events, email marketing automation, affiliate
marketing partnerships, free e-books, and other useful
giveaways.
Niche
Comprehensive startup marketing online courses with six months
mentoring and one-on-one consulting.
Identity Expertise, individual, and in-depth approach
Budget $2,000 starting budget, 20% of revenue will go for marketing
STARTUP MARKETING: HOW TO DO IT...
44. STARTUP MARKETING: Mistakes
Feasibility
Study
Prototype
(MVP) Funding
Product
Launch
Growth
Hacking
Milestones
Fundraising
Material
Secured
Investments
Main
Hypotheses
Validated
Business Model
Marketing
Strategy
Value
Proposition
Target
Market
Business
Model
47. STARTUP MARKETING: Mistakes
Feasibility
Study
Prototype
(MVP) Funding
Product
Launch
Growth
Hacking
Irresistible
Offer
Marketing
Plan
Execute,
Measure,
Learn
Milestones
Fundraising
Material
Secured
Investments
Main
Hypotheses
Validated
Business Model
Marketing
Strategy
Value
Proposition
Target
Market
Business
Model
50. Irresistible Offer
STARTUP MARKETING: HOW TO DO IT...
Be ready to downgrade your main offer if
customers find it too expensive
Consider Down-Sell Strategy
04
03
05
Think about how you could sell once
and get revenue multiple times
Create Repeat Sales Business Model
01 Generate at least a few ideas to increase
value and earn extra revenue per sale
Create Up-Selling Offers
Think about how to encourage customers to
purchase related or complementary items
Create Cross-Selling Offers
02
Find people who will sell your product and
earn commissions per sale
Find Partners for Affiliate Sales
51. STARTUP MARKETING: Mistakes
90% 35%75% 15% 7%
Feasibility
Study
Prototype
(MVP) Funding
Product
Launch
Growth
Hacking
Viral Loop
Growth
Engines
Marketing
Automation
Irresistible
Offer
Marketing Plan
Execute,
Measure, Learn
Milestones
Fundraising
Material
Secured
Investments
Main
Hypotheses
Validated
Business Model
Marketing
Strategy
Value
Proposition
Target
Market
Business
Model