The trend today says that they are renounced more in public than success. While this has been the major reason for nervousness in many of the youngsters being revealed in the society, the irony is, that it must not be this way.
Failures can be the new lessons for them, also for the newbies behind them to look upon as a guide book. For the same reason, failures have to be celebrated with the same glory and importance as to success.
Today, startups are one of the major areas where huge investment has been put in, both monetary and resource-wise. It is important for the startup to utilize its resources wisely. It is clever to move into a coworking space with all the amenities rather than renting a whole building and paying for unnecessary things which can be avoided during the initial phase of the Business.
It can be the brain baby of a lot of young minds, a lot of hard work put in, a lot of coordination put together to bring out the final product or service that they had been dreaming of for several days, months or years.
But, not everything might go the way people think or want. Unexpected crashed might happen, burnouts may destroy the whole system, and requirements might not meet the resources.
Well, there might be a lot of reasons that can lead to the failure of one startup. Different lessons can be learned just from one failure.
The major lessons are from the marketing side as it can determine the future of a startup, even when the product is super awesome and of a different level.
Here are the best marketing lessons that can be learnt from a failed startup. These are applicable to a yet budding startup, ones who are about to start, and ones who have had a setback.
1. Do not just push your product.
To make a great impact on the first trial, it might require costly and expensive strategies, but being a startup does not give you that much leverage to do the same.
Hence, creative and quirkier traits must be followed to show your first impact.
Do not just push your products to make a huge sale. But, make your connection with clients much more personal and trustworthy as it is the buzz word and security of a company.
Do not spam your clients with your brags about your product but make it natural on social media.
“To be successful, you must match the way you market your products with the way your prospects learn about and shop for your products.” – Brian Halligan, Hubspot
2.Know your market
You need to think like a client before you start to work as a provider. You need to judge the usability and the chances of a total stranger being excited about your product.
If it is something that does not excite you as a client, it is not going to excite the world.
Juicero was a company that developed a juicer a machine that demanded many more things. But when competitors tried to put them down with a video that showed the inappropriateness of having this juicer, the public started to unseen the goodness of the company which ended in a huge crash.
User test must be done for the pricing and product before the product is launched in the market for the whole world.
3. Know when it is time to close down
When you know the revenue do not match the investment and the profit lead is far too low than the target, do not hesitate or try to hang on for too long before it gets o the worst.
Emotional decisions should never overpower the logical ones.
Pick up the signals before its late.
Because it can also harm the fame of your company in the market suffering a huge loss. This can add up to your liability when you start a new company, not helping you to focus on your new project.
4.Prioritize business model
Gaining trust is key to have engaging and incoming clients.
But it is also important that you do not forget your business model just to impress and invite loyal customers.
Heavy beginning bonus and discounts which will reduce your income per sale which can create disparities at the beginning itself.
PepperTap, an online grocery delivery app focused too much on their connection with the customers but failed to bring in more customers, thus leading to the ultimate close down. But they were able to understand the declining growth at the beginning of the end itself, thus made it possible to close down at the earliest itself.
5.Not focusing too much on the market trend
Many startups design their product by seeing the growth and success of similar products that have conquered the market at the time.
Mimicking and referencing the marketing opportunities that lead to the success of the competitor is not at all a good idea as they have been conquered by the competitor.
Also, the marketing strategies have been put into effect earlier which extinguishes the market for your product.
6.Knowing the market before launching using early adopters
While it is hard to bring in a new change in a the socially normal situation, introducing new products in the market would need exceptional strategies.
Early adopters are key to bring in more customers, as people only use a product after seeing the experience of other users.
A/B testing proves that keeping the number of users near the signup button have increased the number of registrations exponentially.
The virality factor comes into play in this situation. One user recommending the product to a new user can increase the virality of the product.
While two truths rule the demand for a product, one being that no great product can simply sit in a corner waiting to be demanded, but requires serious amount of marketing works to be done to bring it into success and the other one being no product of zero quality can be pushed into the market using effective marketing strategies.
Both, the quality of the product and marketing should go hand in hand to the success of the event.
Feedback from the customers must be taken seriously to correct the errors in your product and strategy to sustain the growth and to prevent an upcoming failure of your startup.