What makes your business fit?
-
Success is the combination of a lot of things going right
Here is the basic idea of a working business:
- You have a great product or service
- People buy your product
- You make more money on the product then you spend
But getting there needs a lot of puzzle pieces to fit.
Here are the 5 major fits to achieve
- Problem-Solution Fit
- Product-Market Fit
- Product-Language Fit
- Product-Business Fit
- Business-culture Fit
To have a successfull business, you need them all. So let’s break them down.
Problem solution fit
Is there an actual problem that your solving?
Example
Problem: Help me to feel awake
Solution: Take a nap or drink a coffee
Product market fit
- Do you have something, people can buy?
- Does it solve their problem?
- Does it provide more value then it costs?
- Does it reach them where and when they have the problem?
This is problem solution fit combined with:
- Something people can buy
- A price
- A target audience
- A meaningful context
Example 1
- A freshly brewed coffee
- 2€
- For students
- At a small cafè in front of the university so students come buy
Example 2
- A bag of coffee beans
- 10€ the kilo
- Sold in a hipster-cafe
- Framed as high quality and very tasteful
Product language fit
How to talk about your product so customer see the value?
Example
You could name the first example coffee “best budget coffee to-go”
You could name the second example “Organic barrista home beans”
The names convey the value propositon. Description and value need to match.
Product business fit
Can you deliver the product in a profitable and reliable way?
This is basically everything from the business model canvas for a product. Your business needs to match your product.
Business culture fit
Every people is a people business. You need the right people with the right mindset.
- Your problem defines your market
- Your market defines your product
- Your product defines your business
But your people define your business as well. Hire for the people your product needs.
Want to learn how to make your business fit?
Take a look at our Mastering Jobs to be done Workshop