How to Choose Business Ideas | Product Design | Udacity

You have all these ideas and at this point, you should be wondering,
which idea should I choose? Well, to answer that question,
you have a lot to think about. Here are some of the considerations
you should keep in mind. First, is your idea a painkiller or
vitamin? Pain killers address an obvious and
functional need for users, while vitamins address user’s emotional
needs and are really nice to have. Now, both types, but especially painkillers,
can lead to successful companies. For vitamin type ideas, you’ll need to figure out how to
get your users to be sticky, so that way they continue to come back and
use your product over time. The second thing you should look for
is how easy it is to monetize the idea. Now you don’t need to
monetize an idea on day one. But understanding how to make
money out of the service or product is essential to
building an enduring business. Next is the idea simple? Can you explain your idea
in just a couple sentences? For example,
is like Netflix, but instead of renting movies, you can rent,
buy, or sell designer items. Law enforcement and judges might say
the simplest explanation is usually the right, or truthful, one and this
should also be true of your product. Users should be able to
describe the product and its benefits to other
potential users easily. And here’s where we get to
the heart of the matter. Is your idea personally relevant? For example, you might be a diabetic and
want to develop affordable and convenient blood sugar monitors for
other diabetics. Now, don’t underestimate this one. This is of great importance,
as it relates to how likely you are to persevere in the face of challenge,
uncertainty, or worse, looming failure. You’ll be more likely to see an idea
come to life if you care about the idea in the first place. Now another consideration for
an idea is whether or not you can follow through on it. Think about your ability
to organize a small team or a large team to execute on that idea. Can you get from a to b? Next you should wonder if you have
a large enough size of the market. You want a really big slice of the pie. The market just refers to your
number of potential customers. You should be able to calculate a lower
estimate as well as an upper estimate for your market size. If you’re unfamiliar with market sizing,
refer to the Instructor Notes. There’s a resource link there. And finally, does your idea
have a legitimate secret sauce? Does your idea leverage technology or
patents in a unique way? Or do you have talent and capital
that no one else would ever have? For Google, the secret sauce
was the page rank algorithm. The secret sauce has grown over
the years to include many features that bring millions of page
results in fractions of a second. Now that you have some considerations
for what makes a great product idea, I’d like you to evaluate the idea for
the SuperDuper Shopping App. You can find a survey that’s
linked in the Instructor Notes. Once you’ve taken the survey, you can check this box to
continue when you’re done.

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