How to Disrupt a Target Market Through Innovation

Technology has the ability to disrupt the marketplace, which is the Holy Grail for any entrepreneur. It means offering a completely different way of doing something and capturing the interest of millions of people who may or may not have anticipated the idea, but were anxiously awaiting the reality. Keep in mind that investors are motivated by only two different types of businesses: a market disrupter, or a business with an already established audience.

Can any entrepreneur disrupt the marketplace? Possibly, but not without a great deal of hard work, as well as blood, sweat and tears. It is a difficult and lonely journey to success. To be successful, it’s important to start with an idea, but great ideas come from necessity and attention, ultimately filling a gap between the current existing services available in the marketplace and something much better. So, the first step to disrupting your market is…

Finding the Gap

Finding a gap in your marketplace services can happen through strategic research, random accident or in some cases, ordinary observation through experience. For example, in the world of photography, we observed a service gap between professional photographers that are more selective in their clientele and amateurs, who are energetic and ready to take quality photos in an instant at very affordable prices. A typical scene, e.g, tourists on vacation who have to choose between the ubiquitous selfie, uncomfortably asking a stranger to take their picture or simply settling to capture a memory without everyone in the group in it.

The recognition of this service gap led to the development of a mobile app, which offers exactly what a selfie can’t, and will become the new generation of photography –the first ever mobile application that allows users to order high-quality, affordable photography on-demand. After identifying an important gap in the market, an entrepreneur can take the next step to becoming a disrupter …

Researching the Market

If the product is completely new, there will be no specific market to research, but there may be an ecosystem to explore, for example, the on-demand market. Research the audiences for your product or service, and the many different ways they can make an impact within those audiences. It is also important to research the demand for the product or service you are introducing, which is tricky because most will not understand how the disrupter idea works. Ask friends and family for an honest opinion, search the web, go out there and observe people and check government statistics from the Bureau of Labor when applicable. This can help you determine many incidental details that you may need to address with your idea. Next it’s time to…

Elaborate on the Idea, Despite the Challenges

To make an idea happen, it’s important to write it down –literally. As you develop your ideas on paper, more will come to you as you explore different corners and scenarios of the overall platform. Don’t worry about the outcome; you will never end up with the original intended outcome. If you do, then you’re not innovating! Taking the idea and running with it will lead to creative scenarios that you never anticipated. Listen to your market, listen to your product and it will help you build your idea and overcome your obstacles. Give yourself the mental freedom that may lead you to greater outcomes and more innovation. Think about the idea, not the outcome.

If your product is completely innovative, develop the definition of your best and most complete v.1, which will be your Minimum Viable Product (MVP), or the base model of product or service you need to begin selling. Then as you get closer to your MVP, you’ll gain a better understanding of your own product and market. Then, it’s time to get MAD with “Meticulous Attention to Detail.” Flesh out where you will be at v.2 and even v.3. How will you expand the product? Can you partner with other companies to reach new markets? Can you take your product or service one step further and offer even more value to your stakeholders? How?

Then you should be able to develop your research and strategy into a presentation with financial estimates and projections for growth. This is an essential step because people need to be able to visualize your idea when you tell them about it, but most importantly you need to visualize your idea. When you do your research and put it on paper, that is precisely what happens. Then it’s time to face one of the shared challenges of all entrepreneurs…

Getting Others on Board

Nobody is more passionate and knowledgeable about your business idea than you are. Don’t get discouraged if others don’t get it right away. You are the visionary who must make potential investors see your vision. However, mentors are also important ingredients in your journey to full funding.

Mentors don’t necessarily have to be potential investors, nor do they have to be experts in evaluating ideas or even in the industry you are pursuing. They should just be someone whose opinion you trust, someone with experience in their own field, whatever it is. You will be surprised by the many number of mentors who will take time to review your presentation, ask questions and bounce ideas around with you. Anyone you present to may hop on board, or know someone who may support your endeavor. People will surprise you, and their valuable feedback will help prepare you for the next step…

Bringing the Idea to Life

Entrepreneurs often think they need to have all the answers but that is not true. Instead, they simply need to gather the right team to develop that MVP. Interview many prospects and eliminate those who are unprofessional, don’t return calls promptly, etc. Look for someone with more experience than you, and a proven track record, but also people with whom you feel a connection and most of all, believe in your mission. People who believe in you and your idea are the right ones for the job. Then, once your idea is off and running, the next step is to…

Monitor Progress

This is a continual challenge, but such a necessary step in growth. It’s important to continue to fuel innovation as you discover what works, what doesn’t, and what you can do to fix challenges. In fact, monitoring progress usually leads to the final step every entrepreneur should embrace…

Innovate Constantly

As any company continues to innovate, they will find different areas of focus that will yield even more disrupter ideas. These include the product itself, strategic alliances, and even, management decisions. Many companies have been brought down not by falling profit or shrinking marketplace but by bad management decisions, often concerning their unremarkable treatment of employees. Always treat people like people first. Innovation should not only apply to your product or service, but also your business practices as well.

Always, always, focus on the idea, not the outcome. It is the key to growth in every respect. Keep innovating and one day you will turn around and find that your success at being a disrupter the marketplace has turned your company name into a household name.

ABOUT THE AUTHOR:

Luis Almaraz is the founder and CEO of Fautus, an on-demand photography application that provides on-site, affordable, high-quality and convenient photography to users. Founded this year, the company organically grew to 200 photographers and more than 1,000 users in Chicago within a few months. Luis is a former full-time lawyer and corporate restructuring expert. In the past 15 years he has helped extend the life of financially troubled companies through corporate reorganization. His vision for Fautus is to develop it into the largest and only “everything photography app” in the marketplace. For more information, visit fautus.com.