Are you thinking of setting up your own business? Do you feel it’s high time you became your own boss? Then you need a solid business idea the will guarantee you the right results when properly executed. A winning business idea is the best way to ensure that your business stays in profits year in and year out. If you want success in your business as a first time entrepreneur and wish to see your business progressing into a success story for the world to see, then you need a winning business idea that is as strong as you can make it.
Business ideas come in all shapes and sizes; and a good number of entrepreneurs – especially startup entrepreneurs, have several business ideas at the same time and often find it difficult to choose the one which seems most likely to succeed. If you are a startup entrepreneur still struggling to decide which business idea to choose, then here are 5 Essential Ingredients of a Winning Business Idea you may want to assess that will help make the path your success and victory much easier for you.
#1: Strong Market Appeal
As a business owner or entrepreneur, you may feel that you know precisely what the public wants. However, before bringing your business idea to the whole world, you need to be certain that your business idea has a large market and the potential to pull enough clients. You are never going to recover the investments you put into making your product, selling your service or promoting your idea if you can’t reach the general public with your idea. Whichever niche or industry your business is in, it’s important for you to carry out a thorough research on your market in order to evaluate the value of your business idea before you taking the necessary steps to bring it to life. If you have a great idea for a product or service, which is only going to be marketable to very few people, then your business idea is likely not to succeed.
Related: 10 Questions to Ask Yourself When Testing Your Business Idea
#2: Existing technology to manufacture your products
Offering a product that can easily be manufactured by existing technology is also among the essential ingredients a winning business idea must have. Often times, we come across different stories about companies that claimed they couldn’t find a machine to manufacture their products—and went on to build one instead. Large and well established companies can afford to take this risk, considering the fact that they have the wherewithal in terms of resources and manpower to get it done. However, if you are a startup entrepreneur looking to sell your business idea, you need a product that can be manufactured by existing technology and machinery. Research your business idea by contacting contract manufacturers to discuss the basics of your product and determine how your business idea can be made a reality. In order to protect your idea, have the manufacturers sign a Non-Disclosure Agreement before showing them your business idea.
#3: Your Business Idea Must Be Easy To Sell
Another key ingredient of a winning business idea is that it must be easy to sell at all times. Even if you have a product or service that will be famous in the market, your business idea has to be one that you can easily sell to your market. One of the causes of failure for many entrepreneurs with good ideas, but just can’t seem to get the customers to buy their products, is simply lack of clear benefit. The benefit of your business idea is the selling point of your product that makes it standout from the very beginning. Most winning business ideas have their benefits all summed up in one sentence or clearly stated for the customers to see. When building a winning business plan, endeavor to condense all of the benefits of your product or service into that sentence that you can easily sell to the market.
Related: Top 10 Most Profitable Offline Businesses for First time Entrepreneurs
#4: Cost-effective Retail Price
If your business idea involves a product that can be made by an existing technology, then you need to consider how much it will cost to manufacture a unit of your product. Make sure that you understand precisely how much it will cost to manufacture your product, while taking into account other essentials such as branding, advertising and marketing costs. A business idea which results in a highly priced and over-expensive item may not be the best option for you as an entrepreneur as sellers may not be eager to market a product that is too expensive. Your winning business idea should be one that fits well into an efficient price range and yield positive returns for all parties involved.
#5: Simple and Easy To Use
One of the ways through which you can determine if your business idea is a winner, is via its simplicity and ease of use from the consumer standpoint. Even though you know how your product works and what it does, a few of your customers might not understand how your product works or exactly how to handle it. If customers find your product too complex or taxing to use; or too difficult understand then you are likely you to lose many potential buyers for the product. If you are introducing a new business idea or process into the market, then you should consider sensitizing your customers on how to use your product. Doing this will no doubt increase cost you more and increase the final price of the product. To avoid this, you must make your winning business idea as intuitive as possible in order make it much more desirable.
