That damn product-market-fit - and what we do about it at KRING 👊
Building a startup is hard. Period. And the reasons for that are not sensational. We all know that getting product-market fit, go-to-market and the team right requires a lot of work.
The top 4 reasons for startup failure are:
🧩 Poor Product-Market Fit (34%): This figure highlights the significant impact of misalignment between a startup's offering and the needs of its target audience. Without a deep understanding of your market and a product that resonates with customers, success becomes elusive.
🚀 Wrong Go-To-Market Strategy (22%): Even if you have a great product, how you bring it to market matters. A misstep in your go-to-market strategy can lead to missed opportunities, wasted resources, and ultimately, failure to capture market share effectively.
🦸🏽♀️Team Issues (18%): Building a successful startup requires a cohesive and talented team. Team dynamics, leadership challenges, and skill gaps can all hinder progress and contribute to startup failure.
💸 Fundraising and Cash Flow Problems (16%): Running out of funds is a common reason startups fail. Whether due to inadequate fundraising efforts, mismanagement of cash flow, or unforeseen financial challenges, a lack of capital can quickly derail even the most promising ventures.
These typical reasons for startup failure is exactly why we have built our venture studio model and value proposition around:
✅ To navigate the product–market fit, we have developed our structured Speedbooting methodology with pretotyping (and created the company pree.to) to enable a proper validation of the market fit
✅ To get the go-to-market right, we also use our Speedbooting methodology (https://lnkd.in/egm6im2s) to validate the strategy and benefit from our network of corporates and advisors to test the business model from different angles
✅ To address team issues we offer specialised recruitment support from a pool of talented individuals
✅ To take focus away from fundraising, we provide multi-round financing and can also support building external fundraising strategy if needed and connect with relevant investors
Are you curious and what to learn more about building a venture with KRING? Reach out to our Head of Talent, Agnes Agada 👈
Do you have any reflections to share on how to mitigate the typical reasons for startup failure? We would love to hear from you!
#venturestudio #startupstudio #productmarketfit
Source: Exploding topics, Startup Failure Statistics 2023.
Marina Miteva, Jacob Madsen, Jesper Kring, Thomas Krogh Jensen, Tommy Ahlers, Christoph Brandin, Thomas Hofman-Bang, Ulla Sommerfelt, Jacob Dahl, Kurt Bligaard Pedersen, Peter Mægbæk, Martin Bøge Mikkelsen, Betina Nygaard, Ole Herstal, Søren Thorsen, Jakob Bjerre Kistorp, Anders Colding Friis, Flemming Breinholt, Claus Rehfeld, Peter Midtgaard, Lars Thomassen, Lars Monrad-Gylling, Claus Omann Jensen, Erik Holm, Joergen Raguse, David Heinemeier Hansson
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