Garage Entrepreneurs Business Planning Blog Series: Part 1 (Ideation)
Apr. 1st 2009
Entrepreneurs come to us all the time asking how they can find that golden idea, their “key to success”, the next “big thing”. Unfortunately, I’ve got to say that there is no easy way to find the right idea – there is no secret sauce, no series of steps that can guarantee the right idea falls into your lap. In my opinion, creativity is not something we were born with, after all it’s not just the creative masterminds who come up with new business ideas. Sometimes, its people like you, or me who have recognized an opportunity, or a new way to solve an old problem.
All great businesses start as 'ideas' - it's up to you to make them grow into something great.
All entrepreneurs begin with three “assets”:
Who they are – their character traits, their abilities, their time commitment, their tastes
What they know – their training, expertise, experience; and,
Whom they know – their social and professional networks
These are the starting points for any entrepreneur, and from these points one can begin to brainstorm possible effects that can be created with them. To illustrate this point, I turn to the case of Chip Wilson, CEO and Founder of Lululemon Athletica:
After 20 years in the surf, skate and snowboard business, Wilson took the first commercial yoga class offered in Vancouver and loved it. The post-yoga feeling was so close to surfing and snowboarding that it seemed obvious that yoga was an emerging trend. Cotton clothing was being used for sweaty, stretchy power yoga and seemed inappropriate to Chip, whose passion lay in technical athletic fabrics. From this, a design studio was born that became a yoga studio at night to pay the rent. Clothing was offered for sale and an underground clothing movement was born. Lululemon started in 1998 and is now a national retailing powerhouse valued at more than $225 million.
The message here is that successful entrepreneurs are not necessarily those who have a solid long-term plan or who know what their market will look like in the future. Instead, they look at the resources they have available (abilities, knowledge, contacts) and with that develop an idea into a business. In the case of Lululemon:
Who – Chip was looking for a new challenge and was very motivated and looking for new opportunities.
What – Chip was aready in the athletic apparel business and knew it well.
Whom – Chip had connections in the athletic apparel and yoga areas and was able to pull them together.
Anyone can be an entrepreneur if they have the passion. Future posts will reveal how to turn ideas into business but let’s first narrow down how to think of your next idea. We’ve already covered how to assess your three assets, now you need to take those and determine what idea makes sense in the context of those assets.
For the most part, ideas don’t just happen – the best way to find a good idea is to LOOK for a good idea. Follow these tips to help you out:
Follow Your Gut: Chances are you’ve had some ideas before, some good, some bad. If there is one that stands out in your mind, give it a chance to develop. Write it down, do some serious thinking about it, schedule some time to sit down and hash out some details – but most importantly don’t dismiss it!
Don’t Give Up: Just to re-iterate, most breakthrough ideas are not the result of one defining moment. They have evolved over time, and become better and better. Give your idea the chance to become better – don’t give up on it.
Change It Up: Ideas don’t have to be new, they can be improvements over existing models, or a new combination of old ideas. Think outside of the box and think of new ways to combine old ideas. I just did a phone interview with the CEO of Autohound.ca, the new competitor to AutoTrader. Autohound focuses on the user experience and providing more value to car dealers; not exactly a revolutionary idea, but a marked improvement over the old one!
Dream: Don’t be afraid to let your mind wander. Think of a current problem that you’re facing and come up with the ideal solution withNO LIMITS (Time, Money, Laws of Physics, etc). Is there a way to turn this dream idea into a reality?
Keep an Idea Journal: During a brainstorming session it is critical to write everything down; seemingly good or bad. Some of the best ideas come after struggling, and quitting, and giving it another go. Write down all your ideas, and dream solutions in an idea journal and review them frequently.
Walk Away: You’re not going to get your dream idea by sitting in a locked room for 48-hours straight. Walk away from the idea journal, go for a run, but keep thinking.
Notice Changes: Take note of the way things are, today, and imagine how they will change in 5, 10, 25 years. Here are a few trends off the top of my head: We have an aging population, children are living increasingly more sedentary lifestyles, employers are finding it difficult to hire new employees, more organizations are promoting the reduction of wasteful consumption, more businesses are looking for ways to advertise to the student demographic.
Find New Friends: This year I made a habit of socializing with a different group of people. I learned new things, and definitely got a lot of new ideas. Hang out with people who might challenge your thoughts and put you outside of your comfort zone.
Get Creative: Sometimes you need a helping hand. Read creative thinking books, or use THIS LINK to help you think outside of the box.
Although these steps cannot guarantee that you think of a good idea, they’re a great start. Try some of these techniques and be sure to check out the next post in the series “Screening Your Idea”.
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