Doing Things That Don't Scale

In the dynamic world of startups and innovation, the mantra "Do things that don't scale" stands out as a pivotal strategy for testing new business ideas. While scalability is often seen as the endgame, focusing on non-scalable actions in the early stages of a venture can significantly accelerate learning, de-risk potential pitfalls, and ultimately prove the value of your product.

When we're in the initial phases of a business venture, our primary goal should be to learn as quickly and efficiently as possible. Engaging in activities that aren't scalable might seem counterintuitive, but here’s why they’re essential:

Accelerate feedback loops

Directly interacting with our customers through personal onboarding, hands-on support, or in-depth interviews provides invaluable insights. This immediate feedback is crucial for understanding user needs, pain points, and how they engage with your product. There's also something I want to highlight here, look deeply into data, and understand the nitty-gritty of all actions they can tell you a lot.

Mitigate risks early - I like to call it the "Derisking process"

By being on the front lines, we can spot and address issues before they become costly mistakes. This hands-on approach helps us pivot based on real-time data, reducing the risk of investing heavily in the wrong direction.

Customer relationships

Personalized attention can turn early adopters into loyal advocates - and we'll need them! These relationships not only foster customer retention but also generate word-of-mouth effects, one of the most powerful marketing tools for early-stage startups.

Prove Value Before Focusing on Scalability

Scalability is critical for long-term growth, but it shouldn’t be our first priority. Initially, the focus should be on proving that your product delivers real value to users and is capable of generating revenue. Here’s how I approach this:

1. Validate the value proposition: conduct small, controlled experiments to test different aspects of your product. Use non-scalable methods to gather qualitative data and ensure your product genuinely solves a problem for your users.
2. Ensure revenue generation: manually handle transactions and logistics to understand the full customer journey and identify any friction points. This hands-on approach ensures you’re building a product that users are willing to pay for - this one is really hard, and sometimes doesn't depend on you.
3. Iterate Relentlessly: leverage insights from these non-scalable efforts to refine your product continually. This iterative process is vital for enhancing your value proposition and improving the user experience before scaling.

And now, when do we scale?

Once you've validated your product's value and revenue potential, it's time to think about scaling strategically:

Automate everything you can, and identify repetitive tasks that can be automated without sacrificing the personal touch that early customers appreciated.

Invest in scalable infrastructure, with a proven value proposition, invest in the technology and infrastructure that supports scalability.

Measure and adapt, scaling should be data-driven. Continuously monitor key performance indicators (KPIs) and be ready to adapt your strategies based on the data. This ensures that your scaling efforts are aligned with delivering ongoing value to your users.

Conclusion

Doing things that don't scale" isn't just a tactic, it's a mindset. It’s about prioritizing rapid learning and deep understanding before jumping into growth.

Focus on proving that your product matters first, and then scale to amplify that value to a broader audience. This approach not only de-risks your venture but also ensures sustainable growth in the long run.

Hope you like it, would be great to hear from you! If you like this and want to know more about the topics of innovation and experimentation, send me a message and I will be pleased to have a conversation with you.