Most of the startup concepts are derived by the reverse solution analysis of an existing problem. The reverse approach of finding startup concept is always appreciated as it decides the targeted market base prior to execution. So, one can easily decide the strategies to reach the consumers.
Definitely there would be some solutions that are being used by the targeted market base, but are not as must effective as your startup concept. So it’s important to do the comparative study of the new concept against the existing solutions to determine the chances of success. The comparative analysis of positives and negatives of both the concept will also provide a direction to think for improvements.
Let’s take an example of “daily commute problem” to do the relative study of new vs existing solutions.
New vs Existing Analysis – Requirement
The basic requirement for new vs existing solution analysis is the new concept that you are planning to implement. The new concept should be completely clear in terms of its features and limitations.
Another requirement for the same is the details of the existing solutions, features and limitations. This will help in the comparative analysis of the both.
So, as per our example considered above, here are the details that are required for comparative analysis:-
Existing solutions – Metro, Bus, Cab, Auto, E-rickshaw
New Concept – Bike pooling
New vs Existing Analysis – Steps
- The first step to do the comparative study of new vs existing solutions is to capture all the features of the existing solutions. These features give a direction for the features of your startup concept.
- The next step is to capture all the limitations in the existing models. These limitations are the acceptability criteria for the new startup.
- Now, capture all the positives/features of the new startup concept. Ideally is should capture all the features of existing platforms and provide the betterments in their limitations. So you can easily decide which features are being provided by the new startup concept and which remain untouched by the same. This comparative study gives the actual areas to work upon. Thought all the features might not be incorporated in early stage, but it helps in deciding the future strategies.
- To capture the limitations of your startup business model is also crucial as another will try to address those and capture the market, so based on the limitations of existing model, you can decide the future scope of improvement for sustainability.
Here is the comparative analysis of our example –
New Vs Existing Analysis – Outcome
The outcome of above analysis is manifold, acceptability limits of the new startup concept, scope of improvement in the concept and the future strategies for business development.
Wish you luck for your startup. Stay connected to know more.