In the fundraising world, buzzwords are thrown around like confetti in cities like Bangalore. None more so than 'Product-Market Fit' (PMF)—The holy grail of all the buzzwords out there!  We see them all around in the cohorts, networking events, webinars and on investor pitch decks.


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But, what we fail to notice is that Product Market Fit is just one of the eight phases of fit in a loooong startup game! 


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So, when you put a typical startup journey on a timeline they look just like this,

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‍Problem fit— Opportunity Fit — Solution Fit — Product Fit — Market Fit — Marketing Fit — Sales Fit — Company Fit — Customer Fit

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For a startup to succeed, each of the above  Eight Distinct Phases of “Fit"  has to be addressed at their intersection, as they are transitional to transformational, with varying growth slopes and degrees of volatility



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To keep the story simple and interesting, let’s break down how it worked for Jitender Joel (imaginary) and his EdTech startup in Bangalore - SyncIT which is into creating a resource platform for less popular exams like Post Office and UPSC

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1. Problem — Opportunity Fit: The Gap

‍Identifying the problem and framing the opportunity

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Every successful startup begins with an ‘aha!’ moment. The moment when the founder identifies a potential real-world problem or that glaring gap in the market. For Jitender it is identifying that the less popular exams are underserved is the ‘aha’ moment.



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He will now,

• Identify the Problem: Nails down the gap/problem in the market.
• Validate the Idea: Run a quick smell test to check whether the idea sinks.
• Gauge Market Size: Ensures that the problem is large enough to be worth the effort. (If it's just a blip, reconsider).

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2. Opportunity — Solution Fit: Building the Right Tool

Mapping opportunity attributes to solution component



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On realizing the potential of his idea, Jitender builds a solution that genuinely fits the opportunity. However, he requires a deep understanding of the market’s needs. So, he will,

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Build Low-fidelity Prototype: Builds a basic version of the platform with the most pressing features.



Test the Prototype:  The prototype is pitched with a small group of gathering to get feedback on everything from quality to user experience.

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3. Solution — Product Fit: Making It Pretty

Translating solution components to product features and value proposition

In this “make it pretty” stage, Jitender takes the feedback from people studying for UPSC and Post Office Exams to develop a pretty-looking prototype and polishes it up. Instead of a Minimal Viable Product (MVP), Jitender would go on to build a Minimum Desirable Product (MDP) - something that not only works but delights his students who are using it. So, he’ll,

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• Check User Experience & Collect Feedback: The MDP prototype is again tested with a small group of users for the user experience and feedback on everything from content quality to user experience is gathered.

4. Product — Market Fit: Testing the Waters

Validating the value-proposition — the overlap of the product experience and the business model

Here is the much-hyped Product-Market Fit (PMF), where the rubber meets the actual road! A startup owner at this stage has to prove to his investor that its product has a market that is not just curious but it is eager to buy.

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So, Jitender will,

• Engage with ‘real users’: See whether the real world is willing to spend money on his product.
• Refine/Pivot: Check whether the users are willing to spend money if he refine or pivot his product.

Achieving the Product-Market Fit at this stage means he’s struck gold! - at least until the next phase. 



If not

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NOW IS THE TIME TO PIVOT

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THE PIVOT: Jitender’s case his platform failed to appeal to the UPSC students. So, he has to try his hands by exploring different exam streams like SSC, Bank, etc or any sector that is best for them where his product and market can fit

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He reworked day and night, and he finally achieved it!



He realized that his product is actually suitable for  the Bank Exams!

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At this stage Jitender will have a complete roadmap, and a MDP that will give him confidence to pitch to an investor and ask for the  funding. He  might need an attractive pitch deck too. 


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‍Ask us how you can do that! 😊

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5. Market — Marketing Fit: Shouting from the Rooftops

‍Refining the marketing mix to sustainably acquire customers

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With potential investors coming on board, it’s time for Jitender to get onto the rooftops and tell the world that he’s arrived! He might want to include everything from flashy online ads to school partnerships and anything in their way to get SyncIT on everyone’s radar. Now is the time to,

• Craft The Marketing Mix: Focus on the 4Ps and 4Cs.
• Refine: Test different marketing strategies to find the one that works best.

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6. Marketing — Sales Fit: Making Revenue

Scaling into hyper(growth) space

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With marketing done its job; now it’s time for SyncIT ‘s sales team to shine. They have to,

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• Optimize Sales Strategy: Align Marketing and sales efforts. Train the sales team to convert leads.
• Track and Adjust: Monitor sales performance and adjust strategies based on what’s working.

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7. Sales — Company Fit: Scaling Up

Shifting from selling a product to customers to selling the company to people

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• The Scaling Plan: Scale the operations, and scale the hiring, but ensure your growth strategies align with the company's long-term objectives.

Also, make sure you can handle a surge in customers without losing your cool :)

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8. Company — Customers Fit: Building Loyalty

Staying aligned with customers and maintaining an innovation mindset

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Congratulations, you’ve arrived (well, almost)!

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Jitender’s idea passed the test of fire, His product worked! Already attracting users and investment

But he knows that he is just getting started - Getting ready for much bigger challenges. As more people come to his party, he must ensure that the company’s culture and operations stay in sync with customer needs. After all, customers are the soul of any business.

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The matured Jitender now has to focus on:

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• Building the Culture: Build a company culture to keep up with the pulse of customer
• Continual Innovation: Keep innovating to survive in the competitive exam market

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Conclusion: Embrace the Adventure

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Navigating the startup lifecycle is a bit like mastering a video game each phase comes with its own set of challenges and rewards. A founder like Jitender knows this. They know that from Problem-Opportunity Fit to Company-Customer Fit, each stage is crucial in building a successful startup and to raise funds. Also, they know that,

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Product-Market Fit is a milestone in a journey and not the endgame.

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So, embrace the full journey, stay flexible, and keep iterating on your way to building something amazing

Happy startup-ing!


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