{"id":73293,"date":"2017-03-14T00:00:54","date_gmt":"2017-03-14T07:00:54","guid":{"rendered":"https:\/\/spring.is\/old\/?p=73293"},"modified":"2019-09-02T21:44:56","modified_gmt":"2019-09-03T04:44:56","slug":"common-bottlenecks-for-growing-startups-how-to-get-unstuck","status":"publish","type":"post","link":"https:\/\/spring.is\/old\/resources\/common-bottlenecks-for-growing-startups-how-to-get-unstuck\/","title":{"rendered":"Common Bottlenecks for Growing Startups &#038; How to Get Unstuck"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">There\u2019s no such thing as the perfect startup. At some point in your entrepreneurial journey, you\u2019ll reach a point where you&#8217;re hitting a wall, an idea isn\u2019t sticking with your audience or revenue isn&#8217;t increasing no matter how hard you try. M<\/span><span style=\"font-weight: 400;\">arkets will change, competitors will arise, consumer behaviours will shift.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">With over 300 entrepreneurs who have come through Spring&#8217;s programs and workshops, we\u2019ve seen a wide gamut of growth issues for early-stage startups. We believe in making impact mainstream and providing our community with resources and help whenever we can. With that said, here are the top three most common bottlenecks (or early indicators that you need to pivot) we\u2019ve seen and what you need to get unstuck by our Program Manager and Lead Facilitator, <\/span><a href=\"https:\/\/www.linkedin.com\/in\/chinhingchang\"><span style=\"font-weight: 400;\">Chin Hing Chang<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/c-0dNnsJEBY?rel=0\" width=\"1000\" height=\"563\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<h4>AARRR (!!)<\/h4>\n<p><span style=\"font-weight: 400;\">First off, a quick intro on <\/span><a href=\"https:\/\/www.slideshare.net\/dmc500hats\/startup-metrics-for-pirates-long-version\"><span style=\"font-weight: 400;\">Pirate Metrics<\/span><\/a><span style=\"font-weight: 400;\">, coined by Dave McClure, Founder of <\/span><a href=\"http:\/\/500.co\/\"><span style=\"font-weight: 400;\">500 Startups<\/span><\/a><span style=\"font-weight: 400;\">. These 5 metrics represent the customer lifecycle and their behaviours:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Acquisition: How do you get customers\/users?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Activation: Do they get to the magical \u2018Aha\u2019 moment?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Retention: Do they stay around\/come back?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Revenue: Can you make money?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Referral: Is it growing organically?<\/span><\/p>\n<h4>Bottleneck 1: Bad Growth<\/h4>\n<p><span style=\"font-weight: 400;\">Acquisition\/ referral issues.\u00a0This might be because:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">You have yet to identify the right channels to acquire your users\/customers<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">You aren\u2019t able to articulate the value proposition clearly enough<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">You are a solution looking for a problem and market<\/span><\/li>\n<\/ul>\n<p><i><span style=\"font-weight: 400;\">How to solve it: <\/span><\/i><span style=\"font-weight: 400;\">Listen to your customers, focus on their problem, tasks they want to accomplish, NOT your solution. By doing some customer discovery you will be able to better articulate your messaging in a language that resonates with your audience.<\/span><\/p>\n<h4>Bottleneck 2: Retention<\/h4>\n<p><span style=\"font-weight: 400;\">Activation\/ retention issues. Adoption might be high, but it\u2019s not \u2018sticking\u2019:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Too many steps to get customers to that magical moment<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Bad UI\/UX<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Not delivering on the promise<\/span><\/li>\n<\/ul>\n<p><i><span style=\"font-weight: 400;\">How to solve it: <\/span><\/i><span style=\"font-weight: 400;\">Investigate and see if the following need improvement<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The quality of your product\/service<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">User journey and UX<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What is that magical moment? And how can you expedite the journey (i.e. getting their first student on your education platform, getting the first meeting request on your calendar management system?)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Current alternative solution and difficulties with switching to yours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Building a habit into their behaviour regarding your product\/service<\/span><\/li>\n<\/ul>\n<h4>Bottleneck 3: Economics<\/h4>\n<p><span style=\"font-weight: 400;\">Revenue issues.\u00a0Think about this, Whatsapp, Snapchat, and Instagram are all doing well in all other metrics but struggling with revenue model.<\/span><\/p>\n<p><i><span style=\"font-weight: 400;\">How to solve it: <\/span><\/i><span style=\"font-weight: 400;\">Plan for revenue on day 1<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Distinguish between <\/span><span style=\"font-weight: 400;\">customers<\/span><span style=\"font-weight: 400;\"> &amp; <\/span><span style=\"font-weight: 400;\">users<\/span><span style=\"font-weight: 400;\"> and focus on the <\/span><span style=\"font-weight: 400;\">customer<\/span><span style=\"font-weight: 400;\">. <\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Test revenue models early. Examples include: subscription, freemium, refills, pay-per-use, and licensing<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Explore how you can you build recurrency into your model<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The top three most common startup bottlenecks (or early indicators that you need to pivot) we\u2019ve seen and how to move past your roadblocks.<\/p>\n","protected":false},"author":15,"featured_media":74291,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[31],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Common Bottlenecks for Growing Startups &amp; How to Get Unstuck - Spring Activator<\/title>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Common Bottlenecks for Growing Startups &amp; 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