So, you have a business idea and as a dreamer, you also have the whole plan and steps ready in your mind on how to go about setting it up. You have gathered knowledge about the market and the competition and every other thing.
You feel that you are completely ready to just get into the market and begin your business. But, here's a check. And most of the founders do the mistake of not analyzing problem-solution fit, solution-market fit and product-market fit.
These are actually important parameters to consider and pass in order to know whether not just you and your business and the product will be successful or not, but also if it will work or not.
But, if you’re here we are sure that you are aware of these parameters and are looking for more information about them. So, don’t worry, we, here in this article, are going to tell you all about product-solution fit, solution-market fit and product-market fit.
A problem-solution fit tells if a product actually solves the problem hidden in the market or among other products and gives a solution to that problem.
It is an important indicator as it informs about the ground reality and checks if the product really will work or not. The business revenue is dependent upon the amount of sales and sales are dependent upon the product.
If the product is not good it won’t sell. And more than just being good it is about whether a product solves a market problem or not.
A product solution fit analyzes if the product actually solves a problem or not. It also checks whether in the market the problem exists or not.
Analyzing product solution fit increases your knowledge about the market. It not only just gives you insights into what the customers in the market want but also tells you if your product is ideal and efficient or not.
It is not easy to read, you’d have to do proper research about the market. And the research also includes analyzing problem solution fit as its part.
It also tells if a problem exists in the market or if a solution has been already introduced or not.
Problem solution fit also gives insights about the product. It specifies the key thing that determines whether the product is really solving the problem or the flaw in the market. We are sure that no one other than you knows your product well, but still it has to be looked at to see if it's really a working and selling product or not. Whether people actually need it or not?
Analyzing problem solution fit gives you more information about the target audience. Your target audience is the one who is going to buy the product. If the product doesn’t suit them or solve their problem, they would not simply buy it.
You need to have a greater understanding of the needs and requirements of your target audience group.
Analyzing problem solution fit gives you a way further. It gives you a direction to walk ahead. You would have a clear understanding of the product, the problem and the market. It will help you make the right decisions ahead in the future.
If you are required to change or alter your product, you would know that. You would know your customers better than before. You can easily formulate plans and strategies on how to go about ahead. l
It is when the solution you make for a problem is actually solving the problem in the market. Solution market fit is an important indicator as to know whether the product you are developing or have developed has functionality or not. Functionality in the sense of getting used and fulfilling the needs of the customers.
A market is full of problems and full of solutions. Each and every problem has a Solution, but still, some problems remain unsolved. You have to find out whether the product that you're working on and planning to put in the market for sale can actually solve that problem in your target market group and bridge the gap between the same.
Problems are many problems in the market. People are different, their needs, wants, desires and choices are different. But customers are linked through a common characteristic. It could be anything from hair type to favourite colour. You just have to classify your target group and develop your product accordingly.
What all things people want but the existing solutions to them are not up to the mark or do not exist at all. You have to identify where your solution wins and where it lacks.
And this answer you'd get through the solution market fit.
When you prepare for a solution market fit, you get a clear understanding of the market. How are customers in the market, what different things the market has, what are the buying and selling attitudes of people in the market and many more things like that?
It becomes clear for you to easily identify your target audience and select your particular customers. When you have clarity about the market, it means you have studied it well and its challenges and problems and there you get an advantage over others.
Solution market fit helps you get to know your audience's needs better. You never know what your audience actually needs until you ask directly.
When you do Solution market fit analysis, you get to know their problems from their own. You conduct research and interviews to take their views on the market and existing business and solutions.
Solution market fit is really of great help if you want to deeply know about the market, the needs and the customers.
Solution market fit lets you identify the real problem. You may think that you have known the problem or you simply know the problem beforehand, but it is not always correct.
You never know and you cannot predict what and how the market changes. Today the need is different and tomorrow is different.
They will catch the real problem when you study deep and that is what the solution market fit is for.
When you prepare for solution market fit, you actually receive a lot of insights about the market and the product of your own. You get to know where you lack and what you lack and where you need to improve.
It would give you an opportunity of altering your product so that it clearly solves the problem in the market.
Product market fit is the sphere that tells if the product can satisfy market demand or not.
It is essential to know if you're product is able to satisfy market demand or not.
Product market fit helps you if there is market demand for all products at all. It lets you know the patterns of demand and gives you detailed consumption patterns.
Knowing market demand is important for all types of businesses to exist. It can let you get an edge over your competitors by delivering what your customers want promptly and in quality and unique ways.
Market satisfaction is the satisfaction that the market and its consumers will derive from your product.
It is a significant thing to consider at any point in your business. Market satisfaction of your product tells you about the performance of your product at the ground level if consumers are liking and would buy your product more or not.
If your product's customer satisfaction is high, it means it is serving its purpose and solving the problem for which it is designed. And if the satisfaction level is low, it means your product needs improvement and changes.
In order to achieve problem-solution fit the first thing you are required to do is define your target audience. This step is to separate your target group from the whole market.
Your target audience may have different characteristics like age group or income level or anything that separates itself from the whole market and links it to likes.
This step is a beginner step to achieve problem-solution fit. First, you should have your TG ready to conduct research later.
After you have known your target audience, it's time for customer profiling now. Just pick a few random customers, create their profile and list their problems.
This same is also done while doing UX research. They create customer profiles to identify what actually the customers need and what problems they face while using a particular type of application.
After you have created customer profiles, go on with conducting interviews. Ask customers about their real-life problems relating to your market and your business. Conducting interviews will help you gather direct responses from the potential buyers themselves.
You will have complete information about what customers’ expectations are, and what they feel is missing in the current scenario.
Continuous testing and iteration are steps in the process of developing an MVP. You can improve your solution and make sure that it satisfies the market's needs by starting with a basic version of your product and incorporating feedback from early clients.
To achieve Problem-Solution Fit, Solution-Market Fit, and Product-Market Fit, this iterative methodology is essential.
This is important as when you have got feedback and information, you need to implement it on your product.
If your product needs alteration and changes, do that accordingly and always follow up on what your customers say.
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