Why do people trained in user research struggle to get their first customers?

Founders trained in user research might be skilled at interviewing but not selling. Their instinct from big companies might be to consult and solve others' problems, rather than identifying and solving their own, which requires a different skillset.

What is 'conviction' in the context of a startup founder?

Conviction isn't religious belief, but rather the resilience to not be easily blown off course. It means convincing yourself the idea is worth pursuing, not just trying to please investors or partners. It’s the ability to focus energy in one direction.

How does fear impact startup founders' thinking?

Fear can drastically reduce the quality of thinking. It can lead founders to accept fabricated information as fact, develop false expectations based on external sources, and make irrational decisions, like pivoting because of perceived competition or investor pressure.

What is a 'random walk' in the context of startups, and why is it bad?

A 'random walk' is like randomly choosing directions without a clear vector. It's constantly changing strategy based on minimal feedback, leading to a lack of progress, wasted energy, and a negative memory of the startup experience.

What makes a product a true Minimum Viable Product (MVP)?

A true MVP is not just a first version, but one that is 'viable.' If you can't get anyone to use it, especially yourself, it's likely not viable. The expectation is that you should be able to use your own product and find value in it.

What are the key takeaways for founders to build confidence and succeed?

Key takeaways include taking longer than you think, not letting fear cloud judgment, solving your own problem and being your first customer, and focusing on making high-quality efforts ('good reps') with good form, rather than random actions.

Key Moments

Building Confidence In Yourself and Your Ideas

Y Combinator

Science & Technology4 min read22 min video

Feb 29, 2024|191,429 views|4,826|154

YC Y Combinator yt:cc=on

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Key Moments

TL;DR

Build conviction in your startup idea: avoid low-effort pivots, fear-driven decisions, and use your own product.

Key Insights

Avoid pivoting based on superficial validation or fear; build conviction in your idea.

Founders often fail to build conviction due to a lack of rigorous thinking and fear of inaccurate assumptions.

User research training and experience in large companies can hinder a founder's ability to sell and find customers.

Conviction is crucial for startup success; it's the ability to stay on course despite external feedback or challenges.

Fear, often fueled by inaccurate assumptions or social media, leads to poor decision-making and a 'random walk' approach.

An MVP should be viable for you, the founder, to use. If you won't use your own product, it's not truly viable.

THE PITFALLS OF SUPERFICIAL VALIDATION AND LOW-EFFORT PIVOTS

Many founders mistakenly pivot their startup based on limited, low-effort interactions, such as surveying a small number of companies that show no interest. This approach is often too superficial to provide meaningful insights. The instinct to seek validation from other startups, even when they aren't the target customer, also leads to flawed decision-making. Instead of rigorous testing, founders engage in "superficial validation" by contacting a handful of people and immediately concluding their idea is unwanted. This lack of in-depth engagement prevents the development of true conviction and leads to premature pivots.

THE ROLE OF FEAR AND INACCURATE ASSUMPTIONS IN BAD DECISIONS

Fear significantly degrades a founder's thinking, leading them to make irrational decisions. This fear often stems from inaccurate assumptions and comparisons, such as believing that 75% of other companies in a YC batch have already launched and are growing, when in reality, this information might be fabricated or misinterpreted. Founders may internalize advice from anonymous online sources as gospel, failing to verify real data. These fear-driven assumptions create a false sense of urgency or inadequacy, pushing founders towards quick pivots rather than methodical problem-solving.

DEVELOPING CONVICTION: THE FOUNDER'S MOST IMPORTANT MUSCLE

Building conviction is akin to developing a muscle; it requires consistent effort and a commitment to believing in the value of your work. The most important customer is often yourself, meaning you must be convinced your idea is worth pursuing before seeking external validation. Conviction isn't about blind faith but about resisting external pressures, like negative investor feedback, that could derail your progress. Founders with high conviction can persevere through challenges, even when investors express doubts, understanding that such feedback isn't always a definitive indicator of an idea's worth.

THE 'RANDOM WALK' AND THE CASE FOR SOLVING YOUR OWN PROBLEM

A 'random walk' in startup development involves making decisions based on random choices, leading to a lack of progress and wasted energy, much like a boat changing direction aimlessly in the ocean. This is exemplified by founders who repeatedly contact potential customers without a structured approach or who chase every piece of feedback with a pivot. A more effective strategy is to solve your own problem, as you intuitively understand the need and your product's value. This makes you your own first and most qualified customer, providing a solid foundation for conviction.

UNDERSTANDING AND VALIDLY DEFINING AN MVP

The concept of a Minimum Viable Product (MVP) is often misunderstood. A true MVP is 'viable,' meaning it works for someone, ideally including yourself. If a founder won't use their own product, it suggests it's not yet viable, making it difficult to sell to others. Founders with experience evaluating software purchases are experts in understanding the customer's perspective. By reflecting on their own buying experiences, they can develop effective sales tactics rather than relying on ineffective methods like generic cold emails. The bar should be that the founder is willing to use their own product.

THE DETRIMENTAL EFFECTS OF FEAR-DRIVEN PIVOTS

Fear is a pervasive force that can lead to a downward spiral of poor decision-making. When founders succumb to fear, their rational thinking capacity diminishes significantly. This can manifest as abandoning an idea due to perceived competition or investor pressure, even when the feedback is not necessarily indicative of the idea's potential. The key is to recognize that external validation, especially from investors, is not always the ultimate determinant of success. By putting the 'gun down' and reducing the perceived existential threat, founders can regain clarity and build the conviction needed to move forward.

Mentioned in This Episode

●Software & Apps

●Organizations

Building Startup Confidence and Conviction

Practical takeaways from this episode

Do This

Focus on building conviction in your own mind that your idea is worth working on.

Treat yourself as your most important customer and build something you'd be proud to use.

Leverage your past experience on the 'buy-side' to understand customer needs and sales tactics.

Complete the full pivot cycle to learn effectively and make forward progress.

Ensure your Minimum Viable Product (MVP) is genuinely viable and something you would use yourself.

Practice good form and make high-quality 'reps' in your startup journey, similar to strength training.

Focus on understanding and satisfying 'one' customer as a starting point.

Avoid This

Don't base your life philosophy or startup decisions on random online opinions (e.g., from Twitter, Reddit).

Avoid superficial validation through low-effort methods like emailing 25 companies with a non-existent product.

Don't let fear drive poor decision-making or cause you to abandon your idea prematurely.

Avoid the 'random walk' approach where you constantly change direction without making forward progress.

Don't launch a product that doesn't solve a real problem or that you wouldn't use yourself.

Don't become a victim of 'pivotitis'; pivot from a place of knowledge, not just reaction.

Don't have unrealistic expectations about how quickly success will come.

Common Questions

A common mistake is performing superficial validation, such as contacting a small number of companies about a product that doesn't exist and then quickly pivoting based on a few 'nos'. This low-effort approach doesn't provide meaningful insights.