What will define a Tech business Plan in coming times?

A technology product business plan involves a clear delineation of tech superiority as compared to other available solutions in the market.  When presenting to investors the key element they look at is the “deep technology” that defines the product. A simple workflow driven solution is passé. Customer Experience has another added element to it what is defined a Customer Journey Management and will be one of the most important aspects of a solution now and in the years ahead.  Marketing the solution is another key aspect. All-in-all, tech is going through a major overall and newer solutions should talk about these aspects in their startup business plan. There is no denying the fact that investors will want to invest in something happening and not another Airbnb or a Groupon which were a rage just a decade ago. Technology has changed quickly over the last 10 years and we should be up-to-it. Ai, IoT, Machine Language are the buzz words of the day. It is important to note that a small business plan of 20-25 pages should not be loaded with too much technology as investors should not want too much about technology in a first level business plan.

The next very important aspect of the business plan apart from the solution is the marketing strategy.  It is known that if you market well, a product in making can also find a customer. This does not mean that I am putting less emphasis on the product. A great marketing strategy should define the plan. I have tied together some of the strategies that should go in the plan:

• Strong pre- launch app marketing effort:

Marketing of the solution should be done much before the launch of the solution. Marketing efforts should be started at the moment development starts. The marketing investment should start at a soft mode at the beginning, continues to build, and eventually should peak with the successful launch of the product.

• Beta Launch if it is an app:

The App should be launched in Beta mode in some selected cities or localities that should be considered as most preferred as per the research of the target audience. Such strategies will increase the popularity & usefulness of the app even before final launch and will make the post launch acceptability much easier.

• Blogging should be started as quickly as possible:

Dedicated Blog discussion should be held regarding the solution for updating the growing user base. Blogging is important not only for building interest around the app but also for solidifying it as an integral voice of communication in favor of the app.

• Attractive sneak peeks and teasers will be arranged

Sneak Peeks like “screenshots of the app”,” a video promo”, or in some cases” just a  blog post describing what the new  app will be about” can drive hundreds, if not thousands, of email signups and provide a ripe list for getting early, interested users.

Now the next important aspect is to check on the competition. The plan should clearly identify the competition in terms of the product, marketing strategies, user numbers and other defined parameters. The available market for the solution in terms of user growth and market growth over a period of 3-5 years should give investors a good idea of the business growth.

Depending on the stage of the business, the traction if applicable should be defined. Even if it is in a development stage, if you have some early users who have used the solution and given their feedback should score a brownie with the investors. In case of a more matured product lifecycle, you should show some actual user data which should make a case with the investors. The stage of the business will also decide on whether you need to develop a basic plan or an advanced plan.

An advanced business plan is suitable if it involves a high degree of complexity. It fits well into companies that have been in business for a few years and have y-o-y cash flows to be mapped, income statements to be generated, valuations, ratios etc. These are parameters that make these plans complex and require a high degree of expertise to complete these plans.  The complexity will also depend on the technology and business functions that the plan has to cover. The plan can be written by the entrepreneur or they may want to engage a Business planning services consultant or it can be a mixed approach wherein the entrepreneur himself outlines the product and the Business plan writing consultant does the market research, risks, valuations, competition and does the packaging of the plan. A high tech plan if done collaboratively can bring out the best elements of the business and stand a higher chance of getting investment.