Your First Dozen Enterprise Customers

Written by Sean Murphy. Posted in 3 Early Customer Stage, 4 Finding your Niche, Customer Development, Demos, Lead Generation, Rules of Thumb, Sales, skmurphy

traction-bookMy interview with Gabriel Weinberg was originally published Sep-8-2010. He was doing research for what became his fantastic book Traction. We talked for the better part of an hour and a half and I can remember he kept returning in different ways to what was needed to close your first dozen enterprise customers.

He recently reorganized his site and made a fresh start on his blog. I have made some small formatting changes and added links to other blog posts I have written since the interview that elaborate on some of the points that I made. This content was originally at http://www.gabrielweinberg.com/blog/2010/09/sean-murphy-on-the-first-1-6-enterprise-customers.html

A Clear Eyed View Of The Way Forward

Written by Sean Murphy. Posted in Rules of Thumb

It’s often hard to see your way forward. When there are many courses of action open to you whose possible outcomes are hard to predict you can remain paralyzed by analysis. I often find myself dithering past the point where picking any reasonable option and proceeding is far better than continuing to analyze my choices.

When Exploring, Keep a Log

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

In new situations, keep a journal of your experiences.  This helps you organize your thoughts and remember observations clearly. When exploring, keep a log. This strategy is useful if you are starting a new job, a new project, forming a startup or launching a new product in an unfamiliar market.

Your Startup Never Gets Any Easier

Written by Sean Murphy. Posted in 2 Open for Business Stage, Rules of Thumb, skmurphy

When I first went to work for Monolithic Memories my boss, Ivan Pesic, told me, “It will be rough for the next two months and then it will get easier.” He was still telling the team that a year later when someone else offered that advice during a problem solving session and we all broke out laughing because we realized it was never going to get easier. We kept working on harder problems. Ivan went on to found Silvaco and despite a few legal setbacks built a company that has endured more than three decades.

Simon Sinek: Put People First

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

Simon Sinek earned a BA degree in cultural anthropology from Brandeis University; he attended City University in London with the intention of becoming a barrister, but left law school to go into advertising. He was interviewed in August of 2014 by John Wall on the RoninMarketeer site in connection with the launch of his second book “Leaders Eat Last.” Here are some excerpts that highlight his insights about why leaders and advertisers should put people first.

Entrepreneurs Exploit Errors in Conventional Wisdom

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

Four excerpts on how entrepreneurs exploit errors in conventional wisdom. The first two are from a Feb-8-2001 public forum that was part of BusinessWeek’s “Captains of Industry” series, where Oracle Corp. CEO Lawrence J. Ellison sat down with Editor-in-Chief Stephen B. Shepard. The last two are from Peter Thiel’s CS183 class lecture on secrets.

If You Are Cycling Through Chaos, Keep Pedaling

Written by Sean Murphy. Posted in Design of Experiments, Rules of Thumb, skmurphy

Patrick Brady writes at “Red Kite Prayer” on cycling and related topics. His blog took a very personal turn in February of 2013 with a post entitled “Any Normal Person.” In reading the series I was reminded of a remark Irwin Federman made to MMI employees when were using four day work weeks (actually five days work for four days pay): “We trust you to do the right thing. God has given you so much more responsibility as parents how can we not trust you.

Freedom

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

The desire for economic freedom and autonomy drives many entrepreneurs. Bootstrappers would rather work for customers than investors, choosing the discipline of the competitive marketplace over the wisdom and caprice of the boardroom.

“Life is too short to work at a job you hate,
but everyone has to do something someone else is willing to pay them for.”
Sid Emmert

Crafting a Value Proposition

Written by Sean Murphy. Posted in 2 Open for Business Stage, 3 Early Customer Stage, Rules of Thumb, Sales

Q: I struggle with the value proposition for our product. Either I am too abstract “we offer a positive return on time invested” or too vague “help increase your ability to manage critical challenges.” Do you have any suggestions for how to frame or formulate a value proposition?

Here a few questions that a value proposition normally addresses

Entrepreneurial Passion: Good Servant, Poor Master

Written by Sean Murphy. Posted in 1 Idea Stage, 2 Open for Business Stage, Rules of Thumb, skmurphy

Entrepreneurial passion has to be based on a desire to create value, to be of service to a set of target customers. There may be many things you are interested in learning and room enough in your life for several hobbies, but pursuing a passion without regard to your ability to provide value in a way that is competitively differentiated is to pursue a hobby.

Diving In Over Your Head

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

One of the hallmarks of the entrepreneurial journey is diving in over your head.

At some point you have to commit fully to a new venture and at a later point you realize that, despite all of your careful preparation, you are testing the depth of water with both feet–or perhaps even head first. This is what can keep many up at nights or otherwise make life miserable.

Guidelines For An Online Community of Entrepreneurs

Written by Sean Murphy. Posted in Rules of Thumb, skmurphy

Q: I am starting an online community for technology entrepreneurs. Can you suggestion some guidelines I can use to help set newcomers expectations for what constitute valuable content and comments?

Here are some good guidelines and articles that I would start with, borrowing what makes sense and adapting it.

  • Hacker News Guidelines would be a place where I would start. In particular: defining what is on and off topic, how to write titles, and guidelines for leaving comments. Your rules may be different, your focus certainly is, but it would be a place to start.
  • The “Please Do” and “Please Don’t” lists on Reddit Reddiquette are definitely worth reviewing for things to include.
  • For “ASK BN” See Stack overflow how to ask a question for some specific suggestions worth considering for those posts

Nine Tips For Expert Public Speaking

Written by Sean Murphy. Posted in Lead Generation, Rules of Thumb, skmurphy

Conor Neill has a great post up today on “a 9 Step Cheatsheet for Becoming a Public Speaking Expert” courtesy of the London Speakers Bureau. I am not usually a fan of  infographics but this is is exceptionally well done. Expert public speaking requires deliberate practice the same as any other skill. Here are some key tips I took away for entrepreneurs from the list but the entire infographic is worth a look.

Five Mistakes To Avoid In a Nurturing E-Mail

Written by Sean Murphy. Posted in Lead Generation, Rules of Thumb, skmurphy

I signed up for a free trial of a lean project management tool (I have changed the name of the tool to <LeanTool>). A few days later I got the following nurturing E-Mail.

Subject: Are you afraid to manage your project in a lean way?

We’ve noticed that you haven’t been signing into <LeanTool> for a long time and this is a sign that you are not really committed to being lean. Remember that 96% of innovative projects fail, will your project be one of them? I hope not!

Remember that just having a gym membership is not going to help you get better, if you want to improve you have to do the work!

Log in to <LeanTool> today and start validating your project.

There are a x problems with this:

  1. it’s not nurturing.
  2. It assumes the tool is flawless and the problem is one of my motivation. In fact the tool does not work.
  3. I signed up for a free trial but none of the three primary dashboards in <LeanTool> for hypotheses, experiments, and results actually worked.

So I replied:

I went to add a hypothesis and it said that I need to pay.
I tried to add an experiment and it said I need to pay.
I tried to record a result and it said I need to pay.

Can you please explain your model for free evaluation?

It’s like someone showing you free samples in the supermarket and asking “Would you like to try it?” When you say “Yes” then you hear “that will be a $1”

You advertise a free trial but it seems like it is more like a free product tour, you cannot actually do anything.

Anyway, if what you are doing is working for you don’t stop but it seems weirdly antagonistic and dysfunctional
as an approach to letting me evaluate your software. Do you have any fully worked out examples I can review?

I got the following reply:

Hi Sean, thanks for writing!

We have reviewed the website and realized that there is a mistake: previously, we offered a free trial, and we haven’t updated the text in the startups page.

Sorry for the inconvenience. We really appreciate your feedback and we’d like to offer you a 14-day free trial with all functionality available and a 10% off in our pricing plans.

It seemed a little flaky so I waited a few days and checked their website, it still advertised a free trial.

“Get 1 canvas + 1 user totally FREE (No credit card is required.)”

A day later I got another copy of the original “nurturing” E-Mail.

  1. Sending the identical e-mail a week later is definitely not a good idea.
  2. Not fixing the website announcement of a free trial tells me that they are in free fall.

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