Practice
In the previous sections, we explored the exciting world of entrepreneurship and how it can be a fulfilling path for seniors in retirement. We explored the concept of small-scale businesses, discussed the various types of ventures that can emerge from DIY hobbies, and highlighted the unique skills and experiences that seniors bring to the table. We also emphasised the importance of sustainability and how it can be integrated into your business model.
Now, it’s time to put all this knowledge into practice and start developing your own business idea. This section will guide you through a series of short but efficient practical exercises designed to help you clarify your idea, identify your target market, and create a roadmap for success (your business canvas). We’ll be using a customised Business Model Canvas (BMC) template specifically tailored to the topic of our module. This template will help you visualise and organise your business idea in a clear and concise way.
How to develop and refine your business idea?
Let’s follow the standard but proven approach of defining and redefining your business idea in 3 simple steps – brainstorming, defining your niche, and conducting a brief market research.
Brainstorming your skills and what you like. Here is how:
- Start by listing all your hobbies and skills. Don’t limit yourself – include everything you enjoy and are good at, even if it doesn’t seem like an obvious business idea at first.
- Consider your past experiences, both professional and personal. What skills have you acquired throughout your life? What knowledge do you possess that could be valuable to others?
- Think about the problems you’ve solved or the challenges you’ve overcome. Could your solutions or expertise be turned into a product or service?
- Consider sustainability, how your business idea can be sustainable?
Once you have a list of potential business ideas, it’s time to narrow it down. Consider the following questions:
- Which hobbies or skills are you most passionate about?
- Which ones have the potential to generate income?
- Is there a demand for your product or service in your community or online?
- Who would be your potential customers?
Then it becomes trickier! You need to conduct a basic market research.
This is essential for understanding your target audience and potential competitors. It helps you validate your business idea and make informed decisions about your product or service, pricing, and marketing approach.
Start by researching your potential customers. Consider the following:
- Identify your potential customers: Who are they? What are their demographics, interests, and behaviors?
- Understand their needs and preferences: What problems do they have that your product or service can solve? What features or benefits are they looking for?
- Determine their willingness to pay: How much value do they place on your offering? What price point would be attractive to them?
- Locate your target market: Where do your potential customers live, work, or spend their time?
Next, research your competitors.
Who else is offering similar products or services? What are their strengths and weaknesses? What is it that makes you different from these competitors? You can conduct market research through an online search, a survey, interviews, or by simply observing your target market.
Next, you should refine your business idea further!
How? Use the Business model canvas that we have explored in the previous sections. Remember, BMC is a visual tool that will help you map out the key components of your business and ensure they align with your overall vision. Let’s have a quick exercise! Follow the steps below:
- Download the template: Download the customised BMC template provided here: (LINK)
- Fill Out the blocks starting from the centre, i.e. defining your Value Proposition: What unique value do you offer to your customers? What problems do you solve, or what desires do you fulfil? This is your starting point. Then, you move to the blocks on the right of the canvas, i.e. the customer segments, channels, and customer relationships. They link the value proposition with the key activities and resources. Connect the resources with the costs needed to obtain them. What are the main costs incurred in running your business? Once you have the costs, think of the revenues or how your businesses can generate income/profit! Work through each block of the BMC, using the instructions and examples provided in the previous section as a guide. Be as specific and detailed as possible.
- Review the completed the BMC carefully and refine your answers as needed. Don’t be afraid to go back and forth between the blocks as you gain new insights.
- Ask for feedback by sharing your BMC with friends, family, or mentors for ideas and suggestions.
By completing this exercise, you will have a solid foundation for launching and growing your sustainable DIY business. Remember, the BMC is a living document that should be updated and revised as your business evolves.
Also, check this simple-to-understand video explanation on how to fill in your business canvas.