Monday, 1 July 2013

Vision - The Next BIG Property iDEA







“If at first, the idea is not absurd, then there is no hope for it.” – Albert Einstein
Hey Guys,

Over the next 2 blogs, I’m going to paint 2 pictures for a single idea, The first will be the “Build it and they will come” method, the Second will be around validation.

Why – I want to show you the power of some tools that will stop you
  •     Wasting Time
  • Wasting Money

If the above are important, keep reading – if they are not.. KEEP READING ANYWAY :)

The BIG Idea!

I knew it, from the minute I pieced the idea together in my head, That this would be *The Next Big Property Company*...

Since a conversation with my mortgage broker about property - said to me, he has brought some of his best properties that were NOT listed on the market. I asked, how do you do that and to which he told me…

I knew this was a game changer, as I a property investor I know the limitations of the current gorilla markets – private sales or Real Estate Agent sales. The market is flooded with first home buyers and investors buying long term “buy and holds” or Trading.

IDEA: I’m going to build a platform and automate the process
-          Search for property / Augmented reality iOS app
-          BIG Data overview of property
o    GV / RV, # Bd Rms etc
-          Capability to send *Offer* to Title Owner
-          Host of other value props

Why is the above the next big thing in property? This opens up a market to all that is only currently used by Investors.
You will be able to make an offer on a house that has no other offers on it – and work with the owner to settle a reasonable price.

“Build it and they will come” method

Build a set of Requirements
Get a team of Developers, work up a pipeline – Head down tail up, until built
Start marketing and engaging with customers post build

The idea was so certain the above would work without a doubt…. Right?

Well I know the above is not what I would do, in fact I didn’t do it at all! Why? Because my idea was simply a bunch of hypothesis surrounding the initial idea.

The first thing I did was build out a Business Model Canvas with all the assumptions that I had, these assumptions went through a test processes, and found either FACTS or raised more QUESTIONS.

The first one looked like this;







I found out some fascinating things while engaging with my first customer segment “ Property Owners” not only did they not mind if someone was interested in their house, if they were interested which 2 out of 5 said they would be – they would prefer to receive an offer range for example 500k-550k etc. One thing they were adamant about however was the need for the letter to be personable.

As each assumption was validated, a picture was beginning to be painted as to what needed to happen – however I had validated the business model canvas focusing on the property owners first….

When in fact if I was to validate the Investor , who I assumed would be my paying target market – as they make repeatable purchases and so repeatedly utilize my service. I would have found out that, this is already a simple process for them, and having a platform would possibly just add further complication..

I validated the process that an investor currently does to put an offer on a property that is not listed;
Due diligence
Title owner address
-          The above 2 form the process for the offer amount and being able to send a letter to the title owner.

Does my idea – deliver any real value to an investor?

What do you think I done next?
What are your thoughts about the Idea?
What would you have done?

Lay it on me.


Something for you: Watch this – Amazing how an innovative cost model can turn around a bankrupt company into a successful revenue generating company;

It’s a bit long so look at these times;
13:35min – the Xerox story and success
22:30 – onwards, Nespresso the story

Do you want a Business Model Canvas Template, you can edit as a doc? Let me know

Ill post the next blog in a week tell you where I went J

Cheers

Supplementary:



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