The Risk of Assuming the Market wants “A”, when it Really wants “B”

When you first launch a business you should be ready to “dance with the market.”  And you should be ready to let the market lead this dance.

We enter the market with a plan in hand.  It is a plan that we may have agonized over for weeks, months, or even years.  We have done our research, created a carefully thought out marketing plan and operating plan that both help justify our financial forecasts.

And then a funny thing happens.  We assumed that the market wanted “A”.  But, if we listen carefully, we often find out that it really wants “B.”

Our Entrepreneur in Residence this week, Matt Meents, is a case in point.  Their company, Reside, originally was set up to build high-end websites for the real estate industry.  Although they did land some accounts with that profile, the market soon began to tell them that there was a wider market for what they offered beyond real estate. 

If Matt and his partner had stayed rigid in their plans, their company would never have grown the way it has.  The market wanted to help them grow, but they had to be willing to listen to what it really wanted and adapt their plans.   

The dance with the market never really ends.  Markets are dynamic, so you need to be ready to follow where it leads you.