However, the challenge is we haven't started a full blown cycle yet. So we really have only 1 "client" so far. This is in a space where customers are not very innovative which is where we come in.
Seems like we do have to start the customer development process.
The product is "much" better. However, once they get a few key customers - it's all about traction and they can sell others based on the first few. That's the worry here.
I don't think customers buy "better", they buy "solution". They don't care about elegance or how many features you have. Just, "does it solve my problem?". If two things solve the same problem, it may then come down to "how easy" and "how much money".
On a different note: if you have a plan, stick with it (if you think it is the right plan). Your competitors may have just validated the market for you.
Yes, they definitely have. They are getting traction - and fast.
I agree with they buy "solution" and even if better, they will stick with that old one for a while - which is why it's more important to get selling early I think.
Like someone else said here, out market them. Out maneuver them. Engage those key customers first. Don't over-promise, but tell them how "good" your product is.
It's definitely risky, but what other choices do you have?
I think you are right - and we're leaning towards that. Just get the conversation going so we can get some traction since the sales cycle will most likely be 3 months at least. Our product will be production ready by then.
My only worry is talking about products and someone really wants to go and we won't be able to right away.
I am not sure that your worry is warranted. If your sales cycle takes 3 months, it will be at least one month before anyone even decides that they want to "go". That should buy you some time.
I don't know about your product, but enterprises take a VERY long time to decide these things. And you can always stretch out the deal to buy some time.
If you think your sales cycle is 3 months, you should double that estimate. Sales cycles tend to be much longer than us optimistic entrepreneurs think. Just wanted to share our experience because knowing how long cycles really are would have helped us plan a lot better.
Because
a) we're mid-way through all of the modules we're building.
b) Those are the pieces that would differentiate our offering. If we didn't have those, it would be the same as the competition which means we're late in the game with almost the same product and no customers yet
c) if we cut, we would have to start over again for the ones we left hanging - or at least have to do quite a bit of rework
Note: we have a team of 6 developers working on this, so it's not a 1 person thing.
I don't think you will get customers to ditch the competitors product they are already using for yours unless these extra features are a game changer for the customer. If you cut features and just work on what you need to be on par with the competitor you will just be a little later to market, and you can continue working on the remaining features. If you wait to finish your extra features, the competition will already be picking up those customers you could of had if you released early. Ultimately it depends on if those features are something you consider to be at the core of your business, if they are then maybe you are right.
What's so wrong in releasing a base product that is comparable to your competitor's first? Then add the differentiating features as you complete them. Releasing these new features will be good for PR/marketing too.
