Validating "Technology First" Product Ideas
How to determine whether it's worth investing in a new idea
Before investing heavily into the development of a new product or concept, you should first validate whether it is an idea worth pursuing.
Does your idea currently exist?
The first step is to investigate whether your idea already exists. This isn’t a deal breaker if it does, but you should analyze and understand the space you are considering entering into so you can determine whether it makes sense for you to pursue it. A couple key questions to ask yourself in this situation are:
Can it be done better?
Is it actually a good idea?
Are you the best person to build this?
If there’s something already on the market and you don’t think you can do significantly better (whether that is via a more robust offering - like the iPod becoming the fastest growing mp3 player due in part to it’s seamless integration with iTunes; significantly better quality - like when Google Maps launched and replaced MapQuest due in large part to its accuracy, ease-of-use and features; or a unique angle/different approach - like Figma overtaking Adobe by creating a web-first approach to design collaboration)- come up with a different idea. If all you have to offer is an incremental improvement on an existing offering, you’re going to be fighting an uphill battle, and your time is likely best spent somewhere else.
Conversely, discovering that your idea already exists doesn't automatically validate its worth. It's important to thoroughly evaluate whether it's a concept worth pursuing. Don't simply assume that its existence elsewhere justifies its necessity or potential for success. You can use a standard product validation framework to assess your idea here (Jobs To Be Done, SWAT, Concept Testing, etc).
Another key question which is incredibly important to ask - are you actually the best person to build the product? Some examples:
A self-help app that allows patients to talk to a digital therapist → Are you or your business partner a therapist? Do you have a panel of professionals you can consult with to verify the effectiveness of your product?
An interview prep app → have you worked as a recruiter at a reputable company for a number of years? Have you been hired to consult for companies to help with hiring decisions?
Another way to think about this is – what makes you uniquely qualified to build this product? I find the following equation to be the sweet spot:
Passion & conviction + dedication + subject matter expertise
While this last question isn’t unique to developing Generative AI products, I find it has become an even more important one to ask, as this new breakthrough technology has lowered the bar to building experiences, thus increasing the importance of being even more discerning towards identifying what is actually worth spending your time building.
Why doesn’t it exist?
If you discover that your idea doesn’t currently exist, then you should explore why that might be. We’ll break this down into the following buckets:
It isn’t a good enough idea ← this isn’t specific to innovative technology, but it’s important to assess [once again, you can use one of the standard product frameworks mentioned above]
Technical constraints had been a previous blocker ← this is where the emergence of innovative technology becomes important, so we’ll focus in more here
Let’s dig in: when a technical advancement comes along to make something possible, I’ve found that there are two ways this manifests itself:
Too expensive previously
Not possible previously
Too expensive
In this scenario, the feature / product was technically possible previously, but building it would have required too much investment ($$ / effort / time) with the technology available at the time to have made it worth it. In this case, the breakthrough in technology has lowered the “cost” to build, and now the cost:benefit ratio may be in favor of implementing this idea.
Take customer service automated chatbots as an example - sure, Dialogflow existed, but the advancements in AI chatbots mean that it’s a lot easier now to imagine every boutique commerce store having their own customized and high quality customer service agent.
Not possible
In this scenario, it simply wasn’t possible to have built this product / feature with the previous technology.
The advancements in Generative AI as applied to image generation is a great example here - features like Canva’s Magic Morph weren’t possible before, but now are.
Productizing technical innovation
The best position to be in is one in which you are the one innovating on the technology that has now made your idea possible - in this scenario, you are the one shepherding this new technology along with the product.
The next best position to be in is one where you are leveraging a technical breakthrough then adding additional value to it that you are uniquely positioned to provide. This value-added layer should be concrete and measurable, and even better if it’s something that is not easily replicable. Without this differentiated layer (often termed “moat”), it’s likely only a matter of time before others will enter the playing field and piggyback off the technical innovation.
If you believe that the technology will only continue to improve in the short term, it’s also worth considering starting to build something that may not be possible today, but that could realistically be viable in the near future. Even better if it’s within your control to help make it possible!
Putting It All Together
So…how do you validate a technology-first product idea? I made the following flowchart to help guide you through:
