15 frameworks for generating startup business ideas
Every startup begins with an idea. However, when it comes to thinking about startup business ideas, it is not an easy task for everyone.
We’ve built a random startup business idea generator as I know that every business starts with a great idea and many people get stuck when it comes to brainstorming startup ideas.
Check out our startup business idea generator and generate over 5,000 startup business ideas.
The generator, based on the lean startup canvas, is less about random startup ideas and more about taking an idea and exploring further.
Now, let’s move on and discuss 15 frameworks for generating startup business ideas. You can use these frameworks to come up with innovative ideas for your new venture.
Change one element
Novelty is a risk. Too much of it, and you’re almost certain to fail. But too little of it and you’re just a copy of someone else, also a recipe for failure.
What’s needed is a balance of both. One way to maintain that balance is to apply a framework of changing only one element to the offering, keeping everything else the same.
This tactic is often used in video games and movies where the creators just change the characters or the theme, keeping the story the same.
If you are planning to start a business and ideating, think of how you can change one element to existing businesses. For example, bringing offline to online or building a mobile version of a popular website.
Inversion
Inversion means turning a common practice upside-down. So for example, doctors treat patients. But what if patients could become their own doctors and treat themselves.
Another example is the recent trend in many educational apps. Traditionally, teachers teach students. But what if students could learn on their own without the need for teachers?
Integration
Integration means to group products or services in a single place. Examples include supermarkets or online marketplaces and aggregators like Amazon.
Extension
Extension is to extend the product or service. For example, what if you could provide customer service beyond office hours? Or, if you have a product for desktop users, can you extend it for mobile users?
Differentiation
Offer the same or similar product/service to a different market segment.
When the iPhone launched, it targeted a different market segment compared to Blackberry which was much more expensive and targetted the high-end mobile market.
Another example is social networks like Snapchat target young users. Snapchat saw an opportunity in building a social platform for teenagers.
Solving a problem vs creating an opportunity
When evaluating ideas, you should certainly think about how much they are solving a clear problem. But also think about what new opportunities they might be creating.
For example, if you are creating a new product, like a game, it’s more about creating a new opportunity. Any new and popular products are examples of creating opportunities.
Where problems result in solutions, trends create opportunities.
If you cannot identify a specific problem, identify trends to set the context for your solution. You can pitch disruptive products by using social, technological, and economic trends. Social trends reflect the behavior of consumers. Technology trends reflect the direction in which technology is moving. Economic trends show paths to price/cost reductions.
Market risk vs execution risk
Figure out if there is a market demand for something and whether you can build it.
Good ideas lie in the intersection of both market demand and the ability to build a good product.
For example, for a company like Twitter, it was initially market risk as founders didn’t know whether users would use the product. Whereas for a company like SpaceX, there is more execution risk as there are many variables involved in sending a rocket to space.
Taking advantage of technological shifts
Can you identify what technology has changed in the last 3-36 months that will let you create a new product? A new experience?
For example think of new technologies like video sharing, GPS tracking, ride-hailing, text to voice, and other technologies that you can use to create new offerings.
Building new supply
Find a way to create new supply to service either existing demand or new demand.
Airbnb took existing homes and turned them into a new supply for lodging.
Swiggy extends existing restaurant supply by expanding it to new customers, not in the immediate vicinity.
Rent the Runway took people’s closets and made them a new source of supply for an online fashion marketplace.
Uber & Ola took idle cars and turned them into a new supply of taxis.
Time travel
Imagine yourself 15-20 years into the future. What do you think is missing? Build that thing.
Addition
Add a new element to an offering or a new feature to your product.
For example, food delivery companies have also started delivering groceries.
Subtraction
Take away an element from an offering.
Hospitals are critical to treating patients. What if you had to close hospitals? Then how and where would patients be treated?
Translation
Apply a practice associated with another field to a new field.
Governments and corporates are different kinds of operations. What if corporate management practices were applied by governments?
Another example is how venture capitalists use the principles of dating to get to know startup founders better before investing in them.
Combination
Combine a practice associated with another field with a new field. For example, Tinder combined dating with the elements of gamification which gave rise to the swiping ‘left’ or ‘right’ feature. Can the same principle be applied to new apps that could focus on things like real estate, art, jobs, etc?
Exaggeration
Exaggeration is to push something to its extreme form.
For example, companies have different offices, departments, reporting structures, etc. But can companies operate entirely online, through various tools or a single tool? In other words, due to the changing requirements of WFH, how can organizations reinvent themselves?
Startup Business Ideas FAQ:
1. What is the purpose of the startup business idea generator mentioned in the post? The startup business idea generator is designed to assist individuals who are brainstorming ideas for their startups. It provides over 5,000 random startup business ideas based on the lean startup canvas, encouraging users to explore and develop their ideas further.
2. How can I generate innovative startup business ideas using the frameworks mentioned? The post introduces 15 frameworks for generating startup business ideas. You can use these frameworks as tools to think creatively and develop unique ideas for your new venture. Each framework offers a different approach, such as changing one element, inversion, integration, extension, differentiation, and more. By applying these frameworks, you can discover innovative concepts and opportunities.
3. What does “Change one element” mean in the context of startup business ideas? “Change one element” refers to the strategy of maintaining a balance between novelty and familiarity. Instead of reinventing an entire concept, you focus on modifying a single element while keeping everything else the same. This approach is often employed in video games and movies, where creators change characters or themes while maintaining the core story. Similarly, in the context of startups, you can think about how to change one element in existing businesses, such as bringing an offline business online or creating a mobile version of a popular website.
4. How can I apply the concept of “Inversion” to generate startup business ideas? The concept of inversion involves turning a common practice upside-down. Instead of following traditional approaches, you consider alternative perspectives. For example, in the field of healthcare, the traditional approach involves doctors treating patients. However, by applying inversion, you can explore the idea of empowering patients to become their own doctors and treat themselves. Similarly, you can think about other industries and identify opportunities for disrupting established practices through inversion.
5. How does “Integration” relate to generating startup business ideas? Integration involves grouping products or services in a single place. It can be applied to create innovative business models such as supermarkets, online marketplaces, and aggregators like Amazon. By bringing together different offerings or services, you can provide convenience and value to customers. Exploring integration opportunities can lead to unique startup business ideas.
6. What does “Extension” mean in the context of startup business ideas? Extension refers to extending an existing product or service to provide additional value or reach new customers. For example, you can consider extending customer service beyond office hours or adapting a product designed for desktop users to cater to mobile users. By identifying ways to expand or enhance existing offerings, you can generate new startup business ideas.
7. How can “Differentiation” be used to generate startup business ideas? Differentiation involves offering the same or a similar product/service to a different market segment. By targeting a specific niche or underserved audience, you can create unique value propositions and stand out from competitors. For instance, when the iPhone was launched, it targeted a different market segment compared to Blackberry, focusing on the high-end mobile market. Identifying untapped market segments can inspire innovative startup business ideas.
8. Is it better to solve a problem or create a new opportunity when generating startup business ideas? Both solving a problem and creating a new opportunity can lead to successful startup ideas. Solving a clear problem provides a direct value proposition to customers, while creating a new opportunity involves identifying trends and capitalizing on emerging needs. It’s important to evaluate ideas based on their potential to address existing problems or tap into new trends and opportunities.
9. How can I evaluate market risk and execution risk when generating startup business ideas? Evaluating market risk involves determining if there is a demand for a particular product or service. You need to assess whether there is a market need and if customers would be willing to use your product or service. On the other hand, execution risk refers to the challenges and variables involved in successfully building and delivering your product or service. It includes factors like technical feasibility, resource availability, and operational execution. To generate startup business ideas, it’s crucial to consider both market demand and your ability to execute effectively.
10. How can I take advantage of technological shifts to generate startup business ideas? Technological shifts often create opportunities for new products and experiences. You can identify recent technological advancements and consider how they can be leveraged to create innovative offerings. For example, advancements in video sharing, GPS tracking, ride-hailing, or text-to-voice technology can open up possibilities for developing new products or services that cater to changing customer needs and behaviors.
11. What does “Building new supply” mean in the context of startup business ideas? “Building new supply” refers to finding ways to create new sources of goods or services to meet existing or emerging demand. This involves identifying untapped resources or underutilized assets that can be transformed into valuable supply. For instance, platforms like Airbnb and Uber tapped into existing homes and idle cars respectively, turning them into new supplies for lodging and transportation.
12. How does “Time travel” relate to generating startup business ideas? “Time travel” involves imagining yourself in the future and identifying what is missing or what needs to be developed. By projecting yourself 15-20 years ahead, you can anticipate future needs and create innovative solutions to address those gaps. This approach encourages thinking outside the present and envisioning future demands and opportunities.
13. What is the significance of “Addition” and “Subtraction” in generating startup business ideas? “Addition” refers to adding a new element or feature to an existing offering or product. It involves identifying complementary extensions that can enhance the value or functionality of a product or service. For example, food delivery companies branching out to deliver groceries is an example of addition.
“Subtraction,” on the other hand, involves removing an element from an existing offering. By eliminating certain components, you can uncover new approaches or identify alternative solutions to common problems. For instance, if hospitals were to close, you can explore alternative methods and locations for patient treatment.
14. How does “Translation” contribute to generating startup business ideas? “Translation” involves applying practices or concepts from one field to a new and unrelated field. By bridging the gap between industries, you can introduce fresh perspectives and ideas. For example, applying corporate management practices to government operations or using dating principles for venture capitalists to evaluate startup founders. This cross-pollination of ideas can inspire innovative startup concepts.
15. What does “Combination” mean in the context of generating startup business ideas? “Combination” involves merging practices or features from different fields to create something new and valuable. By combining successful elements from one industry with another, you can unlock unique business opportunities. For instance, Tinder’s combination of dating and gamification, resulting in the popular swiping feature, demonstrates how different fields can inspire new applications.
16. How can “Exaggeration” be used to generate startup business ideas? “Exaggeration” entails pushing a concept or idea to its extreme form. By amplifying certain aspects or features, you can explore new possibilities or identify alternative approaches. For example, imagining companies operating entirely online, without physical offices or traditional reporting structures, in response to the changing work-from-home requirements. This approach encourages thinking beyond conventional boundaries.
These frameworks and strategies provide various approaches to inspire and generate innovative startup business ideas. By considering these concepts, you can stimulate your creativity and uncover unique opportunities for your new venture.
