Participation in the Buenos Aires Economic Forum
Posted: Mon Dec 23, 2024 6:05 am
Chat with Demian Schnaidman – Why digital products fail
At a recent workshop, I had the opportunity to interview Demian Schnaidman, a digital product expert, and together we tackled a crucial question: why do so many digital products fail to take off? Demian shared three key factors that often lead to failure: poor problem definition, disconnection with users, and a lack of focus on the added value the product should offer. Often, technology teams dive into development without a clear understanding of the problem they are solving or the true needs of the user. This leads to products that, while functional, do not provide real value.
One of the most revealing points was when Demian mentioned that in over 90% of startups that have failed, at least 20% of the code was never used, and many times, the features that were developed were never used by customers. This is due to a lack of alignment between technical development and user expectations. He reminded us that it is essential to start challenging ideas from the very conceptualization, to ensure that what is built has true value. His team, for example, acts as cofounders-as-a-service for the startups they work with, helping to connect the business vision with technological development.
Throughout the talk, we shared several examples and discussed practical solutions. We talked about the importance of building a solid foundation for product development and how constant iteration is key to adapting to changing market needs. Demian also reminded us that extending the development of an MVP beyond what is necessary is a common mistake. korean boys phone number whatsapp He told us about a startup that spent 23 months developing its MVP, leaving only 4 months to test it in the market. The result was predictable: they didn’t have enough time to validate the product before running out of resources. “The fear of not fulfilling the founder’s vision often delays the launch, but if you don’t focus on the minimum needs of the market, you can miss the opportunity,” Demian noted.
Finally, we also discussed a frequently asked question: is it crucial to have a technical founder in your startup? Demian explained that venture capitalists often reject projects if they don’t have a CTO on the team. However, he warned that some founders are quick to appoint a CTO just to meet this requirement, which can be terribly damaging. “The founder, aware of this micro-fraud, loses the ability to ask critical questions to the CTO, which creates a vicious circle that ends up affecting the team and the product,” he commented. The key, according to Demian, is to have a technical team that not only executes, but understands the context of the business and the long-term objectives.
At MALBA, I had a great conversation with Demian Schnaidman about the “Benefits of investing in Argentina.” Surrounded by financial, corporate and government leaders, we represented the entrepreneurial and innovative vision in an environment not so accustomed to hearing about startups. Demian began with humor: “We are the aliens here.”
We talked about the enormous potential in Argentina and Latin America, where, although there is a lack of funding, there are opportunities. Technological talent abounds, but much of it works abroad as freelancers. The challenge is to create more local opportunities and overcome the fear of risk.
At a recent workshop, I had the opportunity to interview Demian Schnaidman, a digital product expert, and together we tackled a crucial question: why do so many digital products fail to take off? Demian shared three key factors that often lead to failure: poor problem definition, disconnection with users, and a lack of focus on the added value the product should offer. Often, technology teams dive into development without a clear understanding of the problem they are solving or the true needs of the user. This leads to products that, while functional, do not provide real value.
One of the most revealing points was when Demian mentioned that in over 90% of startups that have failed, at least 20% of the code was never used, and many times, the features that were developed were never used by customers. This is due to a lack of alignment between technical development and user expectations. He reminded us that it is essential to start challenging ideas from the very conceptualization, to ensure that what is built has true value. His team, for example, acts as cofounders-as-a-service for the startups they work with, helping to connect the business vision with technological development.
Throughout the talk, we shared several examples and discussed practical solutions. We talked about the importance of building a solid foundation for product development and how constant iteration is key to adapting to changing market needs. Demian also reminded us that extending the development of an MVP beyond what is necessary is a common mistake. korean boys phone number whatsapp He told us about a startup that spent 23 months developing its MVP, leaving only 4 months to test it in the market. The result was predictable: they didn’t have enough time to validate the product before running out of resources. “The fear of not fulfilling the founder’s vision often delays the launch, but if you don’t focus on the minimum needs of the market, you can miss the opportunity,” Demian noted.
Finally, we also discussed a frequently asked question: is it crucial to have a technical founder in your startup? Demian explained that venture capitalists often reject projects if they don’t have a CTO on the team. However, he warned that some founders are quick to appoint a CTO just to meet this requirement, which can be terribly damaging. “The founder, aware of this micro-fraud, loses the ability to ask critical questions to the CTO, which creates a vicious circle that ends up affecting the team and the product,” he commented. The key, according to Demian, is to have a technical team that not only executes, but understands the context of the business and the long-term objectives.
At MALBA, I had a great conversation with Demian Schnaidman about the “Benefits of investing in Argentina.” Surrounded by financial, corporate and government leaders, we represented the entrepreneurial and innovative vision in an environment not so accustomed to hearing about startups. Demian began with humor: “We are the aliens here.”
We talked about the enormous potential in Argentina and Latin America, where, although there is a lack of funding, there are opportunities. Technological talent abounds, but much of it works abroad as freelancers. The challenge is to create more local opportunities and overcome the fear of risk.