“What problem are you trying to solve?” counts as one of the most important questions I was ever asked by a business mentor. We tend to have great ideals for starting companies, as we should, but end up losing the plot. I would imagine every business has one thing in mind when they open doors, that being solving someone’s problem with their product.

People who created their own solutions

Chris Guillebeau wanted to change world, challenge the status quo, travel the world and meet people with similar interests. He started The Art Of Non-Conformity, his website, where he documents his travels and invites readers to become part of his experience. This solves a few things for both him and his readers:

- It gives other travelers the opportunity to connect with like-minded people around the world.

-         He meets people online before setting off to travel.

-         He also gets authentic voices to talk about their countries, which is always better than reading photoshopped brochures.

Allon Raiz discovered that businesses didn’t need funding to thrive, but required direction and resources that money cannot buy. So he started Raizcorp, the first privately held and unfunded business incubator.

For every online startup that is looking for funding there is the Crowdfund. Some web entrepreneurs realized the need for “Angel Funding” in South Africa and together they started it. With small contributions from the public, who in turn become investors, they are able to develop web startups.

First find a problem then become the solution is what most successful entrepreneurs have done. It’s even better when you know problem, thus making the product even easier to create.

What problem are you solving?

Photo by: Zoopreme on Flickr

In July of 2009, I announced the Netweb Event for that month with a video give away sponsored by Missing Link. Little did we know that the prize would go to an amazing project I had been following for a while.

One Matchstick, a concept where the founder is trading a single matchstick till she gets to offices through a series of trades, is a lesson in innovation.

It was simple for us – start a competition that benefits small business and give it to the most deserving company after our delegates have voted. From that simple definition came being an MC at the premiere in Johannesburg, being in Cape Town for another and making interesting contacts along the way.

The lessons

- You are as big or small as you think you are.

It ‘s because one matchstick that I went over 1000 kilometers away and made contacts I wouldn’t thought of on my own.

- Small has to do with efficiency than size.

The size of this project meant all we needed was a notebook, a DVD Player and a room of 30 people for it to be successful.

- Naming is very significant

We called the prize a corporate video when we gave it away, but Telana referred to it as the “One Matchstick Movie”.

You are invited to the “One Matchstick Movie Premiere” sounds better than being invited to the “Launch Of The One Matchstick Corporate Video” any Sunday afternoon. Yes, the Johannesburg premiere was packed on a Sunday afternoon.

If a single matchstick can make it happen, that changes the whole game.

Please view the One Matchstick Movie below.

When developing a business model, we often overlook implementing marketing tools to spread our concepts virally. Unleashing the Ideavirus, a book that I think requires a sequel, transformed the view I have of my current business model.

While there many concepts covered in the book, for the purpose of this post, only 3 significant highlights will suffice.

Loosely referencing The Tipping Point by Malcom Gladwell on how some ideas turn into social epidemics and others don’t. Seth takes us through the process of how companies such as Hotmail and Vindigo spread as viruses and the Toyota Prius, while an award winning vehicle, didn’t.

The second mind altering concept, though disputing all known marketing ethic, is focusing on a smaller target audience (called ‘a hive’) instead of setting out for large numbers. This makes sense if you view your client base as a community that can reach friends and recommend your product or service better than adverts and large marketing budgets ever can.

The steps below, a very short summary, are how you develop an Ideavirus.

Step By Step, Ideavirus tactics (summarized from the book)

• Make it virusworthy – If it’s not worth talking about, no one will talk it.

• Identify the hive.

You won’t get the full benefit of the ideavirus until you dominate your hive.

• Expose your idea

Expose it to the right people, get them into the experience as quickly as possible and pay them if necessary. But never charge if possible.

• Once attention has been volunteered request permission.

• Amaze your audience.

• Some viruses don’t forever, embrace the lifecycle of yours.

Any business model that has a viral marketing method built into it has a better chance at longevity, besides why not make it easy for your clients and customers to spread the idea? If there’s one thing I would recommend, it would be read it with an open mind and download the ebook or get the shiny collector’s version here.

While technical skill is important to develop a business, it is not the most significant element for survial. In this episode with Dumisani Nkala we uncovered things entrepreneurs are not told. Dumisani is the M.D of Zinandi Telecommunications a company that was bootstrapped from the ground.

She shares her insights with us in this video.

We also have audio version below, feel free to share.