01. Lesson Intro
Header
Lesson Overview
ND036 C1 L2 01 Lesson Intro
Summary
In this lesson, we’ll cover the following topics:
- Identifying Opportunities
- Understanding the Market
- The Target User
- Total Addressable Market
- Creating & Evaluating Hypotheses
- Creating a business case
Learning Objectives
At the end of this lesson, you’ll be able to:
- Identify problems that are worthwhile to solve
- Understand the market through research
- Identify your target user and build user personas
- Calculate the total addressable market (TAM) for your product
- Calculate the return on investment (ROI) for solving a problem
- Define hypotheses about your product that need to be validated
- Test your hypotheses by putting them in front of users
- Understand the components required to build a business case
Glossary
Glossary
| Term | Definition |
|---|---|
| Efficiency gain | Something that results in a process being less expensive to complete (shorter amount of time, less money, etc). |
| TAM | Total Addressable Market. A measure of the revenue opportunity for a product. |
| ARPU | Average Revenue per User. The average amount of revenue you receive for each user you have, usually measured by year. |
| ROI | Return On Investment. The ratio between the net profit and amount of investment. A high ROI indicates more impact with less effort. |
| Payback period | The amount of time that it takes for a product to recoup the initial investment required to build it |
| Focus group | A small group of people you can present concepts to in order to see how they react. Generally this will be a diverse group of people and you will have specific questions you’d like to get their feedback on. |
| Target User | A representation of a group of users with shared characteristics. |