Gideon Balogun

What you love should be your hobby, but what the marketplace needs should be your business. A business purpose is not to serve you but to serve the market. The needs of the market is priority and not the want of the startup. A product must meet market demands for a startup to be successful, constant inability of  the company to meet up with market fit will result in the total loss of the startup. Achieving a high customer satisfaction rate is important, if the startup wishes to remain in business.
Customers are always said to be right and that's why we will be explaining the importance of product market-fit for startups and also the significance of understanding the target market's needs and how to tailor products to meet those needs in order for Startups to thrive in a competitive market.
Understanding what the market needs, requires an extensive and comprehensive research into the behaviour, wants, likes dos and don'ts of the market place. Most startups begin by offering services and product that dont have value to the market, the company don't get to decide the product, the market place does.

What are the importance of product market fit for startups;

  • Customers contentment

 A startup that has achieved a product market fit is already satisfying a customer, by giving to the customer what they want, and this increases the customers loyalty


  • Advantage over competition

While other companies create random product , creating a perfect product for the market helps you differentiate your companies from others and this gives you an edge


  • Exponential growth

Customers acquisition is certain if the product meets markets demand, the growth of the startup is tied to their ability to serve the market place perfectly 

  • Creates interest in potential investors

Your startup productivity and ability to satisfy the market is always monitored by potential investors, meeting market demands gives investors confidence to invest into your startup


  • Business longevity

Achieving product market fit can help start up to stay longer in business due to the fact that they do not know what the market wants and the market also knows where to keep getting it from.


  • Efficiency is maximized

Product market fit helps you know where to channel the company's energy, finance and resources, this increases efficiency as resources are allocated properly


  • Helps confirm the goal of the business

Achieving product market fit helps a business to know that they are on the right track  a business are provides what's the market  needs and confirm that they are producing the right service or product


Achieving product market fit will determine the longevity of the business and if the business will thrive in the marketplace it is the bedrock of building a startup

Significance of understanding the target markets need

  • Customers retaining

A startup that constantly delivers values and meets market needs is more likely to retain customers. In the long run the market remembers who delivered the highest satisfaction rate

  •  market filtering

Knowing what the market wants helps the startup to know who their ideal customers are, this helps them filter the market to know who to target when selling. Knowing the right audience to target is a great way to save marketing budget

  •  product improvement

Products can be improved in regards to what the marketplace is asking for. Understanding this helps startups to be able to streamline their products to meet the market's demand.

  • Customers personal desires

Leads can be generated by understanding what the customers personal desires are.Product market fit helps startups to know what and how they are IDEAL customers desire their products

  • Advert maximization

 understanding the product markets fit can help the startup no where to direct their campaigns and adverts to, marketing budget can also be properly maximized 

  • Overall business growth

Making customers priority affects the overall health of a business. from the advertisement, to market filtering to product development or enhancement All affects the growth of a business

significance of tailoring products to meet those needs in order for startups to thrive in a competitive market

  • Advantage over competitors 

It is easy for startups to gain advantage over other companies when their product meets with the demands of the market, a well tailored product will create a competitive edge.

  • Market significance 

The market place is constantly changing and the only way to remain relevant is to provide well tailored service and product to the marketplace, startups that serve the marketplace well are bound to become significant.

  •  Sales growth

Static sales in a competitive market is not sustainable for start-ups, meeting up with market demands in a good way will exponentially increase sales.

  • Constant innovations

Creating a tailored product to meet market demands requires constant feedbacks, feedbacks help startups to become innovative and evolve to meet up with the market

  • Brand loyalist

Customers can go from just regular buyers to becoming loyal to your brand, if the product is tailored to meet their demands. Increasing brand reputation can be achieved through tailored products.

  • Business longevity

Meeting customers' demand in a well tailored way can ensure the sustainability of the startups, the more the marketplace keeps placing orders due to previous satisfaction, the longer the startup will stay in business.


In conclusion, tailoring products to meet the needs of the  market is necessary for startups to grow in a competitive market by providing a competitive edge, increasing customer satisfaction, driving sales and revenue, fostering brand loyalty, ensuring innovation, and ensuring long-term sustainability and success.

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