Focus on Core, Not the Fluff: Build Products That Sell
Why Traction is Your Best Investor Pitch
Over the past two weeks, I met three first-time founders—two from technical backgrounds and one from product in a large org. They have been building in stealth, with one founding team working for almost two years. Now, they’re ready to raise €5-10M at a €25-50M valuation.
There was just one issue.
None of them had traction. Not a single customer.
Unfortunately, this mistake is more common than you’d think. Many founders believe that if they build a robust product—filled with impressive features—it will naturally attract customers. But here’s the reality: building alone won’t sell your product.
The real trap for founders? Getting distracted by bells and whistles too soon.
Think of Amazon. Started with laser focus on books in 1994 - perfected sales, logistics, and CX before expanding to other categories. Whole Foods opened their first store in 1980 and spent three years fine-tuning operations before expanding. Today, they have over 500 stores globally.
Here’s a framework to get you started:
👑 Define your Ideal Customer Profile and nail the top three problems you’re solving for them.
✂️ Scope your solution tightly to ship the first iteration in 3-6 weeks(! trim scope if longer). Some may take longer, but still aim for metric-driven weekly iterations.
🎯 Laser-focus on your core value.
If you’re building a supply chain visibility platform, ensure that core functions like material, data, and financial flows are seamless and reconcilable.
Similarly, if you’re building an AI prediction product, focus on achieving baseline accuracy that enables operational scaling before investing in polished interfaces.
Scaling prematurely—without a stable core, traction, or proof of product-market fit (PMF)—will lead to wasted capital and missed opportunities. Investors know this, and unless you have a remarkable track record, they won’t cut that check.
So, what should you do?
🏗️ Build your core and validate it.
🔊 Sell. Secure at least one paying customer before making further investments. Selling reveals what truly matters to your market and may surprise you.
Reflecting on the current investment landscape, as highlighted by Elizabeth Yin*, traction is critical. While "hot" sectors may still attract high valuations with less proof, start-ups outside of these spaces need meaningful traction—often at least $50K/month in revenue—to justify strong raises. Quickly testing the market and adjusting the approach based on feedback is crucial.
The path is hard, but focusing relentlessly on what matters makes all the difference.
⚓Traction is your best Investor Pitch. Build for Validation, not Perfection.
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* “The gap between pre-seed and seed is getting large.” - Elizabeth Yin on Twitter
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