How to identify and validate a real customer pain point for a scalable business idea? - Part 1
Discover how to identify customer pain point and build scalable solutions that drive significant revenue. Learn to validate unmet need, test markets, and craft sticky, risk-free, affordable products.
It all started with a problem. Not a small one — a big, frustrating one.
I was stuck in a loop. I’d read countless blogs, books, and posts on “how to build scalable solutions” but ended up with more questions than answers.
Everyone said things like “validate your idea” or “find product-market fit.” Great advice, but I didn’t know what exactly to do.
A few months back, I met a friend — a fellow entrepreneur. He told me:
- “I have this great idea, but I don’t even know if it’s solving a real problem.”
- “What if I spend months building something, and no one wants it?”
That hit me deep. I’d been there before — investing time, money, and energy into an idea, only to realize the need wasn’t big enough or urgent enough.
His struggle got me thinking:
- Why don’t people talk more about the process of figuring this out?
- What if there was a way to simplify it into actionable steps?
I sat down and started mapping out everything I knew:
- How to validate problems.
- How to test if people will actually pay.
- How to position your product or service so it stands out.
It felt like solving a puzzle. I realized, “This isn’t just about building a product. It’s about building confidence.”
I wrote this newsletter based on that frustration. I wanted to create something that:
- Cuts the fluff. No jargon, no overcomplication. Just clear, actionable steps.
- Shares real examples. Because theory is useless without practical stories.
- Speaks to builders. The ones grinding late at night, trying to figure out what’s next.
I wrote this to help entrepreneurs, founders, and creators avoid the mistakes I’ve made. To give you the clarity I wish I’d had when I started.
Because building something scalable doesn’t have to be extremely difficult. With the right tools and mindset, you can create something people not only need — but can’t live without.
That’s why I wrote this newsletter. To help you get there faster.
I have divided this topic into a 2 part newsletter series… We are going to cover following topics below
1/ What happens when you build for a need that doesn’t exist?
2/ How to spot a real need and build a scalable solution
3/ Steps to validate a Problem Statement
And the following topics in the next part…
4/ Validating a Market and Sub-Market: The Playbook for Finding Buyers Who Feel the Pain
5/ How to Validate Pricing That Reflects Value
6/ Steps to Make Your Product Differentiated, Risk-Free, Affordable, and Sticky
7/ Thinking Frameworks and Structured Processes for Building a Scalable Solution
What happens when you build for a customer pain point that doesn’t even exist?
What happens when a business creates a solution without validating the need? - It wastes time, money, and credibility — and lasts the real opportunity.
Let’s break it down.
Impact Matrix: Consequences of Building for an Unvalidated Need
1. Wasted Time
- You spend months (or years) on assumptions (and invest lot of time in product development) , not facts.
- Those hours? They could’ve gone toward refining a problem people actually care about.
2. Financial Loss
- Marketing dollars vanish into thin air when no one actually even pays.
- Development costs? Goes into features that no one uses.
3. Brand Damage
- Launching a useless product makes you the company no one trusts.
Example - B2B: Targeting the Wrong Market
A SaaS startup built a tool for “small business CRMs,” thinking it could scale easily.
The problem? SMBs didn’t have the budget or urgency for the product.
Outcome: High churn, low ARR, and a pivot too late.
What could’ve been better?
- Early interviews with enterprise clients.
- Testing pricing with decision-makers who feel the pain.
Example - B2C: An App No One Needed (Solved No Pain Points)
Remember Color ? A photo-sharing app raised $41M before launch.
The problem? They assumed users wanted another way to share pictures.
Outcome: Nobody downloaded it. Users didn’t care because Instagram already owned the space.
What could’ve been better?
- Testing if users felt a gap in existing platforms.
- Launching a small prototype first (before burning $41M).
KPIs: What fails early tells you everything
- Churn rate: Users leave because the product doesn’t solve a pain point.
- Trial-to-customer conversion: Low signups mean weak product-market fit.
- Word-of-mouth growth: If no one’s talking about you, you’re solving a quiet problem.
Pitfalls to Avoid
1. Skipping User Interviews
If you’re not talking to your target audience, you’re guessing.
- Questions to ask: “What frustrates you most about [problem]?”
- Answer you’re looking for: Identify Customer Pain points that keep them up at night.
2. Over-Relying on Surveys
Surveys are great, but they lack depth.
- A survey says what the problem is. Interviews tell you why it matters.
3. Biased Data
Friends and family saying “it’s a great idea” isn’t validation.
- Look for: Strangers willing to pay, cry, or complain about your problem.
The path to a scalable business starts with listening.
Test your assumptions, talk to your users, and let their pain guide your solution. Anything else is just noise.
How to spot a real unmet customer needs and common pain points?
Solving a real need starts with one question: What’s truly broken? If you can answer that and prove it, you’re halfway to building something people can’t live without.
Here’s your step-by-step roadmap to finding that goldmine.
Step 1: Talk to People (Customer Development Framework)
Before you build, listen. Real people will tell you their pain if you ask the right questions.
How to Do It:
Talk to 30–50 potential users.
Focus on open-ended questions (for market research) like:
“What frustrates you about [problem]?”
“What do you do when [specific pain point] happens?”
“What have you tried to fix this?”
Example:
You’re exploring solutions for remote team management. You interview team leads and find this recurring pain: “I spend hours trying to track what everyone’s working on.”
Pro Tip:
Dig deep. Keep asking, “Why?” until you hit the emotional root of their frustration. That’s where the real need lives.
Step 2: Use JTBD (Jobs-to-Be-Done) to uncover their needs / customer pain points
People don’t buy products. They hire solutions to get jobs done.
How to Apply JTBD:
- Ask yourself: What are they “hiring” to solve this problem today?
Example:
- A manager isn’t buying “project management software.”
- They’re hiring a tool to reduce chaos and show progress clearly.
Think in Jobs, Not Products:
- People don’t buy a mattress; they hire a good night’s sleep.
- They don’t buy noise-canceling headphones; they hire focus and quiet.
Step 3: Spot Patterns to identify unmet needs
Now it’s time to connect the dots. You’re looking for themes across all those interviews.
How to Spot Patterns:
Look for phrases people repeat, like:
“It’s a nightmare when…”
“I hate how long it takes to…”
Ask yourself:
Is this problem universal? Does it affect 50%+ of your potential customers?
Is it critical? Would people pay to fix this today?
Example:
If 7 out of 10 team leads say, “Tracking progress is a headache,” you’re onto something big. That’s a pattern you can’t ignore.
Pitfalls to Avoid:
- Mistaking convenience for urgency. A “good to have” solution won’t make people pay.
- Ignoring outliers. Focus on problems that many people face, not one of the rare ones..
Step 4: Define KPIs (To understand types of customer pain points and validate your startup idea )
Validation is numbers. Here’s how to measure if you’ve identified a real need:
KPIs to Track:
1. Acknowledgment Rate
- % of interviewees who agree it’s a top 3 problem.
- Aim for 70%+. Anything lower? Dig deeper.
2. Pre-Pay or Early Commitment
- Will they sign up for a beta? Pre-pay for a solution?
- If people hesitate, the problem may not be urgent enough.
3. Emotional Heat
- Do their eyes light up when you talk about solving the problem?
- Are they desperate to know, “When will this be ready?”
Step 5: Avoid the Classic Pitfalls (That every business initially face)
Here’s where most people go wrong (and how to dodge these traps):
1. Mistaking Convenience for Urgency
- Example: “It’d be nice if…” isn’t the same as “I need this now.”
- Fix: Only prioritize problems people can’t ignore.
2. Relying on Surveys Alone
- Surveys tell you what, but not why.
- Fix: Use interviews to uncover emotions and context.
3. Small Sample Sizes
- Talking to five people doesn’t help.
- Fix: Commit to at least 30 interviews for finding meaningful patterns.
Finding a real need takes patience, but the payoff is huge. Your job isn’t to build a product—it’s to solve a pain so sharp for which people don’t mind paying..
Ask. Listen. Validate. Scale. That’s how you build solutions people love.
Validate your startup problem statement: Ways to Identify your Startup Idea
How do you know if a problem is worth solving?
You need to ask the right questions, test the severity, and confirm it’s something people can’t ignore.
Here’s how to validate a problem statement step by step.
Step 1: Test the depth of the problem
You’re not looking for distractions… you’re looking for what keeps people up at night.
What to Do:
- Conduct problem interviews. Talk to 20–30 potential users.
- Ask open-ended questions:
- “What happens if this problem isn’t solved?”
- “What’s the worst-case scenario if you don’t fix it?”
- “How are you dealing with this today?”
Example:
You’re exploring burnout among remote workers.
One person says: “If I don’t fix this, I’m quitting my job.”
That’s not frustration—that’s urgency. You’re onto something critical.
Pro Tip:
Listen for emotional language—words like “hate,” “stuck,” “can’t stand.” If users are passionate about the problem, it’s real.
Step 2: Score the Problem’s Criticality
Some problems are nice-to-solve; others are must-fix-right-now. You need to identify and separate the two.
How to Score:
Rate the problem on:
1. Urgency: Does it need solving today or next year?
2. Frequency: How often does it come up? Daily? Weekly?
3. Impact: How much does it cost (time, money, stress) if unresolved?
Example:
Let’s say you’re rating the problem of remote team miscommunication:
- Urgency: 8 (teams need clear communication now).
- Frequency: 9 (it happens every day).
- Impact: 7 (lost productivity, frustrated employees).
With a total score of 24/30, this problem is worth solving.
Step 3: Offer a Low-Cost Pilot Solution
Before going all-in, test your solution. A prototype helps confirm whether people will pay for a fix.
What to Do:
- Co-create with early adopters. Build a minimum viable product (MVP).
- Example: If the problem is remote burnout, offer a workshop on managing stress.
Test the Waters:
- Charge a small fee or ask for a time commitment.
- If people are willing to invest, the problem is real.
Pro Tip:
Your pilot doesn’t have to be perfect. People care more about the problem being solved than a polished solution. Customer Experience comes after Problem Solution Fit.
Step 4: Track KPIs for Validation
Use data to confirm whether your problem-solving effort is actually helpful.
KPIs to Watch:
- Top 3 Problem: What % of users rank it as one of their biggest issues? Aim for 70%+.
- Pilot Commitment: How many people sign up for your test solution?
- Engagement: Are users sticking around, asking questions, or giving feedback?
Example:
You run a beta for your stress management app.
- 80% of users say stress is their 1 concern.
- 50% sign up for the beta.
- Engagement is High.
You’re on track to solving something big.
Validating a problem is about asking the tough questions, spotting patterns, and proving that people need what you’re offering. If you can’t prove urgency, frequency, and impact, the problem isn’t worth solving.
So don’t rush. Talk. Test. Validate.
Because when you solve a real problem, growth isn’t a question—it’s a guarantee.
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SaaS Conversion Strategies - Activation, Engagement, and Monetization - Part 2
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