Market-led and Product-led Scenarios, and Lesson on Customer Validation [video]

There are two main scenarios in markets and they could be classified as market-led and product-led. In a market-led scenario, everyone understands clearly that there is a need in the market to provide a product or service to fix a specific problem for customers. A good example was during the pandemic when the market was asking for a covid vaccine. Yes, the market was ripe for vaccines and the government would pay for vaccines.

In a product-led scenario, you have “products” built with no clear readily available market for them. In other words, the playbook is to introduce the “product” and then hope for the customers to come. Think of when Facebook launched VR sets, and then expected for customers to line up for them. That did not happen.

That product-led scenario is like seeing a door staged like an entrance to a restroom with companies lining up to compete to enter the door for economic liberation. Unfortunately, the door does not lead to anything because there is no market at the other side. Simply, companies are competing for a market that does not exist, wasting and destroying value along the line.

This is the reason some zen-masters will ask builders to check first before building. And that means, shake the door to know if there is really something (customers) behind before you even get to the market-door!

Register for Tekedia Mini-MBA (June 9 – Sept 6, 2025), and join Prof Ndubuisi Ekekwe and our global faculty; click here.