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How to make a business that changes consumer behaviour completely

Kunal Shah, Founder Cred devised a new theory for startups called Delta. He mentioned that this theory help businesses grow drastically without putting much ads, thereby saving a lot on marketing budget.

How he arrived to this theory?

The biological principle behind this concept is, all of the humankind looks forward to the evolution i.e. an increase in their current efficiency. Once they reach that level, it’s highly uncertain that they will go back to their previous self. Keeping this tendency in mind, if we create certain product or service which completely changes our current behaviour and increases our efficiency, which will advance us - make us look like we are coming from the future, something totally unbelievable then that product/service is known as “Delta 4”. Therefore, the main features of a Delta 4 product/service are be:

  • Irreversible - as explained above, once you have reached an advance level, it is highly unlikely that you’ll go back. For instance, booking movie tickets online vs buying tickets at the counter.

  • UBP>USP – Once you have that product/service, it looks like magic to you & you will keep bragging about it, thereby making it viral. This makes these products/services market themselves without/minimal ads.

  • High Tolerance – Now a delta 4 product/service has already given you so much that you are ready to tolerate even some error or slight problem in execution.

However, such highly effective strategy could still fail, if:

  • Affordability, now your product could be a delta 4, but if you consumers can't afford it, it will fail. Any delta 4 product is a success if it is produced for masses, hence keeping the price affordable.

  • Readiness (Smartphones/Internet Speeds), you need to think about the ecosystem your delta 4 product requires, is it already there? If not, you won't be able to launch your product efficiently, for ex: If there are no smartphones, people can’t use Uber even though its delta4.

  • Learning Effort, your product must be easy to understand and easy to access. Remember, you are trying to ease out your consumers troubles, and not increasing them. Suppose, if your product requires some learning prerequisites, then it won't just go viral as you just narrowed down your consumer base.

  • Configurations, People usually tend to stick to their routine as they have made multiple updations to make their lives more efficient. For example, switching an operating system of phone or even changing your P.A. Therefore, if you want to make your Delta 4 product a success, try an area where these configurations are less to none.

  • Collective Participation, If there is already a product which has a cult like following or excessively large consumer base, just like whatsapp then also a new product with better feature will fail.

  • Brands becoming verbs - We are so tied down by our habits that if there is a certain product which we have been using for a very long time we tend to bring it in our daily language, thereby making it a verb. And once something becomes your language, it becomes part of a culture, making it very difficult to change. For instance, instagram me, facetime your friends or are you tindering?

Delta-4 Theory acts as a framework for startups to evaluate their ideas or even for products at hand, whether they are creating exceptional value and wealth or not.

Happy Reading!

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