leave with: a first-market comparison and an expansion test with a stop rule
allow: 45 minutes
choose one next market to understand
begin with a specific customer problem that appears to extend beyond south africa. compare potential markets by customer need, access, alternatives, willingness to pay and practical delivery constraints. document why one market deserves the next test. a large population alone does not tell you how many customers you can reach.
separate desk research from conversations with likely buyers and from actual commitments. date the evidence and identify where your current customer base is an unreliable guide.
test what transfers
write two lists: what might travel and what must be rebuilt. the first might include core technology, product knowledge or a repeatable workflow. the second might include distribution, local integrations, language, support, approval processes and customer trust.
an advantage that depends entirely on a founding relationship may not repeat. show how the business could win when that relationship is absent. describe the local alternatives customers already rely on, including doing nothing.
explain the cost of reaching and serving customers
model the route from a first conversation to collection of cash. distinguish initial setup from recurring delivery, and include partner economics, support requirements, payment timing and the resources needed to manage the market.
use a base case and a slower case. if approval, sales or collection takes longer than expected, which commitments can you defer and what happens to the runway? have the relevant specialists assess legal, tax, regulatory and contractual requirements for the actual market before making commitments.
write a market-entry experiment
- customer group and problem: who is the first buyer, and what evidence suggests the need?
- route to access: who can enable a legitimate conversation or pilot?
- local adaptation: what must change for the product to be useful and supportable?
- commercial test: what behaviour would show meaningful willingness to adopt and pay?
- resources and limits: who owns the test, what can it cost and when will it be reviewed?
- decision: what result supports expansion, further validation or stopping?
how this connects to our thesis
international potential is shared across lab2sky’s venture builder, startup support and planned series a strategy. at the idea stage, a plausible hypothesis can begin the work. a growth-capital case should carry stronger evidence and an explicit role for the proposed investment.
existing overseas revenue is not a universal entry requirement. we want to understand why the customer need could extend beyond the first market and what a responsible next step would require.
the software travels; the route to the buyer may not
worked example · illustrative
a fictional south african workflow company compares two possible next markets. one has familiar language and strong inbound interest, but buying is concentrated through a channel partner. the other has a larger estimated customer base but needs an unfamiliar integration and local support. neither wins simply because its population is larger.
what this changes: the team chooses a limited channel test in the first market. it records partner incentives, access to customer learning, delivery costs and the dependency created by one distributor. the second market remains an option pending better evidence.
put it to work
allow: 45 minutes
leave with: a first-market comparison and an expansion test with a stop rule
- compare two markets using the same headings: customer need, buyer, alternatives, access, adaptation and delivery cost. mark unknowns explicitly.
- list what transfers from the first market and what must be rebuilt. assign an owner to the most material unknown.
- define one permitted buyer conversation or pilot that could challenge the entry hypothesis. write a budget cap and review date.
- model a slower sales and collection case. decide what spending stays deferred until the test produces useful evidence.
these are lab2sky’s working questions and assessment approach. examples are illustrative unless explicitly identified otherwise. how we write our guides