In this episode of the DevReady Podcast, host Anthony Sapountzis welcomes Igor Portugal, Chief of Growth and Investor of Blacklock Security, as well as CEO of both octovox and Streamgenius. Igor is a serial tech entrepreneur with nearly 30 years of experience in the industry, and he shares his remarkable journey from founding several successful IT businesses in New Zealand to navigating both startup and corporate environments. As he reflects on his experiences, Igor emphasizes the unique challenges and rewards of being a startup CEO and the fulfillment that comes from building businesses from the ground up.
Throughout the discussion, Igor highlights the importance of carefully selecting business partners, comparing it to dating but with higher stakes. He shares valuable lessons learned from early failures, including a costly $20,000 investment that taught him what not to do in business. From New Zealand’s first Linux specialist practice to a successful IP telephony business, Igor’s diverse ventures span software development, cybersecurity, and telecommunications, showcasing his adaptability and resilience in the ever-evolving tech landscape.
As the conversation progresses, Igor shares critical insights about building solutions that genuinely address real-world problems. He cautions against developing products without thorough validation of the issues they aim to solve, as this often leads to mismatches between the solution’s cost and its significance. Igor stresses the importance of understanding the full cost of change, including hidden expenses related to implementation and training. He emphasises that successful customer engagement begins with identifying genuine user needs and evaluating the financial implications of proposed solutions, highlighting the necessity of thorough research and effective communication.
Anthony and Igor delve into the significance of user experience in product development, agreeing that even well-designed solutions can falter if they do not meet actual user needs. Igor recounts an early career experience where a visually appealing interface was largely ignored in favor of simpler communication methods. They both agree that while initial sales might be strong, ensuring active use and customer satisfaction is crucial for long-term success. Understanding and prioritising user needs emerge as vital factors in the success of any tech solution.
The conversation also covers common pitfalls faced by tech founders, particularly the tendency to create solutions without first identifying a genuine problem. Igor points out that many entrepreneurs rush to build prototypes, only to later struggle with market fit. He emphasises the importance of customer feedback and the need for a clear demand before seeking investor funding. Both reiterate that successful businesses often arise from addressing real user needs rather than simply offering attractive products devoid of utility.
Lastly, Anthony and Igor explore the unique challenges of operating in smaller markets like New Zealand compared to larger ones like Australia and the U.S. Igor notes that while New Zealand’s market is limited, companies must find ways to automate and optimise their operations for broader audiences. He explains that many Australian firms fail in New Zealand due to misconceptions about local market dynamics. Once a product-market fit is achieved, Igor advocates for seeking investment for expansion, noting that tech companies typically have greater growth potential than traditional businesses. The discussion underscores the importance of adaptation and continuous service expansion to maintain relevance and foster growth in any market.
Topics Covered
- Igor Portugal’s journey and experiences as a tech entrepreneur
- The importance of choosing business partners carefully
- Lessons learned from early failures in business
- Building solutions that address real-world problems
- The significance of validating problems before developing products
- Understanding the full cost of change in product implementation
- The critical role of user experience in product development
- Common pitfalls faced by tech founders
- The importance of customer feedback and demand for investment
- Challenges of operating in small markets compared to larger markets
Important Time Stamps
- Chief Everything Officer: The Reality of Startup Life with Igor Portugal (0:07 – 3:54)
- The $20K Lesson: Igor Portugal on How Not to Run a Business (3:55 – 10:20)
- Building Solutions for Real Problems: Igor Portugal’s Key Takeaway (10:21 – 16:08)
- Don’t Just Sell It—Make Sure They Use It! (16:09 – 21:37)
- Is Your Product a Solution in Search of a Problem? (21:38 – 29:10)
- Why Understanding Your Market is Crucial for Tech Startups! (29:11 – 34:37)
