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| 1 | +--- |
| 2 | +title: How to Build a Developer Tools Startup - Insights from Nicolas Dessaigne |
| 3 | +description: Starting a developer tools company? Nicolas Dessaigne, co-founder of Algolia, shares actionable advice on how to build, sell, and market dev tools, from idea to MVP to sales. Whether it's creating an open-source framework or crafting a developer-first marketing strategy, this blog breaks it down for you. |
| 4 | +pubDate: "2024-11-27T19:00:00+05:30" |
| 5 | +heroImage: "/blog-assets/How-To-Build-DevTools-Company-Nicolas-Dessaigne.png" |
| 6 | +author: "Nicolas Dessaigne" |
| 7 | +tags: |
| 8 | + - Coaching |
| 9 | +--- |
| 10 | + |
| 11 | +Nicolas Dessaigne’s talk at Y Combinator Startup School focuses on building developer tools startups. He covers key topics like forming a founding team, choosing the right idea, building an MVP, go-to-market strategies, and selling to developers. He emphasizes the importance of learning quickly, launching early, and leveraging a developer-first approach in both product and marketing. |
| 12 | + |
| 13 | +Here are the highlights: |
| 14 | + |
| 15 | +1. **Founding Team**: Developers should lead, as they understand the audience and their needs. Non-technical co-founders aren’t a necessity. |
| 16 | +2. **Idea Selection**: Runtime tools like APIs are critical and scalable, unlike build-time tools, which are often "nice-to-have." |
| 17 | +3. **Building an MVP**: Build fast, prioritize iteration, and avoid overengineering. |
| 18 | +4. **Sales & Marketing**: Founders must sell initially. Engage directly with developers and focus on community-driven, non-intrusive marketing. |
| 19 | + |
| 20 | +<iframe style="width:100%; height: auto; aspect-ratio: 16/9;" src="https://www.youtube.com/embed/z1aKRhRnVNk" frameborder="0" allowfullscreen></iframe> |
| 21 | + |
| 22 | +## Key Takeaways |
| 23 | + |
| 24 | +### Start Now, Iterate Quickly |
| 25 | + |
| 26 | +Waiting for the perfect idea is a mistake. Build a quick prototype, even if it's rough. Nicolas recalls demoing Algolia to its first customer with just a command line and a basic webpage—and still closing a $2,000/month contract. |
| 27 | + |
| 28 | +### Choose Scalable Ideas |
| 29 | + |
| 30 | +Ideas tied to runtime (e.g., APIs like Stripe) tend to scale better as they’re critical to operations. Build-time ideas like QA tools can work but often face intense competition. |
| 31 | + |
| 32 | +### Launch Early and Often |
| 33 | + |
| 34 | +Use platforms like Hacker News to test your ideas and gather feedback. Nicolas mentions how companies like Segment and Ollama used repeated launches to fine-tune their products and gain traction. |
| 35 | + |
| 36 | +### Engage Users Directly |
| 37 | + |
| 38 | +Developers often avoid customer-facing roles, but Nicolas insists it’s critical. He shares how Stripe’s founders sat with customers, coded alongside them, and gathered invaluable feedback. |
| 39 | + |
| 40 | +### Open Source Thoughtfully |
| 41 | + |
| 42 | +Open source works well for frameworks and data-sensitive tools but needs a monetization plan, such as hosting or advanced features for enterprises. |
| 43 | + |
| 44 | +### Developer-Centric Marketing |
| 45 | + |
| 46 | +Documentation is marketing. Developers hate being "sold to," so prioritize clear, helpful resources and authentic community engagement. |
| 47 | + |
| 48 | +### Founder-Led Sales |
| 49 | + |
| 50 | +Early sales should come directly from founders. Nicolas notes that 74% of Y Combinator’s dev tool companies were founded by tech-only teams. |
| 51 | + |
| 52 | +## Examples from the Talk |
| 53 | + |
| 54 | +* Algolia’s MVP: Initially just a command-line tool and a simple search page, but it solved a niche problem effectively. |
| 55 | +* Stripe’s Hands-On Support: Early Stripe founders personally implemented their tool for startups to ensure satisfaction. |
| 56 | +* Hacker News Launch Success: Companies like Ollama and Segment gained momentum by showcasing their products on Hacker News and engaging with feedback. |
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