Slightly thrown off at first, I had to think about how to validate. In the past I designed a few mock-ups or landers and counted the amount of users that stayed on the check out page for more than X minutes. I would post it on boards or forums where my target market conversed and see what happened.
Knowing how much it sucks when you realize no one will buy what you've spent the last 6 months bringing to life, I decided against my previous methods and spent the last two days going from business to business selling my software prior to writing one line of code. I was honest and told all potential clients that the software is not built but will be in a month (enough time for me to build it). I offered businesses a 50% lifetime discount if they enroll in the presale today.
It started out rough, but I quickly dialed my pitch and was able to sell what I haven't yet built. I learned more about my market and some of the problems and needs my customers have. I've decided the sale I made and the overall response and interest is enough to go for it and build the software. Once it's done I've already got one customer and multiple leads who admitted they would like to try the service out once built.
Have you waisted a lot time and effort building for no one before?
How have you validated ideas prior to bringing them to market? What seemed to work and what didn't?