This week we’re going over a checklist of what not to do/say/think when starting a new business or creating a new product.
I’m calling it The "I’m Doing Everything Wrong" Checklist.
This checklist was inspired by a 10 minute conversation a close friend (and world class marketing consultant) had with a friend-of-a-friend – and could provide an "ah-ha!" breakthough moment in your business if you’re feeling stuck.
Red Flag #2: "There aren’t any other products like mine on the market"
This is very similar to the red flag I covered yesterday (the line "my customer don’t know they want this yet").
One of the first questions I’ll ask someone who’s looking to make a new product is, "What other products are on the market that are similar to it?"
More often than not they’ll smile and say, "There aren’t any other products like mine on the market."
And that’s because of what I mentioned yesterday: most entrepreneurs are obsessed with having an ultra-original, so-clever-it-hurts idea for their products/services.
(I used to be too, so I’m not picking on anyone here. We’re bombarded with stories of clever business ideas that made billions, but never hear anything about the thousand boring-but-simple businesses that all look alike and also make billions.)
But like I just alluded to above – the most profitable ideas are generally what people are ALREADY paying for… just 10% different to cover a slightly different set of needs.
So if there aren’t other products like yours on the market, I’d highly recommend you reassess what you’re making – because competition is GOOD.
Competition is a sign that people are actually buying the kind of product you plan on making – and thus there’s room for you to make money too.
In fact, competition is a sign that the market is big and full of money.
If there’s no competition, chances are strong that there’s simply no demand – and you’re going down a path that’ll end in hurt & despair.
(Or, in the extremely rare case, you really are about to discover a totally untapped market and make a killing. I’ve seen it happen. But it’s not how I do business anymore – these days I’m all about boring and reliable systems that guarantee success. And I’m guessing you’d also rather have a boring and predictable business that rakes in cash rather than taking one-in-a-million moonshots over and over.)
This brings us to the third check on The "I’m Doing Everything Wrong" Checklist – coming your way tomorrow. And I have a feeling it’s something you’ve said before (and, if you’re struggling right now, probably said in the past week).
Talk then!
— Derek