Wednesday, November 9, 2011
Converting Product to Profit
How do you turn product into profit? It seems that some business these days have the same business plan as the underpants gnomes. Phase 1 obtain product, Phase 2 ? Phase 3 make profit. The only idea these businesses have is to sell the product at high prices and not make anything special about it. Part of becoming a successful business is standing out from the competition. You have to make your business unique in its own way and in a way that appeals to the consumer as well. If we take a look at the underpants gnomes as an example they have phase 1 done, they have product. Now for phase 2 we have to look at what they can do to make their business or product different from every other underpants company on the market. How can they do this? Well seeing as how the underpants gnomes steel underpants to obtain their product one idea is to sell their product as used or in a more appealing term "broke in." Another idea could be to sell them at a lower price than the competition due to the underpants being used similar to how the price of a car comes down the more use it has. They could promote their company as going green for underpants by selling recycled underpants. Today many companies are not standing out and being different from the competition. They are facing the same problems as the underpants gnomes, having product wanting profit and not knowing how to connect the dots. A key concept to keep in mind when trying to make your business stand out is never say "No" to hearing an idea. Hearing ideas can only create more ideas you don’t have to implement them if they are not what you’re looking for.