For those inventors who have product ideas for the consumer market, unlike industrial or scientific fields of activity, there is a terrible new market for their creations; New Agora ,
Thousands of years ago, many people lived on isolated plots of land and tried to gain a self-sufficient life. They grew, grew animals, and did everything possible to process the available raw materials into the food and dishes they needed. Obviously, some of them did better than others, depending on the fertility of their soil, the weather, their skill with livestock and their knowledge of crafts.
Often, those who were part of a large extended family had many advantages over those who were alone. They helped in acquiring good land and animals and a knowledge base to help them thrive in their endeavors. As these families expanded their stocks, they became buyers of goods and services provided by those who did not own the land, but had the skills. These families became the first "target markets". Soon residential workers' villages arose to these family connections. These workers (peasants) exchanged their goods or their labor for products and products.
The barter system worked, but it had limitations. Firstly, it was often the market of sellers. There was a limited range of products on offer, and customers had to pay any price required or dispensed with. Secondly, the lack of competition means that poor quality goods can be sold, because buyers had no choice. Fortunately for the villagers, the sellers are always attracted to the “ready” markets, and soon traders from remote places came to them with the best goods and things that were not available locally.
There were still problems. First, when traders arrived, they had to inform all potential customers that they were in the city, which was not so easy in those days. Secondly, traders usually specialize in only one or two categories of goods, since they can transport so much. Finally, both buyers and sellers came to the conclusion that markets should be reliable for all participants. Then, as now, the sellers had to know that their customers would be ready and waiting for them to come after their long voyage ... and the buyers wanted to arrange a work schedule so that they could come to a certain place on a certain day and find what they bought. A clear need for a regular “market center” was realized. In ancient Greece, it was called the Agora. Usually located in the center of the city, the Agora had regular work hours and, as a rule, a place where it was possible to buy all the practical needs of life.
This concept of bringing suppliers and consumers together also led to the adoption of rules to protect everyone. Honest weights and measures, quality standards and the start of competitive marketing and pricing came from Agora. The first commercial rules were conceived along with the alleged "performers" of these rules. In addition, the main use of coins came from these original market places. Historically centralized trade was largely responsible for the arrival of the middle class, called "traders."
Information Rules of the New Agora
Today & # 39; s new Agora is the Internet, and places like E-bay are astonishing success. The same principles of the original Agora are still applied, but the number of vendors and the variety of goods available goes far beyond what has been in history. Indeed, the millions of shoppers who shop around the clock, seven days a week, also go beyond the imagination of our fathers.
But this is not only the size of the market, but also the new availability of information. Now it’s easy for consumers to compare prices, quality and product specifications with one click and really find out about the products they compare. It is equally easy to detect the reputation of sellers and see feedback from previous customers, in a word, to make informed purchase decisions.
Thus, sellers can quickly and efficiently target their products to the exact buyers they are looking for. They can also easily stay up to date with their competitors' products, pricing and marketing. Does this mean that every seller is equal? It's my pleasure! The art of promotion, the ability to find new and unique products and marketing skills to transfer these target customers to your e-shop first ... and the knowledge of how to motivate them to buy Now , still separates market leaders from others.
Inventor features
Here the inventor or innovator has a great opportunity. Every seller wants to offer unique products to stand apart from the crowd. Offering a product that no one else can provide is a rare coo in any type of retail ... especially online. If you are interested in the established seller on E-Bay, the one who has earned a decent reputation and has high traffic on your pages, you are ahead of the game! But even a new, unknown seller (for example, you) can work very well in Direct Marketing if you can do the following:
- Write a copy of the Feature / Benefit, which is actually demonstrates unique features of your product;
Great example: "I threw the Stealth CB radio out of my shirt pocket, and it was completely hidden in my hand." No one ever noticed that I made a call! ”
- Ideally, you should re-embed the benefit annotation using a short video clip showing the characteristics you describe, as well as the ease of use of your product.
- Show testimonials from real people who affirm the unique advantages and value that you demand; it is very important to have a photo of the witness or at least their URL of the website on the credibility certificate.
- Send your price, indicate how much a standard product a customer needs to get similar results or what it will cost to get equal efficiency in another way, or if your product offers ONLY a way to get the stated benefit, explain these values in dollars to the customer along with the possibility of time and or improved qualities offered only by your product.
- The best way to sell most products is a “hands-on” demonstration. Although you cannot do it online, the Money Back guarantee, in fact, offers a free trial for the client, because you are sure that they will be happy, you are ready to take all the risk. it must for selling a new product.
Make money with your invention?
While I published a series of articles on how to navigate the traditional path from creating a new product to manufacturing without the simplest steps, some types of new products can take a “speed” approach and go straight to the end user. The fastest, least expensive carrier for this is the network. However, professionally made commercials, direct mail and print ads can also be effective ... but they have much higher forward costs and require more time and repetition to become effective. Can your new product succeed through direct marketing? Here are some recommendations.
If you once conceive an idea and can create a viable prototype for a few days ... because it is a simple idea or because it is a natural, even obvious thing in your area of expertise, you can race directly to a new Agora. The trick is production. Can your product be made of easily accessible, finished parts? If so, you only need to start a small assembly operation. If this sounds like something you can do, read on!
I made a few of these assembly companies at the beginning of my career and made a lot of money. I never intended to start a life for the rest of my life, just make money for a while, and then move on to the next one. Oh, if only there was the Internet! An additional advantage of these small companies was that I started building my “brand” in the market, and I became known to some banks as a good risk for business loans.
Please note that marketing a new product without providing or at least partial access to a patent is very risky. Given this “reservation,” here is an example of how Direct Marketing can work based on my very first enterprise of this type.
Inspiration in the dark
I had a moment of inspiration when I tried to find paper in a dark garage using an ordinary flashlight. I could not find a way to hold the light, using both hands to search. There was no convenient place to place where it would provide sufficient lighting, and several times it rolled off from the best resting place. The last time this happened, the flashlight broke, and I was actually left in the dark.
I realized that I needed a square light with a hook, so I could either install it without leaning back, or hang it from a high point. I also needed a broad, even illuminated pattern, and not a spot of light. Finally, I thought that many users need a really durable case that would not be easy to break.
There were lanterns on the market, but they were expensive and posed a fire hazard. So I thought a little and talked with several friends who were in different manufacturing plants. In just a few days, I had a sketch of what I wanted, and I learned about small fluorescent lights. They require less energy, the last very long time and create a wide picture of uniform lighting.
Another research day, and I discovered a new type of rechargeable battery, called the Gel Cell, that could survive any other rechargeable battery, require more recharge cycles than other available batteries on the market, and produce more energy, providing longer use.
Finally I learned about sand castings. This is an old technology that can make a thick steel case for a part of the original design and the cost of making a standard injection molding process that is used to make plastic cases. Attaching a three-sided casting to a steel spine, which had a base plate and a top plate, gave me my heavy-duty fencing. A curved quarter-inch piece of thick, high-strength glass Plexi finished my case design.
As it turned out, the most important feature of the product was an accident. A friend of mine who made circuit boards had a design on a shelf that was made for hard rechargeable emergency lights used in schools and hospitals. He made a quick modification for the 12-volt power system, plugged in the cord, and I was ready to go. The coincidence was that the circuit automatically turned on the light if power was turned off. I just came up with the first one portable safety light!
My total investment in the first launch of 100 units was $ 2,700, plus teamwork, which was about $ 2.00 each. My friend Cave Me uses a 700 square foot room with 5 work benches and some chairs.
My first marketing effort for Redi-Light was a small print ad published in several outdoor magazines. I spent about $ 100 for these ads and received 37 orders, priced at $ 29.95. All prepaid with the promised delivery of 4-6 weeks. This will save me a quick $ 1,100.00 and time to set up and improve the assembly and packaging processes. I doubled my ads in 8 magazines and got a real surprise! One of these publications was Spelunker Magazine, which served the community to explore the caves. They were looking for this type of light ... I received 128 orders from them and 51 more from other magazines!
We increased production to 300 lights per month, and I did an excellent job. Then another surprise! One of the cave explorers owned a sporting goods store in Midtown, New York. He bought 12 units at retail. Two days after he put them on display, the famous massive blackout struck New York. He charged the lights before displaying them in the front window. When power came out, he had only working lights in New York! According to him, “my inventory was gone in a minute in New York!” He immediately ordered another 288, and I thought I was done! We even got a free entry in the NY Times!
Unfortunately, I did not patent the product, and some Japanese company "saw the light"! They broke into the production of plastic copies at a price of 19.95 US dollars. and they sold over a million in 3 months, only in New York! I stayed with my original market, which appreciated the solid construction of my Redi-Light ... but a lot of money went to Japan.
I may have responded to anger at this unpleasant surprise, and I, of course, considered my options, but the truth was clear. I simply could not increase my products from 300 units per month to 250,000 per month in a few weeks in order to fulfill orders from major retailers.
Moreover, even if I had patented this product, I would still lose those quick sales. My competitor just made me "figure out" the production and financial resources! You see, large retailers buy under contract with very specific delivery dates and many other legal codecs that would cost a lot and take a time that was not available.
As for the patent “protection,” I would have to pay to ensure that my patent was covered in Japan, and also in the United States, at first, with a costly and speculative validity period. Then I would have to apply my patent both in the United States and in Japanese legal systems. In short, the little guy usually loses in these situations.
The standard way to protect a patent is to first identify the owner of the abusive company, and then find the appropriate people to notify in that company. Their likely answer will be to deny any conflict, and then file a lawsuit aimed at refusing the validity of the patent. As a rule, it costs at least two years and more than a million dollars to protect a patent, especially against a foreign company.
In the end, I was able to sell my entire inventory in a few months, and I received more than 120,000 dollars in profit ... plus I learned a lot! Keep in mind that protecting your intellectual property can make the difference between getting close to millions or only thousands of dollars in profits, but only if you can afford to go through the patent process and have the time and money to protect your rights!
If you really invented the “first of them” product or the product of “improvement” that makes an existing product better, or a “replacement” product that does what 3 separate products are doing now, also think about how you should market it. The right kind of product can bring you more profit in less time if you bring it directly to New Agora.
