Home » Archive » I’d rather talk about $1 Million

, written by Jeremy. Read the commentary.

Back to perfect, one million one-dollar products vs. one million dollar products, and all these entail:

In my new job I spend loads of time with entrepreneurs. Included in the opportunity, I get to look closely at a multitude of ideas (of varying degrees of quality). One thing has shined through: It’s easier to sell a one million dollar product than a million one-dollar products.

To sell a million products you need:

– all the suppliers necessary to feed production;
– all the people necessary to handle the supplies, build the stuff, package it, and load it up;
– highly efficient production to actually build it all;
– hot distribution to get it from your door to where it is sold;
– someone to sell all that stuff; and
– identify 1,000,000 people, explain your product, convince them to pay what you’re asking, get them to go down to some store to wait in line while someone that’s paid $7/hr calls for price checks on every other one-dollar product for every other of the other 999,999 people in front of them.

That’s a lot of work for a million bucks.

Clearly that’s the ball-game that most of us are playing. And that explains my tiny house, crappy running shoes, my garbage cell phone, the busted-down stop-light outside, and why I feel a draft right now. We’ve got a world crammed full of a million-one-dollar type products.

But this also explains why it’s so much easier to sell a one-million-dollar type product.

First, it’s inheriantly rare. There isn’t the same competition. Toyota doesn’t tee-up Bugatti, they don’t even think about each other.

Second, it’s usually the product of genius. A world-class engineer, tailor, chocolatier vs. a high-school drop-out making minimum wage in a factory. One is made with a great deal of regard, the other can be made without even the primary human capacity of senient thought.

Third, when you only make a few, you make it at home. No multiple, generic factories here. Just one, high-end studio, lab, or shop.

Finally, the product sells itself. The story is interesting and people love to tell it. When’s the last time you chatted about your lint roller? But how many times have you talked about the Concord?

Commentary

Hey jer… I never talk about the concord… and fyi – even the concord went down… the million dollar product isn’t forever either…

Suv, you know what the concord is and even know that it isn’t and probably know because everyone was talking about it — which was my point.