Latest / Pitch to Product / The #1 Mistake That Kills New Product Businesses
Transcript
- Peter | Over-prototype: look at the entrepr I I'm gonna give you the the quick s lesson here on where people are wasting too much time and effort beyond and then money, right? Like this is about Utilizing the limited resources that you have to get your idea to successfully launch, right? Every time you do not properly do spend your money, when you I have conversation, I have more conversations every day with people that spent money frivolously because they believe they were making the right choices to move forward. Prototyping is probably the most dangerous one. And I get why, right? Prototyping is to evaluate if this product will sell. Now the challenge with the Prototype is that when you have the one or two or 10 and everybody wants to buy it, you can't move forward. So the whole process of doing all your due diligence is to figure out where the move forward process is and stop avoiding it or stop spending money to try and circumvent it. There is a difference between a prototype and a product. A prototype is something that you can make to demonstrate. It can be crude, it can be rude, it can be something you made in your garage, or you can spend hundreds of thousands of dollars to make it look like it is a product. That sounds like a fake it until you make it process, which people want to buy it, but you can't sell it to them. The same application would be met better suited once you make the decision that is this a good idea to actually do the same steps and the in the manufacturing process, right? Getting a product that you can replicate, reduce your cost. Turn into a business, that is the most important thing that everyone tries to avoid. And so let's just clear the air. If you have an idea, you do not make money on the idea. You make you make your money on turning your idea into a business product idea, right? It's an e-commerce business. How many people do you know have e-commerce businesses? Ask your friends, ask your family, have them teach you the business of e-commerce, which is also another trigger word, direct to consumer. If you have a prototype and a website and people are asking you, can I buy it? And you're going into your garage to make it every night and it takes you too long, and you're losing money because you're not allowed, you're not qualified, you know, you're not really calculating your time and effort into it. That's beyond like you should have started a product a long time ago. So that's the quick analysis that you need to do from a business perspective. Don't avoid it. Ask it because you will be more efficient instead of wasting time in a hobby process. Take the conversation to yourself or with friends and family or other business owners and say, what do I need to do to make this a successful business? The minute you have that mindset, you will be successful at launching a product.