In this episode, Finn and Michael talk about Finn’s latest thinking and insights about the business he is planning. Despite being on holiday, Finn’s business brain is still working hard, a situation most entrepreneurs can relate to. A lot of the work that goes into a business, particularly in the early stages, is mental. We dream, plan, and learn.
In Finn’s case, he has been combining work and play and looking to see how he can learn some business lessons from the products and services he uses himself. And the first of these is how he uses his PS4. He talks about the attraction of subscription models for both consumers and suppliers. He then continues on the topic of games and gaming, by comparing the new and second-hand markets for games and accessories.
He is beginning to reflect on his own experiences and those of people he knows. He’s starting to understand how companies spot the profit potential in different markets, and what they need to do in terms of advertising and building their reputations in order to create a viable, sustainable business.
Finn has a lot of consumer experience, and he is beginning to put this to good use in thinking about his own business. He is asking himself interesting questions, such as ‘What makes a good product?’ and ‘How do companies promote their products?’ but also, maybe more importantly, ‘What makes a good business?’ He’s becoming more aware of, for example, the power of reviews. He explains how he, as a consumer, will use reviews when he is considering a purchase and reflects on how they can affect the business and the bottom-line.
Beware of bargains
In recent weeks, Finn has begun experimenting with using some popular well-known online sales portals to find out what works and where things can go wrong. He has both bought and sold; he has looked into different portals and their strengths and weaknesses, and he has both made a profit and lost out to a scammer. He has learnt some valuable lessons from his successes and reframed ‘failure’ into a different learning experience.
He discusses the old saying, ‘If it’s too good to be true, it probably is.’ While we all love a bargain, sometimes we need to evaluate how much of a bargain it really is, and this ties in with his earlier observations about reputation and the need to create repeat business and referrals, increasing the bottom-line.
It has also raised his awareness of terms and conditions of sale, purchase, delivery, guarantees and refunds. All important elements that he will need to build into his own business model.
Finn has already begun thinking about how he can make sure his business will be successful from day one. An important part of any business venture is to be sure there will be a market for the product you want to sell. Finn turns this around and is finding out what people want to buy. Rather than designing a product and looking for the consumer, he is asking consumers what products they would like him to find for them.
He is also thinking ahead to how his business may develop in the future. He is aware that it can start small and grow, but that will need planning and direction. He already has some ideas as to how that could work. That’s thinking on bottom-line profitability.
To Recap: bottom-line
It may be school holidays, but the lessons are far from over, and Finn’s learning is advancing rapidly. This episode is full of valuable insights for anyone who is thinking about, or in the early stages of, setting up their own business. Be sure to listen in to share Finn’s journey and pick up your own lessons and follow the series for more insights.
Michael CraneEntrepreneur, Business Owner, Presenter
For the last twenty years, Michael has built and run a successful business. He’s learned many lessons—some of them the hard way—and he’s met and talked with many other businesspeople. He’s sold thousands of products and learnt the one hundred and one things needed to run a thriving business. Now he’s bringing this knowledge and experience to educate, motivate and inspire other entrepreneurs.