A Smart Bear: Startups and Marketing for Geeks

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Solving the "marketplace" business model

A Smart Bear: Startups and Marketing for Geeks

In fact, 3 of the 10 selected companies from the past two years has followed this business model. After all, the value proposition to the sellers always boils down to "You'll make more money," whether that means a new sales channel or a way to monetize surplus inventory. Maybe it's the "go big or go home" mentality?

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Why it’s nice to compete against a large, profitable company

A Smart Bear: Startups and Marketing for Geeks

They have everything: money, brand, momentum, existing customers, press, product teams, distribution channels, expertise, market insight, analysts, sales offices, product features, and, by definition, a working business model. A big, profitable company seems like the hardest thing for a small company to compete against.

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Laws of 10x found everywhere. For good reason?

A Smart Bear: Startups and Marketing for Geeks

Here’s a slew of examples to guide you: Business models change based on pricing in roughly 10x increments. Your best marketing channel is often 10x the productivity of the next-best. Great people are more than 10x better than average. SaaS returns in a market are a power law; winner can take 10x the profits of the next.

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Smart Bear Live 8: Edwin from MeetingKing.com

A Smart Bear: Startups and Marketing for Geeks

Edwin: Oh sorry, so the business model. Edwin: The business model is that the organizer has to pay. Patrick: You can channel Cathy Sierra on this and say that the users, you become a Meeting King. Is there a repeatable advertising channel that’s going to get you people? But listing these things?

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The *real* pivot

A Smart Bear: Startups and Marketing for Geeks

You change one thing about your business –maybe it’s the business model, or pricing, or target market– and see what happens. Evaluating Your Business Model I like to use a Lean Canvas as a forcing factor to ask myself, “Do I really know what the hell I’m doing?”

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