The Biggest Crock Of Poop For Making Money
I want to address what I feel is the biggest MYTH about making money. It's time that someone that has "been there and done that" MANY MANY TIMES comes clean and gives the real scoop...
(And, yes, I felt inspired to make a 2nd entry for the new blog on the first day.) :-)
The Single Most Important Thing For You To Make Money Is To Make Sure You "Do Something You Are Already Interested In Or Know About!"
RIGHT?
WRONG! THIS IS A HUGE CROCK OF POOP.
I see this advice over and over and over. In home study courses. In ebooks. In marketing manuals. In how-to guides. Again and again and again. They all say it. "Start with something you're PASSIONATE about."
Sure, that's great advice if you want...
A HOBBY.
That's right. If you want to start a new business based on an existing interest or passion, you might as well throw in the towel and just realize that you are either expanding an existing HOBBY or starting a new one.
It is in my opinion (after many years of hard work, failures, anxiety, long nights, and insane mountains of debt) that this is the WORST advice someone can give an aspiring entrepreneur.
WHY?
Because in order to truly MAKE MONEY doing anything, there are things that are far more important THAN YOUR OWN SILLY INTERESTS.
Here are several reasons why trying to start a new business by doing something you are passionate about is BAD ADVICE...
1. "Too Close To The Forest To See The Trees"
When you're really involved in a hobby, or have a real passion for a specific market, you are often BIASED. You have already formed opinions about which brands in your market are "best" or which techniques are the "right ones" or which things you'd "like to buy" and so on and so forth. While these things CAN lead to some insight into what to sell to a certain market, more often than not your skewed views and biased opinions are NOT THOSE OF THE MAJORITY OF THE MARKET. And if you are not going to market to the majority of a target market, you're doomed before you even get started in almost every case.
2. "Just Because YOU 'Think' You'd Buy Something Doesn't Mean Others Will"
It's far to easy to think, "Hey, if this widget existed for my
Big Whoop. In order to be successful in marketing, you must understand that what YOU want doesn't pay the rent or the electric bill. What YOU want doesn't mean squat. That's right, no one cares what you want. The only thing that matters is what your market wants.
3. "When You 'Think' You Know What The Market Wants You Fail To Become A Great Marketer"
Great marketers don't just do research and find out what a markets want. They market to them, then take the results, then tweak their game plan, then market to them again using these results. Successful marketing is a constant EVOLUTION. It's the ability to blaze a trail based on EXACTLY what a market wants at any given point in time. You CANNOT successful evolve with a markets needs (i.e. BUYING NEEDS) if you are so passionate about something that you have already formed your own OPINIONS. This is very much like being too close to the forest. It's nearly impossible to separate your own feelings as a consumer in a market from what the market-at-large desires to purchase. SOMETIMES those desires are the same. But we're not in this game for the "sometimes." "Sometimes" can be the difference between success and failure with a project.
Before I continue I need to clarify something...
There are exceptions to all of this. For example, if you're interested in working on a project that has to do with financial success, YOUR STORY is going to be a critical element of that success. In other words, if you're trying to sell something that teaches other people to make money (such as with mail order, Internet marketing, trading stocks, real estate, etc.) then you will need to be very close to that market. You will need a STORY. If you don't have a story in those markets, you are most likely doomed. Think about it. How the heck can you sell "make money" advice to people if you haven't made money yourself doing whatever it is you're trying to sell? It's nearly impossible. In fact, it's idiotic in the first place, but that's a rant for another day. :-)
Clarifying things even more... (because I know some people will argue this entry) there are MANY markets where your personal story is going to make the difference (as in the example above about financial markets). For example, if you want to sell something about back pain, you'll have a much better chance selling that product if you can tell how you've had back pain and cured it -- if that's the solution (product) you are going to sell.
But this rant goes way beyond that...
In order to make maximum money from any market, you must force yourself into a mindset that you know NOTHING about a market. You must force yourself to use DISCIPLINE and FUNDAMENTALS to go and do the hard work, and due diligence, to fully investigate, research, and plan your projects. And this is very hard to do if you start on this journey and you are already BIASED about a specific market. Because again, what YOU want to buy is often not what others want to buy.
So the next time you go to start a new venture, my advice is to look for markets that have a buying desire *FIRST* rather than think of all the markets that you "know something about already." This way, you start from scratch and put in the homework to really find out what people are ready to buy. Because that's the name of the game.
Comments
John,
Very well said. I have waisted TONS of time and money trying to market what I wanted to buy. When I finally pulled my head out of my @#$ and started selling what others wanted to buy-my life became a hell of a lot better.
I started selling tons of product and have a legion of happy customers.
If only my legion would go to war for me. If they would Canada would finally be mine-all mine.
:) Great blog.
Thanks,
Jonathan Page
Posted by: Jonathan Page | January 8, 2004 10:52 PM
John,
At first when I read your comments I was tempted to think of exceptions -- because I had my first real success marketing to a niche I knew (daytraders) and was very successful at it. But then I listened...and that was because when I did that I had my own story to tell. Had I been broke with no success at trading, it would have been a flop.
I have to admit I've given the advice to pick something you're passionate about many a time and in the future I will most certainly keep your thoughts in mind first.
As always, you make me think...
Craig Perrine
Posted by: Craig Perrine | January 8, 2004 11:02 PM
John,
As usual, you hit the bullseye. I've definitely suffered greatly from the myth you explained. It's funny because 3 days ago, I launched what is looking to be the most successful project of my life. The ROI on my pay per clicks is close to 1000% and it's not something I'm super passionate about (It's also a VERY competitive market). The trick was...
INTENSE RESEARCH! I got every successful ad I could, watch the infomercials, and got some pros to critique my copy and BAM! Very profitable from the starting gate! I'm excited to say the least!
Sincerely,
Matt G.
Posted by: Matt Gallant | January 8, 2004 11:47 PM
John,
I'll have to disagree with what you said -- that starting with something you know is a load of poop. Mind you, I completely agree with the concept and everything you said to support that -- i.e., the fact that people don't care about what you want/know/like. You should always find out what people want and then give THAT to them.
I agree 100%.
But, here's where I digress.
Unless they want to spend a whole lot of time researching, learning and planning to find out what people want, THEN how to get it, and THEN how to get it to THEM, it's a lot of work. And if it's something that a person doesn't know much about, i.e., there's not much passion for, knowledge about or commonality with, a person will likely not feel as tempted to go through all that trouble to find, research and plan.
So they procrastinate.
I personally tell people to start on something they already know, are passionate about, like or use, etc, because it's exactly what it is: a START. And since there's some knowledge or passion about it, now they're probably a little more inclined to do the legwork.
So many people are "afraid" to start their business or create a product or go online (or whatever) because they don't know where to start. They procrastinate. They never get anything off the ground.
But here's where I combine both sides of the coin.
Start with something you know/want/like. There is always a significant market, somehow, some way, that will want something about something that you know/want/like. You can start with what you know and find out if there's a market for something you know or something related to it, and then find out sell it, change it, package it, bundle it, repackage it, mold it, or tweak it so that it DOES cater to a starving market.
Here's a really simple analogy, to illustrate.
Love growing apples? Love working in your "backyard" orchard? Great. Want to sell some "how to" book on starting your own orchard? Probably not.
But after you do your research and due diligence (as you said, John), you discover that there's a burgeoning market for ... Apple pies in your area! Bingo. But, don't like to bake? Find someone who can who you can JV with.
There are probably tons of markets that WANT something related to something your know/want/like. For instance, you find out there's a HUGE market for apple sauce. Or you do research and find out something totally unrelated -- such as people looking for new fundraising ideas for local charities. Why not write a book on how to raise money running a local pie tasting contest?
You get the picture. My point is, I'm not disagreeing with your point. I'm just saying that starting with something you know is a start. It may not be a great start, or the best start, but it's a start. And not a load of poop. It just depends on how you approach it.
My 2 cents.
Posted by: Michel Fortin | January 9, 2004 12:04 AM
Jonathan, Craig, and Matt -- great feedback, thank you!
Michel,
YOU SUCK.
Just kidding. :-)
Michel, you make some great points. Obviously, my rant wasn't meant to be "gospel" or the "only" way to find some direction.
I'm one of the biggest supporters of MAKING CRAP and just throwing it out there to get some RESULTS. Any results. Because that's where the money is. Tweaking, testing, improving. So your point about just getting going is well taken.
However, my primary point was that the market research that is NEEDED in order to make money, usually does not occur if people focus on things they are passionate about. It's too easy to be biased and have preconceived notions about what "your market" wants to buy based on your own experiences. And furthermore, if a budding entrepreneur can start with a completely NEW market they know nothing about it and learn to apply fundamentals, they will be way ahead of the game when they decide to do something in a market they are familiar with -- because the odds are good they will do their due diligence regardless of what they already think they know about the market.
Thanks for great insights. Great points.
Posted by: John Reese | January 9, 2004 12:12 AM
Yes, approaching a project with a blank mind is VERY POWERFUL.
The best analogy (for me) is when I teach people Comhrac Bas (one of the many things I do for fun). It is a total no nonsense self-defense system (used by Navy Seals, French Legion, SWAT and more) created by Christophe Clugston (One of John Carlton's biggest successes with TRS).
Anyways, when I teach someone who has done a "traditional" martial art. It is 300% more difficult and time consuming to teach them. They want to "HOLD ON" to what they've learned.
When I get someone who has a CLEAN SLATE, then it's a breeze. I can download more useful skills in 4 hours then they would get in 10 years of traditional martial arts.
Going back to John's point. The marketer going into a project HOLDING ON to his previous baggage might have some significant disadvantages compared to the marketer coming in with a clean slate.
But... I don't think there's anything wrong with having passion per se. I think being a passionate marketer is necessary for big time success.
John, you are obviously pass that point and into the obsessive zone (where the MONSTER MONEY IS MADE!).
Sincerely,
Matt
Posted by: Matt Gallant | January 9, 2004 02:39 AM
I am finding with some of my projects that a calculated combination of both John and Michel's views is working great for me. The key thing I learned was not to get blinded by "interest" to the detriment of PROFIT. I've learned from John and others to step back and only COMPLETE the project if the research backed it up.
My example is that I am writing a book and putting a physical package together for migraine sufferers. I've personally dealt with them for 15 years so this IS something I'm passionate about. I know it would be a valuable thing for me to do personally but this is my *business* and I want to make money! So, I did my due diligence and found out that I can be both passionate about this subject AND make sales if I do it right from the get go.
I didn't interpret John to mean that you CAN'T do a project you are interested in or care about... BUT mainly that it's so important to initially set aside your "passion/interest" so you can research the market with an unclouded mind. (Just my interpretation of course :)
Kelli :)
P.S. I put a link to the survey linked by my name below if any of you get migraines and would like to contribute.
Posted by: Kelli Smith | January 9, 2004 04:01 AM
Hi John,
Cracking Blog - I agree to a point - people do get caught up in their own hobbies - This is a small biz killer to. There are a million stories of people starting a business (and that's what this stuff is folks - a business!) in an area they love, they are passionate about and it sucks the life out of them. The fact that it's there hobby only gives them extra energy to flog a dead horse.
How many people do you know who actually started a biz in their hobby area - now hate there hobby. I started a Nascar racing magazine (in Australia for goodness sake!!) and it tanked. It took me years before I could watch a motor race...
However...
In our net projects our best results have come from when we have partnered with a respected expert in the area. The extra cred and authority has been a boon in a hot market...
Having said that...
We (as you know) research the hell out of a market to make sure that not only will "the dog hunt" - but to make sure there is something out there for cujo to get his teeth into!
And here is the absolute best thing that rocks about this business and it's advantage over ANY other (and I mean any other)
A couple of days work will see you have a 97% certainty that your particular "dog will hunt"
But this is Johns blog not mine! So i'll just be quiet now...
Ed
Posted by: Ed Dale | January 9, 2004 04:02 AM
John,
Congrats - Two entries in and this is already the most interesting marketing blog I've read.
Here's my take on the 'Do Something You're Passionate About' debate:
If you know the ropes and are familiar with product development, copywriting, technology and marketing then I agree 100% - Forget personal preferences, find the hot markets, do the research, and give people what they want.
However, I think those who are just starting out often need that passionate interest to drive them up the Internet business learning curve.
My first site was based on personal interest and was a good way to learn how the game worked. I then realised that success was market dependent and moved on to more lucrative pastures.
I look forward to your future posts.
Posted by: Anthony Fernando | January 9, 2004 06:35 AM
John -
Wow. Great article!
In our book marketing work we see countless books that have been written, designed, printed and shipped to the author's garage (usually with a substantial investment) before one single thought is given to WHO WILL BUY THEM and WHY.
I wish that all would-be authors could read this post and THEN, with clear thinking, begin the business of writing their books.
Thanks!
Kim
Posted by: Kim Dushinski | January 9, 2004 11:40 AM
Hey, John -
Mike Fortin just told me YOU SUCK ...
Yes - just kidding ... ;-) ...
Great blog, Bro. See you at Yanik's next week in sunny FL.
Best in 2004 -
Chip Tarver
<><
http://www.FirstContactSecrets.com
(John and Michel are both in FCS...)
PS - bring your 911 ...
Posted by: Chip Tarver | January 9, 2004 11:50 AM
Hey John, you know me, if there is a market for it (and it doesent involve capitol crimes) I am there, let the numbers do the talking.
Tom
P.S. the new blog so doesent suck!
Posted by: Tom Bell | January 9, 2004 02:26 PM
John,
From what I can see so far, this is going to be absolutely one of the most useful BLOGs on the Net today... and to think you are giving this "advice" away for FREE... INCREDIBLE...
Anyrate, what you are saying about NOT starting a business that you are "passionate" about is ON target...
This point reminds me of Michael Gerber's book "The E-Myth"... where he basically is saying the same thing... where a "Florist" would be better to run an "Auto Repair Shop" and a "Mechanic" would be better to run a "Floral Shop"...
Gerber says this is so for the simple reason that in instead of "working in the biz", you would "working ON the business"... Concentrating on making MONEY instead of just "doing stuff"...
I think this is probably where most people go wrong when they set out to "start a business".
I think it is only human-nature to gravitate towards doing what is "comfortable" because learning somethig "new"...is change... and we ALL know how much most people enjoy CHANGE...
However, there are absolutely incredible tools out in the market today that will help guide any "serious" person down the right road to starting a biz...
One of the best resources, I have experienced is being produced by Ed Dale and Frank Kern within their UnderAchiever "philosophies"... if anyone hasn't seen this, you own it to yourself to take a look... Along with John, Ed and Frank are truly masters at helping people "become entrepreneurs"...
Look forward to reading more of your "thoughts"
Sincerely,
Dennis Gerik
Voxwire Web Conferencing
Posted by: Dennis Gerik | January 10, 2004 12:20 PM
Hey - I heard that Michel and John BOTH SUCK!
My official position on this is that there is more than one way to be right.
However, I tend to agree with John in that it's a whole lot easier to just find a big tidal wave of people who want something really bad and then stick that very something in front of them and say "here's that thing you were looking for".
Posted by: Frank Kern | January 10, 2004 01:36 PM
Almost everything have been said about this subject, but here's my two cents.
ONLY develop something that people will buy! If you are passionate about something that no one is looking for, why the hell would you develop that product?
Do a research and see if there's any market for your product. If there's a market, either you are passionate about the subject or not, develop and sell it.
BTW John, why don't you post also your article "How *Crap* Can Dramatically Boost Your Profits!" (September 4, 2003)? I'm sure people will love to read it again! I often read it ;)
Carlos
Posted by: Carlos | January 11, 2004 06:38 AM
I agree with John.Hobby or no hobby.I will always go where the money is.What's the benefits in been passionate in what people are not ready to pay for.
Posted by: lateef Olajide | March 30, 2004 11:46 AM
Crikey what a rant!
:-)
I would ALWAYS go for quality rather than crap - even if it means less money. Yes, I would turn work down if it means I have to "sell" my principles.. Money isn't everything. You have to have integrity.
Posted by: Lancer | October 20, 2005 11:17 AM