By Bryan Harris, Founder of Videofruit
Rewind to the spring of 2012. My boss and I did not get along. I was progressive and he was… not.
Then, I read an article on Tim Ferris’s blog about how to create iPhone apps. I was pumped and thought to myself, “If this guy can create an app and make $10k per month, surely I can as well.”
Five months later I launched two apps. Here is what the balance sheet looked like after 24 months.
- App development cost: $2,000
- Revenue from Apps: $615
- Net Profit: -$1,385
Now let’s fast forward two years to March 2014 and my latest launch.
Videofruit was seven months old and “The Bootstrapper’s Guide to Explainer Videos” was released and generated $15,460 in total revenue. My email list had grown to just over 2,000 subscribers and monthly traffic was at 7,000 unique visitors.
Then I listened to a Mixergy interview with Andrew Warner and Stu McLaren. They were discussing membership sites and the steps they would take to start one. After listening to their conversation, I immediately knew I needed to create a membership site for Videofruit.
But I didn’t want a repeat of the app experience. So, I set out to validate that my customers would be interested.
Two days later I launched a primitive version of the program. Over the next 14 days it generated 20 customers. That’s a total revenue of $3,650 per month or $43,380 per year.
All with a single email.
Quick Recap: One launch lost $1,385 and the other made $43,380. You with me? Good.
What Made the Difference Here
So, what was the difference in these two launches?
Why did one take five months of work, hundreds of hours and still flop?
Why did the other take two hours, one email and make more money than a year’s salary at my last job?
Here is the answer:
For the first launch, I built a product and then tried to find customers to buy it.
This time I just gave my existing customers what they wanted.
See the difference?
Now let’s talk about how you build a list of customers that will tell you what they want. Read more “A Tale of Two Launches: One Made $43,380 and the Other -$1,385”