The Search for Revenue

Revenue Should Be Evident and Capturable. If you have the correct business idea and model, driving revenue should not be an insurmountable challenge. By no means am I advocating the Field of Dreams “build it and they will come” dream. I am just saying that if you have correctly constructed a “demand pull” model, where demand for your product or service is pulling you forward, as opposed to the “supply push” model where every sale seems a miracle, the means of creating revenue should be obvious.

When Revenue is Not Evident and Capturable. This is where so many business owners lose sleep, and oftentimes years of their lives. They think they can overcome a weak business idea or model. So, they struggle endlessly to prove they can “win.” Perhaps they have read too many accounts of entrepreneurs working their fingers to the bone to succeed with a business that no one thought could succeed. But hard work is not the answer when the business idea or model is not solid. Pivoting to a better idea or model is the answer. Starbucks started as a coffee bean and equipment supplier. Airbnb started as an air mattress rental company for conference attendees. Nintendo started as a playing card company. Don’t be afraid to pivot and give up.

When Do You Pivot? As discussed earlier, this is the hard one. And I don’t have the answer for every situation. I think your most valuable tools for deciding when to stick with it or when to pivot are:

·      Cold hard facts - statistics never lie, only the people interpreting them.

·      Your mentors - sample a few for a good general impression.

·      Your intuition - your most powerful tool.

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