They made a fortune thanks to digital: but how did they do it? They have become very wealthy. And you ask yourself the question: but how did they do it? The answer in this article. Before I begin to answer this question that torments the minds of so many people, I would first like to re-situate the entrepreneurial context as it stands today …
One in 18 people in the world today is an entrepreneur. And remember, today, more than 90% of business start-ups are unsuccessful.
In the long run, experts even estimate that less than 5% of new companies will succeed in really thriving. At the same time, 68% of entrepreneurs believe that their business model is better than that of others.
On the one hand, the majority is wrong (it makes sense). On the other hand, they are forced to believe it (they don’t really have a choice). Except for the 32% who think their business model is worse, which can be seen as great proof of humility. And humility will likely guarantee the success of those who succeed.
Among the 400 million entrepreneurs in the world, a very large number will have to close their doors. Why ? Particularly because it is very difficult to get a new concept, new product or service accepted.
In the US market, for example, it is estimated that more than 80% of households still buy the same 150 products, on average. People hardly change their habits. A new successful company, therefore, is a feat. Few people understand this.
Today, in England, only 1.7% of people are entrepreneurs (compared to 4.1% in the USA). This means that for the vast majority of people in our country, the world of entrepreneurship is completely foreign to them. They cannot know how difficult it is.
The fact is that it takes, on average, 4 to 5 successive failures, for an entrepreneur, before he can create an economic model that generates cash flow.
Because everything is there.
As an entrepreneur, I am always very surprised by the reaction of non-entrepreneurs when I say to them: “The most difficult thing is to manage to monetize”.
The answers are generally of the type: “Well yes, obviously, it is obvious.”
When you are an employee, money falls at the end of the month, whatever happens. When you are an entrepreneur, the most difficult thing is to create a perfectly optimized sales tunnel through which money will come in regularly and systematically.
And it’s very, very difficult.
As an entrepreneur, I always ask myself the following question: “What is it that will make people take out their credit cards?” “.
If you make and market shoes and your name is Adidas, your new products will sell pretty well, thanks to the brand. But if you sell shoes in your name and your brand is completely unknown to the general public, you will see that it will be very difficult to convince the first consumers.
Facebook, Twitter, Google, Snapchat, AirBnB, etc. All these digital behemoths have achieved an economic feat. And most of their founders have become very wealthy.
But then: how did they do it?
We can distinguish 6 key success factors. (list very open to criticism and very reducing, I readily agree).
The first key factor for success is persistence
It is so difficult that without what the footballers call “the grinta” it will be very difficult to reach the podium. And the best way to maintain this fiber is to turn your passion into business. This is the credo of Mark Zuckerberg.
Take a good look at those who succeed: very often, their passion and their work have merged.
What, then, is your passion?
What do you most like to talk about with your friends, your colleagues, your entourage?
What do you think of when you shave in the morning? What are you talking about ? What exactly motivates you?
The second key factor of success is the adequacy between a product and a market
This is what startups call the product / market fit.
Contrary to what many people might think, quality is not really the most important guarantee of success. Poor quality products are selling very well these days. And very high quality products fail to sell.
You can design the most beautiful product in the world, if it does not correspond to any market and no expectations, latent or not, it will not sell. Whatever the quality of your work.
The question of market research is debated here. In many markets, consumers don’t really know what they want until they are shown an awesome product that they will end up buying in droves. Market research can hardly detect emerging markets.
People have too many priorities: how do you want them to understand in a few seconds (following one or more questions asked during a quantitative study or a focus group) the genesis of a new economic concept (which will need working days)?
But for many businesses that end up falling apart, a market study done by real professionals could have saved everyone time for nothing.
The third key factor of success is the achievement
It is generally said that 10% of success comes from the idea and 90% comes from the implementation. Here, the role of the teams is essential. As well as that of skills.
Know-how and know-how.
The fourth key factor is the monetization model
Analyze well, in any economic ecosystem, how the agent is made, how it transits, who perceives it – and why the people who manage to receive money manage to receive this money.
This is a deciding factor. Many entrepreneurs start by thinking and developing their monetization model first, then building their entire economic model.
They start from there.
To build everything else.
The fifth key factor of success is the balance between an economic model, a marketing mix and a digital ecosystem
The list of economic, marketing and digital levers tends to infinity. The key is to create a real ecosystem where all the carefully and carefully selected elements – and in essence limited in number – can perfectly evolve.
Finally, the sixth key factor success is timing
According to a study by TED, it is even the most important factor, at 42% – far ahead of the production and the team (32%), the idea (28%), the business model (24% ) and financing (14%).
Look for example at a dazzling success such as that of Snapchat. It would have been impossible 10 years ago (far too early). And you wouldn’t be able to repeat such a success today with a similar product (far too late).
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