Gutted...

Discussion in 'General Business Forum' started by muppetdave, Oct 26, 2009.

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  1. muppetdave

    muppetdave UKBF Contributor Free Member

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    I'm not looking for answers or anything, just needed to blurt really.

    I've spent the last six months working up a good business plan, thought I had everything covered. I was right on the verge of putting the serious money in and moving things along at a far quicker pace, when I got a crushing call from the main competitor (to put this in to context, my proposed business would be a kind of add-on to my day-job).

    He was calling to pitch to me in dayjob mode, to which I of course took the opportunity to probe him.

    It seems that he is just about to move his business to the model I was looking to use, and is actually more advanced than I realised (i.e. the changes he is making from his business as it stands today are significant). Therefore I reached the conclusion that I will be playing second fiddle to him, and unless he gets hit by a bus, I will never catch up, let alone achieve what I want to achieve. Thus I decided last week to scrap the whole idea - the one consolation is that I hadn't quite put in the cash necessary.

    I'm absolutely gutted and feel totally empty. Like I said I'm not looking for answers or anything, but wanted to vent :(
     
    Posted: Oct 26, 2009 By: muppetdave Member since: Oct 28, 2008
    #1
  2. KidsBeeHappy

    KidsBeeHappy UKBF Newcomer Full Member

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    It's not the business that does it first, it's the one that does it best. Amazon wasn't the first website to sell books. Is your marketplace really so small that it can bear only one supplier?
     
    Last edited: Oct 26, 2009
    Posted: Oct 26, 2009 By: KidsBeeHappy Member since: Oct 9, 2007
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  3. muppetdave

    muppetdave UKBF Contributor Free Member

    89 22
    I think so yes, it's very niche - certainly not mass-market. He already has around 20-30% of the market with his 'lower end product' but his developments that he is about to bring in will put him easily on a par with mine, with the advantage of already being known to the client.

    Plus he has other areas up his sleeve I wasn't aware of that will further add to his proposition.

    Originally, I wasn't concerned by him as competition, but sadly it appears I am around 18 months too late on this one!
     
    Posted: Oct 26, 2009 By: muppetdave Member since: Oct 28, 2008
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  4. vvaannmmaann

    vvaannmmaann UKBF Legend Free Member

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    Do you have access to a bus?
     
    Posted: Oct 26, 2009 By: vvaannmmaann Member since: Nov 6, 2007
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  5. Coppock

    Coppock UKBF Newcomer Free Member

    990 147
    Very true - if you can offer a better service or faster service etc then you could be onto a winner...
    the only other thought is - if your competitor is going to lead the marketplace, is there a chance they could get overrun with work? If there is then what could you do to compensate? i.e offer a speedier service, offer "no queues" or quick communication, maybe even talk to your competitor about collaboration of sorts? you deal with X area of business and he deals with another side depending on both your preferences?
    Not as a partnership - Just forwarding clients to each other.

    Good luck whatever you decide!
    Jen
     
    Posted: Oct 26, 2009 By: Coppock Member since: Jan 2, 2008
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  6. directmarketingadvice

    directmarketingadvice UKBF Legend Free Member

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    I agree with Boxby.

    If possible, try to find a twist you canmake to what he's doing that'll make your business have a slightly different appeal.

    If that's not possible then, TBH, you may have just dodged a bullet. If you'd gotten in first, maybe he could have copied you and dominated the market anyway?

    Steve
     
    Posted: Oct 26, 2009 By: directmarketingadvice Member since: Aug 2, 2005
    #6
  7. muppetdave

    muppetdave UKBF Contributor Free Member

    89 22
    Dare I ask about the bus?!

    With regards to the other comments, I just cannot find a differentiator other than where I was headed that he will hit first, so I think yes it's just the bullet dodged. He will have market dominance and it's not like I can develop a new improved 'widget' to this.

    Ho-hum - onwards and upwards!!
     
    Posted: Oct 26, 2009 By: muppetdave Member since: Oct 28, 2008
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  8. Peter Bowen

    Peter Bowen UKBF Enthusiast Free Member

    853 230
    My sympathies. It's a horrible thing to lose the object of your vision and focus.
     
    Posted: Oct 26, 2009 By: Peter Bowen Member since: Jul 2, 2007
    #8
  9. Tej

    Tej UKBF Newcomer Free Member

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    At least you are honest with yourself. Excellent trait:)
    Perhaps there will be other opportunities!
     
    Posted: Oct 26, 2009 By: Tej Member since: Oct 26, 2008
    #9
  10. vvaannmmaann

    vvaannmmaann UKBF Legend Free Member

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    You mentioned in your OP that it would be tragic if the guy was hit by a bus.............:)

    Just my attempt at humour!
     
    Posted: Oct 26, 2009 By: vvaannmmaann Member since: Nov 6, 2007
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  11. Will-man Rodders

    Will-man Rodders UKBF Newcomer Free Member

    150 40
    I am puzzled... Why did your competitor 'pitch' to you? What was he/she trying to achieve by the approach?

    Did he/she know (or even suspect) you were thinking of entering their market as a competitor?

    If you have this identical idea can you not work with him/her? - perhaps expanding the original idea into something much bigger? You will both have different skills sets. If so, you might still get to your goal but without the capital input you had originally planned.
     
    Posted: Oct 26, 2009 By: Will-man Rodders Member since: Jan 27, 2008
    #11
  12. sirearl

    sirearl UKBF Legend Free Member

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    Pathetic Lings got a bus .

    She might lend it for a worthy cause.:|

    For the OP would your proposed business have been marketed on the internet.?

    Earl
     
    Posted: Oct 26, 2009 By: sirearl Member since: Apr 23, 2007
    #12
  13. muppetdave

    muppetdave UKBF Contributor Free Member

    89 22
    Lol, sorry caught up with you now on the bus quip... duhhhh!

    They were pitching to me in my 'dayjob' guise - my business plan was effectively something I would set up outside of work initially, but it is within the same industry. They had no idea of my plans, and I am sure still don't.

    Sirearl - predominantly, although not exclusively internet based. It was effectively an auditing (and then subsequently marketing) service for a very specific sector.
     
    Posted: Oct 26, 2009 By: muppetdave Member since: Oct 28, 2008
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  14. sirearl

    sirearl UKBF Legend Free Member

    29,807 6,643

    well if it was going to be internet based here's a few facts.

    The No1 site on the search engines gets 3.5x the traffic of the No2 site.


    And 14 x times the traffic of the No10 ranked site.

    So being first on the internet is in general not nearly so important as being top.

    Earl
     
    Posted: Oct 26, 2009 By: sirearl Member since: Apr 23, 2007
    #14
  15. WarbyGK

    WarbyGK UKBF Newcomer Free Member

    109 31
    Apologies to the OP, but I just had to thank vvaannmmaann for making me squirt my coffee through my nose when I read his first reply....thanks mate, cheered up my Monday!
     
    Posted: Oct 26, 2009 By: WarbyGK Member since: Aug 3, 2009
    #15
  16. Dan.89

    Dan.89 UKBF Newcomer Free Member

    12 1
    Dave, Although I'm not clear what your venture was, but in some of the most bizarre markets, competition is what keeps companies afloat!

    Prime example, Microsoft and Apple You've only got to look at the stock market to see how close they are competing against each other.

    And did you know that at one stage Microsoft injected cash into Apple as they where having cashflow problems. Now look at Apple.... how many people do you know with an iPod or an iPhone strapped to their head?!?

    what I'm trying to say is... I wouldn't give up at the first sign of trouble, surely if your competitor didn't see you as a potential threat, he wouldn't of called you? :S
    Try not injecting all you got before testing the water once he has made his big move, who knows, it may not even take of?!

    Best of luck!
     
    Posted: Oct 26, 2009 By: Dan.89 Member since: Oct 25, 2009
    #16
  17. bridges

    bridges UKBF Newcomer Free Member

    803 94
    If you're not going to bother doing it anyway, why not share your idea? You obviously have nothing to lose now, and you never know, someone on here may be able to help you think outside the box a little, on how you could adapt your plans to still start a new business.

    I loved the story about the microsoft/apple thing, I truly find that kind of thing heartwarming! My favourite was in the caspian woods book I always bang on about, about the guy who owned a seashell ornament shop in London, he found it was cheaper to ship the shells from other countries, then he found out he could make a lot of money on the side from shipping some oil with the shells... He then sacked off the seashells and Shell Oil was born...

    The point I'm trying to make is that, in business, you can make a world of difference by being flexible and adapting your business as to what works, and what doesn't! And by having everyone on here willing to help out, I'm sure you'll be able to salvage something from all this.

    B x
     
    Posted: Oct 26, 2009 By: bridges Member since: Jul 6, 2009
    #17
  18. Christiane

    Christiane UKBF Ace Free Member

    1,829 215
    I agree with Bridges and Dan89.

    It didn't stop Branson introducing a cola or entering the mobile phone market.

    It's what makes entrepreneurs.

    Have you read Dennis Felix's How to get rich or David Schwartz's The Magic of thinking big?

    Most of us started businesses in our own competitive market.
     
    Posted: Oct 26, 2009 By: Christiane Member since: Dec 3, 2006
    #18
  19. jasonnoguchi

    jasonnoguchi UKBF Newcomer Free Member

    265 23
    Persist. Market is big enough for a few similar products and services.
     
    Posted: Oct 27, 2009 By: jasonnoguchi Member since: Sep 25, 2009
    #19
  20. WarbyGK

    WarbyGK UKBF Newcomer Free Member

    109 31
    It has to be said that nobody really likes competition. We'd all love to be the only supplier of our products or services, but isn't this what makes business go round? The idea is to be better than your competitors or offer things in a slightly different way.....it's unrealistic to please the entire market, so focus on pleasing your minority. Other than the bus comment, which still makes me laugh, there's some great advice here - in a nutshell are you giving up at the first obstacle and spitting your dummy out already? Or can you meet the challenge head on....?
     
    Posted: Oct 27, 2009 By: WarbyGK Member since: Aug 3, 2009
    #20
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