Succeeding in the New Market

Listen to the market
Forget expensive market research, surveys and focus groups. The information you need is already out there in passionate communities of artists, developers, and enthusiasts. What are consumers asking for? What markets are being underserved (or ignored)? What products or services could be improved by better marketing, cross-promotion, or greater distribution? What open source products could be enhanced with premium features or services?

Focus on new niche markets or bring niche mainstream
Trent noticed a vacuum in the market for recreational smoking for young adults and created the Hobohookah a chic modern equivalent of the current offerings targeted at a hip college audience. Why must this Arabic invention be limited to its traditional, exotic roots? How about taking Boba or bubble tea outside of the traditional Asian-American demographic and introduce it to a much bigger audience?

Shift energy from product development to brand experiences
As mentioned in Purple Cow and Free Prize Inside, give people something to talk about. Tocquigny has an amazing office that wows clients and demonstrates its cutting edge personality and dedication to hip interactive media. You can bet they go and tell their friends and colleagues, driving new business and creating customer loyalty. Alamo Drafthouse combines great movies, bar and food service, and uniquely Austin events and staff to create an unmatched entertainment experience that can't be found anywhere else.

Let the market create your product for you
With so many talented people seeking solutions, why not give your customers the tools to help themselves and others while letting them reward you for it? That's how open source was built, and how websites like Threadless, YouTube, and Ebay are leading their industries. Why spend billions of dollars in R&D on a crapshoot when customers can design something that meets their needs better given the proper tools and encouragement?

Give your customers a megaphone
Make it easy for your best customers to tell others about you. When the cost of providing one extra product is next to nothing, why not throw in a duplicate for a friend? Most of today's printing costs are negligent (real costs of business are marketing, product development, overhead), so toss in an extra book or poster. Throw in an extra CD for a friend (it costs you nothing) and see how your fanbase grows.

Court the relationship brokers (or become one yourself)
Today's value lies in relationships and customers can be fickle. Invest in respected influencers, or build your business around becoming one yourself. Before Digg was created, the Penny Arcade effect crippled many gaming sites around the web as these influential bloggers linked their favorite sites on the homepage. A success story of untold proportions, these talented artists and gaming mavens command an army of admirers and built a career and lifestyle out of their power to sway public opinion.