Starting out - Providing Value?

[Refrusloi]

Hey guys. This is my first post here.

Ive been reading lots of articles on steve's site but im a bit confused on how to start out making money/being self-employed. Im 21 and in college, but I know I wouldnt ENJOY most of the post college careers you can get. Id rather do something like professional soccer or the like, although I stopped playing a while ago, so Im trying to think of what ideas I can do, and I Came to steve's site.

One thing I picked up was that you need to figure out how you can provide value, rather than just trying to get money. Do you guys have any advice on how I can figure out how I can provide value? I have certain subjects I know about and some skills, and I also have some ideas that are seperate from those skills, but would have no idea how to create them. So any direction/advice at this point would be much appreciated.

[Shamou]

Hello and welcome aboard Refrusloi...

The best way to provide value and to do it effectively is to chose to do it with something that you are passionate about...

When passionate about something, work becomes play... and the creative juices flow freely...

So, my advice is to chose one of your passion and use it as a tool to create your life's work...

The very best of luck to you...

.

[silicon toad2000]

you need to figure out what you do well and what you enjoy doing. Hopefully the two are the same thing, then you need to figure out how you can bring this value to the people and collect funds.
Are there things that your friends ask you advice about, do you find yourself helping other people out with certain problems?

[Refrusloi]

Random Things Im good at:
Strong Voice
Whistling
Quick Reflexes
Computers(Theres a lot of stuff I dont know.. I mean ive done programming before but forgot it, as well as making websites and photoshop... but I understand computers in general[learned a lot from when I used to play computer games] and parents usually ask me stuff about it.]
Typing(fast typer)
Using Examples to understand something
Knowledge of Social Dynamics
Knowledge of Working Out/Lifting Weights/Fitness
Decent Sense of Humour
Decent Fashion(better than the average guy)
Some Knowledge of hypnosis and can do it
Some Knowledge of spirituality/chakras
Used to be really good at soccer but havent played in a long time
Played trombone a long time ago and excelled at it.

Things I enjoy:
Guitar
SURFING!!!!!
Skateboarding
Martial Arts
Orchestra Music[example is Requiem for a dream song]
(Other things listed above in things im good at: Like Working out, comedy, soccer, hypnosis)
Women
Photography
Math(although I dont always do super well in it)

[Bene]

some examples for blog or websites:

women + social dynamics?

something to do with soccer (especially with the increased interest in soccer in the US)

Surfing! site

rememeber ready FIRE aim

[norbert]

The most important quote I ever came across regarding this is actually by Steve

"Remember that money is social debt. The size of your bank account is a measure of how much society owes you for the value you’ve already contributed."

Reminds me of Brian Tracy's Law of Exchange in his 21 unbreakable laws of money series.

[Laranja]

Receipt for <<creating value>>

1. Make a list of specific Problems people have.
example: I want to go out with my wife, but we have little children that cannot stay at home alone.

Gather problems, talk to people about problems, check out questions people have at forums and so on.

2. Invent a solution
example: Hey, what about having someone else taking care of the children while he is out with his wife?

This is the creative part. Think of Henry Ford building a car or Steven Wozniak building a computer. Your solution does not have to be totally new. But it must be a solution without creating a problem greater than the problem it solves.

3. Provide the solution. Make it available.
example: You know what? I will ask a bunch of high school girls if they want to work as babysitters for my newly founded agency...

Now you provide value and cash in.

This is the big picture view. In rela life you have to figure out the details. How much does your solution cost? Are there enough people who would pay for this? All these questions are what business at it's core is about.

Value is provided when a problem is solved.

[CoolStuff]

^ Good post.

Now my problem is in Selling the value. Marketing is also another problem, but it's a little more minor. I do realize there are so many people I meet through networking so I am working on marketing, but selling the value is where I'm having difficulties. I'm frequently doing things undervalued, even if I try to convince them of the value.

You might say I'm not undervalued if the customer isn't finding value in it, but then how do I show the full value?

[Freelancer]

Originally Posted by Laranja

Receipt for <<creating value>>

1. Make a list of specific Problems people have.
example: I want to go out with my wife, but we have little children that cannot stay at home alone.

Gather problems, talk to people about problems, check out questions people have at forums and so on.

2. Invent a solution
example: Hey, what about having someone else taking care of the children while he is out with his wife?

This is the creative part. Think of Henry Ford building a car or Steven Wozniak building a computer. Your solution does not have to be totally new. But it must be a solution without creating a problem greater than the problem it solves.

3. Provide the solution. Make it available.
example: You know what? I will ask a bunch of high school girls if they want to work as babysitters for my newly founded agency...

Now you provide value and cash in.

This is the big picture view. In rela life you have to figure out the details. How much does your solution cost? Are there enough people who would pay for this? All these questions are what business at it's core is about.

Value is provided when a problem is solved.

Excellent post and I'm going to apply a part of it today. I've got to work today anyway and part of it is talking to lots of people so I'm going to ask around what there main problems are.

[Laranja]

Originally Posted by CoolStuff

but then how do I show the full value?

You almost answered your own question: show the value. What is advertising other than showing the value of a product?

One has to do it from the customers perspective though. People listen all the time to radio WIIIFM (What Is In It For Me?). Selling is broadcasting a good show on that channel.

It's the message.

Now, which medium to choose? Face to face conversation? A blog? Flyers? Most likely a combination from several of those.

Hard to say this on this abstract level, can you specify what you do?

[CoolStuff]

^ website design, also graphic design, making beats, DJing, audio engineering, production, film making (on the last 3 items, I don't have much to show for myself so that's understandable)

Yeah I try to show them the work I've done before.

Thanks, I'll look at it more from their perspective.

What are you saying with the radio?

[lizthefair]

You've already got a ton of good advice, but a bit more never hurts, right?

Tina Seelig teaches Entrepreneurship at Stanford and has some great insight on creating value. I've linked you to a list of her podcasts on the Stanford site.

The Interests, Skills, and Market one is probably the most useful to you right now, but they are all worth a listen.

[Laranja]

Originally Posted by CoolStuff

^ website design, also graphic design, making beats, DJing, audio engineering, production, film making (on the last 3 items, I don't have much to show for myself so that's understandable)

Yeah I try to show them the work I've done before.

Thanks, I'll look at it more from their perspective.

What are you saying with the radio?

Ok, several thoughts come in here:

1. Having a lot of interests is fine, even helpfull when you work in media, because it is important to understand the other disciplines too.
But, there is this saying: "jack of all trades, master of none". Concentrate on one product, in one market and build from there. Later, when you have established yourself as a business, you will sell the other stuff almost automatically. For example some client you did a website for in the past will ask you if you could do some audio-dvd or something. But you have to concentrate. Look at Steve Pavlina: he first established his blog for one topic/market. That's it. Now he is expanding his business in lots of different venues. But this is always the second step. The first step is one awesome product for a market desperate to get it. It is one ipod, then comes the ipod in lots of different sizes and colors and running shoes n stuff.

For example you could start as "graphic design for show biz professionals". That way you would be the awesome go-to guy for the musicians in your area. You need a clear message who you are going to help. Nobody cares about "areas" like webdesign, graphic, interactive blah blah blaa.

2. Your relatives and friends are not your clients. Your friends are your friends. Your clients are strangers who want to work with you because you convinced them to do so.


3. Perspective and "radio": When you show someone a website you did, you are talking about yourself. Who cares? If you are showing a potential client a website you did... What does he think? He thinks: "Mhm, website, mhm, this guys makes websites, mhm, what is in it for me?" That is the frequency of his thoughts. Look, I mean this as sort of metaphor, an image. What I was tryin to say is this: In order to sell someone your stuff, you have to show them what theire gain in the game is." Why should they have a website when they want to become a rock star anyway? You have to convince people. You don't do this by talking about websites. You do this by talking about benefits.

[CoolStuff]

Originally Posted by Laranja

Ok, several thoughts come in here:

1. Having a lot of interests is fine, even helpfull when you work in media, because it is important to understand the other disciplines too.
But, there is this saying: "jack of all trades, master of none". Concentrate on one product, in one market and build from there. Later, when you have established yourself as a business, you will sell the other stuff almost automatically. For example some client you did a website for in the past will ask you if you could do some audio-dvd or something. But you have to concentrate. Look at Steve Pavlina: he first established his blog for one topic/market. That's it. Now he is expanding his business in lots of different venues. But this is always the second step. The first step is one awesome product for a market desperate to get it. It is one ipod, then comes the ipod in lots of different sizes and colors and running shoes n stuff.

Yeah I know I have read that. I hate doing that though. Same thing with books. I can never be reading one book at a time. That's why I hate school reading. Not because I have to read, but because of hte linear studying of it. In a way I did that, but not really anymore. I did my first website stuff at 10, graphics is part of that, then later I got interested in the rest, so it's a passion that I can turn into a money maker.

For example you could start as "graphic design for show biz professionals". That way you would be the awesome go-to guy for the musicians in your area. You need a clear message who you are going to help. Nobody cares about "areas" like webdesign, graphic, interactive blah blah blaa.


2. Your relatives and friends are not your clients. Your friends are your friends. Your clients are strangers who want to work with you because you convinced them to do so.

Yeah I know friends and business don't mix. But that's how I meet most clients. And I still want to be friendly.

Also I know someone who does web design for a living, she didn't do anything specific like "websites for show biz," and also all traffic was through word of mouth, friends of friends, etc.

3. Perspective and "radio": When you show someone a website you did, you are talking about yourself. Who cares? If you are showing a potential client a website you did... What does he think? He thinks: "Mhm, website, mhm, this guys makes websites, mhm, what is in it for me?" That is the frequency of his thoughts. Look, I mean this as sort of metaphor, an image. What I was tryin to say is this: In order to sell someone your stuff, you have to show them what theire gain in the game is." Why should they have a website when they want to become a rock star anyway? You have to convince people. You don't do this by talking about websites. You do this by talking about benefits.

Ah okay. Yeah I will do that more often.

Also good tip about branching them together. I have noticed that. I can make someone a website, obviously the graphics go with it. Then I can even sell them some music. And thru film, I've been able to use my music and get it out there.

[Laranja]

Originally Posted by CoolStuff

Also I know someone who does web design for a living, she didn't do anything specific like "websites for show biz," and also all traffic was through word of mouth, friends of friends, etc..

You don't know how much she really makes with that. And how stable the income is. Maybe the "specifics" of here marketing do escape you.

[1000feet]

Originally Posted by CoolStuff

Yeah I know friends and business don't mix. But that's how I meet most clients. And I still want to be friendly.

Also I know someone who does web design for a living, she didn't do anything specific like "websites for show biz," and also all traffic was through word of mouth, friends of friends, etc.

I think the original post was wrong to say that no one cares about general skills like web design - to someone in showbiz, they need a web designer and not a showbiz web designer. However, if you do end up doing several websites for bands (as an example) you might start to understand their situation better than other designers and make contact with others that want to get websites. When this happens it might be more profitable to pursue this angle as far as you can instead of ignoring it and looking for general web design projects.

If you have even a slight specialization in one area, you'll be a lot more interesting to people in that area and that's a huge advantage. Of course you want everyone to be your clients, but you have to start with one market at a time.

Going back to the earlier paragraph, there's nothing wrong with being friendly with (potential) clients. Having good relationships with people who work with you is a valuable asset, and they can go outside strictly business activities. What people are usually talking about is not assuming that a good friendship means a good business relationship - even if you're trying to go in the same direction, which is frequently not the case, it's easy for people to see a situation in different ways and start to dislike the person they're working with. With your business contacts it's important to be honest and open and treat them well so you can keep a good relationship.

[CoolStuff]

Originally Posted by 1000feet

I think the original post was wrong to say that no one cares about general skills like web design - to someone in showbiz, they need a web designer and not a showbiz web designer. However, if you do end up doing several websites for bands (as an example) you might start to understand their situation better than other designers and make contact with others that want to get websites. When this happens it might be more profitable to pursue this angle as far as you can instead of ignoring it and looking for general web design projects.

If you have even a slight specialization in one area, you'll be a lot more interesting to people in that area and that's a huge advantage. Of course you want everyone to be your clients, but you have to start with one market at a time.

Okay, I see, this specialization/niche is really important. Thanks. I see these things, but hearing it again really makes it more important to me.

Oh and I think you messed up the showbiz example, they want the showbiz designer, not a general web designer.

Originally Posted by 1000feet

Going back to the earlier paragraph, there's nothing wrong with being friendly with (potential) clients. Having good relationships with people who work with you is a valuable asset, and they can go outside strictly business activities. What people are usually talking about is not assuming that a good friendship means a good business relationship - even if you're trying to go in the same direction, which is frequently not the case, it's easy for people to see a situation in different ways and start to dislike the person they're working with. With your business contacts it's important to be honest and open and treat them well so you can keep a good relationship.

Ah I see. Yeah I have experienced that before.

Originally Posted by Laranja

You don't know how much she really makes with that. And how stable the income is.

Well that is her biggest source of income. She uses that and then has the time to create other goods and small ventures like making shirts, crafts, etc, but she didn't even start doing that in a major way until recently. She's a big party/concert girl with her free schedule.

I have asked her many times, so I'm pretty clear on the fact that it is her main source of income. She makes her money in her pajamas.

Here's the thing: web/graphic design was her job before being freelance.

Maybe the "specifics" of here marketing do escape you.

Could you rephrase that?

[CoolStuff]

Bumping this..

[learningtogrow]

This is the big picture view. In rela life you have to figure out the details. How much does your solution cost? Are there enough people who would pay for this? All these questions are what business at it's core is about.

So I have an idea for a product. I seem to be stuck at the exact questions you say to ask. How does one go about finding out the answers to costs, markets etc?

[CoolStuff]

^ I would say ask people who are in the same market. Somehow try to obtain a decent perspective of it. You could try forums. You could try pretending you are a client for one of the services (I wouldn't go too far with that though, you don't want to waste someone's time).