Limiting Beliefs or Realistic Beliefs? The Real Barrier

[jpa0827]

I have been thinking for awhile about limiting beliefs when it comes to starting a business or launching products. Why is it so damn hard for many of us to decide what to do or find the right niche?

@Vigilante and @biophase have put threads up on the forum clearly showing their process and how they are selling soap and candles just to prove that you can start any business. @JackEdwards has clearly stated that you can get into any industry and start a business.

We all have our personal issues, whether it's fear of failure, pressure from family or friends, embarrassment, fear of success.

The question I have really been struggling with has to do with building a brand using private label products and the size of business that one can grow with private label products. I certainly believe that you can sell a private label on amazon or online, but will the product ever be able to make it to Brick and Mortar Retailers? Why get into something if you can go BIG?

Is the statement below a limiting belief or just being realistic?

• If I sell a private label cleaning product it is no different than any of the others; therefore, no retail store would want it on the shelf because it doesn't have a large brand name to help sell it and because it is a private label product they could make it themselves and increase their margin.

My Observation:
Limiting beliefs are so hard to overcome, because it is hard to tell if your beliefs are actually valid and realistic. This is why so many like @zen******* believe in testing everything.

For instance, In my statement above, I think to myself, can I really out market P&G or any other soap company for shelf space in a particular soap niche? Possible, but highly unlikely. Maybe in this example, the goal and the market is too big? Maybe, I just have a very bad mindset.


What are your thoughts on all of this craziness in my head? I know I am not alone and I hope others will benefit from this as well.

 

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[Jonleehacker]

Why is it so damn hard for many of us to decide what to do or find the right niche?

Because we think the battle or journey to becoming rich is outside of us, but it is 100% an inner journey.

Once you are committed to the process of finding what works within, the riches will manifest in everything you do. Niche selection will become irrelevant.

If you continue to look at what you are doing, rather than why, and how you are doing it, you'll just stay lost and disappointed.

 

[Enki]

Possible, but highly unlikely.

reiterate "Possible" in your thought processes at least 17 times after every "unlikely".

Will I have a best selling book in my first year of self publishing? I have zero experience so it is "Unlikely", but it is still possible possible possible possible possible possible possible possible possible possible possible possible possible possible possible possible possible.


.

 

[RHL]

The obvious answer is laziness. 99% of the time, that's what it is. Doritos and Reddit are a lot easier than cold calls and sleepless nights.

What about the other 1% though?

To figure it out, look at "The Wolf of Wall Street."

Why do you think Jordan Belfort's story got made into a move, and not, say, Mark Cuban's?

Because the culture has conditioned us to associate billions with either grizzled CEO's who are about to retire after climbing the ladder for a lifetime, like Rupert Murdoch, or else with people who had somehow cheated the system, either by being born with some prodigious innate trait (being 7 ft tall, or having Marisa Miller's facial features), got lucky enough to win the lottery or get recognized for their musical offerings, or the favorite film narrative on how to cheat the grind, theft and illegal activity.

The public won't consume a movie about a guy who works in a redbull fueled haze for 100 hours a week for years with little success, has a break, slowly grows to dominate his market by anticipating customer needs, and eventually has $10,000/day rolling in while he sits next to the pool. I think the reason for this falls into two groups:

1. Working your a$$ off with no innate talent or fame is something anyone can do. No longer could you leave the theater and say, "wow, I'd love a Countach and a yacht, but I don't want to break the law and I don't have talent, so I guess it's the universe's fault I'll never have it." That'd make people very uncomfortable. People at the movies wouldn't want that.

or

2. It would break people's mold of expectations regarding the process of life for the everyman. If you don't look like a runway model and can't dunk from the 3-point zone, you have to go to college, get a job, and work for a good boss. Without that, you'll never make it. That's the road to prosperity. Too bad they don't do research, because what they'd find is that this is the most common Wikipedia sidebar for billionaires (4 here for reference, Jobs' net worth is no longer listed because he's deceased but I think it was around 14b):

Clearly, something is amiss with the belief that success=Degree+Job+Effective Saving for 45 years. It's not widely known that you can just bypass parts of this equation entirely, that even if you flunked out of school or couldn't afford to go, you can still set a course for early retirement. People are so conditioned to think that "it must be luck" "it must be innate talent" "it must be too good to be true, it must be an illegal scheme" that they feel paralyzed about where to begin. They maybe have an idea that meets a need, and look at the market and have a notion of how to put it out there, but think, "It can't be that straight forward, the door to prosperity can't be that open to anyone willing to put in the time and labor, can it?"

I found out the first time I ever made $3,000 in a single work day that yeah, it pretty much is.

 

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[tafy]

I certainly believe that you can sell a private label on amazon or online, but will the product ever be able to make it to Brick and Mortar Retailers?

Yes it can easily! There are millions of big brands that use private label, Sony use private label for a start on quite a range of products.

Some big brands will ask the manufacturer to only sell that design to them in that particular country, so a private label kettle by a big kitchen brand for example. The manufacturer wouldnt sell that design to another company in the US.

If you are talking about chemicals then it is hard, but everything is hard to break into. You have to find your need thats not being met.

Example: In the hotel kitchen here we have to use a sanitizer for food surfaces by law, but kitchens are a bit greasy too so a degreaser cleaner is also needed sometimes for the same area. There is one company that sells a 2in1 product that sanitises and degreases but they charge 3-4 times more than 1 of the products. A need like this could be the easy way to break into an established market and would make sales calls much easier. So the rule of 10 times better or 10 times cheaper is a good thing to think about.

 

[jpa0827]

Yes it can easily! There are millions of big brands that use private label, Sony use private label for a start on quite a range of products.

Some big brands will ask the manufacturer to only sell that design to them in that particular country, so a private label kettle by a big kitchen brand for example. The manufacturer wouldnt sell that design to another company in the US.

If you are talking about chemicals then it is hard, but everything is hard to break into. You have to find your need thats not being met.

Example: In the hotel kitchen here we have to use a sanitizer for food surfaces by law, but kitchens are a bit greasy too so a degreaser cleaner is also needed sometimes for the same area. There is one company that sells a 2in1 product that sanitises and degreases but they charge 3-4 times more than 1 of the products. A need like this could be the easy way to break into an established market and would make sales calls much easier. So the rule of 10 times better or 10 times cheaper is a good thing to think about.

When you say chemicals are hard, do you mean because it is so easy to go to a chemical manufacturer and have them bottle something for you?

 

[tafy]

When you say chemicals are hard, do you mean because it is so easy to go to a chemical manufacturer and have them bottle something for you?

So you think its easy to get a chemical company make a private label for you, it probably is easy to do that. Thats not the hard part.

Chemicals are hard because they are utility product and of heavy weight and low cost. To break into a market like chemicals your going to have to go into it with huge investment in stock (bulk) and low margins. You need a distributor to deliver and sell the product also. Whats not hard about it?

 

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[Bowden]

Get all the nonsense out of your head. Don't sweat on if you can do it or not. Do it and if you suck at your first venture, it will give you tons of knowledge on how you attack your second venture.

 

[jpa0827]

So you think its easy to get a chemical company make a private label for you, it probably is easy to do that. Thats not the hard part.

Chemicals are hard because they are utility product and of heavy weight and low cost. To break into a market like chemicals your going to have to go into it with huge investment in stock (bulk) and low margins. You need a distributor to deliver and sell the product also. Whats not hard about it?

I get what you are saying. I definitely don't think its an easy business. Getting the product is easy, at least in my opinion. WHat is so hard about calling a contract manufacturer and saying put this in a bottle and slap my label on it lol.

Selling it is a completely different story. That is what my concern was. Competition is stiff, which means there is money in the game. I know zen******* LOVES competition, but he also knows what he's doing at this point. I'm debating if products of this level of competition are worth spending a couple grand on testing.

My initial thought or limiting beliefs are that if I jump into a competitive market similar to this or exactly like it, I probably should have a lot more money behind me. Or do you say screw it, and go wide open, put your head down and charge forward anyway. I guess its a balance between calculated risk and stupid risks.

I definitely am not risk averse. I've been trading marekts since I was 15 when I first asked my dad to open up a shared account for me until I turned 18. Been doing it ever since.

But there is the mindset question again. Am I being Realistic or do I have limiting beliefs???

 

[Oven]

The problem with having a successful business is that's it's always going to be hard. Every business is going to have problems and every business is going to have a reason to not go into it, you just have to take the risk and do it. Expect to fail a few times but at least you won't spend your whole life looking for the perfect business.

 

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[tafy]

Is the statement below a limiting belief or just being realistic?
If I sell a private label cleaning product it is no different than any of the others; therefore, no retail store would want it on the shelf because it doesn't have a large brand name to help sell it and because it is a private label product they could make it themselves and increase their margin.

Retailers dont generally get involved in private labels unless they are super huge. You say its no different but to the customer but it is totally different depending on the brand behind it. So quite a lot of limiting beliefs!

You dont mention which part of chemicals you wish to attack, lets say you go for more of a niche area but super useful you could become the lead brand for that niche if you choose to do that.

Example: You want to go for a yard cleaning product for dog owners and kennels that will remove the bad smells and leave it smelling fresh, you could be the lead brand without spending millions. If you go for kitchen floor cleaner then you need millions behind you.

 

[jpa0827]

Retailers dont generally get involved in private labels unless they are super huge. You say its no different but to the customer but it is totally different depending on the brand behind it. So quite a lot of limiting beliefs!

You dont mention which part of chemicals you wish to attack, lets say you go for more of a niche area but super useful you could become the lead brand for that niche if you choose to do that.

Example: You want to go for a yard cleaning product for dog owners and kennels that will remove the bad smells and leave it smelling fresh, you could be the lead brand without spending millions. If you go for kitchen floor cleaner then you need millions behind you.

Funny you mentioned that example. I was actually thinking of testing out sales on a pet cleaning product like that for a niche and using Jackedwards distribution model that he used in his Diary of opening a new business thread to target independent pet stores.

Also, in regards to super huge chains. You are right they do create private labels and they are doing it even more now to increase margins, which was my concern. It seems like only a few niche's really have a lot of independent retailers. The big box stores have gobbled a lot of them up. I may be completely wrong, but that is what it seems where I live. This is why i was think the more rural areas might be where I have to target if I want to get into retailers with any specific product.

 

[wilddog]

jpa0827,

I highly recommend you read the book, `Poorly Made in China.`
The book is actually about an American living in China that helps importers deal with typical supplier problems/sneakiness.
However, the book studies an actual process where a US importer is buying shampoo/bath soaps from a Chinese chemical company.
This may be very helpful to you because this importer started selling his no-name brand at the Dollar Store and wound up doing private labels for several large US retailers. And this was done despite the troubles the chemical company gave him.
Essentially, what I'm trying to say is that the only barrier is the one in your mind.

 

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[RogueInnovation]

"Am I being realistic or is it a limiting belief?"

They are both absolutely true.
It is a limiting belief to say "and I can't do better than this thought!"
It is a realistic thing to say "this attitude, and this way of looking at it doesn't have what it takes to succeed... yet!"

Your limiting beliefs seem to center around being a "phony".
It is not "true" that you are a phony, it is true that you don't yet know how to do diligence.

And diligence is "in the grind", gaining enough knowledge so that you DO have the authority to answer your own questions.
Don't reach for answers, reach for the actions that make you the one that sells these products.