…Or ground-breaking. Or develop a wonder-drug. Or an app that no-one’s ever dreamed of before.
If you want to be successful in business, you don’t need to do any of those things.
You just need to be 10% better than your competitors.
And now let’s travel back in time. The year is 1985. The place is Seattle. A husband and wife are having a conversation…
Wife: This is madness. I’m pregnant with our first child and you want to throw in a good job and start a business based on a trip to Italy!
Wife: And how much do you need?
Wife: Do we have $400,000?
Husband: You know we don’t
Wife: So you’re going to borrow the money. You’re going to risk everything – including the future of our child – because you want to open a coffee shop. Like the world needs another coffee shop. For God’s sake, Howard, you have a good job with Starbucks…
If you haven’t guessed, the husband was Howard Schultz – then just about to sink $400,000 of borrowed money into Il Giornale, a coffee shop based on a trip to Italy – where they sold excellent expressos, where coffee shops acted as meeting places and where there were 200,000 of them. Two years later the original Starbucks management decided to focus on Peet’s Coffee and Tea and sold its Starbucks retail units to Schultz and Il Giornale for $3.8m. The rest, as they say…
But in many ways, Mrs Schultz was right. The world didn’t need another coffee shop.
The world didn’t need another operating system either. Windows? IBM, Atari – about half a dozen companies already had operating systems.
Neither did it need another social network. It already had Friendster and My Space.
And with seven search engines already operating, the world most certainly didn’t need Google…
But Howard Schultz – along with Bill Gates, Mark Zuckerberg, Larry Page and Sergey Brin – knew he could do it better.
And that’s true of 99% of the business successes I’ve seen. For every one ‘why has nobody thought of that before’ idea, there are 99 businesses that have succeeded by simply doing it better.
Unless you’re a creative genius, the very-high-chances are that the business idea you’ve just had has already been thought of. In fact, as soon as you’ve had the idea you’ll find that everyone is doing it.
That is not the time to be discouraged. Exactly the opposite: all you’ve done is proved that there’s a demand for your idea. Now, you simply need to go out there and consistently deliver a better product or service.
Starbucks isn’t significantly better than its rivals. But – as I’ll describe next week – the remorseless attention to detail that Howard Schultz ingrained in the company’s DNA means it is that crucial 10% better in several key areas.
Let me finish by returning to that conversation between Mr and Mrs Schultz. The numbers and the business may be different, but I’ll wager heavily that a lot of people reading this blog had exactly that conversation.
And no – the world didn’t need your business. But like Howard Schultz, you had the drive and the vision to believe that you could be 10% better: the 10% that makes all the difference.
The world didn’t need another peer-to-peer business coaching company either. After all, anyone can get together with a few friends and create a mastermind group. Just make sure the group is a good fit, commit to meeting each month, find someone to coach you and you’re away…
Except it’s not quite that easy.
Like Starbucks, Google and Facebook, I absolutely believe TAB does it that crucial 10% better. It’s what makes our business model so successful – and if you’re not a member of TAB York, it’s what could add the vital 10% that would make all the difference to your business.