designing an mba

profit is not a leftover

By megan on May 12, 2012

Yesterday, while working on my talk for SNAG on Creating a Culture of Profit, I got a little stuck.

So I called Tara.

“What’s your definition of profit?” I asked

“It’s the money that’s left over after after your business and personal needs are met.”

“That’s mine too.” I replied. “But I don’t like the phrase left over. It makes profit feel like an afterthought.”

Light bulb.

Here we are, championing profit. And yet, we weren’t working off the best definition.

Profit is not something to add on at the end, it’s something to plan for at the beginning.

This major revelation (plus another minor one) means I’m reworking everything. My Etsy talk. Pricing for Profit. And I feel even more confident about the need for my talk on Creating a Culture of Profit.

I’ve scrapped my old formula (mostly) and am working on a new model that puts profit first.

So if you haven’t yet signed up for the Handmade Spreecast, the Etsy Success talk, or (a little further down the road), the Artful Business conference, don’t wait.

Even if you’ve heard me speak about pricing a hundred times before, this time will be different.

(Oh, and about that Pricing for Profit update. You’ll be the first to know when it’s done!)

Pin It

Posted in , , | 5 Responses

is Pinterest the right tool for you business?

By megan on May 10, 2012

Pardon me while I vent for a minute.

A friend just forwarded me an email from Daniel Pink‘s newsletter in which he talks about Pinterest. He says, “By now, you’ve heard of Pinterest. You may even know that it has become the planet’s third most popular social network. But I have to say, I still don’t totally get it — and I suspect many of you may not either. After all, if you’re not planning a wedding, or collecting recipes, or dreaming of a new home decor, what’s the point of pinning?”

I like Daniel Pink. But if I have to read (or listen to) one more influential thinker dismiss Pinterest because “they don’t get it” I’m going to scream.

Just because you don’t get something doesn’t mean it isn’t valuable.

And I am damn tired of having what I feel is the most empowering and useful social media site for makers and designers that’s been created so far being dismissed as a trivial site that’s only for planning your wedding. (PS. In case you weren’t paying attention, wedding planning IS big business.)

I didn’t jump on Pinterest right away, but once I got on, I got it. And despite a few copyright stumbling blocks, I find myself increasingly inclined to defend Pinterest and fight for it’s value. (Especially after hearing Pinterst founder Ben Silbermann speak at Alt Summit. How do I know Pinterest is something special? The feeling I got hearing Ben speak about it.)

You see, so many of the social media platforms that existed before forced makers and designers to translate our work into language. The problem lies in that putting visuals into words is pretty subjective. What I describe in one way you might describe totally differently. We could be looking at the same thing and speaking a totally different language.

But on Pinterest, the focus is on the visuals. What I say about something matters less than the visuals that I’m sharing.

True, there are other sites that focused on visuals before Pinterest. (Like Flickr.) But none make sharing other people’s images (and therefore, the stuff they create) as easy and enjoyable as Pinterest.

I don’t need stats and charts to tell me that Pinterest is a powerful tool for marketing your business and connecting with consumers. I’ve seen it for myself. People are buying things they see on Pinterest. Yes, they’re also pinning inspiration, swapping recipes, and a ton of other stuff too. And all of that is equally valuable. On Pinterest, people are sharing culture. (Visual culture is every bit as much culture as anything else. Don’t let those word people let you think otherwise.) And that’s pretty powerful.

If you don’t get Pinterest, that’s fine. It’s probably not the right tool for your business. But that doesn’t mean that it isn’t valuable.

To that end, I created a little flowchart to help you figure out if Pinterest is right for you:

Yes, it’s a slight oversimplification. But hopefully it clears up this “I don’t get Pinterest” issue once and for all. (And I can finally stop feeling my blood pressure rise.)

* * * * * * * * * * * * * * * * * * * *

Want to know more about promoting your products with Pinterest? Check out my video tutorial! (It’s free.)

Pin It

Posted in , | 35 Responses

the world doesn’t need MORE stuff, it needs YOUR stuff

By megan on April 30, 2012

What do do when morals and creativity clash.

A few weeks ago, when I asked “Can you tell me the value your products provide?” I got the following email from a reader:

“I am into a minimalist phase in my life and strongly believe there is a big consumerism problem in this world. My life has changed in different ways and I’m proud of it. The problem now is that I don’t know how to sell my work anymore because of that! I tend to think “Do people really need to have this?” and that not only kills my sales but starts to affect my creativity.”

This email has been on my mind ever since.

I know this reader isn’t alone, because I’ve been there.

The summer before my last year of grad school, I took a workshop at Penland School of Crafts. There I was, in the beautiful mountains of North Carolina, as the studio assistant for a dream teacher, learning exactly what I needed to learn to make my thesis happen, and I was miserable.

I was having one of those “what am I doing with my life?” meltdowns that affect so many creatives. I was concerned that I wasn’t putting anything of value into the world, that I wasn’t making a difference, and that I was just contributing to the problem of consumption and waste.

Obviously, I got through it. But I know a lot of other makers who didn’t. And others who are struggling with it right now.

It’s the dip where our moral sensibilities run headlong into our creative desires.

It’s true that we live in a world of overconsumption, overproduction, and waste. But what’s sad is that this has led us to devalue all stuff, including stuff that is actually pretty amazing, beautiful, and life changing.

Some stuff is better than other stuff, and the world needs that good stuff. And if that’s what you’re making, then the world needs YOUR stuff.

But here’s what worries me. If we, as makers, can’t understand that there’s a difference between earrings produced in a sweatshop and sold at a big box store and earrings made by hand in a sustainable way, then we’re all in trouble.

I have a capitol L liberal friend who wasn’t sure if she should have kids. She wanted kids, but was worried about overpopulation. “The world doesn’t need more people,” she thought. But then she had an important realization. People will always have children. But if people like her, people who cared about the environment, and social justice, and raising responsible citizens, stopped having kids, then that message wouldn’t spread. Then the only kids being born would be raised by parents who didn’t care about any of these issues.

The same is true for the stuff you make. People are always going to make stuff. And more importantly, people are always going to WANT (and need) stuff. Objects help us connect with the world. They communicate meaning and provide sensory experience. Stuff CAN enrich our lives.

Minimalism may be a solution to the problem of overconsumption for some people, but for most of us, its a pretty unfulfilling way to live. The solution to the problem isn’t minimalism, it’s art.

The solution is for YOU to recognize that what you make isn’t the same as the mass-produced, unhealthy stuff that most of us encounter on a daily basis.

YOUR stuff isn’t part of the problem. It’s the solution.

* * * * * * * * * * * * * * *

Here on Designing an MBA I’ll be talking even more about the value that our products provide and how you can articulate that value to others. (I’ve even got an e-book in the works.)

But if you want to learn even more about our relationship with stuff, you can join the movement at stuffdoesmatter.com

Posted in , , | 30 Responses

pay what you can for Marketing for Makers + Business by Design (this weekend only!)

By megan on April 27, 2012

I’ve been hard at work getting the virtual sidewalks swept for the launch of the new versions of Business by Design (previously called Business Thinking Boot Camp) and Marketing for Makers!

As I mentioned in a previous email, these courses are now auto-delivered and start ANY time – whenever you’re ready for them!  This is great news for you, because it means no more waiting around to see if my schedule works with your schedule.

The e-courses still feature the same great content that I’ve always shared, just in a format that’s more flexible for all of us.

And I’ve got even better news!

To celebrate the relaunch, this weekend only you can register for Business by Design and Marketing for Makers (or both together!) at a special PAY WHAT YOU CAN price!

Been wanting to take one of these courses, but haven’t been able to make the money work?  This is your one and only chance to grab them at a lower rate.

But you’ve got to act fast, because after Tuesday, they’ll only be available at the regular price! (Pay What You Can ends Tuesday, May 1st at 11:59 PM Eastern Time.)

I KNOW you’re going to get so much benefit from one or both of these courses, so don’t let this opportunity slip by!

Click here to learn more about Business by Design.

Click here to learn more about Marketing for Makers.

(And both pages give you the option to register for both courses together as well!)

Posted in | Leave a response

exciting changes for Designing an MBA

By megan on April 20, 2012

As part of my current period of reflection, I’ve been thinking a lot about the best way to help you grow your business (in a way that’s sustainable for me as well)! As I’ve been reading and thinking, I’ve become even more sure of my mission to help create a culture of profit in the designer-maker community. I want to help YOU thrive and profit from the things you are passionate about.

So coming in May, I’ll be making a few changes to the way I structure some of my programs and courses. Here’s what you can expect:

E-Courses on Your Schedule, Not Mine

I run two businesses. I travel a lot. Sometimes my schedule gets a little crazy. Which means it can be difficult to make my e-courses fit into my schedule. But I know that the content in my e-courses has the potential to help a lot of people. (Because I’ve seen AMAZING results from many of my students!) So I’m changing the way I deliver content on two of my e-courses, Marketing for Makers and the newly renamed Design Your Business. (Previously Business Thinking Boot Camp.) You’ll still get all the great videos and worksheets, but now the courses will be auto-delivered straight to your inbox. This means you can take the course when it’s best for you, not me.

The new version of these courses will launch on May 1st. Make sure you’re on the email list to be the first to know!

More Love for the Honors Program

Of course, I know that some of you will still want the opportunity to work directly with me. Which is why I’m keeping the Honors Program. The Honors Program will still give you the opportunity to work directly with me through group coaching phone calls, to connect with fellow makers via a private website, and of course, full access to EVERYTHING I have to offer (ebooks, ecourses, etc.). But starting with the next group, the Honors Program will now be a six month commitment. Given the progress the current group is making (they are kicking butt!) I think this time frame makes more sense. But, all Honors Program members will get free, lifetime access to a special alumni group and website after the course ends.

Registration for the next session of the Honors Program (which starts June 15th) opens soon!

New and Improved E-Books

I’ve also been hard at work improving my current ebook offerings and outlining some good new things to come. The Wholesale Guide is getting a total makeover, and I’ve got some ideas for improving Pricing for Profit to really dig into the psychology and power of price. (Though I’m pretty sure this will turn into a whole new product.) I’m also working on a brand new e-book designed to help you understand and communicate the value that your products provide. (I’m so excited about this one as it’s part of my bigger project to help repair our unhealthy relationship with stuff.)

There’s nothing I love more than seeing my fellow makers grow their businesses, and I think these changes will be a long way towards making that happen!

Posted in , | Leave a response

what your price says about your brand

By megan on April 18, 2012

Last week I received an email from a reader that I’ll call L. L had gone through the worksheets in Pricing for Profit and in order to make the kind of profit she was hoping for, she realized she’d need to double her prices. In her words:

“This brings my pieces to double what I’m charging retail now and I’m in line with the going market rate.” (Emphasis mine.)

L concluded that she would have to charge $85 retail, while her competitors where charging around $35 to $40 retail.

When I pressed L a little more about her competitors, she sent me links to two Etsy shops selling the same type of product for $35 to $40 retail, and the link to one other company, who is “Not really a competitor – they own the market.” That company, a small, eco-conscios, design oriented company (according to their website), was selling the same type of product for between $140 and $160 retail.

Jackpot!

L’s perception is that this company isn’t really her competitor because they’ve been around for a while, and have lots of press and a celebrity following. But if I were in L’s case, I would WANT to make this company my competitor. I would WANT to look like a credible brand with a big following. I would WANT to raise my prices.

Thinking about L’s situation led me to create the incredibly unscientific graph you see below:

We tend to think that the only concern that people have when it comes to price is that it’s low. But your prices go a long way in influencing the way your customers perceive your brand.

On the lower ends of the pricing spectrum, customers are apt to think one of two things. Either you’re a hobbyist, just doing this for fun. Or you’re a major company, mass producing products overseas.

But in the middle of the graph (what actually amounts to the highest prices) is the SWEET SPOT. These prices communicate any number of things about your brand. That you are an artist. A visionary. A designer. A craftsman. That you are creating products worth valuing.

L’s competitors fall in the hobbyist section of the graph. Her non-competitor? They’re in the sweet spot.

Now price isn’t the only way customers perceive your brand. L’s non-competitor does a great job of giving the customer other reasons to value their product. They have a professional looking website that also shares the designers’ personal stories. It’s the sweet spot of websites, if you will. They communicate the story and meaning behind their pieces. And they have those celebrity fans and press.

But how did this company have the time and money to go after such press? It wasn’t by charging $35 for their pieces.

There are no numbers on my chart because the numbers that get you to the sweet spot will look drastically different for every type of product. L probably doesn’t have to move to $150 a piece to get to the sweet spot, but there’s no reason she can’t situate herself nicely in the $100 to $120 range.

L isn’t alone. Most makers need to raise their prices. But this isn’t a bad thing. In fact, it’s an opportunity to move into the sweet spot and let your customers know just how valuable your products really are.

Pin It

Posted in , | 43 Responses

what value does your stuff provide?

By megan on April 17, 2012

When I first laid out my plan for creating a culture of profit, I said it was based on two principles:

1. Be confident in the value your products provide.
2. Embrace the idea that it is ok to make a profit.

The more I’ve worked with designers and makers, the more I realize that many of us have difficulty articulating the value our products provide.

I have a number of theories on why this is the case, and I’ve been researching one of those quite extensively. (More on that soon.)

But now I want to hear from you.

Can you tell me the value that your product provides? Or is this something that you struggle with?

I’d love it if you would leave a comment sharing either your value proposition (the value you think your products provide) or your struggles in articulating this value.

Posted in | 11 Responses

the power of reflection

By megan on April 11, 2012

When was the last time you gave yourself permission to to reflect on your business? What about your life?

Over the last few months, I’ve been working on a philosophy of business in general and marketing in particular that focuses on sharing. That the best way to promote your business is to look at what is going on and ask, “what can I share with my audience?”

This commitment to sharing has always been the best for my business – it’s produced the best content for Designing an MBA and the most effective marketing for my jewelry line.

I stumbled upon this image on Pinterst from Austin Kleon’s book Steal Like an Artistthat pretty much sums up my philosophy:

“Do good work and share it with people.”

And I still believe this to be true.

But over the last month I’ve learned a valuable lesson. That just as sharing is a good idea for our business, so is reflection. That sometimes it’s more important to think than to share. That sometimes it’s more important to be a sponge than a megaphone.

This past month, I haven’t felt much like sharing. So instead, I’ve been taking the opportunity to reflect.

To think about what it is I value in business and in life.

To read and absorb and hone my personal philosophy.

To hunker down and spend some time with me.

I’m still very much in this mode of reflection, and I’m not quite ready to share what I’ve been working on. But I wanted to let you know that when I am ready to share, its going to be worth the wait. I’m getting some clarity on a lot of levels that I know will benefit all of our businesses.

But in the meantime, I want to encourage you to spend some time reflecting on your own business. Don’t be afraid to take a step back from the hamster wheel. (For me, that means not worrying so much about making money this month. I know there’s time for that later.) Take a step back form the daily grind of your business and think about your purpose, your systems, and your opportunities. What you find might just change everything.

Posted in , | 6 Responses

3 simples sales tricks

By megan on March 1, 2012

While I was at Buyers Market, I put together this little video featuring three simple tricks to help you be a more confident salesperson.

* * * * * * * * * * * * * * * *

Want more tips for sales success? Want to feel confident talking up your products at trade shows? Registration is now open for the next session of Wholesale Academy!

Posted in , , | 8 Responses

behind the scenes of my trade show booth

By megan on February 28, 2012

My trade show booth design is built around having hard walls. The section I’m in at New York Gift provides walls as part of my booth package, but for the Buyers Market, I have to bring them myself. Since so many people have asked how I put them together, I put together this little video to share!

The hard walls do take a little bit of effort to transport, but the effect is totally worth it!

* * * * * * * * * * * * * * * *

Want a more in-depth look behind the scenes of my wholesale business? Want feedback on your wholesale business? Registration is now open for the next session of Wholesale Academy! (But space is limited!)

Posted in , | 11 Responses

Next »