Creating a Brand That Matters More Than Just a Business
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Chapter 1: The Essence of Branding
In today's world, everyone embodies a brand—including you!
Initially, I aspired to become a billionaire, following the typical path in Silicon Valley: I embarked on a startup journey. Here’s how it unfolded: I left my job, dedicated six months to product development, launched it, and ended up with zero customers. Faced with dwindling funds, I was at a loss regarding where I went astray. My ambition was to mirror the success of Jeff Bezos in 2019.
Upon reflection, the error was clear: I concentrated excessively on product development while neglecting the distribution channel, which is crucial for driving traffic to your business—be it through your YouTube channel, Instagram profile, or blog.
I now contend that those wishing to venture into self-employment should prioritize developing a distribution channel over creating a product.
Section 1.1: Why Distribution Channels Are Crucial
The primary rationale behind advocating for a channel-first strategy rather than a product-first one is simple: failing to establish a distribution channel can be more detrimental than struggling to create a product.
Here are three compelling reasons why channels are paramount:
A Superior Product Alone Won't Ensure Success
In today’s marketplace, having a standout product isn’t enough. Any skilled developer can replicate your website, but they can’t duplicate your unique channel. Thus, a distribution channel serves as a protective barrier for your business. You can imitate a user interface, but you cannot replicate a brand.
Channels Can Be Repurposed for Other Products
Many products inevitably fail, but a well-established channel can be utilized to market alternative offerings in the future. Take Beyoncé as an example; if one product doesn’t resonate, she can swiftly pivot her promotional efforts to another venture, like her clothing line.
Building Channels Takes Time
Creating a robust channel requires patience—you won't rank first on Google overnight. Therefore, it’s vital to start this process as soon as possible. For instance, if your intention is to launch a software business primarily driven by content marketing, begin by generating blog articles instead of developing the software right away.
The video titled "How To Build A Brand, Not Just A Business ft. Chris Do | #TheDept Ep. 13" discusses the significance of focusing on brand building as a vital part of your entrepreneurial journey.
Section 1.2: The Power of Your Brand as a Distribution Channel
It’s evident that channels take precedence over products. Therefore, if your goal is to leave your job and launch a startup, begin with brand development. Your brand itself functions as a distribution channel.
With a substantial following, monetization becomes an attainable reality. Emphasizing your brand yields additional advantages:
- Unique Value Proposition: No one can replicate your individuality, making your business one-of-a-kind.
- Quicker Launch Time: Building a brand doesn’t require coding; you are the product!
- Expertise: You already possess knowledge in your field, allowing you to generate content based on your insights immediately.
Chapter 2: Crafting Your Brand Identity
To effectively build your brand, consider these three pivotal questions:
- What advice do people frequently seek from you?
- What topics can you discuss endlessly?
- What mediums do you excel in: visuals, videos, writing, or speaking?
The inquiries above highlight the content you should create. Questions about career paths, the value of graduate school, or reflections on your past can all serve as potential branding opportunities.
If you're a tech engineer who enjoys offering career advice and prefers video, you might launch a YouTube channel focused on helping others break into the tech industry. Alternatively, if you favor speaking, consider establishing a podcast, similar to the "Front End Happy Hour Podcast." For those who thrive on writing, platforms like Medium or Substack could be ideal.
The same product can be marketed through various channels, leading to entirely different businesses.
Section 2.1: Strategies for Future Monetization
Initially, your primary objective should be to grow your follower base. Concentrate on delivering value at no charge to your audience; it’s not about you, but about enlightening others.
Hold off on monetization until you reach 10,000 to 20,000 followers, as monetizing too soon may yield minimal returns. Earning a few hundred dollars now pales in comparison to the potential thousands you could make with a larger audience.
For instance, Substack experiences a conversion rate of just 5-10% for paid newsletters. However, if you have 10,000 followers and achieve a 10% conversion at $10 each per month, you could generate a respectable income of $10,000 per month, equating to $120,000 annually.
Two effective ways to monetize channels later include:
- Directly generating income from content via advertisements, paywalls, or sponsorships—think Twitch or OnlyFans.
- Keeping content free while selling other products, such as merchandise or consulting services. Dave Ramsey excels at this approach.
Over time, consider layering these strategies to diversify your income streams. Chess Grandmaster Eric Hansen exemplifies this by using his Twitch channel, "ChessBrah," to build a brand that incorporates merchandise sales, subscriptions, and sponsorships.
How to Start Building Your Brand Today
If you aspire to establish a business, begin developing your channel immediately. Your assignment is to create and share one piece of content on a chosen platform by the end of next week.
Your initial content doesn’t need to be flawless. For example, your first YouTube video could simply feature you sharing “3 Quick Tips for How to…” or “What I Wish I Knew Before…”.
Prioritize speed—don’t spend more than a day crafting your first piece. Your initial attempt may not be your best, but that’s perfectly fine.
Aim to reach 1,000 organic followers on your preferred platform. Once you hit 10,000 followers, you can confidently invest fully in your business, as you'll have a solid channel to leverage.
Get out there, share your message, and start creating! Feel free to DM me your first piece of content—I’d love to see it!
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The second video, "How to Build a Brand from Scratch in 2022, Plus the #1 Mistake You Might Be Making With Your Brand," offers valuable guidance on establishing a brand and avoiding common pitfalls.