In the previous post, I explained how I found the motivation to create Drinkizz with my co-founder. As I mentioned, I use the META framework to guide my entrepreneurial approach. To recap, the Motion focuses on the purpose of a project (see my previous post), Engagement clarifies the actions not to miss to increase chances of success, and that’s the subject of this new post. In the next two posts, I will cover the areas of Treasury (finance) and Assurance (legal and governance).
Regardless of your situation, experience, and type of project you have in mind, you will need to deeply clarify the following six topics that form the Engagement domain of the META-Entrepreneur. I guarantee that clarifying them will prevent you from failing, though not necessarily lead to success. Success is not a mathematical equation and cannot be achieved with a single method. Do not believe in the magic formulas some gurus try to sell you. It’s simply impossible. However, it is entirely possible to avoid failing certain tasks that will inevitably lead to loss if done poorly.
Ready to discover these six topics? Here we go.
- The Idea. Of course, a good idea is essential. But what is a good idea? For me, it must have three qualities. First, the product or service developed must have an intrinsic characteristic that is considered the DNA of the solution. This characteristic exists from day one and remains the same throughout the company’s existence. The business model may pivot as needed, but always from a solid axis represented by this intrinsic characteristic. Secondly, the idea must allow for scaling in a reasonable and credible manner. What’s the point of creating a business that can’t grow naturally? Finally, there must be a sufficient barrier to entry to accumulate at least a two-year lead over competitors. Drinkizz perfectly meets these principles: a natural and energizing drink in a new market segment, Organic Natural Energy (ONE), that we are creating from scratch. This is our fundamental intrinsic characteristic. Additionally, it’s a product that can be understood by consumers worldwide, across all cultures and consumption habits. Finally, the drink’s recipe contains several subtle ingredients with a natural production method that is impossible to simply copy. The taste is unique, the production is unique, and the market impact is unique.
- A Second Source of Revenue: From the launch of Drinkizz, we knew that the effort to explain our innovative product to the market would be considerable. It’s not just about introducing a new beverage brand, but accumulating enough interesting knowledge for our customers and partners so they positively view us and gradually adopt our product. This capitalization of knowledge can then be monetized in the form of training, franchises, and support. Drinkizz is not only a company in the beverage industry but also a knowledge management company in its market and practices. Thus, our training on dietary well-being, the use of organic and fair-trade labels with farmers who supply ingredients, comes with training on the use of Artificial Intelligence, blockchain, and No-Code computing that serve as the foundation for our digitalization.
- Having an Offer Outside of Competition: This “outcompete” effect of the offer is quite magical with Drinkizz. We operate in a crowded market with many different drinks, but none exist yet in the Organic Natural Energy market. We identified a kind of niche where we build a launch pad to grow away from direct competition with other industries. I didn’t want to create Drinkizz just to offer another flavored tea drink or another more or less organic energy drink. I wanted to build a drink that is impossible to invent and difficult to sell without a lot of support and education. Drinkizz was born from this somewhat crazy vision of being outside the competition. This doesn’t mean being nowhere but simply having the conviction that the market will need our product even if it isn’t aware of it yet. Being “outcompete” is a bit about choosing a niche that most people don’t yet understand. The deeper the educational effort, the stronger the value creation. That’s Drinkizz’s positioning. It requires a lot of intelligence, tenacity, and patience in operations to avoid falling into ease and drifting away from this “outcompete” positioning, even if it’s challenging at the start.
- The Co-founders: If possible, avoid creating a business with a co-founder you haven’t known as a business partner for at least three years. For the group of co-founders to hold together over time, even when everything seems to be collapsing and abandonment is near, an incredible and strong level of trust is necessary. This is very rare but so important for success. I was lucky to build such a relationship with Ms. Tyna, CEO of Drinkizz. Before creating Drinkizz, I had the opportunity to work with Tyna and understand her values in the context of her organic farming activities in Vietnam.
- Support: For a young team of entrepreneurs, it is very important to surround yourself with a mentor who has entrepreneurial experience. In the case of Drinkizz, I already had extensive entrepreneurial experience, which allowed us to start without an identified mentor. However, I am fortunate to have contacts with high-level professionals in Vietnam who assist Drinkizz at various growth stages. We will soon be in a good position to create our advisory board, an additional pillar to establish our strategic vision in the market. It is very important for the group of co-founders to open up to other leadership skills, not only through the recruitment of key people but also by collaborating in the advisory board. This is why I myself advise on the advisory boards of several startups to help them succeed. Sharing experiences is very important in entrepreneurship. Don’t work alone!
- Selling the Company: You might find this point premature when starting a business, yet it should be addressed even before the company’s creation. You need to decide with your co-founders the conditions under which you will sell the company later, perhaps in 5, 10 years, or more. Obviously, it’s not easy to project that far, but in the field of investment known as Private Equity (investment in companies not listed on a public market), the investment horizon is between 8 and 12 years. You must decide at what value of the company the group of co-founders will collectively agree to sell: 2 million USD, 30 million USD, 100 million USD… 1 billion? Be reasonable in the minimum and maximum valuation limits. If it’s to sell the company for 100,000 USD, the goal seems quite modest, and if it’s 500 million, it’s too pretentious at the start. Generally, an exit value between 30 and 100 million USD is very good to set a common rule at the company’s inception. You can change it later if necessary, but at least you won’t be without a safety net to avoid future conflicts between co-founders.
SO, WHAT NEXT?
Obviously, the format of a blog is a bit short to explain everything, so I recommend this: take a can of Drinkizz with you and read my book “META-Entrepreneur” where I provide all the details of these tips. You can also contact me via my email!
In the next post, I will talk about the next element of the META entrepreneurial framework, which is finance with Treasury. It’s also a very vast domain!
See you soon!”
Useful links
Organic Nature Energy drink by Drinkizz: O.N.E Drink (Organic Natural Energy ) – Drinkizz Shop
Training Drinkizz : Training session – Drinkizz
Good Energy without delay!
Pierre Bonnet
