Tap Virgin Markets: Paul Polak’s Strategy for Eliminating Poverty and Making Millions
2009
Paul Polak’s enterprises have made over 200 million dollars. But he isn’t chasing after existing markets, he’s creating new ones — virgin markets as he calls them, in the most unlikely of places. Places where people earn less than $1 a day. Polak’s premise is founded on his sound experience at International Development Enterprises (IDE), a nonprofit he co-founded in 1981 to develop income-generating tools for subsistence farmers. Here’s how you can do the same for your business.
1. Think Simple.
I asked Polak how he came up with such brilliant solutions to people’s seemingly impossible problems. He told me that first he interviews his subjects in depth. He listens deeply to people when they discuss all the different aspect of their lives, how they interact with each other, how they grow and gather food, what parts of their lives present the most difficulties.
Then he thinks about what would help. He told me he finds the most obvious solution that other people just don’t see. When he develops products he imagines the LEAST high tech solution that could be implemented. He creates products that don’t depend on a complicated infrastructure to work. In other words, what product would work right now given the limitations that exist. Take a look to see what is obvious that you may be overlooking.
2. Find Virgin Markets.
So many of us are looking at markets that already exist and asking ourselves what can we sell them that they don’t already have. Polak says go after the people who can’t pay him now, but who can in one-six months.
These people will also be able to support your products through their own innovation and expansion providing you opportunities to sell more in the future. As they grow, you grow. As they expand you watch to see what else they need that you can provide. Polak says it’s his close connection to his customers that lets him see what’s needed next.
3. Create Customers For Life.
We’ve all heard this. It’s challenging. Often once you’ve sold someone something they become self-sufficient and no longer need you. These circumstances demand constant innovation. Polak says he takes things one step at a time, often not knowing what the next challenge will be or if he can make it work. He takes the attitude that some things will succeed, others fail, and so what. You move forward and discover what your next move will be when it appears. As Thomas Edison said, “No I am not discouraged, because every wrong attempt discarded is another step forward.”
Watch video footage of Paul at a private party I attended recently.
Read about my meeting Paul at a private party here
