• Babson University outside of Boston, MA – ranked #1 for their 1-year MBA in entrepreneurship by Entrepreneur Magazine for the last 17 years.
• The Acton MBA in Entrepreneurship in Austin, TX – a relatively new, radically different MBA program founded in 2002 by an entrepreneur and two ex-University of Texas MBA professors.

I decided that I wanted a one year MBA program, which both of them offered. There is not only a higher cash cost for attending a school for two years, but an even higher opportunity cost (because of what you could be making).

I researched and visited both programs, both of which were far superior to traditional Top 10 MBA programs that are great for corporate ladder climbers or future consultants, but useless for entrepreneurs.

Even though I received financial aid from Babson, I decided to choose Acton. Here’s why:

• Classroom environment. Although when I visited Babson I sat in the best classes with the best professors, Acton had a more engaging, energetic classroom environment. If you are the least bit interest in getting an MBA in Entrepreneurship, then visit Acton’s classroom and I guarantee it will blow you away.
• 100% of the classes at Acton are case method. I had been recommended by entrepreneurs that the case method is the only way to really learn what the real world is like. At Acton, when the teacher would ask a question, 10-20 hands would bolt up in the air to have the first chance to respond. It was just incredible how much energy there was in the classroom. Babson had a good number of case method classes, probably around the 50% mark.
• 100% of Acton students want to be entrepreneurs. Although 25% come in to Acton having founded a company and 40% start a company right after school, these statistics are much higher than the single digit percentages shown by other top entrepreneurial MBA programs. A good chunk of Babson students want to be entrepreneurs, but I’d put it in the <25% range
• Every Acton teacher is a full-time entrepreneur. This means they teach part time, which most schools and students would consider a turn off. But as an entrepreneur, it’s exciting. That means the teacher can bring in real world examples from his or her own business rather than just live on theory.
• Types of classes. Rather than arcane topics like Accounting or Organizational Management, at Acton I’ll be taking classes like Life of Meaning, where I’ll discover my innate strengths and interests, talk to successful entrepreneurs about what’s important in life, and learn how to contribute my skills and talents to the world. I’ll also be taking a class called Customers where we’ll practice sales techniques selling door-to-door. In our Operations class we’ll simulate and run real assembly lines. In the People class we’ll learn how to find, motivate, and keep the best people, investors, and partners.
• Philosophy. Although you may discount this reason, it was very important for me. Over 99% of businesses in the US are started by bootstrapping, credit card debt, and friends and family. Why then do most programs (including Babson), continue to focus on venture capital and private equity backed businesses? Acton believes that good business is one that generates internal cash flow, thus doesn’t need investors. This was a very important philosophy to me because I don’t want VCs meddling in my business (if I wanted a boss I’d go get a job). Acton also had some other philosophies I believed in, including that every business is made up of only two parts: Sales or Operations. Also, yes writing a business plan can be helpful, but what’s more important is execution. Then why do so many schools focus on business plan competitions?

When I was making my decision, here were the concerns I had about attending a relatively new program:

• Reputation. Babson did have a much better, and longer, reputation than Acton. But as an entreprenur, what matters most? The pedigree of your institution or your track record. I decided it would be my track record that would attract investors, partners, and employees, but the pretty piece of paper on the wall.
• Cost. A really tough part of this decision was because of the fact that Babson would have been cheaper with the financial aid. However, after talking to friends and family, I decided that the difference of $10-$20k spread over a lifetime is minimal, especially when you consider that if I learned one important concept at Acton that I wouldn’t have at Babson, that one concept could make me millions as an entrepreneur.
• Workload. Acton is known for its ultra intense workload of 100+ hours per week (I thought I could get by with less but after talking to several alumni they say its impossible). I was and still am worried about this, but that’s the price of cramming 2 years of knowledge into 9 months. Had I gone to Babson, yes, I probably could have run my business(es) on the side. But now that I’m going to Acton I’ve had to train my team to grow without me.

Even when I wasn’t sure what to do, I decided that it was best for my entrepreneurial future to go with my gut, and so I went for Acton.

**As a closing remark, I’d like to point out that because I’ll be in Acton’s intense entrepreneur MBA program for the next 9 months, I probably won’t have much time to blog. Once I’m out of the program though I do have some big plans for this blog.

Bryan Daigle

If you accept that change is the only constant, then life suddenly becomes much simpler.

In fact, I don’t know about you, but I enjoy change. Of course, I like change on my own terms, but most of the timing is not up to us. I expect whatever it is I’m doing, wherever I’m living, and whoever my closest friends are, will change. Actually, in the next few months, all of those things will change.

• I’m going to get an executive MBA for entrepreneurs
• I’m moving from Ann Arbor, MI to Austin, TX
• With the move and going back to school, I’ll be making new friends and probably losing some old ones

That’s just life.

Of course, if you don’t have change in your life, it makes it easier. However, without change you don’t get to live your life to the fullest extent. It’s like going to the same restaurant everyday for every mean and ordering the grilled chicken sandwich. Now I love grilled chicken sandwiches, but not everyday. And not for every meal.

A related question that pops up in my mind is, how long will I be making the Headset Buddy? It could be months if all the cell phone and PC manufacturers decide to standardize their headset jacks. It could be 10 years if we keep growing like we have been. It could be 1 year if someone decides to buy the Headset Buddy brand. Who knows? Life’s funny and I look forward to one day looking back and laughing.

Daigle

My answer . . . yes, it will. And it’s way too easy.

Now that you know that your product will be copied, how do you best protect your product from copycats?Conventional wisdom says you should get a patent. But as I’ve mentioned before, patents are only useful for blockbuster mass market products and licensing deals.

Your question should be, “How do I protect my non-patented invention?”

Actually, it’s less about your product, and more about the way you make, deliver, improve, and stand by your product . . . i.e. the business you’ve created around your product. It’s easy to copy your product, and factories in China are more than willing to do so. However, they can’t copy your business. They can’t copy the way you interact with customers. They can’t copy your distribution channels. They can’t copy your brand and reputation. They can’t copy your energy and ambition. They can’t copy your SEO skills (especially since their Engrish is poor).

So, yes, you can differentiate yourself with your product. But to protect your product, profit margins, and livelihood, you need to build a business around the product that CAN’T be replicated.

This is what Coke has done. This is what Crest Toothpaste has done. If you look in your pantry or bathroom, this is what most consumer goods manufacturers have done. They’ve built a product-based business that can’t be replicated.

Following the lead of these successful businesses, my company, Webko, has built a successful business around the Headset Buddy, and because of it, we are #1 in most of our markets.

If there is anything to learn from this, it goes back to my earlier post about listening to your customer for feedback and ideas.

If you’d like to keep up with the latest Headset Buddy products, visit our new Headset Buddy Adapter blog.

1. Most importantly, it increased our defect rate. The goal is to have a defect rate of <1%
2. Didn’t allow for images – a picture is worth 1,000 words, and this is true with packaging as well. I wanted larger packaging to allow for some images of the Headset Buddy in use.
3. Smaller on retail shelf – you want your packaging to be small enough so it doesn’t take up much space, but then again you want consumers to see your product. Somewhere there is a fine line, and I believe my packaging was too small for consumers.

I also got some other suggestions from my friend Billy Carmen. He suggested putting the image on the front, and differentiating package design for each Headset Buddy model since they look similar and could confuse consumers. So our next round (due out in a few weeks) had color coding and a image on the front.

More than anything else, creating a product is about continuous improvement. Packaging is one of those areas that just requires the most improvement!

V1.0

One habit I’ve started for myself is that whenever I show someone the Headset Buddy, before I tell them what it does, I ask them if they can tell me what it does. The point of the packaging is to quickly,clearly, and concisely communicate (not necessarily describe) what your product does.

What I found after asking a handful of business contacts, friends, and acquaintances, is that my insert card was doing a good job telling people what the Headset Buddy does. Just from the name people assumed it was for a headphone or a headset. Some people thought it was a splitter that allows two headsets to be used on an MP3 player. Others thought it was for a phone headset instead of a PC headset.

At first I thought that I was asking the wrong people, but almost everyone was not understanding, within a few seconds, the purpose of the Headset Buddy. So I went to radio shack and looked at other packaging to see what they were doing that I was not. One of the main things other packaging did was have a picture of someone using the product. Also, I realized that my icons on my first design weren’t clear that the adapter was for a PC headset to connect to a phone. I also noticed that most packaging left the detailed specs such as “Mic/Audio 3.5mm to 2.5mm” on the back of the packaging instead of the front.

So for my second design, here are the steps I took to quickly, clearly, and concisely communicate the intended use of the Headset Buddy:

1. Just like I saw on other examples of packaging, I added a picture of someone using a PC headset. Because of the small size of the card insert, unfortunately the picture is smaller than I would like.

2. I changed the icons from this:

to this:

3. I moved the technical specs of plug sizes to the back of the insert.

4. Although this seems like a small change, I modified the description from “Use One PC Headset With Computer & Phone” to “Use Your PC Headset With Phones”. The reason for the change is because people were confused by the dual use of “Computer & Phone.” It should be implied that the PC Headset can be used with your computer, so I just made the statement clear that it can now be used with phones.

5. I also added what the Headset Buddy is compatible with, and trademark/copyright statements to the back of the card.

I’m sure there’s more steps I can do to improve the design, and that will happen by continuing to survey customers. Continuous improvement is the life of an inventor and entrepreneur.

- Bryan Daigle

Dual 3.5mm to 2.5mm Headset to Phone Adapter

Our first shot at packaging the headset adapter

I asked a couple of people at potential retail stores about the packaging, and incorporated their ideas into round two of packaging the product.

So to beef up the look, I decided to put the adapter in a clamshell. That would not only help the perceived value, but just plain make it easier for consumers to understand its value and what it does. Once I have a photo, I’ll post it up here (just finished re-packaging some of them last night). Next step, time to talk to more retailers!

- Bryan Daigle
Inventor of The Headset Buddy – Use Your PC Headset With Phones

I purposely create products where I’m a customer. There are plenty of benefits in doing this, two important ones being that I’m committed to my product, and I know what the customer (me) wants. I’d like to talk about that second point a little more today.

Knowing what the customer wants is incredibly important for design of the product, the marketing material for the product, product differentiation, sales points, packaging, keyword search terms, and even knowing where to sell your product. That’s why it is so important that you would be a customer of the product, so you can get in your potential customer’s head to know what he wants.

However, there are limitations when trying to get in someone else’s mind. People may buy things for different reasons; some may focus on cost, some on utility, some on emotion. To capture the largest market share for your product, you have to go after all these customers, not only the ones who think like you. The best way to understand why ALL of your customers is to ask them “why they buy” with a product survey.

I’ve used surveys to better convey what makes my products different from other products on the market. I’ve used surveys to improve my packaging. I’ve used surveys to make it easier to find my products online. I’ve even used surveys to find out where I should place my products.
So if you want your customers to be able to find your product and feel compelled to buy your product, then get to know your past customers with a survey.

There are numerous online tools you can use to send out a survey, including Zoomerang, SurveyMonkey, GoDaddy’s survey tool, and plenty of others. It doesn’t matter what tool you use, just as long as you use one! Here are a few questions you can start asking your customers:

1. Why they bought your prouduct? i.e. Price, Convenience, Gift, etc.
2. How they found your product.
3. Ideas they have for improve your product.
4. Where they would expect to buy your product.
5. Demographic information such as gender, age, occupation.
6. Psychographic information such as magazines they read, programs they watch, and radio they listen to.

Those are just a few questions to get your started. Trust me, although you’re already ahead of the game because [hopefully] you’re a customer of your product, you’ll still be amazed at the information you receive from your customer surveys. I know I was.

- Bryan Daigle

Instead, develop your product one step at a time. One of those steps, after you’ve started manufacturing your product, improved your packaging a few times, and tested it out online, is to approach brick and mortar stores and online retailers. The big retailers won’t want to see your product if it hasn’t been proven in a retail environment.

I finally reached the point with the Headset Buddy that I felt comfortable approaching some online and offline retailers. But how do I know what stores to contact?

Fortunately, ever since I started selling the product online, I’ve been getting customers to complete surveys. One question I ask them is “What retail store would you first look for this item?”

Based on their answers, I researched some of the companies selling headsets and contacted their purchasing department. I provided samples to at an independently owned Radio Shack, local computer store, and a local UPS store to see how sales would do in those markets. I also asked some chain retailers the best way to get into their system.

I’m still waiting for the results, but I’m hopefully that at least two of my traditional retail stores and several of the online stores will prove worthwhile. You just have to be patient because the turnover for small retail stores for a single SKU can be half a dozen to a few dozen units per year. So it can take anywhere from a few weeks or a few months for that store to determine if it’s worthwhile to carry your product.

Remember, you’re competing with other products on their shelf, so your product has to make more money for the retailer than something else on their shelf. If you keep in mind these tips, you’ll do much better when your product is ready to be introduced to the retail market.

- Bryan Daigle

Watch the full video clip on ABC’s Shark Tank site.

Good luck to Lisa and whatever she decides with her potential investors!

Bryan Daigle