A short story about credibility for the person who is building a new product.

[khadush]

There was Polish-American guy Nathan who was immigrated to America in 1912.

He was working in a famous hotdog store with a dream of opening his own store someday.

Within few years, Nathan ends up saving $300 from his paycheck of $44 per month.

In 1916 he opened his own hotdog store in the street where his former store was located.

-In the first week sales were very low.

• Nathan drops the price to 10 cents (the same price as his former store was charging). He taught that maybe the price is the issue.

Still, sales are not increasing because why would anyone buy a hotdog at the same price from a store that opened a few weeks earlier.

• Nathan decided to drop the price to 5 cents. Thinking about maybe this will convince the people to buy more. But it backfired! Lower prices can have credibility issues (people will think the quality of five-cent hot dogs are not good).
• Time was ticking, and Nathan has to make money somehow; otherwise, he will no longer exist in the business!
• If you will analyze Nathan, you will find the whatever he did was perfect, like choosing the right location, a lower price of a hotdog from his competition and better taste, but still nothing was working.

After a couple of trials and errors, he found the main issue is credibility because his competitors are in this business for years, but he is just 3 weeks old.

Now the Nathan biggest challenge was how to get credit when you don't have customers?

Somehow he finds a solution to this problem...

To get credibility, he started to offer free hotdogs to doctors, not just doctors but some nurses and administrators person with lab coats at his hotdog stand.

Even he used a hack, hired some additional people to stand around his stand in a white lab coat.

Nathan hypothesis was that if a hotdog is good enough for doctors, it's suitable for anyone; no one is conscious of health as a doctor.

Guess what happened after this?

Sales started to increase, and the Nathan store becomes one of the best hotdog stores in that area.

The takeaway from this story:

1. Always ask yourself why would someone choose you over others.
2. Be credible and trustworthy; this is a must. Otherwise, everyone will ignore you.

What's your takeaway?

 

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[Saad Khan]

There was Polish-American guy Nathan who was immigrated to America in 1912.

He was working in a famous hotdog store with a dream of opening his own store someday.

Within few years, Nathan ends up saving $300 from his paycheck of $44 per month.

In 1916 he opened his own hotdog store in the street where his former store was located.

-In the first week sales were very low.

• Nathan drops the price to 10 cents (the same price as his former store was charging). He taught that maybe the price is the issue.

Still, sales are not increasing because why would anyone buy a hotdog at the same price from a store that opened a few weeks earlier.

• Nathan decided to drop the price to 5 cents. Thinking about maybe this will convince the people to buy more. But it backfired! Lower prices can have credibility issues (people will think the quality of five-cent hot dogs are not good).
• Time was ticking, and Nathan has to make money somehow; otherwise, he will no longer exist in the business!
• If you will analyze Nathan, you will find the whatever he did was perfect, like choosing the right location, a lower price of a hotdog from his competition and better taste, but still nothing was working.

After a couple of trials and errors, he found the main issue is credibility because his competitors are in this business for years, but he is just 3 weeks old.

Now the Nathan biggest challenge was how to get credit when you don't have customers?

Somehow he finds a solution to this problem...

To get credibility, he started to offer free hotdogs to doctors, not just doctors but some nurses and administrators person with lab coats at his hotdog stand.

Even he used a hack, hired some additional people to stand around his stand in a white lab coat.

Nathan hypothesis was that if a hotdog is good enough for doctors, it's suitable for anyone; no one is conscious of health as a doctor.

Guess what happened after this?

Sales started to increase, and the Nathan store becomes one of the best hotdog stores in that area.

The takeaway from this story:

1. Always ask yourself why would someone choose you over others.
2. Be credible and trustworthy; this is a must. Otherwise, everyone will ignore you.

What's your takeaway?

Nice stories dude

 

[Kid]

There was Polish-American guy Nathan who was immigrated to America in 1912.

He was working in a famous hotdog store with a dream of opening his own store someday.

Within few years, Nathan ends up saving $300 from his paycheck of $44 per month.

In 1916 he opened his own hotdog store in the street where his former store was located.

-In the first week sales were very low.

• Nathan drops the price to 10 cents (the same price as his former store was charging). He taught that maybe the price is the issue.

Still, sales are not increasing because why would anyone buy a hotdog at the same price from a store that opened a few weeks earlier.

• Nathan decided to drop the price to 5 cents. Thinking about maybe this will convince the people to buy more. But it backfired! Lower prices can have credibility issues (people will think the quality of five-cent hot dogs are not good).
• Time was ticking, and Nathan has to make money somehow; otherwise, he will no longer exist in the business!
• If you will analyze Nathan, you will find the whatever he did was perfect, like choosing the right location, a lower price of a hotdog from his competition and better taste, but still nothing was working.

After a couple of trials and errors, he found the main issue is credibility because his competitors are in this business for years, but he is just 3 weeks old.

Now the Nathan biggest challenge was how to get credit when you don't have customers?

Somehow he finds a solution to this problem...

To get credibility, he started to offer free hotdogs to doctors, not just doctors but some nurses and administrators person with lab coats at his hotdog stand.

Even he used a hack, hired some additional people to stand around his stand in a white lab coat.

Nathan hypothesis was that if a hotdog is good enough for doctors, it's suitable for anyone; no one is conscious of health as a doctor.

Guess what happened after this?

Sales started to increase, and the Nathan store becomes one of the best hotdog stores in that area.

The takeaway from this story:

1. Always ask yourself why would someone choose you over others.
2. Be credible and trustworthy; this is a must. Otherwise, everyone will ignore you.

What's your takeaway?

Great story.
I think i've read about people hiring others to stay in a shopping line b/c people perceive that if there is a line to a store then it has to be worthy.
But hiring people in lab coat is next level of this

Thanks for posting.