What can the judges of Shark Tank teach small business owners? It turns out, a lot. In part two of this two-part video, I share some of their best pointers, explore the wisdom behind their advice and offer tips on how we can apply their advice to our daily lives.
Shark Tank is a reality TV show that originated from the United States. Budding entrepreneurs get the chance to pitch their business ideas to investors in the panel—the so-called Sharks in the Tank.
In part 1, I explored business advice shared by the male Sharks: Robert Herjavec, Mark Cuban and Kevin O’Leary. In this episode, I now share wisdom from the female Sharks. Here’s what they have to say.
Lori Greiner: Do the market research yourself
Lori Greiner is an American inventor and entrepreneur. In 1996, she created and patented her first product, which was eventually picked up by a large retailer and started her entrepreneurial career. She is involved in venture capital investing, product design consulting, and television production. Her net worth stands at US$100 million.
What she does: Before Greiner launched her first product, an earring organiser, to the market, she did her own market research. She didn’t just rely on family and frieds to give her feedback. She went to all different neighborhoods and showed a prototype to people on the street. Then, she asked them to fill out a simple, basic questionnaire: Would you buy this? How much would you pay for it? Do you like it? From those responses, she knew that she had a product that she could sell.
Why she thinks this advice is important: Greiner believes that every successful product addresses a need or a pain point. This is why market research is important—because it allows you, the business owner, to understand what your customers want.
What happened: Doing her own market research paid off. Her earring organiser sold out in 4 minutes after showing it in home TV shopping show.
Greiner teaches us that the success of any product or business lies in our understanding of our customers. We cannot offer a product or a solution to their pain point if we don’t understand their problems. Greiner also teaches us that we cannot rely on other people to find out about our customer pain points. To understand what our customers want and need, we need to consistently communicate with them. When we listen to our customers and we find ways to address their concerns through our products and services, then we are likely to retain them, which will help grow our business further.
In my video, “How to find out what customers want,” I share 3 ways on how to find out what your customers want and need—and it all boils down to communicating and listening intently what your customers are saying.
Barbara Corcoran: Take time to have fun
Barbara Corcoran is a real estate mogul, who began her career in 1970s. She co-founded her first real estate company with her then-boyfriend in 1973, and eventually formed The Corcoran Group when they split. In 2001, she sold her business for US$66 million. Her net worth stands at US$80 million.
What she does: Corcoran loves taking vacations and planning for fun. She plans get togethers with friends. And her secret to solving a creativity block? Going out to a great store, going to a museum, or riding her bike in Central Park in New York City where she lives.
Why she thinks this advice is important: Corcoran believes that having fun prevents burnouts. And doing something other than sitting on a desk makes you creative. And even when her busy schedule prevents her from taking a long vacation, getting together with friends gives her a “mental vacation,” that she says has helped her manage stress.
What happened: Her impressive work ethic matched by her ability to keep herself creative has made her one of the most successful women in the USA.
Corcoran describes herself as a very focused business person, which is why she was able to build an empire. But she also recognises the importance of recovering from stressful days by making time for fun—in her words, taking a “mental vacation” that takes her away from work. The key is to acknowledge that business owners are people—we are not robots that can work 24/7 all of the time. And even then, robots and machines need their downtime, too, for maintenance. We need to be in tiptop shape if we want to operate at peak levels, which means we need to make time for rest and recreation, too.
In my video, “Maximising the best asset in your business,” I explore how business owners can step back from the daily grind but still be able to productive. The key is to rest and to find ways to spark creativity.
Sara Blakely: Start with “Why” and continue to lead with “Why?”
Sara Blakely is known worldwide as the woman behind Spanx, an American intimate apparel company, which she founded in 2000. Her net worth stands at US$1.1 billion.
What she does: When starting out a business, focus on why you set out to do this in the first place. Focus on the personal and professional goals that you wanted to achieve—and what made you desire to be in the business that you are in.
Why she thinks this advice is important: Your desire points to a purpose. And your purpose provides a motivation and a direction to continue on when the going gets tough.
What happened: Sara Blakely is inventor and founder of Spanx—like Greiner, she began her career as an entrepreneur with a single product that she knew would address a customer pain point. In the early stages of Spanx, she acknowledges how difficult it was to find a company that would sell her product. When the going got tough for her, she focuses on her “why” to get her going.
Blakely expresses what we all need to succeed: purpose. Why are we doing what we do? The simple question makes it easy to see whether our decisions, our actions, and even our thoughts contribute towards accomplishing our goals. It also provides us with something to hold on to when things do not go our way.
In my video, “4 traits you need to succeed in business,” I explore why Purpose, one of these 4 traits, is essential for success. Another entrepreneur, Elon Musk, explains how purpose drives his decisions to succeed.
What I like about the advice from the female Sharks is that it gives counsel to business owners in different stages of their entrepreneurial journey, Greiner tells us what we should do before starting a business or before offering a new product or service—begin with the customers in mind by asking them what they need or want. Both Corcoran and Blakely advice on what we can do when things get stressful or difficult—take a breather and hold on to your purpose.
If you are interested to know more about what a business has to go through when facing exponential growth, you can download the first chapter of the book, ”$20K to $20 Million in 2 Years” absolutely free here. The chapter talks about the differences between a good and a great business and puts out questions that make you consider how you can turn your business from good to great.