In the recent article, What happens when a trend never touches down, Scott Kirsner reflects on very different outcomes of two start-ups attempting to ride the waves of emerging trends. He sums it up with a single statement... ”Entrepreneurs often bet on a future that only they can see. Sometimes, they’re right." I know, a rather weak ending but the article is still good. However, I believe Kirsner fails to address a key question, "Why are they sometimes wrong or right?" Read his article at the Boston Globe:
http://bostonglobe.com/business/2012/08/25/two-start-ups-both-built-promising-technolgies-two-wildly-different-outcomes/ghYORnvAlKIpD6LO1H0R0M/story.html
In my opinion, the key to Where, Inc's success. is that while riding a technology trend, they were (are) responding to the consumers’ needs whereas Frame, Inc., was purely a technology push. Where, Inc. was helping people find things in a mobile world, a real need. In contrast, was anyone clamoring for digital frames? This is a common story and a typical trap for entrepreneurs.
It is easy to become enamored with the product and slip into a fantasy world. Kirsner writes, Heading toward the 2008 holiday season, the team was optimistic. “We were expecting to see millions of frames sold using our platform,” Finegold said. Seriously, heading into the 2008 holiday season most everyone else was scurrying to save themselves from financial Armageddon! The key learning for me is that innovation occurs when new technology intersects and addresses a true need, what is often called "a pain point". Sometimes, these pain points are not consciously acknowledged by the populace... they simply tolerate their lot because they know of nothing else. It is the true innovator who, in the moment, feels the pain and brings relief. It is the power of pain.
