Lovability Quotes
Lovability: How to Build a Business That People Love and Be Happy Doing It
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Brian de Haaff205 ratings, 3.68 average rating, 33 reviews
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Lovability Quotes
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“Your principles are your true north because they instruct how you will handle every situation, especially when there is no easy choice.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Let’s consider another similar story — the dating website Plenty of Fish. German programmer Markus Frind started the company in 2003 as a programming exercise. He had been wanting to learn a new coding language called ASP.NET, so he built the site in two weeks — and to his surprise, it took off. Frind never raised a dime of outside money, because the venture was profitable from the beginning. “I didn’t see the need to raise money because I wouldn’t know what to do with it,” he said in a 2015 interview with Business Insider. “It was a profitable company, and there was no need to raise money.”3 Plenty of Fish grew slowly and organically for more than 10 years, eventually growing to about 75 employees and 90 million registered users. In 2015, Match Group (which also owns dating sites Match.com and OKCupid) bought Plenty of Fish for $575 million. “It wasn’t like I had a plan to create a dating site,” Frind said. “It was just a side project I created that got really big.” Not bad for what started as a hobby.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“What matters is how the people who work for your company interpret your values and put them into action.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Love is the surprising emotion that company builders cannot ignore.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Product managers are the connection between customers and the engineers who build the product. You are a bridge between what customers say and what the organization actually builds. You sit at the epicenter of everyone in your organization who builds, markets, sells, and supports your product. You explain what engineering is building to the people in sales and support. You interact with legal. You interact with finance. You are the ambassador for your products inside and outside the company. You are everything.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“a “lovability economy” and show why it is not only practical but desirable to build businesses around integrity, human happiness, long-term sustainable prosperity, and mutually beneficial exchanges of value.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“There are many ways to earn the love of employees. Hamdi Ulukaya, founder of multi-billion dollar yogurt maker Chobani, made headlines when he awarded his two thousand full-time employees stock worth up to 10 percent of the company’s value when it goes public or is sold. Ulukaya said in a letter to staff, “This isn’t a gift. It’s a mutual promise to work together with a shared purpose and responsibility. To continue to create something special and of lasting value.”3 Apart from making instant global news, the stock award was also a shrewd business move. Research from The University of Pennsylvania shows that employee-owned companies — even ones in which employees are minority owners — outperform their competitors.4 It is true that Ulukaya now has a slightly smaller stake in Chobani. But it is likely worth a lot more, especially when you consider this research and how employee owners are incentivized to work harder toward the success of the business.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“For example, every year, I rent Intuit’s TurboTax so I can do my income taxes. I pay for something I only need for a few weeks in February even though it holds my data for the entire year. That is because it has my data from the previous year (and for years before that). It simply asks if my financial situation has changed or if I have unique needs for a given tax year. It even has built-in, crowd-based support to help me when I get stuck. TurboTax meets many of the lovability requirements. It solves my problem, meets needs I did not know I had, makes my life easier, and adapts as my circumstances change. Best of all, I pay a reasonable price to rent it every year. But how does Intuit really know what I need? Well, Intuit is famous for a program they call Follow Me Home. It sounds exactly like what it is — a way to observe customers in their homes or offices in order to understand how they actually use Intuit’s products. The founding team used Follow Me Home as a way to help their teams get an immersive look at what customers liked and what they needed, as well as what worked and what did not work. By observing customers in their own spaces, the Intuit team was able to see how often customers were interrupted while trying to use their product, or if they started on one device and finished the task on another. They were able to funnel that information back to their development team to make updates in subsequent releases. It is important to note that they were not following customers home to look for bugs in the product. No, they had a deeper purpose — to truly understand the experience of their customers and if their products were making their work and life easier. That deep commitment to understanding customers helped Intuit find elegant ways to help them. It is a simple concept and one that more product builders would benefit from.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“A lovable organization builds lovable products. It does so by delivering a Complete Product Experience (CPE) that customers and employees care deeply about. And as we have seen, The Responsive Method (TRM) is the system for discovering what customers need while creating the purposeful organization that can build it. The advice and ideas in this chapter are the logical next step — the blueprint for applying TRM in real time. If you do, it will transform your business. You will be able to quantify the impact the changes have by measuring your lovability scores by using the tools featured in chapter 10. My examples and advice will revolve around software businesses because that is what I know best. However, TRM and lovability are relevant to any technology-based product or service. And considering that every meaningful business today depends on technology to deliver a CPE, I believe that these insights and recommendations have widespread applicability. Technology is already interrupt-driven — especially in the software-as-aservice (SaaS) era of endless iteration and instant updates. It is collaborative and dynamic in a way that no other industry can match. Whether your product runs on code or microchips, you can apply TRM to what you are doing to immediately do it better. However, remember that the goal is not simply profit or growth but customer love. That means recalibrating how you see your business. Most technology companies are service businesses. More and more, today’s technology is rented rather than owned. That makes it dynamic, changeable, and fluid — a model that benefits customers, who commit fewer resources to implement and support it while getting products that continually improve. This environment challenges product builders while shifting the power to customers.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Lovable products, services, and companies are disrupting entire industries. They are changing the world.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“When I talk about kindness in business, a few people scoff. They say, “Steve Jobs and the leaders at Apple created a pressure-cooker environment but it produced category-defining products that people love and obsess over.” That is the point — the results are not worth the cost, because there is an alternative. The goal of TRM is to create a kind, sustainable, and fulfilling experience for everyone. Caring and a sense of purpose evoke better performance than pressure and fear. The idea that only obsessive egomaniacs can produce breakthroughs is nonsense. People are the most important resource for any business, and people — whether they are employees, vendors, or customers — respond best to kindness, respect, humility, and empathy. You never know what other people are going through in their lives. Many of us are under great stress, especially when business cycles shift and economic pressures build. Others are struggling in relationships. When everyone feels valued and heard, they are more likely to show up fully and bring their best each day. Kindness is the alternative to the unnecessary “business is war” analogies that are not only tiresome but borderline offensive. It is the opposite of the “outcome justified the means” mentality that drives many entrepreneurs to consider sacrificing everything (including their morals) to build $100 million businesses in seven years. It’s success without the collateral damage. This aspect of TRM creates a healthy framework for daily interactions and long-term goals and helps people avoid burnout even when they put in heavy hours over long periods of time. We are all naturally optimistic, motivated to be better tomorrow than we are today. A kind organization understands that and leverages it. Your goal is to build a product that lasts, but to do that, you must also build an organization, a work environment, and a fabric of relationships that last too. People will remain engaged and focused on achievements when they are doing something meaningful that they care about in an organization that lets them live the way they want to live. “Caring and a sense of purpose evoke better performance than pressure and fear. The idea that only egomaniacs can produce breakthroughs is nonsense.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“A great story about a big company’s ability to do this comes from one of the world’s biggest businesses, General Electric. I learned about Doug Dietz a few years ago when I saw him speak to a group of executives. Doug leads the design and development of award-winning medical imaging systems at GE Healthcare. He was at a hospital one day when he witnessed a little girl crying and shaking from fear as she was preparing to have an MRI — in a big, noisy, hot machine that Dietz had designed. Deeply shaken, he started asking the nurses if her reaction was common. He learned that 80 percent of pediatric patients had to be sedated during MRIs because they were too scared to lie still. He immediately decided he needed to change how the machines were designed. He flew to California for a weeklong design course at Stanford’s d.school. There he learned about a human-centric approach to design, collaborated with other designers, talked to healthcare professionals, and finally observed and talked to children in hospitals. The results were stunning. His humandriven redesigns wrapped MRI machines in fanciful themes like pirate ships and space adventures and included technicians who role-play. When Dietz’s redesigns hit children’s hospitals, patient satisfaction scores soared and the number of kids who needed sedation plummeted. Doug was teary-eyed as he told the story, and so were many of the senior executives in the audience. Products should be designed for people. Businesses should be run in a responsive, human-centric way. It is time to return to those basics. Let TRM be your roadmap and turn back to putting people first. It worked for our grandparents. It can work for you.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Charles Du designed NASA’s first iPhone app, an award winner and a huge hit with more than 10 million downloads. But he also faced challenges from NASA brass who tried to water down his vision for the app. In a guest blog for Aha!, he laid out a basic principle: Maintaining your product vision is just as important as getting buy-in for that vision. After I got buy-in for the NASA app, a project manager was assigned to our team . . . a project manager is not the same as a product manager. Since my project manager didn’t understand the difference between the two roles and had seniority over me, we fought many battles. The vision of the app was user-driven. So, I validated my product hypothesis by talking to users and looking at our website metrics — a user-centered design approach. The project manager took a different approach. She saw this app as an opportunity to get more resources for our local center . . . She was advocating for politics-centered design that was divorced from any customer conversations. To me, this is a clear case of why product vision should drive everything you do as a product manager. I had clearly communicated why the vision for this app would achieve NASA’s high-level goals. This allowed senior leadership to see that I was working to help grow the whole organization. And it prevented politics from entering the picture. . . . We ended up launching a pure product designed 100 percent for our users — and it was a huge success.11”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“When Craig Newmark launched what would become Craigslist back in 1995, not only did he not have outside funding, he did not even have a business plan. I do not recommend that, but he succeeded by creating something he cared about — an email distribution list in and around San Francisco — and posted it online. When it grew into a classified ad monster, investors pressured him to take their money. The company refused, waiting until 2004 to sell a 28.4 percent share to eBay. Craigslist Inc. has since bought back that share and continued to do things their way.9 As far back as 2006, the company’s president and chief executive Jim Buckmaster told reporters he was not interested in selling out, preferring to focus on helping users find apartments, jobs, and dates rather than on maximizing profit.10 When you only answer to yourself, you can concentrate on building value your way.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Groupon is a study of the hazards of pursuing scale and valuation at all costs. In 2010, Forbes called it the “fastest growing company ever” after its founders raised $135 million in funding, giving Groupon a valuation of more than $1 billion after just 17 months.5 The company turned down a $6 billion acquisition offer from Google and went public in 2011 with one of the biggest IPOs since Google’s in 2004.6 It was one of the original unicorns. However, the business model had serious problems. Groupon sometimes sold so many Daily Deals that participating businesses were overwhelmed . . . even crippled. Other businesses accused Groupon of strong-arming them to sign up for Daily Deals. Customers started to view the group discount (the company’s bread and butter) as a sign that a participating business was desperate. Businesses stopped signing up. Journalists suggested that Groupon was prioritizing customer acquisition over retention — growth over value — and that it had gone public before it had a solid, proven business model.7 Groupon is still a player, with just over $3 billion in annual revenue in 2015. But its stock has fallen from $26 a share to about $4 today, and it has withdrawn from many international markets. Also revealing is that the company is suing IBM for patent infringement, something that will not create customer value.8 Many promising startups have paid the price for rushing to scale. We can see clues to potential future failures in the recent “down rounds” (stock purchases priced at a lower valuation than those of previous investors) hitting companies like Foursquare, Gilt Group, Jet, Jawbone, and Technorati. In their rush to build scale, executives and founders search for shortcuts to sustainable, long-term revenue growth.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“It is hard to find many better examples of values-first leadership than Ventura, California-based outdoor clothing company Patagonia. For more than 30 years, the company has defied conventional wisdom by building its brand as much around environmental responsibility as on quality products and service. How many businesses would run a marketing campaign encouraging customers to not buy new products but repair the old ones instead in order to reduce their environmental footprint? Only companies interested in creating a “lovability economy” would prioritize sustainable growth for themselves and the world and take a long-term perspective. They see themselves as stewards of meaningful relationships and understand that mutually positive interactions and exchanges of value are lasting. Patagonia has even made its supply chain public with an online map showing every farm, textile mill, and factory it uses in sourcing its materials and manufacturing its products. Anyone who wants to can see where their Patagonia products come from and verify that the company is walking the walk — using sustainable materials and producing apparel in facilities that are safe for workers. That is transparency that breeds trust. Founder Yvon Chouinard’s vision has also led to a culture that is not only employee-friendly (the company even encourages employees at its corporate headquarters to quit early when the surf is up) but attracts people whose values align with the company’s. This aggressively anti-profit, pro-values approach has yielded big dividends. The privately-held benefit corporation is tight-lipped about its revenues, but two years after it began its “cause marketing” campaign, sales increased 27 percent, to $575 million in 2013.7”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Then there’s iRobot’s Roomba automated vacuum. It has been around for a while and became a punchline in YouTube videos featuring cats, dogs, kids, and turtles chasing, riding, or otherwise abusing the thing. But it is also a perfect example of a product that works well and satisfies a basic need — keeping your house clean 24 hours a day so you do not have to worry about messes. Customers love the Roomba. When you go to its Amazon product page, one of the first reviews is headlined, “I am in love!” That is the kind of enthusiasm and unbridled passion any company should be looking to engender.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Some businesses take a unique approach to this. Footwear brand Toms, already beloved thanks to its renowned blend of “social purpose” and product, forgoes splashy celebrity marketing campaigns. Instead, they engage and elevate real customers. During the summer of 2016, Toms engaged more than 3.5 million people in a single day using what they call tribe power. The company tapped into its army of social media followers for its annual One Day Without Shoes initiative to gather millions of Love Notes on social media. However, Toms U.K. marketing manager Sheela Thandasseri explained that their tribe’s Love Notes are not relegated to one day. “Our customers create social content all the time showing them gifting Toms or wearing them on their wedding day, and they tag us because they want us to be part of it.”2 Toms uses customer experience management platform Sprinklr to aggregate interactions on Facebook, Instagram, and Twitter. Toms then engages in a deep analysis of the data generated by its tribe, learning what customers relish and dislike about its products, stores, and salespeople so they can optimize their Complete Product Experience (CPE). That is an aggressive, all-in approach that extracts as much data as possible from every customer interaction in order to see patterns and craft experiences. Your approach might differ based on factors ranging from budget limitations to privacy concerns. But I can attest that earning love does not necessarily require cutting-edge technology or huge expenditures. What it does require is a commitment to delivering the building blocks of lovability that I reviewed in the previous chapter. Lovability begins with a mindset that makes it a priority. The building blocks are feelings — hope, confidence, fun. If you stack them up over and over again, eventually you will turn those feelings into a tower of meaningful benefits for everyone with a stake in your business, including owners, investors, employees, and customers. Now let’s look more closely at those benefits and the groups they affect.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“In the classic book How Will You Measure Your Life?, co-authors Clayton M. Christensen, James Allworth, and Karen Dillon frame the issue in starker terms, pointing out that it is easier to stay true to your principles 100 percent of the time than it is to hold steady 98 percent of the time. According to the authors, your personal moral line is powerful because you do not cross it. But once you do, no matter your justifications, you are more likely to do it again.7 In other words, do the right thing because it’s the right thing. That’s especially challenging in emerging organizations where people are under pressure to rapidly grow the business. But when delivering a CPE is your focus, it is easy to see why doing the right thing is so important. Operating with integrity depends on the entire team, so the actions of each person matter. Every person faces situations where they need to put customers’ or colleagues’ interests ahead of their own, and their decisions reflect the organization’s core values. What do your choices — and your team’s choices — say about your values?”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Lovability — the capacity to earn genuine, heartfelt love and loyalty from customers — is the secret ingredient that propels a select few organizations ahead and leads not only to consistent growth and profitability but sustainable happiness for everyone involved.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Commerce does not have to be a ruthless, brutal enterprise that damages people’s lives. It can be a source of happiness, healing, and hope.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Caring and a sense of purpose evoke better performance than pressure and fear. The idea that only obsessive egomaniacs can produce breakthroughs is nonsense.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“If your customers love you, they will not only remain fiercely loyal but become your most powerful marketing asset. Lovability is the greatest predictor of business success.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“I suggest that you think about your customer’s journey as a unified experience that has three key phases: motivation, education, and adoption. Motivation refers to the reasons your prospective customer has for seeking you out and the potential needs your product can satisfy. It also asks the question, “What experiences or emotions motivate the customer to move to the next stage of the journey?” Answering that question helps you provide what the customer needs to progress to the next phase, education.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Harvard economist Theodore Levitt was the first authority to write about what he called the total product.2 A total product has four dimensions that marketers, executives, and support people need to understand if they want customers to appreciate the value of what they are selling: 1.Generic What your product is — software, a suitcase, etc. 2.Expected The essential features and benefits the product must provide, e.g., a refrigerator has to cool food. 3.Value-Added Features and benefits that exceed customer expectations. 4.Potential Future enhancements to value based on what customers want. Levitt’s thinking was daring but limited because it focused on features and benefits but not the overall customer experience. Then in 1999, Geoffrey A. Moore took Levitt’s ideas to the next logical level with his book, Crossing the Chasm. According to Moore, the way to create a “whole” product is to think through both your customer’s problems and solutions. It’s not enough to address the core product — you have to think about everything needed to get your customer from consideration to an imperative to buy. This can be everything from the installation of the product to training to procedural standards to integrations, whether they are provided by your company or achieved using partners.3 “The product is the complete experience and the relationship you and the customer share.” Moore moved beyond features and benefits — bigger iPhones with higher camera resolution — to something else: Being the solution to customers’ problems. Doing that requires more than visionary engineers and brilliant designers. It means getting to know your customers, learning what they care about, and learning to care about them. That’s why Moore is the grandfather of the CPE.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“The behavior of businesses that I have already talked about — as well as well-publicized customer service fiascos (like Costco’s transition to only accept Visa credit cards, which led to more than 1.5 million customer service calls and scathing online complaints19) — shows that customers feel let down again and again by the companies they depend on, whether by overreaching marketing claims, pushy sales tactics, terrible customer support, or poor quality. Combine that with the ever-growing range of customer choices in many product and service categories and their power via online reviews and we may be at a “change or die” inflection point in many industries. Lovable products, services, and companies are disrupting entire industries. They are changing the world. Back to People Here is another secret that should not be secret at all: Companies are not brands, buildings, or technology. They are people. A corporation does not do anything; its people and customers do. We need to get back to the human aspect of business. It all starts with people and human interactions.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Dreams of personal wealth have given way to the harsh reality that businesses built on hype rarely yield returns. The fundamentals — people, service, relationships, transparency, trust — are becoming sexy again. Why? Because they produce results.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“The idea of putting customers first and acting with integrity is gaining traction. Outdoor-gear retailer REI received adulation for adhering to its values when it announced that it would not only close its stores on Black Friday in 2015 but pay its employees to get outside. Contrast that with blood-test startup Theranos. CEO Elizabeth Holmes was lauded as “America’s youngest self-made billionaire,”12 and the firm was quickly valued at $9 billion. Then, testing showed that the company’s flagship Edison device, which purported to deliver test results from a single drop of blood, did not work.13 The federal government swiftly began investigating Holmes, with regulators not only revoking the company’s license to operate but suggesting a ban preventing Holmes from owning or operating a lab for two years. Walgreens Boot Alliance Inc. sued Theranos for $140 million, equivalent to the amount the drugstore giant had invested in the startup. 14 In the fall of 2016, Theranos announced it would be shutting down its blood-testing facilities and shed at least 40 percent of its workforce. 15”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“Persson did not create Minecraft because he wanted to create a billion-dollar company; he loved video games and kept his day job while developing it. When the game soared in popularity, he started a company, Mojang, with some of the profits, but kept it small, with just 12 employees. Even with zero dollars spent on marketing and no user instructions, Minecraft grew exponentially, flying past the 100 million registered user mark in 2014 based largely on word of mouth.2 Players shared user-generated extras like modifications (“mods”) and custom maps with each other, and the game caught on not only with children but their parents and even educators. Still, Persson avoided the valuation game, refusing an investment offer from former Facebook president Sean Parker. Finally, he and his co-founders sold Mojang to Microsoft for $2.5 billion, a fortune built on one man’s focus on creating something that people loved.3 On the other end of the spectrum is Zynga, one of the fastest startups ever to reach a $1 billion valuation.4 The social game developer had its first hit in 2009 with FarmVille. Next came Zynga’s partnership with Facebook that turned into a growth engine. The company began trading on the NASDAQ in December 2011 and had 253 million active users per month as late as the first quarter of 2013.5 Then the relationship with Facebook ended and the wheels started coming off. Flush with IPO cash, Zynga started exhibiting all the symptoms of ego-driven, grow-at-any-cost syndrome. They moved into a $228 million headquarters in San Francisco. They began hastily acquiring companies like NaturalMotion, Newtoy, and Area/Code. They infuriated customers by launching new games without sufficient testing and filling them with scripts that signed players up for unwanted subscriptions and services. When customer outrage went viral, instead of focusing on building better products, Zynga hired a behavioral psychologist to try to trick customers into loving its games.6 In a 2009 speech at Startup@Berkeley, CEO Mark Pincus said, “I funded [Zynga] myself but I did every horrible thing in the book to just get revenues right away. I mean, we gave our users poker chips if they downloaded this Zwinky toolbar, which . . . I downloaded it once — I couldn’t get rid of it. We did anything possible just to just get revenues so that we could grow and be a real business.”7 By the spring of 2016, Zynga had laid off about 18 percent of its workforce and its share price had declined from $14.50 in 2012 to about $2.50.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
“On March 31, 2016, Securities and Exchange Commission chair Mary Jo White said this to the students of Stanford Law School: Nearly all venture valuations are highly subjective. But, one must wonder whether the publicity and pressure to achieve the unicorn benchmark is analogous to that felt by public companies to meet projections they make to the market with the attendant risk of financial reporting problems. And, yes that remains a problem. We continue to see instances of public companies and their senior executives manipulating their accounting to meet various expectations and projections.1 We have reached a point in the world of technology startups where the fervor for building a company with a billion-dollar valuation — the elusive startup unicorn — is overshadowing the creation of real value. It is not the first time we have been here; the world of startups and venture capital has always run in cycles, from optimistic zeal to caution to post-catastrophe introspection and back again. But perhaps it is time that entrepreneurs and investors alike begin waking up to the fact that the “valuation-at-all-costs” model, with its relentless pressure, remote odds of success, and human cost, is not only unsustainable but bad business. At this point in the current cycle, the radically overvalued startup appears to be headed for the endangered species list. That is a good thing. While billion-dollar behemoths will always exist, and the high-wire act of chasing scale while also chasing the cash to fund that scale will occasionally produce a solid company, there are other ways to build a business. There are better ways to build a business.”
― Lovability: How to Build a Business That People Love and Be Happy Doing It
― Lovability: How to Build a Business That People Love and Be Happy Doing It
