Another great post on gapingvoid: 100 Suits.
Over the last couple of days I've been thinking about this one idea I've had for English Cut.
The idea is basically limiting our output to 100 suits a year.
That's roughly 2 suits a week- less than what we're making at the moment, but not by a wide margin.
See also the referenced The Tao of Undersupply.
We both concur that the biggest problem in the Western world is oversupply.
So maybe the thing is to is get into "The Tao of Undersupply".
If only 100 people want to buy your widgets, then just make 90
widgets. If only 1000, make 900. If only 10 million, make 9 million. It
isn't rocket science, but it takes discipline.
It also requires you to stop making the same stuff as other people. Doing that requires originality and invention.
This is a great idea, by limiting supply you can increase price. David St Lawrence comments on this idea on his Ripples blog: Incredible audacity and success.
My feeling is that his audacity will be suitably rewarded.
What do you think? Have you ever heard of output being limited successfully?
Have you ever considered how you might change your own business
proposition to make it remarkable, instead of merely "sensibly"
profitable?
The problem with limiting supply with an electronic product is that, essentially, there is no supply. New copies of software can be created at will. Therefore, how do you limit supply?
With premium, high quality suits, limiting supply makes sense. After all, if you are going for a reputation for quality, it makes sense that you can only make so many of them and keep the quality high. So having limited supply adds to the image of the brand.
But how do you do this for software when copies can be made instantly with no loss of quality?
One could put on a web site that you will sell only a limited number of copies in a time period, say a day. You could say "We will only sell 10 copies of this game each day, get one while you can". The problem with this is that it would look like it was just a sales gimmick (it would look that way because that is exactly what it would be). It would be a totally artificial limiting of supply, rather than a limiting of supply that allows you to make the product of higher quality.
Still, if there were some way to do this, it would be worth doing, because oversupply is the growing problem in the casual games industry. Oversupply is what is going to eventually burst the portal bubble.
Anybody have any ideas on how you could limit supply with an electronic product without it being just a sales gimmick?
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