People make money online all the time, and some people make a lot more than we’re talking about here. The difference is that it usually happens as a result of putting out a lot of money in a risky venture or having some specialized knowledge or even just getting incredibly lucky. This story is about a guy who had a good idea and brought it to the place that could turn it into a product with very little investment. The guy is Jim Robinson and the site he took his idea to is Quirky.com.
What is Quirky?
In short, Quirky (which I mentioned last year) is a site that brings together thinkers to take a good idea from just that to a product on the shelf. People like Jim spend $99 to submit an idea for consideration. Phase one starts with people voting on ideas, which helps the company select a winner. Subsequent phases such as naming, industrial design and logo design and selection all earn people “influence” for helping guide the product’s creation. In the end, those who helped all have influence (which translates to a percentage of sales) in the final product, the original idea submitter earning the highest. Involvement can be as little as filling out a survey or voting in the winning logo or it can be more involved like creating the winning logo. The more you contribute, the more you earn on every sale of the final product. When a product is designed and ready to go, it experiences a presale period with a threshold of sales to meet before actually hitting the production line. This final hurdle completed, a product sells on the Quirky site as well as through any vendors that pick it up.
How Jim Made All That Money
My first instinct is to say that he didn’t have to do a lot of work for the money, but truth be told, Jim already had some man hours into this before becoming a part of the Quirky community. He had owned several pocket knives over the years, but he never felt any of them really got it right. He wanted to build the perfect pocket knife. Realizing that “perfect” meant different things to different people, the idea of a modular pocket knife was born.
After a few prototypes, Jim’s idea materialized as a product idea submission for Quirky. With $99 on the line, the idea had little more than a decent description and high hopes. After voting and discussion, the then unnamed product was chosen for production and began to work its way through the development phases, getting a name, logo, design, and even a tag line from other Quirky community members (or “quirks”) along the way. Last week, Quirky announced Switch, the modular pocket knife kit.
In pre-sale, Switch had a decent start and was moving along at an average pace. After seeing some great press from top tech blogs, it caught the eye of major online retailer, Think Geek, who committed to a large purchase and helped the sales total for the day reach 1,170 units. At $8.90 per unit sold, Jim earned over $10,000 in just one day for his cut. That doesn’t count the almost 300 units sold in previous days and the countless sales to come.
What about the other contributors? They’re not doing too bad either. The second highest contributor, Kelly Saglibene, has earned $1,311 in the 5 days Switch has been up for sale for the logo she created and Julie Kowal is taking home over $1,000 so far just for submitting the winning name. Sadly, I was busy during the Switch product development process and did not contribute.
My Q & A With Jim
I had some questions I just had to ask Jim. I’m sure he’s busy, so I kept it brief.
How did you first come across Quirky?
Through a prior investor that knew them.
Why and when did you decide to submit your idea for production on Quirky?
When I first met Ben we talked about various products. I had been tinkering with pocket knives for years trying to modify them. He thought it was a natural idea for Quirky. As a test of their site, I submitted it.
How did you feel when your idea won the selection phase?
I was a bit surprised – it had not won the first time through. I thought perhaps it was too complicated a product for Quirky. Evidently not!
How about when you saw all those sales?
Beats a stick in the eye!
Do you have any plans for all the money Switch is making you?
My guess? Charity. But who knows, maybe a boat J
Will you be submitting more ideas to Quirky after such a success?
Definitely. I have always been a tinkerer and have several ideas. Just hard to find the time; you can’t just submit on a whim. The community expects (and rightly so) a well-thought out concept, complete with pictures, or video, or schematics and whatnot.
Jim ended with a very good point. If you’re going to pitch a product idea or business model to anyone, it needs to be a well thought out idea and it’s the same for Quirky. Don’t let that scare you though. If you have a great idea, figure out the details, draw up some artwork (or get help) and submit it to Quirky. You may just have the next hot product.
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