My First Million
The best business ideas come from noticing what's working and doing it better, faster, or for a different audience.
Luxury Positioning Value Model
You can create more value by serving fewer customers at a higher level of quality and price than by serving many customers at a commodity level.
Decision Rule
When possible, choose to be the high-value option for fewer people rather than competing on volume in commoditized markets.
How It Works
Premium positioning allows for higher margins, more selective customer base, stronger brand loyalty, and sustainable competitive advantages through quality rather than scale.
Failure Modes
Trying to serve everyone and ending up serving no one well
Competing on price in commodity markets
Focusing on volume metrics instead of per-customer value
Undervaluing your unique offerings
Example Decision
“Instead of launching generic productivity newsletter for everyone, create premium weekly deep-dive for CTOs at fast-growing startups, charging $200/year for 1,000 subscribers rather than free for 100,000 random subscribers.”