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  • Method: 8 sparkling insights that turned stinky apartment experiments into $100M eco-friendly empire

Method: 8 sparkling insights that turned stinky apartment experiments into $100M eco-friendly empire

Crazy ideas often make the best businesses

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Hey rebel solopreneurs πŸ¦Έβ€β™‚οΈπŸ¦Έβ€β™€οΈ

Think the market's too crowded for you to make a dent?

Picture this: entering a $5.2 billion category dominated by giants like Clorox and Procter & Gamble and still building a massive success.

Here's how Adam Lowry and Eric Ryan proved that being a tiny newcomer in a crowded market is actually your advantage when they built Method from their dirty San Francisco apartment into a $100+ million cleaning empire.

But wait - how do you compete against billion-dollar companies when you're mixing formulas in beer pitchers?

🍹 The humble beginnings...

Adam Lowry and Eric Ryan were just regular high school buddies from suburban Detroit.

After college, they went their separate ways - Adam became a Stanford-trained climatologist working on climate change research, while Eric dove into branding for big companies like Gap and Saturn.

Both ended up in San Francisco, sharing a cramped, dirty apartment with five other roommates.

Adam felt frustrated that his environmental research only reached scientists who already cared about the issues.

Eric had always dreamed of being an entrepreneur who could create a brand that mattered.

They spent nights brainstorming business ideas, looking for something they could build together.

Adam was personally annoyed that every "green" product he tried to buy asked him to make sacrifices - they cost more, worked worse, and looked terrible.

Eric loved the challenge of finding mature categories that had missed major cultural shifts.

As two guys with $90,000 in combined savings, they knew they'd have to be scrappy.

They were about to discover that the massive household cleaning industry had been ignoring some pretty obvious trends.

So what exactly did these two friends see that billion-dollar giants completely missed?

🏠 Two cultural shifts everyone missed

When they looked at the $5.2 billion household cleaning market in 1999, everything looked identical.

But here's the thing - they spotted two massive trends the giants were ignoring: people wanted their homes to look beautiful (not just functional), and they wanted healthy products (not toxic chemicals).

Instead of creating another boring brown cleaner, they decided to build "Aveda for the home" - eco-friendly products that looked gorgeous on your counter.

πŸ„ Find the obvious opportunities hiding in plain sight that big players can't see.

Then came the real test - could two guys with $90,000 actually make this work?

πŸ§ͺ Testing in a bathtub beats fancy labs

Most companies spend months on market research and focus groups.

Wrong!

Adam and Eric started mixing cleaning formulas in their dirty apartment's bathtub and sink.

They labeled beer pitchers "Do Not Drink" and used them for testing formulas.

Can you imagine?

When they liked what they made, they gave out samples at parties and sold door-to-door to get real feedback.

Their first four cleaning sprays surprised everyone with bright candy colors and unusual scents like cucumber and lavender.

πŸ„ Real customer feedback beats months of planning and research every time.

But success came with a terrifying price - they almost lost everything.

πŸ’³ $16 in the bank, $300K in debt

After landing 90 local grocery stores, disaster struck.

They were down to $16 in their bank account with $300,000 in credit card debt.

Vendor payments were three to four months overdue.

Here's what's wild - Eric had to "appeal to the inner entrepreneur" of each vendor, convincing them that two broke guys could do something that had never been done before.

They pitched private investors constantly until they finally raised $1 million - just in time.

πŸ„ Paint such a compelling picture of the future that people invest in your dream.

With fresh funding, they made a bold move that changed everything.

🎯 The bowling pin that leaked everywhere

They hired famous designer Karim Rashid (who they cold-emailed) to reinvent the boring dish soap bottle.

He created a unique bowling pin-shaped bottle that won attention and opened doors with major retailers.

Target agreed to test their products nationally - like "winning the Super Bowl of capitalism" according to Eric.

But wait - the beautiful bowling pin bottle had one tiny problem: it leaked all over Target's shelves when customers pulled off the seal to smell it.

Adam and Eric raced from Target to Target with paper towels, cleaning up spills themselves.

Talk about embarrassing!

πŸ„ Own your mistakes completely and fix them fast, it shows customers you really care for them.

After fixing the leak, they discovered something powerful about speed.

⚑ Prototype fast, react faster

While traditional companies spent months on "gobs of consumer research," Method chose a different path.

Adam explained their approach: "We prototype quickly and get a reaction to see whether what we created is having the effect we desired."

Instead of endless focus groups that produce "ordinary, uninspired products," they put ideas out fast and learned from real responses.

This let them move at lightning speed while big competitors were stuck in analysis paralysis.

They had failures too - personal care products and air fresheners didn't work out - but they learned fast and moved on.

πŸ„ While others plan for months, you can build three different versions and know what actually works.

This speed advantage helped them tackle the biggest challenge yet.

πŸ“¦ Making laundry detergent 3x smaller

Everyone sold laundry detergent in heavy, unwieldy jugs that customers hated measuring.

Adam and Eric created a triple concentrate - three times stronger, one-third the size.

This wasn't just convenient for customers; it saved massive amounts on packaging, water, materials, and shipping.

Walmart loved it so much they pressured other manufacturers to follow Method's lead.

But here's the kicker - when competitors caught up, Method killed their successful 3x product (even though it was 30% of their business) and launched an 8x concentrate with patented technology.

πŸ„ Kill your own successful products before competitors catch up, then leap even further ahead.

But staying ahead required a mindset the big companies couldn't match.

πŸš€ Throwing away what makes money today

Big companies with leading market spots want to maintain what's working.

Method deliberately chose the opposite approach.

Adam explained: "Sustainability is predicated on taking what makes you money today, and throwing it out the window for something that's greener and better but a lot less certain."

While incumbents played it safe, Method took the risks their competitors' business structures wouldn't allow.

They constantly created new ideas and forced billion-dollar companies to follow them instead of the other way around.

Pretty bold, right?

πŸ„ Use your small size as an advantage to make bold moves that big competitors can't afford to make.

Their willingness to stay restless led to the ultimate breakthrough.

πŸ’‘ Targeting people who don't care about the environment

Most eco-friendly brands targeted environmentally conscious customers in natural food stores.

Method did the opposite - they went where there were no natural cleaners.

Here's the genius part: they created products so beautifully designed that even people who didn't care about the environment wanted them on their counters.

Their bottles were pretty enough that customers bought them for the design, then discovered they were also non-toxic and effective.

By bringing eco-friendly cleaning to mainstream shelves, they created an entirely new market instead of fighting for scraps.

Smart move!

πŸ„ Create a new market instead of fighting over scraps in an existing one.

πŸ’° The epic win

Those two friends mixing formulas in beer pitchers grew Method into something extraordinary.

The company now sells in the United States, United Kingdom, Australia, France, Japan and Canada.

They employ over 100 people and generate more than $100 million in revenue.

They proved that two ordinary guys with a great idea could take on billion-dollar giants and win by being smarter, faster, and more willing to take risks.

πŸ₯‚ Your turn to break the rules!

That's it, my fellow rebels!

Here's what Adam and Eric's story shows us - crowded markets aren't roadblocks, they're opportunities disguised as obstacles.

When everyone looks the same, being different makes you impossible to ignore.

Something tells me you're gonna build something amazing.

Keep zoooming πŸš€πŸ§

Yours 'helping you build a biz with almost zero-risk' vijay peduru πŸ¦Έβ€β™‚οΈ