This is a famous quote from Jeff Bezos.
Greg Isenberg wrote about “wholesalification of SaaS” where entrepreneurs can create competing companies of larger tech businesses.
With the proliferation of AI tools and low/no-code tools, it’s never been easier to build.
Reminds me of Rocket Industries strategy at the surface. Rocket would recreate high-growth businesses from Silicon Valley in the early tech boom and launch in new geographies. Their goal was to build and grow incredibly fast in the geography then sell the business for a premium to the original company.
They did this with Groupon. Tried and failed with Airbnb.
But what Greg is proposing is different.
Instead of targeting a different geography, you target a niche (or sub-niche).
The best example of entrepreneurs doing this now is in the form space.
Typeform is arguably the leader in the form space. Their forms look great and they offer many integrations. However, they are expensive.
They’re great for lead generation but not for surveys or high volume submissions as you pay per submission.
There’s Google Forms but they’re not the nicest looking forms if you’re concerned about brand reputation.
That’s where this strategy takes place. Many other builders saw this and created competitors to Typeform.
- Paperform start at $29/mo
- Tallyforms at $100k MRR. $29/mo
- Reform starts at $19/mo (acquired by FunnelEnvy)
- Youform at $12k MRR. $29/mo ($399 lifetime deal)
Tally and Youform are competing on price (free, affordable).
Price is a way to stand out but doesn’t need to be the only way. Being the cheapest is a losing battle (just ask Patticus or Jason Lempkin).
Instead new tools can compete on “the tool for X niche.”