Lehoux's Method Of Being Frugal

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Lehoux’s method of “being frugal” played an enormous role in the success of his company. From the beginning, he made an effort to find more affordable routes to achieving his goals. He initially saved thousands of dollars by choosing to by a domain name and not a trademark. Having spent only $10 at this point he was able to proceed with basically no debt. When coming up with prototypes Lehoux used his creativity to be frugal. Initially he created himself with various materials. Later, he needed the assistance of another company for three dimensionally printed prototypes. He implemented the wheels with Legos, so as to save him even more money. His perfected prototype cost him only $300. Lehoux had to create a video about his start-up. He made…show more content…
These websites engage with the public, and make people feel involved with new projects. People can observe how their funding that they provide helps these projects develop. In Lehoux’s case his backers became so personally invested in his new venture that in the end he was able to obtain more money than his goal. However, his backers did not just help financially. They shared other sites and blogs with him, so he might display his start-up on them to reach a larger crowd. This was essentially free marketing, and it helped generate more backers and reach more potential customers. Sites like Kickstarter allow interaction between the entrepreneur his or her backers. Lehoux was also benefited by being made aware of the concerns that the backers had. Kickstarter give Lehoux funding, advice, a customer base and media…show more content…
The first major challenge came during the holiday season. Since the company had just been launched, there was no way of knowing how quickly the units would be ordered as gifts. Lehoux soon learned that the company was not able to send the products in such a short time. Once again, he reached out to his backers, and they were more than willing to help. With their funding he was able to send customers their products via a quicker shipping method. Later as demand rose he realized that the he had underestimated the production cost and complexity. It was no longer feasible to produce and ship the products from his home. To remedy this issue he decided to outsource. He ended up working with a manufacturer in China. In January of 2013 customers experienced alignment issues with their bottle cutters. To ensure that this would not be reoccurring with future products he conducted tests, but when this did not work he went China and met with the manufacturer to fix the manufacturing error.

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