{"id":2967,"date":"2018-02-09T08:00:26","date_gmt":"2018-02-09T16:00:26","guid":{"rendered":"https:\/\/www.ryrob.com\/?p=2967"},"modified":"2020-11-17T09:19:16","modified_gmt":"2020-11-17T17:19:16","slug":"idea","status":"publish","type":"post","link":"https:\/\/www.ryrob.com\/idea\/","title":{"rendered":"How much is an idea really worth?"},"content":{"rendered":"<p>How much is an idea really worth?<\/p>\n<p>This question has been top of mind for me lately, and it sparked a big debate over <a href=\"https:\/\/twitter.com\/TheRyanRobinson\/status\/932641179304280064\" target=\"_blank\" rel=\"noopener noreferrer external\" data-wpel-link=\"external\">on Twitter<\/a>.<\/p>\n<div class=\"twitter embed-container\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Ideas are worth nothing. <\/p>\n<p>Go out and build, create, make and most importantly sell. Get people excited and *wanting* to pay you for what you\u2019re creating. That\u2019s true demand. <\/p>\n<p>Execution is everything.<\/p>\n<p>&mdash; Ryan Robinson (@TheRyanRobinson) <a href=\"https:\/\/twitter.com\/TheRyanRobinson\/status\/932641179304280064?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" rel=\"external noopener noreferrer\">November 20, 2017<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/div>\n<p>I still believe that ideas are fundamentally worthless\u2014but that begs the question of <em>how<\/em> I&#8217;m assigning value to an idea.<\/p>\n<p>A question that was brought up by <a href=\"https:\/\/www.ryrob.com\/launch-side-hustles-mubashar-iqbal-interview\/\" target=\"_blank\" rel=\"noopener noreferrer follow\" data-wpel-link=\"internal\" title=\"my friend Mubs\">my friend Mubs<\/a>, in a recent piece he published, <a href=\"https:\/\/medium.com\/makesideproject\/ideas-are-everything-be99bc77d796\" target=\"_blank\" rel=\"noopener noreferrer external\" data-wpel-link=\"external\">Ideas are Everything<\/a>.<\/p>\n<h2><strong>So, how should we assign value to an idea?<\/strong><\/h2>\n<p>Turns out, this is a pretty difficult question to answer.<\/p>\n<style>.embed-container { position: relative; padding-bottom: 56.25%; height: 0; overflow: hidden; max-width: 100%; } .embed-container iframe, .embed-container object, .embed-container embed { position: absolute; top: 0; left: 0; width: 100%; height: 100%; }<\/style>\n<div class=\"embed-container\"><iframe src=\"https:\/\/www.youtube.com\/embed\/U-QoVI-gXlU?rel=0\" width=\"300\" height=\"150\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/div>\n<p>First, allow me to color this question with some much-needed context around where I&#8217;m coming from&#8230;<\/p>\n<p>I get dozens of emails every day from readers of my blog.<\/p>\n<p>Many of them asking for feedback on their business idea and for guidance on which idea has the most potential.<\/p>\n<p>I deeply value these conversations that have lead to hundreds of new friendships (just yesterday I met up with a reader, <a href=\"https:\/\/twitter.com\/LSaeWHAT\" target=\"_blank\" rel=\"noopener noreferrer external\" data-wpel-link=\"external\">Lindsay Saewitz<\/a>, for coffee here in Denver). And I always do my best to get back to everyone who writes me.<\/p>\n<p>The reason I bring this up&#8230; is because I&#8217;ve been identifying a trend over the past few years with how these conversations with readers often go. Many start like this:<\/p>\n<p><strong>Reader:<\/strong> <em>&#8220;My biggest challenge right now is that I have too many ideas and I&#8217;m not sure which route to go&#8230; what do you think about [insert business idea here]?&#8221;<\/em><\/p>\n<p><strong>Me:<\/strong>\u00a0&#8220;<em>Sounds interesting! Have you been doing anything yet to start testing if anyone wants\/needs this solution?&#8221;<\/em><\/p>\n<p>At this, the vast majority of readers reply saying that they haven&#8217;t really done much with their idea yet.<\/p>\n<p>Mostly because they don&#8217;t know how, and they&#8217;ll launch into reasons about why they just haven&#8217;t had the time to:<\/p>\n<ul>\n<li>Get around to filing for an LLC<\/li>\n<li>Come up with a name for the business<\/li>\n<li>Register a website domain name<\/li>\n<li>Get a logo designed for it<\/li>\n<li>Learn how to build a website (and start blogging)<\/li>\n<li>Find a factory who can manufacture the product<\/li>\n<li>and the list goes on&#8230;<\/li>\n<\/ul>\n<p>Trust me, I get it. I didn&#8217;t know how to build a business my first time around, either (<a href=\"https:\/\/www.ryrob.com\/how-to-not-lose-6537-and-create-a-product-nobody-wants\/\" target=\"_blank\" rel=\"noopener noreferrer follow\" data-wpel-link=\"internal\" title=\"it didn&#8217;t go very well\">it didn&#8217;t go very well<\/a>).<\/p>\n<p><strong>But this is the exact wrong place to start.<\/strong><\/p>\n<p>And when I check in with many of these readers a month or two down the line, they&#8217;re in the exact same place as they were before.<\/p>\n<p>When you&#8217;re doing something brand new without a clear path laid out in front of you, it can feel overwhelming\u2014bordering on scary.<\/p>\n<p>When we&#8217;re faced with fear of the unknown, of risk, embarrassment, potential failure&#8230; we tend to default to what&#8217;s most comfortable. The easy stuff that we\u00a0<em>do<\/em> know how to do\u2014or have heard so much about in the thousands of books out there about &#8220;how to start a business.&#8221;<\/p>\n<p>Which is where checking off all these boxes like filing for a business license and registering a domain name come in.<\/p>\n<p>And if you approach executing on your idea by first spending money on these kinds of activities listed above, you can incur a bunch of unnecessary expenses on things that don&#8217;t build real value.<\/p>\n<h2><strong>This begs the question again, how should we assign value?<\/strong><\/h2>\n<p>Let&#8217;s unpack a couple of different viewpoints.<\/p>\n<h3><strong>The measurable value argument<\/strong><\/h3>\n<p>I believe that an idea alone is worthless, because it delivers <em>no measurable value<\/em> to your potential customers.<\/p>\n<p>Value in the form of a tangible solution to a problem they have; a challenge that&#8217;s worthy of solving in the first place.<\/p>\n<p>In this context, an idea is inherently worthless\u2014it cannot possess any measurable value\u2014because it does not change someone&#8217;s state.<\/p>\n<p>This view really resonates with me, because it&#8217;s very linear and reflects the primary way I think.<\/p>\n<p>We can all agree that nobody is going to pay you for just an idea that doesn&#8217;t change anything for them.<\/p>\n<p>And the sheer act of telling someone about your idea isn&#8217;t going to change anything in their lives.<\/p>\n<p><em>Unless<\/em> <em>the\u00a0action of telling them about your idea leads to something that eventually creates measurable value.<\/em><\/p>\n<p>Which, in my mind, is where this gets tricky&#8230;<\/p>\n<h3><strong>The immeasurable value argument<\/strong><\/h3>\n<p>What if the act of telling your friend about an idea leads to a great conversation, incredible feedback, and a burst of motivation that propels you into building the idea?<\/p>\n<p>In this case, I&#8217;d argue that your idea just became pretty damn valuable.<\/p>\n<p>And this is one of the points my friend Mubs makes in his piece, <a href=\"https:\/\/medium.com\/makesideproject\/ideas-are-everything-be99bc77d796\" target=\"_blank\" rel=\"noopener noreferrer external\" data-wpel-link=\"external\">Ideas are Everything<\/a>.<\/p>\n<p>His immeasurable value argument is that ideas can lead to value that isn&#8217;t measured in dollars and customers.<\/p>\n<p>Ideas can lead to unpredictably awesome outcomes. Mubs asks, <em>&#8220;How much value can you place on something that drives you to work on it, to use every spare minute in your day to make it a reality?&#8221;<\/em><\/p>\n<p>I don&#8217;t think you can assign a measurable value to that\u2014nor should you try.<\/p>\n<p>However, the immeasurable value argument implies that you need to get your idea out into the world.<\/p>\n<p>In order to get that inspiration and motivation to start building your idea, you need to have conversations with people.<\/p>\n<p>You can&#8217;t just create in a bubble, without feedback from the people you&#8217;re creating for.<\/p>\n<p>If you&#8217;re going to stand behind this argument, that predicates that\u00a0<em>you do something<\/em> about your idea.<\/p>\n<h2>So, what&#8217;s an idea really worth?<\/h2>\n<p>Well, it depends on what you do with your idea&#8230;<\/p>\n<p>Not every idea needs to be valued in terms of money.<\/p>\n<p>But an idea that stays locked away in your own head\u2014without execution OR meaningful conversation <em>that leads to<\/em> <em>action<\/em>\u2014remains worthless in both contexts.<\/p>\n<p>It won&#8217;t deliver measurable value to your customers as-is.<\/p>\n<p>And it&#8217;s not leading to the execution that could eventually create measurable value.<\/p>\n<h3><strong>The only way to assign value to your idea is to do <em>something<\/em> about it<\/strong>.<\/h3>\n","protected":false},"excerpt":{"rendered":"<p>How much is an idea really worth? This question has been top of mind for me lately, and it sparked a big debate over on Twitter. Ideas are worth nothing. Go out and build, create, make and most importantly sell. Get people excited and *wanting* to pay you for what you\u2019re creating. That\u2019s true demand. <\/p>\n<div><a title=\"Continue Reading\" class=\"ryrob-button read-more\" href=\"https:\/\/www.ryrob.com\/idea\/\" data-wpel-link=\"internal\" rel=\"follow\">Continue Reading<\/a><\/div>\n","protected":false},"author":1,"featured_media":3008,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_focuskw":"value of an idea","_yoast_wpseo_title":"How much is an idea really worth? (How we assign value to ideas)","_yoast_wpseo_metadesc":"How much is an idea really worth? Let's examine two compelling arguments around how to calculate the true value of an idea and what that really means for your business idea.","_wp_convertkit_post_meta":{"form":"-1","landing_page":"0","tag":"0","restrict_content":"0"},"footnotes":""},"categories":[1154],"tags":[],"class_list":["post-2967","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"acf":{"page_style_options":"","footer_style":"default","inject_into_head_tag":"","table_of_content":"","additional_authors":null,"main_title_heading":"","secondary_title_heading":"","post_icon":null,"first_paragraph":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How much is an idea really worth? (How we assign value to ideas)<\/title>\n<meta name=\"description\" content=\"How much is an idea really worth? 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