Diversification is a great approach for your stock portfolio, but when it comes to your business, it may be a sure-fire road to mediocrity.
How does Thermomix get away with charging over $2,000 for a blender when reputable companies like Breville make blenders for less than a quarter of the price?
It’s because Thermomix does just one thing, and they do it better than anyone else.
The problem with selling too many things – especially for a young company – is that you water down everything you do to the point of mediocrity.
Go narrow and deep in your business and eliminate competitors from eating your margin.