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Old 05-07-2012, 11:05 AM   #31
Hank
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He wasn't the husband, just a "friend/business partner".
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Old 05-07-2012, 01:44 PM   #32
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Quote:
Originally Posted by omnibus
Is "niche market" the same as the market where people care more about bright flashy colors than considerations of weight, adequate braking and reasonable prices?
You're completely missing the point of cruiser bikes. They're for a day at the beach, a trip to the grocery store, or a ride around the neighborhood.

They're not for tackling hills, so weight isn't an issue. Likewise, you only have the one gear, which limits speed, so a coaster brake is just fine.

In fact, if you did tackle a hill on a cruiser, you'd probably burn up the coaster brake on the way down.

They're for fun.
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Old 05-07-2012, 03:46 PM   #33
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Is "niche market" the same as the market where people care more about bright flashy colors than considerations of weight, adequate braking and reasonable prices?
They are NOT going after the bike market. If you want a cheap bike, they are not targeting you. They are targeting people who want to make a fashion statement. It's no different than going to target and buying a $50 handbag or buying a $500 designer bag. They both function the same, but one is about the brand name and recognition. Same with the bike.

As for the boot illusions, I also thought she was nuts to go with Barbara there. Then again, she did get the idea from a dream, and go to Turkey with no plan. I wonder how Barbara will like dealing with her.
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Old 05-07-2012, 10:00 PM   #34
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I forget which item it was -- I THINK maybe the boot illusions one -- the onscreen graphic was screwed up. It said something along the lines of "25 cent per item royalty", but it was really a 25% royalty! VERY big difference!
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Old 05-07-2012, 10:04 PM   #35
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Are you sure? A 25% royalty seems really high.
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Old 05-07-2012, 10:15 PM   #36
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I'm 99% sure. and it wasn't just a cents vs % sign difference (i.e. typo). The voiceover of one of the sharks said 25% royalty.. Unless someone proves me wrong, but I would bet money that it wasn't a 25 cent royalty.
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Old 05-08-2012, 03:25 AM   #37
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lol what the hell was that people powered uni-coaster. If ANY investor put money into that then dude is a svengali.
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Old 05-08-2012, 06:50 AM   #38
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I looked that guy up, and he and his brother DID invent modern in-line skates (brand name "Rollerblades")

But the Skybike was a total non-starter except for maybe Larry Ellison or Richard Branson who wants another toy in their backyard.
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Old 05-08-2012, 09:27 AM   #39
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I forget which item it was -- I THINK maybe the boot illusions one -- the onscreen graphic was screwed up. It said something along the lines of "25 cent per item royalty", but it was really a 25% royalty! VERY big difference!
I remember Damon saying somethign like "for every dollar that comes in you get 25 cents" and then that graphic showed up. Makes sense in that context.
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Old 05-08-2012, 09:46 AM   #40
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I looked that guy up, and he and his brother DID invent modern in-line skates (brand name "Rollerblades")

But the Skybike was a total non-starter except for maybe Larry Ellison or Richard Branson who wants another toy in their backyard.
I could see those things installed at places like resorts. Take a spin around the property. Maybe have an easy and an advanced track for people who just want to sight-see or get a workout. Not a huge market, though.
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Old 05-08-2012, 10:29 AM   #41
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Regarding the bed thing

I think what really bugged the Sharks (and they've said this before) is that that guy already had a full time gig. That's why his sales sucked and I'm surprised they didn't call him out on it. They don't seem to like people who don't invest 100% of their efforts into their own product.

That makes the guy's refusal even dumber.
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Old 05-08-2012, 10:30 AM   #42
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he didn't want an investor, he wanted free publicity
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Old 05-08-2012, 12:14 PM   #43
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$600 is not a lot for a quality bike. Not even close. That's just above low-end for anything other than the junk you can get at target. I think I paid $450 for mine and it was the least expensive model they had in the bike store. A really good road bike can run thousands.

However, it might be a lot for THESE bikes, which are of questionable quality from what little I can see.
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Old 05-08-2012, 12:57 PM   #44
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he didn't want an investor, he wanted free publicity
I totally agree!
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Old 05-08-2012, 02:07 PM   #45
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I could see those things installed at places like resorts. Take a spin around the property. Maybe have an easy and an advanced track for people who just want to sight-see or get a workout. Not a huge market, though.
Yeah, I was thinking ski resorts right off the bat.
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Old 05-08-2012, 02:46 PM   #46
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The main "problem" I see with the sky track thing is that there was no way to pass anybody. So if the person in front of you is going slowly, you are forced to go slow as well. It did look fun though.
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Old 05-08-2012, 03:01 PM   #47
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Yeah, I was thinking ski resorts right off the bat.
I think the inventor mentioned ski resorts during the presentation and/or the question and answer session.
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Old 05-08-2012, 03:04 PM   #48
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The main "problem" I see with the sky track thing is that there was no way to pass anybody. So if the person in front of you is going slowly, you are forced to go slow as well. It did look fun though.
This is what I was thinking as well. Especially when he mentioned using this for transportation.
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Old 05-08-2012, 08:20 PM   #49
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I could see those things installed at places like resorts. Take a spin around the property. Maybe have an easy and an advanced track for people who just want to sight-see or get a workout. Not a huge market, though.
Definitely not a huge market, but it would be cool to see something like this at amusement parks, resorts, etc. but the infrastructure costs involved in building the track and buying the "pods" would be waaaaaaaay to expensive for this to be a moneymaker for the manufacturer or for a track operator.
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Old 05-08-2012, 08:51 PM   #50
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The main "problem" I see with the sky track thing is that there was no way to pass anybody. So if the person in front of you is going slowly, you are forced to go slow as well. It did look fun though.
I don't see this as an issue. If you had them at ski resorts, you would likely have multiple turnouts or railroad-like switches, where it could go to outdoor pull-up drive-thrus for food/drinks, vista view areas, lodge access, etc.
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Old 05-08-2012, 09:05 PM   #51
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You could have turnouts or even run two tracks parallel to each other and alternate riders so the chance of a backup is lessened. And I don't see the costs as necessarily being too much. There are resorts that build artificial lakes so they can rent out paddle boats and such. Specifically, I was thinking this would be cool if it ran around the Animal Kingdom Lodge at Disney world, or around the perimeter of a golf course.
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Old 05-08-2012, 09:46 PM   #52
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ARGH, trying to prove/disprove the 25 cent/% thing, but they play the ads between every break if you try to jump to another section. NBC and/or hulu seems to only play the ads every number of minutes, so if you try to jump around to see just the very end for example, you only have to watch (or mute!) one set of ads... so I give up for now.
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Old 05-08-2012, 10:38 PM   #53
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ARGH, trying to prove/disprove the 25 cent/% thing, but they play the ads between every break if you try to jump to another section. NBC and/or hulu seems to only play the ads every number of minutes, so if you try to jump around to see just the very end for example, you only have to watch (or mute!) one set of ads... so I give up for now.
I just checked it on Hulu (only had to watch the opening ads). You're right. He says "For every dollar that comes in, you'd get 25 cents." And the graphic says 25 cents per unit sold. A 25% royalty is a heck of a good deal for no ongoing work.
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Old 05-09-2012, 07:37 AM   #54
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he didn't want an investor, he wanted free publicity
well, not quite free
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Old 05-09-2012, 12:30 PM   #55
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I just checked it on Hulu (only had to watch the opening ads). You're right. He says "For every dollar that comes in, you'd get 25 cents." And the graphic says 25 cents per unit sold. A 25% royalty is a heck of a good deal for no ongoing work.
It's a great deal if you're reasonably confident that the party keeping the 75% will be able to make the product wildly successful. But it's very difficult for an entrepreneur to give up 75% of their "baby" and let someone else have control and then just hope the money will be there on the back end. For many of these inventors/entrepreneurs, feeling like you're in charge of something successful is at least as important (and sometimes moreso) than just getting rich.
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Old 05-09-2012, 12:41 PM   #56
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It's a great deal if you're reasonably confident that the party keeping the 75% will be able to make the product wildly successful. But it's very difficult for an entrepreneur to give up 75% of their "baby" and let someone else have control and then just hope the money will be there on the back end. For many of these inventors/entrepreneurs, feeling like you're in charge of something successful is at least as important (and sometimes moreso) than just getting rich.
Sure. But I think some of these people, especially the ones with no industry experience, are deluding themselves if they think they can make the product more successful than the sharks that are experts in the industry, like Daymond. And obviously, by taking a $100,000 75% stake in the product, Daymond would have some motivation to make sure then product is successful (it's not like they're buying these up to kill them off). Also, Daymond wanted just boots. They would have had $100,000 plus 25% on boot licensing to invest in the rest of the business.
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Old 05-09-2012, 12:45 PM   #57
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Sure. But I think some of these people, especially the ones with no industry experience, are deluding themselves if they think they can make the product more successful than the sharks that are experts in the industry, like Daymond. And obviously, by taking a $100,000 75% stake in the product, Daymond would have some motivation to make sure then product is successful (it's not like they're buying these up to kill them off). Also, Daymond wanted just boots. They would have had $100,000 plus 25% on boot licensing to invest in the rest of the business.
Oh, I totally agree that they made a bad decision. I was just trying to explain the thought process these people go through. They're not just trying to come up with a way to make money. They've become emotionally attached to their creation and they want to be involved and in control all the way to the end.
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Old 05-09-2012, 01:02 PM   #58
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Oh, I totally agree that they made a bad decision. I was just trying to explain the thought process these people go through. They're not just trying to come up with a way to make money. They've become emotionally attached to their creation and they want to be involved and in control all the way to the end.
Exactly...and many people have fallen into this trap. I've seen the Sharks tell them straight up: You won't have to do anything and will just get checks in the mail, then you can go do whatever else you want to do.

That sounds AWESOME!!!
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Old 05-09-2012, 02:22 PM   #59
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Also, the 25% royalty was ONLY on the one product, right? Of course, the rest of their products were probably worthless, but still...
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Old 05-09-2012, 02:26 PM   #60
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Do I remember that Robert actually invested in something? Didn't he go in with Cuban on something?
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