Product-Marketing 20/80 Rule

Shaan Puri and Sam Parr discuss how businesses often fail to effectively market their unique qualities, particularly when founders are craftspeople who excel at creating products but struggle with telling their story.

The Tortilla Principle

  • Great products often lack great marketing

    • Businesses frequently fail to highlight what makes them special
    • Craftspeople/artists who create excellent products often don't know how to market them
    • Example: A boot maker who spent three years in Mexico learning his craft doesn't mention this compelling story on his website
  • Marketing is actually 80% of the work

    • Creating a great product is only 20% of business success
    • The remaining 80% is marketing and operations
    • Many founders focus on product quality but neglect storytelling
  • The "Tortilla Principle" explained:

    • Named after a restaurant that trucked in fresh tortillas from Mexico daily at $2 each (vs. 20ยข standard)
    • The restaurant wasn't telling customers about this extraordinary effort
    • Customers would gladly pay premium prices if they understood the value
    • "Where are we trucking in tortillas fresh from Mexico and are we doing a good job of telling that story?"
  • The "Knowledge Complex" problem:

    • Experts take their specialized knowledge for granted
    • They assume customers won't find their process interesting
    • Example: Casio watches using "space-age aluminum" and "precise quartz movement" - technical details that became powerful marketing points
  • Practical marketing opportunities:

    • Show the process (cutting boots in half, factory tours)
    • Tell authentic stories about craftsmanship
    • Use platforms like TikTok where niche, physical crafts perform well
    • Leverage existing positive reviews (Reddit testimonials)
    • Price appropriately to signal quality (cheap sushi is perceived as bad sushi)
01:05:57 - 01:06:11
Full video: 01:11:28
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Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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