You don’t make money, mostly because you haven’t really solved user pain points.

For example, if someone has a terminal illness and a doctor can treat them, do you think the patient is willing to pay 80% of their value? This is the pain point!

As much pain as it hurts, you earn more. Medical beauty is quite profitable, because changing faces can be very painful.

There is a young man in my community who teaches porcelain restoration. After watching my class, he paid for knowledge and earned more than 10w per month. You may not have heard of this industry.

However, I happened to have had fun with antiques for a while, and I know that the pain point in this industry is that those collectors have a bad idea and want to buy some leftovers to repair and sell them at a high price. So this type of course is not expensive even if it sells for thousands or even tens of thousands, the key is whether you have targeted this type of audience.

So true entrepreneurs always think about ‘what problems can I solve’, not ‘how much money can I make’.

If the people of the whole country have this pain point and you solve it cheaply and effectively, you can earn huge wealth.

The cheaper you solve it, the lower the profit on the customer order, but it creates a strong barrier that others may not make much money at first glance. Just like Meituan solving everyone’s demand for takeout, its social value is worth hundreds of billions.

The above is actually the cost advantage of Michael Porter.

Porter believes that there are two main sources of competitive advantage for enterprises: cost advantage and differentiation advantage. Cost advantage refers to the achievement of lower costs in the production and operation processes of enterprises, thereby increasing profit margins.

I would also like to emphasize that cost advantage is not about being cheaper than others, but rather being able to make money by comparing who can keep the other party from entering. If you don’t make money, then being cheap is meaningless.

Think about whether your product has addressed user pain points? If resolved, does your product have the ultimate cost-effectiveness?