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The chicken and the egg

Written by: Seth Godin

Article Overview: I was riffing with someone about an idea last week and I told him he had the, "chicken and an egg problem." It seemed like he knew what I meant, and I thought I knew what I meant, but I've since decided it's worth a few paragraphs.

The chicken and the egg

I was riffing with someone about an idea last week and I told him he had the, "chicken and an egg problem." It seemed like he knew what I meant, and I thought I knew what I meant, but I've since decided it's worth a few paragraphs.

The quick background is that chicken and egg is a cliche for a (false) conundrum: which came first? [it's false because the egg came first... the only thing a chicken can come out of is a chicken egg, while something that's not quite a chicken yet could lay a real chicken egg... sorry to digress].

When a business is described as a chicken and egg problem business, we're going back to the cliff. The only reason people want to use it is that other people are already using it! In other words, no one wants to go first.

No student would take the SAT unless they knew that colleges were requiring it. And no college would require it unless they knew students would take it.
No cool person wants to go to a nightclub unless they know that a lot of cool people will be there. But of course, cool people don't want to go unless they know that the other cool people are coming.
A fax machine with no one to fax to isn't worth buying.
There are countless innovations that would make our world a better place (and would make you a wealthy marketer). The problem with almost all of them is that getting from here to there is almost impossible. That doesn't mean you shouldn't try, but it does mean you should count on failing. Sure, every once in a while an eBay happens. But for every business that solves the chicken/egg problem, there are thousands that fail (insert dead chicken/broken egg joke here).

In almost every case I can think of, the problem isn't solved by fixing a big industry. It's just too hard to get all the big players to change at once. Instead, the problem is solved in a tiny industry (college admissions a hundred years ago) and then the industry grows around it. So, if you've got a breakthrough for the big guys, watch out.

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Article Tags: big guys, breakthrough, chicken egg, cliche, college admissions, colleges, conundrum, countless innovations, dead chicken, ebay, egg problem, fax machine, hundred years, joke, paragraphs, wealthy marketer



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How To Make Up for Mistakes? - This topic has more to do with restaurants, I would think, than any other type of business, but I just thought I'd throw it out there. Earlier today I went to my local Kentucky Fried Chicken, where it quickly became clear that probalby 2/3rds of the staff were brand new... As I came in someone was complaining that they'd been given the wrong order, and 30 minutes later when I left, it was just after a man came into complain that he'd been given the wrong order. (Obviously through drivethru.) Why was I there for 30 minutes? I came in and ordered an 8 piece original meal. 5 minutes later I was told it was going to be another ten minutes, as the chicken had just gone down. 10 minutes later, I was told that *that* chicken had been the Extra Crispy, and they had run out of original and so it would be another 15 minutes for that. 15 minutes later...the manager told me that the original recipe had *just* gone down, the person he'd told to do it 15 minutes ago hadn't done it. Now, to make up for my 30 minute wait, the manager did give me 4 extra pieces of chicken, free. And then I got home to discover that instead of being given a side order of coleslaw, I'd been given green beans. Even if the green bean/cole slaw mixup hadn't happened... I seriously, seriously doubt if I'll ever go back to that KFC. Granted it was obvious that they were training in new people, but there's a point where sheer ineptitude begins to be apparent - they should be training people such that no one is on the floor who doesnt' know their job! And even though the manager gave me those 4 extra pieces of chicken as an apology, and although I appreciated it - and felt I deserved it - I will not be going back to that KFC any time soon. So.... from a restauranteur's standpoint, was it a waste of good chicken to give me those extra pieces when chances are I would never return?
Re: Hypnotizing Focus Groups - For myself - I would never want to be hypnotized...then called up to the front of the room to act like a chicken, or whatever... I too don't see the point of hypnosis... that would make me very nervous!
Re: What is your biggest challenge? Today? - [quote="Tim Stokes":3kkqwdng]My biggest challenge is time. Since I still have a full time job it's really hard to make the time to do the things that are extremely important for an online business. After working 9 hrs. in the real world I'm usually too exhausted to do any work when I get home. Speaking of which, gotta get up in five hours, nite all. Tim.[/quote:3kkqwdng] Hi Tim, Would it be possible to find a full-time job with less demanding hours? The only other alternative would be to increase your energy levels through exercise/healthier eating or to re-prioritize your time outside of work. One will be surprised at just how much more energetic he/she will feel after eating a tuna sandwich (or chicken entree with brown rice and salad) as opposed to fast food.
Now KFC is rebranding... - I love Kentucky Fried Chicken - those 11 herbs and spices. Yum yum. Of course with the interference of the government and trans fat the chicken no longer tastes the same.... but I still like it... But all that's beside the point of this post, which is that in 1991, apparently, Kentucky Fried Chicken changed its name to KFC, and now, 15 years later, they're changing it back, because last year was a down year for them. I'm confused about this, because only yesterday my brother pointed out that the reason they'd changed the name in the first place was because the state of Kentucky was going to charge them a royalty fee for the use of the word Kentucky. I've been unable to verify that... but if its true... perhaps they worked out some kind of deal... I didnt' realize that the state of New York charges non-residents taxes, if they do a portion of their work in that state. For example, when a baseball, football or basketball team comes in to New York to play a team there - the visiting team's players have to pay taxes on the income they earn from that game - to New York. As far as I'm concerned, that's outrageous!!!
Empathize with customers - [quote="mphcoach":t5ys84d2]Truth is, to get past a bad customer interaction you really do have to give something extraordinary and memorable. Most importantly, you have to be sincere. Tom Peters has some amazing stories in hos books. In fact, when customers do give great feedback it truly is a gift to you to create a lasting relationship. Four bits of chicken was not a response worthy of your problem. For me, the whole deal needed to be free; you would be invited back for free next time and the manager would have spent quality time with you, listening to what went on and using that as feedback for his team to do better next time.[/quote:t5ys84d2] I agree with mphcoach's comments as Doug Fleener says "Most unhappy customers are reasonable once they feel that the company representative they're talking to understands the problem and is interested in finding a solution that works for both parties...it's important to let her vent her frustrations and tell her story... Some examples of how to empathize with the customer include: 'That must have been incredibly frustrating.' 'I can sure understand why you're so unhappy.' 'I would be frustrated, too.' Then follow the acknowledgement with a transition statement: 'Well, let's see what we can do to make it better.' 'I'm sure we can fix this together.'" (The Profitable Retailer 75 & 76)


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