Instead of a broad launch, Qualia focused exclusively on Massachusetts for about a year. This "geographic wedge" allowed them to build a dense local network, leverage customer introductions, and create competitive pressure that made them seem more established than they were nationally.
Alave's founders turned down a nationwide launch with Whole Foods, opting for a smaller, regional rollout instead. This counterintuitive move allowed them to mitigate risk, learn the retailer's systems in a controlled environment, and build a sustainable foundation before scaling. This proved crucial when a cyber attack hit their distributor.
Instead of broad marketing, Assembled focused on the 'Support Driven' Slack community, where their ideal customers congregated. They actively participated and encouraged happy customers to share experiences in relevant threads. This concentrated effort created a powerful flywheel, making them the default choice within that influential audience.
Instead of competing in a saturated local market, seek geographic locations where your skills are in high demand but supply is low. A construction framer found massive success by flying to Alaska for work, where competition was scarce, rather than fighting for slim margins in California.
The owner of Canada's only real estate trade publication is delaying U.S. expansion. He's choosing to solidify his monopoly and become the 'big fish' in his home market rather than becoming a 'little fish' in the crowded U.S. market where his brand has no equity and he'd face established competitors.
Niching down allows you to dominate a small pond with less competition, enabling higher prices and faster learning. Once you're the "biggest guy in a puddle," you use your acquired skills and resources to graduate to a pond, then a lake, and finally the ocean.
Instead of opening franchises in distant locations, a new franchisor should first build 5-10 locations within a few hours' drive. This strategy, used by successful franchises like Orangetheory, allows for better oversight, support, and testing of the model before a national rollout.
To truly understand the industry, Qualia's team, including the first 25 hires, rotated through living in their first customer's basement. This unparalleled access provided deep domain knowledge and ensured they built what was actually needed, a strategy the founder credits for their success.
Instead of a broad launch, Everflow targeted only mobile affiliate networks—a small market they knew deeply from their previous company. This allowed them to build very specific, high-value features for that ICP, win deals, and establish a strong beachhead before expanding into larger, adjacent markets.
Don't fear competitive "red oceans"; they signal huge demand. The winning strategy is to start in an artificially constrained niche (a puddle) where you can dominate. Once you're the biggest fish there, sequentially expand your market to a pond, then a lake, and finally the ocean.
European firm Permira successfully entered the US not by just opening an office, but by relocating its top talent, empowering local decision-making, and accepting years of minimal activity to build relationships and market knowledge before scaling.