Excel Add-in Business

[Chessman]

I'm seriously entertaining the notion of going into the business of creating and selling add-ins for Excel. I was wondering if someone could give me some insight on:

--the demand for Excel add-ins
--how to make sure my add-ins adhere to professional standards
--the best way to market add-ins
--risks I need to consider in such a venture

Much obliged!

 

[gwkenny]

No offense, but you are asking for the meat of someone else's business plan.

If you are "seriously" entertaining the notion, then you need to identify a market need.

After identifying the market need, you need to create your product.

After creating your product, you need to communicate to the target market to sell your product.

It's all pretty straightforward.

Happy to answer specific questions, but this generic global questioning doesn't really get anywhere.

 

[Chessman]

No offense, but you are asking for the meat of someone else's business plan.

If you are "seriously" entertaining the notion, then you need to identify a market need.

After identifying the market need, you need to create your product.

After creating your product, you need to communicate to the target market to sell your product.

It's all pretty straightforward.

Happy to answer specific questions, but this generic global questioning doesn't really get anywhere.

I wasn't asking that in the least, although I appreciate your response. However, I wouldn't want to even begin the task of generating a business plan if there wasn't an existing market. So, all I was asking was "is it worth pursuing?" I can't locate any market data on Excel add-ins, although I've noticed that some companies do sell them. However, I don't know if they're profitable. I guess a simple "yes, there is profit potential in such an undertaking" or a "no, nobody's willing to pay for such products" is enough to help.

 

[Tom Urtis]

Chessman - -

Here's some advice I hope you find useful. As a business owner I can tell you, if you are relying on others to tell you something is profitable, or that there is a market niche for your idea, or what the demand is for your idea, or what the "best way" is to market add-ins, as you have posted, then I'd recommend you not bother with the endeavor because your thought process is too reactionary.

You need to change to a more proactive "I am just going to do it" drive to succeed, if indeed your idea is a good one. Now, common sense and wisdom are important too, because if your idea is to market the next Edsell, then it's a doomed project.

I understand you are not talking about Edsells, you are talking about Excel add-ins. Instead of wondering out loud to a broad audience, do your own research and target your questions to the people who develop and sell their add-ins if their revenues are what they expected, what they would have done differently, and what they did that worked. There are many web sites with many marketed add-ins. Some of them have telephone numbers that you can call to speak with the Excel developer who is selling the add-ins. Many business owners will respond graciously with useful tips if they don't think your goal is to undermine their operation. We also admire in other people the traits we like to think we have, which is, we had an idea for a business, we believed in it, we left the steady job and income (such as that is these days) in favor of taking a chance on what we think will be a more satisfying lifestyle. You may not make as much income selling your add-ins but when you wake up in the morning, at least you will know what mood your boss is in. So in that respect, you should assess the trade-off between income and happiness, especially during the start-up phase when there is not much income, until you keep pressing and achieving market share. I work 16 hours a day but I love what I do, I enjoy dealing with all my clients, and my stress level is virtually zero (except at tax time).

Here's the main point. The world is full of products that are now mainstream but were not well received when they were first suggested. Federal Express; Post it notes; compact disks...the list goes on and on. Here is link worth reading:
http://www.fastcompany.com/online/33/one.html

You have an advantage of other people's experience with the same idea for advancing Excel usage. So, target your inquiries to those people who do what you are considering, and still, trust your instincts to move ahead without fear of failing, until common sense tells you that maybe, your idea was not as good as you thought. Even if you fail, something will be learned from the process and you can succeed next time, because successful business enterprises are usually not made to be successful on the first try; it is truly a learning experience.

Good luck.

 

[gwkenny]

Honestly I don't see how this is helpful.

Yes, you can make a living off of selling add-ins and customized spreadsheets if you are in the right market. That's pretty obvious given the extent of websites offering Excel add-ins and services. Five minutes with yahoo should have told you that. Though a lot more money is in specialized add-ins for niche markets.

Otherwise, no, you won't be able to even go to McDonald's with what you earn if you proceed in a haphazard fashion.

 

[Chessman]

Tom , thanks that gives me a starting point. About myself: I have never started my own business, although for years I have harbored a desire for it. I know I have the skills to design a pretty decent add-in, but I also have a character flaw such that I'm perhaps too hard on myself. Just because I can do something well, I harbor this perhaps illogical conclusion that anybody could do it. And, who would pay for a product they could simply do themselves? Your words are to the point and give me an objective basepoint about which to begin my research. Thank you again!

gwkenney, although your words were rather terse, I thank you just the same. Although I have seen a few sites that sell add-in products, I thought it naive to automatically assume that they get much business. Perhaps they do, but perhaps they don't. I don't whether these are popular sites or whether they are fly-by-night organizations or abandoned ventures. However, you have given me some good feedback. What I understand you to say is "build it and they will come." In other words, if I can develop a quality product in a specialized niche, there is merit in pursuing the idea. That's a great confidence booster, which I needed. I have a few ideas I've thought about, and now I'll begin the investment in the research and development.

Thank you both!

Chessman