#350 - Mike Beckham - Co-Founder & CEO @ Simple Modern - A Former Pastor Built One Of The Fastest Growing E-Commerce Businesses In The US
Apr 30, 2024
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Mike Beckham, Co-Founder & CEO of Simple Modern, talks about building the company during Yeti's domination, hypergrowth strategies, product licensing, disadvantages of online sales, and more. From starting Simple Modern to the power of AI and building moats, this podcast covers key insights into entrepreneurship.
Building a successful e-commerce business requires leveraging hypergrowth strategies and anticipating AI's impact.
Product licensing can be a powerful tool in establishing market dominance and creating competitive moats.
Hiring friends can bring valuable benefits to a company's culture and operations.
Past experiences, values, and core beliefs influence entrepreneurial decisions and company building processes.
Navigating the disadvantages of selling products online requires focusing on building sustainable competitive advantages and customer acquisition strategies.
Deep dives
The Risk and Reward of Entrepreneurship
Entrepreneurship involves risking a lot, including years of time and financial capital, with the potential of significant pain if the venture fails. However, the upside is deemed worth the risk, requiring a belief in the value of the venture being pursued. To increase the chances of success, leveraging all available resources and putting in maximum effort is essential. The speaker emphasizes the importance of believing in the venture's value to navigate the challenges of entrepreneurship.
The Importance of Presentation and Pitch Decks
Effective pitch decks play a vital role in entrepreneurship, particularly in raising capital and showcasing the company. Despite the speaker's enjoyment of raising capital, creating pitch decks has been a challenging aspect for them. The introduction of 'Better Pitch' as a service that specializes in crafting exceptional pitch decks has alleviated this hurdle, leading to the production of some of the best pitch decks seen.
Building a Mission-Driven Company with a Strong Team Culture
Building 'Fort Capital' has been a rewarding journey for the speaker, emphasizing the joy of creating the company alongside a talented team across different locations. Their enterprise is centered around becoming the best real estate operator globally, focused on technology and efficiency to enhance service delivery. The firm's mission, operational excellence, and technology utilization set them apart in the real estate industry.
Strategic Decision-Making and Company Growth
The process of starting 'Simple Modern' involved intentional decision-making fueled by the speaker's past experiences and values. Prioritizing creating a company with the right people and instilling a culture of giving back influenced the early hiring decisions. The speaker's transition from a career in nonprofit work and ministry to entrepreneurship shaped the company's culture and his approach to opportunities, focusing on sustainable growth grounded in core values.
Challenges and Opportunities in Technology and Society
Technological advancements are transforming society, raising concerns about mental health and social connections. The speaker discusses the risks of technology disconnecting people and causing societal challenges. Reflecting on historical contexts, he highlights the potential dangers of straying from fundamental human needs and relational connectedness. While acknowledging the perils of deviating from traditional values, he expresses optimism about technology's potential to improve lives and eliminate suffering.
Entrepreneurial Journey: Licensing Success Story
The speaker shares a remarkable entrepreneurial story centered on obtaining licensing agreements for a product idea. Despite facing daunting odds and challenges, he demonstrated a bias for action and persistence in pursuing a licensing agreement with a university. Through creative tactics, dedication, and strategic networking, he successfully secured licensing deals starting from a local agreement, eventually expanding to major brands such as Disney and the NFL.
Manufacturing and Global Dynamics
Exploring the complexity of global manufacturing dynamics, the speaker delves into the challenges and considerations of overseas production, specifically in relation to China and the US. Addressing the fragility of supply chains exposed during the COVID-19 pandemic, he highlights geopolitical tensions and the impact on sourcing practices. While outlining the risks and uncertainties associated with international manufacturing, he emphasizes the strategic shift towards domestic production and risk mitigation efforts.
E-commerce Advantages and Disadvantages
Analyzing the digital landscape, the speaker discusses the advantages and disadvantages of e-commerce. Amid intense competition and ad auction systems, he underscores the challenges of online marketing and rising ad costs. Emphasizing the importance of niche markets, sustainable competitive advantages, and customer acquisition strategies, he advises entrepreneurs to prioritize building moats and customer acquisition plans for sustainable success.
Lessons in Marketing and Entrepreneurship
In reflecting on the evolving digital landscape and marketing dynamics, the speaker underscores the critical role of competitive advantages, customer acquisition strategies, and adaptability in entrepreneurship. Recognizing the transforming nature of online competition and advertising, he stresses the necessity of sustainable competitive advantages and efficient customer acquisition plans to navigate the evolving digital market. By focusing on moats and customer acquisition, entrepreneurs can build resilient businesses in the competitive online arena.
Mike Beckham is co-founder and Chief Executive Officer of Simple Modern, a leading producer of premium drinkware and lifestyle products. Founded in 2015 and based in Oklahoma, SimpleModern currently generates a nine-figure annual revenue and is committed to generosity, donating at least 10% of annual profits to nonprofit organizations. Under Mike’s leadership, the company has grown into a category leader for Amazon, Target, Walmart, and Sam’s Club.
We discuss:
Building Simple Modern during the peak of Yeti’s domination
Hypergrowth strategies and living in a future with AI
