REWORK

Underdo the Competition

Nov 15, 2023

In this podcast, Jason Fried and David Heinemeier Hansson discuss the value of simplicity in product design. They explore examples of successful companies like Apple and Tesla who prioritize simplicity and small details. The hosts also delve into the importance of offering something radically different in a competitive market, as well as the significance of niche markets and practical novelty. Overall, the podcast emphasizes the power of underdoing the competition by focusing on user needs and fundamental aspects.

24:16

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Quick takeaways

Simplicity is the key to crafting unforgettable products and prioritizing value at the simpler end leads to success.

Mere imitation without significant differences leads to failure and challenging industry giants requires radical differentiation and originality.

Deep dives

The Power of Doing Less

The podcast episode discusses the concept of 'underdo' as a strategy to succeed in business by doing less than the competition. The hosts argue that many problems in business are quite simple and the biggest market opportunity lies at the low end, where most people are essentially doing nothing. By competing with non-consumption and offering a slightly better solution than what people are not using, businesses can provide immense value. The key is to stay at the simple end of things, focusing on simplicity and being exceptionally good at a few essential features rather than trying to add more and more.

The Value in Solving Simple Problems

01:19

Quality and Charging Are Key in Electric Cars

01:49

Introduction

5min

The Balancing Act: Examples of Product Simplicity and Staying Ahead of the Competition

5min

Creating Practical Novelty in a Competitive Market

7min

Underdoing the Competition and Focusing on Fundamental Aspects

5min

The Importance of Tesla's Charging Infrastructure and Niches in the Electric Car Market

3min

In business, the idea that more is better often leads companies to engage in an endless race to add more features while losing sight of what truly matters to their users.

Consider the iconic success of the iPod. By excelling at one thing, done exceptionally well, it attracted legions of unwaveringly loyal fans.

This same philosophy is why the team at 37signals consistently aims for simplicity, recognizing it as the secret sauce for creating unforgettable products.

In this episode, Jason Fried and David Heinemeier Hansson sit down with Kimberly Rhodes to discuss the art of "underdoing" the competition as outlined in their book "Rework."

From Basecamp's high-level simplicity to the disruptive potential of their new product line, "ONCE," the conversation explores the success of products that have rewritten the rules through simplicity, focusing on the small details that elevate products to greatness.

Check out the full video episode on YouTube

Key Takeaways:

Simplicity is the key to crafting unforgettable products. Why prioritizing value at the simpler end leads to success.
Mere imitation without significant differences leads to failure—why challenging industry giants like Gmail requires radical differentiation AND originality.
Small details = big impact. Learn from Tesla's success, where even seemingly insignificant details contribute to a unique user experience.
Explore how 37signals is poised to offer radically simplified versions of existing products at better prices under the "ONCE" umbrella.

Rework is a production of 37signals. You can find show notes and transcripts on our website. Full video episodes are available on YouTube and X (formerly known as Twitter).

If you have a question for Jason or David about a better way to work and run your business, leave us a voicemail at 708-628-7850 or email, and we might answer it on a future episode.

Links and Resources:

Rework book

Books by 37signals

37signals Introduces ONCE | REWORK

Introducing ONCE

Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant

HEY World | HEY

The REWORK podcast

The 37signals Dev Blog

37signals on YouTube

The Rework Podcast on YouTube

@37signals on X