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Mixing And Matching Products To Create A New Product

Mixing and Matching Products to create a new product

Back in 1999. I first saw the potentials of the internet not as a learning tool, more as a business/marketing tool.  With this, I was wondering what business to get into. I thought maybe I should look into Mixing and Matching Products to create a new product.

My first business selling mobile phones went kaput. This was because one of the major mobile service carriers then decided to be a hero. They offer mobile phones “at no initial cash outlay”.

The situation was bad for us since we were selling mobile phones at cost plus a markup of P3,000.  This was regardless of model. Then all phones, once we brought them in for activation with subscription lines, brought us another P 1,500 income. Thus bringing our income per phone up to P 4,500. We were selling an average of one mobile phone a day.

Anyway, the new arrangement with the “no initial cash outlay” program of this Mobile Carrier, our income per phone drastically shot down to  P 750 per phone.  To make the long story short, we were paying rent, taxes, and salaries and this just wasn’t enough. Most of the new clients were asking for this. I guess you get the picture now.

After this, we closed shop, the partners went our separate ways which lead us back to what I was to get into. I was looking around, got a job with an ISP that shortchanged me with my salary so I left. But thankful for this lovely introduction to the web, I began pondering how I could package something for a certain market to sell. It was also at this time that I was learning HTML which was very basic then.

Mixing and Matching Products to create a new product

After a lot of thought, I said to myself: “The internet is a great tool for marketing businesses, reaching great distances with such little effort and investment.” But the internet at that time was all “dial-ups”. This was the time Google was not yet known and yahoo was the only major search engine.

I decided to try creating my own site and calling it “Biztoolz“. And created packages that took care of three basic things for business people:

  1. Internet Connection
  2. Communication (email address)
  3. website design & hosting

Viewing it the other way around

  1. website design & hosting – for business people to place their products or service, where people would search for in yahoo.
  2. Communication (email address) – Links on their Mini-Websites that would open up visitors’ Outlook or Email programs to send emails directly to the business owner.
  3. Internet Connection – for the business owner to check his/her incoming email and answer these.

At that time, since most connection were limited and mostly prepaid, business people would just dial-up to check email and log-off.

What I did:

  1. I registered “Biztoolz1
  2. We created packages2 that offered 3 items in 1: a) website design & hosting b) email address c) internet connection
  3. Sold these to prospective businesses and individuals3.

It doesn’t look as complicated as it seems, I only approached one ISP (internet service provider) that provided all of the three at a bargain price.

1 Please forgive the ugliness of the site. It was 1995 and the resolution of monitors then were 800 x 600.
2 For a clearer explanation of the packages, please check the first section on this page.
3 It was unfortunate that we weren’t able to update this page and that the internet archive was still young then and only archived a few links on the site. Our hard disks containing our early designs crashed and we were only able to restore one of the clients we had then.

Alphonse Tan

Alphonse Tan

Alphonse is an alumnus of DLSU in Manila. He has a Bachelor of Science degree in Marketing Management. He entrepreneurial journey began when he was accepted in a telecommunications startup. His key responsibility area then were helping setup our distributorship with Motorola, setting up the first branch from the ground up from recruitment, HR, developing sales pipelines; internal and external.

He had hands-on experience in sales development, retail and channels, advertising, institution selling and marketing. He also had successes in the Non-Life Insurance wherein he managed clients’ multi-million portfolios, He also operated a magazines distribution creating a network of distribution of magazine stands, has helped manage computer shops and so forth and so on.

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