Reduce Quality → Make More Money

I wanted to share something I recently learned, that helped my business make WAY MORE MONEY.When I was a newbie business man - I used to think, whoever does the MOST MARKETING makes the most money.Boy was I wrong. It took me a while, but eventually I learned:Whoever has the best product AND does the most marketing, makes the most money.This was certainly a better mental model. And my income dramatically increased when I applied it.I first focused on making the best product possible! Then marketed the hell out of it...And it works. The money comes in. Life is good.Here's where things get interesting though...Throughout my career I had always bumped into other business owners whom I call "cheap shit sellers".They were a peculiar bunch. Usually I'd bump into people like this because they were competitors of mine.Here are some characteristics about these business owners:Usually lazyVery poor product qualityLittle regard for the customerUsed A LOT of shortcuts in businessUgly website, bad marketing, bad operationsBut most importantly, they sold their product/service REALLY cheapI would always see these competitors and look down my nose on them! Pathetic I thought.And I always assumed they were barely scraping by. Making pennies.But they were also annoying. Because I'd lose clients to them from time to time.This year, I started asking these people (when I could get answers), how much they actually make. And to my surprised, I had to add another characteristic to the list:They often make a fuck-ton of money. Revenue AND profit.This left me thoroughly confused and honestly a bit annoyed, so I had to figure it out.I dug and dug and dug, and I think I discovered an asymmetry that I've never heard anyone talk about. Here it is.Most sellers want to sell high (or at least decent) quality goods and services. At mid-range prices.Most buyers want cheap products that just get the job done.Think about it.What do most people do when it comes to buying anything. They sort for price low to high. Or they ask the store salesman, what's the cheapest options.There are some exceptions. Coca Cola, iPhone, BMW. I'm not talking about that. I'm talking about the other 99% of products and services we buy everyday where social status DOES NOT MATTER. We want the cheapest thing possible. So we can keep as much money in the bank so we can buy MORE stuff.So the asymmetry is this:Usually the demand for cheap stuff is huge. The supply for cheap stuff is low.Next time you're creating a business or product, take a minute and seriously re-consider aiming for the mid-range market. And think SERIOUSLY about aiming at the low-end market instead.** Quick clarification. Cheap shit doesn't mean scamming. It doesn't mean providing low value or products that are faulty. It means giving the customer the value that they WANT. They want something cheap - and are NOT so concerned about quality / aesthetics / bells and whistles. They want something cheap that WORKS. So give it to them.Closing remarks / Questions:Does anyone disagree? Tell me why?Does anyone agree - or has had similar experience to me above? If so please share.Does anyone know any books / publications that talks about "cheap economics"? I want to learn more about it.Thanks :D see hubwealthy.com/wealthy